Politics & Government
Bond Refunding to Save La Grange Residents $60,000 in Property Taxes for Next 12 Years
By refinancing a loan taken out to build the new La Grange Library, the village will save residents $733,000 over the next 12 years on their property taxes.
At a village board meeting in La Grange on Aug. 27, the got some news that everyone can be happy about—lower taxes.
By refinancing a loan taken out to pay for the new building, the village will be able to save $733,000 over the next 12 years. That amount adds up to just over $61,000 per year off resident's property taxes.
The village board unanimously approved a new bond rate from UBS, an investment firm, at 1.7327 percent. That's down from a rate of 4 percent previously.
Find out what's happening in La Grangewith free, real-time updates from Patch.
“Fantastic news,” Trustee Bill Holder said. “Congratulations to everyone.”
The amount is even more than the village had thought it would be able to save. Earlier in the summer, the board estimated the savings would be around $450,000.
Find out what's happening in La Grangewith free, real-time updates from Patch.
The reason for the particularly low rate was a competitive bidding process and a very favorable rating from Moody's Investor Services. The village of La Grange received a rating of Aa2—the third highest rating possible.
“That really goes to your fiscal management,” Phil McKenna, the village's financial consultant, said about the board’s reserve levels and financial responsibility.
Overall, board members were extremely happy with the news.
“I look forward to my taxes going down over the next 12 years,” Trustee Michael Horvath said with a smile.
Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.
