Council Approves State Infrastructure Bank Loan

Published on October 14, 2024

At its October 8 meeting, the City Council approved a resolution authorizing the City Manager to execute a State Infrastructure Bank (SIB) loan agreement for up to $44.6 million.The loan will fund road projects, including Keller Springs Road, Quorum Drive, and Montfort Drive, that were part of the 2019 bond program.The interest rate on the loan is 2.51%.By comparison, the interest rate on the Town's 2024 Certificates of Obligation which were sold on September 10, 2024, was approximately 3.58%.The interest savings the Town will realize using the SIB loan compared to a bond issuance is approximately $5.9 million over the life of the loan.