A $9.16 million revenue bond proposal will be on the agenda when the Central Utah Water Conservancy District's board of directors meets next week.
The bond, if approved, would be used to refinance existing water right purchase agreements with various Salt Lake County water agencies.Financial advisors to the district say the refinancing effort will provide directors with some needed hands-on training for issuing bonds while at the same time giving the district needed exposure in the bond market in preparation for future bonding efforts.
The savings generated by the refinancing is expected to be minimal, but officials believe the learning experience will be well worth the time involved. And, because bonding is expected to play a key role in financing some of the remaining Central Utah Project structures, breaking ground now is expected to be helpful for future efforts.
The effort will give the district a barometer concerning the bond ratings it can expect.