To aid in the funding of a $62.2 million capital budget, the Suffolk County Water Authority (SCWA) in Long Island, New York, issued $124.93 million in short-and long-term bonds, according to the Long Island Business News (LIBN).
The sale of $100 million in short-term financing will pay for capital projects, such as building tanks, extending water mains and installing filters, the news source adds. $3.6 million will be used to extend water mains for new customers, $10.2 million to replace them and $4.2 million to improve the city's distribution system. Additionally, the remaining $24.93 million in existing long-term debt was refinanced at favorable rates by the Authority, saving ratepayers money. "The rates right now are fantastically low," Larry B. Kulick, chief financial officer of the Authority, told the news source. "So we’re taking advantage of that." Kulik adds that the funds raised will help the SCWA continue to provide Suffolk County residents the highest quality water at the lowest possible cost. SCWA Chairman James F. Gaughran points out that "the sale of these bonds and notes are another sign that the financial community recognizes SCWA for our consistently strong financial performance."