SPRINGFIELD, Mo. — City Utilities (CU) says it will be able to save $1.3 million each year for customers after refinancing its bonds.
In February, the City Utilities board approved a plan to refund its revenue bonds and issue new bonds with a lower interest rate, which Springfield City Council approved in March.
The new bonds were officially issued on June 18, and savings will begin in 2026. According to CU, they waited to finalize the issuance due to market volatility in the Spring.
Cemetery access cause for controversy in Springfield
City Utilities was originally issued $615 million in bonds to construct Unit 2 at the coal-powered John Twitty Energy Center, and the bonds were eligible for refunding every 10 years.
CU says they were able to issue new bonds due to having some of the highest ratings for public utilities on their revenue bonds from agencies such as Fitch Ratings and S&P, which gave them an AA and AA+ rating, respectively.
The remaining debt on the bonds is $307 million and CU projects to have them paid off by 2036.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
For the latest news, weather, sports, and streaming video, head to KOLR – OzarksFirst.com.