On Tuesday, April 4, 2023, the Hopkins County Extension District sold bonds through the KACo Finance Corporation to fund a new construction project.
The district sold bonds in the amount of $5.77 million for a term of 20 years. The True Interest Cost (TIC) for this borrowing was 3.722 percent.
One year ago, the KACo Finance Corporation issued bonds for several counties, and at that time the 20-year TIC was 2.735 percent. This was only 0.987 percent less than the rate achieved for Hopkins County Extension this month.
By comparison, the Federal Funds rate set by The Federal Reserve has increased by 5 percent.
“What this means for counties is that with good planning and effective financial management, Kentucky’s counties can still borrow at attractive rates,” said Grant Satterly, KACo Director of Financing Services. “Contact our Financing Services Team as soon as possible to learn more.”
