The village of Oswego is paying off $3 million in bonds as a result of ending its fiscal year with a general fund surplus of more than $6 million.
At the July 16 Oswego Village Board meeting, village trustees voted to pay off $3 million in bonds using the general fund surplus from the May 1, 2023 to April 30, 2024 fiscal year. The move will clear the remaining balance of the bonds that were issued to pay for Douglas Road improvements.
The village’s general fund has a fund balance reserve that exceeds the requirements of the fund balance policy. By retiring the bonds early, the village will reduce $1 million in expenditures for transition year 2024 (May 1, 2024 to December 31, 2024).
The village will save $137,961 in interest by paying off the remainder of the bond.
“The decision to pay the $3 million balance off early using our surplus funds is a testament to our commitment to financial responsibility, transparency and efficiency,” Oswego Village President Ryan Kauffman said in a news release. “We are always looking for ways to save taxpayer money. By eliminating future interest payments and reallocating $1 million during this transition year, we can further enhance our community’s services and infrastructure.”
More information about the the village’s finances is available at oswegoil.org/government/transparency.