The Tahoe Truckee Unified School District has completed the sale of its 2026 General Obligation Refunding Bonds, Series A (SFID No. 1) and Series B (SFID No. 2), refinancing older debt and generating significant savings for local taxpayers.
The transaction refinances bonds originally issued in 2002 and 2014, locking in lower interest rates of 2.94% for Series A and 3.13% for Series B, replacing earlier rates that reached as high as 5.0%.
District officials said the refinancing produced $13.65 million in savings, exceeding the $8.5 million projection made when the Board of Education approved the plan in late 2025.
The strong outcome was tied in part to the district’s ‘Aa1’ credit rating from Moody’s Investor Service, which cited prudent fiscal management, experienced leadership, and a strong local tax base.
That rating helped draw competitive interest from investors, resulting in 16 bids for Series A and 10 bids for Series B. Jefferies LLC was awarded both series after offering the lowest borrowing costs.
"This 'Aa1' rating is a testament to our disciplined budgeting and long-term planning," said Todd Rivera, Assistant Superintendent and Chief Business Officer. "Our strong credit profile allowed us to secure the lowest possible rates, which translates directly into lower property tax bills for our residents."
The district noted that while it does not retain the savings for operations, the refinancing reflects its effort to manage voter-approved funds efficiently.
“Our community is incredibly generous in its support of our schools, and we take our responsibility to be good stewards of those funds very seriously,” said Kerstin Kramer, Superintendent and Chief Learning Officer of the District. “We are so pleased to be able to give this financial win back to our community. It’s a direct result of our team’s careful, long-term planning, and I’m thrilled that we could deliver savings that went so far beyond our original goals.”
The refinancing is scheduled to officially close on May 5.
