The Mississippi Department of Transportation (MDOT) recently refunded Highway Enhancement through Local Partnerships (H.E.L.P) bonds, saving the state $3.8 million, according to Transportation Commissioner Mike Tagert.
Refunding bonds is a process similar to refinancing a loan to take advantage of lower interest rates. The bonds were set to be sold in January, but this was postponed after interest rates increased after the November election.
The bonds will be used for the Interstate 269 project in northern Mississippi, the largest active construction project in the state.
The work is partially complete with the first section opening in October 2015. The remainder of the project is scheduled to be completed during the third quarter of 2018.
“This is a great example of how MDOT is working to be good stewards of taxpayer dollars,” Tagert said. “By having knowledgeable staff, the agency was equipped to take advantage of market values and save the taxpayers of Mississippi millions of dollars.”
The money saved from refunding will be used for other road projects, Tagert said.
MDOT is an agency badly in need of funds to build and maintain the state’s infrastructure.
There are more than 24,000 miles of roadway in need of repair and nearly 4,000 bridges that are structurally deficient, according to the Mississippi Economic Council.