The recent refinancing saved taxpayers $93.5 million in interest costs over the life of the bonds, reflecting Frisco ISD’s commitment to responsible financial stewardship.
Frisco ISD recently completed the largest debt refinancing in District history, resulting in significant savings for taxpayers and a stronger long-term financial position.
The District continually seeks ways to be good stewards of taxpayer dollars while maintaining strong financial health. One of the most effective tools available is refinancing existing debt.
Much like a homeowner might refinance a mortgage when interest rates drop, the District can refinance bonds to secure lower rates. This process does not add new debt; it simply replaces higher-interest bonds with lower-interest ones, often with a shorter repayment timeline. The result is lower overall costs and long-term savings for taxpayers.
In early August, the District refinanced $209 million of outstanding bonds, reducing the average interest rate from 3.8% to 2.8%. This refinancing not only lowered costs but also shortened repayment by 13 years, providing more immediate debt relief and accelerating the payoff schedule.
As a result, FISD taxpayers will save a total of $93.5 million in interest costs over the life of the bonds.
The refinancing comes at a pivotal time, following the failure of the most recent bond proposition. By aggressively pursuing opportunities to reduce debt, the district demonstrates its commitment to fiscal responsibility and to lowering the long-term burden on the community.
By the numbers
This latest refinancing builds on a decade of successful debt management.
Over $1.3 billion - Bonds refinanced since 2014
$318 million - Savings for taxpayers due to refinancing since 2014