Knoxville Mayor Madeline Rogero has authorized the City of Knoxville Finance Department to include two resolutions on the April 3rd City Council agenda that would refinance part of its existing bond debt - ultimately saving the City more than $1.2 million per year through the next 13 years.

"We are now in a position to take advantage of the market," said Mayor Rogero. "The drop in interest rates will certainly bring long-term savings to the City and taxpayers."

The City will refinance its 2002A, 2004A and 2004B bonds, which recently became eligible for refinancing. In addition, the City will also refund an outstanding lease agreement for its Ameresco energy savings project. The project, originally funded by a lease agreement with a rate of 3.97%, will now see an interest rate of roughly 2%.

The estimated annual savings on the bonds and the Ameresco lease combined is $1.26 million per year through 2025. All of the savings are due to lower interest rates.

City Council has to approve the two resolutions. The meeting will be at 7 p.m. Tuesday in the Main Assembly Room at the City County Building.