Monmouth College will save significant interest payments by taking advantage of low interest rates. It will refinance a bond issue. The college used a portion of the city's bonding authority to pay for construction of Bowers Residence Hall
The $6 million building was completed in 2001.
City Administrator Eric Hanson says the city had to approve the change before the bond counsel could move forward.
He says, “It dramatically reduces their interest rate over several years ago. But it doesn't really have any ramifications for the city.”
15% of the state budget in Illinois this year is going toward pensions. That means there's less to spend on other needs.
The gap between what has Illinois promised employees they will get when they retire and what the state has set aside to pay those pensions is $83 billion. State government would have to completely shut down for two-and-a-half years, and use all of that operating budget money on pensions, to pay off that debt.