North Carolina county planning $124 million of bonds

The Iredell County, North Carolina, Commission approved $124 million of general obligation and limited obligation bonds, with proceeds used to build a high school, but the bonds still need approval from the state.

The commission by a 5-0 vote agreed to sell GOs — expected to have serial maturities from 2026 to 2045 — not exceeding $83.99 million and limited obligation bonds not to exceed $40 million.

The county expects to competitively sell the GO bonds on Feb. 11 and the limited general obligation bonds on Feb. 13, according to Fort Tryon Advisors, the county’s municipal advisor.

The county anticipates an interest rate on the GOs of 3.6% or a bit lower, said Caroline Taylor, finance director.

County Commission Chairman Bert Connolly noted that when the bonds were first considered in 2021 the GO rate would have been about 1.5%. “So, time has consequences,” he told the fellow commissioners.

The limited obligation bonds will also have a final maturity of 2045. Taylor said she expected these bonds to have an interest rate around 3.7%.

Sale of the bonds is contingent on North Carolina Local Government Commission approval, which approves most bonds.

Womble Bond Dickinson LLP will serve as bond counsel.

As of the end of 2024, the county had $115.8 million of GO bonds outstanding.

Iredell County is about 10 miles north of Charlotte.