El Paso County refinances debt for millions in savings just before Brexit

Along with the freedoms Americans celebrate for the Fourth of July also unfortunately come some responsibilities, like paying taxes. While local government budget negotiations are going on right now, El Paso County has found a way to get some money back – without taxes.

“The average taxpayer needs to know that this isn’t going to impact their tax rate,” said El Paso County Judge Veronica Escobar (D).

Escobar and the rest of commissioners court have been going through the complicated process of refinancing some of the county’s existing debt. It may not sound exciting, but the results are – an additional $6 million that can now be put towards major county projects.

“It actually was quite a win, and I credit our team, our finance team, with that,” Escobar said. “They did a great job, and as you heard, they locked in prices before Brexit.”

Brexit, or the vote for Great Britain to leave the European Union that threw markets into chaos for a time and led to a steep drop in the value of the pound. The county’s process had been going on regardless of that vote, but came to a conclusion at a very fortuitous time.

“Before all the uncertainty in the market really began to impact governments or organizations or people who are out there in the financial world,” Escobar said.

It’s also good timing for taxpayers, as the county takes on more responsibility for urbanized areas in unincorporated areas. That’s something residents are asking for, but hasn’t been handled by the county previously.

“We are going to be able to address some pretty chronic infrastructure issues that we’ve had and make some improvements and it will not impact the tax rate,” Escobar said

While the rates and savings are locked in, the process to actually get the savings is expected to take until the fall.