City of Canton Secures Financing for Expansion of Municipal Water Pollution Control Plant The City of Canton has successfully secured financing for the expansion of its municipal Water Pollution Control Plant by issuing 30-year bonds with proceeds totaling $67 million. The bonds were sold with an all-in true interest cost of 1.87%. Canton is fortunate to take advantage of some of the lowest interest rates in recent history because of favorable bond (Aa3 and AA) and City (Aa2) credit ratings. When the bond offering was issued, City management and financial advisors expected rates of 2-2.50%. All were pleasantly surprised to see bids coming in under 1.9%, indicating a savings of millions of dollars in interest charges over the life of the bonds. By the time bidding was closed, 14 major investment banking firms had submitted offers. With financing now secured, the City can move forward with upgrading and enlarging the footprint of its existing Water Pollution Control Plant to manage current and future sewerage operations, which will serve Canton’s growth for many years.
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