West Bloomfield Township supervisor Michele Economou Ureste and clerk Catherine Shaughnessy this week announced the successful restructuring of retiree pension and health care obligations, through the sale of bonds.
Michigan state law allows local governments with a Standard and Poor’s Bond Rating of AA+ or higher to sell bonds to cover municipal long-term employee liabilities. West Bloomfield's AA+ bond rating for more than five years was recently reaffirmed.
Officials say the bonds will stabilize long-term expenses and create more financial stability. During an early December meeting, officials agreed to limit borrowing to 70 percent of future costs, with bond rates no higher than 5 percent.
The bond sale, which closed Dec. 23, "went extremely well,” Ureste said. “We are very happy with the results of the sale."
“By working together, the Supervisor and myself have placed West Bloomfield in a much more stable financial situation for future years," Shaughnessy added.