WS Chronicle

Staff Report

Winston-Salem Chronicle

During its regular meeting on Monday, April 6, the Winston-Salem City Council unanimously approved the final steps to issue $10,440,000 in “two-thirds” bonds to fund a variety of infrastructure, housing, and public safety initiatives across the city.

The council also authorized an additional $37.8 million in refunding bonds, a strategic financial move aimed at refinancing older city debt to secure better interest rates.

Chief Financial Officer Kelly Latham presented the sweeping financial package to the council, explaining that the $10.4 million in new debt is earmarked to finalize community investments that have already been set in motion.

“This item comes before you to approve the final steps to issue two-thirds general obligation bonds in the amount of 10,440,000,” Leam told the council. “These are for projects previously authorized. Many of the projects are complete and well underway, so at this time it is necessary to do the bond issuance.”

The $10.44 million in newly issued GO bonds is broken down across five key areas of city improvement:

• Streets and Sidewalks: $6,612,190

• Housing: $2,000,000

• Public Facilities: $1,130,600

• Parks and Recreation: $449,345

• Public Safety: $247,865

In addition to the new funding, the council addressed the city’s existing debt by approving a massive $37.8 million refunding bond order. This measure gives the city the flexibility to refinance bonds originally issued in 2016.

Latham noted that the actual execution of the refinancing will depend entirely on the economic climate. “If the rates are favorable as of today, rates are still fluctuating and there’s a lot of volatility in the market,” Latham explained. “So as of today, we would not do that, but if it improves by June, this just gives us the authority to do that.”

Council Member Robert Clark, Chairman of the Finance Committee, moved to approve each of the bond orders and reiterated the purpose of the refunding measure before the final vote.

“I do want to reiterate, all the previous bonds were new bonds,” Clark clarified for the public. “These are refinancing existing bonds, hopefully at a lower interest rate.”

The rapid succession of approvals required seven separate votes, prompting a lighthearted moment from Council Member Clark at the conclusion of the financial docket. “I wish I got paid by the motion,” he joked, before the council moved forward with the rest of the evening’s agenda.

All bond orders, including the master resolution authorizing the 2026 bond issuances, passed without opposition following individual public hearings that drew no objections from the gallery.