City of Winter Haven Adopts Debt Management Policy
by James Coulter
To ensure the city remains fiscally responsible with taxpayer money, the City of Winter Haven has pledged to only accrue debt for capital improvement projects and not recurring operations or maintenance.
At their recent meeting on Mon. Oct. 13, Winter Haven city commissioners voted unanimously to approve a resolution adopting an official debt management policy.
“The policy outlines the purposes for which debt may be issued, establishes limitations to ensure debt is used prudently, and sets standards for structuring, refinancing, and managing obligations,” wrote C.J. Scott, Chief Financial Officer.
The debt management policy stipulates that debt will only be used “for capital improvements” and that “debt terms will not exceed the useful life of the financed asset or project.”
Furthermore, refinancing will be permitted “when resulting in at least 3% present value savings or under compelling circumstances.”
The policy remains consistent with the City of Winter Haven Strategic Plan, specifically with its pillar of Economic Sustainability to “improve efficiency, effectiveness, and quality” while providing “investment in the community.”
