City to take out $21.6M loan for waste water plant

In an effort to save money on interest payments, the city is taking out a loan from Infrastructure Ontario.

This is to pay off construction debt for the Mattagami Waste Water Plant on Airport Road.

The loan is set for 20 years at $21.6 million, and the debenture rate on the loan is just 2.84%.  We say just because the city originally budgeted the loan at 3.31%.

Treasurer Jim Howie says with the interest rate so low, now was a great opportunity to act.

It’s expected this loan will help save the city around $1.24 million in interest.