Ocean City yesterday held a major bond sale, and we’ll pay a net interest rate of just 2.2 percent on the bonds that will allow us to maintain our aggressive program of road and drainage improvements and other infrastructure projects.
Ocean City received 41 bids from nine different banks and financial institutions through a competitive process. Bonds in the amount of $85 million will be awarded to JP Morgan Securities. The outstanding interest rate was a result of the stable and conservative financial practices that led the Standard and Poor’s Rating Services to assign the city an “AA” bond rating.
Due to hitting the market at an ideal time, the city also will save $300,000 to $400,000 over what we would have expected to pay if we had held this bond sale earlier in the year.
Ocean City’s bond rating is among the highest of any shore community in the State of New Jersey. It is based on our sizable tax base and annual revenue, consistent finances, strong fund balance, good management practices, and low overall debt compared to market value.
This is outstanding news for Ocean City. Our taxpayers have been well-served by the fact that the city team and City Council continue to follow sound financial management practices.
I will be holding a town hall meeting at 9:30 a.m. Saturday, Oct. 19 at the Ocean City Tabernacle. I will break the meeting into two sessions. The first will be an update on our 2019-2020 bayside dredging plans. At 10:30 a.m., we will switch over for an update on our island-wide flood mitigation plans. Everybody is invited to learn more about this important work.
I want to remind everybody to use caution on the Route 52 causeway, Bay Avenue and Fifth Street on Saturday as thousands of bicyclists participating in the MS City to Shore Ride arrive in Ocean City.
This annual event raises millions of dollars for the National Multiple Sclerosis Society. I hope you’ll welcome the riders, thank them, and make them feel at home here in Ocean City. Many will spend the night and make the return trip on Sunday morning.
I also want to remind you that detours will be in effect for both directions of Bay Avenue between 24th Street and 34th Street starting on Monday as the Cape May County Municipal Utilities Authority continues its wastewater main replacement project. Please follow signs and use West Avenue for travel across this part of town.
The forecast also looks great for the Corvette Show 11:30 a.m. to 4 p.m. Sunday on the Boardwalk from Sixth Street to 14th Street. It’s always fun to stroll the boards and check out these great cars.
Ocean City Beach Patrol lifeguards will be on duty at eight beaches this weekend. Their season will end after Sunday.
I hope you all have a great weekend.
Mayor Jay A. Gillian