Article: Orange County adopts debt service reserve fund.(Orange County, California)

Orange County supervisors have approved the creation of a new debt service reserve fund that would be used to accelerate the repayment schedule on nearly $900 million of new securities issued earlier this month.

Any excess funds available at the end of the fiscal year will be placed into the reserve fund, according to a proposal submitted to the board on Tuesday by county chief executive Jan Mittermeier.

On June 4, the county's underwriters sold $760.8 million of lease backed securities and $121.68 million of refunding pension obligation bonds. The proceeds were used to pay off the county's existing creditors, allowing the county to emerge from bankruptcy ...

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