The county Infrastructure Bank will take advantage of the financial market's reduced interest rates that resulted from the coronavirus pandemic to refinance a bond.

The commissioners gave preliminary approval for the refinance of a 2019 general obligation note in the amount of $9.5 million to reduce the interest rate from 3.46 percent to 1.34 percent.

The total savings in the move is estimated at almost $772,000, or 8.3 percent.

Scott Shearer of PFM financial management group was thrilled with the savings the refinance will provide.

“That is extremely efficient,” Shearer said. “It's three or four times the normal threshold (of savings).”

Mark Gordon, the county chief of economic development and planning, said the successful bidder to refinance the bond is J.P. Morgan Chase.

Shearer said because the interest rate could fluctuate a few points before the deal is closed, he will draw up a document that locks in the 1.34 percent rate.

The county could refinance the new bond again in two years, Shearer said.

He recommended the option that allows a future refinance in case any of the bond's stakeholders, which are the City of Butler and Cranberry Township, would request a refinance in the future.

Leslie Osche, commissioners chairwoman, suggested that Shearer speak with those two municipalities on the option chosen before the commissioners give final approval in a few weeks.