Minn. to save $46M in interest on bonds

Minnesota is refinancing some of its debt for $46 million in savings.

Assistant Management and Budget Commissioner Kathy Kardell outlined the savings at a meeting of the state's Executive Council on Monday. She says the Management and Budget agency expects to close on a refinancing deal for more than $900 million worth of bonds on Wednesday.

Kardell says the deal means an extra $33 million for the state's general fund and about $13 million for the trunk highway fund. Without the refinancing, that money would have gone out to bondholders on Dec. 1.

Republican Gov. Tim Pawlenty says he's happy about the savings.

He aims to avoid short-term borrowing as the state faces a cash crunch and prepares to spend money on flood relief.

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