Town finds a way to save $560,000

The town will save an estimated $560,000 as a result of winning state approval to issue a qualified bond. Under the state’s qualified bond program, municipalities that receive approval from the Massachusetts Municipal Finance Oversight Board can use a bond rating just below the state’s rating when borrowing for specified projects. The state board on March 26 approved Saugus’s application to issue qualified bonds for current borrowing needs, and to refinance bonds issued in 2003. The town estimates that using the more favorable interest rate will save $560,000, according to Town Manager Scott C. Crabtree. He said the state’s action validated the town’s efforts to regain financial stability after last year’s fiscal crisis. Meanwhile, a Special Town Meeting on April 22 will consider appropriating about $300,000 to acquire seven new police cruisers and transferring $200,000 from free cash to the town’s stabilization account. It will also consider authorizing about $20,000 to cover short-term personnel costs in the town clerk’s office.