Gautier Will Refinance Bond

The city of Gautier will refinance the Gautier Utility District's $27 million bond debt at a lower interest rate. Members of the City Council and the utility district board reached an agreement Monday night to refinance the debt at a $3 million savings, said Mayor Ken Taylor.

The move is part of Gautier's plans to annex a 24-square-mile area. In May, a chancery court judge decided to allow Gautier to annex the land, a move that will nearly triple the size of the city. Some of residents in the annexed area have appealed the decision. Gautier's property taxes would be reduced if the annex is allowed, Taylor said.

The city would be required to assume operation of the utility district and replace property taxes by using utility revenue, he said.