San Diego Community College District is refunding some general obligation bonds issued in 2007 in a process that should save property owners within the district an estimated $2 million on their tax bills, the district said.

The refunding or refinancing is for a part of the obligations issued though the $1.55 billion Proposition S and N bond programs passed by voters in 2002 and 2006.

In addition to refunding bonds already issued at higher interest rates, the district is readying to issue some $377 million in new bonds through the same programs, the district said.

In anticipation of these issues, the district said it recently received the top credit ratings for a community college district. Standard & Poor’s reaffirmed the district’s rating as AA+ and Moody’s reaffirmed its rating of Aa1.

SDCCD said it is one of only four community college districts in California to have S&P’s AA+ rating and one of two with Moody’s Aa1 rating.

Both credit rating agencies said the marks were mainly based on the district’s “solid financial position, strong and experienced management team, impressive track record, and excellent practices.”

SDCCD serves some 130,000 students annually through three colleges and six continuing education campuses.

— SDBJ Staff Report