NOTES TO FINANCIAL STATEMENTS

NOTE 8. LONG-TERM DEBT

Revenue Bonds. During the year ended July 31, 2010, the City issued Series 2010 revenue bonds in the amount of $9,870,000. The bond proceeds were used to pay off a note payable to the Georgia Environmental Facilities Authority and to refund a portion of the series 2003 revenue bonds. Revenue bonds outstanding at July 31, 2014, are as follows:

During the year ended July 31, 2014, the City issued Series 2013A and 2013B revenue bonds in the amount of $6,750,000 and $2,635,000, respectively. The bond proceeds were used to refund the remaining portion of the series 2003 revenue bonds. The difference between the cash flows required to service the old debt, series 2003, and the cash flows required to service the new debt, series 2013 A & B, and complete the refunding totaled $330,775. This refunding resulted in an economic gain of $567,355. Revenue bonds outstanding at July 31, 2014, are as follows: