The Berrien County Board of Commissioners has voted to seek refinancing for a south county drain project after complaints its current interest rate is too high.

Commissioners on Thursday heard from Roger Swets of Dickinson Wright, a firm that specializes in drain district bonding. He said refunding bonds could be issued for the Streed Drain project, which is mostly in Chikaming Township.

Berrien County Administrator Brian Dissette previously told us the drain commissioner’s office last year obtained a private 20-year loan with a 5.7% interest rate to pay for it. Swets said Thursday that’s a unique arrangement.

“It was needless to say, I think you’re probably aware, an unusual financing and there are a lot of issues that we looked at that could be explored on this issue,” Swets said.

Swets said refinancing could reduce the project cost.

“Potentially approximately $1,243,000 of net present value cash flow savings from doing a refunding. That is basically what would be allowed under the terms of the existing financing document.”

However, Swets said time is of the essence because the refinancing would have to close on or before June 30. The exact savings would depend on the interest rate given to the county, but Swets said the bond market is much more favorable to projects that have the full faith and credit of a county government behind them. The amount that could be saved by the 430 individual property owners in the drainage district would vary, depending on their property values.

Commissioners later voted to seek that refinancing with the county’s full faith and credit behind it.

Dissette thanked Drain Commissioner George McManus for taking extra time to review the Streed Drain, saying McManus didn’t have to do that and that he’s “worked his tail off” since taking office.