The Troy City Council called a special meeting Thursday to beat the clock and save $1.4 million.

The council unanimously approved to refinance $11 million worth of utility and water bonds from 2011 to save over $1 million.

Financial adviser Rush Rice said the council was originally planning on taking this action in 2018, but had to snap into action after the tax reform bill passed through Congress included language that would not allow the tax-exempt refunding after January 1.

“We frankly meant to be doing this some time in 2018,” rice said. “But we had no inkling Congress was going to put a prohibition in the tax reform bill that will make issues of this type illegal after New Year’s Day.”

City Clerk Alton Starling said the refinancing won’t actually be illegal, but it would not be tax exempt, which Rice said was pointless.

“These only work because of the difference between what’s taxable and tax exempt,” Rice said. “It wouldn’t be illegal, but it would be stupid. It wouldn’t save any money.”

With the approval, one interest rate was reduced from 4.35 to 2.67 percent and the other from 4.7 percent to 2.69 percent.

“Any time we can reduce our interest rate it’s a good thing,” said Mayor Jason Reeves. “I hate we had to do it on such short notice, but this is a good deal for us.”