Duxbury’s AAA bond rating is paying off in a big way — saving over $2.2 million over the life of the school project loan.

Finance Director John Madden announced Monday that when the town went to sell bonds to pay for the $83.447 million in town and school construction projects last week, it received the low interest rate of 2.61 percent.

“For a bond the likes of which Duxbury has never seen, it’s extraordinary,” said Madden. “This is a great day for Duxbury.”

Madden said that when the finances of these projects had been discussed before and after their passage by residents, the town used a four percent interest rate to calculate how much it will cost the public.

The lower interest rate will save residents money, Madden said. Owners of an average valued home in Duxbury will save $265 a year, paying an additional $740 in taxes instead the projected $1,000, and owners of a median valued home will save $220 year, paying an additional $610 in property taxes instead of the estimated $830.

“This is nothing but good news,” said Madden.

Overall the town will save $2.2 million, paying over $7 million in interest over the life of the 25-year bond. The total amount bonded last Thursday was $90,663,866, which was bought by Citigroup Global Markets. There were nine bidders on the bonds.

The loan will pay for the $70 million new co-located middle and high schools, the new $6.275 million police station, the new $2.6 million crematory, and the $3.7 million renovated fire station.

Duxbury first received its AAA bond rating from the bond rating agency Standard and Poor’s four years ago and through its financial practices of saving money annually, it has been able to maintain the rating.

For the past few years, town meeting voters have approved deposits of $300,000 into the town’s stabilization account, which is a special reserve account. The stabilization fund has a balance of more than $2.1 million, an amount that will equal slightly more than four percent of the town’s operating budget not including debt.

In its summary of Duxbury, Standard and Poor’s states that the town’s “financial position remains strong and consistent, in our opinion, following three consecutive years of general fund surpluses.”

Selectmen praised Madden and Town Treasurer/Collector Tom Connolly for their work in compiling the information needed to received the superior bond rating and subsequent low interest rate.

In other business, selectmen:

Learned from interim town counsel Arthur Krieger that between three to six of the 12 pending lawsuits have been dismissed or settled. Krieger gave a brief update of the lawsuits at the selectmen’s meeting. He did not go into details about the larger cases, such as the suit against the town regarding former police chief Mark Deluca or Johnson Golf Management, however, he said that the Chapter 40B Webster Point lawsuit had been settled and an agreement signed. “We’re clearing up a roster of litigation,” said Krieger.

Appointed four new associate members to the Zoning Board of Appeals: Freeman Boynton, Robert Crowell, John Baldwin and Borys Gojnycz.

Appointed Wayne Dennison of the ZBA to the Economic Advisory Committee.

Re-appointed Stewart McEntee, Robert Ali and Brian Campbell to the Recreation Activities Committee and are looking for one more person to fill a vacancy on that committee.

Appointed Richard Prone to the MBTA Advisory Board.