City is Spending Your $s at Next Council Meeting

Almost the entire agenda for the next council meeting, May 12, 2015, is dedicated to spending money.  $28,653,000 of new bonds are to be issued and $8,035,000 is allocated to reissuing new bonds in place of existing bonds at lower interest rates. A short description of the new bonds follows:

2008 Road Bond	$4,450,000.00
Sidewalks & Pool Refurb	$2,520,000.00
Public Safety vehicles & Equip, 10yr	$900,000.00
Public Safety vehicles & Equip, 7yr	$700,000.00
Water Services	$750,000.00
Stormwater Drainage	$2,245,000.00
Rivery Parking Garage	$6,145,000.00
Water Services Improvements	$8,490,000.00
Electric System Improvements	$2,453,000.00
	$28,653,000.00

The 2008 Road Bonds were previously approved by the voters and this funding is to complete FM 1460 improvements.  The 7 year bonds for Public Safety vehicles is for the purchase and equipping two new ambulances.  It should be noted that the principal and interest payments for the drainage, water and electric services bonds are expected to be paid by existing fees on citizens and users.

It is interesting to note that the city has committed to funding the parking garage associated with Rivery Park, the new Sheraton Hotel, condo, and apartment complex on Rivery Blvd near Home Depot and Walmart.  A Tax Increment Reinvestment Zone (TIRZ) was previously formed to use the increased tax revenues generated by the development to pay for the bond principal and interest.  According to the agreement with the developer, any shortfall in revenue will be made up by the developer, thus mitigating tax payer exposure.

The other $8+ million is dedicated to refunding existing bonds.

		Amt Saved
Refunding Existing CO&GO Bonds	$4,350,000	$359,049
Refunding Existing Utility Bonds	$3,685,000	$46,000
	$8,035,000	$405,049

 

Watch the Money!