Brownwood City Council took the first step during the regular meeting this week to start the process to secure certificates of obligation for future street and facility improvement projects. The council approved a resolution to authorize a Notice of Intent to issue Certificates of Obligation for $3,000,000 during the next council meeting on April 26th.
According to City Manager Emily Crawford, there is a remaining balance of $335,000 from the 2012 bond funds and $230,000 in funds budgeted for street work this year.
A wish list of streets needing repairs that the city would like to repair total approximately $1,283,000 according to city officials. One of the largest projects on this list, the repair of 4th Street, one of the most heavily traveled through streets in town, has been estimated at $400,000 just for the one street. Other projects and improvements to be finished or in need of repair are the soccer complex bleachers, repair to a leak at the Aquatic Center, park improvements and a chiller and cooler unit at the Brownwood Coliseum, to name a few.
Brownwood Mayor Stephen Haynes stated that he wanted to see the city finish up the street improvement projects in the near future. He explained that major street projects cost more than what the city budgets each year so the only way to complete these major projects is to obtain such financing.
“My thoughts are that financing is pretty cheap now with the current rates, I would hate to see that (street repair) stop,” said Haynes. “I think we need to maintain the course and continue to make this a priority.”According to City of Brownwood Finance Director Walter Middleton, the cost of financing $1 million dollars is $40,000; $2 million will cost $45,000; and $3 million is $50,000. To finance the $2 million dollars would be a budget neutral choice, in that the 2003 bond will be paid off in 2018 and will free up more than $200,000. To finance $3 million was not that much more of an expense to have access to more money to do much needed maintenance and improvements on city facilities which will be more expensive the longer they are put off, according to Mayor Haynes.
“My concern is that if we borrow $2 million dollars and put off some of these repairs, such as the cooler at the Coliseum, then we are back at having to finance with a higher cost of issuance,” said Haynes who stated that he would support either the $2 million or $3 million options. “I want to see us remain committed to street repair.”
Middleton explained that the terms of financing the $3 million for 15 years with a 3-year wraparound would be a $100,000/year increase or 0.00323% in the city’s yearly budget, considering the money freed up by the 2003 bonds being paid off in 2018.
The council did not vote to incur any debts at this time, but to direct staff to bring a resolution to issue notice of intent to issue the Certificates of Obligations, and what amount they want the city staff to bring to the council at the next meeting.
This is very early in the process and the public is given a period of a month to give comment or object to this process, Middleton explained. He further stated, “$3 million dollars really doesn’t go as far as it used to, in the terms of a $30 million budget, this really is not that much.”
Councilman Draco Miller supported the $3 million in COs, “It’s always easier to borrow more when you don’t have to use all of what we have instead of borrowing less and then having to go back before citizens and say ‘oops we need another $1 million or $2 million, to do what we need.’”
Crawford stated that the city staff will access potential projects that are needing repairs, both street and facility/park improvements, and will prioritize those projects based on safety issues and maintenance. Council will make their decision based on these recommendations.
The notice will discuss the terms very broadly before the financing is approved. Then the manner in which the funds will be spent (specific projects) would be determined at a later time.
Council voted 3 in favor with 2 opposed (Councilmen H.D. Jones and Ed McMillian). McMillian clarified that he was not in favor of the $3 million option; however he was in favor for the $2 million option and in favor of making needed city improvements.
In other matters on this week’s council agenda:
*Council revoked a donation of a baler to the City of Munday after receiving notice that the City of Munday no longer needed the baler due to discontinuing its recycling programs. The baler will be donated to the West Central Council of Governments, which originally gave the City of Brownwood a grant in 1997 to purchase the baler. WCTCOG will ten find a suitable host for the baler within the region.
*Council approved a resolution declaring old city vehicles and equipment surplus property and authorized staff to sell, scrap or donate the vehicles to a nonprofit. According to city officials, these items include vehicles, trailers, air packs and hoses from the fire department and scoreboards. The vehicles and trailers will be offered on auction at govdeals.com. The fire equipment will be donated to local volunteer fire departments in need and scoreboards will be offered to nonprofit organizations.
*Council awarded the Camp Bowie Walking Trail Project contract, in the amount of $284,140.25 to Pruett Concrete & Construction LLC and authorized the city manager to execute any change orders. The City of Brownwood was awarded a $200,000 Recreational Trails Grant from the Texas Parks and Wildlife Department in May of 2014. Under the contract, the project must be completed by June 2018 and will consist of an 8-foot wide, approximately 2 mile long walking trail composed of concrete and asphalt. The first 235 feet of the trail will begin at the Brownwood ISD Middle School has been completed along with 930 feet of trial through the soccer complex.
Three bids were received for the 6.664 feet of concrete section of the trail. The estimated cost by TPWD was $445,000. Total estimated expenditures to date are $31,006. Items remaining include asphalt portions of the trail, curb and gutter, cross walks, signage, benches, and striping.
*Council approved a Public Improvement Development Agreement with Brownwood South Hampton Homes, LLC for Waterstone and authorized the mayor to sign it. This development is located at 4th Street and Waterstone Drive, formerly Vicksburg Court, and will be a 9.353 acre gated development of 28 units: duplexes, a fourplex, single family homes, club house and a pool. The first phase of development will be 12 units, totaling a value of $1.9 million and will be built within two years.
*Council authorized the mayor to execute a contract for Digital Aerial Mapping, Imagery and GIS Data Products with United Geo Tehnologies, authorize the city manager to execute any change orders and authorize the use of capital funds for this project. This was previously done in 1995 and 2007. United Geo Technologies provided this service in the past and submitted a proposal for professional services for $140,000 (cost to be shared by the Brownwood Economic Development Corporation and the Landfill at $20,000 each). The remaining $100,000 cost will be financed through a 5-year capital lease in the Public Works Department. The topographical map is used by engineering to develop plans for street, water, and sewer projects. It is also used for GIS mapping purposes, exhibits, printouts and more. It is used by the floodplain administrator in determining ground elevation in relation to base flood elevations. It has also saved developers and the BEDC time and money by providing the base elevation information when it is time to survey a property for engineering and construction. It helps the BEDC in making decisions about purchasing property for future development. It will also include data on the landfill which will provide the city with elevation changes since the last flight. An accurate aerial survey of the landfill greatly enhances the city’s ability to predict its life span and give more accurate fill quantity information.
*Council accepted the donation of 10-14 railroad signal lights currently being retired from the Burlington Northern Santa Fe Railroad and authorized the city manager to sign the donation agreement. Some of the signal lights being taken down are from the 1940s and represent a significant portion of railroad history. The Lehnis Railroad Museum has requested some of these older signals, complete with poles, in order to display them on the campus of the museum, including the mini train area.
*Council approved the mayoral appointment of Jerry DeHay to the EMS Committee. Councilman DeHay has served on the Ambulance Committee since 2007. The committee has reorganized with the Lifeguard EMS, and is now the Brown County EMS Advisory Council. Brown County has requested the appointment of a representative of the City of Brownwood. Fire Chief Del Albright also serves on this committee.
