TITLE
Consider an ordinance authorizing the issuance and sale of the City of Killeen, Texas, Combination Tax and Revenue Certificates of Obligation Series 2014.
SUMMARY
AGENDA ITEM
Consider an ordinance authorizing the issuance and sale of the City of Killeen, Texas, Combination Tax and Revenue Certificates of Obligation Series 2014.
ORIGINATING DEPARTMENT
Finance
BACKGROUND INFORMATION
The City of Killeen has identified approximately $20,000,000 in projects relating to general government activities. These projects include constructing, improving and repairing city fire facilities and community service facilities as well as completing various street projects. In 2002, voters approved the issuance of General Obligation debt in the amount of $64,295,000 for streets, public safety improvements and parks and recreation projects. $6,190,000 has been unissued to date.
It is recommended that the remaining General Obligation debt in the amount of $6,190,000 be issued along with Certificates of Obligation Debt in the amount of $13,950,000 to fund these projects. Additional funds in the amount of $140,000 will also be needed for debt issuance costs.
DISCUSSION/CONCLUSION
In order to fund these projects, Certificates of Obligation debt in the amount of $13,950,000 will be issued. Council approval is necessary for the city manager and city staff to proceed in preparing necessary documentation and publishing the appropriate notices required by the Local Government Code.
FISCAL IMPACT
The Certificates of Obligation will be repaid by property tax receipts.
RECOMMENDATION
Staff recommends that the attached ordinance authorizing the city manager and city staff to proceed with the issuance of the City of Killeen, Texas, Combination Tax and Revenue Certificates of Obligation be approved.