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Discuss and affirm the costs associated with the projects for the 2024 Bond Election.
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BACKGROUND:
At the August 15, 2023, City Council meeting, Councilwoman Tina Bennett-Burton requested to consider a Bond Election in 2024 to address the City's needs. The City has debt rolling off in February of 2024, and to keep the Interest and Sinking (I&S) rate low and address the needs of the City, the City recommends replacing the debt that is maturing by issuing $13 million in General Obligation (GOs) bonds ($8 million) and Certificate of Obligation (COs) for $5 million. The COs for $5 million will be allocated for the construction of the new Dispatch Center building (NTECC). The total amount needed for the NTECC is $20 million. NTECC facility provides services to four cities, i.e., Addison, Carrollton, Coppell, and Farmers Branch. Farmers Branch share is $5 million. The staff also proposed using the remaining $8 million to issue the General Obligation Bonds. However, GOs will require the City to hold a Bond Election. This "new" debt will not change the I&S rate if approved.
Upon the City Council's direction, the discussion on the potential bond election was initiated on October 10, 2023. The City Council requested additional information, which was presented to the Council during a Study Session on October 24, 2023. During the October 24, 2023, meeting, the Councilmembers discussed the possibility of conducting the 2024 Bond Elections in November rather than May 2024.
During the November 14, 2024, Study Session, after considering the cost of special-called elections in November 2024 and the Presidential Elections, which are also slated for November 2024, the Council provided guidance on conducting elections in May of 2024 and holding Bond Town Halls. At the December 12, 2023, City Council meeting, the City Council decided to allocate $5 million in COs for the construction of the Dispatch Center (NTECC) and $8 million in General Obligation Bonds for the ...
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