At the City Council Meeting on June 14, 2022, the Council passed a Resolution giving Notice of Intention to Issue Certificates of Obligation. The attached ordinance provides for the Town's issuance of Certificates of Obligation in an amount not to exceed $13,000,000; that amount encompasses the proposed streets, infrastructure and issuance costs related to the reconstruction of Midway Road and water and sewer utility improvement projects. These proceeds from these certificates of obligation will be used for the following purposes:
- On November 13, 2018, the City Council directed the City Manager to pursue issuing Certificates of Obligation to fund a portion of the budgeted $41 million reconstruction of Midway Road. In 2012 voters approved $16 million in funding for this reconstruction project. The Town issued $15,000,000 in Certificates of Obligations in 2019 for the purpose of reconstructing Midway Road with a $10,000,000 in Certificates of Obligations included in this issuance. This will complete the Certificate of Obligation issuances for the Midway Road Project.
- $3,000,000 in Certificates of Obligations are for the purpose of funding planned capital improvements projects related to water and sewer utility improvements over the next two to three years including: Lake Forest Drive Utility Improvements, Surveyor Pump Station Electrical Upgrades, and Beltway Drive/Belt Line Road Water Main Replacement.
Certain details concerning the Certificates of Obligation will not be known until the completion of the sale on August 9, 2022. This information will be made available at the Council Meeting on August 9, 2022 prior to the discussion of this item. The ordinance will also be updated prior to the meeting.
The Town of Addison maintained an underlying bond rating of "AAA" from Standard and Poor's and an "Aaa" from Moody's. |