SOME QUESTIONS AND ANSWERS REGARDING
THE MAY 5TH BOND ELECTION
Addressing some questions:
How do we know you won’t spend the money on something else?
- Any time Bonds are issued, the funds are, by law, only spent on what the Bonds were issued for. In this case, road work.
- A Separate Bank Account must be established
- Everything is audited by professionals.
- All of the City’s accounts are Public Record
Cost to the property owner at current interest rates:
- 27 Cents per hundred valuation
- Appraised values are public record. You can go to the following link and put your name in to see what your property is valued at: https://propaccess.trueautomation.com/clientdb/?cid=50
- Bonds will not be issued for at least 1 ½ years
- The Bonds will not be issued for at least a year and a half since we will be applying for a grant using that $2,000,000 as our 25% of $8,000,000. While there is no guarantee, there is a possibility and it is certainly worth trying as that amount would enable us to address every road in the City to some level. See Councilman Herrington’s presentation.
- Since the Bonds will not be issued for at least a year and a half and ongoing roadwork will be done in the meantime; the actual decision about exactly where the $2,000,000/$8,000,000 of roadwork would be done would have to be made at that time. An advisory committee was suggested to give input.
David Marshall (TxDot retired), Steve Melton (TxDot employee), Chris Ard (Gulf Coast road construction 23 years), Bob Mosier, David Herrington, CD Woodrome, Rowland Priddy, Cathy Bennett
Dale Freeman was also suggested as a member of committee since he was the apparent leader of the opposition group and had concerns about how and where the money would be spent. He has declined. If he wishes to reconsider, he would certainly be welcome.
How did we get here?
- Budget is limited and we are faced with failing roads.
- Not seeing any way to resolve the problem with the budget we have, we called in the experts to teach us how Bonds were issued, etc.
• Bond Training
– U S Capital Advisors education about bond issuance and how it works.
– Creighton, Fox, Johnson & Mills Attorneys are serving as our legal advisors.
Road Assessment was done by LJA Engineering
- Roads were chosen based on A&M findings and economic development
- Situation and road condition will be different by the time bonds are issued. See above.