[{"_1":2,"_99":-5,"_100":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,87],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6247212,"mediaKeyId","3213246-62b8bdf1bc7cfb797a278fcca18f7c7f","parentId",3213246,"title","Coppell staff outline 'parameter sale' option for possible bond refunding; council asks for advisor briefing","audioSeconds",1181,"startMs",3531000,"endMs",4712000,"viewUrl","/Search/View?dp=1&key=3213246-62b8bdf1bc7cfb797a278fcca18f7c7f&start=3531&end=4712","thumbnailUrl","https://assets.pipeline.soar.com/3213246-62b8bdf1bc7cfb797a278fcca18f7c7f/thumbnail_3531000.jpg","articleUrl","/articles/6247212/Texas/Coppell-staff-outline-parameter-sale-option-for-possible-bond-refunding-council-asks-for-advisor-briefing","mediaUrl","https://secure.pipeline.soar.com/6247212-76ad091df669dd6bbee3811cfb9d9a29/orig.mp4?Expires=1775427396&Signature=cklVa-c5g8avEf4Ia~1QJ~L4M3mcSwb6XtHFNsVPHBzdtrSBuWOAUqBNkw2fK0VlJbt2l-qNKSI83P-D9kOMi-1tV0KPWgOk1TcCZdRFNSXQlIYG2c5m9DIBpVVgSW9GMgPQ9DTOnAGP9-Vm3IT3NcD74-BQMcaK5BISpI4WWDFu2RjitnX7Ry4Pa8c1rIXPlkUHcG6I9VWN6H~5B28fan7GPpkXA19Pu0CG4XpEvNEtqFwC2Q8eqNEU3dhe4c0vpOfr3Yt083xd3U83f4WlXGA2l7zk38HUM0Kg5leNkWkb6i0GMh4Mbc6wNteVR7opZn7RRR5Mwzp7d7elhvVSyw__&Key-Pair-Id=KUT5TJCACFTXG","author","City Council of Coppell TX","date","2025-05-07T16:53:01.61Z","article","Coppell finance staff updated the City Council on Wednesday about three callable bond issues and described an authorization tool called a “parameter sale” that would let the city lock in limits and allow staff or advisors to execute a refunding if market conditions improve.

Kim, finance staff, said she had been working with the city’s financial advisor, Jason Hughes of Hilltop Securities, to evaluate whether callable series could be refunded at a net present‑value savings. She summarized staff analysis showing that only the Series 2013 certificates of obligation currently show a positive net present‑value savings in today's market; two other series (2014 sales‑tax revenue bonds and 2015 COs) would not produce savings at present interest rates.

Nut graf: Because interest‑rate movements can change daily, staff described a ‘parameter sale’ — allowed by Local Government Code chapter 1371, Kim said — that would specify maximum par amount, maximum interest rate, final maturity date and minimum required savings and allow the advisor to enter the market when conditions met the council‑approved parameters.

Kim explained the parameter sale concept and the legal basis: “A parameter sale is a method of authorizing the sale of bonds where city council approves the transaction in advance, and the approval includes, setting specific limits or parameters on key terms,” and she cited Local Government Code chapter 1371 as authorizing that flexibility.

Councilmembers asked about advisor fees and competitive options. Ramesh asked whether Hilltop would charge a flat fee or a performance fee; Kim said she would confirm the fee structure with Jason Hughes. Councilmember Kevin asked whether refunding would reduce the interest‑and‑sinking (I&S) component of the tax rate; staff confirmed refunding could lower I&S payments and that timing would determine whether the reduction would appear in the FY26 tax calculations.

Several councilmembers said they wanted an in‑depth briefing from Jason Hughes before making any parameter‑sale decision. Finance staff said they would invite the advisor to a council meeting to explain parameters, fee structure and transaction mechanics.

Ending: Staff will schedule a meeting with the city’s financial advisor, provide the council recommended parameter ranges and return with a formal recommendation should council wish to adopt a parameter sale authorization.","mediaType","Video","parentTitle","City Council - 05/06/25","oneSentenceSummary","City finance staff briefed council on three callable bond issues and presented a 'parameter sale' approach that would let the city authorize sale parameters in advance and let the financial advisor enter the market if rates become favorable. Council asked staff to arrange a briefing with the city’s financial advisor.","taxTitle","Coppell, Dallas County, Texas","taxId",55075,"location","Texas","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6247217,"Coppell staff recommend $5.5 million general‑fund advance to cover stormwater projects; council signals support for transfer",0,4720000,"/Search/View?dp=1&key=3213246-62b8bdf1bc7cfb797a278fcca18f7c7f&start=4720&end=4720","https://assets.pipeline.soar.com/3213246-62b8bdf1bc7cfb797a278fcca18f7c7f/thumbnail_4720000.jpg","/articles/6247217/Texas/Coppell-staff-recommend-55-million-generalfund-advance-to-cover-stormwater-projects-council-signals-support-for-transfer","https://secure.pipeline.soar.com/6247217-39fb9253e91fd33148f351c667678ed4/orig.mp4?Expires=1775427396&Signature=Ts5ayYkSdHZSJMapxtgvd5lFElDsk8C7xSYW-C8FNozJKxhkzX1Iu7Pk2V14bXgwbYp8wFxFkuto9ogo83c9xmF9QlTOGfT8e1D3XPMx9o4xAvIX8c-C6iJmrQEfewvRC41-3XToJi2Ni-9~C26YOzvAqBOubfjaS9Vnt3xgbKFrh97z29u6ETJ1d1lX2-t3TTrPsYxoVlEecYNecN5uSp-hj5E6tF~P0KnyH-Rtbgl9rM-~iCBab8VvAKRxEGLKzz4Pxu-Jf3m1VOziwLURA~NFDrHMvpDGehalr82Q-PA-n4X7sxHrruIhR0dOOJDz4UA0GM~4Qu91nMP6C-x7gg__&Key-Pair-Id=KUT5TJCACFTXG","City staff recommended a $5.5 million advance from the general fund to the Drainage Utility District on Wednesday and a new rate study to set repayment or future rate recommendations after council discussion.

Mister Garza, public‑works staff, gave council a history of the city’s stormwater fee, noting “the original fee was adopted by council in 02/2007” to support the city’s stormwater management responsibilities tied to federal permit requirements. He said the 2019 rate study restructured fees and that the current fee now generates about $2.6 million per year.

Nut graf: Staff told council that new unfunded federal permit requirements and unanticipated erosion projects have increased projected capital and maintenance needs; a cash‑flow analysis shows the Drainage Utility District (DUD) may face a growing deficit through 2034 unless the city advances funds, issues bonds or raises rates.

Staff presented a ten‑year project list that grew after the 2019 study; the next five years of identified projects are now estimated at roughly $18–20 million and a ten‑year total near $30 million, driven by added erosion control projects and expanded scopes such as the Arborbrook Channel project (design estimate now about $1.6 million versus earlier $500,000 estimate).

Finance staff ran a cash‑flow analysis showing the fund could require roughly $3 million for operations and projects through 2029, growing to a roughly $6.9 million projected deficit by 2034 under current fees and project assumptions. To address that, staff recommended a $5.5 million advance from the general fund and an immediate rate study to inform a repayment schedule or alternatives (bond issuance, additional advances, or rate increases).

“I would recommend providing a $5,500,000 advance from the general fund and performing another rate study,” Kim said during the presentation, explaining the advance would let work proceed while staff and consultants analyze long‑term funding options.

Council discussion focused on repayment structure and alternatives. Several council members preferred a transfer (no required payback) rather than a formal loan, citing the city’s overall cash position and a desire to use existing flexibility to move projects forward. Councilmember Don said he favored a transfer and asked staff to include the transfer in the FY26 budget development and bring an agenda item for formal approval at the next council meeting. Other councilmembers asked staff to return with timeline details for the rate study and to clarify repaying options and interest assumptions if the advance were structured as a loan.

Ending: Staff will prepare the formal agenda item and include the $5.5 million transfer in the FY26 budget documents; staff will also commission or schedule the recommended rate study and return with timing and repayment scenarios for council review and a formal vote.","Public works and finance staff told the council the Drainage Utility District faces a $6.9 million projected deficit by 2034 unless the city advances funds or raises rates. Staff recommended a $5.5 million general‑fund advance and a new rate study; council members favored a direct transfer and asked staff to bring an item for formal vote.",{"_33":88,"_35":36,"_37":38,"_39":89,"_41":90,"_43":91,"_45":92,"_47":93,"_49":94,"_51":95,"_53":96,"_55":56,"_57":58,"_59":97,"_61":62,"_63":64,"_65":98,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6247221,"Coppell staff warn ‘Austin Gap’ will widen without changes to spending or revenue",3272,324000,3596000,"/Search/View?dp=1&key=3213246-62b8bdf1bc7cfb797a278fcca18f7c7f&start=324&end=3596","https://assets.pipeline.soar.com/3213246-62b8bdf1bc7cfb797a278fcca18f7c7f/thumbnail_324000.jpg","/articles/6247221/Texas/Coppell-staff-warn-Austin-Gap-will-widen-without-changes-to-spending-or-revenue","https://secure.pipeline.soar.com/6247221-328639d43cc5203cf83181a4b4095c70/orig.mp4?Expires=1775427396&Signature=c~s1rie1DfCa0gU3kbxyzhg3W5SXDl0CtebhxF5y3t9craZk9PxcL5qPIWQS~4py8ty0~bTD~lsKkER~S8YMqwUUvKHTItX2tXVf3EADV9vUpezJX3Gj2msYse8LCHy1NigXo7ukTgPy7W1VT~89WLpEBeiUaQcOxSgoyadKPYfVD67D9uyn0Tut6latqjTSes3MVCybcwESdAz9zaAba9FNwSFJI8rFWaNqJmsK5xXbsTxeRZvIpdFYspCHhiOIYZVQXBl59KCNAMOA7m6DwkLBwOM8nQQXMKJ0JOr3yTfuWORn8zlo4jX62uOq-~EPBTAo3v30AmeiIMNwYmNG3w__&Key-Pair-Id=KUT5TJCACFTXG","City staff told the Coppell City Council on Wednesday that the city’s five‑year internal forecast shows expenditures outpacing revenues under the council’s revenue direction, creating what staff called the “Austin Gap.”

Vanessa Tarver, assistant director of strategic financial engagement, told the council the forecast is “an internal planning tool” used to identify long‑term trends and prepare for the fiscal year 2026 budget. She said staff modeled existing operations plus department requests and used a 3.499 property‑tax scenario the council provided in January.

The nut graph: The forecast shows base operating costs (carried forward, salary and benefit changes, and a 4% inflation proxy) rising faster than allowed revenue growth under state limits staff cited, producing a multi‑year shortfall that staff and assistant directors are addressing through prioritization, reallocation and possible reserve use.

Staff reported the forecasted base general‑fund operating expenditures rose to roughly $79 million — including a built‑in increase for public safety salaries — and departments submitted 30 additional requests totaling about $3 million. After assistant‑director prioritization and a second retreat, staff reduced those general‑fund requests by 19 items and roughly $2.5 million.

“We use the five‑year forecast to introduce discipline into understanding that our revenues are now capped because of the Austin Gap,” Tarver said, referencing changes since statewide tax changes. Tarver and Adam Richter, assistant director of community experiences, described a two‑day assistant‑director process that resulted in ranked priorities and alternative funding ideas.

City Manager Mike Landry told council the work is already folding into the FY26 budget process and staff are preparing strategies including reorganizing roles as vacancies occur, leveraging technology and automation for routine tasks, reviewing service contracts and “thoughtfully stopping activities that bring limited value to the community.”

Council members asked for clarifications on assumptions used in the forecast. Tarver said the forecast applied a 4% inflation proxy to non‑fixed operating components and that some departmental fixed costs (for example, public safety personnel increases) were added before the inflation calculation. Multiple council members asked for the detail pages in the forecast document; Tarver pointed to detailed line items in pages 41–57 of the packet.

Several council members praised the process of assistant‑director review and said they want staff to continue seeking less‑onerous options such as reallocating transfers to enterprise funds, reducing some transfers from the general fund and searching for alternative funding sources. Staff identified near‑term strategies that included temporarily reducing transfers to internal funds and using increased interest income in some funds to offset transfers.

Tarver noted staff will continue to refine the forecast and present specific budget choices during the formal budget workshops in June and July. She emphasized the forecast is not a proposed budget but a planning tool to inform the proposed FY26 budget that council will consider at the summer workshops and in August public hearings.

Ending: Staff will return to council with detailed budget workshop materials, the formal proposed budget and tax‑rate options; council members asked staff to prepare additional comparative charts and to invite further questions so council can direct tradeoffs before adoption.","City staff presented a five‑year financial forecast to the Coppell City Council showing expenditures rising faster than revenues under the council’s 3.499 tax‑rate direction, leaving planning tools and department prioritization to close a projected gap.","actionData","errors"]

Article not found

Coppell staff outline 'parameter sale' option for possible bond refunding; council asks for advisor briefing

Coppell staff recommend $5.5 million general‑fund advance to cover stormwater projects; council signals support for transfer

Coppell staff warn ‘Austin Gap’ will widen without changes to spending or revenue