Laredo council approves bond referendum questions and schedules May election

The City of Laredo City Council on Feb. 11 approved an ordinance to place a multi-part bond referendum on the May 3, 2025 ballot, asking voters whether the city should authorize borrowing for a set of public projects including public safety, public health, street work and a Hamilton Hotel rehabilitation.

Council members and staff spent several hours debating timing, scope and project details before finalizing a package of propositions that the city will present to voters in May. The council approved language for the election ordinance and authorized the city to contract with the Webb County Elections Administrator to run the election.

City staff opened the discussion with data on population and economic growth and noted constraints from state property-tax limits. A staff presenter said the city’s general-fund reserves include about $54 million and another roughly $32 million held for budget balancing, and that the city is carrying a general-fund balance close to 20 percent while debt-service-related reserves stood around 17 percent in last year’s budget. Council members repeatedly returned to those fund-balance and reserve figures while weighing how much to ask voters to authorize.

The council approved four propositions to go on the May ballot: a public safety proposition combining police, fire and an agreed surveillance lighting/camera component; a public-health proposition for the Laredo Health Department; a streets/paving proposition for public works; and a Hamilton Hotel rehabilitation proposition. The council also approved an ordinance calling the election and authorized the contract with the Webb County Elections Administrator for administration and early voting.

Votes at a glance - Public safety (police, fire and park surveillance/camera program): council combined previously separate police and fire packages and moved park surveillance into the public-safety proposition. The combined public-safety package as discussed included the prior department estimates (police ~ $181.79 million; fire ~$85.35 million) plus a $4.0 million surveillance element. The council approved placing the public-safety proposition on the ballot by voice vote (motion approved; recorded oppositions were noted on some related motions during the meeting). The final financing authorization and how much of the approved amounts will be issued immediately will be determined later if voters approve the question. - Public health (Laredo Health Department projects): the council approved a health proposition totaling $70,881,000 to fund a clinical/research building, first- and second-floor remodels and third-floor construction for the health department. The council approved that amount by motion and voice vote. - Streets / public works (paving program): the council approved a paving and street-rehabilitation proposition of $65,000,000. Council members said the amount represented a multi-year preservation/rehabilitation plan (approximately 30% preservation, 70% rehabilitation/reconstruction in the staff proposal). The motion to include that figure on the ballot passed. - Hamilton Hotel (affordable/senior housing rehab): the council approved a $10,000,000 proposition to renovate and return the Hamilton Hotel to service as affordable housing. The council approved placing that item on the ballot by voice vote.

How the referendum will appear and next steps Council and bond counsel discussed how propositions are grouped on ballots and cautioned the council to use language that meets statutory and Attorney General guidance. Bond counsel advised that items tied to different legal purposes (for example, traditional public-health facilities versus park lighting) are best presented in propositions that reflect the intended statutory purpose so proceeds can be spent consistent with voters’ approval and state law. The council directed staff and bond counsel to draft final ordinance language and proposition descriptions and to provide fact sheets and public information materials. City staff said they will prepare materials for public town halls and outreach; the city’s public information office will present factual summaries that staff said will avoid campaigning while explaining the proposals.

Votes and formal actions The ordinance calling the bond election, and the propositions described above, were approved by the council and staff were authorized to finalize election logistics with the Webb County Elections Administrator. Individual motions to place each proposition on the May ballot passed by voice vote or recorded voice vote; on several items the clerk recorded one or two opposed votes on specific motions. Where the transcript recorded a formal “motion passed” or “motion passed, one opposed,” this summary notes that outcome; the meeting minutes and official action record will show the formal tally.

Why it matters City leaders described the referendum as a way to fund long-standing capital needs without reducing current services. Supporters said the city’s population and employment growth, limits to property-tax revenue, and falling reserves create a case for asking voters to authorize bonds for long-lived projects. Opponents and some council members urged more time for prioritization, community engagement and scrutiny of list items and costs before seeking voter authorization.

What the ballot timeline will be The council set the election for May 3, 2025, with early voting as required. The council instructed staff and bond counsel to finalize proposition language and voter pamphlet materials, and to provide factual outreach and town-hall style briefings explaining what each proposition would fund and the anticipated tax-rate impact if voters approve the measures.

Ending note Council members underscored that approval by voters would give the city authority to borrow for the listed projects; actual borrowing and timing of individual projects would be decided later by the city if the propositions pass. Bond counsel and staff said they will return to council with finalized ordinance language and additional public materials before the election.