Seguin council approves $144.6M CO authorization, budget amendments, contracts and zoning changes

The Seguin City Council on Wednesday approved a package of financing, budget and development items that included authorization to issue up to $144,600,000 in combination tax and limited pledge revenue certificates of obligation and a series of related ordinances and contracts.

In the meeting’s largest financial action, Samco and city bond counsel presented a second and concluding authorization that will allow staff to price and sell certificates next week within specified parameters. City staff and bond counsel said the city received a Standard & Poor’s AA rating and that the council’s action delegates final approval of sale terms to authorized officials. Staff said parameters capped issuance at $144,600,000, limited maximum interest to 6% and stated a maximum maturity through 02/01/2061; the amount was allocated in staff materials as $41,000,000 for general obligation projects and $103,500,000 for utility system projects. Council approved the authorization.

Council also approved two special-revenue budget amendments to fund preliminary engineering for Strumpel Road and to cover site-preparation costs for the downtown restrooms using ARPA and project balances. The council awarded a site-preparation contract for the downtown restrooms to Sullivan Contracting Services through the Choice Partners purchasing cooperative, for $136,809.57, and approved a related budget amendment.

Other items the council passed included:

- A change to the Unified Development Code and a matching update to the Seguin Code of Ordinances to adjust measurement methods and to revise the variance process for businesses selling alcoholic beverages; the revision allows convenience stores and businesses with certain levels of on-site consumption to apply for variances and replaces the prior required letter of no opposition from churches, hospitals or schools with certified notice and the public hearing process.

- A zoning change from Agricultural/AR and Public/P to Neighborhood Commercial/NC for properties on Huber Road (Property IDs 51283 and 51187 CZ15-24). Council noted no immediate plans for development.

- An amendment to the Unified Development Code to add outdoor entertainment venues (large and small) as a land‑use category; staff provided occupancy-based guidance and thresholds tied to the fire code and specific-use-permit requirements.

- A contract amendment to TriHydro Corporation for additional subsurface utility engineering related to the relocation of a force main required by the TxDOT I‑10 project; staff reported the change order amount in the meeting materials (see clarifying details).

- Award of the Walnut Branch GLO Phase 2 drainage construction contract to Ranger Excavating LP; staff said the bid process returned 11 bids ranging from approximately $2.9 million to $10.5 million and recommended Ranger as the low, responsible bidder.

Most items on the consent and action agenda carried on voice votes following staff presentations; council members who made or seconded motions were recorded in the meeting minutes and the audio record. Council also recessed the regular meeting to convene the Seguin Public Finance Corporation for the Lily Springs item and then reconvened.

Votes at a glance (selected items):

- Certificates of Obligation authorization (agenda 7a): approved; motion moved by Council Member Levens and seconded by Council Member Biesenbach. Parameters in staff packet: not to exceed $144,600,000; maximum interest 6%; maximum maturity to 02/01/2061; allocations: $41,000,000 GO projects / $103,500,000 utilities.

- Special revenue fund budget amendments (agenda 7b): approved; moved by Council Member Biesenbach, seconded by Council Member Keller.

- Unified Development Code and Code of Ordinances amendments — alcohol sales variances and measurement updates (agendas 7c and 7d): both approved on first reading; moved by Council Member Raya (7c) and Council Member Biesenbach (7d); seconded as recorded; public hearing held for 7c and 7d recessed with no speakers.

- Rezoning Huber Road from AR/P to NC (agenda 7e): approved; motion moved by Council Member Keller and seconded by Council Member Evail.

- UDC amendment to add outdoor entertainment venues (agenda 7f): approved; motion moved by Council Member Biesenbach and seconded by Council Member Levens.

- Resolution authorizing site-prep contract with Sullivan Contracting Services for downtown restrooms (agenda 7g): approved; contract amount stated in staff presentation as $136,809.57; moved by Council Member Brea and seconded by Council Member Carlson.

- TriHydro contract amendment for subsurface utility engineering (agenda 7h): approved; staff stated the change order amount in the meeting presentation (see clarifying details); motion moved by Council Member Evald and seconded by Council Member Keller.

- Walnut Branch GLO Phase 2 bid award to Ranger Excavating LP (agenda 7i): approved; low bid selected from 11 bidders; moved by Council Member Levens and seconded by Council Member Reyes.

- Strumpel Road preliminary engineering services agreement (agenda 7j): approved; professional services agreement with Halff & Associates, Inc., amount stated in the packet as $74,888; moved by Council Member Biesenbach and seconded by Council Member Carlson.

Council indicated the items would move the city’s capital program forward, allowing staff to price bonds, start site work for downtown restrooms and advance drainage and roadway engineering work for upcoming MPO funding opportunities.

Less critical: the meeting opened with remarks, invocations and staff recognitions; council recessed into the PFC for the Lily Springs discussion and then returned to adjourn the regular session.