Council reviews $25.7M bond package; staff recommends boosting road resurfacing to about $9.39M

City staff presented a revised capital budget and bond package at a Jackson City Council meeting and recommended adding $2,392,000 to planned road resurfacing, bringing the resurfacing total to roughly $9.392 million from the $7 million previously shown in the bond package. The staff presentation listed a total bond package amount of $25,704,953 and showed a capital program with roughly $30 million in projects when carryovers and previously committed items are included.

The staff presentation tracked line items moved into an "already funded" column and identified remaining items that still need financing. Among the material changes noted were an increase in the cost for new Civic Center risers from $1.4 million to $1.6 million, an added $600,000 allocation tied to relocation and purchase costs for a proposed homeless shelter site, and a recommendation to reassign $2,392,000 of remaining funds toward road resurfacing.

Staff said the Jackson Animal Care Center budget includes prior allocations of $689,140 and an additional $300,000 requested in the bond package, for a total of about $989,140 to complete construction and final grading. The presentation also listed roughly $1,000,000 estimated for asbestos mitigation and remediation at Jackson Plaza and a cited demolition estimate near $2,000,000 to remove the existing structure before marketing or redevelopment.

Other items discussed included a $79,000 line for roof railing, an increase in a street department truck from about $260,000 to about $310,000, traffic signal upgrades that would replace loop detectors with camera systems (staff said the cameras have an expected service life of about 15 years compared with 3–4 years for loops), ADA accessibility and lighting for the Conger Park pickleball area tied to state games, and a $1.9 million request for the complete design package for a public safety complex intended to produce documents builders can use when seeking federal grant support.

Council members and staff also discussed the Jackson Plaza economic feasibility study timeline and the advantage, from a marketing standpoint, of demolishing the existing structure to present a “ready-to-build” site to developers. Staff reported TDEC (Tennessee Department of Environment & Conservation) had advised that the building is not safe to enter without hazmat gear and that asbestos mitigation is required.

Staff said the bond publication required for the issuance process would be scheduled after the meeting (publication was expected the following business day), and that a budget amendment to allocate proceeds will be brought back to the council once terms and proceeds are known. Staff emphasized there was no formal vote on the capital amendment at the meeting; the council created a plan and staff will return with the bond terms, recommended amortization and a proposed capital budget amendment.

Council members asked for clarifications on transportation supports for a homeless shelter moved further from downtown, timing on riser orders (staff said risers have already been ordered and temporary risers are out to bid for summer events), and the projected capital outlay fund balance (staff projected a range that could be between about $150,000 and $600,000 depending on allocations). Staff said work with rating agencies and bond underwriters on term options (for example, 15- versus 30-year amortization) would take place over the coming weeks and staff expected to return with that information in about a month.

No formal motions or votes on the bond package or the capital budget amendment were recorded during the meeting; staff was directed to publish the required bond notice and to return with final terms and a proposed budget amendment for council approval.

Looking ahead, staff identified next steps as publishing the bond notice, consulting with rating agencies and underwriters on terms, finalizing bid packages that will proceed when financing is available, and returning to the council with a capital budget amendment for formal action.