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Council directs notice to issue certificates of obligation for library roof, fire station design and pool renovation
Summary
The council approved Resolution 788-25 to publish notice of intent to issue certificates of obligation for unbudgeted or underfunded capital needs: an estimated $400,000 library roof, $600,000 for fire station design/engineering, and $700,000 for pool repairs — a $1.7 million issuance with a posted not-to-exceed amount.
The Navasota City Council approved Resolution 788-25 directing publication of a notice of intent to issue certificates of obligation to finance three capital projects: replacement of the public library roof, design and engineering for a new fire station, and renovation of the Navasota swimming pool.
City staff told the council initial budget estimates proved insufficient after receiving contractor estimates and condition assessments. Staff presented a reimbursement resolution for $1,700,000 that allocates roughly $400,000 for the public library roof, $600,000 for design and engineering of the new fire station, and $700,000 for renovations to the swimming pool. Staff recommended publishing a notice of intent to issue certificates of obligation and set a not-to-exceed publication amount of $1,785,000 to allow flexibility if bids exceed estimates.
James Gilley of U.S. Capital Advisors, the city’s financial advisor, explained the proposed timeline: publish the notice in the local newspaper and on the city website, request a bond rating, advertise a competitive sale to investors with a proposed sale date of Monday, March 24 (bid deadline 11:00 a.m.), present final numbers to council at the regular meeting that evening, and close the transaction about 30 days later (April 24 was cited). Gilley said the advisor will market the bonds, request a rating from Standard & Poor’s, and seek competitive bids to obtain the best terms for the city.
Council members asked about bid outreach to local contractors and how bids are solicited. Staff said the city may both publish formal notices and directly invite local firms to bid and that the cooperative purchasing option (TIPS) remains under consideration for the library roof. The council then voted to direct publication of the notice of intent to issue certificates of obligation.
Motion: Motion by Mr. Gessner, second by Mr. Fulks, to approve Resolution 788-25 directing publication and posting of a notice of intent to issue certificates of obligation. Voice vote recorded no opposition.
