Council approves shared funding plan for Avalon, Thomason and Wadley improvements after split 4-3 vote

The Midland City Council voted 4–3 on Aug. 26 to approve two capital improvement development agreements with Midland Independent School District that will pay for roadway and utility work connected to the Midland High and Midland Lee school projects.

The agreements allocate joint construction for Avalon, Thomason and Wadley corridors. City staff told council the total program price is about $27.5 million; staff estimated the city’s portion at roughly $18.2 million and MISD’s contribution at about $9.4 million. Council members and staff said the total includes base bids plus optional alternates; if the council approves only the base bids staff estimated the city’s near-term obligation would be lower — roughly $11 million — and the council retained the option to decline add alternates if bids come in high.

Council and staff emphasized two contract terms they said were important to the city: a not-to-exceed cap on the city’s payment and an arrangement that lets MISD manage the construction as part of its overall campus construction. City staff said the approach was designed to lock in current prices while allowing MISD to control the schedule so the school openings are not delayed by separate, city-managed construction.

Why it mattered: Council members who opposed the agreements warned that approving the city’s share would set a precedent for the city paying for infrastructure that developers or other taxing entities typically fund, and they repeatedly said the projects should have been included in MISD’s school bond. Council members who supported the agreements said delaying the improvements risks serious local traffic congestion and safety issues at the new campuses and argued the shared approach could save time and money compared with staggered construction.

Funding and timeline questions: City staff told council the project includes base work required to make each campus function and add alternates that would complete the full roadway cross sections. The agreements call for staggered city payments (three tranches) tied to construction milestones; staff said that approach lets the city lock in current prices while deferring cash outlays over several fiscal years. The council did not approve any city bond issuance at the meeting; staff said options for the city to fund its share could include enterprise funds and other measures that would be presented to council if needed.

Council debate and outcome: Discussion spanned funding sources, precedent and public-safety risks. Several council members said the school bond process should have included the road projects or otherwise anticipated them; others stressed that the roadway work had been in the city’s 10-year capital improvement plan and would have been needed eventually even without the schools. After debate, the council approved the Lee‑school agreement (item 24) by a 4–3 vote; the council approved the Midland‑school agreement (item 25) by the same 4–3 margin.

Ending: City staff said they will present detailed funding plans for any add alternates before the council commits to those extras, and staff reiterated the council would retain final authority to approve or decline alternates based on bid results and funding availability.