Council authorizes joint funding amendment, approves preliminary bond ordinance for MLK Jr. Boulevard phase 3

Miss Standridge told the council that the Tuscaloosa County Road Improvement Commission adopted an amendment to the joint funding agreement to cover costs associated with phase 3 of the Martin Luther King Jr. Boulevard/Jack Warner Parkway project.

"As you can see, the total project right now is running at about $84,000,000," Miss Standridge said, and staff identified approximately $48 million needed to proceed with phase 3. She recommended a bond authorization up to $45 million to provide contingency above the immediate estimate of about $39,000,003.74.

Engineering and bond staff described the timeline: advertise bids in late winter with bids opening in March, allow about 45 days to award, and aim for construction to start in early summer, subject to validation of the financing and any adjustments required by TCRIC if bids exceed cost estimates. Staff said the preliminary bond ordinance would allow the city to begin validation, engage rating agencies and secure underwriting services.

Council members asked whether the bonds would appear as Tuscaloosa general obligation warrants to the market; bond counsel said they would appear as general obligation warrants but that internally the funding agreement with TCRIC is the source of payment and is part of the validation process. The council voted to authorize the joint funding agreement amendment and approved the preliminary bond ordinance by voice vote.

Staff cautioned that if bids exceed cost estimates the city might need to return to TCRIC for an updated agreement, which could affect the award timeline and potentially force the city to reject and rebid if award windows lapse.

The council approved the amendment and preliminary authorization to move forward with validation and bond market preparations.