Caddo Parish Commission approves limited-tax bonds to fund pickleball complex

The Caddo Parish Commission on Thursday approved the issuance and sale of limited-tax revenue bonds to finance a proposed pickleball complex, voting 11 in favor and 1 opposed.

Grant Schluter, bond counsel with Foley Udell, told the commission the ordinance authorized up to $10 million in bonds and that pricing produced $9,615,000 in principal while generating a construction fund equal to the full $10 million because of the premium on sale. “You obtained a rate of 3.97%,” Schluter said, summarizing the financing terms and noting the bonds were scheduled for delivery the following Wednesday.

Schluter and municipal adviser Dee Dee Riggins said Standard & Poor’s assigned a very strong rating (double A-plus) to the transaction, citing Caddo Parish’s strong reserves and low debt. Schluter told commissioners that those credit features helped secure the low interest rate and reduced the cost to taxpayers.

Commissioners discussed project cost control and how the loan will be repaid. Commissioner John Atkins urged value engineering to limit costs while preserving the project’s utility. Commissioner Jean Paul Young asked whether property taxes would be used to repay the bonds; Schluter said operating revenues from the facility are expected to cash-flow the debt while the commission’s constitutional millage serves as a backup pledge to support the rating and security for the bonds.

Commissioners also noted non-tax revenue sources — such as oil-and-gas and riverboat gaming revenue — could be used to backfill a shortfall if needed. The ordinance was moved and seconded on the floor and carried with an 11–1 vote.

Next steps: The bond delivery and related closing steps were scheduled to proceed as outlined by bond counsel.