Council authorizes publication of notice to issue up to $30 million in certificates of obligation for roads, fire station and parks

The Weatherford City Council on Aug. 12 authorized staff to publish a notice of intent to issue certificates of obligation (COs) not to exceed $30 million to fund several priority capital projects.

Bob Brooks (speaker 6) told the council the proposed financing would fund $18,000,000 for expansion and improvements to Lamar Street and Claremont Boulevard, $10,000,000 to construct Fire Station 5 in the northeast section of the city, $2,500,000 to renovate Holland Lake Park, and $1,500,000 to build a public works equipment storage facility. Brooks said the estimated annual debt service on the new certificates is about $2,400,000 and that the certificates would be secured by a pledge of ad valorem tax revenues within the existing tax-rate structure.

Brooks said the city’s available debt capacity is higher now because several prior refunding bonds mature soon, reducing annual debt service beginning in FY 2027. He said the timing is favorable to proceed with publication of the notice, which must appear in the newspaper of general circulation for two weeks and at least 45 days before council can vote on an actual issuance.

Council members asked procedural questions about term length and timing for rate-setting; staff confirmed a typical 20-year term and said interest rates would be set when the certificates are priced in September. A motion to authorize publication carried.

The action authorized publication of the notice only; the transcript records that publication dates would occur on Aug. 16 and Aug. 23 and that council would consider issuance in October when the certificates are planned to be priced and sold. Final bond terms and official vote on issuance will occur at a subsequent meeting following the required public-notice period.