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Biloxi council tables $14 million bond proposal, schedules workshop to set projects
Summary
Council members tabled an intent resolution to issue up to $14 million in general-obligation bonds after a lengthy discussion over priorities, debt service and needed project lists; a workshop on the bond is set for next Tuesday at 10:00 a.m.
The Biloxi City Council on Jan. 20 postponed consideration of a resolution that would have initiated a process to issue up to $14 million in general-obligation bonds for long-term capital projects.
Council members pressed administration and bond counsel for specifics — what projects would be funded, how much each would cost and how the city would pay annual debt service — before committing taxpayers to multi-decade repayment. Finance staff estimated that borrowing the full $14 million over 20 years at the target rates discussed would add roughly $1.0 million to $1.1 million a year in debt service, though some council members noted other general-obligation bonds will be paid off in 2027, freeing capacity for new borrowing.
Mayor and staff said the intent resolution is a common first step that preserves flexibility and allows the city to seek inducement from the Mississippi Development Bank. Administrators described likely eligible uses as long-lived capital needs — roofs, generators, docks, and other infrastructure — and said the precise list would be developed and prioritized by the council.
But council members, including Mr. Marshall and Mr. Shoemaker, said they wanted a clear project list and timeline before moving forward. Some raised concerns about relying on bond financing repeatedly to meet routine maintenance needs.
After debate, the council voted to table the resolution for two weeks (to the Feb. 3 meeting) and set a workshop for the bond issue next Tuesday at 10:00 a.m. for a fuller briefing and to develop a prioritized project list to present to the development bank. Bond counsel warned that the development bank’s timetable and required public-notice periods could push formal inducement to March, but council members said they preferred to delay and craft a clear plan rather than rush to market.
If the council later approves issuance, staff said the city would complete the bank’s two-step approval process, finalize bond documents, and seek chancery-court validation; that timeline typically takes 60–90 days once the city commits.
