Council authorizes up to $18 million bond pledge for aquatic center improvements; resident questions bond timing

The North Myrtle Beach City Council approved a second‑reading ordinance to authorize an accommodations‑fee pledge for limited‑obligation bonds not to exceed $18,000,000 to finance aquatic center improvements.

Council members who have reviewed projections said the aquatic center functions primarily as a city amenity that has historically covered operating costs and that projected revenues from the expanded facility should offset operating expenses. One council member said, “based on the projections… I feel very confident that it'll generate the revenues to offset the operating cost.” The ordinance passed by voice vote.

During public comment, resident Dana Brown said the city currently “cannot borrow money today” because it lacks a current bond rating and urged the council to wait until staff meets with rating agencies. Brown raised the risk that an unfavorable rating could increase borrowing costs and reduce the planned financing’s value.

Council members responded that the finance team was confident the city would retain a high (double‑A) rating and noted reserve funds are held for contingencies. Staff characterized the measure as authorizing the pledge and structuring financing; final bond terms and market conditions will be determined at issuance and are subject to rating and market conditions.

Next steps: With the ordinance approved, staff may proceed with steps required for bond issuance, including working with financial advisors and rating agencies; final borrowing depends on market conditions and the city’s eventual rating.