Council approves funding for major street projects
SEGUIN, Texas – On Tuesday evening, City Council approved funding for major road improvement projects through the issuance of Certificates of Obligations financing. Ratings of the city were recently released by two rating agencies. Their analysis of Seguin’s economic outlook and current city management practices contributed the city receiving low interest rates on the certificates of obligations.
Fitch Ratings assigned the City of Seguin a ‘AA’ rating and a stable outlook. According to their report, “the city realized strong revenue growth over the past 10 years through tax base expansion and increased economic activity that seems likely to continue”. Standard and Poor’s rated the city a ‘AA-‘ with a positive outlook.
The city received five bids for the certificates of obligation. City Council accepted the bid from Bank of America/Merrill Lynch with a 3.76% interest rate.
The city budgeted about $10.3 million for the street reconstruction projects in fiscal year 2017 funded through $8.8 million in certificates of obligation with the remaining balance coming from carry over funds from the FY2016 Street Project Funding. Metropolitan Planning Organization funding is being utilized to pay for portions of the Tor Drive and Rudeloff Road projects.
2017 Street Projects:
Heideke Street/Drainage System Project – scheduled to bid in Jan. 2017
Tor Drive Reconstruction & Expansion – scheduled to bid in 1st quarter of 2017
Hidalgo (Kingsbury to New Braunfels)
Roosevelt Street (Austin to Woodlawn)
Avenue C (Guadalupe to Avenue D)
Avenue B (Guadalupe to Ave. D)
North King Street (Seideman to railroad tracks)
Rudeloff Road Phase I, engineering and design (SH 46 to Huber east of softball fields)
Miscellaneous in-house Street Rehabilitation Projects
Click here to view official media release.
Posted by: Morgan Ash