By LYNETTE SOWELL-STEVENS
Cove Leader-Press
On June 2, the Copperas Cove city council authorized giving a notice of intent to issue just over $34 million in annual certificate of obligation (CO) bonds.
Those bonds have not been issued, and at Tuesday’s June 16 workshop, the council removed or reduced several of those tax-funded projects on the list, reducing the overall issuance by approximately $2.6 million.
Originally, $6.4 million of the upcoming bond issuance would be supported by general fund taxes, as part of the city’s debt payments.
One project was to start Phase 1 of the expansion of the Copperas Cove cemetery, at $2.1 million. Councilmember Dale Treadway had suggested at the June 2 workshop to delay that project to next year. During that workshop, it was noted that the city has only about three to four years of burial space remaining if leaving the cemetery as-is.
It was noted at the Tuesday workshop that $400,000 would pay for the architectural and engineering design work, which is expected to take about seven months. This will allow the plan to go forward, and the city will look at funding the construction costs another year.
The second general fund project was for irrigation system and greens renovations at the Hills of Cove Golf Course, at $1.6 million. That project remained on the table for funding.
“We've had a number of professionals come out and evaluate the course, which have identified that the irrigation system is an issue that is preventing us from moving forward with improved course conditions,” said City Manager Ryan Haverlah. “We've replaced a number of greens already. We will continue to struggle with the existing greens if we do not do this project.”
As far as $600,000 in proposed City Hall renovations due to building leaks, the city council agreed the project is necessary but removed it from the CO funding projects. The City will pay for those renovations out of the fund balance of the General Fund.
The next portion of tax-funded bonds was purchasing equipment in the Capital Outlay Plan, $2.164 million.
The council concurred to fully fund that, as the equipment is on cycled replacement, and putting off replacement could cost more if continuing to repair vehicles and equipment that have aged out. Nearly half the proposed plan funding includes the purchase of a new fire engine.
The majority of the remainder of the bonds, $21 million, will be paid for and supported by the City’s Water & Sewer Fund.
The Water & Sewer supported funds will be used for water distribution and water treatment plant projects, along with water line replacement, particularly the South Main Street vitrified clay pipe replacement, which will cost ian estimated $4.8 million for that project alone.
Also on Tuesday, the council and Haverlah along with Public Works Director Scott Osburn dug into the details of Water & Sewer fund projects.
They recommended postponing the $1.7 million Lindsay Branch Phase One Water Extension, because the proposed Church Mountain development, to be built off Lutheran Church Road, may take care of that extension.
They also removed the Taylor Creek Lift Station Rehabilitation, approximately $920,400, because additional engineering analysis found the original proposed solution wouldn’t resolve the capacity issue.
Instead, the funds originally intended for the Lindsay Branch project would instead cover cost increases and improvements for the Settlement Lift Station improvements, the Northeast Aeration Project, and South Wastewater Treatment Plant office project, all projects already on the list.
The drainage funds ($1.7 million) will be used for seven drainage projects and equipment in the Capital Outlay Plan. Solid Waste funds ($2.4 million) will be used for Phase 1 of the Solid Waste Complex improvements, along with Capital Outlay Plan purchases. Those were left as-is on the proposed projects list to be funded.
The council also agreed to remove the Bradford Oak Subdivision Reconstruction project, $1.7 million.
Haverlah explained that the city is waiting for the completion of a comprehensive street maintenance plan that will be used to prioritize road projects citywide. The bulk of these projects will also be funded via the new street maintenance fee.
“Just as an update on the development of that street maintenance plan or program. It's currently under staff review,” Haverlah said. “There should be a couple comments provided back to our consultant, but I anticipate getting that to council within the next month, month and a half, so you can look at really that five-year snapshot of what city staff believe should be the priorities at this point, based on this limited revenue.”
The bond issuance is scheduled for Aug. 4. The city council will hear from the city’s financial planner and hear what interest rate the city will receive for its municipal bonds.
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