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City to discuss project funding


Published:
Tuesday, September 2, 2008 2:53 PM CDT
Debt financing for several capital projects will be discussed Thursday by the Brenham City Council.

The council will hold a work session at 3:30 p.m. in City Hall (200 W. Vulcan), followed by a formal session at 5:15 p.m.

City staffers have been looking at several projects that could be funded through a debt issuance, including a new water tower in the western fringes of the city to improve pressure in that area.

City Manager Terry Roberts said today that staffers will recommend that the water tower and related line work be funded through issuance of certificates of obligation, but that other potential “general fund” projects be considered for a bond election in 2009.


The Texas Commission on Environmental Quality has told city officials to take care of west side water pressure problems.

“Because of the TCEQ mandate to do the water tower, it’s not really an option we have .. to hold what you might call a ‘traditional bond election,’” said Roberts. “The recommendation of the (city’s) audit committee is to defer the other projects to ‘09.”

Those “other” projects which voters would be asked to approve might include street improvements and funding of a “quiet zone” in which railroad crossing improvements would be made so train engines could be banned from sounding their horns as they pass through the city.

The water tower project “is in the neighborhood of $5 million,” which includes just over $4 million for the tower itself, Roberts said. It would also require installation of about 2.65 miles of related line work. And other $750,000 might be included to pay for renovation of the city’s water intake structure at Lake Somerville.

The water system improvements will help a wide area of the city, he added.

“It’ll impact the water all the way from Atlow in the southwest side of Brenham to Brenham Elementary on the north,” Roberts said.


In the past, city council members have approved debt issuance through certificates of obligation, which don’t require voter approval.

But a local business owner has warned that he will spearhead a petition drive to force a vote on the debt issuance if council members again choose the certificate of obligation route.

C.H. Harvey, owner of TFE Co., has urged the council to put the issue before voters.

An election can be forced through a successful petition drive signed by at least 5 percent of the city’s registered voters.

Other workshop items to be discussed are:

  • Review of a water rate increase.

    The water department is the only city operation which had a revenue deficit, city staffers said during budget talks.

  • Amending electrical rates to include a “power cost recovery factor.”

    The Lower Colorado River Authority, Brenham’s wholesale supplier of electricity, has increased its charge for power generating costs several times this year.

  • Annexation plans.

    Formal session items are:

  • A second public hearing on the proposed tax rate of 50.42 cents per $100 property valuation.

    At the first hearing, no citizens commented on the proposed rate, which is a slight decrease from this year. However, because of increased property rolls, it will mean an increase in tax revenues for the city’s general fund.

  • Public hearings on two special use permits: for an additional office/classroom building on the Brenham Christian Academy campus at 2111 S. Blue Bell Road, and for a windshield repair/glass shop in an existing building at 3000 N. Park.

    The council will then consider action on both requests.

  • First readings of ordinances increasing water rates and implementing the power cost recovery factor in electric rates.

  • Authorization to proceed with annexation of various parcels of property. Areas being considered for annexation are:

  • An area west of Burleson Street and south of the Highway 36 Loop.

  • The area north and south of Old Chappell Hill Road, in the area of Lott Lane.

  • The area encompassing Wehmeyer’s Mobile Home Park.

  • The Westwood area on the western edge of the current city limits.

    An executive session is also on the agenda, to discuss disposition of the former police department building at 100 S. Chappell Hill St.


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