2018 Bond Projects - Information and Updates
Voters Approve Four Propositions for Quality of Life Projects in MWC
To fund needed improvements in our community, the Midwest City Council unanimously approved a resolution calling for a Special Election for citizens to vote on four propositions. On August 28, voters approved all four of the propositions that will meet important needs in different categories of essential city services: streets, water, parks and recreation and public safety. (For more information on each of the four propositions, click on the tabs below.)
Voter approval of the propositions authorized the City to issue General Obligation Bonds in the amount approved for all of the projects within each proposition.
COUNCIL APPROVES SCHEDULE FOR BOND ISSUANCE
At the October 9, 2018 Council meeting, the City Council approved the schedule for the three phases for bond issuance as well as the project prioritization for the three phases.
COUNCIL AWARDS FIRST PHASE OF BOND ISSUANCE
On February 12, 2019 the City Council voted to award the sale of $20 million in General Obligation Bonds to BOK Financial Securities, the lowest bidder with a 25-year interest rate of 3.17333% based on the City's excellent bond rating of AA-. Funds from the sale of the bonds will be available April 1. This is the first phase of the bond issuance schedule.
- The contract for the outdoor warning sirens has been awarded and delivery is scheduled for March. The bids are out for the installation and the contract should be awarded at the second Council meeting in March, with installation of the outdoor warning sirens expected in April.
- Negotiations are underway for the architectural firm for the new animal shelter.
Phase II will be issued in June 2019 for $11,693,250. Phase III will be issued in January 2020 for $21,954,250.
(See the Project Prioritization for each of the areas by clicking on the tabs below.)
Proposition #1 is to repair or repave 249 residential streets. Midwest City residents noted repair of residential streets as a priority in the last Citizen Survey.
We will be investing $15,965,000 in repairing 249 residential streets throughout the community.
- Street Repair (49.75%) - $7,943,425
- Street Repair (50.25%) - $8,021,575
Proposition #2 funds the Phase I reconstruction of a 60-year old water booster station and replaces a 70-year old underground storage tank with an above-ground storage tank. (Above-ground storage tank shown below.)
We will be investing $5,560,000 in our water storage and distribution system.
- Booster Station Renovation - $5,560,000
Proposition #3 includes six projects:
- Renovate the John Conrad Golf Course
- Renovate the Reed Baseball Complex
- Add two new soccer fields
- Build a new multi-purpose athletic facility
- Renovate and improve Mid-America Park
- Renovate and revitalize Town Center Park
We will be investing $21,635,000 in parks, recreation and sports facilities in the community in the following phases:
- Reed Baseball Complex Renovation - $2,060,000
Design Work - 15%
- John Conrad Golf Course Renovation and Maintenance Equipment - $309,000
- Multipurpose Athletic Facility - $1,004,250
- Mid-America Park - $309,000
- Town Center Park - $664,125
- John Conrad Course Renovation and Maintenance Equipment - $5,051,000
- Multipurpose Athletic Facility - $5,690,750
- Soccer Facility Renovation - $1,030,000
- Mid-America Park - $1,751,000
- Town Center Park - $3,763,375
Proposition #4 includes 11 projects:
- Build new Animal Welfare Center - Phase I
- Build Police/Fire training facility - Phase III
- Add two new Fire trucks - Phase I (Fire Truck Engine) and Phase II (Fire Truck Ladder)
- Build Fire tactical training building - Phase III
- Replace Fire self-contained breathing apparatus equipment - Phase I
- Replace Fire hoses, nozzles, mobile air, and command vehicle - Phase I
- Remodel Fire Station 1 - Phase III
- Add fire Fire Station exhaust removal systems - Phase I
- Replace Police and Fire radio replacement, and add another tower site - Phase I
- Replace tornado sirens, and add two new siren locations - Phase I (The contract for the outdoor warning sirens has been awarded and delivery is scheduled for March 2019. The bids are out for the installation and the contract should be awarded at the second Council meeting in March, with installation of the outdoor warning sirens expected in April 2019.)
- Improve and update the 9-1-1 Call Center - Phase I
We will be investing $10,490,000 in equipment, training facilities, and technology to help us provide quick response to calls for assistance. A new Animal Services Center is going to enable us to provide humane care for the animals and increase adoptions at the City's shelter.
Why General Obligation Bonds?
A General Obligation (GO) Bond is a low-risk loan that cities frequently use to fund capital improvement projects. The City Council views GO Bond projects as an investment in the future of our community. Many of these projects don't have fees or other sources of revenue associated with them so it is difficult to fund development, replacement, and maintenance.
Without using bonds, funding for these projects would have to come from our general fund revenues, which rely heavily on sales taxes. Unfortunately, our sales tax revenues have been flat for a number of years. After we meet our operational needs each year, there is very little left for these types of quality-of-life projects that make the community a desirable place to live.
How The General Obligation Bonds Are Repaid
The 25-year GO Bonds will be repaid by raising property taxes for residential and non-residential properties in our city. The increases are based on the property's market value.
Example: A property owner with a net assessed value of $100,000 will see an increase in property taxes of about $8-$9 per month, or about $100 per year. (There may be additional tax benefits for those who qualify. You can check with your tax consultant for more information.)
If you have questions about any of the projects, you can contact the City Manager's office at 739-1204 or 739-1202.