May 14, 2024 City Council Recap
The Midland City Council convened for a general meeting on Tuesday, May 14, at 10 a.m. at City Hall, where the Hogan Park golf course and sanitation department took precedence on the agenda. A key focus was the initiation of proceedings to issue a $31 million certificate of obligation (CO) bond to address determined needs for both items.
Planning and Development Officer Elizabeth Triggs outlined the proposed projects for the golf course, encompassing $11 million of the total bond. Projects include $6 million in irrigation system replacement, $3 million for an RO system, and an additional $2 million for renovations and a master plan.
The city will increase course fees, effective July 1, 2024, which they expect to yield an additional $959,000 annually. City staff informed the revenue would cover the annual debt service for the golf course segment of the bond, which will reportedly span 20 years with a 4.4% interest rate.
City Manager Tommy Gonzales underscored the city’s commitment to ensure that enterprise funds, such as the golf course and sanitation services, are financially self-sufficient without relying on taxpayer subsidies from the general fund. Gonzales reiterated the assurance from city staff that the bond pays for itself through user fee increments rather than property tax hikes.
Assistant City Manager Jose Ortiz detailed the allocation of bond funds for the solid waste department, including $7.8 million for two new citizen collection stations, $3.5 million for landfill entrance road reconstruction, and $7 million for essential equipment. To address the department’s needs, the city proposed a phased fee increase of $2 followed by incremental increases until reaching $4.
The council deliberated over the consent agenda items on the CO bond and the long-term capital improvement plan for the golf course and sanitation department. Mayor Lori Blong emphasized the potential for project scope adjustments pending further information, as the bond sale occurs in late July. Both items received unanimous approval from the council.
Subsequently, Utilities Director Carl Craigo presented an overview of the city’s comprehensive water study, emphasizing the department’s commitment to securing a 100-year water supply. Plans included addressing infrastructure needs and considering rate adjustments to align with today’s operational costs. Craigo indicated intentions to discuss a CO bond for a new sewer main in the northeast at the next council meeting.
The council recessed into executive session shortly after noon. The next city council general meeting is scheduled for Tuesday, May 14, at 10 a.m.