NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION FOR THE CITY OF SULPHUR SPRINGS, TEXAS

NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION FOR THE CITY OF SULPHUR SPRINGS, TEXAS

The City Council of the City of Sulphur Springs, Texas will consider the passage of an ordinance or ordinances authorizing the issuance of one or more series of interest bearing certificates of obligation in the principal amount not to exceed $12,000,000, for paying all or a portion of the City's contractual obligations to be incurred in connection with the following public projects: (1) street and road improvements and related drainage, signage and lighting; (2) constructing and improving the City’s water and sewer system consisting of new water and sewer lines; and (3) paying fees for legal, fiscal, engineering, architectural and other professional services in connection with these projects.  Such certificates are to be made payable from ad valorem taxes and a lien on and pledge of surplus revenues of the City's waterworks and sewer system.  The certificates are to be issued, and this notice is given, under and pursuant to the provisions of Texas Local Government Code, Chapter 271, Subchapter C.

The City Council tentatively proposes to adopt the ordinance or ordinances authorizing the certificates of obligation on first reading at a meeting to be held at 7:00 P.M. on July 2, 2024, and on second and final reading at a meeting to be held at 7:00 P.M. on July 16, 2024, such meetings to be held at the City Hall, 201 North Davis Street, Sulphur Springs, Texas. 

The following information is provided to comply with Tex. H.B. 477, 86 Leg., R.S. (2019). The current principal of all outstanding debt obligations of the City is $31,195,000.  The current combined principal and interest on all outstanding debt obligations of the City, paid on time and in full, is $37,282,384. The maximum principal amount of the certificates to be authorized is $12,000,000 and the estimated combined principal and interest required to pay the certificates to be authorized on time and in full is $22,468,000. The maximum interest rate for the certificates may not exceed the maximum legal interest rate.  The maximum maturity date of the certificates to be authorized is September 1, 2054. The above information does not exclude any outstanding debt obligations the City has designated as self-supporting. Information regarding the certificates and all other debt of the City may be obtained by contacting the City Manager’s Office, City of Sulphur Springs, 125 S. Davis St., Sulphur Springs, TX 75482; 903-885-7541 sulphurspringstx.org.