Newport News City Council OKs issuing $82.8 million in bonds for future capital projects

Source: http://www.dailypress.com/dp-nws-newport-news-city-council-bonds-20180213-story.html

The Newport News City Council gave staff the authority Tuesday night to issue $82.8 million in bonds — when they are ready to go to the market — for future capital projects.

The authorization happens annually as budget staff seeks financing for capital projects that are outlined in the annual capital improvements plan. That plan prioritizes city projects over five years.

These are projects that the city says need some kind of borrowing to finance.

The money would pay for leftover projects from fiscal year 2017 and all the capital projects outlined in fiscal year 2018, which goes from July 1, 2017, to June 30, 2018, according to City Manager Cindy Rohlf’s memo to the council.

About $34 million would be for projects that were not worked on in fiscal year 2017. About $30 million of that would go toward funding the relocation of Newport News Public Schools’ transportation facility, known as the Service Center for Operations and Transportation (SCOT center), said Lisa Cipriano, the city’s budget director. Rohlf has recommended the city award a $38.8 million contract to W.M. Jordan for that project.

Another $3.1 million from leftover projects is for Lake Maury spillway improvements, Cipriano said.

In total, the $82.8 million would pay for projects broken down in the following categories, according to Rohlf’s memo:

  • $45.4 million for community development
  • $10.8 million for stormwater drainage
  • $9.2 million for streets and bridges
  • $8 million for schools
  • $5.1 million for sewer rehabilitation
  • $1.8 million for public buildings
  • $1.6 million for parks and recreation
  • $650,000 for equipment

The city would use $66.8 million from its general fund to pay off part of the debt. The rest of it would be paid for by stormwater management and wastewater fees.

Amin can be reached by phone at 757-247-4890 or on Twitter at @reemadamin.

Be the first to comment

Leave a Reply

Your email address will not be published.


*