RED OAK — Two separate municipal bond issuances were unanimously approved during the Red Oak City Council’s regular monthly session.
The first bond package approved was in the form of $3,775,000 obligation certificates to fund water and sewer improvements, purchase fire-fighting equipment and update the city’s communication system.
The water and sewer projects include upgrades and service improvements throughout the city and are estimated at $1,400,000. These include increased lines in several areas to meet future growth and improve service in current areas.
The communications improvements include the installation of the 700 MHz infrastructure for the police and fire departments, an emergency generator purchase and installation and purchasing portable and mobile radios for the fire and police vehicles and personnel.
The second bond issuance approved was the refunding of a 2007 general obligation bond. The refunding will allow the city to maintain the same debt level as long as there are no new issues. Originally, the debt service payment was scheduled to increase $400,000 next year.
According to Financial Director Miykael Reeves, the city will still experience a $200,000 debt service payment, but that increase will be gradual. The overall savings will be $325,000 that will go toward future water and sewer projects.
“With the savings through the refunding, there will not be an increase in taxes,” Reeves said.
In other business, a building exterior variance by Juan Ortiz for a building to be located on Eagle Drive was unanimously approved. “Mr. Ortiz requested the use of alternate building materials due to the cost of construction,” City Manager Todd Fuller said.
Ortiz requested that a combination of masonry and steel be approved to construct his new building.
The council also considered a request to approve service agreements for three water and sewer projects. Fuller requested the approval of the engineering firms Kimley-Horn Associates and Birkhoff, Hendricks and Carter for professional services for the preparation of construction plans and specifications for the design of the three projects.
Fuller's request for the approval of the council to enter into the contracts was unanimously approved.
A fourth request to enter into an agreement with Kimley-Horn for their work to update the city’s water master plan was also unanimously approved. The master plan for the city includes proposed infrastructure of capital improvement projects and develop a priority list of water and wastewater impact study.