HomeMy WebLinkAboutItem 02 Capital Street Bond AGENDA ITEM SUMMARY Meeting Date: 1/22/2024
Meeting Type: Work Session
Staff Contact/Dept.: Jeff Paschall/DPW
Staff Phone No: 541-726-1674
Estimated Time: 30 Minutes
S P R I N G F I E L D
C I T Y C O U N C I L
Council Goals: Maintain and Improve
Infrastructure and
Facilities
ITEM TITLE: CAPITAL STREET BOND
ACTION
REQUESTED:
Review the results of the recent survey of registered voters in Springfield which
tested awareness of the streets conditions problem, and public support to address
the problem.
ISSUE
STATEMENT:
In 2018, voters approved a $10 million street bond which allowed for the
preservation and rehabilitation of 4.7 miles of collector and arterial streets.
However as of the most recent street condition report there were just over 15 miles
of collector and arterial streets classified as fair, approximately 15.5 miles classified
as poor. This equates to an estimated need of $40.5 million for preservation and
$125 million to $187 million for reconstruction.
ATTACHMENTS: 1. Draft Project list
2. Draft Ballot Language
3. Draft Resolution
DISCUSSION/
FINANCIAL
IMPACT:
During the December 4, 2023 work session City Council gave direction on a final
project list to include in a general obligation bond in the upcoming May general
election. At the direction of Council Leadership staff had a scientific survey of
Springfield voters conducted to assess the public’s willingness to support additional
revenue to repair Springfield streets. Barbara Berryman of Advanced Market
Research Inc. conducted the survey and the results with conclusions will be
presented to the Council during the work session.
Draft ballot title language and a draft project list are included for Council review as
Attachments 1 and 2, should Council choose to place a funding measure on the May
2024 general election ballot. Based on Council direction, staff is prepared to
provide final ballot language and proposed project list at the regular session on
February 5, 2024. Following approval of the resolution by Council, staff would
coordinate with County Elections to meet deadlines, prepare the explanatory
statement for the voter’s pamphlet, and develop informational materials for the
funding measure.
Should Council desire to bring a funding measure before the voters at the
November general election, all Final ballot language will be due to the Lane County
Elections Official no later than March 1, 2024.
Exhibit B – Street Bond Priority Project List
• Harlow Road: I-5 to Parkway Roundabout
• Aspen Street: Tamarack Street to Centennial Boulevard
• ‘G’ Street: 10th Street to 23rd Street
• 36th Street: Main Street to Commercial Street
• Daisy Street: 51st Street to Bob Straub Parkway
• 58th Street: Main Street to 58th St./Thurston Rd. Roundabout
Attachment 1 Page 1 of 1
Springfield Street Repair GO Bond, 2018
Caption (10 words)
Authorizes general obligation Bonds to fix Springfield streets.
Question (20 words)
Shall City of Springfield issue $20,000,000 in general obligation bonds to fix deteriorating city streets?
If the bonds are approved, they will be payable from taxes on property or property ownership that are
not subject to the limits of sections 11 and 11b, Article XI of the Oregon Constitution.
Summary (175 words)
If this measure is approved, City will use bond proceeds to fix Springfield streets. Bond proceeds will
only be used to fix existing streets and pay bond issuance costs. The listed streets are the City’s highest
priority for fixing with bond proceeds. See Springfield Resolution XXXX for a full list of streets that could
be fixed using bond proceeds.
• Harlow Road: I-5 to Parkway Roundabout
• Aspen Street: Tamarack Street to Centennial Boulevard
• ‘G’ Street: 10th Street to 23rd Street
• 36th Street: Main Street to Commercial Street
• Daisy Street: 51st Street to Bob Straub Parkway
• 58th Street: Main Street to 58th St./Thurston Rd. Roundabout
The City will publish periodic reports to document completed bond projects.
Bonds would be repaid from property taxes beginning in 2024 for a period not to exceed 5 years. The
estimated rate is $0.74 per $1000 of assessed value, or about $135 per year for the average Springfield
homeowner.
Attachment 2 Page 1 of 1
CITY OF SPRINGFIELD, OREGON
RESOLUTION NO. ___________
A RESOLUTION REFERRING TO THE VOTERS OF THE CITY A BALLOT MEASURE
AUTHORIZING THE ISSUANCE OF A MAXIMUM OF $20,000,000 OF GENERAL OBLIGATION
BONDS TO FUND PROJECTS TO FIX CITY STREETS.
WHEREAS, ORS 287A.050 authorizes the City to issue general obligation bonds to finance capital
costs upon approval by the electors of the City;
WHEREAS, the City currently has no funded street repair and preservation program, there is an
existing backlog of approximately $45 to $50 million in street repairs, and existing funding is
inadequate to address this backlog;
WHEREAS, fixing City streets through preservation and repair in the near future is less costly than
street reconstruction later on;
WHEREAS, the City Council has determined that the City will benefit from issuing general obligation
bonds to finance projects to fix City streets and reduce the backlog of street repairs;
WHEREAS, street projects funded by this bond measure would include slurry sealing, pavement
overlays, restriping, crack sealing, reconstruction, related improvements, and other projects intended
to extend the useable life of the roadway;
WHEREAS, the City Council has determined that the streets listed in Exhibit B are the highest priority
for repair and, based upon the City’s current cost estimates, the City anticipates constructing the first
eight listed projects using bond proceeds;
WHEREAS, no new streets would be constructed, or new City staff hired as a result of this bond
measure;
WHEREAS, if approved by the electors of the City, the City will annually prepare and publish a report
showing projects completed using bond funds;
WHEREAS, the City Council has determined to proceed with referring to the electors of the City a
ballot measure to authorize the issuance of $20,000,000 in general obligation bonds for the purposes
described above;
WHEREAS, ORS 287A.050 limits the amount of general obligation bonds for street improvements and
certain other types of general obligation bonds to three percent of the real market value of taxable
property in the City, and issuing the bonds will not cause the City to exceed this limit;
WHEREAS, the measure is expected to cost an average of $0.74 per $1000 of assessed value each
year for not more than six years, and would cost the average Springfield homeowner approximately
$135 per year; and
WHEREAS, the City anticipates expending funds to begin fixing streets prior to issuance of the bonds,
and therefore wishes to declare its official intent to reimburse itself from the bond proceeds for any
funds spent on the streets described in this measure under Section 1.150-2 of the U.S. Treasury
regulations,
Attachment 3 Page 1 of 2
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF SPRINGFIELD:
Section 1: The City Council hereby refers to the voters of the City of Springfield at the
General Election on May 21, 20214 a measure authorizing the issuance of a maximum of $20,000,000
of general obligation bonds for the purpose of fixing city streets.
Section 2: The City Council hereby adopts and certifies the Ballot Title for this measure as
attached in Exhibit A.
Section 3: If approved by the voters at the General Election on May 21, 2024, the proceeds
from this bond measure will be used only to pay capital costs to fix City streets as described in Exhibit
B to this resolution and to pay bond issuance costs.
Section 4: If approved by the voters at the General Election on May 21, 2024, the City will
prepare and publish periodic reports as street projects are completed to document the use of bond
proceeds.
Section 5: Pursuant to ORS 250.275(5) and 250.285, the City Recorder as the City
Elections Officer shall publish in the next available edition of the Register Guard a notice of receipt of
the ballot title including notice that an elector may file a petition for review of the ballot title pursuant
to ORS 250.296 not later than the seventh business day after the title is filed with the City Elections
Officer. The notice shall be in substantially the form attached to this resolution as Exhibit C.
Section 6: The City Recorder, as the Chief Elections Officer of the City, is directed to submit
to the County Clerk for Lane County, Oregon, a statement of the ballot measure, a certified copy of this
Resolution and the Ballot Title, and all other necessary information so that this measure may appear on
the ballot for the May 21, 2024 General Election.
Section 7: The City Manager, the City Recorder, the City Finance Director, and the City
Attorney, and each of them individually, are hereby authorized and directed to prepare and file an
explanatory statement for this measure, and to take such other action as is necessary or appropriate to
carry out the purposes and intent of this Resolution in compliance with the applicable provisions of law.
Section 8: The City hereby declares its official intent to reimburse itself with bond proceeds
for any amounts the City spends for the purpose of fixing City streets described in the measure.
Section 9: This Resolution will take effect immediately upon adoption by the Council and
approval by the Mayor.
ADOPTED by the Common Council of the City of Springfield this ___ day of _________, ____,
by a vote of _____ for and ____ against.
_______________________
Mayor
ATTEST:
__________________________
City Recorder
Attachment 3 Page 2 of 2