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Discussion Item: Direction to Staff Regarding Parameters for May 7, 2019 Bonding Ballot Measure
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SUBMITTED BY: Brian Carlson, Finance Director
FISCAL NOTES:
Expenditure Required: n/a
Unencumbered Balance: n/a
Funding Source: n/a
RECOMMENDATION:
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Provide direction to staff for drafting of ballot measure language, which will be presented to Council via Resolution on 3/19/19.
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SUMMARY STATEMENT:
Summary:
* Staff has a 3/19 deadline for obtaining Council approval of the draft ballot measure language for the 5/7 election.
* In order to draft the needed language, staff is needing Council direction on three questions:
* Whether the ballot measure should be included in the 5/7 election, or at a later date via special election.
* Whether the bond authorization is for the entire project cost, or a portion thereof.
* Whether an additional bond authorization measure should be created, either for the 5/7 election or a later date, in the event that the Fire Department bond is not approved.
Analysis:
1: May 7 Election, or Special Election?
* The status of SB57 will likely impact the vote result.
* If the ballot measure fails, a follow-up ballot measure would delay the project by approximately nine months.
* There is lead-time needed for printing ballots, which compels a decision by 3/19 for a 5/7 election.
* Staff could schedule a special election for later in the year, when the outcome of SB 57 will be known.
2. How much to bond?
* The City can seek voter approval for the entire project construction cost, or a portion thereof.
o Staff will have cost estimates in time for the 3/19 meeting.
o The project will likely be in the $15MM-$20MM range
* The bonding amount is a matter of ballot tactics, and is not driven by City finances. However it should be not less than $2MM to ensure revenue optimization through 2020.
* A smaller bonded amount may improve the likelihood of voter approval.
* Bonding for less than the entire project may gener...
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