Page 322 - Hurst Adopted FY22 Budget
P. 322

APPROVED FISCAL YEAR 2022 BUDGET


               property tax supported bonds or, if approved, through the General Fund budget. A corporation
               was formed to issue revenue bonds and authorize principal and interest payments from the
               Half-Cent Sales Tax proceeds. Importantly, the completed CIP projects will not impact General
               Fund operational costs. Maintenance and operation costs  for  the  new  facilities and
               improvements will instead be  paid  from sales tax proceeds as authorized  by the State
               Legislature effective September  1,  1993. City of Hurst Officials were instrumental in
               communicating the need for an amendment to the Industrial Development Act of 1979, Article
               5190.6, Section 4B, which now allows sales tax proceeds to not only construct major facilities
               and improvements but pay costs necessary to operate them. The City maintains a multi-year
               financial plan for the Half-Cent Community Services Fund to ensure all operating costs created
               by projects can continue to be absorbed by this special revenue fund.


               CAPITAL IMPROVEMENTS PROGRAM FUNDING
               Due to the nature and total cost of approved projects, General Obligation Bonds, Certificates of
               Obligation and Revenue Bonds are major sources of funding. In an effort to reduce the issuance
               of future debt,  for reasons  previously  discussed,  the City  pursues other sources of capital
               funding. This includes State & Federal grants, interlocal agreements, sales taxes, donations, and
               the use of excess operating revenues to finance projects on a pay-as-you-go basis. The following
               information provides a summary of past and future debt issuance and identifies the types of
               projects funded primarily through debt. Alternative sources of funding for capital projects are
               also discussed.


                                          2012 Bond Election (General Obligation)


               On May 12,  2012,  voters approved $16.5 million to construct a Justice Center and related
               parking facilities. The  facility is approximately  61,000 square  feet and includes the  police
               department and municipal court. There is also a parking garage constructed to handle police,
               employee and visitor parking. The new center opened in February 2015.


                                          2019 Bond Election (General Obligation)

               In 2019, Voters approved $7.5 million to construct a new Animal Control Center. The facility is
               approximately 8,300 square feet.


                               Public Property Finance Contractual Obligations, Series 2020

               Issued to purchase a new Fire Engine.


                                                 Certificates of Obligation


               In 2019, $2 million in Certificates  of Obligation were issued for miscellaneous streets and
               drainage.  Certificate  of  Obligation  funding  allows  the  City  to  maintain  the  outstanding
               quality of its street, drainage, water and wastewater systems while remaining in line with the
               goals of the City’s multi-year financial forecast.





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