Page 67 - CityofBurlesonFY25AdoptedBudget

proceeds shall be use to assist in paying the cost associated with the capital

project or be used toward the repayment of debt. The City is committed to
continuing disclosure of financial and pertinent credit information relevant
to the City’s outstanding securities and will abide by the provisions of the
Securities and Exchange Commission (SEC) or other law, as applicable.

 The City will utilize a reimbursement resolution approved by City Council to

begin working on capital projects prior to issuing debt. In general,
reimbursements are made no later than 18 months after the later of the
date of the original expenditure is made or the date the project is placed in
service, but in no event more than 3 years after the original expenditure is
paid.

Debt Limit

 The maximum combined tax rate of the City is $2.50 per $100 valuation
under State law. Administratively, the Attorney General will permit
allocation of $1.50 of the $2.50 maximum tax rate for all tax supported
debt service, as calculated at the time of issuance.

 The State of Texas does not prescribe a legal debt limit on the amount of
outstanding revenue bonds.

 The City of Burleson’s charter does not provide a debt limit lower than
the $2.50 maximum tax rate under State law.

Specific Debt Ratios and Measurements

This section establishes target debt ratios and measurements for the City. As the
City periodically addresses its ongoing needs, the City Manager and the City
Council must ensure that future elected officials will have the flexibility to meet

the capital needs of the City. This policy establishes targets which should provide
future flexibility.

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