County OKs road and facility bonds

 

 By T.J. Aulds

The Daily News

 

Published September 10, 2009

Despite a huge decrease in property values, a sluggish economy, a tax rate increase to fund health care and struggles to recover from Hurricane Ike, the county’s credit rating still is pretty good.

It’s good enough that when county commissioners approved issuing $175 million in road, flood and facility construction bonds approved by voters last fall, taxpayers got a very favorable 3.67 percent interest rate on the debt. 

Thanks to that unexpected break, county commissioners expect to avoid having to increase the tax rate next year to pay for the bonds. And when a tax rate increase does kick in, it will be about 3.5 cents per $100 of property value, rather than the 4.5 cents that had been expected. 

County Judge Jim Yarbrough called the bond rate “outstanding” and joked that he wished the county had borrowed $200 million to pay for road and facility projects.  

If all goes as planned, the county will have the money in hand by the end of the month, Yarbrough said. 

The county is betting on improved property values next year to avoid a tax rate hike, Yarbrough said. He said the goal was to forgo a tax increase next year and start with the lower than expected increase in 2011. 

Miles Of Road Works 

The bulk of the bond money will be used for 61 road projects in all parts of the county. About $23 million of the road money will go to cities in the northern half of the county, including $12.5 million in League City, which is putting up an additional $11 million for projects such as the FM 518 bypass and the widening of Calder Road. 

Smaller cities also will get improved roads through the bonds.  

Tiki Island will be able to build a concrete Tiki Drive from the Tiki Island bridge to Bora Bora Drive. 

Mayor Phil Hopkins said that would be the first in a series of steps to make all the roads in the bayside community concrete. 

In Santa Fe, a little more than $1.4 million will be spent to help purchase rights of way for the future expansion of FM 646. Down the road in Hitchcock, $1.28 million will be set aside for seven road projects, including new asphalt for Blimp Base Boulevard. 

New Home For Health District, CAD 

A big chunk of the bond money will be used to convert the old Walmart store at Mainland Crossing shopping center in Texas City into the new home of the Galveston County Health District and the Galveston Central Appraisal District. 

It will be the first project in the facilities portion of the bond referendum to be worked on, facilities manager Brian Maxwell said. A much needed new roof should be installed in the next month, and about a month later, remodeling of the building will begin. 

Yarbrough said the building would “not look like a box store” when it’s remodeled and should enhance the area. 

The facilities bonds include construction of an agriculture extension building at Carbide Park in La Marque, next to the Parks and Senior Services headquarters. 

William Johnson, head of the county’s extension services offices, said he was looking forward to the extra elbow room he and master gardeners from across the county would have at the new building. 

The construction of a new Animal Resource Center, which is the new terminology used for animal shelter, is also part of the $45 million in facility bonds.  

Construction on the shelter, which will remain in Texas City, should begin early next year. 

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Bond Funding By City 

Planned bond spending for 61 road projects in the county. 

• Bayou Vista: $400,000 

• Clear Lake Shores: $800,000 + 

• Dickinson: $3.17 million 

• Friendswood: $6.9 million + 

• Hitchcock: $1.28 million

• Jamaica Beach: $444,000 

• Galveston: $11.78 million 

• Unincoprrated county: $17 million 

• Kemah: $1.02 million + 

• La Marque: $3 million + 

• League City: $12.52 million + 

• Santa Fe: $1.86 million 

• Texas City: $14 million + 

+ City will contribute additional money 

Source: Office of County Engineer