NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION OF THE CITY OF STEPHENVILLE, TEXAS - Click here for more information.

NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION OF THE CITY OF STEPHENVILLE, TEXAS

NOTICE IS HEREBY GIVEN that the City Council of the City of Stephenville, Texas (the “City”), at its meeting to commence at 5:30 p.m. on March 18, 2025, at the Stephenville City Hall Council Chambers, 298 W. Washington Street in Stephenville, Texas, tentatively proposes to adopt one or more ordinances authorizing the issuance of certificates of obligation, in one or more series, in an amount not to exceed $22,000,000 for the purpose of paying all or a portion of the City’s contractual obligations incurred in connection with: (1) acquiring, constructing, renovating, and equipping of municipal buildings, facilities and administrative offices for the City; (2) constructing and improving streets, roads, alleys, bridges and sidewalks, including related cycle paths, lighting, signage and signalization, landscaping, streetscaping, screening walls, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; and (3) paying legal, fiscal, engineering and architectural fees in connection with such projects.  The City proposes to provide for the payment of such certificates of obligation from the levy and collection of ad valorem taxes in the City as provided by law and from a pledge of surplus revenues of the City’s waterworks and sewer system, remaining after payment of all operation and maintenance expenses thereof, and all debt service, reserve, and other requirements in connection with all of the City’s revenue bonds or other obligations (now or hereafter outstanding), which are payable from all or any part of the net revenues of the City’s waterworks and sewer system.

In accordance with the provisions of Texas Local Government Code, Subchapter C of Chapter 271, as amended (“Chapter 271”), the following information has been provided by the City: (i) the principal amount of all outstanding debt obligations of the City is $1,570,000; (ii) the current combined principal and interest required to pay all outstanding debt obligations of the City on time and in full is $1,740,700 (clauses (i) and (ii) exclude debt service for $45,910,000 principal amount of outstanding debt obligations the City has designated as self-supporting and which the City reasonably expects to pay from revenue sources other than ad valorem taxes; provided, however, that in the event such self-supporting revenue sources are insufficient to pay debt service, the City is obligated to levy ad valorem taxes to pay such debt obligations); (iii) the maximum principal amount of the certificates of obligation to be authorized is $22,000,000; (iv) the estimated combined principal and interest required to pay the certificates of obligation to be authorized on time and in full is $33,380,213; (v) the maximum interest rate for the certificates may not exceed the maximum legal interest rate; and (vi) the maximum maturity date of the certificates of obligation to be authorized is February 15, 2045.  The certificates of obligation are to be issued, and this notice is given, under and pursuant to the provisions of Chapter 271.

CITY OF STEPHENVILLE, TEXAS