The Robstown City Council authorized the sale of $6.5 million in certificates of obligation Monday, with the intent of using that money to repair city streets, construct new facilities and purchase new equipment.
According to information presented Monday by the city's financial advisors, the firm of Estrada and Hinojosa, the sale of the bonds will lead to a 10-cent increase in the city's tax rate in 2010.
The $6,495,817 in funding is expected to pay for extensive street repair in the city, as well as repairs to the city's swimming pool, the construction of an animal control facility, the purchase of a fire truck, the purchase of several pieces of equipment for the city's Public Works Department and the construction of a new Public Works facility.
Once the paperwork is finalized, the new projects could begin as early as next month, officials said.
In items connected to the approval of the certificates of obligation, the council authorized the issuance of request for proposals for the streets project and the construction of the new Public Works and Animal Control facilities.
In other business, the council held the second, and final, reading of an ordinance that will increase the rates of gas sold by the Robstown Utility Systems.
The new rates will increase the minimum customer charge for residential customers from $8.58 to $11.08, for commercial customers from $18.04 to $23.04, and for commercial large customers from $75.96 to $85.96.
The council also authorized a new contract with Rtronix, the company that provides technical support for the Robstown Police Department. The contract authorizes a $17,040 annual payment to the company in exchange for technical support on all department computers and video equipment.
Following a meeting in executive session, the council returned to open session and authorized City Secretary Paula Wakefield and City Attorney Armando Gonzalez to enter into settlement negotiations on a lawsuit brought by the Robstown Development Corporation against the city.