Aransas Pass staff seeks council OK for roughly $1.2M tax note to fund 17 capital projects

City staff proposed that the City of Aransas Pass issue a tax note in February to fund 17 capital items totaling roughly $1.1–$1.2 million, saying the package would avoid risking a grant and can be structured without raising property tax rates.

Staff member (Speaker 4) told the council the list includes items ranging from extrication tools for the fire department ($39,000) and a mosquito sprayer ($18,000) to a boom mower and articulator (~$270,000), commercial mowers and pickup trucks, engineering for a Public Works building ($250,000) and a TCEQ-required lead inventory estimated at $150,000. The staff presentation said departments have obtained preliminary quotes and that the city would update pricing before issuing the tax note because market prices can change.

The Hough and Wheeler component is part of a larger grant-supported project. Staff said they received GLO grant funding for a roughly $3 million project but that bids came in about $206,000 over available grant funds; staff included that gap in the tax note proposal to avoid losing the grant award. David (Speaker 6), describing the need, said the Hough & Wheeler work is effectively a fourth pump station and that the grant funding is available now.

Councilors asked how payments would be funded. Finance staff (Speaker 11) explained the proposed notes would be paid from water/sewer funds and the property-tax side of the city’s debt-service schedule, not the general fund, and that a drop in scheduled debt-service next year would allow the city to issue the debt without increasing property tax rates.

Council members expressed general support for proceeding to draft documents and to work with bond counsel. Staff said they would bring finalized documents and structure options to the council in February, after updating quotes and coordinating with the city’s financial advisor.