Culbertson voters approve $90,000 bond; council sells waterworks bonds to local bank

Culbertson voters approved a $90,000 general-obligation bond to finance a new water supply and improvements to the town’s water system, and the Town Council later awarded the bond sale to a local bank.

The council canvassed returns from the June special election at a June 24 special meeting and announced 155 votes in favor, three against and three void ballots, satisfying turnout and majority requirements. The council then passed a resolution authorizing issuance of the bonds and ordered the bonds offered for sale.

At a July 27 meeting the council opened competitive bids for the single $90,000 issue. The Culbertson State Bank submitted the successful bid at 4.05 percent and offered to pay printing costs; the council adopted a resolution approving sale of the bonds to the bank. Earlier council action had specified the bond terms and ballot language, including semiannual interest and a maximum 20-year repayment schedule with redemption provisions.

The bond proceeds are designated to procure a water supply, improve the existing waterworks, and to devote water-system revenues to payment of the debt, as described in the resolutions the council adopted. The council’s minutes record the steps taken to call the election, the ballot text and the publication and polling procedures used to notify voters.

The next formal steps recorded in the minutes were preparation of bond documents and instructions to the town clerk about sale notice and printing; no construction contracts for the water plant were awarded at the time the council sold the bonds, because initial construction bids later exceeded estimates and the council postponed award pending further information.

The council’s actions were recorded in formal resolutions and the June election results and July sale are part of the official minutes.