Bond Information

2012 Municipal Bond Program

Overview

In 2008, the City Council voted to approve a resolution, setting seven strategic goals for the City, three of which were “Safety and Security”,  “Infrastructure/Capital Plan”, and “Citizen Involvement”. This project was undertaken as a result of this resolution.

Since 1972, when the original City Hall was built, the City of Leon Valley grew by over 8,900 residents. Additionally, technology has revolutionized the workplace, requiring a more adequate infrastructure. ADA, HIPPA, and building codes were created and/or strengthened to ensure accessibility, and to protect the privacy and safety of people in public places. The City of Leon Valley’s facilities have not kept pace with those developments.

In July of 2011, a Citizen’s Committee was formed to conduct an in-depth assessment of the facilities. The Committee worked with a consultant who provided technical assistance in evaluating square footage requirements, and projecting design and engineering considerations, as well as construction costs. The outcome of the assessment resulted in the Committee’s recommendation for 15,000 square feet of additional space for a new fire station, and a renovation of existing space (19,714 sq. ft.) to facilitate the Police Department, Dispatch and City Administration support services to operate in a modern, efficient, and compliant manner.

New Municipal Facilities

The new fire station is complete and is located at 6300 El Verde Road, about 100 yards from its previous location. The land is property that was voluntarily sold to Bexar County for flood prevention projects, and was then purchased by the City of Leon Valley. All occupied areas of the renovated or newly built construction are located above the flood plain. Following are summaries of the improvements:

Police Department Summary

  • Renovate 9,922 sq. ft. of Existing Space (a gain of 5,062 sq. ft.)
  • Secured Prisoner Entry Port
  • Dedicated Detention for Juveniles
  • Dedicated Interview Room
  • Expanded Storage for Armory
  • Patrol Officer Suit-Out Room
  • Dedicated Storage for Evidence

Fire Department Summary

  • Built a New, 15,000 sq. ft. Fire Station (a gain of 6,762 sq. ft.)
  • Expanded Apparatus Bays
  • Male & Female Sleeping Rooms
  • Male & Female Locker Rooms
  • Storage for Hazardous Items
  • Efficient use of Workspace
  • Improved 911, internet, and other technology

City Hall & Municipal Court Summary

  • Renovate 9,792 sq. ft. of Existing Space (a gain of 3,176 sq. ft.)
  • Efficient use of Workspace for Municipal Court and City Staff
  • Dedicated Meeting & Waiting Spaces
  • Improve Service Windows for Privacy
  • Improved internet and other technology

Tax Impact/Bond Financing

The Leon Valley City Council ordered a Special Bond Election, held in May 2012, to allow the qualified voters of the City of Leon Valley to vote on the Bond issue at a cost of $7,000,000. The bond was approved by a margin of 66%.

To pay for the bond program, it is projected the tax rate for debt service will increase by approximately $0.0497 cents per $100 valuation, based on conservative interest rate assumptions and no growth in the City’s Taxable Assessed Valuation.

The table below illustrates the projected annual and monthly tax impact on the homes valued as shown.

Projected Home Value
(After any Exemptions)

Projected Annual Impact
on Leon Valley Tax Payers

Projected Monthly Impact
on Leon Valley Tax Payers

$100,000

$49.73

$4.14

$125,000

$62.16

$5.18

$150,000

$74.59

$6.22

$200,000

$99.45

$8.29

$250,000

$124.31

$10.36

 

The City of Leon Valley financed $7,000,000 of general obligations bonds for the construction of the Public Safety and Administrative Support Facility. 

The City received a remarkable 2.49% interest on the bond sale and was able to save $1.2 million dollars in interest charges. Also important is Standard & Poors (S&P) Investment Services rated the City’s municipal bonds at ‘AA’. This rating is only one level below ‘AA+’ which is typically S&P’s highest rating for small municipalities. Although there were many variables associated with the strong credit rating, a major component for the upgrade is Leon Valley’s strong management practices and financial conditions. The City’s credit rating contributed significantly to the savings generated by the bond financing interest rate.

 

Status Report

 

Project Process & Schedule

 

Programming                                                February 2013

Select Construction Manager                       February 2013

Preliminary Design                                       April 2013

Final Design                                                  November 2013

 

 

Construction

 

Fire Station                                                   Feb 2014 – Jan 2015

Police Department                                       Jan 2015 – June 2015

City Services                                                 July 2015 – Jan 2016

Projected Completion                                  February 2016