Council agrees on building purchase
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“USE EVERY FORM OF COMMUNICATION…”
CITY HALL BELIEVES LAST CENSUS INACCURACLES PREVENT GRANT ELIGIBILITY
The Pearsall City Council has approved a financial plan to purchase a commercial building on the north side of town.
The decision came after a presentation by Robert Tijerina, a financial consultant with Tijerina, Galvan & Lawrence LLC, during a meeting on Tuesday, May 2.
According to Tijerina, the series of certificates of obligation for the purchase would total approximately $710,000 and bond payments would not increase taxes.
“Thank you for allowing staff to work with a financial advisor,” Tijerina said in his address to councilors. “We will have to bring back the final bid. However, note this will not increase taxes.”
The certificates include the purchases of the land and building along Business IH-35; improvements to the land; and payment for professional services related to the construction, design, engineering and financing.
Tijerina said the city should receive the funds in July.
The first payment of $60,000 against the debt would be due in 2024; a final payment of $77,000 is due in 2038, Tijerina said.
“This is substantial for the city,” Mayor Ben Briscoe said. “This property is on the north side of town, it has value to us and is going to be beneficial to us. The building will actually have more room than we need at this point but we can try to lease it out at or about the bond payment.”
The city plans to use the facility as a new location for the service center. Currently, the service center sits at the corner of Peach and Trinity streets. However, city crews park their personal vehicles on land that belongs to Union Pacific.
“One place we have not invested in is the facility,” Councilor James Leal said. “We need to show the utility departments that we want to invest in them and in that part of town that we just annexed.”
“This is a tremendous purchase for the city,” the mayor said. “It really has value. Now is the time. I am very much in favor of us doing this and feel we can generate revenue to cover the debt payment.”