By Maria Polletta for The Arizona Republic
Mesa is gearing up to sell $44M in bonds that will jump-start design and construction on several anticipated parks and recreation projects plus a host of critical utility-system improvements (AZBEX, Nov. 13, 2014).
The city will issue $13.7M in general-obligation bonds, repaid largely through sales-tax collections, and $30.2M in utility-systems revenue bonds, repaid with money generated from city utilities, to fund the renovations and additions.
Mesa voters OK’d the relevant borrowing in bond elections in 1994, 2010, 2012 and 2014, according to the city. Mesa typically issues bonds on a yearly, as-needed basis, working with city departments to identify the most high-priority projects.
This year’s sale will push Mesa’s combined general-obligation and utility-systems bond indebtedness to about $1.4B.
While the city could look to its reserves to cover a portion of its capital projects, that approach “would quickly exhaust city reserves and prevent completion of capital projects that are in various stages of planning and construction,” said Ryan Wimmer, the city’s deputy budget director.
Read more at The Arizona Republic