The Oak Ridge City Council on Monday will consider whether to issue bonds of up to $16.5 million to build a new Oak Ridge Preschool and Oak Ridge Senior Center, and redevelop Scarboro Park.
The two projects have an estimated cost of roughly $16 million, according to the City Council agenda for Monday. The bond resolution includes about $500,000 extra for the costs of issuing the bonds and for project contingencies.
The Preschool and Scarboro Park improvements have a total estimated cost of about $12.5 million. About $11.1 million of that is for construction.
The Senior Center has a total estimated cost of roughly $3.5 million. About $3.1 million of that is for construction.
Both projects have been on the city’s wish list for years. The City of Oak Ridge on Friday announced that it has opened the bidding period for the two projects. Studio Four Design Inc. of Knoxville is the architectural firm chosen to design both buildings.
The bond issuance for the projects will be considered by City Council at 7 p.m. Monday in the Oak Ridge Municipal Building Courtroom at 200 South Tulane Avenue.
Adoption and publication of the resolution will start a 20-day period during which a petition signed by at least 10 percent of the registered voters in Oak Ridge can be filed with the City Clerk protesting the issuance of the bonds, according to the resolution.
The initial bond resolution to be considered Monday sets a ceiling amount for the debt issuance. Later, a bond issuance resolution will be brought to City Council, possibly at the October 8 meeting, for the actual bond issuance amount.
The Oak Ridge City Council adopted a two-cent tax rate increase as part of the fiscal year 2019 budget process to help fund the projects.
More tax increases are expected in fiscal years 2020 through 2022 to fund the annual debt service for the projects, the resolution said.
Chris Bessler of Cumberland Securities will at the meeting on Monday to answer any questions about the bond resolution. You can see the agenda here.
More information will be added as it becomes available.
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