Title
General Obligation Bond Referendum
Action
Action:
A. Introduce each of the three bond orders required for a General Obligation Bond Referendum, which includes $280,000,000 of Transportation Bonds, $20,000,000 of Neighborhood Improvement Bonds, and $125,000,000 of Housing Bonds, and
B. Approve a resolution setting a public hearing on each of the bond orders for August 10, 2026.
Body
Staff Resource(s):
Matthew Hastedt, Finance
Mitali Shah, Finance
Explanation
* On June 8, 2026, Council approved:
* The Fiscal Year (FY) 2027 Budget and FY 2027-2031 Capital Investment Plan, which includes a $425,000,000 bond referendum on November 3, 2026; and
* Resolutions authorizing staff to proceed with actions necessary to conduct a General Obligation Bond Referendum.
* The current action is the second of four City Council actions. This action will specifically:
* Introduce the bond orders for each of the ballot questions; and
* Approve a resolution setting a public hearing for each of the bond orders for the August 10, 2026, business meeting.
* A state law enacted in 2023 requires that the ballot questions for General Obligation Bond referenda explicitly state the estimated total principal and interest costs over the lifetime of the bond, the estimated property tax increase that could be necessary to service these costs, and that additional property taxes may be levied in order to pay these costs.
* Based on the city's Steady State modelling of debt capacity, the tax rate included in the FY 2027 Budget is projected to support the cost of these bonds without any future increases.
* The property tax increase included in the FY 2027 Budget supports General Fund investments in public safety and is not related to the cost of these bonds.
* In accordance with State law, the Chief Financial Officer will file a statement of disclosures, which includes estimated interest and the estimated property tax increase mentioned above, for each of the ballot questions. The estimates...
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