The Oak Ridge City Council on Monday unanimously approved an initial bond resolution of up to $16.5 million to build a new Oak Ridge Preschool and a new Oak Ridge Senior Center, and redevelop Scarboro Park.
The initial bond resolution approved in a 7-0 vote on Monday sets a ceiling amount for the debt issuance. A second resolution, a bond issuance resolution, will be brought to City Council, possibly at the October 8 meeting, for the actual bond issuance amount, according to our partners at Oak Ridge Today.
The city announced Friday that it has opened the bidding period for the two projects, which have a total estimated cost of roughly $16 million.
The bonds, which will add to the city’s debt, would be repaid out of the general fund, said Oak Ridge Finance Director Janice McGinnis. The City Council adopted a two-cent tax rate increase as part of the fiscal year 2019 budget process to help fund the projects and officials have sai there could be additional tax increases in fiscal years 2020 through 2022 to help cover the annual debt service for the projects.
Adoption and publication of the resolution starts 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.