During the July 16 City Council meeting, council approved a resolution in relation to the early redemption of bonds from the 2008 Texas Department of Transportation (TxDOT) Pass-Through Toll Project. This bond included the construction of an expanded Pinson Road, the FM 548 and U.S. Highway 80 intersection upgrades, as well as the FM 741 expansion from the Bois d’ Arc intersection to what is now Monitor Blvd, all of which are state-maintained roads.
At the time of project an agreement was reached between TxDOT and the City, that the City would issue bonds for the road projects on the behalf of TxDOT, and in due time TxDOT would refund the costs associated with the projects. Per the agreement, the City would be guaranteed an annual payment of $2,009,570, with the possibility the payment may be increased, based on traffic counts to a maximum of $4,019,140. It was determined that any amount received over the guaranteed payment would be considered an accelerated payment.
In September 2012, the City Council at the time, passed a resolution to commit the accelerated payments from TxDOT, for the pass-through project, to the early retirement of the debt associated with the road projects. This year, and every year since 2016, the City has received the maximum amount of $4,019,140, largely due to the increase in traffic on the roadways from the original project.
Since 2013, the City has received more than $13,000,000 in early redemption from TxDOT, which when applied to the early retirement of the debt related to the road projects has saved the City $7,044,038.
For more information about the project or to view the item from the July 16 City Council meeting, please visit www.cityofforney.org/watchmeetings.