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CITY NEWS

Posted on: March 2, 2021

City Council Approves Bond Issue

Mount Pleasant Water Treatment Plant

City Council Approves Bond Issue to Improve and Expand the City's Water and Sewer Infrastructure


The Mount Pleasant City Council approved issuing a $56.7 in bond to improve and expand the city's water and sewer infrastructure at it February 16, 2021, meeting.

The timing takes advantage of interest rates that are currently as low as 2.13% to address critical needs. Delaying work could result in higher interest rates and increased work to make needed improvements and expansions.

The bond will be used to construct, acquire, install, replace, equip and improve the City's water and waste system facilities to serve the City's current and future customers. The projects will encompass transmission lines, lift stations, storage facilities, retention dams, treatment plants, street and road repairs and the acquisition of interests in land or easements that are necessary to complete the projects in accordance with Texas Commission on Environmental Quality's regulations.

The bond funding will also be used for legal, fiscal, engineering, architectural and other professional services related to the projects.

During the same meeting, Council approved a contract with KSA engineers to design the improvement and expansion projects for both the water treatment system and a sewer master plan that will include a new wastewater collection line. The design and plan must be approved by TCEQ.

The increase in water and sewer rates to citizens will be phased in over the next three to five years to minimize the impact. The maximum total increase during the next five years would be 18%, with City staff working with rate specialists to minimize that increase to as low as 10%.

The City will pass the bond using Certificates of Obligation. The bonds are expected to be available in April.

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