The Birmingham, Ala., City Council Tuesday delayed making a decision on asking voters for $150 million of general obligation bonds.
Mayor William Bell had asked the council to schedule the special election for Oct. 9, but did not get the necessary unanimous votes. The issue is expected to come up at the next meeting.
Several council members reportedly have questions about the list of projects to be constructed with bond proceeds, according to the Birmingham News.
If the proposal is ultimately accepted by the council, voters would be asked to approve up to $150 million of GOs in six separate questions to pay for landfill, parks and recreation, streets and sidewalks, economic development, public safety and sewer projects.
The bonds would be secured by the available capacity from a dedicated city tax that can be levied up to 12 mills. Under Bell’s plan, the city would sell about half of the bonds next year.
At that time, approximately $255 million of outstanding debt would be secured by the tax.
The outstanding GO bonds are rated AA by Fitch Ratings and Standard & Poor’s, and Aa2 by Moody’s Investors Service.
