Birmingham, Ala., Approves GO Bond Election for Oct. 9

The Birmingham City Council Tuesday finally passed an ordinance calling for a special election to be held Oct. 9 in order to ask voters for approval to issue $150 million of general obligation bonds.

It was the fourth time the council considered the measure.

Mayor William Bell had been requesting the referendum be approved, but some board member had questions about the list of projects to be financed with bond proceeds.

The referendum will ask voters to approve the $150 million of GOs in six separate questions 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 the mayor's plan, the city would sell about half of the bonds next year, and the remainder of the capacity at a later date.

Birmingham GOs are rated AA by Fitch Ratings and Standard & Poor's, and Aa2 by Moody's Investors Service.

The City Council Tuesday also approved paying $10,000 for election costs.

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Alabama
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