At yesterday’s Atlanta City Council meeting, Councilmember Felicia Moore introduced legislation to require a feasibility study or debt affordability assessment before the city considers the issuance of $250 million in municipal bonds for infrastructure improvements.
The legislation was co-sponsored by City Councilmembers Mary Norwood, Andre Dickens, Yolanda Adrean, Alex Wan, Ivory Lee Young, Jr., Natalyn Archibong and Howard Shook.
The city faces an infrastructure backlog of more than $900 million. To address the city’s pressing infrastructure challenges with city roads, bridges, sidewalks and upgrade critical public buildings and facilities, Mayor Kasim Reed is proposing a $250 million infrastructure bond referendum to pay for many of the needed repairs and improvements.
The administration intends to use a combination of savings recommended by the Commission on Waste and Efficiency in Government and the sale of certain City of Atlanta assets.
“I feel that the City Council should be fully aware of the financial impacts of approving a bond issue of this magnitude,” Moore said. “Therefore a financial feasibility or debt affordability study should be performed prior to the approval of legislation authorizing the bond referendum for the issuance of any bonds.”
Moore said the study will provide a basis for measuring the impact of future debt issuances on the City’s financial position and enable policy makers to make informed decisions on financing alternatives and capital spending priorities.
Prior to a bond referendum, the Atlanta City Council must vote to authorize an election to be held for the purpose of determining whether bonds shall be issued for the stated amount and purpose.
Moore’s legislation was referred to the Finance Committee for discussion at its 1 p.m. meeting on Sept. 24 at Atlanta City Hall, Committee Room No. 2.
The city has created an interactive map showing potential infrastructure projects to be funded by the bond referendum. Find out more at this link.
