Considerable progress made on 2007 Bond Package
As of September 2017, of the projects in the 2007 Bond Package, sixteen have been completed and 7 are in different phases of contract negotiation, design or construction. The final project, drainage improvements at the DL Smith Detention Pond is still pending and being evaluated as part of the City’s Master Drainage Plan.
The 2007 Bond Package is a large infrastructure program to finance a wide variety of public improvements for mobility, parks, libraries, and drainage including the extension of Pearland Parkway to Dixie Farm Road, construction of the Recreation Center & Natatorium, and the widening of Cullen Parkway between FM518 and Beltway 8. The City’s 2007-bond referendum totaled $162 million and was scheduled to take nine years to complete. While many early projects finished on schedule, some projects were delayed two to four years during the economic slowdown and recession of 2007 – 2009. This economic slowdown allowed for the ability to procure Transportation Improvement Program (TIP) funding to help fund 80 percent of multiple mobility projects included in the program. During the same period, there were also a variety of other projects over and above the 2007 bond program that were managed and completed from prior bond issues and certificates of obligation, another financing mechanism.
Many additional mobility projects have been completed with the 2007 Bonds due to the City being able to secure TIP funding for 80 percent of the cost for the following 2007 Bond Program transportation projects: Pearland Parkway, Bailey Road, Hughes Ranch Road, and Mykawa Road. Because of this ability to procure additional funding participation, a portion of the bond funds were reallocated to various additional transportation projects. The reallocation allowed the City to fund these projects with General Obligation bonds instead of issuing additional debt with Certificates of Obligation. This leveraging of funds allowed the City to move forward with the following additional transportation project: CR59 Expansion, Kirby Drive Expansion, Fite Road Extension, Max Road Expansion, Smith Ranch Road Expansion, and McHard Road Extension.
A future bond issue, built into the 2017 – 2021 Capital Improvement Program, is planned to begin when the City reaches $8.3 billion in taxable value. The future package will be approximately $70 million and have a 5-year duration. The smaller package and shorter duration will increase the likelihood that projects can be implemented as planned and stay under budget. For more information about the City’s capital improvement program, go to pearlandtx.gov.