Item # 5 PPT

2/10/2020
1
Presented by:
Buddy Kuhn
City Manager
AUSTIN HIGHWAY/LOWER BROADWAY
IMPROVEMENT PROJECT
ITEM # 5
FEBRUARY 10, 2020
1998 FLOOD EVENT – LOWER BROADWAY

2/10/2020
2
2018 FLOOD
EVENT –
LOWER
BROADWAY
CURRENT ENVIRONMENT
 Significant flooding
 TxDOT ownership of Broadway – Austin Hwy to Burr
 Aging water & sewer lines
 Deteriorated sidewalks, curbs and drainage inlets

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3
BACKGROUND
 2017
 MPO awards $10M for multi-modal project
 TxDOT awards $4M for reconstruction of roadway and traffic signals
 TxDOT Holds Stakeholder Meetings #1 & #2
 2018
 TxDOT provides initial scope and budget - $34.4 million
 COAH commissions economic impact study – Steve Nivin, SABER Institute
 2019
 Stakeholder Meeting #3
 Parking Study - lower Broadway and school areas
 Streetscape Design & Renderings - Overland Partners
 Monthly meetings - COAH , TxDOT and LJA Engineers
 City Council Workshop
PROJECT SCOPE OVERVIEW
 Lower Broadway – 0.7 mile (Austin Hwy to Burr)
 Streets
 Sidewalks & Bike Lane
 Storm water drainage
 Underground utilities (water, sewer)
 Landscaping
 Broadway and Austin Highway total length – 1.13 miles

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4
TXDOT COST ESTIMATES – OCT. 2018
Scope Amount
Roadway – Austin Hwy to Burr $12,667,047
Regional Storm water $13,710,451
Landscaping $945,424
Utilities (underground & burial) $7,160,000
TOTAL: $34,483,283
STREET IMPROVEMENTS
 Reduce from 6 lanes to 4 lanes
 New Traffic/Crosswalk Signals
 Create consistencies
 Existing northern Broadway configuration
 Extension of COSA Broadway project to south
 Turn Back Program
 COAH to assume ownership of ROW
 Funded 100% by TxDOT

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5
SIDEWALK IMPROVEMENTS
 Widen Sidewalks
 Increase pedestrian mobility
 Multi-modal
 Bike lanes
 Extension of COSA Broadway Project
 Primarily funded by the MPO
STORM WATER IMPROVEMENTS
 Improve to 25-year Flood Plain
 Remove 29+/- acres from flood plain
 15% increase in property tax value*
 Addresses regional storm water issues
 Funded by COAH General Obligation Bonds
*est. $10.9M impact to GF over 20 years per Economic Impact Study

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UNDERGROUND UTILITIES
 City of Alamo Heights Water & Sewer Lines
 Aging infrastructure
 Roadway already under construction
 De-conflict with new storm drainage
 Funded 100% by COAH Utilities Fund Certificates of
Obligation
 Underground Duct Bank
 Allow for utility relocation for future developments
 Unfunded – design alternate if funding secured
LANDSCAPING
 Low Impact Development Landscaping
 Captures and slows down storm water
 Improves quality of run-off at San Antonio River
Headwaters
 Funded 100% by San Antonio River Authority
 Infrastructure for future Landscaping &
Streetscape
 Irrigation, electrical and minimal plantings

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BROADWAY @ TERREL
BROADWAY @ BARILLA

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PROJECT COORDINATION
 Continue monthly meetings with TxDOT
 Environmental Study
 Constructability assessment
 Ability to include scope within ROW
 Design Documents
 Construction phasing
 Minimize impact to residents and businesses
 Avoiding complete closures
FUNDING RESPONSIBILITY
 Street & Sidewalks
 MPO & TxDOT
 Storm Water Drainage
 City of Alamo Heights
 Utilities
 Water/Sewer Lines
 Landscaping
 SARA
 Low Impact Design - to be included in SARA’s FY21 Budget
 Infrastructure and minimal plantings
ESTIMATED PROJECT
COST:
$31,628,951

2/10/2020
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FUNDING GAP
SOURCES SCOPE COMMITTED
MPO Road, Bike Lane, Sidewalks $10,000,000
TxDOT Roadway $4,000,000*
SARA LID Landscaping $1,300,500
SUB TOTAL: $15,300,500
PROJECT COST SUMMARY
PROJECT COSTS: $31,628,951
PROJECT GAP: $16,328,451
* TxDOT also absorbing all costs related to cost estimates, design, engineering, environmental and project management.
CITY OF ALAMO HEIGHTS RESOURCES
 Project Construction Costs
 General Obligation Bonds - $13.25M
 Funded by ad valorem tax increase
 Utility Fund Certificates of Obligation - $2.1M
 Funded by Water/Sewer rates
 Project Contingency Costs
 General Fund Balance earmark FY21- FY25 - $978,000

2/10/2020
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CAPITAL BOND PROGRAM
 Funding Capacity
 Anne Burger Entrekin – Hilltop Securities
Member FINRA / SIPC / NYSE
© 2020 Hilltop Securities Inc.
All Rights Reserved
Contacts
Municipal Bond Market Update and Information for
Consideration Regarding Potential May Bond Election
Anne Burger Entrekin
Regional Managing Director
anne.burgerentrekin@hilltopsecurities.com
70 Northeast Loop 410, Suite 710
San Antonio, Texas 78216
Direct: 210.308.2200
February 10, 2020 City of Alamo Heights, Texas
Michael Martin
Analyst
michael.martin@hilltopsecurities.com
1201 Elm Street, Suite 3500
Dallas, Texas 75270
Direct: 214.859.1731

2/10/2020
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All Rights Reserved
MMD Yield Curve
23
All Rights Reserved
Projected I&S Tax Rate Impact for a $13,250,000 Bond Election
24
Existing Projected Estimated Estimated
Assessed Estimated Tax Supported Tax Supported I&S Tax I&S Tax
FYE Valuation
(1)
AV Growth Debt Service
(2)
Principal Interest Total Debt Service Rate
(5)
Rate Change
2020 1,750,222,836$ 1.50% 841,294$ 841,294$ 0.0500$ 0.00
2021 1,776,476,179 1.50% 461,894 355,000$ 413,984$ 768,984$ 1,230,878 0.0698 0.02
2022 1,803,123,321 1.50% 464,794 395,000 391,849 786,849 1,251,642 0.0700 0.00
2023 1,830,170,171 1.50% 467,494 415,000 384,423 799,423 1,266,916 0.0698 0.00
2024 1,857,622,724 1.50% 464,994 445,000 376,538 821,538 1,286,531 0.0698 0.00
2025 1,876,198,951 1.00% 467,394 465,000 367,905 832,905 1,300,298 0.0699 0.00
2026 1,894,960,940 1.00% 469,594 485,000 358,558 843,558 1,313,152 0.0699 0.00
2027 1,913,910,550 1.00% 471,594 505,000 348,470 853,470 1,325,064 0.0698 0.00
2028 1,933,049,655 1.00% 472,881 530,000 337,663 867,663 1,340,544 0.0699 0.00
2029 1,952,380,152 1.00% 473,956 555,000 325,950 880,950 1,354,906 0.0700 0.00
2030 1,971,903,953 1.00% 479,281 575,000 313,296 888,296 1,367,577 0.0699 0.00
2031 1,991,622,993 1.00% 478,713 605,000 298,570 903,570 1,382,283 0.0700 0.00
2032 2,011,539,223 1.00% 482,338 630,000 281,824 911,824 1,394,162 0.0699 0.00
2033 2,031,654,615 1.00% - 410,000 263,296 673,296 673,296 0.0334 -0.04
2034 2,051,971,161 1.00% - 430,000 250,631 680,631 680,631 0.0334 0.00
2035 2,072,490,873 1.00% - 455,000 236,802 691,802 691,802 0.0336 0.00
2036 2,093,215,781 1.00% - 475,000 221,664 696,664 696,664 0.0336 0.00
2037 2,114,147,939 1.00% - 500,000 205,395 705,395 705,395 0.0336 0.00
2038 2,135,289,419 1.00% - 530,000 187,835 717,835 717,835 0.0339 0.00
2039 2,156,642,313 1.00% - 555,000 168,840 723,840 723,840 0.0338 0.00
2040 2,178,208,736 1.00% - 580,000 148,588 728,588 728,588 0.0337 0.00
2041 2,199,990,823 1.00% - 610,000 127,082 737,082 737,082 0.0338 0.00
2042 2,221,990,732 1.00% - 640,000 104,280 744,280 744,280 0.0338 0.00
2043 2,244,210,639 1.00% - 670,000 80,165 750,165 750,165 0.0337 0.00
2044 2,266,652,745 1.00% - 700,000 54,718 754,718 754,718 0.0336 0.00
2045 2,289,319,273 1.00% - 735,000 28,062 763,062 763,062 0.0336 0.00
6,496,219$ 13,250,000$ 6,276,390$ 19,526,390$ 26,022,609$
- Maximum Tax Rate - 0.0700$
- Estimated Tax Rate Increase - 0.0200$
Notes:
(1) Certified Values provided byBexar County Appraisal District.
(2) Net of existing self supporting debt service (utility fund portion) of outstanding General Obligation Debt Service.
(3) Assumes a True Interest Cost of 3.387% for purposes of illustration. "AAA" Current Market Rates as of 12/9/2019 +80 bps.
(4) Estimated closing date of August 1, 2020 with principal and interest payments on August 15 and February 15 of each year starting in 2021.
(5) Actual FYE 2019 TaxRate levied. Assumed Tax Collection Rate of: 99.20%
(6) Average life in years: 14.045 years
PRELIMINARY- for discussion purposes only.
Projected General Obligation Bond Issue
(3)(4)
Series 2020
$13,250,000

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All Rights Reserved
Projected I&S Tax Increase for a $13,250,000 Bond Election
25
Home Value After Exemptions Annual Monthly
$250,000 $50.00 $4.17
$350,000 $70.00 $5.83
$450,000 $90.00 $7.50
$550,000 $110.00 $9.17
$650,000 $130.00 $10.83
$750,000 $150.00 $12.50
$850,000 $170.00 $14.17
Projected Increase
PROPOSED CAPITAL BOND PROGRAM SUMMARY
 Increase I&S rate by $.02
 Current I&S rate – $.05
 $6,435,572 in debt – retires in 2033
 25-year note
 3.5% interest rate*
* Assumption based on market trends

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PROPERTY TAX RATE COMPARISON (PER $100)
.070000
2020 BOND
PROGRAM IMPACT
.406439
CITIZEN IMPACT
Home Value Projected Annual Difference* Projected Monthly Difference
$100,000.00 $20.00 $1.67
$350,000.00 $70.00 $5.83
$400,000.00 $80.00 $6.67
$450,000.00 $90.00 $7.50
$500,000.00 $100.00 $8.33
$550,000.00 $110.00 $9.17
$600,000.00 $120.00 $10.00
$650,000.00 $130.00 $10.83
$700,000.00 $140.00 $11.67
$750,000.00 $150.00 $12.50
$800,000.00 $160.00 $13.33
$850,000.00 $170.00 $14.17
$900,000.00 $180.00 $15.00
$950,000.00 $190.00 $15.83
$1,000,000.00 $200.00 $16.67
$1,100,000.00 $220.00 $18.33
*Properties with certain exemptions will not be impacted by increase

2/10/2020
15
NEXT STEPS
 Call 2020 Bond Election
 Current market = favorable rates
 November Elections = market volatility
 Community Education Process
 May 2, 2020 voter election

Item # 5 PPT

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Item # 5 PPT