Horseshoe Bay City Council recently authorized the sale of certificates of obli gation (COs) to fund multi-million dollar infrastructure projects.
During their regular council meeting April 21, the council authorized the issuance and sale of combination tax and revenue certificates of obligation (Series 2026). The money will enhance and upgrade water/wastewater ($3.5 million) and city streets ($4.9 million).
Mayor Jeff Jones and all five council members — Mayor Pro Tem Larry Morgan, Frank Hosea, Buck Weatherby, Elaine Waddill and Ruben Fechner — attended the meeting.
Prior to approval, Finance Director Molly Jester introduced Jennifer Ritter of Specialized Public Finance to detail the bid process.
She explained that the city’s AA rating report from Standard & Poor’s (S&P) typically factors into bids as well as diversification in tax revenue sources. The county’s economy and income levels impacted the interest rates as well.
The city opened 10 bids — considered a “competitive sale” — the same day as the council meeting, April 21.
The lowest submission was from Stifel, Nicolaus & Company of Alabama which offered a 3.685% interest rate.
“Obviously, in this market to be below 4% that’s great, and I think that speaks to there’s a lot of uncertainty happening globally and with the U.S. economy itself,” Ritter said.“People are looking for credit - like Horseshoe Bay communities - that have a strong bond rating, well run, well managed community to put their money in something they believe is safe.”
Weatherby made the motion to accept the lowest bid with a second by Fechner. Councilors unanimously approved authorization of the sale of COs. The estimated closing date is May 13.
Silver Rock
Turning to other matters, the council approved the final plat for Silver Rock subdivision, consisting of 52 acres. The developers plan eight single-family lots and three commercial lots located at Texas 71 and Silver Rock Loop in Horseshoe Bay West.
Rick Townes of Modern Homes attended to update on the subdivision.
Mayor Jeff Jones commented, “Good choice on making (32) lots into eight; That’s great. Almost every one is five acres." Hosea moved to approve the Silver Rock final plat. Morgan seconded it; and the motion passed unanimously.
In other business, the council:
• Authorized a threeyear contract with Gov-Well Technologies, Inc. for inspections, permitting and code enforcement software. The fees amount to approximately $17,500 for implementation which involves data migration. The city will pay $20,875 for the first year and $24,500 annually thereafter.
• Approved amending the contract price for the “High Zone Transmission Main” project by approximately $190,000 due to a change order. LJA Engineering submitted the request for material adjustments, redesign of a storage pump room and additional street repairs;
• Approved Spaw Glass for construction management services, totaling $86,000 in anticipation of the remodel of Town Center. The building previously served as city hall at 1 Community Drive;
• Accepted a proposal by JMS Certified Public Accountants (CPAs), valued at $6,500, to conduct an impact fee study audit; and
• Designated Llano County Tax Assessor/Collector Chris Fogelberg to calculate the no-new-revenue tax rate and the voter- approval tax rate following the certification of the appraisal rolls.
Also during the meeting, administrators:
• Declared the week of April 19-25 Community Emergency Response Team Appreciation (CERT) Week recognizing volunteers who assist in times of emergencies and disasters. Sue Davis, the 2025 president of Horseshoe Bay CERT, was recognized for her leadership; • Proclaimed May 3-9 Drinking Water Week, Public Service Recognition and Municipal Clerks Week.
The council also approved consent agenda items (grouped action items considered without discussion) in a unanimous vote. Action included authorizing city administrators to handle removal of surplus in the utilities and police departments and building permit extensions for properties at 908 CR 311 and 101 Silverway.
