Projects for PTC bond issue still under consideration; could be ready in month

By JOHN MUNFORD
jmunford@TheCitizenNews.com

It could be late June or early July before Peachtree City officials are prepared to offer a finalized format to "package" proposed bond referendums for consideration by the City Council.

Several committees are still considering which projects should be proposed in the bond issue, said City Public Information Officer Betsy Tyler. At Thursday's council meeting, one scheduled topic concerns projects that might be funded by the Development Authority instead of being placed on the bond issue ballot, Tyler said.

The largest of those projects is the $2.5 million expansion of the Peachtree City Tennis Center, although another $200,000 is proposed for final improvements to the amphitheater. Both venues are administered by the Development Authority.

Those two projects were initially pitched to be on the bond issue referendum when it was first discussed at the City Council's retreat in April. The bond issue could also be used to help refinance the city's existing debt, including a combined $2 million owed by the Airport Authority and Development Authority.

Mayor Bob Lenox has said the refinancing would save taxpayer money by securing lower interest rates than the current loans.

At Thursday's meeting, council will discuss "what the hotel-motel tax was approved for and if the development authority wishes to move ahead with those projects instead of having them on the bond issue," Tyler said.

Some officials maintain putting the tennis center expansion before voters could create a misconception since the project has already been approved by council and the Development Authority. At a recent meeting, Councilman Steve Rapson said if the tennis center is put up for a vote on the bond issue and defeated, the city should drop its plans to expand the facility.

Council recently approved raising the hotel-motel tax from 3 percent to 5 percent, with almost all of the increase going to the Development Authority and Airport Authority for capital projects. The increase will generate an estimated $940,000 a year.

The Development Authority has discussed using the hotel-motel tax funds to pay for the tennis center expansion, which would include six new covered courts and an office building complex to house the tennis center staff. Currently, the tennis center is leasing office space off-site to fill the needs for its 33 employees.

The office building could house other possible tenants that are currently being sought.

Council has already taken initial steps toward offering several bond issue proposals before city voters in an upcoming election. At its second meeting in April, council selected a bond attorney and approved hiring a design firm to work on the possible $1.2 million expansion of the Kedron Fieldhouse. That would add another basketball court and a gymnastics area to the facility.

Another possible project for the bond issue could be the development of the Drake Field area possibly with a boardwalk along Lake Peachtree although no concrete estimates for it have been released yet.

Historically, most projects in Peachtree City have been paid for with cash, aided by funds from impact fees. But as the city nears its residential buildout, the impact fees will begin to dwindle, and securing loans for projects is becoming the preferred method of financing.

Currently, the city owes $4.06 million although it has the borrowing power to qualify for up to $121 million in loans. But City Manager Jim Basinger said the city will not use its borrowing power haphazardly, but only for necessary projects.

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