...Title
Consider and take action on a resolution consenting to the sale and issuance of Unlimited Tax Bonds, Series 2026 (the “Bonds”) for the Galveston County Municipal Utility District No. 73 (the “District”) in an amount not to exceed $6,000,000 and authorizing the Mayor to execute and the City Secretary to attest same for and on behalf of the City of League City, Texas (the “City”) (Director of Finance)
...Background
Proceeds of the sale of the Bonds will be used by the District for the following projects: 1) MUD 73 Lift Station, 2) Samara Detention Phase I, 3) twelve (12) months of capitalized interest, 4) developer interest, 5) developer advances, and 6) to pay the costs of issuance of the Bonds. The District met on July 14, 2026 to authorize its consultants to proceed with the issuance of its Series 2025 Unlimited Tax Bonds.
The District's 2025 total adopted tax rate is $1.100 per $100 of assessed valuation. The tax rate is composed of $0.250 for The System Debt Service, $0.55 for Road Debt Service, and $0.300 for maintenance and operations. The District's certified taxable appraised value as of January 1, 2025 was $132,489,797 and the District’s estimate of taxable appraised value as of May 1, 2026 was $205,617,351. Both values were provided by the Galveston Central Appraisal District.
The District will have $15,420,000 in outstanding debt water, sewer, and drainage debt and $12,485,000 in road debt after the issuance of the Bonds for a total of $27,905,000 in debt outstanding, which represents which is 13.57% of the District’s appraised estimate of value as of May 1, 2026. Overlapping debt is estimated at $7,627,842; overlapping and direct debt combined $35,532,842 represents 17.28% of the District’s taxable appraised estimate of value as of May 1, 2026. After this issuance, the District will have $422,280,000 in unissued water, sewer, and drainage authorization.
Under the terms of the Utility Agreement between the District and the City, bonds may...
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