The $15 million bond election sounds too good to be true. But city officials insist it's exactly what they say it is - two major city projects without a tax increase.
The city wants to shift taxes to pay back the bond, thus avoiding a tax increase to property owners. It would use excess sales tax, franchise tax, impact fees, property tax and business redevelopment tax to pay the bond.Of the bond, $4.5 million of the money would be used toward a $5.5 million railroad overpass on 200 South - the state's second-most dangerous rail crossings by one finding - and $10.5 million for a new city hall and public safety building. (The city has $1 million in funds from the Utah Department of Transportation toward the overpass.)
"We feel comfortable we can avoid any tax increase," City Manager Jack Bippes said. "We have adequate funding."
Bippes said the city used conservative figures in the 25- to 30-year bond payback calculations. If a tax increase is ever needed, it won't be because of the bond but because of separate circumstances, he said.
The two projects will benefit virtually all of the city's residents, as well as enhance their safety.
Residents have been mailed specific information on the project and a group called Citizens and Business for Clearfield's Future has organized this support campaign.
Compared to finance options other than bonding, the city saves as much as $2.8 million in today's dollars with its current plan, Bippes said.
Some residents are concerned because 200 South is the street being given a railroad crossing and not 700 South - that ties directly to I-15.
However, Bippes said, 700 South is not nearly as busy as 200 South. Also, developing 700 South is the third part of a multiphase road improvement plan for the area.
It will be 15 to 20 more years before 700 South warrants an overpass and the state should fund and build that project, Bippes believes.
Union Pacific railroad may also contribute an as-yet-undetermined amount of funds for the 200 South overpass, too. This could save the city even more money on bond pay-backs.
The 200 South crossing has three sets of tracks and has been the site of several fatal accidents, including the most recent in January 1996. Besides making access to the Freeport Center safer for residents, it will also help emergency vehicles access the city's west side faster.
City officials have worked since 1983 to get the the 200 South overpass funded.
The new administration/pub-lic safety building would be built west of the current City Hall. It is proposed to be 61,000 square feet in size.
It would also help the city provide faster emergency response.
In addition, the new city building will separate the police facilities adequately from the rest of City Hall. In the current city building, the two are mixed and create a hazardous situation for residents.
The old City Hall would be retained for extra city offices.
The City Hall improvements could also be the keystone to the redevelopment and vitalization of the city's business district.
- For more information on the bonding proposal, call one of the three residents on the citizen committee: Bill Storing, 773-5999; Harold Sorrels, 773-6081; or Linda Maybey, 825-2152.
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Additional Information
Clearfield bond
Total amount: $15 million
Bonding payback: 25 to 30 years
Tax increase: none
Source: excess tax and fee revenues.
Money goes to two projects:
- 200 South railroad overpass - $4.5 million.
- New city hall/public safety building - $10.5 million.