The Laurel City Council this week announced that there is no protest to the city’s intent to issue up to $4.5 million in obligation bonds.
In February, the city council approved a resolution declaring the intent of the mayor and city council of Laurel to issue general obligation bonds of the city in an amount not to exceed $4.5 million for recreation purposes. According to city documents, the city proposes to direct the issuance of the bonds for use at the city’s Sportsplex.
However, officials had to wait until March 17 to determine if it had any protest from the qualified electors of the city concerning the issuance of the bonds.
City Clerk Mary Ann Hess told city officials that no protest was submitted to her office prior to the deadline.
According to the guidelines, since no protest has been filed on or before 9 a.m. on March 17, against the issuance of the bonds, then the bonds may be issued without an election within a two-year period after that date.
The city has already begun steps toward the development of a Sportsplex Masterplan.
The city of Laurel plans to issue general obligation bonds or revenue bonds for sale to the Mississippi Development Bank or enter into a loan with the Mississippi Development Bank, to be paid with a portion of the proceeds of the city’s recreation and public improvement promotion tax in the principal amount not to exceed $4.5 million. The purpose of this is to raise money to establish, develop, construct, furnish, equip and erect recreation facilities on land located within or in proximity to the corporate limits of the city. Mayor Johnny Magee said the bonds involve the second of the two one-cent tourism taxes that are being collected on hotels and motels in the city.
He said one-third of the second one-cent tax is designated for the support of the Magnolia Center and would have to continue. However, the other two-thirds of that one-cent tax, which was approved through a local private bill approved by the Mississippi Legislature, could be utilized for the repayment of the proposed bonds. Magee said these bonds would be used for the second phase of the city’s proposed Eight-plex Project.
“When we approved the four mills some time back, it was for the first phase of the Eight-plex Project. That phase involved the construction of the fields,” he explained. “This would be the second phase, which would involve the parking lots, concession stands, restrooms and other items.”
Magee said the design of the first phase of the project is nearing completion. However, the city needed to determine if it is going to utilize the other portion of the second one-cent tax before “it goes off the books in June.”
Magee said the “second penny rolls off the books in June if we don’t have a designated use for it.”
In a separate action in February, the city approved an agreement with Neel-Schaffer in connection with the development of a Sportsplex masterplan. The mayor said the city would like to explore the possibilities of utilizing the unused property at the Sportsplex known as the former Bear Pen Creek Golf Club.
Recreation Director Elvin Ulmer said some of the property, which was once an 18-hole golf course, will be used for the Sportsplex expansion of its ball fields. However, officials would like to consider using the remaining portion of the property to possibly construct a 9-hole golf course.
“Several concepts for use of that property have been discussed including the development of a nine-hole golf course, an RV Park, a 5K pathway that connects to the existing facility and a few others,” according to city documents. Magee said he’s hoping the city can begin construction on the first phase of the Sportsplex project soon.