The Laurel City Council during last week's meeting approved two resolutions allowing the city to take another step toward issuing general obligation bonds in an amount not to exceed $4.5 million. The bonds are for recreation purposes. This act follows a series of actions by city officials.
In February, the council approved a resolution declaring the intention of the mayor and city council of the city of Laurel to issue general obligation bonds or revenue bonds of the city for sale to the Mississippi Development Bank or enter into a loan with the Mississippi Development Bank. The bonds are to be paid back with a portion of the proceeds of the city’s recreation and public improvement promotion tax.
The purpose of these bonds are to raise money for the purpose of establishment, development, construction, furnishing, equipping and erection of recreation facilities on land located within or in proximity to the corporate limits of the city. 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 in March that no protest was submitted to her office prior to the deadline.
According to the guidelines, since no protest was filed against the issuance of the bonds, then the bonds may be issued without an election at any time within a two-year period after that date.
Therefore, the city has two years to issue the proposed bonds, which are being considered for additional work in the overall expansion of the Sportsplex.
Mayor Johnny Magee said this week’s vote allows the bonding officials to go out and seek interest rates for the sale of the bonds.
Magee said the $3 million worth of bonds involve the one-cent tourism tax being collected and the $1.5 million in bonds involve a portion of the second one-cent tourism tax that’s 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-third of that one-cent tax, which was approved through a local private bill approved by the Mississippi Legislature, will be utilized for the repayment of the proposed $1.5 million in 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 a completion.
Also in March, the city approved an agreement with Neel-Schaffer in connection with the development of a Sportsplex Masterplan.
Magee 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.
He said some of the property, which was once an 18-hole golf club, is being 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 club.
“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. The City has requested a proposal from Neel-Schaffer to develop a master plan for the Sportsplex that will lay out a conceptual plan for future development to the remaining city property at the Sportsplex.
Magee said he’s hoping the city can begin the first phase of the Sportsplex project soon. He said the city is currently waiting on approval from the Department of Environmental Quality concerning a portion of the property proposed to be used in the project.
“They have said we can use the property, but there are some testing we have to do,” he said. “We’re hopeful that we will get approval soon and can put out for direct contracts (for the building of the fields) during the summer.”