The Princeton City Council has taken the first legal step in the issuance of certificates of obligation (COs) to finance a public safety operations and training facility.

Councilmembers agreed at a special meeting Tuesday, May 27, to publish notices of the city’s intent to pass an ordinance or ordinances authorizing the issuance of one, or more, series of interest-bearing certificates of obligation at the Monday, July 14, council meeting.

The principal amount, not to exceed $25.75 million, would be used to pay all or a portion of the cost for the acquisition of land as well as professional service fees and the cost of construction.

Such certificates would be made payable from ad valorem taxes and a lien on and pledge of surplus revenues of the city’s waterworks and sewer system.

However, councilmembers balked at approving an ordinance amending the city’s FY 2024-25 operating budget. 

The proposal, pulled from the consent agenda by Councilmember Terrance Johnson, was presented by new Chief Financial Officer Kelly Wilson.

She said the changes included the addition of $676,778 to the General Fund, a reduction of $482,730 to the Utility Fund, a reduction of $75,000 to the Princeton Economic Development Corporation Fund, a reduction of $552,358 to the Princeton Community Development Corporation (CDC) Fund and a reduction of $1,347,450 to the General Debt Service Fund.

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By Bob Wieland | [email protected]