Bellaire begins steps to purchase new public works facility

“That gives us about four years to find a solution,” Citino said.

The details

Citino and city staff recommended Bellaire City Council to purchase a property at 5235 Glenmont Drive. They found that the property met the right criteria:

• It’s close to Bellaire.
• It's not in the floodplain, meaning it's not susceptible to flooding events.
• It has space for parking and a laydown yard where tools and equipment can be stored when not in use.

Citino said other options explored included building a facility on Edith Street. However, they found that building there would reduce acreage available for the Cypress Ditch Improvement Project.

Another option was to build a facility on 1317 N. First St., but it had little acres for the facility and would also reduce acreage available for Cypress Ditch.

The cost

Citino said the project will cost $14.7 million, with $7 million going into purchasing the property, $7,000 for the design phase and the other $7 million for construction.

The timeline includes the first payment to be made March 28 to purchase the property. The design phase would start in May 2025 with construction anticipated to start in August 2026.

City staff recommend council members to issue certificates of obligation for an amount not to exceed $7 million to purchase the property. If City Council approves the certificates, it will allow the city to fund the project without voter approval.

For design and construction, Citino recommended the city use a combination of capital improvement plan Public Works facilities projects balance, rent income from 2025 and general fund reserves.

Citino said City Council's approval Dec. 16 allows the city to publish the notice of intent to use the certification of obligation; however, it does not commit the city to use them.

Measuring the impact

If the city decides to move forward with the obligations, the annual debt service on $7 million over 25 years is $460,000.

• If funded 100% by taxes: $0.008 increase in the tax rate
• If funded 100% by utilities: 3% increase in utility rates

What they're saying

Council members voiced support for the project, with some of them, such as council member Ross Gordon, saying it’s important to protect the equipment found in public works, especially during flooding events.

Mayor Gus Pappas said this has been an issue the city has been talking about for years and is glad there’s a solution for it.

“Public Works is an incredibly vital part of our city,” Pappas said. “Public Works picks up our recycling, they work on our streets, they work on our curbs, they work on our gutters, they pick up our garbage. They're the ones that you see with all of the dirty jobs that exist in this town—they're doing it."

Next steps

Citizens will see the first publication of the notice of intent for the certificates of obligations Dec. 19. The second notice will be published Dec. 26.

The city expects to receive a bid on the property by Feb. 3 and award the certificates by March 4. A tentative closing date to purchase the property is anticipated by March 28.