Charlottesville has issued a routine request for proposals for a firm to provide advice with financial services related to the city’s capital improvement program as well as the issuance and administration of debt. The city’s request details the city’s existing $207 million in outstanding debt which includes a total of $17.8 million in debt service for the current fiscal year. (read the RFP)
Charlottesville sells municipal bonds each spring for the CIP as well as four utilities that are all separate accounts. This year the city issued $20.8 million in bonds, $8.22 million of which is for new debt. The city has held a AAA bond rating from Standards and Poor’s since 1964 and a AAA bond rating from Moody’s since 1973.
The RFP comes at a time when the city is anticipating sharp increases in capital spending to pay for $75 million in upgrades at Buford Middle School as well as a $10 million a year commitment to affordable housing projects.
In September, Council signaled to budget staff that they no longer want to pursue local funding for the West Main Streetscape, a multi-phase project that also included funding from the Virginia Department of Transportation. Council was told in September that the additional spending will require additional tax resources.
(This article originally appeared in the October 26, 2021 edition of Charlottesville Community Engagement. Please consider a contribution through Patreon to help sustain this work.)
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