Loading...
HomeMy WebLinkAbout05/16/2016 - Regular Agenda Packet - City CouncilCity Council Regular College Station, TX Meeting Agenda - Final City Hall 1101 Texas Ave College Station, TX 77840 City Hall Council Chambers7:00 PMMonday, May 16, 2016 1. Pledge of Allegiance, Invocation, Consider absence request. Presentation(s): • Presentation proclaiming the National Public Works Week. • Presentation proclaiming May as National Bike Month. • Presentation of the Annual Arts Council Scholarships. • Presentation of check by Brazos Valley Fashion Week for the Fun for All Playground. Hear Visitors: A citizen may address the City Council on any item which does not appear on the posted Agenda. Registration forms are available in the lobby and at the desk of the City Secretary. This form should be completed and delivered to the City Secretary by 5:30 pm. Please limit remarks to three minutes. A timer alarm will sound after 2 1/2 minutes to signal thirty seconds remaining to conclude your remarks. The City Council will receive the information, ask staff to look into the matter, or place the issue on a future agenda. Topics of operational concerns shall be directed to the City Manager. Comments should not personally attack other speakers, Council or staff. Consent Agenda At the discretion of the Mayor, individuals may be allowed to speak on a Consent Agenda Item. Individuals who wish to address the City Council on a consent agenda item not posted as a public hearing shall register with the City Secretary prior to the Mayor's reading of the agenda item. Registration forms are available in the lobby and at the desk of the City Secretary. 2.Presentation, possible action and discussion of consent agenda items which consists of ministerial or "housekeeping" items required by law. Items may be removed from the consent agenda by majority vote of the Council. Presentation, possible action, and discussion of minutes for: · April 28, 2016 Workshop · April 28, 2016 Regular Meeting 16-02752a. Sponsors:Mashburn WKSHP042816 DRAFT Minutes RM042816 DRAFT Minutes Attachments: Presentation, possible action, and discussion on approval of a Resolution allowing the mayor to sign an Advance Funding 16-02112b. Page 1 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final Agreement (AFA) with the Texas Department of Transportation (TXDOT) for the cost participation of the City of College Station and TXDOT in the University Drive Pedestrian Improvements Project. Sponsors:Harmon Resolution - AFA Approval.docx Approved for Partial Execution 0506-01-109.pdf Project Map University Ped 2-5.pdf Attachments: Presentation, possible action, and discussion regarding changes to the water service area boundaries between the City and Wellborn SUD in four locations. 16-02472c. Sponsors:Coleman WSUD CCN Swap Apr 2016.pdfAttachments: Presentation, possible action, and discussion regarding Change Order No. 2 with Elliott Construction, reducing contract number 15300300 by $96,826 for the Graham Road Rehabilitation Project. 16-02502d. Sponsors:Harmon Graham Road Map.pdfAttachments: Presentation, possible action, and discussion regarding a contract (Contract No. 16300351) with Crossroads Asphalt Preservation for the Surface Sealing of City Streets for a not to exceed amount of $150,000. 16-02512e. Sponsors:Harmon Presentation, possible action, and discussion on approving job order construction contract no. 16300389 for various facility corrective maintenance services from Jamail & Smith Construction, LP in the amount of $182,645.29. Contract pricing is available from Jamail & Smith Construction, LP through an interlocal cooperative purchasing agreement the City has with Buyboard. 16-02522f. Sponsors:Harmon Presentation, possible action, and discussion regarding a Professional Services Contract No. 16300390 with Binkley & Barfield, Inc. in the amount of $66,895.25 for the professional engineering services related to the design of the traffic signal and intersection improvements at the intersections of FM 30 (Harvey Rd) at George Bush Drive East and FM 2818 (Harvey Mitchell Parkway) at Longmire Drive. 16-02532g. Sponsors:Harmon Page 2 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final ST1615 Location Map with Heading.pdf ST1616 Location Map- with Heading.pdf Attachments: Presentation, possible action, and discussion regarding a $265,597.50 construction contract (No. 16300329) with Larry Young Paving, Inc. for sidewalk improvements along Langford Street. 16-02542h. Sponsors:Harmon 16-060 Tabulation.pdf Langford St Sidewalks Project Location Map.pdf Attachments: Presentation, possible action, and discussion regarding a construction contract (No. 16300337) with Brazos Paving, Inc., in the amount of $680,335.37, for the construction of a new traffic signal at the intersection of State Highway 40 and Victoria Avenue. 16-02552i. Sponsors:Harmon 16-062 Tab.pdf SH 40 and Victoria Signal Project Location Map.pdf Attachments: Presentation, possible action, and discussion on a construction contract (Contract No. 16300334) with Elliott Construction, LLC in the amount of $2,451,453.51 for the Munson Avenue Rehabilitation Project and presentation, possible action, and discussion on a resolution declaring intention to reimburse certain expenditures with proceeds from debt. 16-02562j. Sponsors:Harmon 16-061 Tab.pdf Munson DRR.pdf Attachments: Presentation, possible action, and discussion on a lease with the Brazos Valley Solid Waste Management Agency for the use of the Twin Oaks Law Enforcement Training Facility by the Police Department. 16-02732k. Sponsors:Norris Lease Summary.pdf Twin Oaks Law Enforcement Training Facility Lease_v5.pdf Attachments: Presentation, possible action, and discussion regarding contract #16-068 with Layne Christensen Company for $250,694 to repair the pumps in Wells 6 and 8. 16-02742l. Sponsors:Coleman Bid TabulationAttachments: Page 3 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final Presentation, possible action, and discussion regarding a Utility Agreement with the Brazos County Municipal Utility District No. 1 Board, addressing the provision of City water and sewer service to the Municipal Utility District. 16-02772m. Sponsors:Simms Vicinity Map Utility Agreement Attachments: Presentation, possible action, and discussion regarding the appointment of the Executive Director of the Aggieland Humane Society as the Local Rabies Control Authority (LRCA) for College Station. 16-03062n. Sponsors:Mashburn Regular Agenda At the discretion of the Mayor, individuals may be allowed to speak on a Regular Agenda Item. Individuals who wish to address the City Council on a regular agenda item not posted as a public hearing shall register with the City Secretary prior to the Mayor's reading of the agenda item. Registration forms are available in the lobby and at the desk of the City Secretary. Individuals who wish to address the City Council on an item posted as a public hearing shall register with the City Secretary prior to the Mayor's announcement to open the public hearing.· The Mayor will recognize individuals who wish to come forward to speak for or against the item. The speaker will state their name and address for the record and allowed three minutes. A timer alarm will sound at 2 1/2 minutes to signal thirty seconds remaining to conclude remarks. After a public hearing is closed, there shall be no additional public comments. If Council needs additional information from the general public, some limited comments may be allowed at the discretion of the Mayor. If an individual does not wish to address the City Council, but still wishes to be recorded in the official minutes as being in support or opposition to an agenda item, the individual may complete the registration form provided in the lobby by providing the name, address, and comments about a city related subject. These comments will be referred to the City Council and City Manager. Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to PDD Planned Development District for approximately 26 acres being situated in the Samuel Davidson League, Abstract No. 13, Brazos 16-02841. Page 4 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final County, Texas, said tract being a portion of the remainder of a called 33.70 acre tract described as third tract by a deed to Keren Eidson recorded in Volume 300, Page 609 of the deed records of Brazos County, Texas, generally located between Wellborn Road (FM 2154) and Royder Road, near Greens Prairie Road West . Case #REZ2015-000028 Sponsors:Bullock Background Information Aerial and Small Area Map (SAM) Ordinance Attachments: Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from M 1 Light Industrial and M2 Heavy Industrial to SC Suburban Commercial for approximately 0.50 acres being the JHW Commercial Subdivision, Lot 3, Block 1, generally located at 150 Graham Road. Case #REZ2016-000005 16-02862. Sponsors:Thomas Background Aerial and Small Area Map Ordinance Attachments: Public Hearing, presentation, possible action, and discussion regarding a Strategic Partnership Agreement with the Brazos County Municipal Utility District No. 1 Board, outlining the terms and conditions for annexation. 16-02763. Sponsors:Simms Vicinity Map Strategic Partnership Agreement Attachments: Public Hearing, presentation, possible action, and discussion regarding an ordinance vacating and abandoning a 0.068 acre portion of a 10-foot wide Public Utility Easement, said portion being on Lot 1A, Block 1, Replat of Lot 1, Block 1, College Station I.S.D., Willow Branch and Oakwood School Sites Subdivision, according to the plat recorded in Volume 6857, Page 25, of the Official Records of Brazos County, Texas, said tract also being a portion of a 10' Public Utilities Easement as shown on Lot 1, Block 1, of the plat of College Station I .S.D. Willow Branch and Oakwood School sites, according to the plat recorded in Volume 3588, Page 51, 16-02814. Page 5 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final Official Records of Brazos County, Texas. Sponsors:Cotter Vicinity Map Location Map Ordinance Exhibit A Attachments: Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations ”, E “Parking Regulations for Certain Described Areas ”, (1) “Traffic Schedule XIV- No Parking Here to Corner or No Parking Any time ” of the Code of Ordinances of the City of College Station, Texas by removing on-street parking along both sides of Jane Street between University Drive and Cooner Street and removing on-street parking along both sides of Eisenhower Street between University Drive and Cooner Ctreet. 16-02825. Sponsors:Singh Location Map Ordinance Attachments: Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations ”, E “Parking Regulations for Certain Described Areas ”, (1) “Traffic Schedule XIV - No Parking Here to Corner or No Parking at Any Time”, of the Code of Ordinances of the City of College Station, Texas, to remove parking on the east side of Boyett Street from the corner of Boyett Street and Spruce Street extending 115 feet to the south to the property line at 504 Boyett Street. 16-02836. Sponsors:Singh Location Map Ordinance Attachments: Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $30,500,000 in principal amount of “City of College Station, Texas Certificates of Obligation, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the certificates; approving and authorizing instruments and procedures relating to the certificates; and enacting other provisions relating to the subject. 16-02717. Sponsors:Kersten Page 6 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final Ordinance (CO) (ver 1) College Station, 2016 POS (COUNCIL_5.11.2016).pdf Copy of 2016 Debt Issue.pdf Attachments: Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $56,000,000 in principal amount of “City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the Bonds; approving and authorizing instruments and other procedures relating to said bonds; and enacting other provisions relating to the subject. 16-02728. Sponsors:Kersten Ordinance (GO Imp and Ref) (ver 1) College Station, 2016 POS (COUNCIL_5.11.2016).pdf Copy of 2016 Debt Issue.pdf Attachments: 9. Adjourn. The City Council may adjourn into Executive Session to consider any item listed on this agenda if a matter is raised that is appropriate for Executive Session discussion. An announcement will be made of the basis for the Executive Session discussion. APPROVED _____________________ City Manager I certify that the above Notice of Meeting was posted at College Station City Hall, 1101 Texas Avenue, College Station, Texas, on May 12, 2016 at 5:00 p.m. _____________________ City Secretary This building is wheelchair accessible. Persons with disabilities who plan to attend this meeting and who may need accommodations, auxiliary aids, or services such as interpreters, readers, or large print are asked to contact the City Secretary’s Office at (979) 764-3541, TDD at 1-800-735-2989, or email adaassistance@cstx.gov at least two business days prior to the meeting so that appropriate arrangements can be made. If the City does not receive notification at least two business days prior to the meeting, the City will make a reasonable attempt to provide the necessary accommodations. Penal Code § 30.07. Trespass by License Holder with an Openly Carried Handgun. Page 7 College Station, TX Printed on 5/12/2016 May 16, 2016City Council Regular Meeting Agenda - Final "Pursuant to Section 30.07, Penal Code (Trespass by License Holder with an Openly Carried Handgun) A Person Licensed under Subchapter H, Chapter 411, Government Code (Handgun Licensing Law), may not enter this Property with a Handgun that is Carried Openly." Codigo Penal § 30.07. Traspasar Portando Armas de Mano al Aire Libre con Licencia. “Conforme a la Seccion 30.07 del codigo penal (traspasar portando armas de mano al aire libre con licencia), personas con licencia bajo del Sub-Capitulo H, Capitulo 411, Codigo de Gobierno (Ley de licencias de arma de mano), no deben entrar a esta propiedad portando arma de mano al aire libre.” Page 8 College Station, TX Printed on 5/12/2016 City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0275 Name:Minutes Status:Type:Minutes Consent Agenda File created:In control:4/29/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion of minutes for: ·April 28, 2016 Workshop ·April 28, 2016 Regular Meeting Sponsors:Sherry Mashburn Indexes: Code sections: Attachments:WKSHP042816 DRAFT Minutes RM042816 DRAFT Minutes Action ByDate Action ResultVer. Presentation, possible action, and discussion of minutes for: •April 28, 2016 Workshop •April 28, 2016 Regular Meeting Relationship to Strategic Goals: ·Good Governance Recommendation(s): Approval Summary: None Budget & Financial Summary: None Attachments: •April 28, 2016 Workshop •April 28, 2016 Regular Meeting College Station, TX Printed on 5/12/2016Page 1 of 1 powered by Legistar™ WKSHP042816 Minutes Page 1 MINUTES OF THE CITY COUNCIL WORKSHOP CITY OF COLLEGE STATION APRIL 28, 2016 STATE OF TEXAS § § COUNTY OF BRAZOS § Present: Nancy Berry, Mayor Council: TAMU Student Liaison Blanche Brick Wayne Beckermann, VP/Municipal Affairs Steve Aldrich Karl Mooney John Nichols Julie Schultz, arrived after roll call James Benham, via videoconference City Staff: Kelly Templin, City Manager Chuck Gilman, Deputy City Manager Carla Robinson, City Attorney Sherry Mashburn, City Secretary Tanya McNutt, Deputy City Secretary 1. Call to Order and Announce a Quorum is Present With a quorum present, the Workshop of the College Station City Council was called to order by Mayor Berry at 4:30 p.m. on Thursday, April 28, 2016 in the Council Chambers of the City of College Station City Hall, 1101 Texas Avenue, College Station, Texas 7784 0. 2. Executive Session In accordance with the Texas Government Code §551.071-Consultation with Attorney, §551.072- Real Estate, §551.074-Personnel, and §551.086-Competitive Matters, the College Station City Council convened into Executive Session at 4:31 p.m. on Thursday, April 28, 2016 in order to continue discussing matters pertaining to: A. Consultation with Attorney to seek advice regarding pending or contemplated litigation; to wit:  Juliao v. City of College Station, Cause No. 14-002168-CV-272, in the 272nd District Court of Brazos County, Texas WKSHP042816 Minutes Page 2 B. Consultation with Attorney to seek legal advice; to wit:  Legal issues related to the contracts associated with the Enterprise Resource Planning (ERP) System C. Deliberation on the appointment, employment, evaluation, reassignment, duties, discipline, or dismissal of a public officer; to wit:  City Manager  City Attorney D. Deliberation on a competitive matter as that term is defined in Gov't Code Section 552.133; to wit:  Power Supply The Executive Session adjourned at 6:12 p.m. 3. Take action, if any, on Executive Session. There was no action required from Executive Session. 4. Presentation, possible action, and discussion on items listed on the consent agenda. Items 2b and 2d were pulled for clarification. (2b): Donald Harmon, Director of Public Works, provided a brief background on Gateway signage improvements. (2d): Brandi Norris, Assistant Chief of Police, responded to a Council question that she was unaware of grants for ammunition being utilized by Brazos County constables. 5. Presentation, possible action, and discussion of updates to the 2016 Council Strategic Plan. Aubrey Nettles, Special Projects Coordinator, updated Council on the 2016 Council Strategic Plan. Based on discussion during the Council’s retreat, Staff made minor changes to objectives and actions that support each of the seven strategic initiative. Kelly Templin, City Manager, briefed the Council on the Implementation Plan for FY16 – FY18, linking various projects with certain strategic initiatives. 6. Presentation, possible action, and discussion regarding an update on the 2016 Big Event at Texas A&M University. Wayne Beckermann, Vice President of Municipal Affairs and Student Liaison to the Council, updated the Council on the 2016 Big Event. He reported that this is an international event. WKSHP042816 Minutes Page 3 Brittainy Tomlin and Hunter Goldsworthy, Big Event coordinators, reported that requests are not based on a socio-economic need . . . anyone is welcome to participate. Over 22,000 students participated in 2,332 jobs around town. Their mission is to give back to the community. 7. Council Calendar Council reviewed the calendar. 8. Presentation, possible action, and discussion on future agenda items: a Councilmember may inquire about a subject for which notice has not been given. A statement of specific factual information or the recitation of existing policy may be given. Any deliberation shall be limited to a proposal to place the subject on an agenda for a subsequent meeting. Councilmember Schultz requested an item regarding a memorial for Frank Simpson, former City Manager. 9. Discussion, review and possible action regarding the following meetings: Animal Shelter Board, Annexation Task Force, Arts Council of Brazos Valley, Arts Council Sub-committee, Audit Committee, Bicycle, Pedestrian, and Greenways Advisory Board, Bio-Corridor Board of Adjustments, Blinn College Brazos Valley Advisory Committee, Brazos County Health Dept., Brazos Valley Council of Governments, Bryan/College Station Chamber of Commerce, Budget and Finance Committee, BVSWMA, BVWACS, Compensation and Benefits Committee, Convention & Visitors Bureau, Design Review Board, Economic Development Committee, Gigabit Broadband Initiative, Historic Preservation Committee, Interfaith Dialogue Association, Intergovernmental Committee, Joint Relief Funding Review Committee, Landmark Commission, Library Board, Metropolitan Planning Organization, Parks and Recreation Board, Planning and Zoning Commission, Research Valley Partnership, Research Valley Technology Council, Regional Transportation Committee for Council of Governments, Sister Cities Association, Transportation and Mobility Committee, TAMU Student Senate, Texas Municipal League, Twin City Endowment, YMCA, Youth Advisory Council, Zoning Board of Adjustments, Councilmember Brick reported on the transportation committee. Mayor Berry reported on the Economic Development committee. Councilmember Nichols reported on the CVB. Councilmember Mooney reported on the YMCA. Councilmember Aldrich reported on the Arts Council. WKSHP042816 Minutes Page 4 10. Adjournment There being no further business, Mayor Berry adjourned the workshop of the College Station City Council at 6:57 p.m. on Thursday, April 28, 2016. ________________________ Nancy Berry, Mayor ATTEST: _______________________ Sherry Mashburn, City Secretary RM042816 Minutes Page 1 MINUTES OF THE REGULAR CITY COUNCIL MEETING CITY OF COLLEGE STATION APRIL 28, 2016 STATE OF TEXAS § § COUNTY OF BRAZOS § Present: Nancy Berry, Mayor Council: Blanche Brick Steve Aldrich Karl Mooney John Nichols Julie Schultz James Benham, via videoconference City Staff: TAMU Student Liaison Kelly Templin, City Manager Wayne Beckermann, VP/Municipal Affairs Carla Robinson, City Attorney Chuck Gilman, Deputy City Manager Sherry Mashburn, City Secretary Tanya McNutt, Deputy City Secretary Call to Order and Announce a Quorum is Present With a quorum present, the Regular Meeting of the College Station City Council was called t o order by Mayor Berry at 7:06 p.m. on Thursday, April 28, 2016 in the Council Chambers of the City of College Station City Hall, 1101 Texas Avenue, College Station, Texas 77840. 1. Pledge of Allegiance, Invocation, consider absence request. Presentations: Presentation proclaiming May 1-7, 2016 as Bryan-College Station Travel and Tourism Week. Mayor Berry presented the proclamation to representatives of the Bryan -College Station Convention and Visitors’ Bureau and proclaimed May 1-7, 2016 as Bryan-College Station Travel and Tourism Week. RM042816 Minutes Page 2 Recognition of the City Internal Auditor, recipient of the 2015 Exemplary Knighton Award in the Extra-Small Shop Category for the Streets Maintenance Audit. Mayor Berry recognized Ty Elliott, Internal Auditor, and his staff, recipients of the 2015 Exemplary Knighton Award in the Extra-Small Shop Category for the Streets Maintenance Audit. Presentation proclaiming May 4, 2016 as International Fire Fighter’s Day. Mayor Berry presented the proclamation to representatives of the College Station Fire Department and proclaimed May 4, 2016 as International Fire Fighter’s Day. Hear Visitors Comments Ben Roper, 5449 Prairie Dawn Ct., came before Council to honor the service and sacrifice of Master Sgt. Kelly L. Hornbeck. Randy Schuldt, 2341 CR 605, Dayton, representing Texans for the Regulation of Open Carry and noted that the open carry law is similar to concealed carry. He pointed out that there is no proper training for open carry. The City needs to work with TML and other cities to require handgun training to insure gun owners to be better prepared. CONSENT AGENDA 2a. Presentation, possible action, and discussion of minutes for:  April 14, 2016 Workshop  April 14, 2016 Regular Meeting 2b. Presentation, possible action, and discussion on Resolution 04-28-16-2b, allowing the Mayor to sign a Gateway Monument Agreement with the Texas Department of Transportation (TxDOT) for the City of College Station to construct and maintain a Gateway Monument within TxDOT right-of-way. 2c. Presentation, possible action, and discussion regarding approval of the Brazos Valley Wide Area Communications System (BVWACS) Operating Budget for FY 17 and authorizing the City’s quarterly payments of approximately $43,885.08 for an annual total of $175,540.19; and approval of the BVWACS Capital Equipment Replacement Reserve Fund Budget for FY 17 and payment of the City’s share in the amount of $96,612.65. 2d. Presentation, possible action, and discussion on approving the purchase of various weapons, ammunition and body armor from GT Distributors, Inc. through the BuyBoard Purchasing Cooperative (Contract 432-13) and the Texas Procurement and Support Services (Contract 680-A1) for the not-to-exceed amount of $89,533.98. 2e. Presentation, possible action, and discussion regarding a contract with Green Teams for $797,783 (Contract No. 16300375) for landscape maintenance and presentation, possible action and discussion regarding a contract with Grassmasters for $147,735 (Contract No. 16300376) for landscape maintenance, total price of both contracts is $945,518. RM042816 Minutes Page 3 2f. Presentation, possible action, and discussion to approve a closeout payment of $194,520.93 pursuant to the 2012 Advance Funding Agreement with State of Texas (TxDOT) for the Rock Prairie Road Bridge Improvements. 2g. Presentation, possible action, and discussion regarding an annual agreement with Texas A&M University for Fitlife testing for Fire Fighters in the amount of $61,965. MOTION: Upon a motion made by Councilmember Schultz and a second by Councilmember Nichols, the City Council voted seven (7) for and none (0) opposed, to approve the Consent Agenda. The motion carried unanimously. REGULAR AGENDA 1. Public Hearing, presentation, possible action, and discussion regarding approval of Ordinance 2016-3758, amending Chapter 12, "Unified Development Ordinance," Section 12- 4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from C-3 Light Commercial to GS General Suburban for approximately 0.3902 acres being Lots 1 and 2, Block 4 of the Prairie Heights Addition, generally located at 604 Tarrow Street. Mark Bombeck, Planning and Development, reported that the applicant is requesting a General Suburban zoning on approximately 0.392 acres to allow for the opportunity to create a single family home on the property. The site is currently vacant, but has been developed as light commercial uses in the past. The Planning and Zoning Commission considered this item on April 7, and voted 7-0 to recommend approval. At approximately 7:30 p.m., Mayor Berry opened the Public Hearing. Charles Szabuniewicz, 3801 Fifth Street, Bryan, owner of the property, briefed Council on the history of the property. He wants to build two single-family homes in a residential neighborhood that will face the side street. Virgia Thomas, 611 Banks, stated the property is two lots over from her house. The neighborhood is old, and the streets are not up to code. It is dangerous to put in more houses, and this will clutter the neighborhood. Families are moving out, and rental properties are coming in. Leroy Thomas, 611 Banks, said his concern is that this will bring more clutter. He is confused that this is called single-family because it looks like the Aggie shacks. This will be rental property. He would prefer some kind of small commercial. Signage is needed alerting drivers that children are at play. Marcia Smith, 803 Pasler, said the neighborhood was quiet 25 years ago. In the last five years, her mailbox has been knocked down multiple times. It is dangerous for her grandchildren to play in the neighborhood. There are loud parties, congested streets with parking, and fast traffic. Two more student houses will make it worse. She would prefer it remain commercial. RM042816 Minutes Page 4 Cynthia Sabbs, 617 Pasler, said the design does not show the exact dimensions of the property. The drive is only 20 feet away from the curb. Adding more housing units to that area, makes it more of a danger. A single-family dwelling is not necessarily a single-family dwelling. Christian Galindo, 3107 Rolling Glen, Bryan, represents the owner. There are two lots that can be residential and two lots that are commercial. The best alternative is to convert the two commercial lots into one residential lot facing a side street. This is not student housing. The idea is to put in a nice house on these two lots. It will improve the appearance of the entrance to the subdivision. Another alternative is for the neighbors to buy the two lots and keep them as green space. There being no further comments, the Public Hearing was closed at 7:55 p.m. MOTION: Upon a motion made by Councilmember Benham and a second by Councilmember Aldrich, the City Council voted six (6) for and one (1) opposed, with Councilmember Brick voting against, to adopt Ordinance 2016-3758, amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the Ci ty of College Station, Texas by changing the zoning district boundaries from C-3 Light Commercial to GS General Suburban for approximately 0.3902 acres being Lots 1 and 2, Block 4 of the Prairie Heights Addition, generally located at 604 Tarrow Street. The motion carried. 2. Public Hearing, presentation, possible action, and discussion regarding approval of Ordinance 2016-3759, amending Chapter 12, "Unified Development Ordinance," Section 12- 4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to SC Suburban Commercial for approximately 1/2 acre being a portion of Lots 1, 2, and 3, Block A of the Benjamin Graham Subdivision, generally located at 14941 FM 2154, more generally located north of the intersection of Greens Prairie Road West and Wellborn Road (FM 2154). Jessica Bullock, Planning and Development, reported that the applicant is requesting a Suburban Commercial zoning on approximately 0.5 acres to allow for office space. The Planning and Zoning Commission considered this item on April 7, and voted 7-0 to recommend approval. At approximately 8:15 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:15 p.m. MOTION: Upon a motion made by Councilmember Mooney and a second by Councilmember Schultz, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3759, amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to SC Suburban Commercial for approximately 1/2 acre being a portion of Lots 1, 2, and 3, Block A of the Benjamin Graham Subdivision, generally located at 14941 FM 2154, more generally located north of the intersection of Greens Prairie Road West and Wellborn Road (FM 2154). The motion carried unanimously. RM042816 Minutes Page 5 3. Public Hearing, presentation, possible action, and discus sion regarding approving Ordinance 2016-3760, amending Chapter 12, "Unified Development Ordinance," Section 12- 4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to SC Suburban Commercial for approximately 3.098 acres being situated in the Samuel Davidson League, Abstract No. 13, Brazos County, Texas, said tract being a portion of the remainder of a called 33.70 acre tract described as third tract by a deed to Keren Eidson recorded in Volume 300, Page 609 of the deed records of Brazos County, Texas, generally located between Wellborn Road (FM 2154) and Royder Road, near Greens Prairie Road West. Mark Bombeck, Planning and Development, reported that the applicant is requesting a Suburban Commercial zoning on approximately three acres to allow for the opportunity to create neighborhood commercial opportunities along FM 2154. The site is currently vacant. The Planning and Zoning Commission considered this item on April 7, and voted 7-0 to recommend approval. At approximately 8:19 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:19 p.m. MOTION: Upon a motion made by Councilmember Aldrich and a second by Councilmember Nichols, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3760, amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to SC Suburban Commercial for approximately 3.098 acres being situated in the Samuel Davidson League, Abstract No. 13, Brazos County, Texas, said tract being a portion of the remainder of a called 33.70 acre tract described as third tract by a deed to Keren Eidson recorded in Volume 300, Page 609 of the deed records of Brazos County, Texas, generally located between Wellborn Road (FM 2154) and Royder Road, near Greens Prairie Road West. The motion carried unanimously. 4. Public Hearing, presentation, possible action, and discussion regarding approval of Ordinance 2016-3761, amending Chapter 12, "Unified Development Ordinance," Section 12- 4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from O Office to GC General Commercial for approximately 1/2 acre being Lots 1 and 2 less 5 feet, Block A for the College Heights Subdivision of the Official Records of Brazos County, College Station, Texas, generally located at 209 University Drive, more generally located at the northwest corner of University Drive East and Eisenhower Street. Mark Bombeck, Planning and Development, reported that the applicant is requesting a General Commercial zoning on approximately one half acre to create opportunity for a commercial restaurant to develop. The site is currently developed as an office building. The Planning and Zoning Commission considered this item on April 7, and voted 7-0 to recommend approval. RM042816 Minutes Page 6 At approximately 8:22 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:22 p.m. MOTION: Upon a motion made by Councilmember Schultz and a second by Councilmember Mooney, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3761, amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from O Office to GC General Commercial for approximately 1/2 acre being Lots 1 and 2 less 5 feet, Block A for the College Heights Subdivision of the Official Records of Brazos County, College Station, Texas, generally located at 209 University Drive, more generally located at the northwest corner of University Drive East and Eisenhower Street. The motion carried unanimously. 5. Public Hearing, presentation, possible action, and discuss ion regarding approval of Ordinance 2016-3762, amending Chapter 12, "Unified Development Ordinance," Section 12- 4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from GC General Commercial and GS General Suburban to PDD Planned Development District for approximately 4.2566 acres being all of Lots 1, 2A, and 2B, Block A of the Petterak Subdivision and a 0.768 acre tract of land conveyed to Myrna Hughes (previous in chain), as described in deed recorded in Volume 889, Page 315 of the said Official Public Records, and further being that same tract of land conveyed to 803 Wellborn. Ltd. as described in deeds recorded in Volume 1375, Page 164, Volume 2515, Page 169, Volume 7667, Page 148, and Volume 11337, Page 184, all of the said Official Public Records of Brazos County, College Station, Texas, generally located at 801 Wellborn Road, more generally located at the southeast corner of Wellborn Road and Luther Street. Mark Bombeck, Planning and Development, reported that the applicant is requesting a Planned Development District zoning on approximately four acres to create a development that has a mix of uses being Multi-Family and a commercial restaurant. The site is currently developed with a building housing some commercial retail space. The PDD uses a base zoning district of Mixed Use and General Commercial and aims to make some development characteristics conforming such as setbacks, and buffer requirements. The Planning and Zoning Commission considered this item on April 7, and voted 7-0 to recommend approval. At approximately 8:28 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:28 p.m. MOTION: Upon a motion made by Councilmember Nichols and a second by Councilmember Schultz, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3762, amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from GC General Commercial and GS General Suburban to PDD Planned Development District for approximately 4.2566 acres being all of Lots 1, 2A, and 2B, Block A of RM042816 Minutes Page 7 the Petterak Subdivision and a 0.768 acre tract of land conveyed to Myrna Hughes (previous in chain), as described in deed recorded in Volume 889, Page 315 of the said Official Public Records, and further being that same tract of land conveyed to 803 Wellborn. Ltd. as described in deeds recorded in Volume 1375, Page 164, Volume 2515, Page 169, Volume 7667, Page 148, and Volume 11337, Page 184, all of the said Official Public Records of Brazos County, College Station, Texas, generally located at 801 Wellborn Road, more generally located at the southeast corner of Wellborn Road and Luther Street. The motion carried unanimously. 6. Public Hearing, presentation, possible action, and discussion regarding Ordinance 2016- 3763, vacating and abandoning a 0.0506 acre portion of a 15-foot width alley right-of-way, said portion lying between Lots 1, 2 and 3 & Lot 7, Block 4, of the West Park Addition, according to the plat recorded in Volume 102, Page 198, of the Deed Records of Brazos County, Texas. Carol Cotter, Planning and Development, reported that the Right-of-Way abandonment will accommodate future development of the property. As written, this Right-of-Way Abandonment proposes to vacate and abandon the subject portion of a 15- foot alley, while retaining a Public Utility Easement to cover existing and future public utilities. An additional Public Utility Easement width of 7.5 feet is being required on Lot 7 along the common boundary. The City is retaining the easement, as noted, in combination with the additional 7.5-foot PUE will continue sufficient public and private utilities coverage. If any of these conditions and future dedications are not met, the abandonment will be null and void. Staff recommends approval. At approximately 8:31 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:31 p.m. MOTION: Upon a motion made by Councilmember Mooney and a second by Councilmember Nichols, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3763, vacating and abandoning a 0.0506 acre portion of a 15-foot width alley right-of-way, said portion lying between Lots 1, 2 and 3 & Lot 7, Block 4, of the West Park Addition, according to the plat recorded in Volume 102, Page 198, of the Deed Records of Brazos County, Texas. The motion carried unanimously. 7. Public Hearing, presentation, possible action, and discussion regarding Ordinance 2016- 3764, vacating and abandoning a 0.3263 acre portion of a 20-foot wide electrical easement which is located at 801 Wellborn Road further described as Lots 1, 2A & 2B, Block A, of the Petterak Subdivision, according to the plat recorded in Volume 800, Page 171, of the Official Records of Brazos County, Texas and a 0.768 acre tract of land in the Crawford Burnett League, Abstract No. 7, as described by deed recorded in Volume 889, Page 315 of the said Official Public Record, Brazos County, Texas. Carol Cotter, Planning and Development, reported that this electrical easement abandonment accommodates future development of the tract. There is currently a City of College Station electrical line running through this easement. A temporary blanket easement was previously dedicated for the entire site which will continue to provide access to public utilities until RM042816 Minutes Page 8 infrastructure is removed and relocated at the owners’ expense, and new public utility easements are dedicated. The abandonment is conditioned on the relocation of this existing infrastructure and dedication of new Public Utility Easements. If either of these conditions are not met, the abandonment will be null and void. Staff recommends approval. At approximately 8:33 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:33 p.m. MOTION: Upon a motion made by Councilmember Schultz and a second by Councilmember Mooney, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3764, vacating and abandoning a 0.3263 acre portion of a 20-foot wide electrical easement which is located at 801 Wellborn Road further described as Lots 1, 2A & 2B, Block A, of the Petterak Subdivision, according to the plat recorded in Volume 800, Page 171, of the Official Records of Brazos County, Texas and a 0.768 acre tract of land in the Crawford Burnett League, Abstract No. 7, as described by deed recorded in Volume 889, Page 315 of the said Official Public Record, Brazos County, Texas. The motion carried unanimously. 8. Public Hearing, presentation, possible action, and discussion regarding Ordinance 2016- 3765, vacating and abandoning a 0.1962 acre portion of a 12-foot wide sanitary sewer easement which is located at 801 Wellborn Road further described as Lots 1, 2A & 2B, Block A, of the Petterak Subdivision, according to the plat recorded in Volume 800, Page 171, of the Official Records of Brazos County, Texas and a 0.768 acre tract of land in the Crawford Burnett League, Abstract No. 7, as described by deed recorded in Volume 889, Page 315 of the said Official Public Record, Brazos County, Texas. Carol Cotter, Planning and Development, reported that this sanitary sewer easement abandonment accommodates future development of the subject tract. There is currently a City of College Station sanitary sewer line running through this easement. A temporary blanket easement was previously dedicated for the entire site which will continue to provide access to public utilities until infrastructure is removed and relocated at the owners’ expense, and new public utility easements are dedicated. The abandonment is conditioned on the relocation of this existing infrastructure and dedication of new Public Utility Easements. If either of these conditions are not met, the abandonment will be null and void. Staff recommends approval. At approximately 8:35 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:35 p.m. MOTION: Upon a motion made by Councilmember Mooney and a second by Councilmember Schultz, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3765, vacating and abandoning a 0.1962 acre portion of a 12-foot wide sanitary sewer easement which is located at 801 Wellborn Road further described as Lots 1, 2A & 2B, Block A, of the Petterak Subdivision, according to the plat recorded in Volume 800, Page 171, of the Official RM042816 Minutes Page 9 Records of Brazos County, Texas and a 0.768 acre tract of land in the Crawford Burnett League, Abstract No. 7, as described by deed recorded in Volume 889, Page 315 of the said Official Public Record, Brazos County, Texas. The motion carried unanimously. 9. Public Hearing, presentation, possible action, and discussion regarding approval of a Strategic Partnership Agreement with the Brazos County Municipal Utility District No. 1, outlining the terms and conditions for annexation. Lance Simms, Director of Planning and Development, explained that this is the first of two public hearings required before approving the Strategic Partnership Agreement (SPA) with Brazos County MUD No. 1. The second Public hearing is scheduled for the May 16, 2016 City Council Meeting. Formal approval of the SPA can occur after the second public hearing on May 16. Council granted the landowner’s petition to create Brazos County Municipal Utility District (MUD) No. 1 within the City’s Extraterritorial Jurisdiction in March 2014. Per the City’s MUD policy, staff negotiated a Development Agreement with the developer to extend the City’s planning authority over the MUD. In March 2015, the City Council approved the Development Agreement which included a “form” of the Strategic Partnership Agreement (SPA) as an attachment. The SPA has since been approved by the MUD Board and needs to be approved by Council. The SPA outlines the terms and conditions for annexation of the MUD into the City and also provides for limited-purpose annexation of developed general commercial areas within the MUD. At approximately 8:42 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 8:42 p.m. No action is required by Council at this point. 10. Public Hearing, presentation, possible action, and discussion regarding approval of Ordinance 2016-3766, amending the College Station Comprehensive Plan by amending text in Chapter 8, “Growth Management & Capacity”, addressing revisions as recommended by the Annexation Task Force. Lance Simms, Director of Planning and Development, reported that this ordinance amends Chapter 8, Growth Management & Capacity, of the City’s Comprehensive Plan to include recommendations from the Annexation Task Force. Proposed revisions to Chapter 8 included changes to the map and text changes. Text changes include added language regarding MUDs and their role in accommodating growth. There was also a major update to infrastructure and municipal services sections. Language was also added regarding recent action by the State to limit the City’s ability to annex. Recommendations include renewing the ETJ common boundary agreement with Bryan, extending the ETJ to five miles, and evaluating areas currently under non-annexation agreements on a case-by-case basis as they expire. The Annexation Task Force and staff both recommend approval. The Planning & Zoning Commission considered this item at their April 21 meeting, and they recommend approval as well. At approximately 9:03 p.m., Mayor Berry opened the Public Hearing. RM042816 Minutes Page 10 There being no comments, the Public Hearing was closed at 9:03 p.m. MOTION: Upon a motion made by Councilmember Nichols and a second by Councilmember Mooney, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3766, amending the College Station Comprehensive Plan by amending text in Chapter 8, “Growth Management & Capacity”, addressing revisions as recommended by the Annexation Task Force. The motion carried unanimously. 11. Public Hearing, presentation, possible action, and discussion regarding Ordinance 2016- 3767, adopting corrections to the 2015 International Fire Codes. Eric Dotson, Fire Marshall, reported that changes within the document include adding to:  Section B, item #3 - allowing the police department to help with overcrowding issues under the direction of the fire code official;  Section B, item #11 - adding an omitted exception for one and two family dwelling unit; and.  Section B, item #36 - amending the title for this item. At approximately 9:05 p.m., Mayor Berry opened the Public Hearing. There being no comments, the Public Hearing was closed at 9:05 p.m. MOTION: Upon a motion made by Councilmember Mooney and a second by Councilmember Aldrich, the City Council voted seven (7) for and none (0) opposed, to adopt Ordinance 2016- 3767, adopting corrections to the 2015 International Fire Codes. The motion carried unanimously. 12. Presentation, possible action, and discussion regarding appointment of a Chair to the Zoning Board of Adjustments. Council made appointments to the ZBA at their February 25 Regular meeting, but no one was appointed Chair to the ZBA. Per Chapter 12, Section 12-2.3(C)(1): A Chairperson shall be appointed annually by the City Council. Staff recommends the appointment of Scott Simpson. MOTION: Upon a motion made by Mayor Berry and a second by Councilmember Schultz, the City Council voted seven (7) for and none (0) opposed, to appoint Scott Simpson as Chair of the Zoning Board of Adjustments. The motion carried unanimously. RM042816 Minutes Page 11 13. Adjournment. There being no further business, Mayor Berry adjourned the Regular Meeting of the City Council at 9:07 p.m. on Thursday, April 28, 2016. ________________________ Nancy Berry, Mayor ATTEST: ___________________________ Sherry Mashburn, City Secretary City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0211 Name:University Drive Pedestrian Safety Improvements AFA Status:Type:Resolution Consent Agenda File created:In control:4/8/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on approval of a Resolution allowing the mayor to sign an Advance Funding Agreement (AFA) with the Texas Department of Transportation (TXDOT) for the cost participation of the City of College Station and TXDOT in the University Drive Pedestrian Improvements Project. Sponsors:Donald Harmon Indexes: Code sections: Attachments:Resolution - AFA Approval.pdf Approved for Partial Execution 0506-01-109.pdf Project Map University Ped 2-5.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion on approval of a Resolution allowing the mayor to sign an Advance Funding Agreement (AFA) with the Texas Department of Transportation (TXDOT) for the cost participation of the City of College Station and TXDOT in the University Drive Pedestrian Improvements Project. Relationship to Strategic Goals: ·Core Services and Infrastructure ·Improving Mobility Recommendation(s): Staff recommends approval of the Resolution. Summary: The University Drive Pedestrian Safety Improvements Project will begin at approximately Lodge and extend through College Avenue. The focus of this project is to improve pedestrian mobility and safety while balancing acceptable levels of service for vehicular transportation. Budget & Financial Summary: Funds in the amount of $7,055,000 are budgeted for this project. Funds in the amount of $773,693 have been expended or committed to date, leaving a balance of $6,281,307 for construction and related expenditures. Legal Review: Yes Attachments: 1.Resolution 2.Advanced Funding Agreement 3.Project Map College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0211,Version:1 College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ RESOLUTION NO. ____________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS, APPROVING AN ADVANCED FUNDING AGREEMENT WITH THE STATE OF TEXAS ACTING THROUGH THE TEXAS DEPARTMENT OF TRANSPORTATION (“TXDoT”) AUTHORIZING THE EXPENDITURE OF $5,278,600.00 FOR CERTAIN PUBLIC ROADWAY IMPROVEMENTS INCLUDING RAISED MEDIANS AND PEDESTRIAN IMPROVEMENTS ON A PORTION OF FARM TO MARKET ROAD 60 BETWEEN COLLEGE MAIN AND CALVIN MOORE AVENUE; AND CONTAINING OTHER PROVISIONS RELATED TO THE SUBJECT MATTER. WHEREAS, TXDoT has deemed it necessary to make certain highway improvements on Farm to Market Road 60 (aka University Drive) including raised medians and pedestrian improvements on a portion of such public roadway between College Main and Calvin Moore Avenue in College Station, Texas (the “Project”); and WHEREAS, the City Council of the City of College Station, Texas, desires to enter into a n Advance Funding Agreement for a Local Government Pedestrian and Intersection Improvement Project On- System agreement under the terms and conditions set forth therein including cost participation for construction, utility re-location, environmental, engineering and other matters related to the Project; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That the facts and recitations set forth in the preamble are hereby declared true and correct. PART 2: That the City Council hereby approves an agreement with TXDoT for the City to contribute an amount not to exceed $5,278,600.00 for the costs associated with the City’s share of the design and construction including costs to relocate and adjust utilities related to the Project as set forth in the Advance Funding Agreement for a Local Government Pedestrian and Intersection Improvement Project On-System as set forth in Exhibit “A” attached hereto. PART 3: That this resolution shall take effect immediately from and after its passage. ADOPTED this ___ day of _______, A.D. 2016. ATTEST: APPROVED: ______________________________ _________________________________ City Secretary MAYOR APPROVED: _______________________________ City Attorney CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 1 of 13 Revised 07/22/2015 STATE OF TEXAS § COUNTY OF TRAVIS § ADVANCE FUNDING AGREEMENT For A LOCAL GOVERNMENT PEDESTRIAN AND INTERSECTION IMPROVEMENT PROJECT ON-SYSTEM THIS AGREEMENT is made by and between the State of Texas, acting by and through the Texas Department of Transportation called the “State”, and the City of College Station, acting by and through its duly authorized officials, called the “Local Government.” WITNESSETH WHEREAS, federal law establishes federally funded programs for transportation improvements to implement its public purposes; and WHEREAS, the Texas Transportation Code, Sections 201.103 and 222.052 establish that the State shall design, construct and operate a system of highways in cooperation with local governments; and WHEREAS, federal and state laws require local governments to meet certain contract standards relating to the management and administration of State and federal funds; and WHEREAS, the Texas Transportation Commission passed Minute Order Number 114417, authorizing the State to undertake and complete a highway improvement generally described as the construction of raised medians and pedestrian improvements on FM 60 (University Drive) from College Main to Calvin Moore Avenue called the “Project”; and, WHEREAS, the Governing Body of the Local Government has approved entering into this agreement by resolution or ordinance dated ______________, 2016, which is attached to and made a part of this agreement as Attachment “A” for the improvement covered by this agreement. A map showing the Project location appears in Attachment “B,” which is attached to and made a part of this agreement. NOW, THEREFORE, in consideration of the premises and of the mutual covenants and agreements of the parties, to be by them respectively kept and performed as set forth in this agreement, it is agreed as follows: CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 2 of 13 Revised 07/22/2015 AGREEMENT 1. Period of the Agreement This agreement becomes effective when signed by the last party whose signing makes the agreement fully executed. This agreement shall remain in effect until the Project is completed or unless terminated as provided below. 2. Scope of Work The Local Government shall prepare the preliminary engineering including the design schematic, environmental document and the plans and estimate for the project to construct raised medians and pedestrian improvements, including but not limited to sidewalks, crosswalks, curb ramps, pavement markings, pedestrian signals, and replace existing traffic signals on FM 60 (University Drive) from College Main to Calvin Moore Avenue. The project will also remove the traffic signal at FM 60/Spence Street and install new traffic signal at FM 60/Church Avenue. The Local Government will let and construct the project. 3. Local Project Sources and Uses of Funds A. The total estimated cost of the Project is shown in the Project Budget – Attachment “C”, which is attached to and made a part of this agreement. The expected cash contributions from the Federal or State government, the Local Government, or other parties are shown in Attachment “C”. The State will pay for only those project costs that have been approved by the Texas Transportation Commission. The State and the Federal Government will not reimburse the Local Government for any work performed before the federal spending authority is formally obligated to the Project by the Federal Highway Administration. After federal funds have been obligated, the State will send to the Local Government a copy of the formal documentation showing the obligation of funds including federal award information. The Local Government is responsible for 100% of the cost of any work performed under its direction or control before the federal spending authority is formally obligated. B. If the Local Government will perform any work under this contract for which reimbursement will be provided by or through the State, the Local Government must complete training before federal spending authority is obligated. Training is complete when at least one individual who is working actively and directly on the Project successfully completes and receives a certificate for the course entitled Local Government Project Procedures Qualification for the Texas Department of Transportation. The Local Government shall provide the certificate of qualification to the State. The individual who receives the training certificate may be an employee of the Local Government or an employee of a firm that has been contracted by the Local Government to perform oversight of the Project. The State in its discretion may deny reimbursement if the Local Government has not designated a qualified individual to oversee the Project. C. The Project cost estimate shows how necessary resources for completing the Project will be provided by major cost categories. These categories may include but are not limited to: (1) costs of real property; (2) costs of utility work; (3) costs of environmental assessment CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 3 of 13 Revised 07/22/2015 and remediation; (4) cost of preliminary engineering and design; (5) cost of construction and construction management; and (6) any other local project costs. D. The State will be responsible for securing the Federal and State share of the funding required for the development and construction of the local Project. If the Local Government is due funds for expenses incurred, these funds will be reimbursed to the Local Government on a cost basis. E. The Local Government will be responsible for all non-federal or non-state participation costs associated with the Project, otherwise provided for in this agreement or approved otherwise in an amendment to this agreement. Where a Special Approval has been signed by the State, the Local Government shall only in that instance be responsible for overruns in excess of the amount to be paid by the Local Government. F. Prior to the performance of any engineering review work by the State, the Local Government will pay to the State the amount specified in Attachment C. At a minimum, this amount shall equal the Local Government’s funding share for the estimated cost of preliminary engineering for the Project. At least sixty (60) days prior to the date set for receipt of the construction bids, the Local Government shall remit its remaining financial share for the State’s estimated construction oversight and construction cost. G. Whenever funds are paid by the Local Government to the State under this agreement, the Local Government shall remit a check or warrant made payable to the “Texas Department of Transportation.” The check or warrant shall be deposited by the State and managed by the State. The funds may only be applied by the State to the Project. H. Upon completion of the Project, the State will perform an audit of the Project costs. Any funds due by the Local Government, the State, or the Federal government will be promptly paid by the owing party. If after final Project accounting any excess funds remain, those funds may be applied by the State to the Local Government’s contractual obligations to the State under another advance funding agreement with approval by appropriate personnel of the Local Government. I. The State will not pay interest on any funds provided by the Local Government. J. If a waiver has been granted, the State will not charge the Local Government for the indirect costs the State incurs on the local Project, unless this agreement is terminated at the request of the Local Government prior to completion of the Project. K. If the Project has been approved for a specified percentage or a “periodic payment” non- standard funding or payment arrangement under 43 TAC §15.52, the budget in Attachment C will clearly state the specified percentage or the periodic payment schedule. L. If the Local government is an Economically Disadvantaged County (EDC) and if the State has approved adjustments to the standard financing arrangement, this agreement reflects those adjustments. M. When a Special Approval has been signed by the State so that the Local Government bears the responsibility for paying cost overruns, the Local Government shall make payment to the State within thirty (30) days from the receipt of the State’s written notification of those amounts. N. The state auditor may conduct an audit or investigation of any entity receiving funds from the State directly under this contract or indirectly through a subcontract under this contract. CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 4 of 13 Revised 07/22/2015 Acceptance of funds directly under this contract or indirectly through a subcontract under this contract acts as acceptance of the authority of the state auditor, under the direction of the legislative audit committee, to conduct an audit or investigation in connection with those funds. An entity that is the subject of an audit or investigation must provide the state auditor with access to any information the state auditor considers relevant to the investigation or audit. O. Payment under this contract beyond the end of the current fiscal biennium is subject to availability of appropriated funds. If funds are not appropriated, this contract shall be terminated immediately with no liability to either party. P. The Local Government is authorized to submit requests for reimbursement by submitting the original of an itemized invoice in a form and containing all items required by the State no more frequently than monthly, and no later than ninety (90) days after costs are incurred. If the Local Government submits invoices more than ninety (90) days after the costs are incurred, and if federal funding is reduced as a result, the State shall have no responsibility to reimburse the Local Government for those costs. Q. The State will not execute the contract for the construction of the Project until the required funding has been made available by the Local Government in accordance with this agreement. 4. Termination of this Agreement This agreement shall remain in effect until the project is completed and accepted by all parties, unless: A. The agreement is terminated in writing with the mutual consent of the parties; B. The agreement is terminated by one party because of a breach, in which case any cost incurred because of the breach shall be paid by the breaching party; C. The Local Government elects not to provide funding after the completion of preliminary engineering, specifications, and estimates (PS&E) and the Project does not proceed because of insufficient funds, in which case the Local Government agrees to reimburse the State for its reasonable actual costs incurred during the Project; or D. The Project is inactive for thirty-six (36) months or longer and no expenditures have been charged against federal funds, in which case the State may in its discretion terminate this agreement. 5. Amendments Amendments to this agreement due to changes in the character of the work, terms of the agreement, or responsibilities of the parties relating to the Project may be enacted through a mutually agreed upon, written amendment. 6. Remedies This agreement shall not be considered as specifying the exclusive remedy for any agreement default, but all remedies existing at law and in equity may be availed of by either party to this agreement and shall be cumulative. CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 5 of 13 Revised 07/22/2015 7. Utilities The Local Government shall be responsible for the adjustment, removal, or relocation of utility facilities in accordance with applicable State laws, regulations, rules, policies, and procedures, including any cost to the State of a delay resulting from the Local Government’s failure to ensure that utility facilities are adjusted, removed, or relocated before the scheduled beginning of construction. The Local Government will not be reimbursed with federal or state funds for the cost of required utility work. The Local Government must obtain advance approval for any variance from established procedures. Before a construction contract is let, the Local Government shall provide, at the State’s request, a certification stating that the Local Government has completed the adjustment of all utilities that must be adjusted before construction is completed. 8. Environmental Assessment and Mitigation Development of a transportation project must comply with the National Environmental Policy Act and the National Historic Preservation Act of 1966, which require environmental clearance of federal-aid projects. A. The Local Government is responsible for the identification and assessment of any environmental problems associated with the development of a local project governed by this agreement. B. The Local Government is responsible for the cost of any environmental problem’s mitigation and remediation. C. The Local Government is responsible for providing any public meetings or public hearings required for development of the environmental assessment. Public hearings will not be held prior to the approval of project schematic. D. The Local Government is responsible for the preparation of the NEPA documents required for the environmental clearance of this Project. E. Before the advertisement for bids, the Local Government shall provide to the State written documentation from the appropriate regulatory agency or agencies that all environmental clearances have been obtained. 9. Compliance with Texas Accessibility Standards and ADA All parties to this agreement shall ensure that the plans for and the construction of all projects subject to this agreement are in compliance with the Texas Accessibility Standards (TAS) issued by the Texas Department of Licensing and Regulation, under the Architectural Barriers Act, Article 9102, Texas Civil Statutes. The TAS establishes minimum accessibility requirements to be consistent with minimum accessibility requirements of the Americans with Disabilities Act (P.L. 101-336) (ADA). 10. Architectural and Engineering Services The Local Government has responsibility for the performance of architectural and engineering services. The engineering plans shall be developed in accordance with the applicable State’s Standard Specifications for Construction and Maintenance of Highways, Streets and Bridges and the special specifications and special provisions related to it. For projects on the state highway system, the design shall, at a minimum conform to applicable State manuals. For CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 6 of 13 Revised 07/22/2015 projects not on the state highway system, the design shall, at a minimum, conform to applicable American Association of State Highway and Transportation Officials design standards. In procuring professional services, the parties to this agreement must comply with federal requirements cited in 23 CFR Part 172 if the project is federally funded and with Texas Government Code 2254, Subchapter A, in all cases. Professional contracts for federally funded projects must conform to federal requirements, specifically including the provision for participation by Disadvantaged Business Enterprises (DBEs), ADA, and environmental matters. 11. Construction Responsibilities A. The Local Government shall advertise for construction bids, issue bid proposals, receive and tabulate the bids, and award and administer the contract for construction of the Project. Administration of the contract includes the responsibility for construction engineering and for issuance of any change orders, supplemental agreements, amendments, or additional work orders that may become necessary subsequent to the award of the construction contract. In order to ensure federal funding eligibility, projects must be authorized by the State prior to advertising for construction. B. The Local Government will use its approved contract letting and award procedures to let and award the construction contract. C. Upon completion of the Project, the party constructing the Project will issue and sign a “Notification of Completion” acknowledging the Project’s construction completion. D. For federally funded contracts, the parties to this agreement will comply with federal construction requirements cited in 23 CFR Part 635 and with requirements cited in 23 CFR Part 633, and shall include the latest version of Form “FHWA-1273” in the contract bidding documents. If force account work will be performed, a finding of cost effectiveness shall be made in compliance with 23 CFR 635, Subpart B. 12. Project Maintenance The Local Government shall be responsible for maintenance of locally owned roads after completion of the work and the State shall be responsible for maintenance of state highway system after completion of the work if the work was on the state highway system, unless otherwise provided for in existing maintenance agreements with the Local Government. 13. Right of Way and Real Property A. Right of way and real property acquisition shall be the responsibility of the Local Government. Title to right of way and other related real property must be acceptable to the State before funds may be expended for the improvement of the right of way or real property. B. If the Local Government is the owner of any part of the Project site under this agreement, the Local Government shall permit the State or its authorized representative access to occupy the site to perform all activities required to execute the work. C. All parties to this agreement will comply with and assume the costs for compliance with all the requirements of Title II and Title III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, Title 42 U.S.C.A. Section 4601 et seq., including CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 7 of 13 Revised 07/22/2015 those provisions relating to incidental expenses incurred by the property owners in conveying the real property to the Local Government, and benefits applicable to the relocation of any displaced person as defined in 49 CFR Section 24.2(g). Documentation to support such compliance must be maintained and made available to the State and its representatives for review and inspection. D. The Local Government shall assume all costs and perform necessary requirements to provide any necessary evidence of title or right of use in the name of the Local Government to the real property required for development of the Project. The evidence of title or rights shall be acceptable to the State, and be free and clear of all encroachments. The Local Government shall secure and provide easements and any needed rights of entry over any other land needed to develop the Project according to the approved Project plans. The Local Government shall be responsible for securing any additional real property required for completion of the Project. E. In the event real property is donated to the Local Government after the date of the State’s authorization, the Local Government will provide all documentation to the State regarding fair market value of the acquired property. The State will review the Local Government’s appraisal, determine the fair market value and credit that amount towards the Local Government’s financial share. If donated property is to be used as a funding match, it may not be provided by the Local Government. The State will not reimburse the Local Government for any real property acquired before execution of this agreement and the obligation of federal spending authority. F. The Local Government shall prepare real property maps, property descriptions, and other data as needed to properly describe the real property and submit them to the State for approval prior to the Local Government acquiring the real property. Tracings of the maps shall be retained by the Local Government for a permanent record. G. The Local Government agrees to make a determination of property values for each real property parcel by methods acceptable to the State and to submit to the State a tabulation of the values so determined, signed by the appropriate Local Government representative. The tabulations shall list the parcel numbers, ownership, acreage and recommended compensation. Compensation shall be shown in the component parts of land acquired, itemization of improvements acquired, damages (if any) and the amounts by which the total compensation will be reduced if the owner retains improvements. This tabulation shall be accompanied by an explanation to support the determined values, together with a copy of information or reports used in calculating all determined values. Expenses incurred by the Local Government in performing this work may be eligible for reimbursement after the Local Government has received written authorization by the State to proceed with determination of real property values. The State will review the data submitted and may base its reimbursement for parcel acquisitions on these values. H. Reimbursement for real property costs will be made to the Local Government for real property purchased in an amount not to exceed eighty percent (80%) of the cost of the real property purchased in accordance with the terms and provisions of this agreement. Reimbursement will be in an amount not to exceed eighty percent (80%) of the State’s predetermined value of each parcel, or the net cost of the parcel, whichever is less. In CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 8 of 13 Revised 07/22/2015 addition, reimbursement will be made to the Local Government for necessary payments to appraisers, expenses incurred in order to assure good title, and costs associated with the relocation of displaced persons and personal property as well as incidental expenses. I. If the Project requires the use of real property to which the Local Government will not hold title, a separate agreement between the owners of the real property and the Local Government must be executed prior to execution of this agreement. The separate agreement must establish that the Project will be dedicated for public use for a period of not less than 10 (ten) years after completion. The separate agreement must define the responsibilities of the parties as to the use of the real property and operation and maintenance of the Project after completion. The separate agreement must be approved by the State prior to its execution. A copy of the executed agreement shall be provided to the State. 14. Notices All notices to either party shall be delivered personally or sent by certified or U.S. mail, postage prepaid, addressed to that party at the following address: Local Government: City of College Station Department of Public Works PO Box 9960 College Station, Texas 77842 State: Director of Contract Services Office Texas Department of Transportation 125 E. 11th Street Austin, Texas 78701 All notices shall be deemed given on the date delivered in person or deposited in the mail, unless otherwise provided by this agreement. Either party may change the above address by sending written notice of the change to the other party. Either party may request in writing that notices shall be delivered personally or by certified U.S. mail, and that request shall be carried out by the other party. 15. Legal Construction If one or more of the provisions contained in this agreement shall for any reason be held invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provisions and this agreement shall be construed as if it did not contain the invalid, illegal, or unenforceable provision. 16. Responsibilities of the Parties The State and the Local Government agree that neither party is an agent, servant, or employee of the other party and each party agrees it is responsible for its individual acts and deeds as well as the acts and deeds of its contractors, employees, representatives, and agents. CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 9 of 13 Revised 07/22/2015 17. Ownership of Documents Upon completion or termination of this agreement, all documents prepared by the State shall remain the property of the State. All data prepared under this agreement shall be made available to the State without restriction or limitation on their further use. All documents produced or approved or otherwise created by the Local Government shall be transmitted to the State in the form of photocopy reproduction on a monthly basis as required by the State. The originals shall remain the property of the Local Government. At the request of the State, the Local Government shall submit any information required by the State in the format directed by the State. 18. Compliance with Laws The parties shall comply with all federal, state, and local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any courts or administrative bodies or tribunals in any manner affecting the performance of this agreement. When required, the Local Government shall furnish the State with satisfactory proof of this compliance. 19. Sole Agreement This agreement constitutes the sole and only agreement between the parties and supersedes any prior understandings or written or oral agreements respecting the agreement’s subject matter. 20. Cost Principles In order to be reimbursed with federal funds, the parties shall comply with the Cost Principles established in 2 CFR 200 that specify that all reimbursed costs are allowable, reasonable, and allocable to the Project. 21. Procurement and Property Management Standards The parties shall adhere to the procurement standards established in Title 49 CFR §18.36 and with the property management standard established in Title 49 CFR §18.32. 22. Inspection of Books and Records The parties to this agreement shall maintain all books, documents, papers, accounting records, and other documentation relating to costs incurred under this agreement and shall make such materials available to the State, the Local Government, and, if federally funded, the Federal Highway Administration (FHWA), and the U.S. Office of the Inspector General, or their duly authorized representatives for review and inspection at its office during the contract period and for four (4) years from the date of completion of work defined under this contract or until any impending litigation, or claims are resolved. Additionally, the State, the Local Government, and the FHWA and their duly authorized representatives shall have access to all the governmental records that are directly applicable to this agreement for the purpose of making audits, examinations, excerpts, and transcriptions. 23. Civil Rights Compliance The Local Government shall comply with the regulations of the United States Department of Transportation as they relate to non-discrimination (49 CFR Part 21 and 23 CFR Part 200), CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 10 of 13 Revised 07/22/2015 and Executive Order 11246 titled “Equal Employment Opportunity,” as amended by Executive Order 11375 and supplemented in the Department of Labor Regulations (41 CFR Part 60). 24. Disadvantaged Business Enterprise (DBE) Program Requirements A. The parties shall comply with the Disadvantaged Business Enterprise Program requirements established in 49 CFR Part 26. B. The Local Government shall adopt, in its totality, the State’s federally approved DBE program. C. The Local Government shall set an appropriate DBE goal consistent with the State’s DBE guidelines and in consideration of the local market, project size, and nature of the goods or services to be acquired. The Local Government shall have final decision-making authority regarding the DBE goal and shall be responsible for documenting its actions. D. The Local Government shall follow all other parts of the State’s DBE program referenced in TxDOT Form 2395, Memorandum of Understanding Regarding the Adoption of the Texas Department of Transportation’s Federally-Approved Disadvantaged Business Enterprise by Entity, and attachments found at web address http://ftp.dot.state.tx.us/pub/txdot-info/bop/dbe/mou/mou_attachments.pdf. E. The Local Government shall not discriminate on the basis of race, color, national origin, or sex in the award and performance of any U.S. Department of Transportation (DOT)- assisted contract or in the administration of its DBE program or the requirements of 49 CFR Part 26. The Local Government shall take all necessary and reasonable steps under 49 CFR Part 26 to ensure non-discrimination in award and administration of DOT-assisted contracts. The State’s DBE program, as required by 49 CFR Part 26 and as approved by DOT, is incorporated by reference in this agreement. Implementation of this program is a legal obligation and failure to carry out its terms shall be treated as a violation of this agreement. Upon notification to the Local Government of its failure to carry out its approved program, the State may impose sanctions as provided for under 49 CFR Part 26 and may, in appropriate cases, refer the matter for enforcement under 18 U.S.C. 1001 and the Program Fraud Civil Remedies Act of 1986 (31 U.S.C. 3801 et seq.). F. Each contract the Local Government signs with a contractor (and each subcontract the prime contractor signs with a sub-contractor) must include the following assurance: The contractor, sub-recipient, or sub-contractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The contractor shall carry out applicable requirements of 49 CFR Part 26 in the award and administration of DOT- assisted contracts. Failure by the contractor to carry out these requirements is a material breach of this agreement, which may result in the termination of this agreement or such other remedy as the recipient deems appropriate. 25. Debarment Certifications The parties are prohibited from making any award at any tier to any party that is debarred or suspended or otherwise excluded from or ineligible for participation in Federal Assistance Programs under Executive Order 12549, “Debarment and Suspension.” By executing this agreement, the Local Government certifies that it and its principals are not currently debarred, CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 11 of 13 Revised 07/22/2015 suspended, or otherwise excluded from or ineligible for participation in Federal Assistance Programs under Executive Order 12549 and further certifies that it will not do business with any party, to include principals, that is currently debarred, suspended, or otherwise excluded from or ineligible for participation in Federal Assistance Programs under Executive Order 12549. The parties to this contract shall require any party to a subcontract or purchase order awarded under this contract to certify its eligibility to receive federal funds and, when requested by the State, to furnish a copy of the certification. 26. Lobbying Certification In executing this agreement, each signatory certifies to the best of that signatory’s knowledge and belief, that: A. No federal appropriated funds have been paid or will be paid by or on behalf of the parties to any person for influencing or attempting to influence an officer or employee of any federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. B. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with federal contracts, grants, loans, or cooperative agreements, the signatory for the Local Government shall complete and submit the Federal Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions. C. The parties shall require that the language of this certification shall be included in the award documents for all sub-awards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and all sub-recipients shall certify and disclose accordingly. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Title 31 U.S.C. §1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. 27. Insurance If this agreement authorizes the Local Government or its contractor to perform any work on State right of way, before beginning work the entity performing the work shall provide the State with a fully executed copy of the State's Form 1560 Certificate of Insurance verifying the existence of coverage in the amounts and types specified on the Certificate of Insurance for all persons and entities working on State right of way. This coverage shall be maintained until all work on the State right of way is complete. If coverage is not maintained, all work on State right of way shall cease immediately, and the State may recover damages and all costs of completing the work. CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 12 of 13 Revised 07/22/2015 28. Federal Funding Accountability and Transparency Act Requirements A. Any recipient of funds under this agreement agrees to comply with the Federal Funding Accountability and Transparency Act (FFATA) and implementing regulations at 2 CFR Part 170, including Appendix A. This agreement is subject to the following award terms: http://www.gpo.gov/fdsys/pkg/FR-2010-09-14/pdf/2010-22705.pdf and http://www.gpo.gov/fdsys/pkg/FR-2010-09-14/pdf/2010-22706.pdf. B. The Local Government agrees that it shall: 1. Obtain and provide to the State a System for Award Management (SAM) number (Federal Acquisition Regulation, Part 4, Sub-part 4.11) if this award provides more than $25,000 in Federal funding. The SAM number may be obtained by visiting the SAM website whose address is: https://www.sam.gov/portal/public/SAM/ 2. Obtain and provide to the State a Data Universal Numbering System (DUNS) number, a unique nine-character number that allows Federal government to track the distribution of federal money. The DUNS may be requested free of charge for all businesses and entities required to do so by visiting the Dun & Bradstreet (D&B) on-line registration website http://fedgov.dnb.com/webform; and 3. Report the total compensation and names of its top five (5) executives to the State if: i. More than 80% of annual gross revenues are from the Federal government, and those revenues are greater than $25,000,000; and ii. The compensation information is not already available through reporting to the U.S. Securities and Exchange Commission. 29. Single Audit Report A. The parties shall comply with the requirements of the Single Audit Act of 1984, P.L. 98-502, ensuring that the single audit report includes the coverage stipulated in 2 CFR 200. B. If threshold expenditures are met during the Local Government's fiscal year, the Local Government must submit a Single Audit Report and Management Letter (if applicable) to TxDOT's Audit Office, 125 E. 11th Street, Austin, TX 78701 or contact TxDOT’s Audit Office at http://www.txdot.gov/inside-txdot/office/audit/contact.html. The expenditure threshold for fiscal years beginning prior to December 31, 2014 is $500,000; the expenditure threshold for fiscal years beginning on or after December 31, 2014 is $750,000. C. If expenditures are less than the threshold during the Local Government's fiscal year, the Local Government must submit a statement to TxDOT's Audit Office as follows: "We did not meet the $______ expenditure threshold and therefore, are not required to have a single audit performed for FY ______." D. For each year the project remains open for federal funding expenditures, the Local Government will be responsible for filing a report or statement as described above. The required annual filing shall extend throughout the life of the agreement, unless otherwise amended or the project has been formally closed out and no charges have been incurred within the current fiscal year. CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 13 of 13 Revised 07/22/2015 30. Signatory Warranty Each signatory warrants that the signatory has necessary authority to execute this agreement on behalf of the entity represented. THIS AGREEMENT IS EXECUTED by the State and the Local Government in duplicate. THE LOCAL GOVERNMENT _________________________________ Signature _________________________________ Typed or Printed Name _________________________________ Title _________________________________ Date THE STATE OF TEXAS _________________________________ Kenneth Stewart Director of Contract Services Texas Department of Transportation _________________________________ Date CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 1 of 1 Attachment A ATTACHMENT A RESOLUTION OR ORDINANCE CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 1 of 1 Attachment B ATTACHMENT B Location Map Showing Project CSJ # 0506-01-109 District #_17-Bryan Code Chart 64 #_09050 Project: FM 60 Pedestrian & Intersection Imprv From College Main to Calvin Moore Avenue Federal Highway Administration CFDA # _20.205 Not Research and Development AFA-AFA_LongGen Page 1 of 1 Attachment C ATTACHMENT C PROJECT BUDGET Costs will be allocated based on 100% Local Government funding. The Local Government will be responsible for 100% of the cost overruns. Description Cost  Federal  Participation   State  Participation  Local  Participation        Cost   Cost   Cost  Environmental (By LG) $20,000.00   $0.00   $0.00   $20,000.00 Engineering (By LG) $438,600.00   $0.00   $0.00   $438,600.00 Construction (By LG) $3,740,000.00   $0.00   $0.00   $3,740,000.00 Utilities (By LG) $340,000.00   $0.00   $0.00   $340,000.00 Right of Way (By LG) $740,000.00   $0.00   $0.00   $740,000.00 Subtotal $5,278,600.00   $0.00   $0.00   $5,278,600.00 Construction  (Direct State Cost) $374,000.00  $0.00  $374,000.00   $0.00 Utilities  (Direct State Cost) $10,000.00  $0.00  $10,000.00   $0.00 Environmental  (Direct State Cost) $10,000.00  $0.00  $10,000.00   $0.00 Engineering  (Direct State Cost) $180,000.00  $0.00  $180,000.00   $0.00 Right of Way  (Direct State Cost) $5,000.00  $0.00  $5,000.00   $0.00 Indirect State Costs $20,000.00  $0.00  $20,000.00   $0.00 TOTAL $5,877,600.00   $0.00   $599,000.00   $5,278,600.00 Initial payment by the Local Government to the State: $0.00 Payment by the Local Government to the State before construction: $0.00 Estimated total payment by the Local Government to the State $0.00. This is an estimate. The final amount of Local Government participation will be based on actual costs. STASNEY ST CHURCH AVENUENAGLE STREET TAUBER ST ROSS STREETBIZZELL STR EETUNIVERSITY DRIVECROSS STREETS P E N C E S T R E E E T C OLLEGE M AIN IR ELA N D STR EET COLLEGE AVENUE POLO ROADNEW STREETDOG W OOD STREET ASB U RY STREET LODGE STREETCROSS STREETBIZZELL STREET COLLEGE AVENUE ± Legend Project Extent SH 30 HARVEY ROADUniversity D rive Pedestrian Improvements Phases 2-5 1 in = 300 ft City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0247 Name:Wellborn CCN Swap Status:Type:Contract Consent Agenda File created:In control:4/22/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding changes to the water service area boundaries between the City and Wellborn SUD in four locations. Sponsors:David Coleman Indexes: Code sections: Attachments:WSUD CCN Swap Apr 2016.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding changes to the water service area boundaries between the City and Wellborn SUD in four locations. Relationship to Strategic Goals:Core services and infrastructure Recommendation:Staff recommends approval. Summary: The Texas Public Utilities Commission (PUC) maintains maps that define service area boundaries for public utilities, which are called Certificate of Public Convenience and Necessity (CCN) areas. In reviewing the City’s water CCN maps, and partially in response to ongoing developments, both the City and Wellborn SUD staffs believe it is mutually advantageous to realign certain CCN boundaries, to simplify the administration of the respective CCN areas so as to improve customer service and make development more efficient. For these reasons, staff recommends approval. The attached contract was developed by outside counsel to follow State law for changing CCN boundaries, and on 19 April 2016 it was approved by the Wellborn SUD Board. Staff requests City Council to approve the contract, which would then go to the PUC, to effect CCN changes in the following areas, as shown in the Before and After maps contained in the contract: The West Side (Brushy Area) West of Easterwood Airport, the City’s water service area will follow roughly the City limit line, and Wellborn will serve outside the City. To extend City infrastructure to this area is prohibitively expensive, and Wellborn already has large lines in this area. The Southeast Area (Nantucket Area) The City is already serving water to this portion of the Nantucket area, near Highway 6, in the area of dense development. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0247,Version:1 The Butler Tract (on Holleman South) At Dowling Road and Holleman South, the City’s water service area will follow the southern boundary line of the upcoming development on Mr. Butler’s property, recently rezoned. This will allow the developers on both sides to have just one water provider, rather than both sides having a mix of City and Wellborn. Rock Prairie Road (Williams Creek Estates) At Fitch Parkway and Rock Prairie Road, Wellborn will serve the entire new development known as the Estates of Williams Creek. To have the City serve a few homes along Rock Prairie Road is not practical. Budget & Financial Summary: Funds are available in the Water Operations Budget for PUC filing fees and legal fees. Reviewed and Approved by Legal:Yes Attachment: Contract with maps (available in City Secretary’s office) College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0250 Name:Graham Road Change Order No. 2 Status:Type:Change Order Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding Change Order No. 2 with Elliott Construction, reducing contract number 15300300 by $96,826 for the Graham Road Rehabilitation Project. Sponsors:Donald Harmon Indexes: Code sections: Attachments:Graham Road Map.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding Change Order No. 2 with Elliott Construction, reducing contract number 15300300 by $96,826 for the Graham Road Rehabilitation Project. Relationship to Strategic Goals: ·Core Services and Infrastructure ·Improving Mobility Recommendation(s):Staff recommends approval of Change Order No.2 with Elliott Construction reducing the contract amount by $96,826.00. Summary:This project includes the rehabilitation of Graham Road from Dove Crossing Lane to the Lick Creek crossing. This area of Graham road has experienced significant shifts due to sub-grade issues.The rehabilitation will include removal of pavements and sidewalk,excavation of subgrade,re-compaction of subgrade and chemical stabilization,and replacement of pavement and sidewalk.This project also includes the removal and replacement of approximately 713 linear feet of 18-inch sanitary sewer main. The purpose of this change order is to reconcile the proposed bid quantities to the actual installed quantities of various line items for final closeout.The original bid included hauling to the construction site and compacting select fill material if the contractor came across unsuitable in situ material as determined by proof rolling and/or geotechnical tests.All in place material was tested and approved for use.Pavement markings were also removed from the contract because maintenance crews were re-striping the full corridor of Graham Road from the State Highway 6 Frontage Road to Wellborn Road. Budget & Financial Summary: A portion ($91,653.20) of this deductive change order will be applied to the Streets Capital Improvement Projects Fund and a portion ($5,172.80) will be applied to the Wastewater Capital Improvement Projects Fund. This will result in the project coming in under budget by a total of $184,473.37. These funds will be reallocated to other Streets CIP and Wastewater CIP projects that are currently projected to come in over budget. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0250,Version:1 Attachments: 1.Change Order No. 2 - On file in the City Secretary’s Office 2.Project Location Map College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ GRAHAM RDLO N G MIR E D RBIRMINGHAM RDWHITEWING LNDOVE LANDING AVCRYSTAL DOVE AVDOVE CROSSING LN TURTLE DOVE TRGLENNA CT EMERALD DOVE AVWHITE DOVE TR Graham Road Rehabilitation Project Plot Date: 7/13/2015 Legend Streets s TextApproximate Limits of WorkGraham Road Rehabilitation Project City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0251 Name:Street Surface Sealing Contract Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding a contract (Contract No. 16300351) with Crossroads Asphalt Preservation for the Surface Sealing of City Streets for a not to exceed amount of $150,000. Sponsors:Donald Harmon Indexes: Code sections: Attachments: Action ByDate Action ResultVer. Presentation,possible action,and discussion regarding a contract (Contract No.16300351)with Crossroads Asphalt Preservation for the Surface Sealing of City Streets for a not to exceed amount of $150,000. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of the contract Summary:The City of College Station has an Interlocal Agreement (ILA)with the City of Grand Prairie,which allows us to utilize the pricing obtained by the City of Grand Prairie’s bidding process.Through their Invitation to Bid 15098,The City of Grand Prairie awarded an annual price agreement to Crossroads Asphalt Preservation,Inc.The City of College Station approached the vendor with the request to use this agreement.Crossroads Asphalt agreed to the same pricing terms,and agreed to sign an annual price agreement with bonds and insurance,for a not to exceed amount of $150,000.The initial term of this agreement will expire on October 13, 2016, and can then be renewed for up to four additional one year terms. Budget & Financial Summary: Funds are budgeted and available in the Street Maintenance Fund. Attachments: 1. Contract on file in the City Secretary's Office College Station, TX Printed on 5/12/2016Page 1 of 1 powered by Legistar™ City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0252 Name:Facility Maintenance Construction Contract Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on approving job order construction contract no. 16300389 for various facility corrective maintenance services from Jamail & Smith Construction, LP in the amount of $182,645.29. Contract pricing is available from Jamail & Smith Construction, LP through an interlocal cooperative purchasing agreement the City has with Buyboard. Sponsors:Donald Harmon Indexes: Code sections: Attachments: Action ByDate Action ResultVer. Presentation, possible action, and discussion on approving job order construction contract no. 16300389 for various facility corrective maintenance services from Jamail & Smith Construction, LP in the amount of $182,645.29. Contract pricing is available from Jamail & Smith Construction, LP through an interlocal cooperative purchasing agreement the City has with Buyboard. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of job order construction contract no. 16300389 for various facilities corrective maintenance services from Jamail & Smith Construction, LP in the amount of $182,645.29. Summary:In August of 2013,Faithful+Gould,Inc.conducted a site visit at the City of College Station to complete a comprehensive facilities condition assessment of 36 building and site systems.This corrective maintenance job order contract addresses some of the recommendations in the condition assessment for fiscal year 2016.The projects were selected by prioritization of the most critical components listed in the assessment that can be completed within existing facilities maintenance budgetary resources for FY16. Job Order Projects for the City of College Station FY 2016 $130,036.63 Air Conditioning Replacement (various facilities) $52,608.66 Interior Painting, Utilities $$182,645.29 Jamail & Smith Construction, LP Total College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0252,Version:1 The Interlocal Cooperation Act, Chapter 791 of the Texas Government Code, authorizes local governments to contract directly with other governments to increase their efficiency and effectiveness. Chapter 271, Subchapter F allows the City to participate in cooperative purchasing programs with another local government or a local government organization. The City participates in various local, state and national purchasing cooperatives, including Buyboard. These resources offer very comprehensive line item pricing for the goods and services provided. Budget & Financial Summary: Funds are budgeted and available in the Facility Maintenance operating budget. Attachments: 1. Contract on file in the City Secretary's Office College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0253 Name:Traffic Signal Design Projects Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding a Professional Services Contract No. 16300390 with Binkley & Barfield, Inc. in the amount of $66,895.25 for the professional engineering services related to the design of the traffic signal and intersection improvements at the intersections of FM 30 (Harvey Rd) at George Bush Drive East and FM 2818 (Harvey Mitchell Parkway) at Longmire Drive. Sponsors:Donald Harmon Indexes: Code sections: Attachments:ST1615 Location Map with Heading.pdf ST1616 Location Map- with Heading.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding a Professional Services Contract No. 16300390 with Binkley & Barfield, Inc. in the amount of $66,895.25 for the professional engineering services related to the design of the traffic signal and intersection improvements at the intersections of FM 30 (Harvey Rd) at George Bush Drive East and FM 2818 (Harvey Mitchell Parkway) at Longmire Drive. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of the professional services contract. Summary:In 2015,the City of College Station worked with the TxDOT district office to submit projects for Highway Safety Improvement Program (HSIP)funds.HSIP funds are allocated based upon crash history and the ability for the project to provide a safety benefit.Of the projects submitted in 2015,reconstruction of the traffic signals at the intersections of FM 30 (Harvey Road)at George Bush Drive East and FM 2818 (Harvey Mitchell Parkway)at Longmire Drive were selected to receive construction funds. The allocated HSIP funds only include construction dollars and these dollars cannot be used for the design of the new traffic signal.Therefore,to move forward with these projects,TxDOT needs the City of College Station to provide a design for these intersections.Once these designs are complete,TxDOT will use the allocated HSIP funds to construct these traffic signals.These traffic signal reconstructions will include upgrades to the traffic signal equipment,pedestrian ramps, and sidewalk segments that are within the project limits.These projects will improve safety and mobility for people walking, biking, or driving through these intersections. Budget & Financial Summary: Budget in the amount of $150,000 has been allocated for each of these projects ($300,000 College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0253,Version:1 total). These funds will be used for project design as well as signal upgrades that will not be covered by HSIP funds. These include powder coating and the purchase/installation of communications equipment required for compatibility with the City’s Intelligent Transportation System (ITS). The budget for these projects will come from Traffic Signal funds approved as part of the 2008 GOB Authorization. Attachments: 1.Contract No. 16300390 (on file with the City Secretary) 2.Project Location Maps for both intersections College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ GEORGE BUSH DRHARVEY RD ST-1615George Bush Drive East at FM 30 (Harvey Road)Signal Improvements Project LONGM IREDRIVELONGMIREDRIVEVALLEYVIEWDRIVEHARVEY MITCHELL PARKWAY SOUTHHARVEYMITCHELLPARKWAYSOUTH ST-1616Longmire Dr at FM 2818 (Harvey Mitchell Parkway)Signal Improvements Project City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0254 Name:Langford Street Sidewalk Construction Contract Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding a $265,597.50 construction contract (No. 16300329) with Larry Young Paving, Inc. for sidewalk improvements along Langford Street. Sponsors:Donald Harmon Indexes: Code sections: Attachments:16-060 Tabulation.pdf Langford St Sidewalks Project Location Map.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding a $265,597.50 construction contract (No. 16300329) with Larry Young Paving, Inc. for sidewalk improvements along Langford Street. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of this contract. Summary:The Langford Street Sidewalk Improvements Project (ST-1408)will construct a sidewalk at the back of curb on the west side of Langford between Haines Drive and Guadalupe Drive. Budget &Financial Summary:A budget of $342,544 is included for this project in the Streets Capital Improvement Projects Fund.A total of $72,446 has been expended or committed to date,leaving a balance of $270,098 for construction and related expenditures. Attachments: 1.Contract No. 16300329 (on file with the City Secretary) 2.Bid Tabulation 16-060 3.Project Location Map College Station, TX Printed on 5/12/2016Page 1 of 1 powered by Legistar™ City of College Station - Purchasing Division Bid Tabulation for #16-060 "Langford Street Sidewalk Improvements" Open Date: Tuesday, March 29, 2016 @ 2:00 p.m. ITEM NO.ITEM DESCRIPTION UNIT QTY UNIT PRICE IN FIGURES TOTAL IN FIGURES UNIT PRICE IN FIGURES TOTAL IN FIGURES UNIT PRICE IN FIGURES TOTAL IN FIGURES UNIT PRICE IN FIGURES TOTAL IN FIGURES UNIT PRICE IN FIGURES TOTAL IN FIGURES UNIT PRICE IN FIGURES TOTAL IN FIGURES 1 Insurance and Mobilization for all material, equipment and labor to complete the project (not to exceed 5% of construction) LS 1 $12,647.50 $12,647.50 $11,300.00 $11,300.00 $6,032.80 $6,032.80 $17,000.00 $17,000.00 $20,678.37 $20,678.37 $21,985.51 $21,985.51 2 Erosion and Sedimentation Control including silt fencing, inlet protection, erosion control measures until ground cover established including related items & appurtenances, complete in place LS 1 $3,800.00 $3,800.00 $1,500.00 $1,500.00 $7,740.00 $7,740.00 $6,500.00 $6,500.00 $4,195.61 $4,195.61 $4,000.00 $4,000.00 3 Traffic Control Plan including related items & appurtenances, complete in place LS 1 $4,000.00 $4,000.00 $12,099.00 $12,099.00 $6,450.00 $6,450.00 $21,500.00 $21,500.00 $3,890.65 $3,890.65 $15,000.00 $15,000.00 4 Site grading & clean-up including top soil replacement & final grading of disturbed areas; complete in place LS 1 $5,000.00 $5,000.00 $2,500.00 $2,500.00 $6,450.00 $6,450.00 $6,000.00 $6,000.00 $1,438.50 $1,438.50 $6,000.00 $6,000.00 5 Sodding includes smoothing, fertilizer, watering, maintenance, and clean-up, (2' wide strip) complete in place LF 2103 $3.00 $6,309.00 $3.31 $6,960.93 $5.16 $10,851.48 $2.50 $5,257.50 $3.35 $7,045.05 $2.25 $4,731.75 6 Remove sidewalk pavement including related items & appurtenances SY 1447 $10.00 $14,470.00 $6.76 $9,781.72 $12.90 $18,666.30 $24.75 $35,813.25 $22.66 $32,789.02 $16.00 $23,152.00 7 Remove driveway pavement including concrete, curb, gutter, asphalt, related items & appurtenances SY 865 $10.00 $8,650.00 $13.37 $11,565.05 $25.80 $22,317.00 $27.00 $23,355.00 $19.54 $16,902.10 $18.00 $15,570.00 8 Remove roadway pavement including concrete, curb, gutter, asphalt, related items & appurtenances SY 393 $10.00 $3,930.00 $12.38 $4,865.34 $25.80 $10,139.40 $29.00 $11,397.00 $24.30 $9,549.90 $18.00 $7,074.00 9 Remove/prep crosswalk/stop bar paint striping including related items and appurtenances complete in place LF 443 $8.00 $3,544.00 $8.62 $3,818.66 $8.60 $3,809.80 $11.25 $4,983.75 $8.13 $3,601.59 $2.50 $1,107.50 10 Adjust existing meters, valves, cleanouts & related items and appurtenances, complete in place EA 5 $200.00 $1,000.00 $200.00 $1,000.00 $322.50 $1,612.50 $200.00 $1,000.00 $1,288.49 $6,442.45 $700.00 $3,500.00 11 Adjust to new grade existing water supply vault & related items and appurtenances, complete in place EA 1 $800.00 $800.00 $200.00 $200.00 $6,450.00 $6,450.00 $450.00 $450.00 $821.86 $821.86 $1,500.00 $1,500.00 12 Adjust to new grade existing electrical junction box & related items and appurtenances, complete in place EA 1 $1,500.00 $1,500.00 $200.00 $200.00 $645.00 $645.00 $1,000.00 $1,000.00 $944.12 $944.12 $1,500.00 $1,500.00 13 Remove and reset existing mail box EA 11 $150.00 $1,650.00 $150.00 $1,650.00 $258.00 $2,838.00 $200.00 $2,200.00 $249.50 $2,744.50 $200.00 $2,200.00 14 Remove and Reset Existing Signage including related items & appurtenances, complete in place EA 8 $450.00 $3,600.00 $465.75 $3,726.00 $322.50 $2,580.00 $225.00 $1,800.00 $539.44 $4,315.52 $300.00 $2,400.00 15 Remove and dispose of existing tree and stump EA 4 $450.00 $1,800.00 $517.50 $2,070.00 $645.00 $2,580.00 $800.00 $3,200.00 $455.91 $1,823.64 $600.00 $2,400.00 16 Tree protection, root pruning, fertilization, related items & appurtenances LS 1 $2,000.00 $2,000.00 $7,980.00 $7,980.00 $12,900.00 $12,900.00 $2,000.00 $2,000.00 $831.68 $831.68 $4,000.00 $4,000.00 17 Handrail straightening, cleaning, sanding, priming, and painting at Sta 34+50 west side only complete in place LS 1 $2,000.00 $2,000.00 $750.00 $750.00 $3,225.00 $3,225.00 $1,500.00 $1,500.00 $1,367.53 $1,367.53 $3,000.00 $3,000.00 18 Concrete Sidewalk including required grading, embedment, finishing, related items & appurtenances, complete in place SY 1742 $45.00 $78,390.00 $54.60 $95,113.20 $46.44 $80,898.48 $52.00 $90,584.00 $60.01 $104,537.42 $70.00 $121,940.00 Larry Young Paving, Inc.SJ&J Construction, LLCGaeke Construction Company, Inc. Marek Brothers Constructions, Inc.Palomares Construction, Inc.Dudley Construction, LTD City of College Station - Purchasing Division Bid Tabulation for #16-060 "Langford Street Sidewalk Improvements" Open Date: Tuesday, March 29, 2016 @ 2:00 p.m. Larry Young Paving, Inc.SJ&J Construction, LLCGaeke Construction Company, Inc. Marek Brothers Constructions, Inc.Palomares Construction, Inc.Dudley Construction, LTD 19 Concrete Roadway Pavement - 6" 3,500 PSI with #4 Gr. 60 rebar reinforcement @ 18" O.C.E.W including required grading, embedment, finishing, related items & appurtenances, complete in place SY 381 $50.00 $19,050.00 $63.66 $24,254.46 $51.60 $19,659.60 $58.00 $22,098.00 $160.68 $61,219.08 $135.00 $51,435.00 20 Concrete Commercial Driveway Pavement - 6" 3,000 PSI with #4 Gr. 60 rebar reinforcement @ 18" O.C.E.W including required grading, embedment, finishing, related items & appurtenances, complete in place SY 190 $50.00 $9,500.00 $76.08 $14,455.20 $51.60 $9,804.00 $57.00 $10,830.00 $83.11 $15,790.90 $130.00 $24,700.00 21 Concrete Residential Driveway Pavement-4" 3,000 PSI with #4 Gr 60 rebar reinforcement @ 18" O.C.E.W. including required grading, related items & appurtenances, complete in place SY 656 $45.00 $29,520.00 $65.05 $42,672.80 $46.44 $30,464.64 $55.00 $36,080.00 $57.23 $37,542.88 $100.00 $65,600.00 22 Handicap Ramp EA 22 $650.00 $14,300.00 $661.31 $14,548.82 $645.00 $14,190.00 $1,200.00 $26,400.00 $1,045.20 $22,994.40 $1,800.00 $39,600.00 23 12" Wide White Crosswalk Striping LF 1052 $8.50 $8,942.00 $8.85 $9,310.20 $9.48 $9,972.96 $7.00 $7,364.00 $8.81 $9,268.12 $22.00 $23,144.00 24 24" Wide White Stop Bar Striping LF 74 $17.00 $1,258.00 $17.35 $1,283.90 $18.96 $1,403.04 $14.00 $1,036.00 $17.62 $1,303.88 $25.00 $1,850.00 25 Not Used - Removed by Addendum 26 Provide and install new concrete curb and gutter LF 130 $28.50 $3,705.00 $20.00 $2,600.00 $32.25 $4,192.50 $10.00 $1,300.00 $35.09 $4,561.70 $30.00 $3,900.00 27 Provide and install new 8' x 5' galvanized/aluminum walking plate-bridge at flume complete in place EA 1 $5,000.00 $5,000.00 $884.00 $884.00 $3,870.00 $3,870.00 $3,500.00 $3,500.00 $1,808.37 $1,808.37 $2,500.00 $2,500.00 28 Powerwash/remove paint from curb LF 558 $2.00 $1,116.00 $0.82 $457.56 $2.54 $1,417.32 $1.50 $837.00 $2.40 $1,339.20 $3.00 $1,674.00 29 Paint curb with "Safety Yellow" providing materials and labor, as noted in plans with lettering complete in place LF 558 $2.00 $1,116.00 $1.85 $1,032.30 $2.08 $1,160.64 $2.00 $1,116.00 $2.40 $1,339.20 $4.00 $2,232.00 30 Irrigation relocation allowance - This item covers material and labor for relocating private irrigation lines, spray heads, controls, etc. that may lie within the R.O.W. work zone complete in place. This item may not be used and may not affect the unit cost of other items. The contractor shall submit for approval invoicing for this work. All irrigation relocates shall be identified to the City Inspector. LS 1 $17,000.00 $17,000.00 $1,500.00 $1,500.00 $6,450.00 $6,450.00 $2,500.00 $2,500.00 $1,198.75 $1,198.75 $4,000.00 $4,000.00 Notes: - Totals highlighted in Blue indicate a correction basd on the unit price provided. - Bid submitted by TexCon General Contractions was withdrawn by the vendor. GRAND TOTAL Addendum Acknowledged Bid Certification Y $265,597.50 Bid Bond Y Y $461,695.76 Y Y Y $290,079.14 Y Y Y $308,770.46 Y Y Y $348,601.50 Y Y Y $382,285.99 Y Y Y W E LS H A V E N U ESOUTHWOODDRIVEHAINES DRIVEWINDINGROADMEDINAD R IV E LAWYERSTREETCONCHOPLACELEONA D R IV ECAUDILLSTREET ARBOLESCIRCLEORRSTREETAUGUSTINECOURTANGELINACOURTLEO N ADRIVEM EDINADRIVE ST-1408: Langford St Sidewalk Improvements Project Location Map City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0255 Name:Victoria and SH 40 Traffic Signal Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding a construction contract (No. 16300337) with Brazos Paving, Inc., in the amount of $680,335.37, for the construction of a new traffic signal at the intersection of State Highway 40 and Victoria Avenue. Sponsors:Donald Harmon Indexes: Code sections: Attachments:16-062 Tab.pdf SH 40 and Victoria Signal Project Location Map.pdf Action ByDate Action ResultVer. Presentation,possible action,and discussion regarding a construction contract (No.16300337)with Brazos Paving,Inc.,in the amount of $680,335.37,for the construction of a new traffic signal at the intersection of State Highway 40 and Victoria Avenue. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of this contract. Summary: The State Highway 40 and Victoria Avenue Signal and Intersection Improvements Project (ST-1503) will construct new traffic and pedestrian crossing signals at the intersection of State Highway 40 and Victoria Avenue along with associated pavement markings and sidewalks. Budget &Financial Summary:Budget in the amount of $800,000 is included for this project in the Streets Capital Improvement Projects Fund.A total of $105,053 has been expended or committed to date,leaving a balance of $694,947 for this contract and remaining expenditures.The budget for this project will come from Traffic Signal funds approved as part of the 2008 GOB Authorization. Attachments: 1.Contract No. 16300337 (on file with the City Secretary) 2.Bid Tabulation 16-062 3.Project Location Map College Station, TX Printed on 5/12/2016Page 1 of 1 powered by Legistar™ City of College Station - Purchasing Division Bid Tabulation for #16-062 "Hwy 40 and Victoria Avenue Signal Improvements" Open Date: Friday, April 1, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE A. GENERAL ITEMS 1 1 LS MOBILIZATION (B/CS SPEC) $45,000.00 $45,000.00 $100,000.00 $100,000.00 2 5MOBARRICADES, SIGNS AND TRAFFIC HANDLING $3,700.00 $18,500.00 $15,000.00 $75,000.00 3 1ACPREPARING ROW $15,000.00 $15,000.00 $5,000.00 $5,000.00 B. ROADWAY CONSTRUCTION ITEMS 4 93 LF REMOVING CONC (CURB AND GUTTER) $18.00 $1,674.00 $30.00 $2,790.00 5 10 SY REMOVING CONC (WHEELCHAIR RAMP)$25.00 $250.00 $80.00 $800.00 6 690 SY REMOVING STAB BASE AND ASPH PAV (20"-31").$19.15 $13,213.50 $35.00 $24,150.00 7 580 CY EMBANKMENT (FINAL)(DENS CONT)(TY A)$30.00 $17,400.00 $45.00 $26,100.00 8 1,250 SY COMPOST MANUF TOPSOIL (4")$4.40 $5,500.00 $8.00 $10,000.00 9 1,250 SY STRAW/HAY MLCH SEED(PERM)(URBAN)(CLAY)$1.05 $1,312.50 $5.00 $6,250.00 10 170 SY FL BS (CMP IN PLC)(TY A GR 1-2) (20")$65.00 $11,050.00 $113.00 $19,210.00 11 370 SY FL BS (CMP IN PLC)(TY A GR 1-2) (16")$52.00 $19,240.00 $92.00 $34,040.00 12 170 SY D-GR HMA TY-C SAC-A PG70-22 (3.5")$31.00 $5,270.00 $45.00 $7,650.00 13 170 SY CONC PVMT (CONT REINF - CRCP) (8")$68.00 $11,560.00 $90.00 $15,300.00 14 4EACONCRETE SIDEWALK FLUME $850.00 $3,400.00 $1,500.00 $6,000.00 15 185 LF CONC CURB & GUTTER (TY II)$25.00 $4,625.00 $45.00 $8,325.00 16 590 LF CONC CURB & GUTTER (TY II) (42" WIDE SEE PLANS)$36.00 $21,240.00 $45.00 $26,550.00 17 470 SY CONC SIDEWALKS (4")$60.00 $28,200.00 $55.00 $25,850.00 18 5EACURB RAMPS (TY 7)$650.00 $3,250.00 $1,000.00 $5,000.00 19 6EAIN SM RD SN SUP&AM TY10BWG(1)SA(P)$530.80 $3,184.80 $482.52 $2,895.12 20 70 LF REFL PAV MRK TY II (W) 4" (DOT)$2.75 $192.50 $2.50 $175.00 21 454 LF REFL PAV MRK TY II (W) 4" (SLD)$1.32 $599.28 $1.20 $544.80 22 40 LF REFL PAV MRK TY II (W) 8" (DOT)$3.60 $144.00 $3.25 $130.00 23 532 LF REFL PAV MRK TY II (W) 8" (SLD)$2.75 $1,463.00 $2.50 $1,330.00 24 765 LF REFL PAV MRK TY II (W) 12" (SLD)$3.08 $2,356.20 $2.80 $2,142.00 25 251 LF REFL PAV MRK TY II (W) 24" (SLD)$5.60 $1,405.60 $5.10 $1,280.10 26 16 EA REFL PAV MRK TY II (W) (ARROW)$88.00 $1,408.00 $80.00 $1,280.00 27 2EAREFL PAV MRK TY II (W) (DBL ARROW)$99.00 $198.00 $90.00 $180.00 28 3EAREFL PAV MRK TY II (W) (WORD)$93.50 $280.50 $85.00 $255.00 29 7EAREFL PAV MRK TY II (W) (BIKE ARROW)$49.50 $346.50 $45.00 $315.00 30 7EAREFL PAV MRK TY II (W) (BIKE SYMBOL)$71.50 $500.50 $65.00 $455.00 31 880 LF REFL PAV MRK TY II (Y) 4" (SLD)$1.32 $1,161.60 $1.20 $1,056.00 32 27 EA REFL PAV MRKR TY I-C $16.50 $445.50 $15.00 $405.00 33 1,429 LF ELIM EXT PAV MRK & MRKS (4")$1.10 $1,571.90 $1.00 $1,429.00 34 308 LF ELIM EXT PAV MRK & MRKS (8")$2.53 $779.24 $2.30 $708.40 35 103 LF ELIM EXT PAV MRK & MRKS (12")$4.15 $427.45 $3.75 $386.25 36 206 LF ELIM EXT PAV MRK & MRKS (24")$6.90 $1,421.40 $6.25 $1,287.50 37 8EAELIM EXT PAV MRK & MRKS (ARROW)$104.50 $836.00 $95.00 $760.00 38 2EAELIM EXT PAV MRK & MRKS (WORD)$121.00 $242.00 $110.00 $220.00 39 1,334 LF PAV SURF PREP FOR MRK (4")$0.02 $26.68 $0.01 $13.34 40 572 LF PAV SURF PREP FOR MRK (8")$0.03 $17.16 $0.02 $11.44 41 765 LF PAV SURF PREP FOR MRK (12")$0.06 $45.90 $0.05 $38.25 42 251 LF PAV SURF PREP FOR MRK (24")$0.11 $27.61 $0.10 $25.10 43 16 EA PAV SURF PREP FOR MRK (ARROW)$5.50 $88.00 $5.00 $80.00 44 2EAPAV SURF PREP FOR MRK (DBL ARROW)$5.50 $11.00 $5.00 $10.00 45 3EAPAV SURF PREP FOR MRK (WORD)$5.50 $16.50 $5.00 $15.00 46 7EAPAV SURF PREP FOR MRK (BIKE ARROW)$5.50 $38.50 $5.00 $35.00 47 7EAPAV SURF PREP FOR MRK (BIKE SYMBOL)$5.50 $38.50 $5.00 $35.00 48 27 EA PAV SURF PREP FOR MRK (RPM)$1.10 $29.70 $1.00 $27.00 Brazos Paving, Inc. (Bryan, TX) Larry Young Paving, Inc. (College Station, TX) A. GENERAL ITEMS - TOTAL $180,000.00$78,500.00 B. ROADWAY CONSTRUCTION ITEMS - TOTAL $166,488.52 $235,539.30 Page 1 of 3 City of College Station - Purchasing Division Bid Tabulation for #16-062 "Hwy 40 and Victoria Avenue Signal Improvements" Open Date: Friday, April 1, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Brazos Paving, Inc. (Bryan, TX) Larry Young Paving, Inc. (College Station, TX) C. TRAFFIC SIGNAL CONSTRUCTION ITEMS 49 16 LF DRILL SHAFT (RDWY ILL POLE) (30 IN) $275.00 $4,400.00 $250.00 $4,000.00 50 41 LF DRILL SHAFT (TRF SIG POLE) (36 IN) $385.00 $15,785.00 $350.00 $14,350.00 51 22 LF DRILL SHAFT (TRF SIG POLE) (48 IN) $495.00 $10,890.00 $450.00 $9,900.00 52 2 EA IN RD IL (TY SA) 30T-8 (250W EQ) LED $3,850.00 $7,700.00 $3,500.00 $7,000.00 53 175 LF CONDT (PVC) (SCH 40) (2") $8.50 $1,487.50 $7.70 $1,347.50 54 80 LF CONDT (PVC) (SCH 40) (2") (BORE) $18.15 $1,452.00 $16.50 $1,320.00 55 415 LF CONDT (PVC) (SCH 40) (3") $12.10 $5,021.50 $11.00 $4,565.00 56 355 LF CONDT (PVC) (SCH 40) (3") (BORE) $20.90 $7,419.50 $19.00 $6,745.00 57 485 LF CONDT (PVC) (SCH 40) (4") $18.15 $8,802.75 $16.50 $8,002.50 58 1245 LF CONDT (PVC) (SCH 40) (4") (BORE) $24.20 $30,129.00 $22.00 $27,390.00 59 30 LF CONDT (RM) (4") $38.50 $1,155.00 $35.00 $1,050.00 60 1540 LF ELEC CONDR (NO.6) BARE $2.20 $3,388.00 $2.00 $3,080.00 61 1710 LF TRAY CABLE (3 CONDR) (10 AWG) $2.20 $3,762.00 $2.00 $3,420.00 62 20 LF DCT CBL (3 NO.4) (2 INSULATED 1 BARE) $11.00 $220.00 $10.00 $200.00 63 3 EA GROUND BOX TY 1 (243636) W/APRON $1,650.00 $4,950.00 $1,500.00 $4,500.00 64 6 EA GROUND BOX TY D (162922)W/APRON $935.00 $5,610.00 $825.00 $4,950.00 65 1 EA ELC SRV TY D 120/240 060(NS)SS(E)PS(U) $7,150.00 $7,150.00 $6,500.00 $6,500.00 66 1 EA INSTALL HWY TRF SIG (ISOLATED) $26,400.00 $26,400.00 $24,000.00 $24,000.00 67 11 EA VEH SIG SEC (12")LED(GRN) $330.00 $3,630.00 $300.00 $3,300.00 68 4 EA VEH SIG SEC (12")LED(GRN ARW) $330.00 $1,320.00 $300.00 $1,200.00 69 12 EA VEH SIG SEC (12")LED(YEL) $330.00 $3,960.00 $300.00 $3,600.00 70 4 EA VEH SIG SEC (12")LED(YEL ARW) $330.00 $1,320.00 $300.00 $1,200.00 71 12 EA VEH SIG SEC (12")LED(RED) $330.00 $3,960.00 $300.00 $3,600.00 72 2 EA VEH SIG SEC (12")LED(RED ARW) $330.00 $660.00 $300.00 $600.00 73 12 EA PED SIG SEC (LED)(COUNTDOWN) $880.00 $10,560.00 $800.00 $9,600.00 74 12 EA BACK PLATE (12")(3 SEC)(VENTED)ALUM $165.00 $1,980.00 $150.00 $1,800.00 75 2 EA BACK PLATE (12")(5 SEC)(VENTED)ALUM $220.00 $440.00 $200.00 $400.00 76 2980 LF TRF SIG CBL (TY A)(14 AWG)(5 CONDR) $3.30 $9,834.00 $3.00 $8,940.00 77 2710 LF TRF SIG CBL (TY A)(14 AWG)(7 CONDR) $4.40 $11,924.00 $4.00 $10,840.00 78 1400 LF TRF SIG CBL (TY A)(16 AWG)(3 CONDR) $2.20 $3,080.00 $2.00 $2,800.00 79 1 EA INS TRF SIG PL AM(S)1 ARM(44')LUM $11,550.00 $11,550.00 $10,500.00 $10,500.00 80 1 EA INS TRF SIG PL AM(S)1 ARM(48')LUM $13,200.00 $13,200.00 $12,000.00 $12,000.00 81 1 EA INS TRF SIG PL AM(S)2 ARM(44-36')LUM $16,500.00 $16,500.00 $15,000.00 $15,000.00 82 1 EA INS TRF SIG PL AM(S)2 ARM(60-40')LUM $26,400.00 $26,400.00 $24,000.00 $24,000.00 83 3 EA PED POLE ASSEMBLY $1,815.00 $5,445.00 $1,650.00 $4,950.00 84 1 EA PEDESTRIAN PUSH BUTTON POLE $1,815.00 $1,815.00 $1,650.00 $1,650.00 85 12 EA PED DETECT PUSH BUTTON (APS) $1,210.00 $14,520.00 $1,100.00 $13,200.00 86 6 EA RADAR PRESENCE DETECTOR $7,700.00 $46,200.00 $7,000.00 $42,000.00 87 2302 LF RADAR PRESENCE DETECTOR COMM CABLE $3.30 $7,596.60 $3.00 $6,906.00 88 1 EA BBU SYSTEM (STAND-ALONE BATT CABINET) $9,680.00 $9,680.00 $8,800.00 $8,800.00 89 1 LS OPTICOM SYSTEM AND CABLE $13,200.00 $13,200.00 $12,000.00 $12,000.00 90 1 LS PTZ CAMERA AND RG-59 SIAMESE CABLE $12,100.00 $12,100.00 $11,000.00 $11,000.00 D. STORM DRAIN CONSTRUCTION ITEMS 91 194 LF RC PIPE (CL III)(30 IN) $125.00 $24,250.00 $200.00 $38,800.00 92 6 EA SET (TY II) (30 IN) (RCP) (6: 1) (P) $3,850.00 $23,100.00 $6,500.00 $39,000.00 93 1 EA INLET (COMPL)(CURB)(TY 2)(5') $4,800.00 $4,800.00 $7,500.00 $7,500.00 94 1 EA REMOV STR (INLET) $1,500.00 $1,500.00 $3,000.00 $3,000.00 95 6 EA REMOV STR (SET) $850.00 $5,100.00 $1,200.00 $7,200.00 C. TRAFFIC SIGNAL CONSTRUCTION ITEMS - TOTAL $376,596.85 $342,206.00 $58,750.00 $95,500.00 TOTAL BASE BID (ITEMS A - D)$680,335.37 $853,245.30 D. STORM DRAIN CONSTRUCTION ITEMS - TOTAL Page 2 of 3 City of College Station - Purchasing Division Bid Tabulation for #16-062 "Hwy 40 and Victoria Avenue Signal Improvements" Open Date: Friday, April 1, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Brazos Paving, Inc. (Bryan, TX) Larry Young Paving, Inc. (College Station, TX) E. ALTERNATE BID ITEMS 96 120 SY REMOVING GRAVEL DRIVEWAY $6.00 $720.00 $20.00 $2,400.00 97 360 CY EMBANKMENT (FINAL)(DENS CONT)(TY A) $30.00 $10,800.00 $45.00 $16,200.00 98 2950 SY COMPOST MANUF TOPSOIL (4") $4.40 $12,980.00 $5.00 $14,750.00 99 2950 SY STRAW/HAY MLCH SEED(PERM)(URBAN)(CLAY) $0.85 $2,507.50 $4.00 $11,800.00 100 1170 SY REMOVING STAB BASE AND ASPH PAV (20"-31"). $19.00 $22,230.00 $35.00 $40,950.00 101 1330 SY FL BS (CMP IN PLC)(TY A GR 1-2) (20") $42.00 $55,860.00 $50.00 $66,500.00 102 1170 SY D-GR HMA TY-C SAC-A PG70-22 (3.5") $31.00 $36,270.00 $30.00 $35,100.00 103 1 LS MOBILIZATION $9,300.00 $9,300.00 $5,000.00 $5,000.00 104 120 SY DRIVEWAYS (6" GRAVEL) $18.00 $2,160.00 $20.00 $2,400.00 105 4 EA IN SM RD SN SUP&AM TY10BWG(1)SA(T) $531.00 $2,124.00 $482.00 $1,928.00 106 2EARELOCATE SM RD SN SUP&AM TY 10BWG $362.00 $724.00 $329.14 $658.28 107 70 LF REFL PAV MRK TY II (W) 4" (DOT) $2.75 $192.50 $2.50 $175.00 108 1263 LF REFL PAV MRK TY II (W) 4" (SLD) $1.32 $1,667.16 $1.20 $1,515.60 109 960 LF REFL PAV MRK TY II (W) 8" (SLD) $2.75 $2,640.00 $2.50 $2,400.00 110 4 EA REFL PAV MRK TY II (W) (ARROW) $88.00 $352.00 $80.00 $320.00 111 8 EA REFL PAV MRK TY II (W) (WORD) $93.50 $748.00 $85.00 $680.00 112 47 EA REFL PAV MRKR TY I-C $16.50 $775.50 $15.00 $705.00 113 1567 LF ELIM EXT PAV MRK & MRKS (4") $1.10 $1,723.70 $1.00 $1,567.00 114 1333 LF PAV SURF PREP FOR MRK (4") $0.02 $26.66 $0.01 $13.33 115 960 LF PAV SURF PREP FOR MRK (8") $0.03 $28.80 $0.02 $19.20 116 4 EA PAV SURF PREP FOR MRK (ARROW) $5.50 $22.00 $5.00 $20.00 117 8 EA PAV SURF PREP FOR MRK (WORD) $5.50 $44.00 $5.00 $40.00 118 47 EA PAV SURF PREP FOR MRK (RPM) $1.10 $51.70 $1.00 $47.00 TOTAL BID AMOUNT (Total Base Bid + Alternate Bid Items) $205,188.41 $844,282.89 $1,058,433.71 NOTES: Brazos Paving, Inc.: »Bidder miscalculated Bid Item 26, B. Roadway Construction Items, Total Base Bid and Total Base Bid Amount. The highlighted amounts above are correct. Larry Young Paving, Inc. »Bidder miscalculated Bid Item 105, E. Alternate Bid Items Total and Total Bid Amount. The highlighted amounts above are correct. $163,947.52E. ALTERNATE BID ITEMS - TOTAL Page 3 of 3 Carlisle CourtRavenstoneLoopRockcliffe LoopRockyCreekTrailRockinghamLoopHanna CourtBerwickPlaceBelsay AvenueBrougham PlaceRockBendDriveL u d lo w LaneMiddleham AvenueColchesterCourtArundel CourtSilverOakCourtBelvoirCourtV i c t o r i a A v e n u eCastleRockParkway CastlegateDriveST-1503 SH 40 and VICTORIA AVEINTERSECTION and SIGNAL IMPROVEMENTSPROJECT LOCATION MAP City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0256 Name:Munson Avenue Construction Contract Status:Type:Contract Consent Agenda File created:In control:4/25/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on a construction contract (Contract No. 16300334) with Elliott Construction, LLC in the amount of $2,451,453.51 for the Munson Avenue Rehabilitation Project and presentation, possible action, and discussion on a resolution declaring intention to reimburse certain expenditures with proceeds from debt. Sponsors:Donald Harmon Indexes: Code sections: Attachments:16-061 Tab.pdf Munson DRR.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion on a construction contract (Contract No. 16300334) with Elliott Construction, LLC in the amount of $2,451,453.51 for the Munson Avenue Rehabilitation Project and presentation, possible action, and discussion on a resolution declaring intention to reimburse certain expenditures with proceeds from debt. Relationship to Strategic Goals: ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of the contract and recommends approval of the resolution declaring intention to reimburse certain expenditures with proceeds from debt. Summary: The Munson Avenue Rehabilitation Project will rehabilitate Munson Avenue from Lincoln Avenue to Dominic Drive, approximately 3,400 linear feet. The improvements will include new concrete pavement. Other improvements include the rehabilitation of water and waste water lines within the project limits and installing a section of underground duct bank for future electrical utilities. Budget &Financial Summary:A total project budget of $2,585,000 is included for this project in the Streets Capital Improvement Projects Fund,Water Capital Improvement Projects Fund and the Wastewater Capital Improvement Projects Fund.A total of $424,263 has been expended or committed to date,leaving a balance of $2,160,737.The street rehab portion of the construction contract exceeds the funds available in the Streets Capital Improvement Projects Fund for this project.Additional budget in the amount of $400,000 will be transferred from the Luther Street rehabilitation project to offset the overage.The “Resolution Declaring Intention to Reimburse Certain Expenditures with Proceeds from Debt”is necessary for this item because the long term debt that is projected to be issued for a portion of this project has not yet been issued. The debt for the project is scheduled to be issued later this fiscal year. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0256,Version:1 Attachments: 1.Contract on file in the City Secretary's Office 2.Bid Tab 3.Resolution Declaring Intention to Reimburse Certain Expenditures with Proceeds from Debt College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE GENERAL ITEMS 1 1LS Mobilization, bonds and insurance as required in the specifications.$144,000.00 $144,000.00 $255,000.00 $255,000.00 REMOVALS 2 10085 SY Mill 3" average asphalt pavement per shown on plans & specifications and dispose offsite, to include all material, labor and equipment to complete the work. $3.75 $37,818.75 $3.50 $35,297.50 3 10085 SY Pulverize, stockpile and haul away a 10" thick average of stabilized flexbase, subbase and subgrade per plans & specifications and excess to be disposed offsite, to include all material, labor and equipment to complete the work. $7.00 $70,595.00 $8.00 $80,680.00 4 940 SY Remove and haul concrete pavement per plans & specifications and dispose offsite, to include all material, labor and equipment to complete the work. $11.00 $10,340.00 $27.00 $25,380.00 5 1430 SY Remove sidewalks as shown on plans & specifications and dispose offsite, to include all material, labor and equipment to complete the work.$11.00 $15,730.00 $27.00 $38,610.00 6 859 SY Remove driveway as shown on plans & specifications and dispose offsite, to include of material, labor and equipment to complete the work.$11.00 $9,449.00 $35.00 $30,065.00 7 6265 LF Remove and haul curb and gutter per plans & specifications and dispose offsite, to include all material, labor and equipment to complete the work. $7.00 $43,855.00 $16.00 $100,240.00 8 48 EA Remove and haul off trees per plans & specifications and dispose offsite, to include all material, labor and equipment to complete the work. $500.00 $24,000.00 $1,000.00 $48,000.00 9 1495 LF Remove sanitary sewer line and 14 manholes and dispose of materials offsite as required by regulations and as shown on plans & specifications to include all material, labor and equipment to complete the work.$16.00 $23,920.00 $38.00 $56,810.00 10 1LS Fill sanitary sewer manhole with cement stabilized sand @ Gilchrist and Munson as required by regulations and as shown on plans & specifications to include all material, labor and equipment to complete the work.$520.00 $520.00 $4,000.00 $4,000.00 11 2430 LF Grout 18" water line to include all material, labor and equipment to complete the work.$14.00 $34,020.00 $25.00 $60,750.00 12 1137 LF Grout 6" sewer line to include all material, labor and equipment to complete the work.$6.00 $6,822.00 $20.00 $22,740.00 13 8EA Remove or grout old water service lines not modified for use, to include all material, labor and equipment to complete the work.$200.00 $1,600.00 $600.00 $4,800.00 14 18 EA Remove or grout old sewer service lines not modified for use, to include all material, labor and equipment to complete the work.$350.00 $6,300.00 $600.00 $10,800.00 15 1LS Remove existing pavement markings and striping as shown on plans & specifications to include all material, labor and equipment to complete the work.$2,500.00 $2,500.00 $3,000.00 $3,000.00 16 105 LF Remove existing storm drain pipes as shown on plans & specifications and dispose offsite to include all material, labor and equipment to complete the work.$20.00 $2,100.00 $35.00 $3,675.00 $255,000.00$144,000.00 Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) GENERAL ITEMS - TOTAL Page 1 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 17 5EA Remove existing storm inlets & boxes as shown on plans & specifications and dispose offsite to include all material, labor and equipment to complete the work.$2,000.00 $10,000.00 $1,500.00 $7,500.00 18 38 LF Remove existing curb wall along Gilchrist as shown on plans & specifications to dispose offsite to include all material, labor and equipment to complete the work.$12.00 $456.00 $25.00 $950.00 19 3EA Remove existing fire hydrant assemblies as shown on plans & specifications haul location to be determined by City to include all material, labor and equipment to complete the work.$1,100.00 $3,300.00 $850.00 $2,550.00 20 50 EA Remove miscellaneous signs, posts and concrete foundations and haul to location to be determined by City, to include all material, labor and equipment to complete the work.$100.00 $5,000.00 $150.00 $7,500.00 ROADWAY & EARTHWORK 21 200 CY Haul in and place pulverized stockpiled subbase as embankment fill material in roadway, condition and compact to design standards. To include all material, labor and equipment to complete the work. $15.00 $3,000.00 $52.00 $10,400.00 22 630 CY Excavation of material in roadway to meet design grades. To include all material, labor and equipment to complete the work. $15.00 $9,450.00 $45.00 $28,350.00 23 10305 SY Install 8" thick reinforced jointed concrete pavement, including all materials, labor and equipment to complete the work complete and in-place.$49.00 $504,945.00 $52.00 $535,860.00 24 12113 SY Install 6" thickness chemically stabilized subgrade treatment to be determined by the testing firm, to include all material, labor and equipment to complete the work, complete and in-place.$7.50 $90,847.50 $8.50 $102,960.50 25 6339 LF Install mono curb as (monolithically with 8" jointed concrete pavement) shown and included on plans & specifications, to include all material, labor and equipment to complete the work, complete and in-place.$4.50 $28,525.50 $6.50 $41,203.50 26 22029 SF Install concrete sidewalks as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$4.50 $99,130.50 $6.00 $132,174.00 27 126 LF Install curb & gutter as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$27.50 $3,465.00 $25.00 $3,150.00 28 980 SY Install concrete driveway as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$42.00 $41,160.00 $65.00 $63,700.00 29 21 EA Install sidewalk ramps as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$600.00 $12,600.00 $1,200.00 $25,200.00 30 798 SF Install sidewalk pavers as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$6.50 $5,187.00 $28.00 $22,344.00 $308,325.75 $543,347.50REMOVALS - TOTAL Page 2 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 31 224 SY Install asphalt transition sections in the intersections, as shown on plans & specifications, to include HMAC, chemically stabilized road mix, chemically stabilized subgrade and all materials, labor and equipment to complete the work, complete and in-place.$58.30 $13,059.20 $78.00 $17,472.00 32 38 LF Install concrete curb wall, as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in-place.$40.00 $1,520.00 $225.00 $8,550.00 EROSION CONTROL 33 1LS File notice of intent and storm water pollution prevention plan with TCEQ, maintain and post all project information and keep records and report to inspector and engineer.$3,500.00 $3,500.00 $2,500.00 $2,500.00 34 1LS Furnish, install, maintain and remove sediment devices including hay bales, storm drain inlet protection, construction entrance and exits, rock filter dams, watering and other sediment control devices as shown on plans and specifications, complete and in place.$5,000.00 $5,000.00 $16,000.00 $16,000.00 35 1LS Provide tree protection, to include but not limited to: protection fencing, root pruning, fertilization, and tree clearance pruning as shown on plans and specifications and as directed by the Arborists, complete and in place.$8,000.00 $8,000.00 $18,000.00 $18,000.00 36 5991 LF Furnish, install, maintain and remove silt control fencing as shown on plans and specifications, complete and in place.$3.00 $17,973.00 $3.80 $22,765.80 37 60189 SF Block sod all disturbed areas including smoothing, 4" topsoil, fertilizer, watering, maintenance and clean-up as shown on plans and specifications, complete and in place.$0.54 $32,502.06 $0.85 $51,160.65 SANITARY SEWER 38 2587 LF Furnish and Install 8" diameter SDR-26-D3034 PVC sewer pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$90.00 $232,830.00 $52.00 $134,524.00 39 164 LF Furnish and Install 8" diameter C151, CL350 ductile iron sewer pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$115.00 $18,860.00 $72.00 $11,808.00 40 11 EA Furnish and Install 4' manhole structure with structural backfill as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$4,015.00 $44,165.00 $3,600.00 $39,600.00 41 1EA Furnish and Install connection to existing manhole structure as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$1,100.00 $1,100.00 $1,500.00 $1,500.00 42 2EA Furnish and Install 4' drop manhole structure with structural backfill as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$4,770.00 $9,540.00 $5,200.00 $10,400.00 EROSION CONTROL - TOTAL $66,975.06 $110,426.45 ROADWAY & EARTHWORK - TOTAL $812,889.70 $991,364.00 Page 3 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 43 1LS Furnish and provide all sewer by-pass pumping during the installation of the sewer line system including temporary fittings, plugs and boots. To include all materials, labor and equipment to complete the work, complete and in place.$10,500.00 $10,500.00 $12,000.00 $12,000.00 44 1LS Furnish and provide all sewer TV inspection. To include all materials, labor and equipment to complete the work, complete and in place.$7,100.00 $7,100.00 $6,880.00 $6,880.00 45 4EA Furnish and provide short sewer service lines, taps and 2-way cleanouts. To include all materials, labor and equipment to complete the work, complete and in place.$650.00 $2,600.00 $1,200.00 $4,800.00 46 16 EA Furnish and provide long sewer service lines, taps and 2-way cleanouts. To include all materials, labor and equipment to complete the work, complete and in place.$1,300.00 $20,800.00 $2,000.00 $32,000.00 WATER 47 1LS Furnish and provide the Galvanic Cathodic protection and monitoring system. To include all pavement rated flush to grade test stations, Dielectric insulating joints, IJTS Test board assemblies, exothermic welding, non welded joint strapping, and all materials, labor and equipment to complete the work, complete and in place to plan and specifications and details.$19,000.00 $19,000.00 $21,656.00 $21,656.00 48 2206 LF Furnish and Install 18" diameter ductile iron C151 Class 250 water pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$93.00 $205,158.00 $110.00 $242,660.00 49 159 LF Furnish and Install 6" diameter C900 DR-14 PVC water pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$42.00 $6,678.00 $68.00 $10,812.00 50 58 LF Furnish and Install 8" diameter C900 DR-14 PVC water pipe with structural backfill, as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$45.00 $2,610.00 $89.00 $5,162.00 51 11 LF Furnish and Install 16" diameter ductile iron C151 Class 250 water pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$105.00 $1,155.00 $115.00 $1,265.00 52 3EA Furnish and Install 18"- 45° MJ Bend with thrust blocking as shown on plans and specifications, complete and in place.$1,100.00 $3,300.00 $1,450.00 $4,350.00 53 9EA Furnish and Install 18" MJ Gate Valve and box with thrust blocking, as shown on plans and specifications, complete and in place.$9,950.00 $89,550.00 $11,210.00 $100,890.00 54 1EA Furnish and Install 16" MJ Gate Valve and box with thrust blocking, as shown on plans and specifications, complete and in place.$6,800.00 $6,800.00 $6,740.00 $6,740.00 55 2EA Furnish and Install 2" Air Release Valve assembly as shown on plans and specifications, complete and in place.$3,100.00 $6,200.00 $3,500.00 $7,000.00 56 5EA Furnish and Install 6"MJ Gate Valve and box with thrust blocking, as shown on plans and specifications, complete and in place.$900.00 $4,500.00 $1,800.00 $9,000.00 $347,495.00SANITARY SEWER - TOTAL $253,512.00 Page 4 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 57 3EA Furnish and Install 8"MJ Gate Valve and box with thrust blocking, as shown on plans and specifications, complete and in place.$1,150.00 $3,450.00 $2,150.00 $6,450.00 58 6EA Furnish and Install 18"x18"x6" MJ Tee, as shown on plans and specifications, complete and in place.$1,280.00 $7,680.00 $1,505.00 $9,030.00 59 3EA Furnish and Install 18"x18"x8" MJ Tee, as shown on plans and specifications, complete and in place.$1,350.00 $4,050.00 $1,560.00 $4,680.00 60 1EA Furnish and Install 18"x18"x18" MJ Tee, as shown on plans and specifications, complete and in place.$3,250.00 $3,250.00 $2,180.00 $2,180.00 61 1EA Furnish and Install 16"x16"x18" MJ Tee, as shown on plans and specifications, complete and in place.$2,395.00 $2,395.00 $2,400.00 $2,400.00 62 2EA Furnish and Install 6" MJ 45° Bend, as shown on plans and specifications, complete and in place.$250.00 $500.00 $700.00 $1,400.00 63 6EA Furnish and Install 6" MJ 22.5° Bend, as shown on plans and specifications, complete and in place.$250.00 $1,500.00 $700.00 $4,200.00 64 1EA Furnish and Install 6" MJ 11.25° Bend, as shown on plans and specifications, complete and in place.$250.00 $250.00 $700.00 $700.00 65 6EA Furnish and Install 8" MJ 22.5° Bend, as shown on plans and specifications, complete and in place.$295.00 $1,770.00 $750.00 $4,500.00 66 4EA Furnish and Install 18" MJ 11.25° Bend, as shown on plans and specifications, complete and in place.$1,100.00 $4,400.00 $1,400.00 $5,600.00 67 6EA Furnish and Install 18" MJ 22.5° Bend, as shown on plans and specifications, complete and in place.$1,100.00 $6,600.00 $1,300.00 $7,800.00 68 3EA Furnish and Install Fire Hydrant assembly, as shown on plans and specifications, complete and in place.$3,420.00 $10,260.00 $4,800.00 $14,400.00 69 1EA 4" Blow-off valve assembly (incl: reducer, gate valve & fittings), as shown on plans and specifications, complete and in-place.$2,300.00 $2,300.00 $4,000.00 $4,000.00 70 2EA Furnish and Install 1" diameter long service line with tap as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$1,700.00 $3,400.00 $3,600.00 $7,200.00 71 4EA Furnish and Install 1" diameter short service with tap as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$1,100.00 $4,400.00 $2,215.00 $8,860.00 72 2EA Furnish and Install 1.5" diameter long dual service with tap as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$2,300.00 $4,600.00 $4,800.00 $9,600.00 DRAINAGE 73 30 LF Furnish and Install pre-cast 2' X 5' pre-cast traffic rated reinforced concrete box culvert (per TxDOT detail SCP-5 for less than 2 ft. cover), with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$290.00 $8,700.00 $385.00 $11,550.00 WATER - TOTAL $502,535.00$405,756.00 Page 5 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 74 152 EA Furnish and Install 24" diameter reinforced concrete pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$82.00 $12,464.00 $110.00 $16,720.00 75 31 LF Furnish and Install 30" diameter reinforced concrete pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$92.00 $2,852.00 $148.00 $4,588.00 76 58 LF Furnish and Install 36" diameter reinforced concrete pipe with structural backfill, as shown on plans & specifications, to include all materials, trench safety, labor and equipment to complete the work, complete and in place.$128.00 $7,424.00 $165.00 $9,570.00 77 8EA Furnish and Install storm drain inlet structures with associated sizes (incl: junction box, inlet cover and extension(s)) with structural backfill, as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$4,400.00 $35,200.00 $7,500.00 $60,000.00 78 1EA Furnish and Install 5' x 5' traffic rated grate inlet structure w/ junction box with structural backfill, as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$8,650.00 $8,650.00 $8,000.00 $8,000.00 79 2EA Furnish and Install concrete outlet structures with vertical wingwalls and floor as shown on plans & specifications. To include all materials, labor and equipment to complete the work, complete and in place.$3,600.00 $7,200.00 $6,850.00 $13,700.00 80 1EA Furnish and Install galvanized steel sidewalk drainage structure crossing, to be connected to outlet flume including multi-opening concrete outlet structure and floor as shown on plans & specifications. To include all materials, labor and equipment to complete the work, complete and in place.$2,000.00 $2,000.00 $8,525.00 $8,525.00 81 3EA Furnish and Install galvanized steel sidewalk drainage crossing, including concrete outlet structure and floor as shown on plans & specifications. To include all materials, labor and equipment to complete the work, complete and in place.$2,000.00 $6,000.00 $1,850.00 $5,550.00 SIGNAGE, PAVEMENT MARKING, STRIPING & TCP 82 1LS Furnish and Install all reflective pavement markings, sealer, arrows, symbols and preparation as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$20,620.00 $20,620.00 $21,172.00 $21,172.00 83 73 EA Furnish and Install all sign assemblies as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$640.00 $46,720.00 $660.00 $48,180.00 DRAINAGE - TOTAL $90,490.00 $138,203.00 Page 6 of 7 City of College Station - Purchasing Division Bid Tabulation for #16-061 "Munson Avenue Rehabilitation Project" Open Date: Thursday, March 31, 2016 @ 2:00 p.m. ITEM QTY UNIT DESCRIPTION UNIT PRICE TOTAL PRICE UNIT PRICE TOTAL PRICE Elliott Construction, LLC (Wellborn, TX) Brazos Paving, Inc. (Bryan, TX) 84 1LS Furnish and Install and remove all traffic control devices (TCP) to incl: All striping, barricades, temporary signage, cut and restore pavement, provide temporary paving, temporary curbing, and level-ups and all other temporary facilities required for the TCP as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$75,000.00 $75,000.00 $80,400.00 $80,400.00 85 2EA Furnish and Install direct bury street light illumination assembly and foundation as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$9,500.00 $19,000.00 $4,230.00 $8,460.00 86 2EA Furnish and Install luminaire to existing power pole as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$5,020.00 $10,040.00 $1,320.00 $2,640.00 87 17632 LF Furnish and Install 4" SCH 40 PVC electrical conduit banks as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$4.75 $83,752.00 $14.70 $259,190.40 88 490 LF Furnish and Install 2" SCH 40 PVC electrical conduit with related electrical conductors and hardware for street light illumination, as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$11.00 $5,390.00 $40.80 $19,992.00 89 2LF Furnish and Install 48" x 96" x 72" underground pull boxes and associated hardware as shown on plans & specifications, to include all materials, labor and equipment to complete the work, complete and in place.$7,500.00 $15,000.00 $16,280.00 $32,560.00 TOTAL BID AMOUNT $2,451,453.51 $3,266,982.35 ILLUMINATION & ELECTRICAL CONDUIT - TOTAL $133,182.00 $322,842.40 SIGNAGE, PAVEMENT MARKING, STRIPING & TCP - TOTAL $142,340.00 $149,752.00 ILLUMINATION & ELECTRICAL CONDUIT Page 7 of 7 RESOLUTION NO. _________________ RESOLUTION DECLARING INTENTION TO REIMBURSE CERTAIN EXPENDITURES WITH PROCEEDS FROM DEBT WHEREAS, the City of College Station, Texas (the "City") is a home-rule municipality and political subdivision of the State of Texas; WHEREAS, the City expects to pay expenditures in connection with the design, planning, acquisition and construction of the projects described on Exhibit "A" hereto (collectively, the "Project") prior to the issuance of obligations by the City in connection with the financing of the Project from available funds; WHEREAS, the City finds, considers, and declares that the reimbursement of the City for the payment of such expenditures will be appropriate and consistent with the lawful objectives of the City and, as such, chooses to declare its intention, in accordance with the provisions of Section 1.150-2 of the Treasury Regulations, to reimburse itself for such payments at such time as it issues obligations to finance the Project; THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STAT ION, TEXAS THAT: Section 1. The City reasonably expects it will incur debt, as one or more series of obligations, with an aggregate maximum principal amount not to exceed $1,000,000, for the purpose of paying the aggregate costs of the Project. Section 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No tax-exempt obligations will be issued by the City in furtherance of this Statement after a date which is later than 18 months after the later of (1) the date the expenditures are paid or (2) the date on which the property, with respect to which such expenditures were made, is placed in service. Section 3. The foregoing notwithstanding, no tax-exempt obligation will be issued pursuant to this Statement more than three years after the date any expenditure which is to be reimbursed is paid. PASSED AND APPROVED THIS 16th DAY OF May, 2016. _______________________________ Nancy Berry, Mayor ATTEST: _________________________________ Sherry Mashburn, City Secretary (Seal) Exhibit "A" The projects to be financed that are the subject of this Statement are: Munson Avenue Street, Water and Wastewater Infrastructure Rehabilitation The Munson Avenue Rehabilitation Project will rehabilitate Munson Avenue from Lincoln Avenue to Dominic Drive. The improvements will include new concrete pavement and the rehabilitation of water and wastewater lines within the project limits. City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0273 Name:Lease with BVSWMA for Law Enforcement Training Facility Status:Type:Contract Consent Agenda File created:In control:4/28/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on a lease with the Brazos Valley Solid Waste Management Agency for the use of the Twin Oaks Law Enforcement Training Facility by the Police Department. Sponsors:Brandy Norris Indexes: Code sections: Attachments:Lease Summary.pdf Twin Oaks Law Enforcement Training Facility Lease_v5.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion on a lease with the Brazos Valley Solid Waste Management Agency for the use of the Twin Oaks Law Enforcement Training Facility by the Police Department. Relationship to Strategic Goals: (Select all that apply) ·Sustainable City Recommendation(s): Staff recommends Council approval. Summary: In order to complete firearms training for it's officers, the Police Department currently rents the firearms range from TEEX for most of it's training. This requires the department to pay TEEX for the rental. There have also been times when conflicts have arisen regarding the reservation of the range. The Brazos Valley Solid Waste Management Agency (BVSWMA) has invested in a law enforcement training facility which the Police Department can use for most of it's firearms training. The facility will offer a designated firearms range stricly for CSPD and their guest's use. The Bryan Police Department has similar needs and will also enter into the lease with BVSWMA. BVSWMA will assume responsiblity for all utilities and maintenance of the facility. The city will be responsible for controlling access to the facility including posting signs and constructing a fence. The lease is for a five year term. The BVSWMA Board approved the lease at its April 20, 2016, Board Meeting. Budget & Financial Summary: $1.00 per year Attachments: College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0273,Version:1 1. Lease Summary 2. Training Facility Lease College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ Page 1 of 1 25433:Lease Summary BVSWMA, Inc. (Landlord) City of College Station and City of Bryan Police Departments (Tenant) Twin Oaks Law Enforcement Training Facility Lease 2690 State Hwy. 30, Anderson, Texas LEASE SUMMARY Term Sixty (60) months ______________, 2016 thru ______________, 2021 Renewal Perpetual one-year renewals unless either party delivers written notice of termination prior to thirty (30) days before the expiration of the current term Base Rent $1.00 per year Security Deposit none Easement Purpose Operation of firearms training facility and gun range by Tenant’s licensed law enforcement officers and accompanied guests of such officers Utilities All necessary utilities are to be obtained and paid for by Landlord Maintenance and Repair Tenant is to repair, replace and maintain all improvements at Tenant’s expense Mowing and Trimming Landlord is to provide routine mowing and trimming of the premises Janitorial Services Tenant is to provide janitorial services at Tenant’s expense Environmental Tenant is obligated to comply with applicable environmental laws and the EPA’s current Best Management Practices for Lead at Outdoor Shooting Ranges; at termination of the lease, Tenant is obligated to remove all lead in excess of the permissible levels Access Tenant has responsibility for controlling access to the premises by posting signs and constructing a fence designed to prevent unauthorized access Security Tenant has responsibility for maintaining the desired level of security at the premises. No additional security is provided by Landlord. Tenant may store firearms, ammunition or any related equipment at the premises. Easement Landlord grants an access easement to the premises and is to maintain the easement in a condition appropriate for vehicular use 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 1 Twin Oaks Law Enforcement Training Facility Lease The parties have authority to enter into this Lease pursuant to Section 431.103 of the Texas Transportation Code, and the approval of this Lease by the City Council of College Station, Texas, the City Council of Bryan, Texas, and the Board of Directors of Brazos Valley Solid Waste Management Agency, Inc., as evidenced by the documents included on Exhibit D attached hereto. Basic Terms Date: __________________, 2016 Landlord: Brazos Valley Solid Waste Management Agency, Inc. d/b/a BVSWMA, Inc., a Texas public non-profit corporation 2690 SH30 Anderson, Texas 77830 Tenant(s): City of College Station, Texas Police Department 2611 Texas Ave. S. College Station, Texas 77840 City of Bryan, Texas Police Department 303 E. 29th Street Bryan, Texas 77803 Premises: 2690 State Hwy. 30 Anderson, TX 77830 (As more particularly described on Exhibit A attached hereto; such particularly described real property consisting only of property acquired by the City of College Station, Texas and the City of Bryan, Texas pursuant to that certain General Warranty Deed dated July 19, 2005, recorded at Volume 1133, Page 1, Official Records, Brazos County, Texas. No portion of the Premises consists of real property procured by Landlord, the City of College Station, Texas or the City of Bryan, Texas through condemnation proceedings.) Term (months): Sixty (60) months Commencement Date: __________________, 2016 Termination Date: __________________, 2021 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 2 Base Rent (annual): $1.00/year Renewal: Perpetual One (1) Year Renewals pursuant to Paragraph E(2) Renewal Rate: $1.00/year Security Deposit: n/a Permitted Use: Operation of an indoor and/or outdoor firearms training facility and gun range for shotguns, rifles, pistols and/or automatic firearms by Tenant’s licensed law enforcement officers and the guests of any such officers so long as such guests are accompanied by such officer, and the construction and/or modification of facilities normally associated with such use, including, but not limited to, ranges, berms, targets, target sheds, buildings and parking lots. Definitions “Agent” means agents, contractors, employees, licensees, and, to the extent under the control of the principal, invitees. “Easement Property” means that certain ____ foot strip of land being a roadway from Highway 30 to the Premises and more particularly described on Exhibit B attached hereto. “Easement Purposes” means ingress to and egress from the Premises. “Essential Services” means utility services reasonably necessary for occupancy of the Premises for the Permitted Use. “Hazardous Substance” means any hazardous, toxic, infectious, or radioactive substance, waste, or material as defined by any applicable environmental law and shall include, without limitation, lead, petroleum oil and its fractions. “Rent” means Base Rent plus any other amounts of money payable by Tenant to Landlord. Clauses and Covenants A. Tenant agrees to— 1. Lease the Premises for the entire Term beginning on the Commencement Date and ending on the Termination Date. 2. Accept the Premises in their present condition “AS IS” until such time as the improvements being constructed by Landlord to accommodate the Permitted Use are completed, as provided in Paragraph C(5) below. 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 3 3. Obey (a) all laws relating to Tenant’s use, maintenance of the condition, and occupancy of the Premises and Tenant’s use of any common areas and (b) any requirements imposed by utility companies serving the Premises. 4. Pay the Base Rent to Landlord at Landlord’s Address. 5. Allow Landlord to enter the Premises to perform Landlord’s obligations, inspect the Premises, and show the Premises to prospective purchasers or tenants. 6. Repair, replace, and maintain all improvements made by Tenant and any part of the Premises that Landlord is not obligated to repair, replace, or maintain, normal wear excepted. Tenant shall keep the Premises clean and sanitary, and promptly dispose of all garbage in appropriate receptacles, such garbage including shell casings and other ammunition-related waste. Tenant, at Tenant’s expense, shall provide janitorial services to the Premises. 7. Submit in writing to Landlord any request for repairs, replacement, and maintenance that are the obligations of Landlord. 8. Vacate the Premises on the last day of the Term; subject, however to the renewal periods provided herein. 9. Use or otherwise handle only those Hazardous Substances typically used or handled in the prudent and safe operation of the Permitted Use. Tenant shall refrain from causing Hazardous Substances, other than lead, to be spilled, leaked, disposed of, or otherwise released on or under the Premises. Tenant may store such Hazardous Substances on the Premises only in quantities reasonably necessary to satisfy Tenant’s reasonably anticipated needs in conjunction with the Permitted Use. 10. Comply with all applicable environmental laws and comply with the Environmental Protection Agency’s most current version of the Best Management Practices for Lead at Outdoor Shooting Ranges to minimize and manage lead contamination of the Premises. 11. Upon expiration or termination of this Lease, remove all lead from the Premises in excess of the permissible levels under applicable environmental laws, at Tenant’s sole expense. 12. Control access to the Premises by posting signs and causing a fence to be constructed which is designed to reasonably prevent unauthorized individuals from gaining access to the Premises. B. Tenant agrees not to— 1. Use the Premises for any purpose other than the Permitted Use. 2. Create a nuisance. 3. Permit any waste. 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 4 4. Except as provided by Paragraph E(1), alter the Premises without the consent of Landlord, which such consent shall not be unreasonably withheld. 5. Allow a lien to be placed on the Premises. 6. Assign this Lease or sublease any portion of the Premises without Landlord’s written consent. C. Landlord agrees to— 1. Lease to Tenant the Premises for the entire Term beginning on the Commencement Date and ending on the Termination Date; subject, however to the renewal periods provided herein. 2. Obey all laws relating to Landlord’s operation of the Premises. 3. Provide the Essential Services. 4. Provide ingress and egress to the Premises sufficient to accommodate the Permitted Use. Accordingly, Landlord hereby grants and conveys to Tenant an easement over, on, and across the Easement Property for the Easement Purpose, without express or implied warranty, until the termination of this Lease. Landlord shall maintain the Easement Property in a condition suitable for vehicular ingress and egress to the Premises. 5. Complete construction of improvements to accommodate the Permitted Use, in accordance with Tenant’s specifications as set forth on Exhibit C attached hereto, upon Tenant’s possession of the Premises, including the construction and/or modification of facilities normally associated with such use, such as, but not limited to, ranges, berms, targets, target sheds, club buildings and parking lots. 6. Provide routine maintenance for mowing and trimming of Premises. 7. Obtain and pay for all utility services required by Tenant. D. Landlord agrees not to— 1. Interfere with Tenant’s possession of the Premises, so long as Tenant is not in default. E. Landlord and Tenant agree to the following: 1. Alterations. Tenant may make permanent alterations or improvements of the Premises as it deems appropriate for the Permitted Use, at Tenant’s expense, only with the prior written consent of Landlord, which such consent shall not be unreasonably withheld. Any physical additions or improvements to the Premises made by Tenant will become the property of Landlord. Landlord may require that Tenant, at the end of the Term and at Tenant’s expense, remove any such physical additions and improvements, repair any alterations, and restore the Premises to the condition existing at the Commencement Date, normal wear excepted. 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 5 2. Renewal. This Lease shall perpetually renew, at the Renewal Rate, for a period of one (1) year at the expiration of any current Term, unless (1) either party delivers written notice of termination to the other party prior to thirty (30) days from the expiration of the current term, or (2) the Lease or Tenant’s right to possession of the Premises is terminated, or (3) default exists at the time of expiration of the current term. In the event no party provides a written notice of termination as set forth hereunder, the lease will continue as written except as altered by this Paragraph E(2). 3. Release of Claims/Indemnity. LANDLORD AND TENANT RELEASE EACH OTHER, AND THEIR RESPECTIVE GOVERNING BOARDS, OFFICERS, AND AGENTS, FROM ALL CLAIMS OR LIABILITIES FOR DAMAGE TO THE PREMISES, DAMAGE TO OR LOSS OF PERSONAL PROPERTY WITHIN THE PREMISES OR LOSS OF BUSINESS OR REVENUES SUFFERED BY A PARTY TO THIS LEASE. THE RELEASE IN THIS PARAGRAPH WILL APPLY EVEN IF THE DAMAGE OR LOSS IS CAUSED IN WHOLE OR IN PART BY THE ORDINARY NEGLIGENCE OR STRICT LIABILITY OF THE RELEASED PARTY, ITS GOVERNING BOARDS, OFFICERS, OR AGENTS BUT WILL NOT APPLY TO THE EXTENT THE DAMAGE OR LOSS IS CAUSED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF THE RELEASED PARTY OR ITS GOVERNING BOARDS, OFFICERS, OR AGENTS. NOTWITHSTANDING THE FOREGOING, TENANT AGREES TO INDEMNIFY AND HOLD HARMLESS LANDLORD AND ITS GOVERNING BOARDS, OFFICERS, AND AGENTS FROM ALL CLAIMS, DEMANDS, CAUSES OF ACTION, SUITS, DAMAGES, COSTS AND ATTORNEYS’ FEES, IN FAVOR OF ANY THIRD PARTY, THAT MAY ARISE OUT OF OR IN CONNECTION WITH THIS LEASE AS A RESULT OF OR IN CONNECTION WITH TENANT’S ACT OF NEGLIGENCE, SUBJECT TO THE EXTENT AND LIMITS SET FORTH IN TITLE 5 OF THE TEXAS CIVIL PRACTICE AND REMEDIES CODE AND TEXAS STATE CONSTITUTION . 4. Default by Landlord/Events. Defaults by Landlord are failing to comply with any provision of this Lease within thirty (30) days after written notice and failing to provide Essential Services to Tenant within ten (10) days after written notice. 5. Default by Landlord/Tenant’s Remedies. Tenant’s remedies for Landlord’s default are to sue for damages and, if Landlord does not provide an Essential Service for thirty (30) days after default, terminate this Lease. 6. Default by Tenant/Events. Defaults by Tenant are (a) failing to pay timely Rent, (b) abandoning or vacating a substantial portion of the Premises, and (c) failing to comply within ten (10) days after written notice with any provision of this Lease other than the defaults set forth in (a) and (b). 7. Default by Tenant/Landlord’s Remedies. Landlord’s remedies for Tenant’s default are to terminate this Lease by written notice and enter and take possession of the Premises. Landlord may enter and take possession of the Premises by self-help, by picking or changing locks if necessary, and may lock out Tenant or any other person who may be occupying the Premises without being liable for damages. 8. Default/Waiver/Mitigation. It is not a waiver of default if the nondefaulting party fails to declare immediately a default or delays in taking any action. Pursuit of any remedies set forth in this Lease does not preclude pursuit of other remedies in this Lease or provided by applicable law. Landlord and Tenant have a duty to mitigate damages. 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 6 9. Holdover. If Tenant does not vacate the Premises following termination of this Lease, Tenant will become a tenant at will and must vacate the Premises on receipt of notice from Landlord. No holding over by Tenant, whether with or without the consent of Landlord, will extend the Term. Notwithstanding the foregoing, upon termination of this Lease, either by expiration or earlier termination, Tenant shall have thirty (30) days after the date of such termination in which to remove all equipment or other personal property stored upon the Premises. 10. Alternative Dispute Resolution. Landlord and Tenant agree to mediate in good faith before filing a suit for damages. 11. Attorney’s Fees. If either party retains an attorney to enforce this Lease, the party prevailing in litigation is entitled to recover reasonable attorney’s fees and other fees and court and other costs. 12. Venue. Exclusive venue is in Brazos County, Texas, without regard to the fact that the Premises are not in Brazos County, Texas. 13. Entire Agreement. This Lease, its exhibits, addenda, and riders constitute the entire agreement of the parties concerning the lease of the Premises by Landlord to Tenant. There are no representations, warranties, agreements, or promises pertaining to the lease of the Premises by Landlord to Tenant that are not in this Lease and any exhibits, addenda, and riders. 14. Perpetuities Savings Clause. The renewal option provided in Paragraph E(2) shall extend for so long as each such option is exercised consecutively without omission; provided that no such option shall be exercisable later than 20 years and 11 months beyond the death of the last surviving member of the group of persons consisting of the present members of Landlord's board of directors and their descendants now living. 15. Amendment of Lease. This Lease may be amended only by an instrument in writing signed by Landlord and Tenant. 16. Limitation of Warranties. THERE ARE NO IMPLIED WARRANTIES OF MERCHANTABILITY, OF FITNESS FOR A PARTICULAR PURPOSE, OR OF ANY OTHER KIND ARISING OUT OF THIS LEASE, AND THERE ARE NO WARRANTIES THAT EXTEND BEYOND THOSE EXPRESSLY STATED IN THIS LEASE. 17. Notices. Any notice required or permitted under this Lease must be in writing. Any notice required by this Lease will be deemed to be delivered (whether actually received or not) when deposited with the United States Postal Service, postage prepaid, certified mail, return receipt requested, and addressed to the intended recipient at the address shown in this Lease. Notice may also be given by regular mail, personal delivery, courier delivery, facsimile transmission, or other commercially reasonable means and will be effective when actually received. Any address for notice may be changed by written notice delivered as provided herein. 18. Abandoned Property. Landlord may retain, destroy, or dispose of any property left on the Premises at the end of the Term. 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 7 19. Security. Tenant will maintain security for the Premises as Tenant deems necessary for the Permitted Use and in accordance with its normal practices and procedures. No additional security will be provided by Landlord. Tenant, at Tenant’s discretion, may store firearms, ammunition, or any other equipment related to the Permitted Use; provided, however, that Landlord shall not be responsible for the protection or security for any items stored by Tenant upon the Premises. Nothing herein shall be construed as imposing any obligation of Tenant or Landlord to any third party for the protection of such third par ty’s personal property which may be stored upon the Premises from time to time. 20. Counterparts. This Lease may be executed in multiple counterparts, and each counterpart hereof shall be deemed to be an original instrument, but all such counterparts shall constitute but one agreement. [SIGNATURE PAGES FOLLOW] 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 8 Brazos Valley Solid Waste Management Agency, Inc. d/b/a BVSWMA, Inc., a Texas public non-profit corporation By: __________________________ Name: D. Mark Conlee Title: Chairman 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 9 City of College Station, Texas By: __________________________ Name: Kelly Templin Title: City Manager Attest: ___________________________ Sherry Mashburn CITY SECRETARY Approved as to form: ___________________________ Carla Robinson CITY ATTORNEY 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 10 City of Bryan, Texas By: __________________________ Name: Jason Bienski Title: Mayor Attest: ___________________________ Mary Lynne Stratta CITY SECRETARY Approved as to form: ___________________________ Janis Hampton CITY ATTORNEY 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 11 EXHIBIT A The Premises Google Maps Imagery ©2016 Google, Map data ©2016 Google 1000 ft 15 16 17 18 1920 21 22 23 24 25 26 RANGE 1 RANGE 2 15 . 0 0 ' 10.00' 10.00'375.00'10 0 . 0 0 '375.00'10 0 . 0 0 ' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 THESE DRAWINGS WERE PREPARED UNDER THE AUTHORITY OFW. R. CULLEN, JR., P.E. (NO. 65215)...DRAWING STATUSFOR CONSTRUCTION:FINAL DRAWINGS.FOR APPROVAL AND PERMITTINGTHESE DRAWINGS ARE FOR APPROVAL AND PERMITTING PURPOSESONLY. ONLY DRAWINGS ISSUED "FOR CONSTRUCTION" CAN BECONSIDERED AS COMPLETE.FOR REVIEWTHESE DRAWINGS ARE FOR REVIEW PURPOSES ONLY. THEIR PURPOSEIS TO CONFIRM PROPER INTERPRETATION OF THE PROJECT ANDDOCUMENTS AND ARE NOT INTENDED FOR CONSTRUCTION. ONLYDRAWINGS ISSUED "FOR CONSTRUCTION" CAN BE CONSIDEREDCOMPLETE.DETAILSDATEREV.SHEET TITLE: DRAWING: SP-1 SCALE: DATE: DRAWN BY: APPR: PROJ. NO.:PROPOSED GUN RANGETWIN OAKS LANDFILLSITE PLAN AEA 08/07/14 AS SHOWN WRCDRA #9DRA #1022. 5 7 ' WARNING UNDERGROUND GAS PIPEPLINE Berm Point Number Northing Easting 1 10202595.9847 3611624.0749 2 10202928.8280 3611910.3201 3 10203035.7625 3611785.9778 4 10203113.8139 3611853.1020 5 10203262.4789 3611680.2358 6 10202929.6356 3611393.9905 7 10202887.9051 3611442.5144 8 10203172.2245 3611687.0291 9 10203107.0206 3611762.8476 10 10202744.6497 3611451.2087 11 10202702.9192 3611499.7325 12 10202987.2386 3611744.2472 13 10202922.0347 3611820.0658 14 10202637.7152 3611575.5510 Bldg. Point Number Northing Easting 15 10202759.3308 3611227.7121 16 10202775.9535 3611264.0946 17 10202780.9403 3611275.0094 18 10202667.2450 3611326.9553 19 10202662.2582 3611316.0406 20 10202645.6355 3611279.6581 21 10202687.4857 3611251.7418 22 10202710.8315 3611241.0754 Entrance Point Number Northing Easting 23 10202724.3039 3611140.9181 24 10202702.3233 3611136.5482 25 10202717.6151 3611160.2387 26 10202696.9027 3611156.1386 DRA T:\Acad GRAPHICS\Twin Oaks Landfill\Gun Range\2012 Topo7.dwg, 1:1 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 12 EXHIBIT B Easement Property 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 13 EXHIBIT C Construction Specifications 3040SH3040SH3040SH3040SH3040SH3040SH3040SH3040SH266826682668B36B36SB36B36B36B36SB36B36REF.HBHBW3622W3736W3636W3636W36363'-1 1/2"15"5"3'-0"5"3'-0"5"3'-0"14'-0"12'-0"14'-0"12'-0"14'-0"12'-0"18"18"1'-7"1'-7"7'-6 1/4"3'-6"7'-6 1/4"3'-6"4'-10"1'-7"3'-5"3 5/8"5'-4 7/8"3 5/8"5'-4 7/8"3 5/8"3'-5"3 5/8"5'-4 3/4"3 5/8"3'-5"3'-6"6'-6"5 5/8"3'-0"5 5/8"3'-0"1'-4"3'-0"38'-8"18'-0 1/4"5'-1 1/2"28'-3 1/4"5'-7 3/4"3'-0"1'-9"11'-8 1/2"5'-1 7/8"11'-8 1/2"5 5/8"3'-0"1'-7 7/8"5'-8"14'-4"5'-8"1'-9"3'-0"1'-4"3'-0"16'-7 1/4"3'-0"6'-10 3/4"3'-0"4'-6"12'-6"11'-10 1/8"3'-0"9'-3 1/8"3'-0"4'-10 3/4"12'-6"4'-6"3'-0"6'-10 3/4"3'-0"16'-7 1/4"25'-0"25'-0"25'-0"25'-0"25'-0"125'-0"8'-0"25'-0"19'-8 1/2"30'-3"23'-9"30'-3"19'-8 1/2"52'-0"25'-0"25'-0"25'-0"25'-0"25'-0"BENCH UNISEXRESTROOMWATERCOOLERMOPSINK ADA SHOWER SEAT MOPSINK2A32A32A31S61S61S6TRAINING/CONFERENCEROOM#1TRAINING/CONFERENCEROOM#2STORAGESTORAGECOVEREDPORCHCOVEREDPORCHICEMACHINE1A31A31A34S64S64S63S33S33S33S63S63S62S62S62S62S62S62S62S62S62S62S62S62S66" WET WALLBENCH 1S61S61S61S61S61S61S61S61S6 RM 101 RM 101A RM 102 RM 102A BREAK AREA RM 103 RM 104 RM 105 111121212141414555888666999777181818101010333222111111171717BENCH 151515161616444ADA UNISEXRESTROOMADA SHOWER SEAT RM 106 UNISEXRESTROOM RM 107 UNISEXRESTROOM RM 108 ADA UNISEXRESTROOM RM 109 HALLWAYHALLWAY RM 110 RM 111 6" WET WALL6" WET WALL5 EA. SHELVES131313 RM 105 TWIN OAKS RANGE2690 STATE HWY 30 ANDERSON, TEXAS 778301/4" = 1' - 0"SHEET:SCALE:, DESCRIPTION3828 South College Avenue Bryan, Texas 77801DATEBY DATENO.NEW FACILITY FOR:Mikeal Construction Group, LLCA13/19/2015 25433:Twin Oaks Law Enforcement Training Facility Lease_v5 Page 14 EXHIBIT D Approval Resolutions City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0274 Name:Wells 6 and 8 Pump Repair Status:Type:Contract Consent Agenda File created:In control:4/28/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding contract #16-068 with Layne Christensen Company for $250,694 to repair the pumps in Wells 6 and 8. Sponsors:David Coleman Indexes: Code sections: Attachments:Bid Tabulation Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding contract #16-068 with Layne Christensen Company for $250,694 to repair the pumps in Wells 6 and 8. Relationship to Strategic Goals: Core services and infrastructure Recommendation:Staff recommends approval of this contract. Summary: Regular inspections have shown abnormal operation of the pumps in both Well 6 and Well 8. Typically well pumps need to be reworked every 8 years, and these wells have not reached that point yet, but excessive vibration and other operating parameters indicate these pumps must be pulled now for repairs, to avoid serious damage. The work to be performed for each well pump under this Contract includes: 1.Removal, inspection and rehabilitation, as needed, of existing column, bearings, and associated parts. Provide written recommendation of required repairs, prior to starting any repairs. 2.Replace pump with new 3,000 gallons per minute pump 3.Make all mechanical connections and disconnections of well pump motors. 4.Conduct video inspection of well and provide owner with video copy of inspection and written recommendation of any required repairs to the Well, prior to starting any repairs. 5.Re-install refurbished or new well pump assemblies. 6.Conduct Well disinfection process in accordance with TCEQ regulations and put Wells into service. 7.Conduct pump performance tests and provide written test results. Work is specified to be complete in Well 8 by July 15th, and in Well 6 by August 1st, to have the wells back in service for the high demand season. Due to the criticality of these wells, staff recommends College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0274,Version:1 approval. Budget & Financial Summary: Funds are available in the Water Operations Budget. Reviewed and Approved by Legal:Yes Attachments: Bid Tab Contract available in City Secretary’s office College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ City of College Station - Purchasing DivisionBid Tabulation for #16-068"Repair or Replacement of Water Well 6 and 8 Pumps"Open Date: Thursday, April 28, 2016 @ 2:00 p.m.ITEMQTYUNITDESCRIPTIONUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEA. GENERALA-1 1 LSMove in and set up necessary equipment to construct Water Well No. 6 and 8 Rework$5,000.00 $5,000.00 $3,066.00 $3,066.00 $2,950.00 $2,950.00 $10,000.00 $10,000.00 $27,500.00 $27,500.00 $37,700.00 $37,700.00 $1,704.00 $1,704.00A-2 1 LSProvide performance and payment bonds for Water Well No. 6 and 8 Rework$5,000.00 $5,000.00 $1,505.00 $1,505.00 $3,665.00 $3,665.00 $4,500.00 $4,500.00 $7,000.00 $7,000.00 $37,700.00 $37,700.00 $1,800.00 $1,800.00B. WATER WELL #6B-1 1 LSRemove motor, column assembly, pump and accessories, complete as specified$6,000.00 $6,000.00 $7,885.00 $7,885.00 $6,000.00 $6,000.00 $14,000.00 $14,000.00 $6,000.00 $6,000.00 $11,500.00 $11,500.00 $6,938.00 $6,938.00B-2 1 LSDisassemble entire pumping equipment assemblies (column, pump and accessories) and supply written report with recommendations and prices for all required repairs.$2,800.00 $2,800.00 $3,912.00 $3,912.00 $1,800.00 $1,800.00 $2,000.00 $2,000.00 $1,200.00 $1,200.00 $3,000.00 $3,000.00 $1,731.00 $1,731.00B-3 1 LS Bail oil from the Well, as specified$2,450.00 $2,450.00 $1,455.00 $1,455.00 $975.00 $975.00 $400.00 $400.00 $3,000.00 $3,000.00 $750.00 $750.00 $1,314.00 $1,314.00B-4 1 EAConduct video inspection of entire Well to include side view inspection of the casing.$3,100.00 $3,100.00 $1,500.00 $1,500.00 $2,800.00 $2,800.00 $1,600.00 $1,600.00 $2,000.00 $2,000.00 $1,800.00 $1,800.00 $1,429.00 $1,429.00*B-5 1 LSUnit cost and delivery time to repair existing pump assembly to like-new condition, designed to produce 3,000 gpm @ 418 ft TDH. Refurbishment shall include suction nozzle, bronze bearings, bronze wear rings, stainless steel lock collets and impellar shaft. $12,492.00 $12,492.00 $10,500.00 $10,500.00 $7,800.00 $7,800.00 $5,000.00 $5,000.00 $16,775.00 $16,775.00 $9,500.00 $9,500.00 $11,276.00 $11,276.00B-6 25 EAProvide and install up to (25) new 12” by 20’ sections of column pipe, as needed, and complete as specified.$762.00 $19,050.00 $745.00 $18,625.00 $865.00 $21,625.00 $600.00 $15,000.00 $870.00 $21,750.00 $1,050.00 $26,250.00 $801.00 $20,025.00B-7 25 EAProvide and install up to (25) new 2.3/16” by 20’ sections of line shaft, as needed, and complete as specified.$285.00 $7,125.00 $422.00 $10,550.00 $463.00 $11,575.00 $400.00 $10,000.00 $400.00 $10,000.00 $535.00 $13,375.00 $501.00 $12,525.00B-8 25 EAProvide and install up to (25) new 12” by 3 1/2” rubber tube centralizers, as needed, and complete as specified. $13.00 $325.00 $16.00 $400.00 $23.00 $575.00 $20.00 $500.00 $15.00 $375.00 $22.00 $550.00 $24.00 $600.00B-9 100 EAProvide and install up to (100) new 3 1/2” by 5’ oil tubes, as needed, and complete as specified$71.00 $7,100.00 $67.00 $6,700.00 $66.00 $6,600.00 $50.00 $5,000.00 $95.00 $9,500.00 $144.00 $14,400.00 $93.00 $9,300.00B-10 100 EAProvide and install up to (100) new 3 1/2” by 2.3/16” bronze line shaft bearings, as needed, and complete as specified$110.00 $11,000.00 $114.00 $11,400.00 $139.50 $13,950.00 $100.00 $10,000.00 $150.00 $15,000.00 $260.00 $26,000.00 $121.00 $12,100.00B-11 25 EAProvide and install up to (25) new 2.3/16” line shaft couplings, as needed, and complete as specified$26.00 $650.00 $33.00 $825.00 $49.00 $1,225.00 $40.00 $1,000.00 $35.00 $875.00 $60.00 $1,500.00 $110.00 $2,750.00B-12 1 LSProvide and install new 3 1/2” by 2.3/16” tension bearing with stuffing box, complete as specified.$977.00 $977.00 $1,287.00 $1,287.00 $1,800.00 $1,800.00 $1,000.00 $1,000.00 $1,350.00 $1,350.00 $380.00 $380.00 $1,643.00 $1,643.00B-13 1 EA Provide and install new 12” by 10’ column pipe$491.00 $491.00 $490.00 $490.00 $492.00 $492.00 $300.00 $300.00 $570.00 $570.00 $700.00 $700.00 $450.00 $450.00B-14 1 EA Provide and install new 12” top special column pipe$322.00 $322.00 $420.00 $420.00 $571.00 $571.00 $400.00 $400.00 $400.00 $400.00 $1,500.00 $1,500.00 $3,232.00 $3,232.00B-15 1 EA Provide and install 2.3/16” by 10’ line shaft$154.00 $154.00 $203.00 $203.00 $275.00 $275.00 $200.00 $200.00 $215.00 $215.00 $250.00 $250.00 $290.00 $290.00B-16 1 EA Provide and install 2.3/16” top special line shaft$226.00 $226.00 $297.00 $297.00 $500.00 $500.00 $300.00 $300.00 $315.00 $315.00 $600.00 $600.00 $290.00 $290.00B-17 1 EA Provide and install 3 ½” top special oil tube$99.00 $99.00 $123.00 $123.00 $395.00 $395.00 $100.00 $100.00 $140.00 $140.00 $500.00 $500.00 $279.00 $279.00B-18 1 EAProvide and install 2 3/16” motor drive shaft with head shaft, nut, jib key and lock bolt.$248.00 $248.00 $326.00 $326.00 $1,275.00 $1,275.00 $700.00 $700.00 $340.00 $340.00 $700.00 $700.00 $672.00 $672.00B-19 500 Per LFProvide and install up to 500’ of 1” HDPE pipe for water level sounding line.$150.00 $75,000.00 $2.00 $1,000.00 $2.50 $1,250.00 $0.50 $250.00 $2.00 $1,000.00 $7.00 $3,500.00 $1.00 $500.00BASE BID ITEMS$10,000.00Smith Pump Co., Inc.(Waco, TX)$3,504.00Peerless Equipment(San Antonio, TX)$34,500.00$4,571.00 $6,615.00Brien Water Wells(Hearne, TX)Layne Christensen Co.(Houston, TX)SUBTOTAL: A. GENERALWeisinger Incorporated(Conroe, TX)$14,500.00Advanced Water Well Technologies(Converse, TX)Alsay Incorporated(Houston, TX)$75,400.00Page 1 of 4 City of College Station - Purchasing DivisionBid Tabulation for #16-068"Repair or Replacement of Water Well 6 and 8 Pumps"Open Date: Thursday, April 28, 2016 @ 2:00 p.m.ITEMQTYUNITDESCRIPTIONUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICESmith Pump Co., Inc.(Waco, TX)Peerless Equipment(San Antonio, TX)Brien Water Wells(Hearne, TX)Layne Christensen Co.(Houston, TX)Weisinger Incorporated(Conroe, TX)Advanced Water Well Technologies(Converse, TX)Alsay Incorporated(Houston, TX)B-20 1 LSClean, sandblast and paint existing discharge head, add new O-rings, dripper oil line and all new hardware and gaskets for proper re-installation.$350.00 $350.00 $1,005.00 $1,005.00 $995.00 $995.00 $400.00 $400.00 $1,500.00 $1,500.00 $1,000.00 $1,000.00 $571.00 $571.00B-21 1 LSFabricate access in the existing discharge head to connect 1” sounding line to exterior of column pipe. $100.00 $100.00 $206.00 $206.00 $250.00 $250.00 $300.00 $300.00 $500.00 $500.00 $1,500.00 $1,500.00 $188.00 $188.00B-22 500 Per LFProvide and install 500’ of ¼” PVC coated stainless steel airline, including strapping material, fittings and gauge.$820.00 $410,000.00 $4.00 $2,000.00 $2.40 $1,200.00 $2.00 $1,000.00 $3.00 $1,500.00 $3.00 $1,500.00 $2.00 $1,000.00B-23 1 LSReinstall pump assembly and provide nuts, bolts, gaskets, mechanical reconnections, leveling wedges, pipe joint compound and other minor parts to make pump operational$10,200.00 $10,200.00 $12,096.00 $12,096.00 $7,200.00 $7,200.00 $15,000.00 $15,000.00 $6,000.00 $6,000.00 $11,500.00 $11,500.00 $6,529.00 $6,529.00B-24 1 LSDisinfect the Well in accordance with AWWA standards, including three consecutive bacteriological samples, per TCEQ requirements, and put well into service.$560.00 $560.00 $1,606.00 $1,606.00 $2,000.00 $2,000.00 $1,300.00 $1,300.00 $4,000.00 $4,000.00 $700.00 $700.00 $2,710.00 $2,710.00B-25 1 LS Demobilize equipment and restore site as specified.$300.00 $300.00 $800.00 $800.00 $1,950.00 $1,950.00 $300.00 $300.00 $7,500.00 $7,500.00 $15,000.00 $15,000.00 $1,582.00 $1,582.00B-26 1 LSPerform wire to water efficiency test using the permanent pump after repairs are complete and deliver written report to owner.$4,400.00 $4,400.00 $475.00 $475.00 $975.00 $975.00 $600.00 $600.00 $1,250.00 $1,250.00 $950.00 $950.00 $1,211.00 $1,211.00B-27 1 LSInstallation and connection of a rental pump to produce 3,000 gpm @ 475’ TDH. Include all work necessary to connect to a public water supply, including disinfecting the well, pump, and obtaining three consecutive passing bacteriological tests.$7,400.00 $7,400.00 $11,683.00 $11,683.00 $8,900.00 $8,900.00 $15,000.00 $15,000.00 $10,000.00 $10,000.00 $27,000.00 $27,000.00 NB NBB-28 2 MOMonthly rental of pump. City will provide electric power, maintain dripper oil levels and perform daily checks. Contractor will be responsible for promptly correcting any mechanical problems that may develop.$1,000.00 $2,000.00 $0.00 $0.00 $495.00 $990.00 $0.00 $0.00 $19,000.00 $38,000.00 $5,000.00 $10,000.00 NB NBB-29 1 LSDisconnection and removal of rental pump. $6,000.00 $6,000.00 $7,000.00 $7,000.00 $6,000.00 $6,000.00 $15,000.00 $15,000.00 $6,000.00 $6,000.00 $9,000.00 $9,000.00 NB NBC. WATER WELL #8C-1 1 LSMove in and set up necessary equipment to construct Water Well No. 8 Rework$300.00 $300.00 $1,752.00 $1,752.00 $1,950.00 $1,950.00 $10,000.00 $10,000.00 $3,500.00 $3,500.00 $5,000.00 $5,000.00 $1,704.00 $1,704.00C-2 1 LSProvide performance and payment bonds for Water well No. 8 Rework$0.00 $0.00 $750.00 $750.00 $3,905.00 $3,905.00 $0.00 $0.00 $3,700.00 $3,700.00 $5,200.00 $5,200.00 $1,800.00 $1,800.00C-3 1 LSRemove motor, column assembly, pump and accessories, complete as specified$6,000.00 $6,000.00 $7,885.00 $7,885.00 $6,000.00 $6,000.00 $12,000.00 $12,000.00 $6,000.00 $6,000.00 $11,500.00 $11,500.00 $6,938.00 $6,938.00C-4 1 LSDisassemble entire pumping equipment assemblies (column, pump and accessories) and supply written report with recommendations and prices for all required repairs.$2,800.00 $2,800.00 $3,912.00 $3,912.00 $1,800.00 $1,800.00 $2,000.00 $2,000.00 $1,200.00 $1,200.00 $3,000.00 $3,000.00 $1,731.00 $1,731.00C-5 1 LS Bail oil from the Well, as specified$2,450.00 $2,450.00 $1,455.00 $1,455.00 $975.00 $975.00 $400.00 $400.00 $3,000.00 $3,000.00 $750.00 $750.00 $1,314.00 $1,314.00C-6 1 EAConduct video inspection of entire Well to include side view inspection of the casing.$3,100.00 $3,100.00 $1,500.00 $1,500.00 $2,800.00 $2,800.00 $1,600.00 $1,600.00 $2,000.00 $2,000.00 $1,800.00 $1,800.00 $1,429.00 $1,429.00*C-7 1 LSReplace existing pump with new pump having, been made of the same construction materials which has the ability to work within existing system and be designed to produce 3,000 gpm @ 475 ft TDH$15,990.00 $15,990.00 $21,067.00 $21,067.00 $24,315.00 $24,315.00 $15,000.00 $15,000.00 $22,363.00 $22,363.00 $28,800.00 $28,800.00 $11,276.00 $11,276.00C-8 25 EAProvide and install up to (25) new 12” by 20’ sections of column pipe, as needed, and complete as specified.$762.00 $19,050.00 $745.00 $18,625.00 $865.00 $21,625.00 $600.00 $15,000.00 $870.00 $21,750.00 $1,050.00 $26,250.00 $801.00 $20,025.00$101,135.00SUBTOTAL: B. WATER WELL #6 $590,919.00 $114,769.00 $111,943.00 $116,650.00 $167,055.00 $194,905.00Page 2 of 4 City of College Station - Purchasing DivisionBid Tabulation for #16-068"Repair or Replacement of Water Well 6 and 8 Pumps"Open Date: Thursday, April 28, 2016 @ 2:00 p.m.ITEMQTYUNITDESCRIPTIONUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICESmith Pump Co., Inc.(Waco, TX)Peerless Equipment(San Antonio, TX)Brien Water Wells(Hearne, TX)Layne Christensen Co.(Houston, TX)Weisinger Incorporated(Conroe, TX)Advanced Water Well Technologies(Converse, TX)Alsay Incorporated(Houston, TX)C-9 25 EAProvide and install up to (25) new 2.44” by 20’ sections of line shaft, as needed, and complete as specified.$339.00 $8,475.00 $446.00 $11,150.00 $571.00 $14,275.00 $420.00 $10,500.00 $474.00 $11,850.00 $630.00 $15,750.00 $527.00 $13,175.00C-10 25 EAProvide and install up to (25) new 12” by 3 1/2” rubber tube centralizers, as needed, and complete as specified. $13.00 $325.00 $16.00 $400.00 $23.00 $575.00 $20.00 $500.00 $15.00 $375.00 $22.00 $550.00 $24.00 $600.00C-11 100 EAProvide and install up to (100) new 3 1/2” by 5’ oil tubes, as needed, and complete as specified$71.00 $7,100.00 $67.00 $6,700.00 $66.00 $6,600.00 $50.00 $5,000.00 $95.00 $9,500.00 $144.00 $14,400.00 $93.00 $9,300.00C-12 100 EAProvide and install up to (100) new 3 1/2” by 2.44” bronze line shaft bearings, as needed, and complete as specified$125.00 $12,500.00 $123.00 $12,300.00 $146.00 $14,600.00 $100.00 $10,000.00 $170.00 $17,000.00 $148.00 $14,800.00 $121.00 $12,100.00C-13 25 EAProvide and install up to (25) new 2.44” line shaft couplings, as needed, and complete as specified$54.00 $1,350.00 $71.00 $1,775.00 $122.00 $3,050.00 $50.00 $1,250.00 $75.00 $1,875.00 $150.00 $3,750.00 $116.00 $2,900.00C-14 1 LSProvide and install new 3 1/2” by 2.44” tension bearing with stuffing box, complete as specified.$977.00 $977.00 $1,287.00 $1,287.00 $1,800.00 $1,800.00 $1,200.00 $1,200.00 $1,367.00 $1,367.00 $380.00 $380.00 $1,643.00 $1,643.00C-15 1 EA Provide and install new 12” by 10’ column pipe$491.00 $491.00 $490.00 $490.00 $492.00 $492.00 $300.00 $300.00 $570.00 $570.00 $700.00 $700.00 $450.00 $450.00C-16 1 EA Provide and install new 12” top special column pipe$323.00 $323.00 $420.00 $420.00 $571.00 $571.00 $400.00 $400.00 $400.00 $400.00 $1,500.00 $1,500.00 $3,232.00 $3,232.00C-17 1 EA Provide and install 2.44” by 10’ line shaft$193.00 $193.00 $254.00 $254.00 $340.00 $340.00 $220.00 $220.00 $270.00 $270.00 $700.00 $700.00 $304.00 $304.00C-18 1 EA Provide and install 2.44” top special line shaft$255.00 $255.00 $335.00 $335.00 $815.00 $815.00 $320.00 $320.00 $350.00 $350.00 $600.00 $600.00 $304.00 $304.00C-19 1 EA Provide and install 3 ½” top special oil tube$99.00 $99.00 $130.00 $130.00 $395.00 $395.00 $100.00 $100.00 $130.00 $130.00 $500.00 $500.00 $279.00 $279.00C-20 1 EAProvide and install 2 3/16” motor drive shaft with head shaft, nut, jib key and lock bolt.$248.00 $248.00 $330.00 $330.00 $1,275.00 $1,275.00 $730.00 $730.00 $340.00 $340.00 $300.00 $300.00 $672.00 $672.00C-21 500 Per LFProvide and install up to 500’ of 1” HDPE pipe for water level sounding line.$150.00 $75,000.00 $2.00 $1,000.00 $2.50 $1,250.00 $0.50 $250.00 $2.00 $1,000.00 $7.00 $3,500.00 $1.00 $500.00C-22 1 LSClean, sandblast and paint existing discharge head, add new O-rings, dripper oil line and all new hardware and gaskets for proper re-installation.$350.00 $350.00 $1,005.00 $1,005.00 $995.00 $995.00 $400.00 $400.00 $1,500.00 $1,500.00 $1,000.00 $1,000.00 $571.00 $571.00C-23 1 LSFabricate access in the existing discharge head to connect 1” sounding line to exterior of column pipe. $100.00 $100.00 $206.00 $206.00 $250.00 $250.00 $300.00 $300.00 $500.00 $500.00 $1,500.00 $1,500.00 $188.00 $188.00C-24 500 Per LFProvide and install 500’ of ¼” PVC coated stainless steel airline, including strapping material, fittings and gauge.$820.00 $410,000.00 $4.00 $2,000.00 $2.40 $1,200.00 $2.00 $1,000.00 $3.00 $1,500.00 $3.00 $1,500.00 $2.00 $1,000.00C-25 1 LSReinstall pump assembly and provide nuts, bolts, gaskets, mechanical reconnections, leveling wedges, pipe joint compound and other minor parts to make pump operational$10,200.00 $10,200.00 $12,972.00 $12,972.00 $7,200.00 $7,200.00 $13,000.00 $13,000.00 $6,000.00 $6,000.00 $11,500.00 $11,500.00 $6,529.00 $6,529.00C-26 1 LSDisinfect the Well in accordance with AWWA standards, including three consecutive bacteriological samples, per TCEQ requirements, and put well into service.$560.00 $560.00 $1,606.00 $1,606.00 $2,000.00 $2,000.00 $1,300.00 $1,300.00 $4,000.00 $4,000.00 $700.00 $700.00 $2,710.00 $2,710.00C-27 1 LS Demobilize equipment and restore site as specified.$300.00 $300.00 $890.00 $890.00 $1,950.00 $1,950.00 $300.00 $300.00 $7,500.00 $7,500.00 $1,000.00 $1,000.00 $1,582.00 $1,582.00C-28 1 LSPerform wire to water efficiency test using the permanent pump after repairs are complete and deliver written report to owner.$4,400.00 $4,400.00 $475.00 $475.00 $975.00 $975.00 $600.00 $600.00 $1,250.00 $1,250.00 $950.00 $950.00 $1,211.00 $1,211.00C-29 1 LSInstallation and connection of a rental pump to produce 3,000 gpm @ 475’ TDH. Include all work necessary to connect to a public water supply, including disinfecting the well, pump, and obtaining three consecutive passing bacteriological tests.$7,400.00 $7,400.00 $11,683.00 $11,683.00 $8,900.00 $8,900.00 $15,000.00 $15,000.00 $10,000.00 $10,000.00 $27,000.00 $27,000.00 NB NBC-30 2 MOMonthly rental of pump. City will provide electric power, maintain dripper oil levels and perform daily checks. Contractor will be responsible for promptly correcting any mechanical problems that may develop.$1,000.00 $2,000.00 $0.00 $0.00 $495.00 $990.00 $0.00 $0.00 $15,000.00 $30,000.00 $5,000.00 $10,000.00 NB NBPage 3 of 4 City of College Station - Purchasing DivisionBid Tabulation for #16-068"Repair or Replacement of Water Well 6 and 8 Pumps"Open Date: Thursday, April 28, 2016 @ 2:00 p.m.ITEMQTYUNITDESCRIPTIONUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICEUNIT PRICETOTAL PRICESmith Pump Co., Inc.(Waco, TX)Peerless Equipment(San Antonio, TX)Brien Water Wells(Hearne, TX)Layne Christensen Co.(Houston, TX)Weisinger Incorporated(Conroe, TX)Advanced Water Well Technologies(Converse, TX)Alsay Incorporated(Houston, TX)C-31 1 LSDisconnection and removal of rental pump. $6,000.00 $6,000.00 $7,000.00 $7,000.00 $6,000.00 $6,000.00 $15,000.00 $15,000.00 $6,000.00 $6,000.00 $9,000.00 $9,000.00 NB NBADDITIVE ALTERNATE BID ITEMSWELL #6 ALTERNATES1-A 1Per Hour Perform wire brushing of the Well casing, if needed.$300.00 $300.00 $350.00 $350.00 $225.00 $225.00 $375.00 $375.00 $300.00 $300.00 $375.00 $375.00 $0.002-A 1Per Hour Perform air lift cleaning of the Well to remove debris, if needed.$350.00 $350.00 $425.00 $425.00 $250.00 $250.00 $475.00 $475.00 $300.00 $300.00 $400.00 $400.00 $0.003-A 1Per Hour Perform additional air lift cleaning, if needed.$350.00 $350.00 $425.00 $425.00 $250.00 $250.00 $475.00 $475.00 $300.00 $300.00 $400.00 $400.00 $0.004-A 1 LSReplace existing pump with new pump having, been made of the same construction materials which has the ability to work within existing system and be designed to produce 3,000 gpm @ 418 ft TDH. *(Replaces Water Well No. #6 Base Bid Item B-5)$15,990.00 $15,990.00 $21,067.00 $21,067.00 $24,315.00 $24,315.00 $16,835.00 $16,835.00 $22,360.00 $22,360.00 $27,700.00 $27,700.00 $0.00WELL #ALTERNATES5-A 1Per Hour Perform wire brushing of the Well casing, if needed.$300.00 $300.00 $350.00 $350.00 $225.00 $225.00 $375.00 $375.00 $300.00 $300.00 $375.00 $375.00 $0.006-A 1Per Hour Perform air lift cleaning of the Well to remove debris, if needed.$350.00 $350.00 $425.00 $425.00 $250.00 $250.00 $475.00 $475.00 $300.00 $300.00 $400.00 $400.00 $0.007-A 1Per Hour Perform additional air lift cleaning, if needed.$350.00 $350.00 $425.00 $425.00 $250.00 $250.00 $475.00 $475.00 $300.00 $300.00 $400.00 $400.00 $0.008-A 1 LSUnit cost and delivery time to repair existing pump assembly to like-new condition, designed to produce 3,000 gpm @ 475 ft TDH. Refurbishment shall include suction nozzle, bronze bearings, bronze wear rings, stainless steel lock collets and impellar shaft. *(Replaces Water Well No. #8 Base Bid Item C-7)$12,492.00 $12,492.00 $10,626.00 $10,626.00 $7,800.00 $7,800.00 $5,000.00 $5,000.00 $22,360.00 $22,360.00 $9,500.00 $9,500.00 $0.00Brien Water Wells:»Bidder miscalculated Bid Items B-19, B-22, Subtotal B, C-9, C-21, C-24, Subtotal C and the Total Base Bid Amount. The highlighted totals above are correct.Layne Christensen Co:»Bidder miscalculated Bid Items B-7 Subtotal B and the Total Base Bid Amount. The highlighted totals above are correct.Peerless Equip:»Bidder miscalculated Bid Items B-28, Subtotal B, C-30, Subtotal C and the Total Base Bid Amount. The highlighted totals above are correct.Smith Pump Co., Inc.:»Bidder miscalculated Bid Items B-11, Subtotal B and the Total Base Bid Amount. The highlighted totals above are correct. »Bidder also "No Bid" Bid Items B-27, B-28, B29, C29, C30 and C31.TOTAL BASE BID AMOUNT (Subtotals A. + B. + C.)$1,199,255.00 $250,694.00 $258,426.00$139,868.00$105,467.00$264,820.00 $378,345.00 $474,185.00 $210,106.00SUBTOTAL: C. WATER WELL #8 $598,336.00 $131,354.00NOTES:$133,670.00 $176,790.00 $203,880.00Page 4 of 4 City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0277 Name:Utility Agreement with Brazos County MUD No. 1 Status:Type:Agreement Consent Agenda File created:In control:5/1/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding a Utility Agreement with the Brazos County Municipal Utility District No. 1 Board, addressing the provision of City water and sewer service to the Municipal Utility District. Sponsors:Lance Simms Indexes: Code sections: Attachments:Vicinity Map Utility Agreement Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding a Utility Agreement with the Brazos County Municipal Utility District No. 1 Board, addressing the provision of City water and sewer service to the Municipal Utility District. Relationship to Strategic Goals: ·Good Governance ·Financially Sustainable City ·Core Services and Infrastructure ·Diverse Growing Economy Recommendation(s): Staff recommends approval of the agreement. Summary: In March of 2014, the City Council granted the landowner’s petition to create Brazos County Municipal Utility District (MUD) No. 1 within the City’s Extraterritorial Jurisdiction. As provided for in the City’s adopted MUD policy, staff negotiated a Development Agreement with the developer to extend the City’s planning authority over the MUD. In March of 2015, the City Council approved the Development Agreement which included a “form” of the Utility Agreement as an attachment. The Utility Agreement has since been approved by the MUD Board and needs to be approved by the City Council. The Utility Agreement addresses the provision of City water and sewer service to the MUD. The MUD will be responsible for all design and construction costs for all off-site and on-site water and wastewater infrastructure associated with the development. The City is responsible for providing the required water and wastewater capacity to serve development within the MUD. Budget & Financial Summary: N/A College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0277,Version:1 Attachments: 1.Vicinity Map - MUD No. 1 2.Utility Agreement College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ Vicinity Map 4 mi N➤➤N © 2013 Google © 2013 Google © 2013 Google City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0306 Name:Appointment Status:Type:Appointment Consent Agenda File created:In control:5/11/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion regarding the appointment of the Executive Director of the Aggieland Humane Society as the Local Rabies Control Authority (LRCA) for College Station. Sponsors:Sherry Mashburn Indexes: Code sections: Attachments: Action ByDate Action ResultVer. Presentation, possible action, and discussion regarding the appointment of the Executive Director of the Aggieland Humane Society as the Local Rabies Control Authority (LRCA) for College Station. Relationship to Strategic Goals: ·Good Governance Recommendation(s): Appointment of the Executive Director of the Aggieland Humane Society as the Local Rabies Control Authority (LRCA) for College Station. Summary: The Executive Director of the Aggieland Humane Society has historically been the local rabies control authority (LRCA) for rabies in College Station and Brazos County since 1983. The new regional Veterinarian, in Temple, Texas needs a City of College Station signature to that effect on a form. This will require Council approval. Section 826.017 of the Texas Health & Safety Code requires the governing body of each municipality to designate an officer to act as the local rabies control authority. Budget & Financial Summary: None Attachments: None College Station, TX Printed on 5/12/2016Page 1 of 1 powered by Legistar™ City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0284 Name:PDD Rezoning – Wellborn Settlement Residential Status:Type:Rezoning Agenda Ready File created:In control:5/4/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to PDD Planned Development District for approximately 26 acres being situated in the Samuel Davidson League, Abstract No. 13, Brazos County, Texas, said tract being a portion of the remainder of a called 33.70 acre tract described as third tract by a deed to Keren Eidson recorded in Volume 300, Page 609 of the deed records of Brazos County, Texas, generally located between Wellborn Road (FM 2154) and Royder Road, near Greens Prairie Road West. Case #REZ2015-000028 Sponsors:Jessica Bullock Indexes: Code sections: Attachments:Background Information Aerial and Small Area Map (SAM) Ordinance Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from R Rural to PDD Planned Development District for approximately 26 acres being situated in the Samuel Davidson League, Abstract No. 13, Brazos County, Texas, said tract being a portion of the remainder of a called 33.70 acre tract described as third tract by a deed to Keren Eidson recorded in Volume 300, Page 609 of the deed records of Brazos County, Texas, generally located between Wellborn Road (FM 2154) and Royder Road, near Greens Prairie Road West. Case #REZ2015-000028 Relationship to Strategic Goals: ·Good Governance ·Financially Sustainable City ·Core Services and Infrastructure ·Neighborhood Integrity ·Diverse Growing Economy ·Improving Mobility Recommendation(s): The Planning and Zoning Commission considered this item on April 21, 2016 and voted 5-0 to recommend approval with the condition that a solid wood fence between six to eight feet in height be installed to the adjacent single-family property to the east, prior to issuance of building permits. College Station, TX Printed on 5/12/2016Page 1 of 4 powered by Legistar™ File #:16-0284,Version:1 Summary::The applicant is requesting a PDD Planned Development District zoning on approximately 26 acres to build a clustered single-family residential development in the Wellborn Community area. The PDD uses a base zoning district of RS Restricted Suburban with modification to make the zoning district compliant with the community plan. The Unified Development Ordinance provides the following review criteria for zoning map amendments: REVIEW CRITERIA 1.Consistency with the Comprehensive Plan:The subject property is located within the Wellborn Community Plan area, with a Future Land Use and Character designation of Wellborn Restricted Suburban. This land use is generally for areas that should have a moderate level of development activities. These areas tend to consist of medium-density single-family residential lots (minimum 20,000 square feet) and may be clustered for reduced lot sizes (minimum 8,000 square feet). Open space should be provided so density is not increased when using the cluster option. Such open space should be in addition to a general open space requirement of 15 percent of the developing area. This land use also allows for 15 percent of the designated area to be used for townhomes, offices, and light commercial. The proposed rezoning uses a base zoning district of RS Restricted Suburban, with modifications to be in line with Wellborn Restricted Suburban. Modifications to the base zoning district include minimum lot size, density, and open space requirements. The proposed rezoning is consistent with the Wellborn Community Plan. 2.Compatibility with the present zoning and conforming uses of nearby property and with the character of the neighborhood:The surrounding area is currently zoned R Rural, SC Suburban Commercial, and PDD Planned Development District. When this area was annexed, it received the R Rural designation. The immediate area includes large acreage residential properties, the Creek Meadows subdivision, and land recently rezoned for commercial use. The Creek Meadows development is near the subject property. The development received Master Plan approval prior to annexation and continues to develop according its recent PDD amendments. The proposed rezoning to allow for a medium-density single-family development is compatible with other uses and changing character of the neighborhood. 3.Suitability of the property affected by the amendment for uses permitted by the district that would be made applicable by the proposed amendment:The Wellborn Community Plan was adopted in 2013, and provided future land uses for the area. The proposed PDD uses a base zoning district of RS Restricted Suburban and provides modifications to meet the standards of the Wellborn Community Plan. The property is suitable for a residential subdivision. 4.Suitability of the property affected by the amendment for uses permitted by the district applicable to the property at the time of the proposed amendment:When property in the Wellborn Community was annexed, it received the R Rural designation which allows for large lot single-family residential development and agricultural activities. The property is suitable for R Rural designation, but would not be in line with the Community Plan. The proposed rezoning College Station, TX Printed on 5/12/2016Page 2 of 4 powered by Legistar™ File #:16-0284,Version:1 request allows for development according to the recently adopted plan. 5.Marketability of the property affected by the amendment for uses permitted by the district applicable to the property at the time of the proposed amendment:The subject property is currently zoned R Rural. The property is marketable with this zoning district but is also marketable for a medium-density subdivision. 6.Availability of water, wastewater, stormwater, and transportation facilities generally suitable and adequate for the proposed use:Water service will be provided by Wellborn Special Utility District. An existing 12” sanitary sewer line is near this development, located within the Royder Road right-of-way. This 12” sanitary sewer line conveys flow to an existing lift station (Creek Meadows Lift Station) that is currently under construction to increase capacity. When the construction of the Creek Meadows Lift Station improvements are complete, there will be adequate downstream capacity to serve the Wellborn Settlement Residential proposed development. Drainage is mainly to the south within the Peach Creek Drainage Basin, where detention is required. Access to the site will be along Royder Road, a minor arterial. Individual lot access will be internal to the site and not permitted along Royder Road based on the classification. Drainage and other public infrastructure required with site development shall be designed and constructed in accordance with the BCS Unified Design Guidelines. With the exception of sanitary sewer, existing infrastructure appears to be adequate for the proposed use at this time. REVIEW OF CONCEPT PLAN The Concept Plan provides an illustration of the general layout of the proposed building and parking areas as well as other site related features. In proposing a PDD, an applicant may also request variations to the general platting and site development standards provided that those variations are outweighed by demonstrated community benefits of the proposed development. The Unified Development Ordinance provides the following review criteria as the basis for reviewing PDD Concept Plans: 1.The proposal will constitute an environment of sustained stability and will be in harmony with the character of the surrounding area; 2.The proposal is in conformity with the policies, goals, and objectives of the Comprehensive Plan, and any subsequently adopted Plans, and will be consistent with the intent and purpose of this Section; 3.The proposal is compatible with existing or permitted uses on abutting sites and will not adversely affect adjacent development; 4.Every dwelling unit need not front on a public street but shall have access to a public street directly or via a court, walkway, public area, or area owned by a homeowners association; 5.The development includes provision of adequate public improvements, including, but not limited to, parks, schools, and other public facilities; 6.The development will not be detrimental to the public health, safety, welfare, or materially injurious to properties or improvements in the vicinity; and 7.The development will not adversely affect the safety and convenience of vehicular, bicycle, or pedestrian circulation in the vicinity, including traffic reasonably expected to be generated by the proposed use and other uses reasonably anticipated in the area considering existing zoning and land uses in the area. College Station, TX Printed on 5/12/2016Page 3 of 4 powered by Legistar™ File #:16-0284,Version:1 General:The proposed Concept Plan provides for a clustered residential subdivision in the Wellborn Community area. Open space is provided to ensure density is not increased when using the cluster option. Modifications Requested:RS Restricted Suburban is proposed as the base zoning district with the following modifications. All other standards not expressly requested and approved will meet RS Restricted Suburban standards: ·Residential Dimensional Standards: o Maximum two dwelling units per acre o Minimum lot size: 20,000 square feet or 8,000 square feet when using the cluster option ·Open Space Requirements: o Minimum 15 percent of the gross area will be provided as open space plus any additional needed to ensure density is not increased ·Block Length: o Maximum block length of 1300 feet Community Benefits:The applicant requests modifications to residential dimensional standards and open space requirements in order to make the subdivision compliant with the Wellborn Community Plan. Budget & Financial Summary: N/A Attachments: 1.Background Information 2.Aerial & Small Area Map (SAM) 3.Ordinance College Station, TX Printed on 5/12/2016Page 4 of 4 powered by Legistar™ NOTIFICATIONS Advertised Commission Hearing Date: April 21, 2016 Advertised Council Hearing Date: May 16, 2016 The following neighborhood organizations that are registered with the City of College Station’s Neighborhood Services have received a courtesy letter of notification of this public hearing: Creek Meadows Turnberry Place Wellborn Oaks Royder Ridge Sweetwater Forest Property owner notices mailed: 20 Contacts in support: None Contacts in opposition: None Inquiry contacts: One ADJACENT LAND USES Direction Comprehensive Plan Zoning Land Use North Wellborn Commercial R Rural Single-Family East (Across Royder Road) Wellborn Preserve-Open Restricted Suburban R Rural PDD Planned Development District Single-Family Creek Meadows South Wellborn Restricted Suburban R Rural Undeveloped West Wellborn Restricted Suburban SC Suburban Commercial R Rural Undeveloped Single-Family DEVELOPMENT HISTORY Annexation: April 2015 Zoning: R Rural upon annexation (2015) Final Plat: Unplatted Site development: Undeveloped ORDINANCE NO. _____ AN ORDINANCE AMENDING CHAPTER 12, “UNIFIED DEVELOPMENT ORDINANCE,” SECTION 12-4.2, “OFFICIAL ZONING MAP,” OF THE CODE OF ORDINANCES OF THE CITY OF COLLEGE STATION, TEXAS, BY CHANGING THE ZONING DISTRICT BOUNDARIES FROM R RURAL TO PDD PLANNED DEVELOPMENT DISTRICT FOR APPROXIMATELY 26 ACRES BEING SITUATED IN THE SAMUEL DAVIDSON LEAGUE, ABSTRACT NO. 13, BRAZOS COUNTY, TEXAS, SAID TRACT BEING A PORTION OF THE REMAINDER OF A CALLED 33.70 ACRE TRACT DESCRIBED AS THIRD TRACT BY A DEED TO KEREN EIDSON RECORDED IN VOLUME 300, PAGE 609 OF THE DEED RECORDS OF BRAZOS COUNTY, TEXAS, GENERALLY LOCATED BETWEEN WELLBORN ROAD (FM 2154) AND ROYDER ROAD, NEAR GREENS PRAIRIE ROAD WEST; PROVIDING A SEVERABILITY CLAUSE; DECLARING A PENALTY; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That Chapter 12, “Unified Development Ordinance,” Section 12-4.2, “Official Zoning Map,” of the Code of Ordinances of the City of College Station, Texas, be amended as set out in Exhibit “A”, as described in Exhibit “B”, as shown graphically in Exhibit “C”, and as shown on the Concept Plan in Exhibit “D”, attached hereto and made a part of this ordinance for all purposes. PART 2: That if any provisions of any section of this ordinance shall be held to be void or unconstitutional, such holding shall in no way effect the validity of the remaining provisions or sections of this ordinance, which shall remain in full force and effect. PART 3: That any person, firm, or corporation violating any of the provisions of this chapter shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a fine of not less than Twenty-five Dollars ($25.00) nor more than Two Thousand Dollars ($2,000.00). Each day such violation shall continue or be permitted to continue, shall be deemed a separate offense. Said Ordinance, being a penal ordinance, becomes effective ten (10) days after its date of passage by the City Council, as provided by Section 35 of the Charter of the City of College Station. PASSED, ADOPTED and APPROVED this 16th day of May, 2016 APPROVED: ____________________________________ Mayor ATTEST: _______________________________ City Secretary APPROVED: _______________________________ City Attorney Ordinance No. ________ Page 2 of 6 EXHIBIT “A” That Chapter 12, “Unified Development Ordinance,” Section 12-4.2, “Official Zoning Map,” of the Code of Ordinances of the City of College Station, Texas, is hereby amended as follows: The following property is rezoned from R Rural to PDD Planned Development District, as described in EXHIBIT “B” as graphically depicted in EXHIBIT “C”, and as shown on the Concept Plan in EXHIBIT “D”: Ordinance No. ________ Page 3 of 6 Ordinance No. ________ Page 4 of 6 EXHIBIT “B” General: The proposed Concept Plan provides for a clustered residential subdivision in the Wellborn Community area. Open space is provided to ensure density is not increased when using the cluster option. Modifications Requested: RS Restricted Suburban is proposed as the base zoning district with the following modifications. All other standards not expressly requested and approved will meet RS Restricted Suburban standards:  Residential Dimensional Standards: o Maximum two dwelling units per acre o Minimum lot size: 20,000 square feet or 8,000 square feet when using the cluster option  Open Space Requirements: o Minimum 15 percent of the gross area will be provided as open space plus any additional needed to ensure density is not increased  Block Length: o Maximum block length of 1300 feet Community Benefits: The applicant requests modifications to residential dimensional standards and open space requirements in order to make the subdivision compliant with the Wellborn Community Plan. A solid wood fence will be provided as a buffer to the approximate two acre single-family property to the east. The fence shall be between six to eight feet in height. The fence shall be in place prior to issuance of building permits. Ordinance No. ________ Page 5 of 6 EXHIBIT “C” Ordinance No. ________ Page 6 of 6 EXHIBIT “D” CONCEPT PLAN Concept Plan City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0286 Name:Rezoning – 150 Graham Road Status:Type:Rezoning Agenda Ready File created:In control:5/5/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from M1 Light Industrial and M2 Heavy Industrial to SC Suburban Commercial for approximately 0.50 acres being the JHW Commercial Subdivision, Lot 3, Block 1, generally located at 150 Graham Road. Case #REZ2016-000005 Sponsors:Madison Thomas Indexes: Code sections: Attachments:Background Aerial and Small Area Map Ordinance Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 12, "Unified Development Ordinance," Section 12-4.2, "Official Zoning Map," of the Code of Ordinances of the City of College Station, Texas by changing the zoning district boundaries from M1 Light Industrial and M2 Heavy Industrial to SC Suburban Commercial for approximately 0.50 acres being the JHW Commercial Subdivision, Lot 3, Block 1, generally located at 150 Graham Road. Case #REZ2016-000005 Relationship to Strategic Goals: ·Good Governance ·Financially Sustainable City ·Core Services and Infrastructure ·Diverse Growing Economy Recommendation(s): The Planning and Zoning Commission considered this item on April 21st and voted 5-0 to recommend approval. Summary: The applicant is requesting a zoning change from M-1 Light Industrial and M-2 Heavy Industrial to SC Suburban Commercial as a step toward developing a property with commercial uses. PROPOSAL The applicant has requested a SC Suburban Commercial rezoning at this location to allow for future daycare and retail/office uses. College Station, TX Printed on 5/12/2016Page 1 of 3 powered by Legistar™ File #:16-0286,Version:1 REZONING REVIEW CRITERIA 1.Consistency with the Comprehensive Plan: The subject area is designated on the Comprehensive Plan Future Land Use and Character Map as Suburban Commercial. The Comprehensive Plan states that this designation is for small concentrations of commercial activities adjacent to major roads that cater primarily to nearby residents versus the larger community or region. The proposed zoning permits lower-density commercial uses that provide services to nearby neighborhoods along William D. Fitch Pkwy and Barron Road, allowing the property to be developed consistent with the Comprehensive Plan. 2.Compatibility with the present zoning and conforming uses of nearby property and with the character of the neighborhood: While Suburban Commercial developments are not typically mixed among industrial uses, the surrounding industrial zonings are not in compliance with the Comprehensive Plan. At a corner location on the periphery of a residential area and located along a major collector, Suburban Commercial would be compatible with the conforming duplex neighborhood to the south and other residential developments in the area. 3.Suitability of the property affected by the amendment for uses permitted by the district that would be made applicable by the proposed amendment: A zoning change to allow for suburban commercial uses would be consistent with neighboring uses. Its location on Graham Rd. is ideal for commercial businesses. Lessening the use from industrial to suburban commercial is beneficial for the residential duplex uses that border this property. 4.Suitability of the property affected by the amendment for uses permitted by the district applicable to the property at the time of the proposed amendment: There are additional properties zoned for industrial use across the street and to the east of this property. The property could develop as industrial, but this zoning use is not in line with the Comprehensive Plan. 5.Marketability of the property affected by the amendment for uses permitted by the district applicable to the property at the time of the proposed amendment:The property could be marketed as industrial as it is now. There are no issues that would prohibit the use of this property as it is currently zoned. 6. Availability of water, wastewater, stormwater, and transportation facilities generally suitable and adequate for the proposed use: Water Services will be provided by City of College Station via an existing 12-inch water line along Graham Road. The site will have sewer access via an existing 12-inch sewer line along Graham Road. The site is in the Lick Creek drainage basin, and detention will be required with development. Drainage and other public infrastructure required with the site shall be designed and constructed in accordance with the B/CS Unified Design Guidelines. The existing infrastructure appears to currently have capacity to adequately serve the proposed use. Budget & Financial Summary: N/A Attachments: 1.Background Information 2.Aerial & Small Area Map College Station, TX Printed on 5/12/2016Page 2 of 3 powered by Legistar™ File #:16-0286,Version:1 3. Ordinance College Station, TX Printed on 5/12/2016Page 3 of 3 powered by Legistar™ NOTIFICATIONS Advertised Commission Hearing Date: April 21, 2016 Advertised Council Hearing Date: May 16, 2016 The following neighborhood organizations that are registered with the City of College Station’s Neighborhood Services have received a courtesy letter of notification of this public hearing: Edelweiss Gartens Property owner notices mailed: 25 Contacts in support: 0 at the time of staff report. Contacts in opposition: 0 at the time of staff report. Inquiry contacts: 1 at the time of staff report. ADJACENT LAND USES Direction Comprehensive Plan Zoning Land Use North (Across Graham Rd) Suburban Commercial M-1 Light Industrial Commercial Business South General Suburban D Duplex Duplexes East Suburban Commercial M-2 Heavy Industrial Warehouse West Suburban Commercial C-3 Light Commercial Vacant Building DEVELOPMENT HISTORY Annexation: 1993 Zoning: Property zoned A-O Agriculture Open after annexation. 1993 – A-O Agriculture Open rezoned to M-1 Planned Industrial and M-2 Heavy Industrial M-1 Planned Industrial renamed M-1 Light Industrial Final Plat: This subject site is Lot 3, Block A of the JHW Commercial Addition Site development: Property is currently vacant and undeveloped. ORDINANCE NO. _____ AN ORDINANCE AMENDING CHAPTER 12, “UNIFIED DEVELOPMENT ORDINANCE,” SECTION 12-4.2, “OFFICIAL ZONING MAP,” OF THE CODE OF ORDINANCES OF THE CITY OF COLLEGE STATION, TEXAS, BY CHANGING THE ZONING DISTRICT BOUNDARIES FROM M-1 LIGHT INDUSTRIAL AND M-2 HEAVY INDUSTRIAL TO SC SUBURBAN COMMERCIAL FOR APPROXIMATELY 0.471 ACRES FOR THE PROPERTY BEING SITUATED IN THE JHW COMMERCIAL ADDITION SUBDIVISION, BEING BLOCK 1, LOT 3 ACCORDING TO THE PLAT RECORDED IN VOLUME 12399, PAGE 197 OF THE BRAZOS COUNTY OFFICIAL RECORDS AND MORE GENERALLY LOCATED SOUTH OF GRAHAM ROAD BETWEEN FM 2154 AND BRANDENBURG LANE; PROVIDING A SEVERABILITY CLAUSE; DECLARING A PENALTY; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That Chapter 12, “Unified Development Ordinance,” Section 12-4.2, “Official Zoning Map,” of the Code of Ordinances of the City of College Station, Texas, be amended as set out in Exhibit “A” and as shown graphically in Exhibit “B” and Exhibit “C”, attached hereto and made a part of this ordinance for all purposes. PART 2: That if any provisions of any section of this ordinance shall be held to be void or unconstitutional, such holding shall in no way effect the val idity of the remaining provisions or sections of this ordinance, which shall remain in full force and effect. PART 3: That any person, firm, or corporation violating any of the provisions of this chapter shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a fine of not less than Twenty-five Dollars ($25.00) nor more than Two Thousand Dollars ($2,000.00). Each day such violation shall continue or be permitted to continue, shall be deemed a separate offense. Said Ordinance, being a penal ordinance, becomes effective ten (10) days after its date of passage by the City Council, as provided by Section 35 of the Charter of the City of College Station. PART 4: Said Ordinance will not become effective unless a deed executed for purchase of the property is recorded in the Official Records of Brazos County, Texas. Ordinance No._______ Page 2 of 5 PASSED, ADOPTED and APPROVED this 16th day of May, 2016 APPROVED: ____________________________________ Mayor ATTEST: _______________________________ City Secretary APPROVED: _______________________________ City Attorney Ordinance No._______ Page 3 of 5 EXHIBIT “A” That Chapter 12, “Unified Development Ordinance,” Section 12-4.2, “Official Zoning Map,” of the Code of Ordinances of the City of College Station, Texas, is hereby amended as follows: The following property is rezoned from M-1 Light Industrial and M-2 Heavy Industrial to SC Suburban Commercial, as graphically depicted in Exhibit “B” and Exhibit “C”. JHW Commercial Addition Subdivision, being Block 1, Lot 3 according to the plat recorded in Volume 12399, Page 197 of the Brazos County Official Records. Ordinance No._______ Page 4 of 5 EXHIBIT “B” Ordinance No._______ Page 5 of 5 EXHIBIT “C” City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0276 Name:Strategic Partnership Agreement with MUD No. 1 Status:Type:Agreement Agenda Ready File created:In control:5/1/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding a Strategic Partnership Agreement with the Brazos County Municipal Utility District No. 1 Board, outlining the terms and conditions for annexation. Sponsors:Lance Simms Indexes: Code sections: Attachments:Vicinity Map Strategic Partnership Agreement Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding a Strategic Partnership Agreement with the Brazos County Municipal Utility District No. 1 Board, outlining the terms and conditions for annexation. Relationship to Strategic Goals: ·Good Governance ·Financially Sustainable City ·Core Services and Infrastructure ·Neighborhood Integrity ·Diverse Growing Economy Recommendation(s): Staff recommends approval of the agreement. Summary: This is the second of two public hearings required before approving the Strategic Partnership Agreement (SPA) with Brazos County MUD No. 1. The first Public hearing was held on 28 April. Formal approval of the SPA can occur after the second public hearing on 16 May. In March of 2014, the City Council granted the landowner’s petition to create Brazos County Municipal Utility District (MUD) No. 1 within the City’s Extraterritorial Jurisdiction. As provided for in the City’s adopted MUD policy, staff negotiated a Development Agreement with the developer to extend the City’s planning authority over the MUD. In March of 2015, the City Council approved the Development Agreement which included a “form” of the Strategic Partnership Agreement (SPA) as an attachment. The SPA has since been approved by the MUD Board and needs to be approved by the City Council. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0276,Version:1 The SPA outlines the terms and conditions for the future annexation of the MUD. Budget & Financial Summary: N/A Attachments: 1.MUD No. 1 Vicinity Map 2.Strategic Partnership Agreement College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ Vicinity Map 4 mi N➤➤N © 2013 Google © 2013 Google © 2013 Google City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:216-0281 Name:Public Utility Easement Abandonment – 105 Holik Street Status:Type:Ordinance Agenda Ready File created:In control:5/4/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding an ordinance vacating and abandoning a 0.068 acre portion of a 10-foot wide Public Utility Easement, said portion being on Lot 1A, Block 1, Replat of Lot 1, Block 1, College Station I.S.D., Willow Branch and Oakwood School Sites Subdivision, according to the plat recorded in Volume 6857, Page 25, of the Official Records of Brazos County, Texas, said tract also being a portion of a 10' Public Utilities Easement as shown on Lot 1, Block 1, of the plat of College Station I.S.D. Willow Branch and Oakwood School sites, according to the plat recorded in Volume 3588, Page 51, Official Records of Brazos County, Texas. Sponsors:Carol Cotter Indexes: Code sections: Attachments:Vicinity Map Location Map Ordinance Exhibit A Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding an ordinance vacating and abandoning a 0.068 acre portion of a 10-foot wide Public Utility Easement, said portion being on Lot 1A, Block 1, Replat of Lot 1, Block 1, College Station I.S.D., Willow Branch and Oakwood School Sites Subdivision, according to the plat recorded in Volume 6857, Page 25, of the Official Records of Brazos County, Texas, said tract also being a portion of a 10' Public Utilities Easement as shown on Lot 1, Block 1, of the plat of College Station I.S.D. Willow Branch and Oakwood School sites, according to the plat recorded in Volume 3588, Page 51, Official Records of Brazos County, Texas. Relationship to Strategic Goals: ·Good Governance ·Core Services and Infrastructure Recommendation(s): Staff recommends approval of the ordinance. Summary: This public utility easement (PUE) abandonment will accommodate a building expansion on the CSISD property. It appears the PUE was intended for an existing water line that is offset from the PUE’s current limits. As part of the abandonment, a 15-foot wide public utility easement dedication by CSISD to cover this existing line is being required. If the condition is not met, the abandonment will be null and void. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0281,Version:2 The 0.068 acre portion of a 10-foot wide Public Utility Easement to be abandoned is located on a portion of Lot 1A, Block 1, Replat of Lot 1, Block 1, College Station I.S.D., Willow Branch and Oakwood School Sites Subdivision, according to the plat recorded in Volume 6857, Page 25, of the Official Records of Brazos County, Texas, said tract also being a portion of a 10' Public Utilities Easement as shown on Lot 1, Block 1, of the plat of College Station I.S.D. Willow Branch and Oakwood School sites, according to the plat recorded in Volume 3588, Page 51, Official Records of Brazos County, Texas. Reviewed and Approved by Legal: Yes Budget & Financial Summary: N/A Attachments: 1.Vicinity Map 2.Location Map 3.Ordinance 4.Exhibit "A" College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ View.ashx %d×%d pixels https://collegestation.legistar.com/View.ashx?M=F&ID=4439687&GUID=CD77F302-B104-42D5-9929-F1820ECA1A57[5/12/2016 4:15:21 PM] View.ashx %d×%d pixels https://collegestation.legistar.com/View.ashx?M=F&ID=4439688&GUID=BC628203-AA00-4B3E-A9EE-93E6C1E92F5F[5/12/2016 4:15:24 PM] ORDINANCE NO. _________________ AN ORDINANCE MAKING CERTAIN AFFIRMATIVE FINDINGS AND VACATING AND ABANDONING A 0.068 ACRE PORTION OF A 10-FOOT WIDE PUBLIC UTILITY EASEMENT, SAID PORTION BEING ON LOT 1A, BLOCK 1, REPLAT OF LOT 1, BLOCK 1, COLLEGE STATION I.S.D., WILLOW BRANCH AND OAKWOOD SCHOOL SITES SUBDIVISION, ACCORDING TO THE PLAT RECORDED IN VOLUME 6857, PAGE 25 OF THE OFFICIAL RECORDS OF BRAZOS COUNTY, TEXAS, SAID TRACT ALSO BEING A PORTION OF A 10’ PUBLIC UTILITIES EASEMENT AS SHOWN ON LOT 1, BLOCK 1, OF THE PLAT OF COLLEGE STATION I.S.D. WILLOW BRANCH AND OAKWOOD SCHOOL SITES, ACCORDING TO THE PLAT RECORDED IN VOLUME 3588, PAGE 51 OF THE OFFICIAL RECORDS OF BRAZOS COUNTY, TEXAS. WHEREAS, the City of College Station, Texas, has received an application for the vacation and abandonment of a 0.068 acre portion of a 10-foot wide Public Utility Easement, said portion being on Lot 1A, Block 1, Replat of Lot 1, Block 1, College Station I.S.D., Willow Branch and Oakwood School Sites Subdivision, according to the plat recorded in Volume 6857, Page 25, of the Official Records of Brazos County, Texas, said tract also being a portion of a 10' Public Utilities Easement as shown on Lot 1, Block 1, of the plat of College Station I.S.D. Willow Branch and Oakwood School sites, according to the plat recorded in Volume 3588, Page 51, Official Records of Brazos County, Texas, as described in Exhibit "A" attached hereto (such portion hereinafter referred to as the “Public Utility Easement”); and WHEREAS, in order for the Public Utility Easement to be vacated and abandoned by the City Council of the City of College Station, Texas, the City Council must make certain affirmative findings; now therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That after opening and closing a public hearing, the City Council finds the following pertaining to the vacating and abandoning of the Public Utility Easement described in Exhibit "A" attached hereto and made a part of this ordinance for all purposes. 1. Abandonment of the Public Utility Easement will not result in property that does not have access to public roadways or utilities. 2. There is no public need or use for the Public Utility Easement. Ordinance No.______ Page 2 of 3 3. There is no anticipated future public need or use for the Public Utility Easement. 4. Abandonment of the Public Utility Easement will not impact access for all public utilities to serve current and future customers. PART 2: That the Public Utility Easement as described in Exhibit “A” be abandoned and vacated by the City upon completion of the following condition: 1. That the Applicant shall convey by separate instrument or plat to the City, a 15-foot wide Public Utility Easement along the true location of the existing waterline as part of this abandonment. PASSED, ADOPTED and APPROVED this _______ day of _________________, 2016. APPROVED: ____________________________________ Nancy Berry, Mayor ATTEST: ______________________________ Sherry Mashburn, City Secretary APPROVED: ______________________________ City Attorney Ordinance No.______ Page 3 of 3 EXHIBIT A City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0282 Name:Embassy Suites Parking Removal Status:Type:Ordinance Agenda Ready File created:In control:5/4/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV- No Parking Here to Corner or No Parking Any time” of the Code of Ordinances of the City of College Station, Texas by removing on- street parking along both sides of Jane Street between University Drive and Cooner Street and removing on-street parking along both sides of Eisenhower Street between University Drive and Cooner Ctreet. Sponsors:Danielle Singh Indexes: Code sections: Attachments:Location Map Ordinance Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV- No Parking Here to Corner or No Parking Any time” of the Code of Ordinances of the City of College Station, Texas by removing on -street parking along both sides of Jane Street between University Drive and Cooner Street and removing on-street parking along both sides of Eisenhower Street between University Drive and Cooner Ctreet. Relationship to Strategic Goals: ·Good Governance ·Core Services and Infrastructure ·Diverse Growing Economy ·Improving Mobility Recommendation(s): Staff recommends approval of the ordinance. Summary: This ordinance amends Chapter 10 “Traffic Code,” by removing parking from the 400 Block of Jane Street and the 400 Block of Eisenhower Street. This parking removal request is to allow emergency access to the proposed Embassy Suites development. Letters were mailed to the property owners adjacent to the area impacted by the parking removal. Additionally, on April 26th, the applicant held a meeting with the property owners to discuss the College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0282,Version:1 parking removal plan. Budget & Financial Summary: N/A -The “No Parking” signs will be installed by the contractor as part of their development. Attachments: 1.Location Map 2.Ordinance College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ View.ashx %d×%d pixels https://collegestation.legistar.com/View.ashx?M=F&ID=4440059&GUID=D586F237-3529-4F28-B341-54257EFB7BF7[5/12/2016 4:15:31 PM] ORDINANCE NO. __________ AN ORDINANCE AMENDING CHAPTER 10, “TRAFFIC CODE”, SECTION 4 “ADMINISTRATIVE ADJUDICATION OF PARKING VIOLATIONS”, E “PARKING REGULATIONS FOR CERTAIN DESCRIBED AREAS”, (1) “TRAFFIC SCHEDULE XIV – NO PARKING HERE TO CORNER OR NO PARKING ANY TIME” OF THE CODE OF ORDINANCES OF THE CITY OF COLLEGE STATION, TEXAS, BY REMOVING ON-STREET PARKING ALONG BOTH SIDES OF JANE STREET BETWEEN UNIVERSITY DRIVE AND COONER STREET; AND REMOVING ON- STREET PARKING ALONG BOTH SIDES OF EISENHOWER STREET BETWEEN UNIVERSITY DRIVE AND COONER STREET, PROVIDING A SEVERABILITY CLAUSE; DECLARING A PENALTY; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That Chapter 10, “Traffic Code”, Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV – No Parking Here to Corner or No Parking at Any Time” of the Code of Ordinances of the City of College Station, Texas, be amended as set out in Exhibit “A”, attached hereto and made a part of this ordinance for all purposes. PART 2: That if any provisions of any section of this ordinance shall be held to be void or unconstitutional, such holding shall in no way effect the validity of the remaining provisions or sections of this ordinance, which shall remain in full force and effect. PART 3: That any person, firm, or corporation violating any of the provisions of this chapter shall be deemed liable for a civil offense and/or guilty of a Class C misdemeanor, and, upon a finding of liability thereof, shall be punished by a civil penalty of not less than Twenty-five Dollars ($25.00)nor more than Two Thousand Dollars ($2,000.00), or upon conviction thereof, shall be punished by a fine of not less than Twenty-five Dollars ($25.00) nor more than Five Hundred Dollars ($500.00). Said Ordinance becomes effective ten (10) days after date of passage by the City Council, as provided by Section 35 of the Charter of the City of College Station. Ordinance No.__________________ Page 2 of 3 PASSED, ADOPTED and APPROVED this 16th day of May, 2016. APPROVED: ____________________________________ Mayor ATTEST: _______________________________ City Secretary APPROVED: _______________________________ City Attorney Ordinance No.__________________ Page 3 of 3 EXHIBIT “A” That Chapter 10, “Traffic Code”, Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV – No Parking Here to Corner or No Parking at Any Time”, is hereby amended to include the following : 1. “No Parking on the east side of Jane Street between University Drive and Cooner Street. 2. No Parking on the west side of Jane Street between University Drive and Cooner Street. 3. No Parking on the east side of Eisenhower Street between University Drive and Cooner Street. 4. No Parking on the west side of Eisenhower Street between University Drive and Cooner Street.” City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0283 Name:Northgate Park Apartments Parking Removal Status:Type:Ordinance Agenda Ready File created:In control:5/4/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV - No Parking Here to Corner or No Parking at Any Time”, of the Code of Ordinances of the City of College Station, Texas, to remove parking on the east side of Boyett Street from the corner of Boyett Street and Spruce Street extending 115 feet to the south to the property line at 504 Boyett Street. Sponsors:Danielle Singh Indexes: Code sections: Attachments:Location Map Ordinance Action ByDate Action ResultVer. Public Hearing, presentation, possible action, and discussion regarding an ordinance amending Chapter 10, “Traffic Code,” Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV - No Parking Here to Corner or No Parking at Any Time”, of the Code of Ordinances of the City of College Station, Texas, to remove parking on the east side of Boyett Street from the corner of Boyett Street and Spruce Street extending 115 feet to the south to the property line at 504 Boyett Street. Relationship to Strategic Goals: ·Core Services and Infrastructure ·Diverse Growing Economy ·Improving Mobility Recommendation(s): Staff recommends approval of the ordinance. Summary: This ordinance amends Chapter 10 “Traffic Code,” by removing parking along Boyett Street adjacent to the property at 300 Spruce Street. This parking removal request is to allow aerial fire access to the proposed Northgate Park Apartments development. Letters were mailed to the property owners adjacent to the area impacted by the parking removal. Additionally, on December 30th, 2015, the applicant held a meeting with the property owners to discuss the plan to remove parking. Budget & Financial Summary: N/A -The “No Parking” signs will be installed by the contractor as part College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0283,Version:1 of their development. Attachments: 1.Location Map 2.Ordinance College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ View.ashx %d×%d pixels https://collegestation.legistar.com/View.ashx?M=F&ID=4440061&GUID=F5F23D49-2AFB-4E7F-A1AB-3D8EBCBF04B9[5/12/2016 4:15:36 PM] ORDINANCE NO. __________ AN ORDINANCE AMENDING CHAPTER 10, “TRAFFIC CODE”, SECTION 4 “ADMINISTRATIVE ADJUDICATION OF PARKING VIOLATIONS”, E “PARKING REGULATIONS FOR CERTAIN DESCRIBED AREAS”, (1) “TRAFFIC SCHEDULE XIV – NO PARKING HERE TO CORNER OR NO PARKING ANY TIME” OF THE CODE OF ORDINANCES OF THE CITY OF COLLEGE STATION, TEXAS, BY REMOVING ON-STREET PARKING ALONG THE ON THE EAST SIDE OF BOYETT STREET FROM THE CORNER OF BOYETT STREET AND SPRUCE STREET EXTENDING 115 FEET TO THE SOUTH TO THE PROPERTY LINE AT 504 BOYETT STREET, PROVIDING A SEVERABILITY CLAUSE; DECLARING A PENALTY; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: PART 1: That Chapter 10, “Traffic Code”, Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV – No Parking Here to Corner or No Parking at Any Time” of the Code of Ordinances of the City of College Station, Texas, be amended as set out in Exhibit “A”, attached hereto and made a part of this ordinance for all purposes. PART 2: That if any provisions of any section of this ordinance shall be held to be void or unconstitutional, such holding shall in no way affect the validity of the remaining provisions or sections of this ordinance, which shall remain in full force and effect. PART 3: That any person, firm, or corporation violating any of the provisions of this chapter shall be deemed liable for a civil offense and/or guilty of a Class C misdemeanor, and, upon a finding of liability thereof, shall be punished by a civil penalty of not less than Twenty-five Dollars ($25.00)nor more than Two Thousand Dollars ($2,000.00), or upon conviction thereof, shall be punished by a fine of not less than Twenty-five Dollars ($25.00) nor more than Five Hundred Dollars ($500.00). Said Ordinance becomes effective ten (10) days after date of passage by the City Council, as provided by Section 35 of the Charter of the City of College Station. Ordinance No._____ Page 2 of 3 PASSED, ADOPTED and APPROVED this 16th day of May, 2016. APPROVED: ____________________________________ Mayor ATTEST: _______________________________ City Secretary APPROVED: _______________________________ City Attorney Ordinance No._____ Page 3 of 3 EXHIBIT “A” That Chapter 10, “Traffic Code”, Section 4 “Administrative Adjudication of Parking Violations”, E “Parking Regulations for Certain Described Areas”, (1) “Traffic Schedule XIV – No Parking Here to Corner or No Parking at Any Time”, is hereby amended to include the following: “No Parking on the east side of Boyett Street from the corner of Boyett Street and Spruce Street extending 115 feet to the south to the property line at 504 Boyett Street.” City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0271 Name:Certificates of Obligation Status:Type:Presentation Agenda Ready File created:In control:4/27/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $30,500,000 in principal amount of “City of College Station, Texas Certificates of Obligation, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the certificates; approving and authorizing instruments and procedures relating to the certificates; and enacting other provisions relating to the subject. Sponsors:Jeff Kersten Indexes: Code sections: Attachments:Ordinance (CO) (ver 1) College Station, 2016 POS (COUNCIL_5.11.2016).pdf Copy of 2016 Debt Issue.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $30,500,000 in principal amount of “City of College Station, Texas Certificates of Obligation, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the certificates; approving and authorizing instruments and procedures relating to the certificates; and enacting other provisions relating to the subject. Relationship to Strategic Goals:Financially Sustainable City, and Providing Core Services and Infrastructure. Recommendation(s):Council move to approve the attached ordinance authorizing the issuance of Certificates of Obligation, Series 2016; delegating the authority to certain City Officials to execute certain documents relating to the sale of the certificates; approving and authorizing instruments and procedures relating to the certificates; and enacting other provisions relating to the subject. Summary:The City Council is authorized to approve the issuance of Certificates of Obligation (CO’s) after approving a resolution directing notice to be published of the intent to issue the CO’s. On March 31, 2016 Council approved a resolution directing staff to advertise the issuance of CO’s. On April 4 th and April 11th such notice was published. The City of College Station typically issues debt to fund various capital projects identified and approved as a part of the annual budget. The City primarily uses three types of debt instruments to fulfill those requirements: 1.General Obligation Bonds (GOB’s) are based on the full faith and credit of the City and are paid primarily through the debt service portion of the ad valorem tax rate. GOBs are authorized by the voters and therefore the notice is provided in the election process. 2.Utility Revenue Bonds (URB’s) are backed by the revenues of the City's various utilities and are issued as a business activity. These are typically only issued for utility capital projects. College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0271,Version:1 3.Certificates of Obligation (CO’s) normally include at least one additional revenue stream such as utility revenues, but are considered to be much like GOBs and therefore normally receive a rating similar to GOB’s. Our policy for issuing CO's allows more flexibility in their issue than GOB’s, particularly when other revenues are anticipated to assist in debt service. It is at the recommendation of the City’s Financial Advisor, Mr. Drew Masterson with First Southwest and Company, that the City issue Certificates of Obligation for utility projects rather than Utility Revenue Bonds. This particular issue will provide resources for street, police station design and initial project costs, information technology, electric, and water improvements; and debt issuance costs. If this ordinance is approved, the City Council will be delegating to the Mayor, the City Manager and the Assistant City Manager the authority to effect the sale of the certificates through November 16, 2016. Budget & Financial Summary: Staff reviewed the impact of the Certificates have on the City's ability to meet debt service requirements and the effect they may have on the ad valorem tax rate and utility rates. The recommendation to move forward with this issue will not affect the ad valorem tax rate or the utility rates. Attachments: 1.Ordinance 2.Preliminary Official Statement (Available in City Secretary Office) 3. Debt Issuance 2016. College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ ORDINANCE NO. ________________ AUTHORIZING THE ISSUANCE OF UP TO $30,500,000 IN PRINCIPAL AMOUNT OF "CITY OF COLLEGE STATION, TEXAS CERTIFICATES OF OBLIGATION, SERIES 2016"; DELEGATING THE AUTHORITY TO CERTAIN CITY OFFICIALS TO EXECUTE CERTAIN DOCUMENTS RELATING TO THE SALE OF THE CERTIFICATES; APPROVING AND AUTHORIZING INSTRUMENTS AND PROCEDURES RELATING TO SAID CERTIFICATES; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT WHEREAS, on March 31, 2016, the City Council of the City of College Station (the "City") passed a resolution authorizing and directing notice of its intention to issue the Certificates of Obligation herein authorized, to be published in a newspaper as required by Section 271.049 of the Texas Local Government Code; WHEREAS, said notice was published in the Bryan-College Station Eagle, a "newspaper" of the type described in Section 2051.044, Texas Government Code, as required by said Section 271.049 of the Texas Local Government Code, on April 4, 2016 and April 11, 2016; WHEREAS, said notice provided that the ordinance authorizing the Certificates of Obligation may authorize an authorized officer of the City to effect the sale and delivery of the Certificates of Obligation on a date or dates subsequent to the adoption of the ordinance; WHEREAS, no petition, signed by at least 5% of the qualified electors of said City as permitted by said Section 271.049 of the Texas Local Government Code protesting the issuance of such Certificates of Obligation, has been filed; WHEREAS, the City is an "Issuer" within the meaning of Section 1371.001(4)(P), Texas Government Code, having (i) a principal amount of at least $100 million in outstanding long- term indebtedness, in long-term indebtedness proposed to be issued, or a combination of outstanding or proposed long-term indebtedness and (ii) some amount of long-term indebtedness outstanding or proposed to be issued that is rated in one of the four highest rating categories for long-term debt instruments by a nationally recognized rating agency for municipal securities, without regard to the effect of any credit agreement or other form of credit enhancement entered into in connection with the obligation; WHEREAS, the Certificates of Obligation hereinafter authorized are to be issued and delivered pursuant to Subchapter C of Chapter 271 of the Texas Local Government Code and Chapter 1371, Texas Government Code and the City's Home Rule Charter; WHEREAS, during the preceding three years, the City has not submitted a bond proposition to authorize the issuance of bonds for the same purpose for which the Certificates of Obligation are hereby being issued and which proposition was disapproved by voters; and 2 WHEREAS, it is officially found, determined, and declared that the meeting at which this Ordinance has been adopted was open to the public and public notice of the time, place and subject matter of the public business to be considered and acted upon at said meeting, including this Ordinance, was given, all as required by the applicable provisions of Texas Government Code, Chapter 551; THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: Section 1. DEFINITIONS; AUTHORIZATION OF CERTIFICATES OF OBLIGATION. (a) Definitions. Terms not otherwise defined herein shall have the following meanings. (i) The term "Authorized Denomination" shall mean a denomination of $5,000 of principal amount of a Certificate or any integral multiple thereof. (ii) The term "Business Day" means any day other than a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the City are, authorized by law or executive order to close. (iii) The term "Certificates" and "Certificates of Obligation" shall mean the City of College Station, Texas Certificates of Obligation, Series 2016, authorized to be issued and delivered by this Ordinance. (iv) The term "MSRB" means the Municipal Securities Rulemaking Board. (v) The term "Pricing Certificate" means a certificate of the Pricing Officer setting forth the terms of sale of the Certificates including the method of sale, principal amount, maturity dates, interest payment dates, dated date, interest rates, yields, redemption provisions, and other matters related to the sale of the Certificates. (vi) The term "Pricing Officer" means the Mayor, the City Manager and the Assistant City Manager (Jeff Kersten) of the City (each the "Pricing Officer") each of whom is independently authorized to finalize the terms of sale of the Certificates by execution of the Pricing Certificate. (vii) The term "Purchaser" means (i) if the Certificates are sold by negotiated sale, the underwriter or underwriting syndicate selected by the Pricing Officer, or (ii) if the Certificates are sold by competitive sale by soliciting public bids, the underwriter or underwriting syndicate awarded the Certificates by the Pricing Officer. (viii) The term "Rule" means SEC Rule 15c2-12 (17 C.F.R. § 240.15C2-12), as amended from time to time. (ix) The term "SEC" means the United States Securities and Exchange Commission. 3 (x) The term "Surplus Revenues" shall mean those revenues from the operation of the City's combined municipal electric light and power, waterworks and sewer system remaining after payment of all operation and maintenance expenses thereof and other obligations heretofore or hereafter incurred to which such revenues have been or shall be encumbered by a lien on and pledge of such revenues superior to the lien on and pledge of such revenues to the Certificates. (b) The City's Certificates of Obligation, to be designated the "City of College Station, Texas Certificates of Obligation, Series 2016", are hereby authorized to be issued and delivered in the principal amount not to exceed $30,500,000 for (i) constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric systems including distribution, transmission, system lines and wells; (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith and (ii) to pay the costs of issuance of the Certificates. Section 2. DELEGATION TO PRICING OFFICER. (a) As authorized by Section 1371.053, Texas Government Code, each Pricing Officer is hereby authorized to act individually and severally on behalf of the City in selling and delivering the Certificates, carrying out the other procedures specified in this Ordinance, including, determining the date of the Certificates, any additional or different designation or title by which the Certificates shall be known, whether the Certificate shall be sold and delivered in one or more series and the date and sale and delivery of each such series, the price at which the Certificates will be sold, the years in which the Certificates will mature, the principal amount to mature in each of such years, the rate of interest to be borne by each such maturity, the interest payment and record dates, the price and terms upon and at which the Certificates shall be subject to redemption prior to maturity at the option of the City, as well as any mandatory sinking fund redemption provisions, and all other matters relating to the issuance, sale, and delivery of the Certificates and obtaining municipal insurance for all or any portion of the Certificates and providing for the terms and provisions thereof applicable to the Certificates, all of which shall be specified in the Pricing Certificate; provided that: (i) the aggregate principal amount of the Certificates shall not exceed $30,500,000; (ii) the true interest cost of the Certificates shall not exceed 3.250% per annum; (iii) the final maturity of the Certificates shall not exceed February 15, 2036; (iv) the delegation made hereby shall expire if not exercised by the Pricing Officer on or prior to May 16, 2017; and (v) on or prior to delivery, the Certificates shall be rated by a nationally recognized rating agency for municipal securities in one of the four highest categories for long-term obligations. 4 (b) In establishing the aggregate principal amount of the Certificates, the Pricing Officer shall establish an amount that, when combined with premium used for purposes other than the payment of costs of issuance, does not exceed the amount authorized in Subsection (a) hereof, which shall be sufficient in amount to provide for the purposes for which the Certificates are authorized and to pay costs of issuing the Certificates. The Certificates shall be sold with and subject to such terms as set forth in the Pricing Certificate. (c) The Certificates may be sold by public offering (either through a negotiated or competitive offering) and the Pricing Certificate shall so state, and the Pricing Certificate may conform this Ordinance to such method of sale, including the provisions hereof that pertain to the undertaking of the Issuer in accordance with the Rule. (d) The City Council hereby determines that the delegation of the authority to the Pricing Officer to approve the final terms of the Certificates as set forth in this Ordinance is, and the decisions made by the Pricing Officer pursuant to such delegated authority and incorporated into the Pricing Certificate are required to be, in the Issuer's best interests, and the Pricing Officer is hereby authorized to make and include in the Pricing Certificate a finding to that effect. Section 3. CHARACTERISTICS OF THE CERTIFICATES. (a) The City shall keep or cause to be kept at the corporate trust office in Dallas, Texas (the "Designated Trust Office") of The Bank of New York Mellon Trust Company, N.A., or such other bank, trust company, financial institution, or other agency named in accordance with the provisions of (g) below (the "Paying Agent/Registrar"), books or records for the registration and transfer of the Certificates (the "Registration Books"), and the City hereby appoints the Paying Agent/Registrar as its registrar and transfer agent to keep such books or records and make such transfers and registrations under such reasonable regulations as the City and the Paying Agent/Registrar may prescribe; and the Paying Agent/Registrar shall make such transfers and registrations as herein provided. It shall be the duty of the Paying Agent/Registrar to obtain from the registered owner and record in the Registration Books the address of the registered owner of each Certificate to which payments with respect to the Certificates shall be mailed, as herein provided. The City or its designee shall have the right to inspect the Registration Books during regular business hours of the Paying Agent/Registrar at its Designated Trust Office, but otherwise the Paying Agent/Registrar shall keep the Registration Books confidential and, unless otherwise required by law, shall not permit their inspection by any other entity. Registration of each Certificate may be transferred in the Registration Books only upon presentation and surrender thereof to the Paying Agent/Registrar at its Designated Trust Office for transfer of registration and cancellation, together with proper written instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar, evidencing the assignment of such Certificate, or any portion thereof in any Authorized Denomination, to the assignee or assignees thereof, and the right of such assignee or assignees to have such Certificate or any such portion thereof registered in the name of such assignee or assignees. Upon the assignment and transfer of any Certificate or any portion thereof, a new substitute certificate or certificates shall be issued in exchange therefor in the manner herein provided. (b) The entity in whose name any Certificate shall be registered in the Registration Books at any time shall be treated as the absolute owner thereof for all purposes of this 5 Ordinance, whether or not such Certificate shall be overdue, and the City and the Paying Agent/Registrar shall not be affected by any notice to the contrary; and payment of, or on account of, the principal of, premium, if any, and interest on any such certificate shall be made only to such registered owner. All such payments shall be valid and effectual to satisfy and discharge the liability upon such certificate to the extent of the sum or sums so paid. (c) The City hereby further appoints the Paying Agent/Registrar to act as the paying agent for paying the principal of and interest on the Certificates, and to act as its agent to exchange or replace Certificates, all as provided in this Ordinance. The Paying Agent/Registrar shall keep proper records of all payments made by the City and the Paying Agent/Registrar with respect to the Certificates, and of all exchanges thereof, and all replacements thereof, as provided in this Ordinance. (d) Each Certificate may be exchanged for fully registered certificates in the manner set forth herein. Each Certificate issued and delivered pursuant to this Ordinance may, upon surrender thereof at the Designated Trust Office of the Paying Agent/Registrar, together with a written request therefor duly executed by the registered owner or the assignee or assignees thereof, or its or their duly authorized attorneys or representatives, with guarantee of signatures satisfactory to the Paying Agent/Registrar, at the option of the registered owner or such assignee or assignees, as appropriate, be exchanged for fully registered Certificates, without interest coupons, in the form prescribed in the FORM OF CERTIFICATE, in an Authorized Denomination (subject to the requirement hereinafter stated that each substitute Certificate shall have a single stated maturity date), as requested in writing by such registered owner or such assignee or assignees, in an aggregate principal amount equal to the principal amount of any Certificate or Certificates so surrendered, and payable to the appropriate registered owner, assignee, or assignees, as the case may be. If any Certificate or portion thereof is assigned and transferred, each Certificate issued in exchange therefor shall have the same principal maturity date and bear interest at the same rate as the Certificate for which it is being exchanged. Each substitute Certificate shall bear a letter and/or number to distinguish it from each other Certificate. The Paying Agent/Registrar shall exchange or replace Certificates as provided herein, and each fully registered Certificate or Certificates delivered in exchange for or replacement of any Certificate or portion thereof as permitted or required by any provision of this Ordinance shall constitute one of the Certificates for all purposes of this Ordinance, and may again be exchanged or replaced. It is specifically provided, however, that any Certificate delivered in exchange for or replacement of another Certificate prior to the first scheduled interest payment date on the Certificates (as stated on the face thereof) shall be dated the same date as such Certificate, but each substitute Certificate so delivered on or after such first scheduled interest payment date shall be dated as of the interest payment date preceding the date on which such substitute Certificate is delivered, unless such substitute Certificate is delivered on an interest payment date, in which case it shall be dated as of such date of delivery; provided, however, that if at the time of delivery of any substitute Certificate the interest on the Certificate for which it is being exchanged has not been paid, then such substitute Certificate shall be dated as of the date to which such interest has been paid in full. On each substitute Certificate issued in exchange for or replacement of any Certificate or Certificates issued under this Ordinance there shall be printed thereon a Paying Agent/Registrar's Authentication Certificate, in the form hereinafter set forth in the FORM OF CERTIFICATE (the "Authentication Certificate"). An authorized representative of the Paying Agent/Registrar shall, before the delivery of any such 6 substitute Certificate, date such substitute Certificate in the manner set forth above, and manually sign and date the Authentication Certificate, and no such substitute Certificate shall be deemed to be issued or outstanding unless the Authentication Certificate is so executed. The Paying Agent/Registrar promptly shall cancel all Certificates surrendered for exchange or replacement. No additional ordinances, orders, or resolutions need be passed or adopted by the City Council or any other body or person so as to accomplish the foregoing exchange or replacement of any Certificates or portion thereof, and the Paying Agent/Registrar shall provide for the printing, execution, and delivery of the substitute Certificate in the manner prescribed herein. Pursuant to Chapter 1206, Texas Government Code, the duty of exchange or replacement of any Certificates as aforesaid is hereby imposed upon the Paying Agent/Registrar, and, upon the execution of Authentication Certificate, the exchanged or replaced Certificate shall be valid, incontestable, and enforceable in the same manner and with the same effect as the Certificates which originally were delivered pursuant to this Ordinance, approved by the Attorney General, and registered by the Comptroller of Public Accounts. Neither the City nor the Paying Agent/Registrar shall be required to transfer or exchange any Certificate so selected for redemption, in whole or in part, within 45 calendar days of the date fixed for redemption; provided, however, such limitation of transfer shall not be applicable to an exchange by the registered owner of the uncalled principal of a Certificate. (e) All Certificates issued in exchange or replacement of any other Certificate or portion thereof, (i) shall be issued in fully registered form, without interest coupons, with the principal of and interest on such Certificates to be payable only to the registered owners thereof, (ii) may be redeemed prior to their scheduled maturities, (iii) may be transferred and assigned, (iv) may be exchanged for other Certificates, (v) shall have the characteristics, (vi) shall be signed and sealed, and (vii) the principal of and interest on the Certificates shall be payable, all as provided, and in the manner required or indicated, in the FORM OF CERTIFICATE. (f) The City shall pay the Paying Agent/Registrar's reasonable and customary fees and charges for making transfers of Certificates, but the registered owner of any Certificate requesting such transfer shall pay any taxes or other governmental charges required to be paid with respect thereto. The registered owner of any Certificates requesting any exchange shall pay the Paying Agent/Registrar's reasonable and standard or customary fees and charges for exchanging any such certificate or portion thereof, together with any taxes or governmental charges required to be paid with respect thereto, all as a condition precedent to the exercise of such privilege of exchange, except, however, that in the case of the exchange of an assigned and transferred Certificate or Certificates or any portion or portions thereof in an Authorized Denomination, as provided in this Ordinance, such fees and charges will be paid by the City. In addition, the City hereby covenants with the registered owners of the Certificates that it will (i) pay the reasonable and standard or customary fees and charges of the Paying Agent/Registrar for its services with respect to the payment of the principal of and interest on Certificates, when due, and (ii) pay the fees and charges of the Paying Agent/Registrar for services with respect to the transfer or registration of Certificates solely to the extent above provided, and with respect to the exchange of Certificates solely to the extent above provided. (g) The City covenants with the registered owners of the Certificates that at all times while the Certificates are outstanding the City will provide a competent and legally qualified bank, trust company, financial institution, or other agency to act as and perform the services of 7 Paying Agent/Registrar for the Certificates under this Ordinance, and that the Paying Agent/Registrar will be one entity. The City reserves the right to, and may, at its option, change the Paying Agent/Registrar upon not less than sixty days written notice to the Paying Agent/Registrar. In the event that the entity at any time acting as Paying Agent/Registrar (or its successor by merger, acquisition, or other method) should resign or otherwise cease to act as such, the City covenants that it will promptly appoint a competent and legally qualified national or state banking institution which shall be a corporation organized and doing business under the laws of the United States of America or of any state, authorized under such laws to exercise trust powers, subject to supervision or examination by federal or state authority, and whose qualifications substantially are similar to the previous Paying Agent/Registrar to act as Paying Agent/Registrar under this Ordinance. Upon any change in the Paying Agent/Registrar, the previous Paying Agent/Registrar promptly shall transfer and deliver the Registration Books (or a copy thereof), along with all other pertinent books and records relating to the Certificates, to the new Paying Agent/Registrar designated and appointed by the City. Upon any change in the Paying Agent/Registrar, the City promptly will cause a written notice thereof to be sent by the new Paying Agent/Registrar to each registered owner of the Certificates, by United States mail, first-class postage prepaid, which notice also shall give the address of the new Paying Agent/Registrar. By accepting the position and performing as such, each Paying Agent/Registrar shall be deemed to have agreed to the provisions of this Ordinance, and a certified copy of this Ordinance shall be delivered to each Paying Agent/Registrar. Section 4. FORM OF CERTIFICATES. The form of the Certificates, including the form of the Authentication Certificate, the form of Assignment and the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be attached to the Certificates initially issued and delivered pursuant to this Ordinance, shall be in substantially the form as set forth in Exhibit A to this Ordinance, shall be numbered consecutively from R-1 upward, with the Initial Certificate being numbered T-1, with such appropriate variations, omissions, or insertions as are permitted or required by this Ordinance and with the FORM OF CERTIFICATE to be modified pursuant to, and completed with information set forth in the Pricing Certificate. The FORM OF CERTIFICATE as it appears in Exhibit A shall be completed, amended and modified by Bond Counsel to incorporate the information set forth in the Pricing Certificate but it is not required for the FORM OF CERTIFICATE to reproduced as an exhibit to the Pricing Certificate. The printer of the Certificates is hereby authorized to print on the Certificates (i) the form of bond counsel's opinion relating to the Certificates, and (ii) an appropriate statement of insurance furnished by a municipal bond insurance company providing municipal bond insurance, if any, covering all or any part of the Certificates. Section 5. RESERVED. Section 6. LEVY OF TAX; INTEREST AND SINKING FUND; REVENUE PLEDGE. (a) That a special fund or account, to be designated the "City of College Station, Texas Series 2016 Certificate of Obligation Interest and Sinking Fund" (the "Interest and Sinking Fund") is hereby created and shall be established and maintained by the City. The Interest and Sinking Fund shall be kept separate and apart from all other funds and accounts of the City, and shall be used only for paying the interest on and principal of the Certificates. All ad valorem taxes levied and collected for and on account of the Certificates shall be deposited, as collected, 8 to the credit of the Interest and Sinking Fund. During each year while any of the Certificates are outstanding and unpaid, the governing body of the City shall compute and ascertain the rate and amount of ad valorem tax, based on the latest approved tax rolls of the City, with full allowances being made for tax delinquencies and the cost of tax collections, which will be sufficient to raise and produce the money required to pay the interest on the Certificates as such interest comes due, and to provide a sinking fund to pay the principal (including mandatory sinking fund redemption payments, if any) of the Certificates as such principal matures or comes due through operation of the mandatory sinking fund redemption, if any, but never less than 2% of the original amount of the Certificates as a sinking fund each year. The rate and amount of ad valorem tax is hereby ordered to be levied against all taxable property in the City for each year while any of the Certificates is outstanding and unpaid, and the ad valorem tax shall be assessed and collected each such year and deposited to the credit of the Interest and Sinking Fund. Ad valorem taxes necessary to pay the interest on and principal of the Certificates, as such interest comes due and such principal matures, are hereby pledged for such payment, within the limit prescribed by law. (b) That the Certificates are additionally secured by and shall be payable from the Surplus Revenues. The Surplus Revenues are pledged by the City pursuant to authority of Chapter 1502, Texas Government Code, specifically Section 1502.058 thereof. The City shall promptly deposit the Surplus Revenues upon their receipt to the credit of the Interest and Sinking Fund created pursuant to Section 6, to pay the principal and interest on the Certificates. The amount of Surplus Revenues pledged to the payment of the Certificates shall not exceed $1,000. If Surplus Revenues or any other lawfully available revenues, income or resources of the City are deposited or budgeted to be deposited in the Interest and Sinking Fund in advance of the time when ad valorem taxes are scheduled to be levied for any year, then the amount of taxes that otherwise would have been required to be levied pursuant to Section 6 may be reduced to the extent and by the amount of the Surplus Revenues or other lawfully available revenues, income or resources then on deposit or budgeted to be deposited to the credit of the Interest and Sinking Fund. Section 7. TRANSFER. That the City shall do any and all things necessary to accomplish the transfer of monies to the Interest and Sinking Fund of this issue in ample time to pay such items of principal and interest due on the Certificates. Section 8. SECURITY FOR FUNDS. That the Interest and Sinking Fund created by this Ordinance shall be secured in the manner and to the fullest extent permitted or required by law for the security of public funds, and such Interest and Sinking Fund shall be used only for the purposes and in the manner permitted or required by this Ordinance. Section 9. DAMAGED, MUTILATED, LOST, STOLEN, OR DESTROYED CERTIFICATES. (a) Replacement Certificates. That in the event any outstanding Certificate is damaged, mutilated, lost, stolen, or destroyed, the Paying Agent/Registrar shall cause to be printed, executed, and delivered, a new Certificate of the same principal amount, maturity, and interest rate, as the damaged, mutilated, lost, stolen, or destroyed Certificate, in replacement for such Certificate in the manner hereinafter provided. 9 (b) Application for Replacement Certificates. That application for replacement of damaged, mutilated, lost, stolen, or destroyed Certificates shall be made by the registered owner thereof to the Paying Agent/Registrar. In every case of loss, theft, or destruction of a Certificate, the registered owner applying for a replacement Certificate shall furnish to the City and to the Paying Agent/Registrar such security or indemnity as may be required by them to save each of them harmless from any loss or damage with respect thereto. Also, in every case of loss, theft, or destruction of a Certificate, the registered owner shall furnish to the City and to the Paying Agent/Registrar evidence to their satisfaction of the loss, theft, or destruction of such Certificate, as the case may be. In every case of damage or mutilation of a Certificate, the registered owner shall surrender to the Paying Agent/Registrar for cancellation the Certificate so damaged or mutilated. (c) No Default Occurred. That notwithstanding the foregoing provisions of this Section, in the event any such Certificate shall have matured, and no default has occurred which is then continuing in the payment of the principal of, redemption premium, if any, or interest on the Certificate, the City may authorize the payment of the same (without surrender thereof except in the case of a damaged or mutilated Certificate) instead of issuing a replacement certificate, provided security or indemnity is furnished as above provided in this Section. (d) Charge for Issuing Replacement Certificates. That prior to the issuance of any replacement Certificate, the Paying Agent/Registrar shall charge the registered owner of such Certificate with all legal, printing, and other expenses in connection therewith. Every replacement Certificate issued pursuant to the provisions of this Section by virtue of the fact that any Certificate is lost, stolen, or destroyed shall constitute a contractual obligation of the City whether or not the lost, stolen, or destroyed Certificate shall be found at any time, or be enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and proportionately with any and all other Certificates duly issued under this Ordinance. (e) Authority for Issuing Replacement Certificates. That in accordance with Section 1201.067, Texas Government Code, this Section of this Ordinance shall constitute authority for the issuance of any such replacement Certificate without necessity of further action by the City or any other body or person, and the duty of the replacement of such Certificates is hereby authorized and imposed upon the Paying Agent/Registrar, and the Paying Agent/Registrar shall authenticate and deliver such Certificates in the form and manner and with the effect, as provided in Section 5(d) of this Ordinance for Certificates issued in conversion and exchange of other Certificates. Section 10. FEDERAL INCOME TAX MATTERS. That the City covenants to refrain from any action which would adversely affect, or to take such action as to ensure, the treatment of the Certificates as obligations described in section 103 of the Code, the interest on which is not includable in the "gross income" of the holder for purposes of federal income taxation. In furtherance thereof, the City covenants as follows: (a) to take any action to assure that no more than 10 percent of the proceeds of the Certificates (less amounts deposited to a reserve fund, if any) are used for any "private business use," as defined in section 141(b)(6) of the Code or, if more than 10 percent of the proceeds are so used, that amounts, whether or not received by the City, with respect to such private business 10 use, do not, under the terms of this Ordinance or any underlying arrangement, directly or indirectly, secure or provide for the payment of more than 10 percent of the debt service on the Certificates, in contravention of section 141(b)(2) of the Code; (b) to take any action to assure that in the event that the "private business use" described in subsection (a) hereof exceeds five percent of the proceeds of the Certificates (less amounts deposited into a reserve fund, if any) then the amount in excess of five percent is used for a "private business use" which is "related" and not "disproportionate", within the meaning of section 141(b)(3) of the Code, to the governmental use; (c) to take any action to assure that no amount which is greater than the lesser of $5,000,000, or five percent of the proceeds of the Certificates (less amounts deposited into a reserve fund, if any) is directly or indirectly used to finance loans to persons, other than state or local governmental units, in contravention of section 141(c) of the Code; (d) to refrain from taking any action which would otherwise result in the Certificates being treated as "private activity bonds" within the meaning of section 141(b) of the Code; (e) to refrain from taking any action that would result in the Certificates being "federally guaranteed" within the meaning of section 149(b) of the Code; (f) to refrain from using any portion of the proceeds of the Certificates, directly or indirectly, to acquire or to replace funds which were used, directly or indirectly, to acquire investment property (as defined in section 148(b)(2) of the Code) which produces a materially higher yield over the term of the Certificates, other than investment property acquired with – (1) proceeds of the Certificates invested for a reasonable temporary period of three years or less until such proceeds are needed for the purpose for which the Certificates are issued, (2) amounts invested in a bona fide debt service fund, within the meaning of section 1.148-1(b) of the Treasury Regulations, and (3) amounts deposited in any reasonably required reserve or replacement fund to the extent such amounts do not exceed 10 percent of the proceeds of the Certificates; (g) to otherwise restrict the use of the proceeds of the Certificates or amounts treated as proceeds of the Certificates, as may be necessary, so that the Certificates do not otherwise contravene the requirements of section 148 of the Code (relating to arbitrage) and, to the extent applicable, section 149(d) of the Code (relating to advance refundings); and (h) to pay to the United States of America at least once during each five-year period (beginning on the date of delivery of the Certificates) an amount that is at least equal to 90 percent of the "Excess Earnings," within the meaning of section 148(f) of the Code and to pay to the United States of America, not later than 60 days after the Certificates have been paid in full, 100 percent of the amount then required to be paid as a result of Excess Earnings under section 148(f) of the Code. 11 For purposes of the foregoing (a) and (b), the City understands that the term "proceeds" includes "disposition proceeds" as defined in the Treasury Regulations and, in the case of refunding bonds, transferred proceeds (if any) and proceeds of the refunded bonds expended prior to the date of issuance of the Certificates. It is the understanding of the City that the covenants contained herein are intended to assure compliance with the Code and any regulations or rulings promulgated by the U.S. Department of the Treasury pursuant thereto. In the event that regulations or rulings are hereafter promulgated which modify or expand provisions of the Code, as applicable to the Certificates, the City will not be required to comply with any covenant contained herein to the extent that such failure to comply, in the opinion of nationally-recognized bond counsel, will not adversely affect the exemption from federal income taxation of interest on the Certificates under section 103 of the Code. In the event that regulations or rulings are hereafter promulgated which impose additional requirements which are applicable to the Certificates, the City agrees to comply with the additional requirements to the extent necessary, in the opinion of nationally-recognized bond counsel, to preserve the exemption from federal income taxation of interest on the Certificates under section 103 of the Code. In furtherance of such intention, the City hereby authorizes and directs the Mayor, the City Manager, any Assistant City Manager and the Assistant City Manager, severally, to execute any documents, certificates or reports required by the Code, and to make such elections on behalf of the City which may be permitted by the Code as are consistent with the purpose for the issuance of the Certificates. In order to facilitate compliance with clause (h) above, a "Rebate Fund" is hereby established by the City for the sole benefit of the United States of America, and such Fund shall not be subject to the claim of any other person, including without limitation the bondholders. The Rebate Fund is established for the additional purpose of compliance with section 148 of the Code. Section 11. ALLOCATION OF, AND LIMITATION ON, EXPENDITURES FOR THE PROJECT. That the City covenants to account for the expenditure of proceeds from the sale of the Certificates and any investment earnings thereon to be used for the purposes described in Section 1 of this Ordinance (such purpose referred to in this Section and Section 12 hereof as a "Project") on its books and records by allocating proceeds to expenditures within 18 months of the later of the date that (a) the expenditure on a Project is made or (b) such Project is completed. The foregoing notwithstanding, the City shall not expend such proceeds or investment earnings more than 60 days after the earlier of (a) the fifth anniversary of the date of delivery of the Certificates or (b) the date the Certificates are retired, unless the City obtains an opinion of nationally-recognized bond counsel substantially to the effect that such expenditure will not adversely affect the tax-exempt status of the Certificates. For purposes hereof, the City shall not be obligated to comply with this covenant if it obtains an opinion that such failure to comply will not adversely affect the excludability for federal income tax purposes from gross income of the interest. Section 12. DISPOSITION OF PROJECT. That the City covenants that the property constituting a Project will not be sold or otherwise disposed in a transaction resulting in the receipt by the City of cash or other compensation, unless any action taken in connection with such disposition will not adversely affect the tax-exempt status of the Certificates. For purpose of the foregoing, the City may rely on an opinion of nationally-recognized bond counsel that the 12 action taken in connection with such sale or other disposition will not adversely affect the tax- exempt status of the Certificates. For purposes of the foregoing, the portion of the property comprising personal property and disposed in the ordinary course shall not be treated as a transaction resulting in the receipt of cash or other compensation. For purposes hereof, the City shall not be obligated to comply with this covenant if it obtains an opinion that such failure to comply will not adversely affect the excludability for federal income tax purposes from gross income of the interest. Section 13. PROCEDURES TO MONITOR COMPLIANCE WITH TAX COVENANTS. The City hereby adopts the procedures attached hereto as Exhibit B as a means of monitoring compliance with the federal tax covenants made by the City herein. Section 14. CUSTODY, APPROVAL, AND REGISTRATION OF CERTIFICATES. That the Assistant City Manager of the City is hereby authorized to have control of the Certificates initially issued and delivered hereunder and all necessary records and proceedings pertaining to the Certificates pending their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas. Upon registration of the Certificates said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall manually sign the Comptroller's Registration Certificate attached to such Certificates, and the seal of said Comptroller shall be impressed, or placed in facsimile, on such certificate. The Certificates thus registered shall remain in the custody of the Assistant City Manager (or the designee thereof) until delivered to the Purchaser (as defined in Section 18 of this Ordinance). Section 15. DTC REGISTRATION. That the Certificates initially shall be issued and delivered in such manner that no physical distribution of the Certificates will be made to the public, and The Depository Trust Company ("DTC"), New York, New York, initially will act as depository for the Certificates. DTC has represented that it is a limited purpose trust company incorporated under the laws of the State of New York, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered under Section 17A of the Securities Exchange Act of 1934, as amended, and the City accepts, but in no way verifies, such representations. The Certificates initially authorized by this Ordinance shall be delivered to and registered in the name of CEDE & CO., the nominee of DTC. It is expected that DTC will hold the Certificates on behalf of the Purchaser and its participants. So long as each Certificate is registered in the name of CEDE & CO., the Paying Agent/Registrar shall treat and deal with DTC the same in all respects as if it were the actual and beneficial owner thereof. It is expected that DTC will maintain a book-entry system which will identify ownership of the Certificates in Authorized Denominations, with transfers of ownership being effected on the records of DTC and its participants pursuant to rules and regulations established by them, and that the Certificates initially deposited with DTC shall be immobilized and not be further exchanged for substitute Certificates except as hereinafter provided. The City is not responsible or liable for any functions of DTC, will not be responsible for paying any fees or charges with respect to its services, will not be responsible or liable for maintaining, supervising, or reviewing the records of DTC or its participants, or protecting any interests or rights of the beneficial owners of the Certificates. It shall be the duty of the DTC Participants, as defined in the Official Statement herein approved, to make all arrangements with DTC to establish this book-entry system, the beneficial ownership of the Certificates, and the 13 method of paying the fees and charges of DTC. The City does not represent, nor does it in any way covenant that the initial book-entry system established with DTC will be maintained in the future. Notwithstanding the initial establishment of the foregoing book-entry system with DTC, if for any reason any of the originally delivered Certificates is duly filed with the Paying Agent/Registrar with proper request for transfer and substitution, as provided for in this Ordinance, substitute Certificates will be duly delivered as provided in this Ordinance, and there will be no assurance or representation that any book-entry system will be maintained for such Certificates. In connection with the initial establishment of the foregoing book-entry system with DTC, the City heretofore has executed a "Blanket Letter of Representations" prepared by DTC in order to implement the book-entry system described above. Section 16. CONTINUING DISCLOSURE OBLIGATION PURSUANT TO RULE 15C2-12 (17 C.F.R. § 240.15C2-12). (a) Annual Reports. (i) The City will provide certain updated financial information and operating data to the MSRB on an annual basis in an electronic format that is prescribed by the MSRB and available via the Electronic Municipal Market Access System ("EMMA") at www.emma.msrb.org. The information to be updated includes all quantitative financial information and operating data with respect to the City of the general type included in the Official Statement under Tables numbered 1 through 6; 8 through 20 and in Appendix B. The City will update and provide the information in Tables 1 through 6 and 8 through 20 within six months after the end of each fiscal year ending in and after 2016. The City will additionally provide audited financial statements when and if available, and in any event, within 12 months after the end of each fiscal year ending in or after 2016. If the audit of such financial statements is not complete within 12 months after any such fiscal year end, then the City will file unaudited financial statements within such 12 month period and audited financial statements for the applicable fiscal year, when and if the audit report on such statements becomes available. Any such financial statements will be prepared in accordance with the accounting principles described in Appendix B of the Official Statement or such other accounting principles as the City may be required to employ from time to time pursuant to State law or regulation. (ii) The financial information and operating data to be provided may be set forth in full in one or more documents or may be included by specific reference to any document available to the public on the MSRB’s Internet Web site or filed with the SEC, as permitted by the Rule. If the City changes its fiscal year, it will notify the MSRB of the change (and of the date of the new fiscal year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. The financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document that is available to the public on the MSRB's internet website or filed with the SEC. All documents provided to the MSRB pursuant to this Section shall be accompanied by identifying information as prescribed by the MSRB. 14 (b) Event Notices. The City shall notify the MSRB in an electronic format as prescribed by the MSRB, in a timely manner (but not in excess of ten Business Days after the occurrence of the event) of any of the following events with respect to the Certificates: 1. Principal and interest payment delinquencies; 2. Non-payment related defaults, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements reflecting financial difficulties; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions or the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701–TEB) or other material notices or determinations with respect to the tax status of the Certificates, or other material events affecting the tax status of the Certificates; 7. Modifications to rights of Certificateholders, if material; 8. Certificate calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayment of the Certificates, if material; 11. Rating changes; 12. Bankruptcy, insolvency, receivership or similar event of an obligated person (which is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City); 13. The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the 15 obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The City shall notify the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with this Section by the time required by such subsection. (c) Limitations, Disclaimers, and Amendments. (i) The City shall be obligated to observe and perform the covenants specified in this Section for so long as, but only for so long as, the City remains an "obligated person" with respect to the Certificates within the meaning of the Rule, except that the City in any event will give notice of any deposit made in accordance with this Ordinance or applicable law that causes Certificates no longer to be outstanding. (ii) The provisions of this Section are for the sole benefit of the registered owners and beneficial owners of the Certificates, and nothing in this Section, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Section and does not hereby undertake to provide any other information that may be relevant or material to a complete presentation of the City's financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Section or otherwise, except as expressly provided herein. The City does not make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Certificates at any future date. (iii) UNDER NO CIRCUMSTANCE SHALL THE CITY BE LIABLE TO THE REGISTERED OWNER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. (iv) No default by the City in observing or performing its obligations under this Section shall comprise a breach of or default under this Ordinance for purposes of any other provision of this Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. 16 (v) Should the Rule be amended to obligate the City to make filings with or provide notices to entities other than the MSRB, the City hereby agrees to undertake such obligation with respect to the Certificates in accordance with the Rule as amended. The provisions of this Section may be amended by the City from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, but only if (1) the provisions of this Section, as so amended, would have permitted an underwriter to purchase or sell Certificates in the primary offering of the Certificates in compliance with the Rule, taking into account any amendments or interpretations of the Rule since such offering as well as such changed circumstances and (2) either (a) the registered owners of a majority in aggregate principal amount (or any greater amount required by any other provision of this Ordinance that authorizes such an amendment) of the outstanding Certificates consent to such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond counsel) determined that such amendment will not materially impair the interest of the registered owners and beneficial owners of the Certificates. If the City so amends the provisions of this Section, it shall include with any amended financial information or operating data next provided in accordance with subsection (b) of this Section an explanation, in narrative form, of the reason for the amendment and of the impact of any change in the type of financial information or operating data so provided. The City may also amend or repeal the provisions of this continuing disclosure agreement if the SEC amends or repeals the applicable provision of the Rule or a court of final jurisdiction enters judgment that such provisions of the Rule are invalid, but only if and to the extent that the provisions of this sentence would not prevent an underwriter from lawfully purchasing or selling Certificates in the primary offering of the Certificates. (d) Procedures to Monitor Compliance with Continuing Disclosure Covenants. The City hereby adopts the procedures attached hereto as Exhibit B as a means of monitoring compliance with the continuing disclosure covenants made by the City herein. Section 17. DEFEASANCE. (a) Deemed Paid. Any Certificate and the interest thereon shall be deemed to be paid, retired and no longer outstanding (a "Defeased Certificate") within the meaning of this Ordinance, except to the extent provided in subsection (e) of this Section, when payment of the principal of such Certificate, plus interest thereon to the due date (whether such due date be by reason of maturity or otherwise) either (i) shall have been made or caused to be made in accordance with the terms thereof, or (ii) shall have been provided for on or before such due date by irrevocably depositing with or making available to the Paying Agent/Registrar in accordance with an escrow agreement or other instrument (the "Future Escrow Agreement") for such payment (1) lawful money of the United States of America sufficient to make such payment or (2) Defeasance Securities that mature as to principal and interest in such amounts and at such times as will insure the availability, without reinvestment, of sufficient money to provide for such payment, and when proper arrangements have been made by the City with the Paying Agent/Registrar for the payment of its services until all Defeased Certificates shall have become due and payable. At such time as a Certificate shall be deemed to be a Defeased Certificate hereunder, as aforesaid, such Certificate and the interest thereon shall no longer be secured by, payable from, or entitled to the benefits of, the ad valorem taxes herein levied and 17 pledged or the pledge of Surplus Revenues as provided in this Ordinance, and such principal and interest shall be payable solely from such money or Defeasance Securities. (b) Investments. Any moneys so deposited with the Paying Agent/Registrar may at the written direction of the City be invested in Defeasance Securities, maturing in the amounts and times as hereinbefore set forth, and all income from such Defeasance Securities received by the Paying Agent/Registrar that is not required for the payment of the Certificates and interest thereon, with respect to which such money has been so deposited, shall be turned over to the City, or deposited as directed in writing by the City. Any Future Escrow Agreement pursuant to which the money and/or Defeasance Securities are held for the payment of Defeased Certificates may contain provisions permitting the investment or reinvestment of such moneys in Defeasance Securities or the substitution of other Defeasance Securities upon the satisfaction of the requirements specified in subsection (a)(i) or (ii) above. All income from such Defeasance Securities received by the Paying Agent/Registrar which is not required for the payment of the Defeased Securities, with respect to which such money has been so deposited, shall be remitted to the City or deposited as directed in writing by the City. (c) Selection of Defeased Certificates. In the event that the City elects to defease less than all of the principal amount of Certificates of a maturity, the Paying Agent/Registrar shall select, or cause to be selected, such amount of Certificates by such random method as it deems fair and appropriate. (d) Defeasance Securities. The term "Defeasance Securities" means (i) direct, noncallable obligations of the United States of America, including obligations that are unconditionally guaranteed by the United States of America, (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the City adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; (iii) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that, on the date the governing body of the City adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent and (iv) any securities and obligations now or hereafter authorized by State law that are eligible to refund, retire or otherwise discharge obligations such as the Certificates. (e) Continuing Duty of Paying Agent/Registrar. Until all Certificates defeased under this Section of this Ordinance shall become due and payable, the Paying Agent/Registrar for such Certificates shall perform the services of Paying Agent/Registrar for such Certificates the same as if they had not been defeased, and the City shall make proper arrangements to provide and pay for such services. Section 18. SALE OF CERTIFICATES; OFFICIAL STATEMENT. (a) The Certificates may be sold by public offering (either through a negotiated or competitive offering) and the terms and provisions of which are to be determined by the Pricing Officer in accordance with Section 2 hereof, and in which the purchasers of the Certificates are designated. The Certificates 18 may be sold pursuant to a purchase agreement or notice of sale and bidding instructions (collectively, the "Purchase Agreement") which the Pricing Officer is hereby authorized to execute and deliver and in which the Purchaser of the Certificates shall be designated. The Certificates shall initially be registered in the name of the Purchaser thereof as set forth in the Pricing Certificate. (b) The City hereby approves the form and content of the draft preliminary official statement relating to the Certificates in the form attached hereto as Exhibit C and any addenda, supplement or amendment thereto, and approves the distribution of such preliminary official statement in the reoffering of the Certificates by the Purchaser in final form, with such changes therein or additions thereto as the Pricing Officer executing the same may deem advisable. The Pricing Officer is hereby authorized, in the name and on behalf of the City, to approve, distribute, and deliver a final preliminary official statement and a final official statement relating to the Certificates to be used by the Purchaser in the marketing of the Certificates. (c) The Pricing Officer is authorized, in connection with effecting the sale of the Certificates, to obtain from a municipal bond insurance company so designated in the Pricing Certificate (the "Insurer") a municipal bond insurance policy (the "Insurance Policy") in support of the Certificates. To that end, should the Pricing Officer exercise such authority and commit the City to obtain a municipal bond insurance policy, for so long as the Insurance Policy is in effect, the requirements of the Insurer relating to the issuance of the Insurance Policy are incorporated by reference into this Ordinance and made a part hereof for all purposes, notwithstanding any other provision of this Ordinance to the contrary. The Pricing Officer shall have the authority to execute any documents to effect the issuance of the Insurance Policy by the Insurer. (d) The Mayor and Mayor Pro Tem, the City Manager, the Assistant City Manager, Director of Finance and City Secretary, shall be and they are hereby expressly authorized, empowered and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge and deliver in the name and under the corporate seal and on behalf of the City a Paying Agent/Registrar Agreement, in the form presented at the meeting at which this Ordinance is adopted, with the Paying Agent/Registrar and all other instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, the Certificates, the sale of the Certificates, the Purchase Agreement and the Official Statement. In case any officer whose signature shall appear on any Certificate shall cease to be such officer before the delivery of such Certificate, such signature shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until such delivery. Section 19. FURTHER PROCEDURES. That the Mayor, the City Secretary, the City Manager, the Assistant City Manager, and Director of Finance, shall be and they are hereby expressly authorized, empowered, and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge, and deliver in the name and under the corporate seal and on behalf of the City all such instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, and the sale and delivery of the Certificates and fixing all details in connection therewith. The City Council hereby authorizes the payment of the fee of the Office of the 19 Attorney General of the State of Texas for the examination of the proceedings relating to the issuance of the Certificates, in the amount determined in accordance with the provisions of Section 1202.004, Texas Government Code. Section 20. CONSTRUCTION FUND; USE OF PROCEEDS. (a) The City hereby creates and establishes and shall maintain on the books of the City a separate fund to be entitled the "Series 2016 Certificates of Obligation Construction Fund" (the "Construction Fund") for use by the City for payment of all lawful costs associated with the acquisition and construction of the projects as provided in Section 1. (b) The proceeds from the sale of the Certificates shall be deposited, on the date of closing, in the manner described in a letter of instructions prepared by the City or on behalf of the City by the City's financial advisor. The foregoing notwithstanding, any proceeds representing accrued interest on the Certificates shall be deposited to the credit of the Interest and Sinking Fund. Section 21. INTEREST EARNINGS. That the interest earnings derived from the investment of proceeds from the sale of the Certificates may be used along with other proceeds for the construction of the permanent improvements set forth in Section 1 hereof for which the Certificates are issued; provided that after completion of such permanent improvements, if any of such interest earnings remain on hand, such interest earnings shall be deposited in the Interest and Sinking Fund. It is further provided, however, that any interest earnings on proceeds which are required to be rebated to the United States of America pursuant to this Ordinance hereof in order to prevent the Certificates from being arbitrage bonds shall be so rebated and not considered as interest earnings for the purposes of this Section. Section 22. DEFAULT AND REMEDIES. (a) Events of Default. Each of the following occurrences or events for the purpose of this Ordinance is hereby declared to be an Event of Default: (i) the failure to make payment of the principal of or interest on any of the Certificates when the same becomes due and payable; or (ii) default in the performance or observance of any other covenant, agreement or obligation of the City, the failure to perform which materially, adversely affects the rights of the registered owners of the Certificates, including, but not limited to, their prospect or ability to be repaid in accordance with this Ordinance, and the continuation thereof for a period of 60 days after notice of such default is given by any registered owner to the City. (b) Remedies for Default. (i) Upon the happening of any Event of Default, then and in every case, any registered owner or an authorized representative thereof, including, but not limited to, a trustee or trustees therefor, may proceed against the City, or any official, officer or employee of the City in their official capacity, for the purpose of protecting and enforcing 20 the rights of the registered owners under this Ordinance, by mandamus or other suit, action or special proceeding in equity or at law, in any court of competent jurisdiction, for any relief permitted by law, including the specific performance of any covenant or agreement contained herein, or thereby to enjoin any act or thing that may be unlawful or in violation of any right of the registered owners hereunder or any combination of such remedies. (ii) It is provided that all such proceedings shall be instituted and maintained for the equal benefit of all registered owners of Certificates then outstanding. (c) Remedies Not Exclusive. (i) No remedy herein conferred or reserved is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or under the Certificates or now or hereafter existing at law or in equity; provided, however, that notwithstanding any other provision of this Ordinance, the right to accelerate the debt evidenced by the Certificates shall not be available as a remedy under this Ordinance. (ii) The exercise of any remedy herein conferred or reserved shall not be deemed a waiver of any other available remedy. (iii) By accepting the delivery of a Certificate authorized under this Ordinance, such registered owner agrees that the certifications required to effectuate any covenants or representations contained in this Ordinance do not and shall never constitute or give rise to a personal or pecuniary liability or charge against the officers, employees or members of the City or the City Council. (iv) None of the members of the City Council, nor any other official or officer, agent, or employee of the City, shall be charged personally by the registered owners with any liability, or be held personally liable to the registered owners under any term or provision of this Ordinance, or because of any Event of Default or alleged Event of Default under this Ordinance. Section 23. MISCELLANEOUS PROVISIONS. (a) Preamble. The preamble to this Ordinance is incorporated by reference and made a part hereof for all purposes. (b) Titles Not Restrictive. That the titles assigned to the various sections of this Ordinance are for convenience only and shall not be considered restrictive of the subject matter of any section or of any part of this Ordinance. (c) Rules of Construction. The words "herein", "hereof" and "hereunder" and other words of similar import refer to this Ordinance as a whole and not to any particular section or other subdivision. Except where the context otherwise requires, terms defined in this Ordinance to impart the singular number shall be considered to include the plural number and vice versa. References to any named person means that party and its successors and assigns. References to any constitutional, statutory or regulatory provision means such provision as it exists on the date this Ordinance is adopted by the City and any future amendments thereto or successor provisions 21 thereof. Any reference to "FORM OF CERTIFICATE" shall refer to the form of the Certificates set forth in Exhibit A to this Ordinance. Any reference to the payment of principal in this Ordinance shall be deemed to include the payment of any mandatory sinking fund redemption payments as may be described herein. (d) Inconsistent Provisions. All ordinances, orders and resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed and declared to be inapplicable, and the provisions of this Ordinance shall be and remain controlling as to the matters prescribed herein. (e) Severability. If any word, phrase, clause, paragraph, sentence, part, portion, or provision of this Ordinance or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Ordinance shall nevertheless be valid and the City hereby declares that this Ordinance would have been enacted without such invalid word, phrase, clause, paragraph, sentence, part, portion, or provisions. (f) Governing Law. This Ordinance shall be construed and enforced in accordance with the laws of the State of Texas. (g) Open Meeting. The City officially finds and determines that the meeting at which this Ordinance is adopted was open to the public; and that public notice of the time, place, and purpose of such meeting was given, all as required by Chapter 551, Texas Government Code. (h) Application of Chapter 1208, Government Code. Chapter 1208, Texas Government Code, applies to the issuance of the Certificates and the pledge of ad valorem taxes and the Surplus Revenues granted by the City under Section 6(b), and such pledge is therefore valid, effective, and perfected. If Texas law is amended at any time while the Certificates are outstanding and unpaid such that the pledge of the ad valorem taxes and Surplus Revenues granted by the City is to be subject to the filing requirements of Chapter 9, Texas Business & Commerce Code, then in order to preserve to the Registered Owners of the Certificates the perfection of the security interest in said pledge, the City agrees to take such measures as it determines are reasonable and necessary under Texas law to comply with the applicable provisions of Chapter 9, Texas Business & Commerce Code and enable a filing to perfect the security interest in said pledge to occur. (i) Immediate Effect. In accordance with the provisions of Section 1201.028, Texas Government Code, this Ordinance shall be effective immediately upon its adoption by the City Council. [Remainder of page intentionally left blank.] Ordinance City of College Station, Texas Certificates of Obligation, Series 2016 SIGNATURE PAGE PASSED, APPROVED AND EFFECTIVE THIS MAY 16, 2016. City Secretary; City of College Station Mayor; City of College Station (CITY SEAL) APPROVED: McCall, Parkhurst & Horton L.L.P., Dallas, Texas Bond Counsel A-1 EXHIBIT A FORM OF CERTIFICATE The form of the Certificates, including the form of Paying Agent/Registrar's Authentication Certificate, the form of Assignment and the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be attached only to the Certificates initially issued and delivered pursuant to this Ordinance, shall be, respectively, substantially as follows, with such appropriate variations, omissions, or insertions as are permitted or required by this Ordinance and with the Certificates to be completed with information set forth in the Pricing Certificate. The Form of Certificate as it appears in this Exhibit A shall be completed, amended and modified by Bond Counsel to incorporate the information set forth in the Pricing Certificate but it is not required for the Form of Certificate to reproduced as an exhibit to the Pricing Certificate. NO. _____ UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF BRAZOS CITY OF COLLEGE STATION, TEXAS CERTIFICATES OF OBLIGATION SERIES 2016 $___________ MATURITY DATE INTEREST RATE DELIVERY DATE CUSIP NO. % , 2016 REGISTERED OWNER: PRINCIPAL AMOUNT: ON THE MATURITY DATE SPECIFIED ABOVE, THE CITY OF COLLEGE STATION, TEXAS, in Brazos County (the "City"), being a political subdivision of the State of Texas, hereby promises to pay to the Registered Owner specified above or to the registered assignee hereof (either being hereinafter called the "registered owner") the Principal Amount specified above, and to pay interest thereon (calculated on the basis of a 360-day year of twelve 30-day months), from the Delivery Date specified above, to the Maturity Date specified above, or the date of its redemption prior to scheduled maturity, at the interest rate per annum specified above, with said interest payable on February 15, 2017, and semiannually on each August 15 and February 15 thereafter until maturity or prior redemption; except that if this Certificate is required to be authenticated and the date of its authentication is later than February 15, 2017, such interest is payable semiannually on each August 15 and February 15 following such date. A-2 THE PRINCIPAL OF AND INTEREST ON this Certificate are payable in lawful money of the United States of America, without exchange or collection charges. At maturity or redemption prior to maturity, the principal of this Certificate shall be paid to the registered owner hereof upon presentation and surrender of this Certificate at the designated corporate trust office in Dallas, Texas (the "Designated Trust Office") of The Bank of New York Mellon Trust Company, N.A., which is the "Paying Agent/Registrar" for this Certificate. The payment of interest on this Certificate shall be made by the Paying Agent/Registrar to the registered owner hereof on each interest payment date by check, dated as of such interest payment date, drawn by the Paying Agent/Registrar on, and payable solely from, funds of the City required by the ordinance authorizing the issuance of this Certificate (the "Certificate Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter provided; and such check shall be sent by the Paying Agent/Registrar by United States mail, first-class postage prepaid, on each such interest payment date, to the registered owner hereof, at its address as it appeared on the last business day of the month preceding each such date (the "Record Date") on the Registration Books kept by the Paying Agent/Registrar, as hereinafter described. Any accrued interest due at maturity as provided herein shall be paid to the registered owner upon presentation and surrender of this Certificate for payment at the Designated Trust Office of the Paying Agent/Registrar. The City covenants with the registered owner of this Certificate that on or before each principal and interest payment date for this Certificate it will make available to the Paying Agent/Registrar, from the "Interest and Sinking Fund" created by the Certificate Ordinance, the amounts required to provide for the payment, in immediately available funds, of all principal of and interest on the Certificates, when due. IN THE EVENT OF NON-PAYMENT of interest on a scheduled payment date, and for 30 days thereafter, a new record date for such interest payment (a "Special Record Date") will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest ("Special Payment Date", which shall be 15 days after the Special Record Date) shall be sent at least five business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each registered owner of a Certificate appearing on the Registration Books kept by the Paying Agent/Registrar at the close of business on the last business day next preceding the date of mailing of such notice. IF THE DATE for the payment of the principal of or interest on this Certificate shall be a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the Designated Trust Office of the Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on which banking institutions are authorized to close; and payment on such date shall have the same force and effect as if made on the original date payment was due. THIS CERTIFICATE is one of a Series of Certificates dated as of July 1, 2016, authorized in accordance with the Constitution and laws of the State of Texas in the principal amount of $[____], for the purpose of paying contractual obligations to be incurred by the City, to-wit, (i) constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric A-3 systems including distribution, transmission, system lines and wells; and (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith. ON FEBRUARY 15, 2026, or on any date thereafter, the Certificates of this Series maturing on February 15, 2027 and thereafter may be redeemed prior to their scheduled maturities, at the option of the City, in whole, or in part, at par and accrued interest to the date fixed for redemption. The years of maturity of the Certificates called for redemption at the option of the City prior to their stated maturity shall be selected by the City. The Certificates or portions thereof redeemed within a maturity shall be selected by lot or other method by the Paying Agent/Registrar; provided, that during any period in which ownership of the Certificates is determined only by a book entry at a securities depository for the Certificates, if fewer than all of the Certificates of the same maturity and bearing the same interest rate are to be redeemed, the particular Certificates of such maturity and bearing such interest rate shall be selected in accordance with the arrangements between the City and the securities depository. AT LEAST THIRTY days prior to the date fixed for any such redemption, a written notice of such redemption shall be given to the registered owner of each Certificate or a portion thereof being called for redemption by depositing such notice in the United States mail, first- class postage prepaid, addressed to each such registered owner at his address shown on the Registration Books of the Paying Agent/Registrar. By the date fixed for any such redemption due provision shall be made by the City with the Paying Agent/Registrar for the payment of the required redemption price for this Certificate or the portion hereof which is to be so redeemed, plus accrued interest thereon to the date fixed for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, this Certificate, or the portion hereof which is to be so redeemed, thereby automatically shall be redeemed prior to its scheduled maturity, and shall not bear interest after the date fixed for its redemption, and shall not be regarded as being outstanding except for the right of the registered owner to receive the redemption price plus accrued interest to the date fixed for redemption from the Paying Agent/Registrar out of the funds provided for such payment. The Paying Agent/Registrar shall record in the Registration Books all such redemptions of principal of this Certificate or any portion hereof. If a portion of any Certificate shall be redeemed a substitute Certificate or Certificates having the same maturity date, bearing interest at the same rate, in Authorized Denominations, at the written request of the registered owner, and in aggregate principal amount equal to the unredeemed portion thereof, will be issued to the registered owner upon the surrender thereof for cancellation, at the expense of the City, all as provided in the Ordinance. IF AT THE TIME OF MAILING of notice of optional redemption there shall not have either been deposited with the Paying Agent/Registrar or legally authorized escrow agent immediately available funds sufficient to redeem all the Certificates called for redemption, such notice must state that it is conditional, and is subject to the deposit of the redemption moneys with the Paying Agent/Registrar or legally authorized escrow agent at or prior to the redemption date, and such notice shall be of no effect unless such moneys are so deposited on or prior to the redemption date. If such redemption is not effectuated, the Paying Agent/Registrar shall, within five days thereafter, give notice in the manner in which the notice of redemption was given that such moneys were not so received and shall rescind the redemption. A-4 ALL CERTIFICATES OF THIS SERIES are issuable solely as fully registered certificates, without interest coupons, in Authorized Denominations. As provided in the Certificate Ordinance, this Certificate may, at the request of the registered owner or the assignee or assignees hereof, be assigned, transferred, and exchanged for a like aggregate principal amount of fully registered certificates, without interest coupons, payable to the appropriate registered owner, assignee, or assignees, as the case may be, having the same maturity date, and bearing interest at the same rate, in Authorized Denominations as requested in writing by the appropriate registered owner, assignee, or assignees, as the case may be, upon surrender of this Certificate to the Paying Agent/Registrar at its Designated Trust Office for cancellation, all in accordance with the form and procedures set forth in the Certificate Ordinance. Among other requirements for such assignment and transfer, this Certificate must be presented and surrendered to the Paying Agent/Registrar at its Designated Trust Office, together with proper instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar, evidencing assignment of this Certificate or any portion or portions hereof in an Authorized Denomination to the assignee or assignees in whose name or names this Certificate or any such portion or portions hereof is or are to be transferred and registered. The form of Assignment printed or endorsed on this Certificate may be executed by the registered owner to evidence the assignment hereof, but such method is not exclusive, and other instruments of assignment satisfactory to the Paying Agent/Registrar may be used to evidence the assignment of this Certificate or any portion or portions hereof from time to time by the registered owner. The foregoing notwithstanding, in the case of the exchange of an assigned and transferred Certificate or Certificates or any portion or portions thereof, such fees and charges of the Paying Agent/Registrar will be paid by the City. The one requesting such exchange shall pay the Paying Agent/Registrar's reasonable standard or customary fees and charges for exchanging any Certificate or portion thereof. In any circumstance, any taxes or governmental charges required to be paid with respect thereto shall be paid by the one requesting such assignment, transfer, or exchange as a condition precedent to the exercise of such privilege. In any circumstance, neither the City nor the Paying Agent/Registrar shall be required (1) to make any transfer or exchange during a period beginning at the opening of business 30 days before the day of the first mailing of a notice of redemption of Certificates and ending at the close of business on the day of such mailing, or (2) to transfer or exchange any Certificates so selected for redemption when such redemption is scheduled to occur within 45 calendar days. WHENEVER the beneficial ownership of this Certificate is determined by a book entry at a securities depository for the Certificates, the foregoing requirements of holding, delivering or transferring this Certificate shall be modified to require the appropriate person or entity to meet the requirements of the securities depository as to registering or transferring the book entry to produce the same effect. IN THE EVENT any Paying Agent/Registrar for the Certificates is changed by the City, resigns, or otherwise ceases to act as such, the City has covenanted in the Certificate Ordinance that it promptly will appoint a competent and legally qualified substitute therefor, and promptly will cause written notice thereof to be mailed to the registered owners of the Certificates. IT IS HEREBY certified, recited and covenanted that this Certificate has been duly and validly authorized, issued, and delivered; that all acts, conditions, and things required or proper to be performed, exist, and be done precedent to or in the authorization, issuance, and delivery of A-5 this Certificate have been performed, existed, and been done in accordance with law; that this Certificate is a direct obligation of said City, issued on the full faith and credit thereof; and that in accordance with the terms of the Certificate Ordinance, annual ad valorem taxes sufficient to provide for the payment of the interest on and principal of this Certificate, as such interest comes due and such principal matures, have been levied and ordered to be levied against all taxable property in said City, and have been pledged for such payment, within the limit prescribed by law; and that a limited pledge (not to exceed $1,000) of the Surplus Revenues from the operation of the City's combined municipal electric light and power, waterworks and sewer system remaining after payment of all operation and maintenance expenses thereof and any other obligations heretofore or hereafter incurred to which such revenues have been or shall be encumbered by a lien on and pledge of such revenues superior to the lien on and pledge of such revenues to the Certificates, have been pledged as additional security for the Certificates. BY BECOMING the registered owner of this Certificate, the registered owner thereby acknowledges all of the terms and provisions of the Certificate Ordinance, agrees to be bound by such terms and provisions, acknowledges that the Certificate Ordinance is duly recorded and available for inspection in the official minutes and records of the City, and agrees that the terms and provisions of this Certificate and the Certificate Ordinance constitute a contract between each registered owner hereof and the City. IN WITNESS WHEREOF, this Certificate has been signed with the manual or facsimile signature of the Mayor of the City, attested by the manual or facsimile signature of the City Secretary, and the official seal of the City has been duly affixed to, or impressed, or placed in facsimile, on this Certificate. xxxxx xxxxx City Secretary; City of College Station Mayor; City of College Station (SEAL) FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE It is hereby certified that this Certificate of Obligation has been issued under the provisions of the proceedings adopted by the City as described in the text of this Certificate of Obligation; and that this Certificate of Obligation has been issued in exchange for or replacement of a Certificate of Obligation of an issue which originally was approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts of the State of Texas. Dated: _______________ The Bank of New York Mellon Trust Company, N.A. Paying Agent/Registrar A-6 By: Authorized Representative [FORM OF COMPTROLLER'S CERTIFICATE ATTACHED TO THE CERTIFICATE (CERTIFICATE NO. T-1) UPON INITIAL DELIVERY THEREOF] COMPTROLLER'S CERTIFICATE OFFICE OF COMPTROLLER § REGISTER NO. ________ STATE OF TEXAS § I hereby certify that there is on file and of record in my office a certificate of the Attorney General of the State of Texas to the effect that this Certificate has been examined by him as required by law, and that he finds that it has been issued in conformity with the Constitution and laws of the State of Texas, and that it is a valid and binding obligation of the City of College Station, Texas, payable in the manner provided by and in the ordinance authorizing same, and said Certificate has this day been registered by me. WITNESS MY HAND and seal of office at Austin, Texas this ___________________. __________________________________________ Comptroller of Public Accounts of the State of Texas (SEAL) FORM OF ASSIGNMENT ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto: Please insert Social Security or Taxpayer Identification Number of Transferee Please print or type name and address, including zip code of Transferee A-7 the within Certificate and all rights thereunder, and hereby irrevocably constitutes and appoints: ____________________________________, attorney, to register the transfer of the within Certificate on the books kept for registration thereof, with full power of substitution in the premises. Dated: __________________. Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by an eligible guarantor institution participating in a securities transfer association recognized signature guarantee program. NOTICE: The signature above must correspond with the name of the registered owner as it appears upon the front of this Certificate in every particular, without alteration or enlargement or any change whatsoever. INSERTIONS FOR THE INITIAL CERTIFICATE. The initial Certificate shall be in the form set forth in paragraph (a) of this Form of Certificate, except that: i. immediately under the name of the Certificate, the headings "INTEREST RATE" and "MATURITY DATE" shall both be completed with the words "As shown below" and "CUSIP NO. _____" shall be deleted. ii. the first paragraph shall be deleted and the following will be inserted: THE CITY OF COLLEGE STATION, TEXAS, in Brazos County, Texas (the "City"), being a political subdivision of the State of Texas, hereby promises to pay to the Registered Owner specified above or to the registered assignee hereof (either being hereinafter called the "registered owner") on the Maturity Dates, in the Principal Amounts and bearing interest at the per annum Interest Rates set forth in the following schedule:. Maturity Date Principal Amount ($) Interest Rate The City promises to pay interest on the unpaid principal amount hereof (calculated on the basis of a 360-day year of twelve 30-day months) from the Delivery Date above at the respective Interest Rate per annum specified above. Interest is payable on February 15, 2017 and on each August 15 and February 15 thereafter to the date of payment of the Principal Amounts specified above, or the date of redemption prior to maturity; except, that if this Certificate is required to be authenticated and the date of its authentication is later than the first Record Date (hereinafter defined), such principal amount shall bear interest from the interest payment date next preceding the date of authentication, unless such date of authentication is after any Record Date but on or before the next following interest payment date, in which case such principal amount shall bear interest from such next following interest payment date; provided, however, A-8 that if on the date of authentication hereof the interest on the Certificate or Certificates, if any, for which this Certificate is being exchanged is due but has not been paid, then this Certificate shall bear interest from the date to which such interest has been paid in full." iii. The initial Certificate shall be numbered "T-1." B-1 EXHIBIT B PROCEDURES REGARDING COMPLIANCE WITH FEDERAL TAX AND CONTINUING DISCLOSURE COVENANTS This Exhibit is intended to assist the City of College Station (the "City") in complying with the federal income tax covenants and securities disclosure covenants as they apply to the issuance of tax-exempt debt securities such as the Certificates of Obligation (the "Obligations"). These procedures should be read together with any federal tax certifications, bond covenants, letters or memoranda from bond counsel and any attachments thereto (collectively, the "Closing Documents"). Failure to comply with federal guidelines could have serious consequences for investors, the City and its officials. These procedures shall apply to the Obligations, until they are superseded by a change in circumstances at which time the City's bond counsel will propose new procedures to be adopted. I. FEDERAL TAX LAW 1. Arbitrage Compliance. Arbitrage refers to the difference between the interest paid on tax-exempt Obligations and the interest earned by investing the proceeds of tax-exempt Obligations in higher-yielding investments. Such higher-yielding investments could take the form of loans, securities, real property, personal property, or other investments that could yield a profit to the City. Federal income tax laws generally restrict the ability to earn arbitrage utilizing the proceeds of tax- exempt Obligations. Generally, any profit from investing Obligation proceeds at a yield above the yield paid on the Obligations belongs to the federal government and must be rebated to the federal government. If the City fails to comply federal tax guidelines, Obligations could be deemed to be “arbitrage bonds” by the Internal Revenue Service (the “IRS”), which would expose the City to monetary liability from the City’s investors. The arbitrage yield on the Obligations is set forth on the IRS Form 8038-G. The Assistant City Manager and the City Treasurer (including such other employees of the City who report to such officers) (collectively, the "Responsible Person") will review the Closing Documents periodically (at least once a year) to ascertain if an exception to arbitrage compliance applies. a. Procedures applicable to the Obligation. The Responsible Person shall undertake the following procedures. i. If the City plans to spend funds currently on hand for a future project with the intent to later repay such funds from a debt issue, the Responsible B-2 Person shall contact Bond Counsel to obtain advice regarding a reimbursement resolution. The Responsible Person shall maintain any official action of the City (such as a reimbursement resolution) stating the City's intent to reimburse with the proceeds of the Obligations any amount expended prior to the Issue Date for the acquisition, renovation or construction of the Project. ii. The Responsible Person shall ensure that the applicable information return (e.g., U.S. Internal Revenue Service ("IRS") Form 8038-G, 8038-GC, or any successor forms) is timely filed with the IRS. iii. If proceeds of the Obligations are to be invested in interest-earning investments, assure that, unless excepted from rebate and yield restriction under section 148(f) of the Code, excess investment earnings are computed and paid to the U.S. government at such time and in such manner as directed by the IRS (i) at least every 5 years after the Issue Date and (ii) within 30 days after the date the Obligations are retired. If proceeds of the Obligations are to be invested in interest-earning investments, the Responsible Person should contact the City's arbitrage consultant regarding such matters. iv. The Responsible Person shall monitor all amounts deposited into a sinking fund or funds pledged (directly or indirectly) to the payment of the Obligations, such as the Interest and Sinking Fund (the "I&S Fund"), to assure that the maximum amount invested within such applicable fund at a yield higher than the yield on the Obligations does not exceed an amount equal to the debt service on the Obligations in the succeeding 12 month period plus a carryover amount equal to one-twelfth of the principal and interest payable on the Obligations for the immediately preceding 12- month period. NOTE: the purpose of the I&S Fund is to achieve a proper matching of revenues with principal and interest payments within each fiscal year. The I&S Fund should be used a mechanism for payment of current debt service and not as a long-term investment fund for debt service many years in the future. v. The Responsible Person shall ensure that no more than 50% of the proceeds of the Obligations are invested in an investment with a guaranteed yield for 4 years or more. b. With respect to the investment and expenditure of the proceeds of the Obligations that are issued to finance public improvements or to acquire land or personal property, the Responsible Person shall undertake the following. B-3 i. The Responsible Person shall instruct the persons who are primarily responsible for the construction, renovation or acquisition of the facilities financed with Obligations (the “Project”) that the Project must (i) proceed with due diligence toward completion and that (ii) binding contracts for the expenditure of at least 5% of the proceeds of the Obligations will be entered into within six (6) months of the date of closing of the Obligations (the “Issue Date”). The Responsible Person shall monitor that the above requirements are satisfied. ii. The Responsible Person shall monitor that at least 85% of the proceeds of the Obligations to be used for the construction, renovation or acquisition of the Project are expended within three years of the Issue Date. iii. The Responsible Person shall monitor investment of proceeds of the Obligations and restrict the yield of the investments to the yield on the Obligations after three years of the Issue Date. iv. To the extent that there are any unspent proceeds of the Obligations at the time the Obligations are later refunded, or if there are unspent proceeds of the Obligations that are being refunded by a new issuance of Obligations, the Responsible Person shall continue monitoring the expenditure of such unspent proceeds to ensure compliance with federal tax law with respect to both the refunded Obligations and any Obligations being issued for refunding purposes, and shall contact Bond Counsel as necessary. B. Private Business Use. Generally, the proceeds of tax-exempt Obligations may not inure to the benefit of entities other than state or local governments (“private business use”). Private business use occurs whenever Obligation proceeds are used to benefit any entity other than a state or local government, including nonprofit corporations and the federal government. A series of Obligations may lose their tax-exempt status if: (i) more than 10% of the proceeds of the Obligations are to be used for any private business use and the payment of the principal or interest on more than 10% of the proceeds of the Obligations is secured by or payable from property used for a private business use, or (ii) the amount of proceeds of the Obligations used to make loans to borrowers other than state and local governments exceeds the lesser of 5% of the proceeds or $15 million. With respect to the use of the facilities financed or refinanced with the proceeds of the Obligations, the Responsible Person shall undertake the following to ensure the Obligations do not violate private business use tests. B-4 a. The Responsible Person shall develop procedures or a “tracking system” to identify, log and record all property financed with tax-exempt debt and identify the issue of Obligations used to finance such property. b. The Responsible Person shall monitor and record the date on which the Project is substantially complete and available to be used for the purpose intended. c. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, the employees of the City, the agents of the City or members of the general public has any contractual right (such as a lease, research contract, naming rights agreement, purchase contract, management agreement or other service agreement) with respect to any portion of the Project. d. Before entering into any private business use arrangement that involves the use of the Project, the Responsible Person must obtain a description of the proposed private business use arrangement and determine whether such arrangement, if put into effect, will be consistent with the restrictions on private business use of the Project. In connection with the evaluation of any proposed private business use arrangement, the Responsible Person should consult with Bond Counsel to discuss whether such arrangement, if put into effect, will be consistent with the restrictions on private business use of the Project, and, if not, whether any “remedial action” permitted under federal guidelines may be taken as a means of enabling such private business use without adversely affecting the tax-exempt status of the Obligations. e. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, the employees of the City, the agents of the City or members of the general public has a right to use the output of the Project (e.g., water, gas, electricity, capacity) on any basis other than standard rates and charges. f. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, has a naming right for the Project or any other contractual right granting an intangible benefit. g. Prior to any sale of property owned by the City (real or personal), the Responsible Person must confirm whether such property was financed with tax-exempt debt, and if so, determine whether the proposed disposition of the property could impact the tax-exempt status of the series of Obligations that financed the acquisition of such property. h. The Responsible Person shall take any action necessary to remediate any failure to maintain compliance with the covenants contained in the ordinance authorizing the issuance of the applicable series of Obligations. B-5 C. Record Retention. The Responsible Person will maintain or cause to be maintained all records relating to the investment and expenditure of the proceeds of the Obligations and the use of the Project financed or refinanced thereby for a period ending three (3) years after the complete extinguishment of the Obligations. If any portion of the Obligations is refunded with the proceeds of another series of Obligations, such records shall be maintained until the three (3) years after the refunding Obligations mature or are otherwise paid off. Such records can be maintained in paper or electronic format. For purposes of these procedures, the Memorandum of Bond Counsel dated December 1, 2011 styled "Certain Federal Income Tax Considerations for Record Retention – Record Management Program and Periodic Compliance Review" in incorporated herein and should be reviewed periodically, at least once per year, by the Responsible Person. D. Responsible Person & Continuity. Each Responsible Person shall receive appropriate training regarding the City’s accounting system, contract intake system, facilities management and other systems necessary to track the investment and expenditure of the proceeds and the use of the facilities financed with the proceeds of the Obligations. The foregoing notwithstanding, the Responsible Person is authorized and instructed to retain such experienced advisors and agents as may be necessary to carry out the purposes of these instructions. Prior to cessation of employment with the City, the Responsible Person should identify their successor to maintain compliance with these procedures. II. FEDERAL SECURITIES LAW Obligations, whether taxable or tax-exempt, sold in a public offering in an amount of $1 million or more are subject to Rule 15c2-12 (the “Rule”) of the United States Securities and Exchange Commission (the “SEC”). Additionally, the City may have covenanted to comply with the Rule even with respect to Obligations that would otherwise be exempt from the Rule (e.g., Obligations sold in a private placement or Obligations sold in an amount less than $1 million). Pursuant to the Rule, the City is required to make annual filings of certain information, as well as make filings upon the occurrence of certain specified events. All filings must be made with the Municipal Securities Rulemaking Board (the “MSRB”) through its Electronic Municipal Market Access System (“EMMA”) at emma.msrb.org. A. Annual Filings. The City must file the information listed below with EMMA within six (6) months of each fiscal year end for so long as the respective series of Obligations remains outstanding. The City’s fiscal year ends on September 30 of each year. Therefore, the City must provide updated B-6 information by March 31 of the subsequent year. If audited financial statements are not available by March 31, the City must provide unaudited financial information by such date and provide audited financial statements when such statements become available. The City must file each of the following items with EMMA: (1) The City’s audited financial statements; and (2) An update of the financial tables included in the Official Statement used in connection with the Obligations as described under the caption "Continuing Disclosure of Information". The information should be from the most recent fiscal year end. The Responsible Person must compile, prepare and make such filings within the required time, or, alternatively, contract with a third-party, such as the City’s financial advisor, to make such filings on the City’s behalf. B. Notices of Specified Events. The City must provide notice of any of the following events with respect to the Obligations to the MSRB in a timely manner (but not in excess of ten business days after the occurrence of the event): (1) Principal and interest payment delinquencies; (2) Non-payment related defaults, if material; (3) Unscheduled draws on debt service reserves reflecting financial difficulties; (4) Unscheduled draws on credit enhancements reflecting financial difficulties; (5) Substitution of credit or liquidity providers, or their failure to perform; (6) Adverse tax opinions, the issuance by the IRS of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701–TEB) or other material notices or determinations with respect to the tax status of the Obligations, or other material events affecting the tax status of the Obligations; (7) Modifications to rights of Obligation holders, if material; (8) Obligations calls (includes redemptions and other early payments), if material, and tender offers; (9) Defeasances; (10) Release, substitution, or sale of property securing repayment of the Obligations, if material; B-7 (11) Rating changes; (12) Bankruptcy, insolvency, receivership or similar event of the City; (13) The consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of the assets of the City, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; (14) Appointment of a successor or additional paying agent or the change of name of a paying agent, if material; and (15) In a timely manner, notice of a failure of the City to make the required annual filings listed in Subsection II(A) above. The Responsible Person should review this list at regular intervals to determine whether any event has occurred that may require a filing with EMMA. C-1 EXHIBIT C PRELIMINARY OFFICIAL STATEMENT PRELIMINARY OFFICIAL STATEMENT DATED _______________, 2016 NEW ISSUE - Book-Entry-Only In the opinion of Bond Counsel, interest on the Obligations will be excludable from gross income for federal income tax purposes under statutes, regulations, published rulings and court decisions existing on the date thereof, subject to the matters described under “TAX MATTERS” herein, including the alternative minimum tax on corporations. CITY OF COLLEGE STATION, TEXAS (a Home-Rule City located in Brazos County, Texas) Dated Date: July 1, 2016 Due: February 15, as shown on inside cover Interest Accrual Date: Date of Delivery The $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016 (the “Bonds”) and the $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016 (the “Certificates”) are being issued by the City of College Station, Texas (the “City”) pursuant to the terms of two separate ordinances adopted by the governing body of the City. In each of the ordinances, the City Council of the City delegated authority to certain authorized officials of the City to finalize the pricing of the Obligations. The Bonds and the Certificates are referred to herein collectively as the “Obligations.” The Obligations are issuable only in fully registered form in the denomination of $5,000 principal amount or integral multiples thereof, initially registered solely in the name of Cede & Co., as registered owner and nominee for The Depository Trust Company (“DTC”), New York, New York, acting as securities depository for the Obligations. The Obligations initially will be available to purchasers in book-entry-form only. So long as Cede & Co. is the registered owner of the Obligations, as nominee for DTC, the Paying Agent/Registrar, initially The Bank of New York Mellon Trust Company, N.A., Dallas, Texas (the “Paying Agent/Registrar”) will pay the principal of and interest on the Obligations to Cede & Co., which will, in turn, remit such amounts to DTC participants for subsequent disbursement to the beneficial owners of the Obligations. Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. (see “THE OBLIGATIONS - GENERAL DESCRIPTION”) The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. (see “THE OBLIGATIONS – OPTIONAL REDEMPTION”). In addition to the foregoing optional redemption provision, if in connection with the pricing of the Bonds or the Certificates the principal amounts designated in the separate Maturity Schedules herein are combined to create Term Obligations, each such Term Obligation shall be subject to mandatory sinking fund redemption commencing on February 15 of the first year which has been combined to form such Term Obligation and continuing on February 15 in each year thereafter until the stated maturity date of that Term Obligation, and the amount required to be redeemed in any year shall be equal to the principal amount for such year set forth in the serial maturity schedule on the inside cover. Term Obligations to be redeemed in any year by mandatory sinking fund redemption shall be redeemed at par and shall be selected by lot from the Term Obligations then subject to redemption. The City, at its option, may credit against any mandatory sinking fund redemption requirement Term Obligations of the maturity then subject to redemption which have been purchased and canceled by the City or have been redeemed and not theretofore applied as a credit against any mandatory sinking fund redemption requirement (see “THE OBLIGATIONS - MANDATORY SINKING FUND REDEMPTION”). SEE MATURITY SCHEDULE,INTEREST RATES AND YIELDS ON INSIDE COVER The Obligations are payable from annual ad valorem taxes levied against all taxable property in the City, within the legal limits prescribed by law. The Certificates are additionally payable from a subordinate lien on and pledge of $1,000 of the surplus revenues of the City’s combined utility system (see “THE OBLIGATIONS – SECURITY AND SOURCE OF PAYMENT,” and “– TAX RATE LIMITATION”). The Bonds and the Certificates are being offered by the City concurrently, under a common Official Statement. The Bonds and the Certificates are separate and distinct securities being issued and sold independently except for the Official Statement, and, while the Bonds and Certificates share certain common attributes, each issue is separate from the other and should be reviewed and analyzed independently, including without limitation the date of accrual and payment of interest for each series of the securities being offered, the redemption provisions and the tax treatment of interest for federal income tax purposes. The Obligations of each series are offered for delivery, when issued, and received by the initial purchasers (the “Initial Purchasers”) and subject to the opinion of the Attorney General of the State of Texas and the opinion of McCall, Parkhurst & Horton L.L.P., Dallas, Texas, Bond Counsel for the City (see “APPENDIX C – FORMS OF OPINIONS OF BOND COUNSEL”). It is expected that the Obligations will be available for delivery through the services of DTC on or about July 5, 2016. BIDS DUE TUESDAY, JUNE 7, 2016, AT 9:30 A.M., CDT FOR THE CERTIFICATES BIDS DUE TUESDAY, JUNE 7, 2016, AT 10:30 A.M., CDT FOR THE BONDS $39,640,000* GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BONDS SERIES 2016 $24,385,000* CERTIFICATES OF OBLIGATION SERIES 2016 ThisPreliminaryOfficialStatementandtheinformationcontainedhereinaresubjecttocompletionoramendment.ThesesecuritiesmaynotbesoldnormayofferstobuybeacceptedpriortothetimetheOfficialStatementisdeliveredinfinalform.UndernocircumstancesshallthisPreliminaryOfficialStatementconstituteanoffertosellorthesolicitationofanoffertobuynorshalltherebeanysaleofthesesecuritiesinanyjurisdictioninwhichsuchoffer,solicitationorsalewouldbeunlawfulpriortoregistrationorqualificationunderthesecuritieslawsofanysuchjurisdiction.Ratings: Moody’s: "____" S&P: "____" (See “OTHER INFORMATION – RATINGS” herein __________ * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. ii MATURITY SCHEDULES* $39,640,000* General Obligation Improvement and Refunding Bonds, Series 2016 Due Interest Due Interest Feb. 15 Principal*Rate Yield CUSIP (1)Feb. 15 Principal*Rate Yield CUSIP (1) 2017 2,540,000 2027 (2)4,260,000 2018 2,135,000 2028 (2)2,690,000 2019 1,400,000 2029 (2)415,000 2020 1,450,000 2030 (2)440,000 2021 3,110,000 2031 (2)460,000 2022 3,270,000 2032 (2)475,000 2023 3,430,000 2033 (2)495,000 2024 3,605,000 2034 (2)515,000 2025 3,815,000 2035 (2)540,000 2026 4,030,000 2036 (2)565,000 $24,385,000* Certificates of Obligation, Series 2016 Due Interest Due Interest Feb. 15 Principal*Rate Yield CUSIP (1)Feb. 15 Principal*Rate Yield CUSIP (1) 2017 915,000$2027 (2)1,015,000$ 2018 1,045,000 2028 (2)1,065,000 2019 1,065,000 2029 (2)1,120,000 2020 1,100,000 2030 (2)1,180,000 2021 1,145,000 2031 (2)1,235,000 2022 1,195,000 2032 (2)1,280,000 2023 1,240,000 2033 (2)1,335,000 2024 1,300,000 2034 (2)1,390,000 2025 1,365,000 2035 (2)1,450,000 2026 1,435,000 2036 (2)1,510,000 * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)CUSIP numbers have been assigned to the Obligations by CUSIP Global Services, managed by S&P Capital IQ on behalf of the American Bankers Association, and are included solely for the convenience of the purchasers of the Obligations. Neither the City, the Financial Advisor nor the Initial Purchasers shall be responsible for the selection or correctness of the CUSIP numbers set forth herein. (2)The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. iii For purposes of compliance with Rule 15c2-12 of the United States Securities and Exchange Commission, as amended and in effect on the date hereof (the “Rule”), this document constitutes a Preliminary Official Statement of the City with respect to the Obligations that has been deemed “final” by the City as of its date except for the omission of no more than the information permitted by the Rule. This Official Statement, which includes the cover page and the Appendices hereto, does not constitute an offer to sell or the solicitation of an offer to buy in any jurisdiction to any person to whom it is unlawful to make such offer, solicitation or sale. No dealer, broker, salesperson or other person has been authorized to give information or to make any representation other than those contained in this Official Statement, and, if given or made, such other information or representations must not be relied upon. The information set forth herein has been obtained from the City and other sources believed to be reliable, but such information is not guaranteed as to accuracy or completeness and is not to be construed as the promise or guarantee of the Financial Advisor. This Official Statement contains, in part, estimates and matters of opinion which are not intended as statements of fact, and no representation is made as to the correctness of such estimates and opinions, or that they will be realized. CUSIP numbers have been assigned to this issue by CUSIP Global Services, and are included solely for the convenience of the owners of the Obligations. Neither the City, the Financial Advisor nor the Initial Purchasers shall be responsible for the selection or correctness of the CUSIP numbers shown on the inside cover page. The information and expressions of opinion contained herein are subject to change without notice, and neither the delivery of this Official Statement nor any sale made hereunder will, under any circumstances, create any implication that there has been no change in the affairs of the City or other matters described. In connection with this offering, the Initial Purchasers may over-allot or effect transactions which stabilize the market price of the issue at a level above that which might otherwise prevail in the open market. Such stabilizing, if commenced, may be discontinued at any time. The Obligations are exempt from registration with the Securities and Exchange Commission and consequently have not been registered therewith. The registration, qualification, or exemption of the Obligations in accordance with applicable securities law provisions of the jurisdiction in which these securities have been registered or exempted should not be regarded as a recommendation thereof. NEITHER THE CITY, ITS FINANCIAL ADVISOR NOR THE INITIAL PURCHASER MAKE ANY REPRESENTATION OR WARRANTY WITH RESPECT TO THE INFORMATION CONTAINED IN THIS OFFICIAL STATEMENT REGARDING THE DEPOSITORY TRUST COMPANY (“DTC”) OR ITS BOOK-ENTRY-ONLY SYSTEM. Any information and expressions of opinion herein contained are subject to change without notice, and neither the delivery of this Official Statement nor any sale made hereunder shall, under any circumstances, create any implication that there has been no change in the affairs of the City or other matters described herein since the date hereof. The Initial Purchasers have provided the following sentence for inclusion in this Official Statement. The Initial Purchasers have reviewed the information in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Initial Purchasers do not guarantee the accuracy or completeness of such information. THIS OFFICIAL STATEMENT CONTAINS “FORWARD-LOOKING” STATEMENTS WITHIN THE MEANING OF SECTION 21E OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED. SUCH STATEMENTS MAY INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE THE ACTUAL RESULTS, PERFORMANCE AND ACHIEVEMENTS TO BE DIFFERENT FROM THE FUTURE RESULTS, PERFORMANCE AND ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. INVESTORS ARE CAUTIONED THAT THE ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THOSE SET FORTH IN THE FORWARD-LOOKING STATEMENTS. See “OTHER INFORMATION – FORWARD-LOOKING STATEMENTS DISCLAIMER” herein. References to web site addresses presented herein are for informational purposes only and may be in the form of a hyperlink solely for the reader’s convenience. Unless specified otherwise, such web sites and the information or links contained therein are not incorporated into, and are not part of, this final official statement for purposes of, and as that term is defined in, SEC Rule 15c2-12. iv TABLE OF CONTENTS MATURITY SCHEDULES..........................................................i OFFICIAL STATEMENT SUMMARY.....................................v SELECTED FINANCIAL INFORMATION ........................................VII GENERAL FUND CONSOLIDATED STATEMENT SUMMARY ..........VII UTILITY SYSTEM CONDENSED STATEMENT OF OPERATIONS......VII CITY OFFICIALS, STAFF AND CONSULTANTS..............viii ELECTED OFFICIALS ................................................................VIII SELECTED ADMINISTRATIVE STAFF .........................................VIII CONSULTANTS AND ADVISORS ................................................VIII INTRODUCTION ........................................................................9 DESCRIPTION OF THE CITY .........................................................9 PLAN OF FINANCING...............................................................9 PURPOSE....................................................................................9 REFUNDED OBLIGATIONS ...........................................................1 SOURCES AND USES OF PROCEEDS .............................................1 THE OBLIGATIONS ..................................................................2 GENERAL DESCRIPTION..............................................................2 AUTHORITY FOR ISSUANCE OF THE BONDS..................................2 AUTHORITY FOR ISSUANCE OF THE CERTIFICATES .......................2 SECURITY AND SOURCE OF PAYMENT.........................................2 TAX RATE LIMITATION ..............................................................2 OPTIONAL REDEMPTION .............................................................2 MANDATORY SINKING FUND REDEMPTION.................................3 NOTICE OF REDEMPTION ............................................................3 BOOK-ENTRY-ONLY SYSTEM.....................................................3 PAYING AGENT/REGISTRAR .......................................................5 TRANSFER,EXCHANGE AND REGISTRATION................................5 RECORD DATE FOR INTEREST PAYMENT .....................................5 DEFEASANCE .............................................................................5 REMEDIES OF HOLDERS OF OBLIGATIONS ...................................6 TAX INFORMATION.................................................................6 AD VALOREM TAX LAW ............................................................6 CONSTITUTIONAL AMENDMENT .................................................7 EFFECTIVE TAX RATE AND ROLLBACK TAX RATE.......................8 PROPERTY ASSESSMENT AND TAX PAYMENT..............................8 PENALTIES AND INTEREST ..........................................................8 CITY APPLICATION OF PROPERTY TAX CODE ..............................9 TAX ABATEMENT POLICY ..........................................................9 ECONOMIC DEVELOPMENT PROGRAMS.......................................9 TABLE 1 -VALUATION,EXEMPTIONS AND GENERAL OBLIGATION DEBT.............................................................11 TABLE 2 -TAXABLE ASSESSED VALUATIONS BY CATEGORY ...12 TABLE 3 -VALUATION AND GENERAL OBLIGATION DEBT HISTORY ...........................................................................13 TABLE 4 -TAX RATE,LEVY AND COLLECTION HISTORY .........13 TABLE 5 -TEN LARGEST TAXPAYERS......................................13 TABLE 6 -TAX ADEQUACY .....................................................14 TABLE 7 -ESTIMATED OVERLAPPING DEBT.............................14 DEBT INFORMATION.............................................................15 TABLE 8 -PRO-FORMA AD VALOREM TAX DEBT SERVICE REQUIREMENTS .................................................................15 TABLE 9 -INTEREST AND SINKING FUND BUDGET PROJECTION ......................................................................16 TABLE 10 –SELF-SUPPORTING DEBT .......................................16 TABLE 11 -AUTHORIZED BUT UNISSUED TAX BONDS .............17 ANTICIPATED ISSUANCE OF GENERAL OBLIGATION DEBT .........17 OTHER OBLIGATIONS ...............................................................17 PENSION FUND ........................................................................17 OTHER POST EMPLOYMENT BENEFITS ......................................17 FINANCIAL INFORMATION.................................................20 TABLE 12 -GENERAL FUND REVENUES AND EXPENDITURE HISTORY ...........................................................................20 TABLE 13 -MUNICIPAL SALES TAX HISTORY .........................21 FINANCIAL POLICIES................................................................21 THE COMBINED UTILITY SYSTEM...................................22 WATERWORKS SYSTEM ...........................................................22 WASTEWATER SYSTEM ............................................................23 ELECTRIC SUPPLY SOURCE ......................................................23 WIND WATT RATES.................................................................24 TABLE 14 -HISTORICAL UTILITY USERS ..................................25 TABLE 15 -TEN LARGEST UTILITY CUSTOMERS .......................25 TABLE 16 -CONDENSED STATEMENT OF OPERATIONS ..............25 TABLE 17 –VALUE OF THE SYSTEM .........................................26 TABLE 18 –CITY’S EQUITY IN THE SYSTEM .............................26 TABLE 19 –UTILITY REVENUE BOND AND SYSTEM SUPPORTED CERTIFICATE DEBT SERVICE ...........................27 INVESTMENTS.........................................................................27 LEGAL INVESTMENTS ..............................................................27 INVESTMENT POLICIES.............................................................28 ADDITIONAL PROVISIONS ........................................................29 CITY’S INVESTMENT POLICY....................................................29 TABLE 20 -CURRENT INVESTMENTS ........................................29 TAX MATTERS.........................................................................30 OPINION ..................................................................................30 FEDERAL INCOME TAX ACCOUNTING TREATMENT OF ORIGINAL ISSUE DISCOUNT ...............................................30 COLLATERAL FEDERAL INCOME TAX CONSEQUENCES ..............31 STATE,LOCAL AND FOREIGN TAXES ........................................31 FUTURE AND PROPOSED LEGISLATION .....................................31 CONTINUING DISCLOSURE OF INFORMATION............32 ANNUAL REPORTS ...................................................................32 EVENT NOTICES ......................................................................32 LIMITATIONS AND AMENDMENTS .............................................33 COMPLIANCE WITH PRIOR UNDERTAKINGS ..............................33 OTHER INFORMATION.........................................................33 RATINGS .................................................................................33 LITIGATION .............................................................................33 REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE .................................................................................33 LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS ...............................................................34 LEGAL OPINIONS .....................................................................34 AUTHENTICITY OF FINANCIAL DATA AND OTHER INFORMATION ...................................................................34 FINANCIAL ADVISOR ...............................................................34 VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS ................................................................35 INITIAL PURCHASERS ...............................................................35 MISCELLANEOUS .....................................................................36 SCHEDULE OF REFUNDED OBLIGATIONS ...............................................................SCHEDULE I APPENDICES GENERAL INFORMATION REGARDING THE CITY..................................A EXCERPTS FROM THE ANNUAL FINANCIAL REPORT ............................B FORMS OF OPINIONS OF BOND COUNSEL ............................................C The cover page hereof, this page, the appendices included herein and any addenda, supplement or amendment hereto, are part of the Official Statement. v OFFICIAL STATEMENT SUMMARY This summary is subject in all respects to the more complete information and definitions contained or incorporated in this Official Statement. The offering of the Obligations to potential investors is made only by means of this entire Official Statement. No person is authorized to detach this summary from this Official Statement or to otherwise use it without the entire Official Statement. THE CITY............................. The City of College Station, Texas (the “City”) is a political subdivision and a home-rule city of the State, located in Brazos County, Texas. The City covers approximately 51.6 square miles (see “INTRODUCTION - DESCRIPTION OF THE CITY”). THE BONDS .......................... The Bonds are issued as $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016. The Bonds are issued as serial bonds maturing on February 15 in each of the years 2017-2036, inclusive (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). THE CERTIFICATES ............. The Certificates are issued as $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016. The Certificates are issued as serial certificates maturing on February 15 in each of the years 2017- 2036, inclusive (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). PAYMENT OF INTEREST ...... Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). AUTHORITY FOR ISSUANCE OF THE BONDS .................... The Bonds are issued pursuant to the general laws of the State, particularly Chapters 1207, 1251, 1331 and 1371, Texas Government Code, an ordinance passed by the City Council of the City, and an election held November 4, 2008. In the ordinance authorizing the issuance of the Bonds, the City Council delegated pricing of the Bonds to a “Pricing Officer” who will approve the terms of sale of the Bonds. (see “THE OBLIGATIONS - AUTHORITY FOR ISSUANCE OF THE BONDS”). AUTHORITY FOR ISSUANCE OF THE CERTIFICATES ....... The Certificates are issued pursuant to the general laws of the State, particularly Chapter 1371, Texas Government Code and Subchapter C of Chapter 271, Texas Local Government Code, as amended; and an ordinance passed by the City Council of the City. In the ordinance authorizing the issuance of the Certificates, the City Council delegated pricing of the Certificates to a “Pricing Officer” who will approve the terms of sale of the Certificates. (see “THE OBLIGATIONS - AUTHORITY FOR ISSUANCE OF THE CERTIFICATES”). SECURITY FOR THE BONDS .................................. The Bonds constitute direct obligations of the City, secured by and payable from the levy and collection of a direct and continuing ad valorem tax, within the limits prescribed by law, on all taxable property located within the City (see “THE OBLIGATIONS - SECURITY AND SOURCE OF PAYMENT”). Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home-Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. SECURITY FOR THE CERTIFICATES...................... The Certificates constitute direct obligations of the City, secured by and payable from a combination of (i) the levy and collection of an annual direct and continuing ad valorem tax, within the limits prescribed by law, on all taxable property located within the City, and (ii) a subordinate lien on and pledge of $1,000 of the surplus revenues derived from the City’s combined utility system (see “THE OBLIGATIONS - SECURITY AND SOURCE OF PAYMENT”). Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home- Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. __________ * * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. . vi REDEMPTION ....................... The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption (see “THE OBLIGATIONS – OPTIONAL REDEMPTION”). Additionally, the Obligations may be subject to mandatory redemption in the event the Initial Purchasers elect to aggregate one or more maturities as a term Obligation. (See “THE OBLIGATIONS – MANDATORY SINKING FUND REDEMPTION.”) TAX EXEMPTION ................... In the opinion of Bond Counsel, the interest on the Obligations will be excludable from gross income for federal income tax purposes under existing law, including the alternative minimum tax on corporations. See “TAX MATTERS” for a discussion of the opinion of Bond Counsel and Exhibit C. USE OF BOND PROCEEDS ..... Proceeds from the sale of the Bonds will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (ii) pay for the costs of constructing and improving the City library (iii) refund certain obligations of the City described in Schedule I to this Official Statement (the “Refunded Obligations”) and (iv) pay the costs incurred in connection with the issuance of the Bonds (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). USE OF CERTIFICATE PROCEEDS.......................... Proceeds from the sale of the Certificates will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric systems including distribution, transmission, system lines and wells (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith; and (iv) to pay the costs incurred in connection with the issuance of the Certificates (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). RATINGS .............................The Obligations and presently outstanding tax supported debt of the City are rated “___” by Moody's Investors Service, Inc. (“Moody's”) and “____” by Standard & Poor's Ratings Services, a Standard & Poor’s Financial Services LLC business (“S&P”), without regard to credit enhancement (see “OTHER INFORMATION – RATINGS”). BOOK-ENTRY-ONLY SYSTEM .............................. The definitive Obligations will be initially registered and delivered only to Cede & Co., the nominee of The Depository Trust Company (“DTC”) pursuant to the Book-Entry-Only System described herein. Beneficial ownership of the Obligations may be acquired in denominations of $5,000 or integral multiples thereof. No physical delivery of the Obligations will be made to the beneficial owners thereof. Principal of and interest on the Obligations will be payable by the Paying Agent/Registrar to Cede & Co., which will make distribution of the amounts so paid to the participating members of DTC for subsequent payment to the beneficial owners of the Obligations (see “THE OBLIGATIONS - BOOK-ENTRY-ONLY SYSTEM”). PAYMENT RECORD ..............Other than a late payment on the City’s Certificates of Obligation, Series 2002 that occurred in 2003, the City has never defaulted in payment of its general obligation tax debt. [Remainder of Page Intentionally Left Blank] vii SELECTED FINANCIAL INFORMATION Ratio Tax Fiscal Per Capita Per Capita Debt to Year Estimated Taxable Taxable Net Net Taxable Ended City Assessed Assessed Ad Valorem Ad Valorem Assessed 9/30 Population(1)Valuation(2)Valuation TaxDebt (3)TaxDebt Valuation 2011 94,669 5,455,432,461$57,626$99,140,000$1,047$1.82%99.76% 2012 97,888 5,738,615,002 58,624 96,390,000 985 1.68%99.83% 2013 97,929 5,944,312,987 60,700 96,750,000 988 1.63%100.24% 2014 100,394 6,231,119,010 62,067 88,100,000 878 1.41%100.10% 2015 102,281 6,654,600,834 65,062 101,630,000 994 1.53%100.26% 2016 106,636 7,162,738,280 (4)67,170 116,450,000 (5)1,092 (5)1.63%(5)88.93%(6) Collection Total Percent _______________ (1)Source: The City. (2)As reported by the Brazos Central Appraisal District; subject to change during the ensuing year. (3)Payable from ad valorem taxes. Does not include self-supporting debt. See “TABLE 10 – SELF-SUPPORTING DEBT” for detail on the City’s self supported tax debt. (4)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (5)Projected, includes the Obligations and excludes the Refunded Obligations. (6)Collections as of February 29, 2016. A portion of the City’s taxpayer base has elected to provide split payments to the City which will be due in part on June 30, 2016. GENERAL FUND CONSOLIDATED STATEMENT SUMMARY 2015 2014 2013 2012 2011 BeginningBalance 20,244,248$15,925,531$16,492,693$14,393,033$(2)13,815,881$ Total Revenue 58,378,174 50,325,825 48,229,096 46,560,274 44,034,999 Total Expenditures 68,827,167 61,303,335 59,483,559 55,670,118 56,171,633 Other FinancingSources 12,627,809 15,296,227 10,687,301 11,209,504 12,713,810 EndingBalance(1)22,423,064$20,244,248$15,925,531$16,492,693$14,393,057$ For Fiscal Year Ended September 30, _______________ (1)The City’s financial policies require a General Fund balance of 15% of budgeted appropriations at year end. To the extent that the General Fund balance exceeds this amount, this surplus may be expended in future years for one time expenditures such as capital items and short term projects. (2)Restated. UTILITY SYSTEM CONDENSED STATEMENT OF OPERATIONS 2015 2014 2013 2012 2011 Revenues: Electric 98,763,293$95,677,765$92,892,541$94,396,234$98,737,655$ Water and Wastewater 28,732,968 27,550,262 29,018,108 27,652,449 29,248,180 Interest 180,423 116,433 170,062 136,974 142,700 Other 3,546,138 2,890,061 3,670,710 2,857,223 2,584,985 Total Revenues 131,222,822$126,234,521$125,751,421$125,042,880$130,713,520$ Expenses: Total Expenses 82,079,813$100,235,329$90,519,871$88,927,662$96,938,864$ Net Available for Debt Service 49,143,009$25,999,192$35,231,550$36,115,218$33,774,656$ Water (Units Served)41,540 40,768 40,767 39,338 37,565 Wastewater (Units Served)40,806 39,128 38,608 36,908 35,563 Electric (Units Served)43,471 38,198 38,456 39,123 37,829 For Fiscal Year Ended September 30, viii CITY OFFICIALS, STAFF AND CONSULTANTS ELECTED OFFICIALS Term Name Position Expiration Occupation Nancy Berry Mayor 6 Years (1)11/16 Full-time Volunteer John Nichols Mayor Pro Tem 3.5 Years (2)11/17 Retired Professor Steve Aldrich Council Member 2.5 Years (3)11/16 Financial Advisor Karl Mooney Council Member 5 Years (2)11/17 Texas A&M University Director Blanche Brick Council Member 5 Years (4)11/17 Professor Julie Schultz Council Member 5 Years (2)11/17 Business Owner James Benham Council Member 3.5 Years (4)11/17 Business Owner Length of Service _________________ (1) Elected Mayor in May 2010; former City of College Station Council Member 2004-2006. (2) Elected November 2012. (3) Elected November 2013. (4) Elected May 2011. SELECTED ADMINISTRATIVE STAFF Name Position Kelly Templin City Manager 4 Years (1) Chuck Gillman Deputy City Manager 8.5 Years (2) Jeff Kersten Assistant City Manager 25 Years (3) Jeff Capps Assistant City Manager 23 Years (4) Carla Robinson City Attorney 17.5 Years (5) Sherry Mashburn City Secretary 5.5 Years Ty Elliott Internal Auditor 8 Years Mary Ellen Leonard Director of Finance 2 Months David Coleman Director of Water Services 10.5 Years Timothy Crabb Director of Electric Utility 9.5 Years (6) Ben Roper Director of Information Technology 11.5 Years David Schmitz Director of Parks and Recreation 8 Years (7) Lance Simms Director of Development Services 20 Years (8) Donald Harmon Director of Public Works and CIP 16.5 Years (9) Alison Pond Director of Human Resources 7.5 Years Jay Socol Public Communications Director 6.5 Years Length of Service to the City _______________ (1) City Manager since November 2013; previously served as Planning & Development Director 2002-2004. (2) Deputy City Manager since January 2014; previously served as Director of Public Works and CIP. (3) Assistant City Manager since January 2014; previously served as Chief Financial Officer. (4) Assistant City Manager since June 2014; previously served as Chief of Police. (5) City Attorney since February 2011; previously served as Assistant City Attorney. (6) Director of Electric Utility since December 2012; previously served as Assistant Director of Electric Utility. (7) Director of Parks and Recreation since May 2011; previously served as Assistant Director of Parks and Recreation. (8) Director of Development Services since March 2014; previously Assistant Director of Development Services. (9) Director of Public Works and CIP since January 2014; previously Assistant Director of Public Works and CIP. CONSULTANTS AND ADVISORS Auditors ................................................................................................................................................. Ingram, Wallis & Company Bryan, Texas Bond Counsel .............................................................................................................................McCall, Parkhurst & Horton L.L.P. Dallas, Texas Financial Advisor.............................................................................................First Southwest, a Division of Hilltop Securities Inc. Houston, Texas For additional information regarding the City, please contact: Jeff Kersten Assistant City Manager City of College Station 1101 Texas Avenue College Station, Texas 77840 (979) 764-3555 Phone or Drew Masterson First Southwest, a Division of Hilltop Securities Inc. 700 Milam Street, Suite 500 Houston, Texas 77002 (713) 651-9850 Phone ix PRELIMINARY OFFICIAL STATEMENT RELATING TO CITY OF COLLEGE STATION, TEXAS (a Home-Rule City located in Brazos County, Texas) $39,640,000* GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BONDS SERIES 2016 $24,385,000* CERTIFICATES OF OBLIGATION SERIES 2016 INTRODUCTION This Official Statement, which includes the cover pages and Appendices hereto, provides certain information regarding the issuance of the $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016 (the “Bonds”) and the $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016 (the “Certificates”). The Bonds and the Certificates are referred to herein collectively as the “Obligations.” Capitalized terms used in this Official Statement, except as otherwise indicated herein, have the same meanings assigned to such terms in the ordinances authorizing the issuance of the Bonds (the “Bond Ordinance”) and the Certificates (the “Certificate Ordinance”), respectively. The Bond Ordinance and the Certificate Ordinance are collectively referred to herein as the “Ordinances.” In the Ordinances, the City Council delegated to certain officers known as “Pricing Officers” of the City the authority to finalize the pricing of the Obligations. There follows in this Official Statement descriptions of the Obligations and certain information regarding the City and its finances. All descriptions of documents contained herein are only summaries and are qualified in their entirety by reference to each such document. Copies of such documents may be obtained from the City's Financial Advisor, FirstSouthwest, a Division of Hilltop Securities Inc., Houston, Texas. DESCRIPTION OF THE CITY The City is a political subdivision and municipal corporation of the State of Texas (the “State”), duly organized and existing under the laws of the State, including the City's Home Rule Charter. The City was incorporated in October 1938, and first adopted its Home-Rule Charter in October 1938, which was last amended in November 2012. The City operates under a Council/City Manager form of government with a City Council comprised of the Mayor and six Council members. Some of the services that the City provides are: public safety (police and fire protection), highways and streets, electric, water and sanitary sewer utilities, health and social services, culture-recreation, public transportation, public improvements, planning and zoning, and general administrative services. The 2010 Census population was 93,857 and the current estimated population of the City is 106,636. The City covers approximately 51.6 square miles. PLAN OF FINANCING PURPOSE OF THE BONDS Proceeds from the sale of the Bonds will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (ii) pay for the costs of constructing and improving the City library (iii) refund certain obligations of the City described in Schedule I to this Official Statement (the “Refunded Obligations”) and (iv) pay the costs incurred in connection with the issuance of the Bonds (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). PURPOSE OF THE CERTIFICATES Proceeds from the sale of the Certificates will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric systems including distribution, transmission, system lines and wells (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith; and (iv) to pay the costs incurred in connection with the issuance of the Certificates (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). __________ * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. 1 REFUNDED OBLIGATIONS The principal of and interest due on the Refunded Obligations are to be paid on the respective interest payment dates and redemption dates of such Refunded Obligations, from funds to be deposited pursuant to a certain Escrow Agreement (the “Escrow Agreement”) between the City and The Bank of New York Mellon Trust Company, N.A., Dallas, Texas (the “Escrow Agent”). The Bond Ordinance authorizing the Bonds provides that from the proceeds of the sale of the Bonds and other available moneys of the City, if any, the City will deposit with the Escrow Agent the amount necessary to accomplish the discharge and final payment of the Refunded Obligations on their respective redemption dates. Such funds will be held by the Escrow Agent in a special escrow account (the “Escrow Fund”) and used to purchase (i) direct noncallable obligations of the United States, including obligations that are unconditionally guaranteed by the United States or (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the City adopts the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent (the “Federal Securities”). Under the Escrow Agreement, the Escrow Fund is irrevocably pledged to the payment of the principal of and interest on the Refunded Obligations. Grant Thornton LLP, a nationally recognized accounting firm, will verify at the time of delivery of the Bonds to the underwriters listed on the cover page hereof (the “Initial Purchasers”) the mathematical accuracy of the schedules that demonstrate the Federal Securities will mature and pay interest in such amounts which, together with uninvested funds, if any, in the Escrow Fund, will be sufficient to pay, when due, the principal of and interest on the Refunded Obligations.Such maturing principal of and interest on the Federal Securities will not be available to make debt service payments on the Bonds (see “OTHER INFORMATION - VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS”). By the deposit of the Federal Securities and cash, if necessary, with the Escrow Agent pursuant to the Escrow Agreement sufficient to pay the redemption price of the Refunded Obligations on their respective redemption dates, the City will have effected the defeasance of all of the Refunded Obligations in accordance with State law. As a result of such defeasance, the Refunded Obligations will be outstanding only for the purpose of receiving payments from the Federal Securities and any cash held for such purpose by the Escrow Agent and such Refunded Obligations will not be deemed as being outstanding obligations of the City payable from taxes or revenues nor for the purpose of applying any limitation on the issuance of debt. The City has covenanted in the Escrow Agreement to make timely deposits to the Escrow Fund, from lawfully available funds, of any additional amounts required to pay the principal of and interest on the Refunded Obligations, if for any reason, the cash balances on deposit or scheduled to be on deposit in the Escrow Fund are insufficient to make such payment. SOURCES AND USES OF PROCEEDS The proceeds from the sale of the Obligations, and the cash contribution by the City, will be applied approximately as follows: THE BONDS THE CERTIFICATES Sources of Funds Par Amount -$ Original Issue Premium - Issuer Contribution - Total Uses of Funds -$ Use of Funds Deposit to Project Fund -$ Deposit to Escrow Fund - Deposit to Interest and SinkingFund - Underwriters' Discount - Total Uses of Funds -$ Sources of Funds Par Amount Original Issue Premium Total Uses of Funds -$ Use of Funds Deposit to Project Fund Deposit to Interest and SinkingFund Underwriters' Discount Costs of Issuance Total Uses of Funds -$ 2 THE OBLIGATIONS GENERAL DESCRIPTION The Obligations will bear interest from the date of delivery to the Initial Purchasers, and mature on February 15 in each of the years and in the amounts shown on the inside cover page hereof. Interest on the Obligations will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. The definitive Obligations will be issued only in fully registered form in any integral multiple of $5,000 for any one maturity and will be initially registered and delivered only to Cede & Co., the nominee of The Depository Trust Company, New York, New York (“DTC”) pursuant to the Book-Entry-Only System described herein. No physical delivery of the Obligations will be made to the beneficial owners thereof. Principal of and interest on the Obligations will be payable by the Paying Agent/Registrar to Cede & Co., which will make distribution of the amounts so paid to the participating members of DTC for subsequent payment to the beneficial owners of the Obligations (see “BOOK-ENTRY-ONLY SYSTEM”). AUTHORITY FOR ISSUANCE OF THE BONDS The Bonds are being issued pursuant to the Constitution and general laws of the State of Texas, particularly Chapters 1251, 1207, 1331 and 1371, Texas Government Code, as amended; an election held November 4, 2008 passed by a majority of the participating voters; and the Bond Ordinance. AUTHORITY FOR ISSUANCE OF THE CERTIFICATES The Certificates are being issued pursuant to the Constitution and general laws of the State of Texas, particularly Chapter 1371, Texas Government Code and Subchapter C of Chapter 271, Texas Local Government Code (the Certificate of Obligation Act of 1971), as amended; and the Certificate Ordinance. SECURITY AND SOURCE OF PAYMENT The Bonds are secured by and payable from a direct and continuing annual ad valorem tax levied within the limits prescribed by law, against all taxable property in the City. The Certificates are secured by and payable from an annual continuing ad valorem taxes levied against all taxable property in the City, within the legal limits prescribed by law and payable from a subordinate lien on and pledge of $1,000 of the surplus revenues of the City’s combined utility system. TAX RATE LIMITATION All taxable property within the City is subject to the assessment, levy and collection by the City of a continuing, direct annual ad valorem tax sufficient to provide for the payment of principal of and interest on all ad valorem tax debt within the limits prescribed by law. Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home-Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. Administratively, the Attorney General of the State of Texas will permit allocation of $1.50 of the $2.50 maximum tax rate for all debt service for obligations payable from annual ad valorem property taxes, as calculated at the time of issuance. OPTIONAL REDEMPTION The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. If less than all of the Obligations are to be redeemed, the City shall determine the Obligations, or portions thereof, within such maturity to be redeemed. If Obligations (or any portion of the principal sum thereof) shall have been called for redemption and notice of such redemption shall have been given, such Obligations (or the principal amount thereof to be redeemed) shall become due and payable on such redemption date and interest thereon shall cease to accrue from and after the redemption date, provided funds for the payment of the redemption price and accrued interest thereon are held by the Paying Agent/Registrar on the redemption date. 3 MANDATORY SINKING FUND REDEMPTION In addition to the foregoing optional redemption provision, if principal amounts designated in the serial maturity schedules show on the inside cover page hereof are combined to create term bonds (the “Term Bonds”) or if principal amounts in the serial maturity schedule shown on the inside cover page hereof are combined to create term certificates (the “Term Certificates” and together with the Term Bonds the “Term Obligations”), each such Term Obligation shall be subject to mandatory sinking fund redemption commencing on February 15 of the first year which has been combined to form such Term Obligation and continuing on February 15 in each year thereafter until the stated maturity date of that Term Obligation, and the amount required to be redeemed in any year shall be equal to the principal amount for such year set forth in the Maturity Schedules herein. Term Obligations to be redeemed in any year by mandatory sinking fund redemption shall be redeemed at par and shall be selected by lot from the Term Obligations then subject to redemption. The City, at its option, may credit against any mandatory sinking fund redemption requirement Term Obligations of the maturity then subject to redemption which at least 45 days prior to the mandatory sinking fund redemption date have been purchased and canceled by the City or have been redeemed and not theretofore applied as a credit against any mandatory sinking fund redemption requirement. NOTICE OF REDEMPTION Not less than 30 days prior to a redemption date for the Obligations, the City shall cause a notice of redemption to be sent by United States mail, first class, postage prepaid, to the registered owners of the Obligations to be redeemed, in whole or in part, at the address of the registered owner appearing on the registration books of the Paying Agent/Registrar. ANY NOTICE SO MAILED SHALL BE CONCLUSIVELY PRESUMED TO HAVE BEEN DULY GIVEN, WHETHER OR NOT THE REGISTERED OWNER RECEIVES SUCH NOTICE. NOTICE HAVING BEEN SO GIVEN, THE OBLIGATIONS CALLED FOR REDEMPTION SHALL BECOME DUE AND PAYABLE ON THE SPECIFIED REDEMPTION DATE, AND NOTWITHSTANDING THAT ANY OBLIGATION OR PORTION THEREOF HAS NOT BEEN SURRENDERED FOR PAYMENT, INTEREST ON SUCH OBLIGATION OR PORTION THEREOF SHALL CEASE TO ACCRUE. With respect to any optional redemption of the Obligations, unless certain prerequisites to such redemption required by the Ordinances have been met and moneys sufficient to pay the principal of and premium, if any, and interest on the Obligations to be redeemed shall have been received by the Paying Agent/Registrar prior to the giving of such notice of redemption, such notice shall state that said redemption may, at the option of the City, be conditional upon the satisfaction of such prerequisites and receipt of such moneys by the Paying Agent/Registrar on or prior to the date fixed for such redemption, or upon any prerequisite set forth in such notice of redemption. If a conditional notice of redemption is given and such prerequisites to the redemption and sufficient moneys are not received, such notice shall be of no force and effect, the City shall not redeem such Obligations and the Paying Agent/Registrar shall give notice, in the manner in which the notice of redemption was given, to the effect that the Obligations have not been redeemed. BOOK-ENTRY-ONLY SYSTEM This section describes how ownership of the Obligations is to be transferred and how the principal of and interest on the Obligations are to be paid to and credited by the DTC while the Obligations are registered in its nominee name. The information in this section concerning DTC and the Book-Entry-Only System has been provided by DTC for use in disclosure documents such as this Official Statement. The City, the Financial Advisor and the Initial Purchasers believe the source of such information to be reliable, but take no responsibility for the accuracy or completeness thereof. The City, the Financial Advisor and the Initial Purchasers cannot and do not give any assurance that (1) DTC will distribute payments of debt service on the Obligations, or redemption or other notices, to DTC Participants, (2) DTC Participants or others will distribute debt service payments paid to DTC or its nominee (as the registered owner of the Obligations), or redemption or other notices, to the Beneficial Owners, or that they will do so on a timely basis, or (3) DTC will serve and act in the manner described in this Official Statement. The current rules applicable to DTC are on file with the Securities and Exchange Commission, and the current procedures of DTC to be followed in dealing with DTC Participants are on file with DTC. DTC will act as securities depository for the Obligations. The Obligations will be issued as fully-registered securities in the name of Cede & Co. (DTC’s partnership nominee) or such other name as may be requested by an authorized representative of DTC. One fully-registered certificate for each maturity will be issued for the Obligations, in the aggregate principal amount of such maturity, and will be deposited with DTC. DTC, the world’s largest securities depository, is a limited-purpose trust company organized under the New York Banking Law, a “banking organization” within the meaning of the New York Banking Law, a member of the Federal Reserve System, a “clearing corporation” within the meaning of the New York Uniform Commercial Code, and a “clearing agency” registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity, corporate and municipal debt issues, and money market instrument from over 100 countries that DTC’s participants (“Direct Participants”) deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities through electronic computerized book-entry transfers and pledges between Direct Participants’ accounts. This eliminates the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation (“DTCC”). DTCC is the holding company for DTC, National Securities Clearing Corporation, 4 and Fixed Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly (“Indirect Participants”). Direct Participants and Indirect Participants are referred to collectively herein as “Participants”. DTC is rated AA+ by Standard and Poor’s. The DTC Rules applicable to its Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at www.dtcc.com. Purchases of Obligations under the DTC system must be made by or through Direct Participants, which will receive a credit for such purchases on DTC's records. The ownership interest of each actual purchaser of each Obligation (“Beneficial Owner”) is in turn to be recorded on the Participants’ records. Beneficial Owners will not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected to receive written confirmations providing details of the transaction as well as periodic statements of their holdings, from the Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Obligations are to be accomplished by entries made on the books of Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in the Obligations, except in the event that use of the book-entry system described herein is discontinued. To facilitate subsequent transfers, all Obligations deposited by Direct Participants with DTC are registered in the name of DTC’s partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of DTC. The deposit of Obligations with DTC and their registration in the name of Cede & Co. or such other DTC nominee do not effect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of the Obligations; DTC’s records reflect only the identity of the Direct Participants to whose accounts such Obligations are credited, which may or may not be the Beneficial Owners. The Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of Obligations may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Obligations, such as redemptions, tenders, defaults, and proposed amendments to the Obligation documents. For example, Beneficial Owners of Obligations may wish to ascertain that the nominee holding the Obligations for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the registrar and request that copies of notices be provided directly to them. Redemption notices shall be sent to DTC. If less than all of the Obligations within a maturity in the series are being redeemed, DTC’s practice is to determine by lot the amount of the interest of each Direct Participant in such maturity to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Obligations unless authorized by a Direct Participant in accordance with DTC’s Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.’s consenting or voting rights to those Direct Participants to whose accounts Obligations are credited on the record date (identified in a listing attached to the Omnibus Proxy). Payments on the Obligations will be made to Cede & Co., or such other nominee as may be requested by an authorized representative of DTC. DTC’s practice is to credit Direct Participants’ accounts upon DTC’s receipt of funds and corresponding detail information from the City and the Paying Agent/Registrar, on payable date in accordance with their respective holdings shown on DTC’s records. Payments by Participants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in “street name,” and will be the responsibility of such Participant and not of DTC nor its nominee, the Paying Agent/Registrar, or the City, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of redemption proceeds, principal and interest payments to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the City and the Paying Agent/Registrar. Disbursement of such payments to Direct Participants will be the responsibility of DTC, and reimbursement of such payments to the Beneficial Owners will be the responsibility of Participants. DTC may discontinue providing its services as depository with respect to the Obligations at any time by giving reasonable notice to the City and the Paying Agent/Registrar. Under such circumstances, in the event that a successor depository is not obtained, Obligations are required to be printed and delivered. The City may decide to discontinue use of the system of book-entry transfers through DTC (or a successor securities depository). In that event, Obligations will be printed and delivered. Use of Certain Terms in Other Sections of this Official Statement.In reading this Official Statement it should be understood that while the Obligations are in the Book-Entry-Only System, references in other sections of this Official Statement to registered owners should be read to include the person for which the Participant acquires an interest in the Obligations, but (i) all rights of ownership must be exercised through DTC and the Book-Entry-Only System, and (ii) except as described above, notices that are to be given to registered owners under the Ordinances will be given only to DTC. 5 Information concerning DTC and the Book-Entry System has been obtained from DTC and is not guaranteed as to accuracy or completeness by, and is not to be construed as a representation by the City or the Initial Purchasers. PAYING AGENT/REGISTRAR The initial Paying Agent/Registrar is The Bank of New York Mellon Trust Company, N.A., Dallas, Texas. In each Ordinance, the City retains the right to replace the Paying Agent/Registrar. The City covenants to maintain and provide a Paying Agent/Registrar at all times until the Obligations of either series are duly paid and any successor Paying Agent/Registrar must be a bank, trust company, financial institution, or other entity duly qualified and legally authorized to serve as and perform the duties and services of Paying Agent/Registrar for the Obligations of either series. Upon any change in the Paying Agent/Registrar for the Obligations, the City will promptly cause a written notice thereof to be sent to each registered owner of the Obligations by United States mail, first class, postage prepaid, which notice will also include the address of the new Paying Agent/Registrar. TRANSFER,EXCHANGE AND REGISTRATION In the event the Book-Entry-Only System should be discontinued, the Obligations may be transferred and exchanged on the registration books of the Paying Agent/Registrar only upon presentation and surrender thereof to the Paying Agent/Registrar and such transfer or exchange will be without expense or service charge to the registered owner, except for any tax or other governmental charges required to be paid with respect to such registration, exchange and transfer. Obligations may be assigned by the execution of an assignment form on the respective Obligations or by other instrument of transfer and assignment acceptable to the Paying Agent/Registrar. New Obligations will be delivered by the Paying Agent/Registrar, in lieu of the Obligations being transferred or exchanged, at the corporate trust office of the Paying Agent/Registrar, or sent by United States mail, first class, postage prepaid, to the new registered owner or his designee. To the extent possible, new Obligations issued in an exchange or transfer of Obligations will be delivered to the registered owner or assignee of the registered owner in not more than three business days after the receipt of the Obligations to be canceled, and the written instrument of transfer or request for exchange duly executed by the registered owner or his duly authorized agent, in form satisfactory to the Paying Agent/Registrar. New Bonds or Certificates registered and delivered in an exchange or transfer will be in any integral multiple of $5,000 for any one maturity and for a like aggregate principal amount as the Obligations surrendered for exchange or transfer. See “BOOK-ENTRY-ONLY SYSTEM” herein for a description of the system to be utilized initially in regard to ownership and transferability of the Obligations. Neither the City nor the Paying Agent/Registrar will be required to transfer or exchange any Obligation called for redemption, in whole or in part, within 45 days of the date fixed for redemption; provided, however, such limitation of transfer will not be applicable to an exchange by the registered owner of the uncalled balance of an Obligation. RECORD DATE FOR INTEREST PAYMENT The record date (“Record Date”) for determining the person to whom the interest is payable on the Obligations on any interest payment date means the close of business on the last business day of the preceding month. In the event of a non-payment of interest on a scheduled payment date, and for 30 days thereafter, a new record date for such interest payment (a “Special Record Date”) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (a “Special Payment Date,” which will be 15 days after the Special Record Date) will be sent at least five days prior to the Special Record Date by United States mail, first class, postage prepaid, to the address of each Holder of a Obligation appearing on the registration books of the Paying Agent/Registrar at the close of business on the day next preceding the date of mailing of such notice. DEFEASANCE The Ordinances provide for the defeasance of the Obligations when the payment of the principal of and premium, if any, on the Obligations, plus interest thereon to the due date thereof (whether such due date be by reason of maturity, redemption, or otherwise), is provided by irrevocably depositing with a paying agency, in trust (1) money sufficient to make such payment or (2) Defeasance Securities, certified by an independent public accounting firm of national reputation to mature as to principal and interest in such amounts and at such times to insure the availability, without reinvestment, of sufficient money to make such payment, and all necessary and proper fees, compensation and expenses of the paying agent for the Obligations. The Ordinances provide that “Defeasance Securities” means (a) direct, noncallable obligations of the United States of America, including obligations that are unconditionally guaranteed by the United States of America, (b) noncallable obligations of an agency or instrumentality of the United States of America, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent, (c) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent and (d) any securities and obligations now or hereafter authorized by Texas law that are eligible to refund, retire or otherwise discharge obligations such as the Obligations. The City has additionally reserved the right, subject to satisfying the requirement of (1) and (2) above, to substitute other Defeasance Securities for the Defeasance Securities originally deposited, to reinvestment the uninvested moneys on deposit for such defeasance and to withdraw for the benefit of the City moneys in excess of the amount required for such defeasance. 6 REMEDIES OF HOLDERS OF OBLIGATIONS The Ordinances establish specific events of default with respect to the Obligations. If the City defaults in the payment of the principal of or interest on the Obligations when due or the City defaults in the observance or performance of any of the covenants, conditions, or obligations of the City, the failure to perform which materially, adversely affects the rights of the owners of the Obligations including but not limited to, their prospect or ability to be repaid in accordance with the Ordinances, and the continuation thereof for a period of 60 days after notice of such default is given by any owner to the City, the Ordinances provide that any registered owner is entitled to seek a writ of mandamus from a court of proper jurisdiction requiring the City to make such payment or observe and perform such covenants, obligations, or conditions. The issuance of a writ of mandamus may be sought if there is no other available remedy at law to compel performance of the Obligations or the Ordinances and the City's obligations are not uncertain or disputed. The issuance of a writ of mandamus is controlled by equitable principles, so rests with the discretion of the court, but may not be arbitrarily refused. There is no acceleration of maturity of the Obligations in the event of default and, consequently, the remedy of mandamus may have to be relied upon from year to year. The Ordinances do not provide for the appointment of a trustee to represent the interest of the holders of either series of the Obligations upon any failure of the City to perform in accordance with the terms of the Ordinances, or upon any other condition and accordingly all legal actions to enforce such remedies would have to undertaken of the initiative of, and be financed by, the registered owners of the Obligations. On June 30, 2006, the Texas Supreme Court ruled in Tooke v. City of Mexia,197 S.W.3d 325 (Tex. 2006) that a waiver of sovereign immunity in a contractual dispute must be provided for by statute in “clear and unambiguous” language. Because it is unclear whether the Texas legislature has effectively waived the City’s sovereign immunity from a suit for money damages, registered owners of either series of the Obligations may not be able to bring such a suit against City for breach of the Obligations of covenants contained in either Ordinance. Even if a judgment against the City could be obtained, it could not be enforced by direct levy and execution against the City’s property. Further, the registered owners cannot themselves foreclose on property within the City or sell property within the City to enforce the tax lien on taxable property to pay the principal of and interest on the Obligations. Chapter 1371 of the Texas Government Code, which pertains to the issuance of public securities by issuers such as the City, permits the City to waive sovereign immunity in the proceedings authorizing its obligations. The City has relied upon Chapter 1371 in connection with the issuance of the Obligations, but the City has not waived sovereign immunity. The City is eligible to seek relief from its creditors under Chapter 9 of the U.S. Bankruptcy Code (“Chapter 9”). Although Chapter 9 provides for the recognition of a security interest represented by a specifically pledged source of revenues, the pledge of ad valorem taxes in support of a general obligation of a bankrupt entity is not specifically recognized as a security interest under Chapter 9. Chapter 9 also includes an automatic stay provision that would prohibit, without Bankruptcy Court approval, the prosecution of any other legal action by creditors or registered owners of the Obligations of an entity which has sought protection under Chapter 9. Therefore, should the City avail itself of Chapter 9 protection from creditors, the ability to enforce would be subject to the approval of the Bankruptcy Court (which could require that the action be heard in Bankruptcy Court instead of other federal or state court); and the Bankruptcy Code provides for broad discretionary powers of a Bankruptcy Court in administering any proceeding brought before it. The opinion of Bond Counsel will note that all opinions relative to the enforceability of the Obligations are qualified with respect to the customary rights of debtors relative to their creditors, principles of sovereign immunity and by general principles of equity which permit the exercise of judicial discretion. TAX INFORMATION AD VALOREM TAX LAW The appraisal of property within the City is the responsibility of the Brazos Central Appraisal District (the “Appraisal District”). Excluding agricultural and open-space land, which may be taxed on the basis of productive capacity, the Appraisal District is required under Title 1, Texas Tax Code (referred to herein as the “Property Tax Code”) to appraise all property within the Appraisal District on the basis of 100% of its market value and is prohibited from applying any assessment ratios. In determining the market value of property, different methods of appraisal may be used, including the cost method of appraisal, the income method of appraisal and the market data comparison method of appraisal, and the method considered most appropriate by the chief appraiser is to be used. State law further limits the appraised value of a residence homestead for a tax year to an amount not to exceed the lesser of (1) the property’s market value in the most recent tax year in which the market value was determined by the Appraisal District or (2) the sum of (a) 10% of the property’s appraised value for the preceding tax year, (b) the appraised value of the property for the preceding tax year and (c) the market value of all new improvements to the property. The value placed upon property within the Appraisal District is subject to review by an Appraisal Review Board, consisting of three members appointed by the Board of Directors of the Appraisal District. The Appraisal District is required to review the value of property within the Appraisal District at least every three years. The City may require annual review at its own expense, and is entitled to challenge the determination of appraised value of property within the City by petition filed with the Appraisal Review Board. Reference is made to the Property Tax Code, for identification of property subject to taxation; property exempt or which may be exempted from taxation, if claimed; the appraisal of property for ad valorem taxation purposes; and the procedures and limitations applicable to the levy and collection of ad valorem taxes. Article VIII of the State Constitution (“Article VIII”) and State law provide for certain exemptions from property taxes, the valuation of agricultural and open-space lands at productivity value, and the exemption of certain personal property from ad valorem taxation. 7 Under Section 1-b, Article VIII, and State law, the governing body of a political subdivision, at its option, may grant: (1) An exemption of not less than $3,000 of the market value of the residence homestead of persons 65 years of age or older; (2) An exemption to the disabled from all ad valorem taxes thereafter levied by the political subdivision; and (3) An exemption of up to 20% of the market value of residence homesteads. The minimum exemption under this provision is $5,000. In addition State law mandates a complete exemption for the residential homestead of disabled veterans determined to be 100% disabled by the U.S. Department of Veterans Affairs. Further, the surviving spouse of a deceased veteran who had received a disability rating of 100% is entitled to receive a residential homestead exemption equal to the exemption received by the deceased spouse until such surviving spouse remarries. In the case of residence homestead exemptions granted under Section 1-b, Article VIII, ad valorem taxes may continue to be levied against the value of homesteads exempted where ad valorem taxes have previously been pledged for the payment of debt if cessation of the levy would impair the obligation of the contract by which the debt was created. State law and Section 2, Article VIII, mandate an additional property tax exemption for disabled veterans or the surviving spouse or children of a deceased veteran who died while on active duty in the armed forces; the exemption applies to either real or personal property with the amount of assessed valuation exempted ranging from $5,000 to a maximum of $12,000. Article VIII provides that eligible owners of both agricultural land (Section 1-d) and open-space land (Section 1-d-1), including open-space land devoted to farm or ranch purposes or open-space land devoted to timber production, may elect to have such property appraised for property taxation on the basis of its productive capacity. The same land may not be qualified under both Section 1-d and 1-d-1. Article VIII, Section 1-n of the Texas Constitution provides for an exemption from taxation for “goods-in-transit,” which are defined as (i) personal property acquired or imported into the State and transported to another location inside or outside the State, (ii) stored under a contract for bailment in public warehouses not in any way owned or controlled by the owner of the stored goods, and (iii) transported to another location inside or outside the State within 175 days of the date the property was acquired or imported into the State. The exemption excludes oil, natural gas, petroleum products, aircraft and special inventory, including motor vehicle, vessel and out-board motor, heavy equipment and manufactured housing inventory. On December 8, 2011, the Council passed an ordinance approving taxation on certain goods-in-transit. After taking such official action, the goods-in-transit remain subject to taxation by the taxing unit until the governing body of the taxing unit rescinds or repeals its previous action to tax goods-in-transit. If, however, a taxing unit took official action prior to October 1, 2011 to tax goods-in-transit and pledged the taxes imposed on the goods-in-transit for the payment of a debt, taxes may continue to be imposed on goods-in-transit until the debt is discharged, if cessation of the imposition of the tax would impair the obligation of the contract by which the debt was created. Nonbusiness personal property, such as automobiles or light trucks, are exempt from ad valorem taxation unless the governing body of a political subdivision elects to tax this property. Boats owned as nonbusiness property are exempt from ad valorem taxation. Article VIII, Section 1-j, provides for “freeport property” to be exempted from ad valorem taxation. Freeport property is defined as goods detained in Texas for 175 days or less for the purpose of assembly, storage, manufacturing, processing or fabrication. Decisions to continue to tax may be reversed in the future; decisions to exempt freeport property are not subject to reversal. The City and the other taxing bodies within its territory may agree to jointly create tax increment financing zones within the City, under which the tax values on property in the zone are “frozen” at the value of the property at the time of creation of the zone. The City also may enter into tax abatement agreements to encourage economic development. Under the agreements, a property owner agrees to construct certain improvements on its property. The City in turn agrees not to levy a tax on all or part of the increased value attributable to the improvements until the expiration of the agreement. The abatement agreement could last for a period of up to 10 years. See “- TAX ABATEMENT POLICY” for a discussion of the City’s economic development guidelines and criteria. CONSTITUTIONAL AMENDMENT In a statewide election held on September 13, 2003, voters approved an amendment to Section 1-b, Article VIII of the Texas Constitution, that authorized a county, city, town or junior college district to establish an ad valorem tax freeze on residence homesteads of the disabled and of the elderly and their spouses. City Council did not take action to establish the tax limitation. Voters within the City were authorized to submit a petition signed by five percent of the registered voters of the City requiring the City Council to call an election to determine by majority vote whether to establish the tax limitation. A petition was submitted and an election was held on May 10, 2008. The voters of College Station voted to approve the ad valorem tax freeze. The City can provide no assurances of the impact, if any, implementation of this ad valorem tax freeze may have on the City’s finances. Under the tax freeze, the total amount of ad valorem taxes imposed by the City on a homestead that receives the exemption may not be increased while it remains the residence homestead of that person or that person's spouse who is disabled or sixty-five years of age or older, except to the extent the value of the homestead is increased by improvements other than repairs. If a disabled or elderly person dies in a year in which the person received a residence homestead exemption, the total amount of ad valorem taxes imposed on the homestead by the taxing unit may not be increased while it remains the residence homestead of that person's surviving spouse if the spouse is fifty-five years of age or older at the time of the person's death. In addition, the Texas Legislature by general law may provide for the transfer of all or a proportionate amount of the tax limitation applicable to a person's homestead to be transferred to the new homestead of such person if the person moves to a different residence within the taxing unit. Once established, the governing body of the taxing unit may not repeal or rescind the tax limitation. 8 EFFECTIVE TAX RATE AND ROLLBACK TAX RATE By the later of September 30th or 60 days after the certified appraisal roll is delivered to the City, the City Council adopts a tax rate per $100 taxable value for the current year. The tax rate consists of two components: (1) a rate for funding of maintenance and operation expenditures, and (2) a rate for debt service. Under the Property Tax Code, the City must annually calculate and publicize its “effective tax rate” and “rollback tax rate”. A tax rate cannot be adopted by the City Council that exceeds the lower of the rollback tax rate or the effective tax rate until two public hearings are held on the proposed tax rate following a notice of such public hearing (including the requirement that notice be posted on the City’s website if City owns, operates or controls an internet website and public notice be given by television if the City has a free access to a television channel) and the City Council has otherwise complied with the legal requirements for the adoption of such tax rate. If the adopted tax rate exceeds the rollback tax rate the qualified voters of the City by petition may require that an election be held to determine whether or not to reduce the tax rate adopted for the current year to the rollback tax rate. “Effective tax rate” means the rate that will produce last year’s total tax levy (adjusted) from this year’s total taxable values (adjusted). “Adjusted” means lost values are not included in the calculation of last year’s taxes and new values are not included in the year’s taxable values. “Rollback tax rate” means the rate that will produce last year's maintenance and operation tax levy (adjusted) from this year's values (adjusted) multiplied by 1.08 plus a rate that will produce this year's debt service from this year's values (unadjusted) divided by the anticipated tax collection rate. The Property Tax Code provides that certain cities and counties in the State may submit a proposition to the voters to authorize an additional one-half cent sales tax on retail sales of taxable items. If the additional tax is levied, the effective tax rate and the rollback tax rate calculations are required to be offset by the revenue that will be generated by the sales tax in the current year. Reference is made to the Property Tax Code for definitive requirements for the levy and collection of ad valorem taxes and the calculation of the various defined tax rates. PROPERTY ASSESSMENT AND TAX PAYMENT Property within the City is generally assessed as of January 1 of each year. Business inventory may, at the option of the taxpayer, be assessed as of September. Effective January 1, 2012, oil and gas reserves are assessed on the basis of a valuation process that uses pricing information contained in the most recent published Early Release Overview of the Annual Energy Outlook published by the United States Energy Information Administration, as well as appraisal formulas developed by the State Comptroller of Public Accounts. Taxes become due October 1 of the same year, and become delinquent on February 15 of the following year. Taxpayers 65 years old or older are permitted by State law to pay taxes on homesteads in four installments with the first due before February 15 of each year and the final installment due before August 15. PENALTIES AND INTEREST Charges for penalties and interest on the unpaid balance of delinquent taxes are made as follows: Cumulative Cumulative Month Penalty Interest Total February 6%1%7% March 7 2 9 April 8 3 11 May 9 4 13 June 10 5 15 July 12 6 18 After July, penalty remains at 12%, and interest increases at the rate of 1% each month. In addition, if an account is delinquent in July, an amount up to 20% attorney's collection fee is added to the total tax penalty and interest charge. Under certain circumstances, taxes which become delinquent on the homestead of a taxpayer 65 years old or older incur a penalty of 8% per annum with no additional penalties or interest assessed. In general, property subject to the City's lien may be sold, in whole or in parcels, pursuant to court order to collect the amounts due. Federal law does not allow for the collection of penalty and interest against an estate in bankruptcy. Federal bankruptcy law provides that an automatic stay of action by creditors and other entities, including governmental units, goes into effect with the filing of any petition in bankruptcy. The automatic stay prevents governmental units from foreclosing on property and prevents liens for post-petition taxes from attaching to property and obtaining secured creditor status unless, in either case, an order lifting the stay is obtained from the bankruptcy court. In many cases post-petition taxes are paid as an administrative expense of the estate in bankruptcy or by order of the bankruptcy court. 9 CITY APPLICATION OF PROPERTY TAX CODE The City grants an exemption to the market value of the residence homestead of persons 65 years of age or older of $30,000. The City has not granted an additional exemption of 20% of the market value of residence homesteads. Ad valorem taxes are not levied by the City against the exempt value of residence homesteads for the payment of debt. The City does not tax nonbusiness personal property. The City does permit split payments, but discounts are not allowed. The City does collect the additional one-half cent sales tax for reduction of ad valorem taxes. The City has adopted a tax abatement policy (see “TAX INFORMATION - TAX ABATEMENT POLICY”).An election was held on May 10, 2008 and the voters of College Station approved the ad valorem tax freeze for residential homesteads for disabled and age 65 or older persons. Brazos County collects the taxes for the City. TAX ABATEMENT POLICY The City has established tax abatement guidelines and criteria for economic development prospects in the City. In order to be eligible for designation as a Reinvestment Zone and receive tax abatement, the planned improvement: 1.Must be expected to have an increased appraised ad valorem tax value of at least $1,000,000 based upon the Brazos Central Appraisal District’s assessment of the eligible property. 2.Must be expected to prevent the loss of payroll or retain, increase or create a payroll on a permanent basis in the City. The following factors among others should be considered in determining whether to grant tax abatement and, if so, the percentage of value to be abated and the duration of the tax abatement: 1.Value of land and existing improvements, if any; 2.Type and value of proposed improvements; 3.Productive life of proposed improvements; 4.Number of existing jobs to be retained by proposed improvements; 5.Number of type of new jobs to be created by proposed improvements; 6.Amount of local payroll to be created; 7.Whether persons residing or projected to reside within the City will have the opportunity to fill the new jobs being created; 8.Amount of local taxes to be generated directly; 9.Amount of property tax base valuation which will be increased during term of abatement and after abatement, which shall include a definitive commitment that such valuation shall not, in any case, be less than $1,000,000; 10.The costs to be incurred by the City to provide facilities or services directly resulting from the new improvements; 11.The amount of ad valorem taxes to be paid to the City during the abatement period considering (a) the existing values, (b) the percentage of new value abated, (c) the abatement period, and (d) the value after expiration of the abatement period; 12.The population growth of the City that occurs directly as result of new improvements; 13.The types of public improvements, if any, to be made by the applicant seeking abatement; 14.Whether the proposed improvements compete with existing businesses to the detriment of the local economy; 15.The impact on the business opportunities of existing businesses; 16.The attraction of other new businesses to the area; 17.The overall compatibility with the zoning ordinances and comprehensive plan for the area; and/or 18.Whether the project is environmentally compatible with no negative impact on quality of life perceptions. Neither a Reinvestment Zone nor abatement agreement shall be authorized if it is determined that: 1.There would be substantial adverse affect on the provision of government service or tax base; 2.The applicant has insufficient financial capacity; 3.Planned or potential use of the property would constitute a hazard to public safety, health or morals; 4.Violation of other code or laws; 5.The agreement was signed after the commencement of construction, alteration or installation of improvements related to the project; or 6.Any other reason deemed appropriate by the City Council ECONOMIC DEVELOPMENT In the fall of 2013, the College Station City Council adopted an Economic Development Master Plan. This document represents the City’s first such effort and joins the many other Master Plans, Neighborhood, Corridor, and District Plans created to aid in successful implementation of the Comprehensive Plan. The Master Plan defines the goals and objectives of the City’s economic development efforts and lays out strategies and detailed actions to achieve these goals and objectives. The plan specifically identified six strategic initiatives that the City’s economic development program area should focus its efforts on: sustain and enhance high quality of life; support and partner with Texas A&M University and the Texas A&M University System; support retail development; support and stimulate biotechnology research and advanced manufacturing; support and stimulate health and wellness market; and support and stimulate sports, entertainment, and hospitality market. 10 Furthermore, the Plan also details how the plan should be monitored and updated over time, and identifies a series of formal economic development policy guidelines that were also adopted. These guidelines state that in order to ensure the ongoing competitiveness of the community, no State authorized incentive should immediately be discounted. The Texas Constitution and multiple State statutes identify the role of economic development by both the State and its municipalities as a public purpose. While recognizing there is no standard strategy, policy, or program for economic development, the Texas Legislature has created a vast array of tools that local governments have at their disposal. The objective of these tools is to not only encourage development and diversification of the Texas economy, but to simultaneously enhance the participating community’s overall quality of life. Incentives to consider may include, but not be limited to: Chapter 380 financing; development fee rebates; enterprise zone program sponsorship; Freeport exemptions; infrastructure assistance; land transactions; delayed annexation or limited purpose annexation; special districts; reinvestment zones (tax abatement or tax increment); and fast track development process. The City and the City of Bryan, Texas have also entered into an “Interlocal Cooperation and Joint Development Agreement” (the “Interlocal Agreement”) in connection with implementing a joint economic development program known as the Joint Research Valley BioCorridor Development Project (the “Project”). Under the terms of the Interlocal Agreement, the City will make funds available to the City of Bryan, and the City of Bryan will make funds available to the City, for certain defined public infrastructure projects that are intended to enhance development of the Project. The obligations of each city under the Interlocal Agreement shall not constitute a debt for purposes of any provision of the State Constitution, and are intended to be paid from the general revenues of each city. [Remainder of Page Intentionally Left Blank] 11 TABLE 1 -VALUATION,EXEMPTIONS AND GENERAL OBLIGATION DEBT 2015/2016 Market Valuation Established by Brazos Central Appraisal District 7,389,952,525$ (excludingexempt property) Less Exemptions/Reductions at 100% Market Value: Productivity Loss 92,126,938$ Over 65 Homestead Exemptions 86,045,313 Member Armed Service SurvivingSpouse 557,000 Freeport 12,682,228 Homestead 6,085,401 Abatements 10,042,880 227,214,245 2015/2016 Taxable Assessed Valuation 7,162,738,280$(1) Debt Payable from Ad Valorem Taxes (as of 3/31/2016)(2) Certificates of Obligation, Series 2008(2)4,820,000 General Obligation Improvement Bonds, Series 2008(2)1,615,000 General Obligation RefundingBonds, Series 2009 2,525,000 Certificates of Obligation, Series 2009 18,745,000 General Obligation Improvement Bonds, Series 2009 2,270,000 General Obligation RefundingBonds, Series 2010 20,685,000 Certificates of Obligation, Series 2010 2,325,000 General Obligation Improvement Bonds, Series 2010 15,135,000 Certificates of Obligation, Series 2011 6,520,000 General Obligation Improvement Bonds, Series 2011 440,000 Certificates of Obligation, Series 2012 14,035,000 General Obligation Improvement and RefundingBonds, Series 2012 14,410,000 Certificates of Obligation, Series 2013 9,120,000 General Improvement and RefundingBonds, Series 2013 16,715,000 Certificates of Obligation, Series 2014 30,980,000 General Improvement and RefundingBonds, Series 2014 30,810,000 The Bonds*39,640,000 The Certificates*(3)24,385,000 255,175,000 Less: Self SupportingDebt (4)138,725,000$ Less: Interest and SinkingFund as of 9/30/2015 2,814,048 Net Debt Payable from Ad Valorem Taxes 113,635,952$ Ratio of Net Debt Payable from Ad Valorem Taxes to Taxable Assessed Valuation(5)1.59% Per Capita Taxable Assessed Valuation - $67,170 Per Capita Net Funded Debt - $1,066 (5) 2016 Estimated Population - 106,636 * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (2)Excludes the Refunded Obligations. (3)A portion of the Certificates will be internally allocated by the City as being payable from the surplus revenues from the respective enterprise funds. Approximately $6,895,000 of the proceeds of the Certificates will pay for improvements to the City’s water system. The debt service on this portion of the Certificates will be internally allocated by the City as being payable from the surplus revenues from the respective enterprise funds. Although the City expects to pay for this portion of the Certificates with surplus enterprise funds, the Certificates are secured solely by a pledge of ad valorem taxes and by a pledge of combined utility system surplus net revenues limited to $1,000. See “THE OBLIGATIONS- SECURITY AND SOURCE OF PAYMENT.” There is no guarantee that payments from these enterprise funds will be made. If payments are not made from the enterprise funds, the City will be required to levy ad valorem taxes in amounts sufficient to make such payments. (4)In the past, the City has sold certificates of obligation to finance projects for the City’s water and sewer system, and electric system and has internally allocated portions of this debt as payable from the respective enterprise funds. The self-supporting amounts listed above are projections of debt that is expected to be retired by the City based on actual historical payments from these funds to pay for debt service the outstanding certificates of obligation. There is no guarantee that payments from these funds will continue in the future. Includes a portion of the Obligations. See “DEBT INFORMATION – TABLE 10 – SELF SUPPORTING DEBT.” (5)Net of Interest and Sinking Fund as of September 30, 2015. 12 TABLE 2 -TAXABLE ASSESSED VALUATIONS BY CATEGORY Taxable Appraised Value, Fiscal Year EndingSeptember 30, 2016 2015 % of % of % of Category Amount Total Amount Total Amount Total Real, Residential, Single-Family 3,942,774,761$53.35%3,657,836,541$53.15%3,449,698,417$53.49% Real, Residential, Multi-Family 1,326,289,539 17.95%1,296,417,661 18.84%1,121,645,054 17.39% Real, Vacant Lots/Tracts 142,089,823 1.92%141,077,944 2.05%142,441,840 2.21% Real, Acreage (Land Only)92,882,946 1.26%109,675,903 1.59%111,056,120 1.72% Real, Farm and Ranch Improvements 108,202,479 1.46%74,289,622 1.08%76,318,782 1.18% Real, Commercial/Industrial 1,330,864,915 18.01%1,204,879,922 17.51%1,159,961,447 17.99% Real, Oil, Gas & Other Mineral Reserves 10,793,941 0.15%3,227,032 0.05%3,329,602 0.05% Real and Tangible Personal, Utilities 30,944,850 0.42%37,673,140 0.55%35,261,190 0.55% Tangible Personal, Business 369,625,180 5.00%330,937,290 4.81%318,648,040 4.94% Tangible Personal, Other 2,024,340 0.03%2,096,570 0.03%2,138,640 0.03% Real Property Inventory 17,672,671 0.24%13,256,668 0.19%18,049,612 0.28% Special Inventory 15,787,080 0.21%10,534,560 0.15%10,293,530 0.16% Exempt Property Adjustment -0.00%-0.00%-0.00% Total Appraised Value Before Exemptions 7,389,952,525$100.00%6,881,902,853$100.00%6,448,842,274$100.00% Less: Total Exemptions/Reductions 227,214,245 227,302,019 217,723,264 Taxable Assessed Value 7,162,738,280$6,654,600,834$6,231,119,010$ 2012 % of % of Category Amount Total Amount Total Real, Residential, Single-Family 3,277,087,380$53.12%3,169,329,494$53.29% Real, Residential, Multi-Family 1,070,207,772 17.35%996,353,707 16.75% Real, Vacant Lots/Tracts 118,939,480 1.93%115,085,384 1.93% Real, Acreage (Land Only)171,879,670 2.79%183,146,931 3.08% Real, Farm and Ranch Improvements 22,726,592 0.37%18,078,677 0.30% Real, Commercial/Industrial 1,121,943,869 18.19%1,088,046,209 18.29% Real, Oil, Gas & Other Mineral Reserves 5,391,913 0.09%5,982,912 0.10% Real and Tangible Personal, Utilities 35,139,050 0.57%39,148,700 0.66% Tangible Personal, Business 309,881,970 5.02%298,432,950 5.02% Tangible Personal, Other 2,217,020 0.04%2,232,990 0.04% Real Property Inventory 23,728,660 0.38%23,307,800 0.39% Special Inventory 8,851,423 0.14%8,004,300 0.13% Exempt Property Adjustment 794,503 0.01%449,950 0.01% Total Appraised Value Before Exemptions 6,168,789,302$100.00%5,947,600,004$100.00% Less: Total Exemptions/Reductions 224,476,315 208,985,002 Taxable Assessed Value 5,944,312,987$5,738,615,002$ Taxable Appraised Value, Fiscal Year EndingSeptember 30, 2013 2014 NOTE: Valuations shown are certified taxable assessed values reported by the Brazos Central Appraisal District to the State Comptroller of Public Accounts. Certified values are subject to change throughout the year as contested values are resolved and the Appraisal District updates records. 13 TABLE 3 -VALUATION AND GENERAL OBLIGATION DEBT HISTORY Ratio of Net Fiscal Taxable G.O. TaxDebt Year Taxable Assessed to Taxable Net G.O. Ended Estimated Assessed Valuation Net G.O.Assessed TaxDebt 9/30 Population(1)Valuation(2)Per Capita TaxDebt (3)Valuation(4)Per Capita 2011 94,669 5,455,432,461$57,626$99,140,000$1.82%1,047$ 2012 97,888 5,738,615,002 58,624 96,390,000 1.68%985 2013 97,929 5,944,312,987 60,700 96,750,000 1.63%988 2014 100,394 6,231,119,010 62,067 88,100,000 1.41%878 2015 102,281 6,654,600,834 65,062 101,630,000 1.53%994 2016 106,636 7,162,738,280 (4)67,170 116,450,000 (5)1.63%(5)1,092 (5) (1)Source: The City. (2)As reported by the Brazos Central Appraisal District; subject to change during the ensuing year. (3)Payable from ad valorem taxes. Does not include self-supporting debt. (4)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (5)Projected, includes the Obligations and excludes the Refunded Obligations. Preliminary, subject to change. TABLE 4 -TAX RATE,LEVY AND COLLECTION HISTORY Fiscal Year General Interest and % Current % Total Ended 9/30 TaxRate Fund SinkingFund TaxLevy Collections Collections 2011 0.4475$0.2273$0.2202$24,304,840$99.31%99.76% 2012 0.4380 0.2365 0.2015 25,043,183 99.10%99.83% 2013 0.4307 0.2351 0.1956 25,518,199 99.50%100.24% 2014 0.4260 0.2329 0.1931 26,422,760 99.47%100.10% 2015 0.4525 0.2594 0.1931 29,800,811 99.64%100.26% 2016 0.4525 0.2594 0.1931 32,052,205 87.96%(1)88.93%(1) (1)Collections as of February 29, 2016. TABLE 5 -TEN LARGEST TAXPAYERS 2015/2016 % of Total Taxable Taxable Nature Assessed Assessed Name of Taxpayer of Property Valuation Valuation CPP College Station I LLC Apartments 61,098,101$0.85% Post Oak Mall - College Station, LLC Retail 57,221,280 0.80% Woodridge College Station I LLC Retail 56,772,000 0.79% College Station Hospital L.P.Medical 56,768,410 0.79% SHP - The Callaway House LP Apartments 51,790,840 0.72% BVP 2818 Place LP Apartments 44,260,419 0.62% Culpepper Family L.P.Housing 42,526,770 0.59% Weinberg, Isreal & David Alkosser Housing 42,274,060 0.59% Jamespoint Management Housing 41,841,798 0.58% CVCS LLC Housing 39,917,880 0.56% 494,471,558$6.90% GENERAL OBLIGATION DEBT LIMITATION . . . No general obligation debt limitation is imposed on the City under current State law or the City's Home Rule Charter (see “THE OBLIGATIONS - TAX RATE LIMITATION”). 14 TABLE 6 -TAX ADEQUACY Net Maximum TaxSupported Principal and Interest Requirements (2017)…………………………………………………………………………………………….14,240,956$(1) $0.20083 TaxRate at 99% Collection Produces ……………………………………………………………………………………………………………………………………….14,241,078$ Net Average TaxSupported Principal and Interest Requirements (2016-2036)……………………………………………………………………………………….8,583,663$(1) $0.12105 TaxRate at 99% Collection Produces ……………………………………………………………………………………………………………………………………….8,583,790$ (1)Includes the Obligations and excludes the Refunded Obligations and self supporting debt. Interest has been estimated for the purpose of illustration. Preliminary, subject to change. TABLE 7 -ESTIMATED OVERLAPPING DEBT Expenditures of the various taxing entities within the territory of the City are paid out of ad valorem taxes levied by such entities on properties within the City. Such entities are independent of the City and may incur borrowings to finance their expenditures. This statement of direct and estimated overlapping ad valorem tax debt (“Tax Debt”) was developed by the City from information obtained from the Brazos Central Appraisal District. Except for the amounts relating to the City, the City has not independently verified the accuracy or completeness of such information, and no person should rely upon such information as being accurate or complete. Furthermore, certain of the entities listed may have issued additional debt since the date hereof, and such entities may have programs requiring the issuance of substantial amounts of additional debt, the amount of which cannot be determined. The following table reflects the estimated share of overlapping Tax Debt of the City. City's Total Estimated Overlapping 2014/2015 Taxable 2016 TaxDebt as %TaxDebt as Assessed Value TaxRate of 3/31/2016 Applicable of 3/31/2016 City of College Station 7,162,738,280$(1)0.4525 116,450,000$(2)100.00%116,450,000$ Brazos County 14,654,550,499 0.4850 92,090,000 47.07%43,346,763 Bryan ISD 5,824,326,908 1.3500 160,105,000 2.05%3,282,153 College Station ISD 7,188,844,733 1.3630 325,805,000 88.50%288,337,425 Total Direct and OverlappingFunded TaxDebt 451,416,341$ Ratio of Direct and OverlappingFunded TaxDebt to Taxable Assessed Valuation 6.302% Per Capita OverlappingFunded TaxDebt 4,233$ Source: Municipal Advisory Council of Texas. (1)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal. This amount is subject to change during ensuing year. (2)Projected, includes the Obligations and excludes self supporting debt. Preliminary, subject to change. 15 DEBT INFORMATION TABLE 8 -PRO-FORMA AD VALOREM TAX DEBT SERVICE REQUIREMENTS* Total Net Year Total Less: The Less:TaxSupported End Outstanding Refunded Self-Supporting Debt Service 9/30 Debt Obligations*Principal Interest (1)Total Principal Interest (1)Total Debt Service(2)Requirements(2) 2016 28,338,794$515,966$184,644$184,644$15,584,612$12,422,860$ 2017 27,672,525 2,609,395 2,540,000$1,636,400 4,176,400 915,000$1,118,017$2,033,017$17,031,591 14,240,956 2018 25,615,438 2,088,608 2,135,000 1,589,650 3,724,650 1,045,000 985,700 2,030,700 16,060,276 13,221,904 2019 23,865,358 1,213,983 1,400,000 1,547,300 2,947,300 1,065,000 959,275 2,024,275 15,358,101 12,264,849 2020 23,887,479 1,210,826 1,450,000 1,504,550 2,954,550 1,100,000 926,800 2,026,800 15,418,633 12,239,371 2021 22,447,027 2,994,392 3,110,000 1,420,600 4,530,600 1,145,000 887,400 2,032,400 15,043,181 10,972,454 2022 20,108,460 3,021,170 3,270,000 1,293,000 4,563,000 1,195,000 840,600 2,035,600 13,096,369 10,589,521 2023 19,149,674 3,041,458 3,430,000 1,159,000 4,589,000 1,240,000 791,900 2,031,900 12,108,683 10,620,434 2024 18,437,941 3,050,386 3,605,000 1,000,275 4,605,275 1,300,000 734,600 2,034,600 11,787,076 10,240,354 2025 16,719,956 3,066,283 3,815,000 814,775 4,629,775 1,365,000 667,975 2,032,975 11,240,756 9,075,667 2026 15,475,974 3,079,895 4,030,000 618,650 4,648,650 1,435,000 597,975 2,032,975 10,625,236 8,452,467 2027 13,294,013 3,096,004 4,260,000 411,400 4,671,400 1,015,000 536,725 1,551,725 9,262,864 7,158,271 2028 12,874,992 2,639,663 2,690,000 237,650 2,927,650 1,065,000 484,725 1,549,725 7,955,537 6,757,167 2029 10,276,820 415,000 160,025 575,025 1,120,000 430,100 1,550,100 6,872,452 5,529,493 2030 8,079,523 440,000 138,650 578,650 1,180,000 372,600 1,552,600 4,971,779 5,238,994 2031 6,415,905 460,000 118,450 578,450 1,235,000 318,400 1,553,400 4,756,324 3,791,431 2032 5,822,894 475,000 99,750 574,750 1,280,000 268,100 1,548,100 4,159,019 3,786,725 2033 4,407,100 495,000 80,350 575,350 1,335,000 215,800 1,550,800 2,992,563 3,540,688 2034 3,073,938 515,000 60,150 575,150 1,390,000 161,300 1,551,300 2,254,400 2,945,988 2035 540,000 39,050 579,050 1,450,000 104,500 1,554,500 434,100 1,699,450 2036 565,000 14,125 579,125 1,510,000 37,750 1,547,750 430,500 1,696,375 305,963,808$31,628,026$39,640,000$13,943,800$53,583,800$24,385,000$11,440,242$35,825,242$197,444,052$166,485,416$ The Bonds*The Certificates* * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)Interest has been estimated at current market rates for the purpose of illustration. (2)In the past, the City has sold certificates of obligation to finance projects for the City’s water and sewer system, and electric system and has internally allocated portions of this debt as payable from the respective enterprise funds. The self-supporting amounts listed above are projections of debt that is expected to be retired by the City based on actual historical payments from these funds to pay for debt service the outstanding certificates of obligation. There is no guarantee that payments from these funds will continue in the future. Includes a portion of the Obligations. See “TABLE 10 –SELF SUPPORTING DEBT”and the accompanying footnotes. 16 TABLE 9 -INTEREST AND SINKING FUND BUDGET PROJECTION Total Net TaxSupported Debt Service Requirements, Fiscal Year EndingSeptember 30, 2016(1)12,422,860$ Interest and SinkingFund, September 30, 2015(2)2,814,048$ Calcuated Interest and SinkingFund TaxLevy @ 99% Collection 13,689,531 Budgeted Investment Earnings 20,000 Budgeted Transfers 363,101 16,886,680 Estimated Balance, September 30, 2016 4,463,820$ __________ (1) Excludes self-supporting debt. Includes the Obligations and excludes the Refunded Obligations. Preliminary, subject to change. (2) The outstanding portion of the Certificates of Obligation, Series 2009, supported by the Convention Center, have been paid for in full as one transfer in the amount of 157,979.48 to the Interest and Sinking Fund.That amount will be used to pay off future payments of the Certificates of Obligation, Series 2009 supported by the Convention Center. TABLE 10 –SELF-SUPPORTING DEBT* Year Total End Electric Wastewater Water Convention Parking Self-Supporting 9/30 Fund(1)Fund (2)Fund(3)Center(4)Landfill(5)Garage(6)Debt Service (7) 2016 5,884,732$4,225,974$4,594,047$9,374$406,560$463,925$15,584,612$ 2017 5,916,639 4,498,056 5,743,687 43,599 359,135 470,475 17,031,591 2018 5,784,964 4,177,181 5,499,060 12,724 361,610 224,738 16,060,276 2019 5,615,608 3,874,363 5,269,848 12,361 363,448 222,475 15,358,101 2020 5,636,479 3,889,784 5,296,560 7,074 364,335 224,400 15,418,633 2021 5,608,645 3,839,243 5,223,885 6,874 364,535 -15,043,181 2022 5,581,263 2,940,113 4,203,985 6,674 364,335 -13,096,369 2023 5,356,492 2,596,498 3,785,657 6,471 363,566 -12,108,683 2024 5,016,020 2,583,513 3,814,341 6,261 366,941 -11,787,076 2025 4,701,130 2,327,958 3,837,254 6,030 368,385 -11,240,756 2026 4,440,303 2,329,490 3,480,854 5,793 368,798 -10,625,236 2027 3,873,602 2,112,209 2,902,201 5,568 369,285 -9,262,864 2028 3,713,298 1,736,133 2,136,554 5,343 364,210 -7,955,537 2029 3,261,339 1,585,081 1,652,636 5,115 368,280 -6,872,452 2030 2,296,493 1,589,755 1,085,531 ---4,971,779 2031 2,103,384 1,568,565 1,084,375 ---4,756,324 2032 1,746,850 1,335,669 1,076,500 ---4,159,019 2033 1,196,288 924,275 872,000 ---2,992,563 2034 599,625 779,000 875,775 ---2,254,400 2035 --433,975 ---433,975 2036 --431,375 ---431,375 78,333,152$48,912,857$63,300,100$139,258$5,153,423$1,606,013$197,444,802$ ______________ * Preliminary, subject to change. (1)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2009, Series 2010, Series 2011, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012 and Series 2013, Series 2014. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (2)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2010, Series 2011, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012, Series 2013, Series 2014 and a portion of the Obligations. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (3)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2008, Series 2009, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012, Series 2013, Series 2014 and a portion of the Obligations. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (4)Includes a portion of the City’s Certificates of Obligation, Series 2009. The City has transferred to the Interest and Sinking Fund $157,979.48 from the Convention Center fund to pay the debt service shown in this column. (5)Includes a portion of the City's Certificates of Obligation, Series 2009. (6)Includes a portion of the City’s General Obligation Refunding Bonds, Series 2009. (7)The debt service described in this table is general obligation debt for which repayment is provided from revenues from other sources. It is the City’s current policy to provide these payments from such sources. There is no assurance that the use of these sources to make these payments will continue in the future. If payments are not made from such sources in the future, the difference will be paid for with ad valorem taxes 17 TABLE 11 -AUTHORIZED BUT UNISSUED TAX BONDS Date of Amount Issued Authorization Purpose Authorized To Date The Bonds Unissued 1/24/1984 (1)Fire Substation Building 700,000$-$-$700,000$ 1/24/1984 (1)Street Improvements 6,325,000 5,825,000 -500,000 11/4/2003 Municipal ComplexImprovements 7,610,000 3,955,000 -3,655,000 11/4/2008 Street Improvements 48,785,000 30,495,000 4,600,000 13,690,000 11/4/2008 Library Improvements 8,385,000 500,000 4,185,000 3,700,000 11/4/2008 Park Improvements 12,790,000 12,145,000 -645,000 84,595,000$52,920,000$8,785,000$22,890,000$ _______________ (1) Contains projects which may have been completed or abandoned; therefore, the remaining authorized but unissued bonds are not likely to ever be issued. ANTICIPATED ISSUANCE OF GENERAL OBLIGATION DEBT The City has no firm plans for the issuance of additional general obligation debt payable from ad valorem taxes within the next twelve months. OTHER OBLIGATIONS Currently, the City has no outstanding capital leases or loans. PENSION FUND The City provides pension benefits for all of its full-time employees through the Texas Municipal Retirement System (“TMRS”), a State-wide administered pension plan. The City makes annual contributions to the plan equal to the amounts accrued for pension expense. (For more detailed information concerning the retirement plan, see “APPENDIX B - EXCERPTS FROM THE ANNUAL FINANCIAL REPORT” - Section V - Note D.) The City recently received the contribution rates for Plan Year 2015 from TMRS as determined by the December 31, 2013 actuarial valuation. The City’s contribution rate for January 1, 2015 will be 13.22%. On September 13, 2012, Council approved revisions to the City's TMRS Ordinance. The revisions include a reduction in the updated service credits (USC) for current employees and a reduction in the Annuity Increase Cost of Living Adjustment (COLA) for retirees. The City's contributions rate of 13.53% became effective January 1, 2014. The funding status as of December 31, 2014 is as follows: 12/31/2014 Actuarial Value of Assets 202,844,913$ Actuarial Accrued Liability (AAL)233,670,897 Percent of Pension Benefit Obligation 86.81% Unfunded Actuarial Accrued Liability (UAAL)30,825,984$ Annual Covered Payroll 47,235,101 Percent of Covered Payroll 65.26% Estimated Employer Contribution 6,036,646$ OTHER POST EMPLOYMENT BENEFITS PROGRAM DESCRIPTION ...In addition to pension benefits, as required by state laws and defined by City policy, the City makes available postretirement medical, dental, vision, drug and life insurance benefits to all employees who meet TMRS retirement qualifications, retire from the City and who enroll themselves and their eligible dependent(s) on or before the effective date of their retirement through the City’s single-employer defined benefit other post-employment benefit (OPEB) plan. The life insurance plan provides a $10,000 fully insured death benefit coverage upon retirement which ceases upon attainment of age 65 for retirees. So long as monthly premium payments are made, the healthcare plan provides insurance to eligible retirees, their spouses and dependents through the City’s group health insurance plan, which covers both active and retired members, until attainment of age 65. Benefit provisions as well as retiree premium contributions are established by management. 18 The City determines the employer and participant contribution rates annually based on recommendations of City staff and the City’s consultant. All medical, dental, vision and drug care benefits are provided through the City’s self-insured health plan. The benefit levels are the same as those afforded to active employees. Life insurance for eligible retirees is paid entirely by the City. During fiscal year 2015, 52 former employees were covered under this arrangement, with claims totaling -$434,136. ANNUAL OPEB COST AND NET OPEB OBLIGATION ...The City’s annual OPEB cost is based on the annual required contribution (ARC) of the City, an amount actuarially determined in accordance with the parameters of GASB Statement 45. Despite the apparent implications of the term ARC, the City is not required to contribute the ARC to the plan each year, Instead, the ARC provides a basis for evaluating whether the City’s contributions for OPEB are adequate to fund the benefits during the working lifetime of current employees (i.e., the normal cost) and to amortize existing unfunded obligations (i.e., the obligations for current retirees plus that portion of the current employees’ obligations that are attributed to past service) in a systematic manner over the amortization period prescribed by GASB. The annual OPEB cost is the annual accounting expense recorded on the City’s Statement of Revenues, Expenses and Changes in Net Assets and on the City’s Statement of Activities. The annual OPEB cost is equal to (1) the ARC for the current fiscal year, plus (2) interest on the Net OPEB Obligation at the beginning of the year, reduced by (3) an adjustment to the ARC which is equal to an amortization of the beginning of the year Net OPEB Obligation. 2013 2014 2015 Annual Required Contribution (ARC)1,449,844$1,449,844$1,810,895$ Interest on Net OPEB Obligations 333,710 397,569 400,494 Adjusted to the ARC (413,492)(492,618)(522,847) Annual OPEB Cost 1,370,062 1,354,795 1,688,542 Contributions Made (92,888)(406,326)(434,136) Increase in net OPEB obligation 1,277,174$948,469$1,254,406$ Net OPEB Obligation, beginningof year 6,674,204 7,951,378 8,899,847 Net OPEB Obligation, end of year 7,951,378$8,899,847$10,154,253$ Percentage Fiscal Annual Actual of Annual Year OPEB Contribution OPEB Cost Net OPEB Ended 9/30 Costs Made Contribution Obligation 2013 1,370,062 92,888 6.78%7,951,378 2014 1,354,795 406,326 29.99%8,899,847 2015 1,688,542 434,136 25.71%10,154,253 Three-Year Trend Information Generally, the Net OPEB Obligation is the cumulative difference since the effective date of GASB 45 between the annual OPEB cost and the employer’s contributions to the plan including the OPEB liability/(asset) at transition, if any. Whenever the City contributes an amount less than the annual OPEB cost, this shortfall will increase the City’s Net OPEB Obligation. ACTUARIAL METHODS AND ASSUMPTIONS ...Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future. Actuarially determined amounts are subject to continual revision as actual results are compared to past expectations and new estimates are made about the future. The required schedule of funding progress immediately following the notes to the financial statements presents multi-year trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. GASB No. 45 calculations are based on the types of benefits provided under the terms of the substantive plan at the time of each valuation and on the pattern of sharing of costs between the employer and plan participants to that point. In addition, the projection of benefits for financial reporting purposes does not explicitly incorporate the potential effects of legal or contractual funding limitations on the pattern of cost sharing between the employer and plan participants in the future. Actuarial calculations reflect a long-term perspective. In addition, consistent with that perspective, actuarial methods and assumptions used in developing the amounts in this report include techniques that are designed to reduce short-term volatility in actuarial accrued liabilities. 19 The required contribution rates were determined as part of the October 1, 2014 actuarial valuation. Significant methods and assumptions follow: Actuarial valuation date 10/1/2014 Asset Valuation Method:Market Actuarial Cost Method:Projected Unit Credit Actuarial Assumption: Investment Rate of Return*4.50% *Includes Inflation at:3.50% Projected Salary Increases N/A Annual Healthcare Trend Rates:8.00% in FYE 2015 declining to 5.25% in FYE 2021 Amortization Method:Level Dollar RemainingAmortization Period:30 year open period FUNDING STATUS AND FUNDING PROGRESS ...The Schedule of Funding Progress presents information as of the current valuation date and the two preceding valuation dates. As of the date of this financial statement, the City has had three valuations Unfunded Annual UAAL as Actuarial Actuarial Actuarial Actuarial Covered Percentage of Valuation Value of Accrued Liability Funded Accrued Payroll Covered Date Assets (AAL)Ratio Liability (AAL)(Fiscal Year)Payroll 10/1/2010 -$9,356,116$0.00%9,356,116$42,298,776$22.12% 10/1/2012 -10,897,037 0.00%10,897,037 44,000,000 24.77% 10/1/2014 -15,013,856 0.00%15,013,856 44,000,000 34.12% There are factors that affect the ability to compare amounts reported from one actuarial valuation date to the next. The assumptions that have been changed since the previous valuation are: -the Discount Rate has been updated to reflect changes in the allocation of assets of the employer and the expected return on such assets; -the Assumed Per Capita Health Benefit Costs and Assumed Expenses for retirees and dependents have been updated to reflect changes in claims and expense expectations; and -the Health Benefit Cost Trend and Expense Trend have been updated to reflect changes in short-term expectations of the annual rate of increase of the Assumed Per Capita Health Benefit Costs. The City has had three separate valuations, one of which used the October 1, 2010 valuation date, October 1, 2012 and October 1, 2014 valuation date. The October 1, 2010 valuation date was used to develop results for the fiscal year ending September 30, 2012, the October 1, 2012 valuation date was used to develop results for the fiscal years ending September 30, 2013 and 2014. The plan was changed effective January 1, 2012 to eliminate post-65 medical coverage and was changed effective January 1, 2013 to eliminate one of the PPO benefit options. While the plan typically undergoes a biennial valuation, pursuant to paragraph 12 of GASB 45, a new valuation must be performed if there are significant changes to the plan since the previous valuation. The October 1, 2014 valuation date was used to develop results for the fiscal years ending September 30, 2015 and 2016, as part of the plan’s biennial valuation. 20 FINANCIAL INFORMATION TABLE 12 -GENERAL FUND REVENUES AND EXPENDITURE HISTORY 2015 2014 2013 2012 2011 Revenues: Taxes 46,750,120$41,951,522$39,654,465$37,527,211$35,236,521$ Licenses & Permits 1,500,777 1,424,598 1,238,967 1,496,424 1,054,986 Intergovernmental 355,083 189,103 469,783 520,948 589,326 Charges for Services 3,572,684 2,987,778 2,605,519 2,296,105 2,539,881 Fines, Forfeits and Penalties 2,693,647 3,038,926 3,252,418 3,636,209 3,823,406 Investment Income 116,074 66,264 88,198 88,684 92,017 Rents & Royalties 136,228 542,816 650,407 686,729 589,528 Contributions 1,251 11,016 56,990 20,168 33,995 Other 3,252,310 113,802 212,349 287,796 75,339 Total Revenues 58,378,174$50,325,825$48,229,096$46,560,274$44,034,999$ Expenditures: General Government 4,853,358$5,108,448$3,825,760$4,189,987$5,021,221$ Fiscal Services 3,314,990 3,029,566 2,970,342 2,871,677 2,997,993 Police Department 18,533,889 17,080,568 16,515,820 15,465,837 14,890,520 Fire Department 14,881,983 13,585,022 13,297,527 12,578,396 11,444,702 Planning& Development Services 3,106,143 2,867,857 3,505,029 3,523,742 3,298,725 Parks and Recreation 8,194,670 4,596,645 4,463,535 4,329,869 6,602,097 Information Technology 4,112,987 4,207,305 4,271,209 3,844,107 648,589 Public Works 9,156,069 7,611,303 6,519,248 5,884,577 5,021,642 Library Services 1,138,568 1,078,851 994,476 1,072,551 3,901,721 Claims ----1,061,581 Contributions 1,187,500 1,184,115 1,086,012 937,813 - Other 217,114 222,034 1,300,627 183,530 736,192 Capital Improvement Projects 129,896 731,621 733,974 788,032 - Total Expenditures 68,827,167$61,303,335$59,483,559$55,670,118$56,171,633$ Other FinancingSources (Uses): Sale of General Fixed Assets 8,974,205$4,582,111$-$-$8,690$ OperatingTransfers In 15,094,866 15,158,581 14,664,450 15,539,293 16,065,942 OperatingTransfers Out (11,441,262)(4,444,465)(3,977,149)(4,329,789)(3,360,822) Total Other FinancingSources (Uses)12,627,809$15,296,227$10,687,301$11,209,504$12,713,810$ Net Change in Fund Balance 2,178,816$4,318,717$(567,162)$2,099,660$577,176$ Fund Balance, Beginningof Year 20,244,248 15,925,531 16,492,693 14,393,033 (1)13,815,881 Fund Balance, End of Year 22,423,064$20,244,248$15,925,531$16,492,693$14,393,057$ Fiscal Year Ended September 30, Source: The City’s audited financial statements. (1)Restated. 21 TABLE 13 -MUNICIPAL SALES TAX HISTORY The City has adopted the Municipal Sales and Use Tax Act, Texas, Tax Code, Chapter 321, which grants the City the power to impose and levy a 1% Local Sales and Use Tax within the City; the proceeds are credited to the General Fund and are not pledged to the payment of the Obligations. Collections and enforcements are effected through the offices of the Comptroller of Public Accounts, State of Texas, who remits the proceeds of the tax, after deduction of a 2% service fee, to the City monthly. In May 1990, the voters of the City approved the imposition of an additional sales and use tax of one-half of one percent (½ of 1%) for property tax reduction. The total sales tax rate for the City is 1.5%. Fiscal Year % of Equivalent of Ended Total Ad Valorem Ad Valorem Per 9/30 Collected (1)TaxLevy TaxRate Capita(2) 2010 19,328,577$81.82%0.36$206$ 2011 20,292,871 83.49%0.37 214 2012 21,498,319 85.84%0.38 220 2013 23,064,035 90.38%0.39 236 2014 24,565,649 92.97%0.40 245 2015 26,687,963 89.55%0.41 261 (1)Provided by the City. (2)Based on population estimates provided by the City. FINANCIAL POLICIES Basis of Accounting . . .The accounts of the City are organized and operated on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. Government funds are used to account for the City’s general government activities. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. General Fund . . . The General Fund is the City’s primary operating fund. It is used to account for all activities typically considered governmental functions of the City. These include Public Safety, Public Works, Parks and Recreation, Economic and Planning and Development Services, the support functions for these areas, and the administrative functions for the City. The General Fund for the 2015-2016 fiscal year is influenced by current policies and any approved policy changes. The policies include inter-fund equity; maintaining a balance between revenues and expenditures; and maintaining the level of service currently provided as the City experiences residential and commercial growth. The City’s financial policies are for a General Fund balance of 15% of budgeted appropriations at year end. To the extent that the General Fund balance exceeds this amount, this surplus is to be expended in future years for one time expenditures such as capital items and short term projects. Debt Service Fund . . .The Debt Service Fund accounts for the servicing of general long-term debt not being financed by proprietary or nonexpendable trust funds. It is the City’s policy to maintain at least 8 1/3% of annual appropriated expenditures for debt service and any associated fees as the Debt Service Fund balance at fiscal year end. The City is in compliance with that policy. Budgetary Procedures . . .Prior to September 1, the City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following October 1. The operating budget includes proposed expenditures and the means of financing them. All budget requests are compiled by the Finance Department and presented with comparative and supporting data to the Mayor and City Council for review. Public hearings are properly advertised and conducted at City Hall for taxpayer comments. Prior to September 27, the budget is legally enacted through passage of an ordinance. The City Council must approve all transfers of budgeted amounts between departments within any fund and any revision that alters the total expenditure of any fund. An amount is also budgeted each year for contingencies which may arise. 22 THE COMBINED UTILITY SYSTEM WATERWORKS SYSTEM Since December 1981, the City has had the capability to produce and deliver 100% of its water. The system has been expanded to a system of nine wells, with a combined capacity of 29 million gallons per day. The water is delivered to the distribution system by 14 miles of 30- inch diameter and 36 inch diameter pipeline and two pumping stations. These pipelines will be fully redundant once TxDoT completes the Villa Maria / 2818 overpass and the City completes the pipeline re-routing necessary to accommodate the overpass. Two of the wells mentioned above are shallow wells, less than 1,500 feet, drilled into the Carrizo and Sparta aquifers. The remaining six are deep wells, approximately 3,000 feet, drilled in the Simsboro Sand formation of the Carrizo-Wilcox aquifer. This is a very prolific aquifer of high quality water that has the capacity to provide an adequate water supply for the City and surrounding communities through the year 2060, and well beyond, if managed properly. The Simsboro Sand, and all local aquifers, are regulated by the Brazos Valley Groundwater Conservation District, and permitting requirements have been implemented for all new water wells. College Station has obtained a Drilling/Operating Permit from the Groundwater District for the City to drill another Simsboro Well, Well #9, which will be designed in FY-16 and constructed in FY-17. This well will meet our projected demands for water for many years into the future. Well #10 remains in the planning stages, and would be constructed in approximately 2021, depending upon the rate of growth of water demands. College Station is also investigating other water supply strategies for the future. The prime example is Aquifer Storage and Recovery (ASR), which would store treated wastewater effluent in an aquifer for future use, most likely during summer peaks. If implemented, this ASR system would greatly reduce the demand on the drinking water system and ensure a very stable water supply for the City. The City has completed a Water Reclamation project, which pumps effluent from the wastewater treatment plant up to Veteran’s Park for irrigation of playing fields, reducing the demand on the potable water system by approximately 350,000 gallons per day. Additional phases of the reclaimed water system are in the planning stages. In March 2016, the City completed a two year agreement with an oil company, which provided the City with $470,000 of revenue for providing just under 200 million gallons of reclaimed water. The City also has stand by generators at strategic locations sufficient to provide adequate potable water for health and safety during and extended electrical power outage. Water rates were established by ordinance, passed and approved by the City Council, and became effective October 1, 2010. The Residential rates are inclined block rates to encourage water conservation. Type of Customer Usage Charge (per 1,000 gallons)Service Charge Meter Size Residential, Commercial and Industrial $ 10.19 per mo. 5/8” 10.19 per mo. 3/4” 12.78 per mo.1” 19.03 per mo. 1 1/2” 30.05 per mo.2” 94.84 per mo.3” 140.90 per mo.4” 171.53 per mo.6” Residential $2.26 for usage from 0-10,000 gallons $2.94 for usage from 11,000-15,000 gallons $3.61 for usage from 16,000-20,000 gallons $4.28 for usage from 21,000-25,000 gallons $4.96 for usage from 26,000 gallons and more Commercial and Industrial $2.49 per 1,000 gallons Commercial Irrigation Usage Charge $2.68 per 1,000 gallons 23 WASTEWATER SYSTEM The City’s waste water is treated by three City-owned wastewater treatment plants, Carter Creek Treatment Plant, Lick Creek Treatment Plant, and Carter’s Lake Treatment Plant located within the City limits. The three plants have a combined treatment capacity of 11.5 mgd as compared to average current average daily demand of 7.0 mgd. The treatment plant’s capacity is adequate to serve a population estimated at 125,000. Sewer rates were established by ordinance, passed and approved by the City Council, and became effective on October 1, 2012. Residential (metered water).......................................................... $18.78 including 4,000 gallons of metered water Usage Charge................................................................................ $3.76 per 1,000 gallons of additional metered water $41.34 maximum per month Residential (without meter to each unit)....................................... $23.89 per unit per month Commercial and Industrial............................................................ $16.11 per month Usage Charge................................................................................$4.47 per 1,000 gallons of metered water usage There are 2,003 city residents who receive their water from Wellborn Water, but sewer is provided by the City of College Station. Those residents pay an initial usage charge of $41.34 per month. After six months of documented waste water usage, rates can be adjusted downward on a tiered scale. ELECTRIC SUPPLY SOURCE The City has multiple Power Purchase Agreements (PPAs) in order to meet its load requirements. The PPAs are currently with AEPEP (AEP Energy Partners) and Garland Power and Light (GP&L). With AEPEP we have fixed block ATC PPA that runs until the end of 2027. This fixed block ATC PPA replaced a unit contingent PPA with AEPEP in 2015.We also have a PPA with AEPEP for wind power that runs until the end of 2028. We have a load following PPA with GP&L. While the PPAs with AEPEP are considered base load power, the load following PPA with GP&L is covers our load above the base power provided by AEPEP's PPAs. Other wholesale/power supply costs include congestion costs, Ancillary Services and Transmission Cost of Service (TCOS). Since the City owns transmission assets it not only pays but also receives TCOS payments based on TCOS rates approved by the Public Utility Commission of Texas. On January 1, 2015, the City began a three-year contract (with a possible two-one year extensions) with Garland Power and Light (GPL) for Qualified Scheduling Entity (QSE) services and a two year load following contract for power above the contracted resources from AEPEP. GP&L's QSE schedules and settles all the contract resources owned by the City. On City's advice the QSE also procures any replacement power as needed on behalf of the City. The City's owns 20 miles of 138kV transmission lines, seven substations, and 458 miles of distribution lines. ERCOT serves as the RTO/ISO for our area. The current electric rates were established by ordinance passed and approved by the City Council and became effective on October 1, 2010. The electric rates are subject to a transmission delivery adjustment (TDA) charge which requires that the net energy charge per kilowatt hour must be increased or decreased by an amount per kilowatt hour equal to additional transmission charges above those accounted for in the wholesale rate. The TDA is currently set at $0.005 per kilowatt hour of energy consumed. In January 2009, College Station Utilities began offering residential electric customers renewable wind energy. In February 2010, the renewable wind energy program was expanded to include commercial customers. Wind energy is generated from the South Trent Mesa Wind Project located west of Abilene, Texas. Electric rates were established by Ordinance #2010-3288 on September 23, 2010, passed and approved by the City Council, and became effective on October 1, 2010 24 Single Family Residential...............................Service Charge......................................................$7.00 per month plus: kwhrs (May through October)..............................$0.1181 per kwhr kwhr (November through April)...........................$0.1134 per kwhr Tax.........................................................................1.50% Transmission Delivery Adjustment (TDA)...........0.50% Master Metered Multiple Dwelling Units......Service Charge.......................................................$100.00 per month per master meter plus: kwhrs (May through October)...............................$0.1181 per kwhr kwhr (November through April)...........................$0.1134 per kwhr Tax.........................................................................1.50% TDA.......................................................................Calculated as needed Small Commercial (1-10 KW demand).........Service Charge.......................................................$9.00 per month plus: First 1,000 kwhrs...................................................$0.1358 per kwhr Over 1,000 kwhrs..................................................$0.1038 per kwhr Tax.........................................................................8.25% TDA.......................................................................0.50% Medium Commercial (15-300 KW)...............Service Charge.......................................................$25.00 per month plus: Demand Charge (Per KW)................................$10.40 per KW Energy Charge All kwhrs......................................$0.0736 per KW Minimum Monthly Charge................................$181.00 Tax.........................................................................8.25% TDA.......................................................................0.50% Large Commercial (300 – 1,500 KW)...........Service Charge.......................................................$75.00 per month plus: Demand Charge (Per KW)................................$10.40 per KW Energy Charge All kwhrs......................................$0.0710 per KW Minimum Monthly Charge................................$3,195.00 Tax.........................................................................8.25% TDA.......................................................................0.50% Industrial (1,500 KW and over).....................Service Charge......................................................$250.00 per month plus: Demand Charge (Per KW)................................$9.85 Energy Charge (first 500,000 kwhrs)....................$0.0689 per KW Minimum Monthly $15,034.85 Tax.........................................................................8.25% TDA.......................................................................Calculated as needed WIND WATT RATES Wind rates were established by Ordinance #2012-3397 on February 23, 2012, passed and approved by the City Council, and became effective on March 1, 2012. Participation Level: Residential & Commercial 10%.......................................................................$0.0005 per KW 50%.......................................................................$0.0025 per KW 100%.....................................................................$0.005 per KW 25 TABLE 14 -HISTORICAL UTILITY USERS (UNITS SERVED) 2015 2014 2013 2012 2011 Water 41,540 40,768 40,767 36,460 35,615 Wastewater 40,806 39,128 38,608 36,908 35,510 Electric 43,471 38,198 38,456 39,123 37,829 Fiscal Year Ended September 30, TABLE 15 -TEN LARGEST UTILITY CUSTOMERS Total Percent FY2015 KWH of KWH Utility Customer Type of Business Consumption Consumed City of College Station Municipality 26,299,782 3.15% CSISD School 22,669,558 2.72% Scott & White Hospital & Clinic Hospital/Clinic 17,493,546 2.10% Texas A&M University 12,195,018 1.46% CBL & Associates Retail Mall 9,192,620 1.10% College Station Medical Center Hospital 9,183,183 1.10% Wal-Mart Retail 9,008,880 1.08% HEB Grocery Retail Grocery 8,667,360 1.04% Dealer Computer Services, Inc.Retail 4,864,000 0.58% Cambridge Holdings LLC Hotel 4,703,400 0.56% 124,277,347 14.88% TABLE 16 -CONDENSED STATEMENT OF OPERATIONS 2015 2014 2013 2012 2011 Revenues: Electric 98,763,293$95,677,765$92,892,541$94,396,234$98,737,655$ Water and Wastewater 28,732,968 27,550,262 29,018,108 27,652,449 29,248,180 Interest 180,423 116,433 170,062 136,974 142,700 Other 3,546,138 2,890,061 3,670,710 2,857,223 2,584,985 Total Revenues 131,222,822$126,234,521$125,751,421$125,042,880$130,713,520$ Expenses: Total Expenses 82,079,813$100,235,329$90,519,871$88,927,662$96,938,864$ Net Available for Debt Service 49,143,009$25,999,192$35,231,550$36,115,218$33,774,656$ Water (Units Served)41,540 40,768 40,767 39,338 37,565 Wastewater (Units Served)40,806 39,128 38,608 36,908 35,563 Electric (Units Served)43,471 38,198 38,456 39,123 37,829 For Fiscal Year Ended September 30, 26 TABLE 17 –VALUE OF THE SYSTEM 2015 2014 2013 2012 2011 Utility Systems 507,758,485$459,071,713$446,518,318$435,064,838$366,563,463$ Construction in Progress 13,213,020 43,281,736 36,982,355 20,430,326 69,987,787 520,971,505$502,353,449$483,500,673$455,495,164$436,551,250$ Less: Accumulated Depreciation 198,339,390 183,756,067 171,069,875 158,428,406 142,344,667 Net System Value 322,632,115$318,597,382$312,430,798$297,066,758$294,206,583$ Fiscal Year Ended September 30, TABLE 18 –CITY’S EQUITY IN THE SYSTEM Fiscal Year Ended September 30, Resources 2015 2014 2013 2012 2011 Net System Value 322,632,115$318,597,382$312,430,798$297,066,758$294,206,583$ Current Assets 52,023,881 42,939,476 59,428,776 53,031,034 47,319,652 Restricted Assets 19,977,038 27,760,893 5,757,167 10,143,761 5,166,872 Other Resources -0 120,000 120,000 240,000 Deferred Charges 2,381,933 1,305,356 1,665,943 780,390 919,183 Total 397,014,967$390,603,107$379,402,684$361,141,943$347,852,290$ Obligations Current Liabilities 13,688,841$19,092,357$23,329,045$17,180,367$20,308,090$ Current Liabilities Payable from Restricted Assets 10,735,825 7,292,731 7,190,577 13,474,895 11,049,949 General Obligation Debt 43,175,000 47,995,000 36,930,000 30,675,000 24,020,000 Certificates of Obligation 83,445,000 87,210,000 66,695,000 55,865,000 48,085,000 Revenue Bond Debt 13,395,000 14,920,000 34,765,000 41,505,001 49,845,002 Other Debt(1)8,593,734 9,385,034 4,825,184 4,561,927 3,249,873 Total Liabilities 173,033,400$185,895,122$173,734,806$163,262,190$156,557,914$ City's Equity in System 223,981,567$204,707,985$205,667,878$197,879,753$191,294,376$ Percentage of Equity in System 56.42%52.41%54.21%54.79%54.99% __________ (1)Includes OPEB Net Pension Obligations. 27 TABLE 19 –UTILITY REVENUE BOND AND SYSTEM SUPPORTED CERTIFICATE DEBT SERVICE Original Outstanding Principal Principal Amount as of 9/30/2015 2008 (2)15,925,000 5,210,000 2009 (2)19,490,000 19,560,000 2010 (2)2,850,000 2,350,000 2010 (1)(3)25,905,000 17,395,000 2011 (2)7,920,000 6,820,000 2012 (2)16,415,000 14,690,000 2012 (1)(3)9,570,000 6,760,000 2013 (2)10,230,000 9,500,000 2013 (1)(3)6,255,000 5,575,000 2014 (2)23,555,000 22,515,000 2014 (1)(3)14,455,000 13,445,000 2016 (2)6,895,000 6,895,000 2016 (1)(3)18,380,000 18,380,000 152,570,000$149,095,000$ Series __________ * Preliminary, subject to change. Includes a portion of the Obligations and excludes the Refunded Obligations. (1)Represents refunding bonds. (2)Certificates of Obligation supported in whole or in part by Utility System revenues. (3)General Obligation Improvement Bonds supported in part by the Utility System revenues. INVESTMENTS The City invests its investable funds in investments authorized by Texas law in accordance with investment policies approved by the City Council. Both state law and the City’s investment policies are subject to change. LEGAL INVESTMENTS Under State law, the City is authorized to invest in: (1) obligations of the United States or its agencies and instrumentalities, including letters of credit; (2) direct obligations of the State or its agencies and instrumentalities; (3) collateralized mortgage obligations directly issued by a federal agency or instrumentality of the United States, the underlying security for which is guaranteed by an agency or instrumentality of the United States; (4) other obligations, the principal of and interest on which are unconditionally guaranteed or insured by, or backed by the full faith and credit of, the State or the United States or their respective agencies and instrumentalities, including obligations that are fully guaranteed or insured by the Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United States; (5) obligations of states, agencies, counties, cities, and other political subdivisions of any state rated as to investment quality by a nationally recognized investment rating firm not less than A or its equivalent; (6) bonds issued, assumed, or guaranteed by the State of Israel; (7) certificates of deposit and share certificates (i) issued by a depository institution that has its main office or a branch office in the State of Texas, that are guaranteed or insured by the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund, or are secured as to principal by obligations described in clauses (1) through (6) or in any other manner and amount provided by law for City deposits, or (ii) where (a) the funds are invested by the City through (I) a broker that has its main office or a branch office in the State of Texas and is selected from a list adopted, at least annually, by the City as required by law or (II) a depository institution that has its main office or a branch office in the State of Texas that is selected by the City; (b) the broker or the depository institution selected by the City arranges for the deposit of the funds in certificates of deposit in one or more federally insured depository institutions, wherever located, for the account of the City; (c) the full amount of the principal and accrued interest of each of the certificates of deposit is insured by the United States or an instrumentality of the United States, and (d) the City appoints the depository institution selected under (a) above, a custodian as described by Section 2257.041(d) of the Texas Government Code, or a clearing broker-dealer registered with the Securities and Exchange Commission and operating pursuant to Securities and Exchange Commission Rule 15c3-3 (17 C.F.R. Section 240.15c3-3) as custodian for the City with respect to the certificates of deposit; (8) fully collateralized repurchase agreements that have a defined termination date, are fully secured by a combination of cash and obligations described in clause (1) which are pledged to the City, held in the City’s name, and deposited at the time the investment is made with the City or with a third party selected and approved by the City and are placed through a primary government securities dealer, as defined by the Federal Reserve, or a financial institution doing business in the State of Texas; (9) bankers’ acceptances with the remaining term of 270 days or less, if the short-term obligations of the accepting bank or its parent are rated at least “A-1” or “P-1” or the equivalent by at least one nationally recognized credit rating agency; (10) commercial paper that is rated at least “A-1” or “P-1” or the equivalent by either (a) two nationally recognized credit rating agencies or (b) one 28 nationally recognized credit rating agency if the paper is fully secured by an irrevocable letter of credit issued by a bank organized and existing under the laws of the United States or any state; (11) no-load money market mutual funds regulated by the Securities and Exchange Commission that have a dollar weighted average portfolio maturity of 90 days or less and include in their investment objectives the maintenance of a stable net asset value of $1 for each share; (12) no-load mutual funds registered with the Securities and Exchange Commission that: have an average weighted maturity of less than two years; invests exclusively in obligations described in the preceding clauses; and are continuously rated as to investment quality by at least one nationally recognized investment rating firm of not less than “AAA” or its equivalent; provided, however, that the City is not authorized to invest in the aggregate more than 15% of its monthly average fund balance, excluding bond proceeds and reserves and other funds held for debt service, in such no-load mutual funds, and (13) for bond proceeds, guaranteed investment contracts that have a defined termination date, are secured by obligations of the United States or its agencies and instrumentalities in an amount equal to the amount invested under the contract, and are pledged to the City and deposited with the City or a third party selected and approved by the City. The City is also authorized to invest its funds through an eligible investment pool if the governing body of the City by rule, ordinance, or resolution, as appropriate, authorizes investment in the particular pool. To be eligible to receive funds from and invest funds on behalf of the City, an investment pool must furnish to the investment officer or other authorized representative of the City an offering circular or other similar disclosure instrument that contains, at a minimum, the following information: (1) the types of investments in which money is allowed to be invested; (2) the maximum average dollar-weighted maturity allowed, based on the stated maturity date, of the pool; (3) the maximum stated maturity date any investment security within the portfolio has; (4) the objectives of the pool; (5) the size of the pool; (6) the names of the members of the advisory board of the pool and the dates their terms expire; (7) the custodian bank that will safekeep the pool's assets; (8) whether the intent of the pool is to maintain a net asset value of one dollar and the risk of market price fluctuation; (9) whether the only source of payment is the assets of the pool at market value or whether there is a secondary source of payment, such as insurance or guarantees, and a description of the secondary source of payment; (10) the name and address of the independent auditor of the pool; (11) the requirements to be satisfied for an entity to deposit funds in and withdraw funds from the pool and any deadlines or other operating policies required for the entity to invest funds in and withdraw funds from the pool; and (12) the performance history of the pool, including yield, average dollar-weighted maturities, and expense ratios. Governmental bodies in the State are authorized to implement securities lending programs if (i) the securities loaned under the program are 100% collateralized, a loan made under the program allows for termination at any time and a loan made under the program is either secured by (a) obligations that are described in clauses (1) through (6) of the first paragraph under this subcaption, (b) irrevocable letters of credit issued by a state or national bank that is continuously rated by a nationally recognized investment rating firm not less than “A” or its equivalent, or (c) cash invested in obligations that are described in clauses (1) through (6) and (10) through (12) of the first paragraph under this subcaption, or an authorized investment pool; (ii) securities held as collateral under a loan are pledged to the governmental body, held in the name of the governmental body and deposited at the time the investment is made with the City or a third party designated by the City; (iii) a loan made under the program is placed through either a primary government securities dealer or a financial institution doing business in the State; and (iv) the agreement to lend securities has a term of one year or less. The City may invest in such obligations directly or through government investment pools that invest solely in such obligations provided that the pools are rated no lower than “AAA” or “AAAm” or an equivalent by at least one nationally recognized rating service. The City is specifically prohibited from investing in: (1) obligations whose payment represents the coupon payments on the outstanding principal balance of the underlying mortgage-backed security collateral and pays no principal; (2) obligations whose payment represents the principal stream of cash flow from the underlying mortgage-backed security and bears no interest; (3) collateralized mortgage obligations that have a stated final maturity of greater than 10 years; and (4) collateralized mortgage obligations the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. INVESTMENT POLICIES Under Texas law, the City is required to invest its funds under written investment policies that primarily emphasize safety of principal and liquidity; that address investment diversification, yield, maturity, and the quality and capability of investment management; and that includes a list of authorized investments for City funds, maximum allowable stated maturity of any individual investment and the maximum average dollar-weighted maturity allowed for pooled fund groups, methods to monitor the market price of investments acquired with public funds, a requirement for settlement of all transactions, except investment pool funds and mutual funds, on a delivery versus payment basis, and procedures to monitor rating changes in investments acquired with public funds and the liquidation of such investments consistent with the PFIA. All City funds must be invested consistent with a formally adopted “Investment Strategy Statement” that specifically addresses each funds’ investment. Each Investment Strategy Statement will describe its objectives concerning (1) suitability of investment type, (2) preservation and safety of principal, (3) liquidity, (4) marketability of each investment, (5) diversification of the portfolio, and (6) yield. 29 Under Texas law, City investments must be made “with judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person’s own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived.” At least quarterly the investment officers of the City will submit an investment report detailing (1) the investment position of the City, (2) that all investment officers jointly prepared and signed the report, (3) the beginning market value and ending market value for each pooled fund group, (4) the book value and market value of each separately listed asset at the end of the reporting period, (5) the maturity date of each separately invested asset, (6) the account or fund or pooled fund group for which each individual investment was acquired, and (7) the compliance of the investment portfolio as it relates to: (a) adopted investment strategy statements and (b) state law. No person may invest City funds without express written authority from the City Council. ADDITIONAL PROVISIONS Under Texas law the City is additionally required to: (1) annually review its adopted policies and strategies; (2) require any investment officers’ with personal business relationships or relatives with firms seeking to sell securities to the entity to disclose the relationship and file a statement with the Texas Ethics Commission and the City Council; (3) require the registered principal of firms seeking to sell securities to the City to: (a) receive and review the City’s investment policy, (b) acknowledge that reasonable controls and procedures have been implemented to preclude imprudent investment activities, and (c) deliver a written statement attesting to these requirements; (4) perform an annual audit of the management controls on investments and adherence to the City’s investment policy; (5) provide specific investment training for the Finance Director, Treasurer, Assistant City Manager and investment officers; (6) restrict reverse repurchase agreements to not more than 90 days and restrict the investment of reverse repurchase agreement funds to no greater than the term of the reverse repurchase agreement; (7) restrict the investment in non-money market mutual funds of any portion of bond proceeds, reserves and funds held for debt service and to no more than 15% of the entity’s monthly average fund balance, excluding bond proceeds and reserves and other funds held for debt service; (8) require local government investment pools to conform to the new disclosure, rating, net asset value, yield calculation, and advisory board requirements and (9) at least annually review, revise, and adopt a list of qualified brokers that are authorized to engage in investment transactions with the City. Under Texas law, the City may contract with an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section 80b-1 et seq.) or with the State Securities Board to provide for the investment and management of its public funds or other funds under its control for a term up to two years, but the City retains ultimate responsibility as fiduciary of its assets. In order to renew or extend such a contract, the City must do so by order, ordinance or resolution. The City has not contracted with, and has no present intention of contracting with, any such investment management firm or the State Securities Board to provide such services. CITY’S INVESTMENT POLICY The Assistant City Manager or his designee will promptly cause all City funds to be deposited with the bank depository and invested in accordance with the provisions of the current Bank Depository Agreement or in any negotiable instrument that the City Council has authorized under the provisions of the PFIA, as amended, and in accordance with the City Council approved Investment Policies. At the end of each fiscal year, a report on investment performance will be provided to the City Council. In conjunction with the quarterly financial report, the Assistant City Manager or his designee will prepare and provide a written recapitulation of the City’s investment portfolio to the Council, detailing each City investment instrument with its rate of return and maturity date. The City's adopted investment policy permits the City to invest its funds and funds under its control in all of the enumerated investments authorized by the PFIA. TABLE 20 -CURRENT INVESTMENTS As of March 31, 2016, the City’s investable funds were invested in the following categories: Book Market Investment Type Value Value Cash 5,000,000$5,000,000$ Certificate Of Deposit 9,051,703 9,051,703 Local Government Investment Pool 14,795,198 14,795,198 Money Market Mutual Fund 128,677,025 128,677,025 USAgencies and Securities 14,000,000 14,017,840 171,523,926$171,541,766$ 30 TAX MATTERS OPINION On the date of initial delivery of each series of the Obligations, McCall, Parkhurst & Horton L.L.P., Dallas, Texas, Bond Counsel, will render its opinion that, in accordance with statutes, regulations, published rulings and court decisions existing on the date thereof (“Existing Law”), (1) interest on the Obligations for federal income tax purposes will be excludable from the “gross income” of the holders thereof and (2) the Obligations will not be treated as “specified private activity bonds” the interest on which would be included as an alternative minimum tax preference item under section 57(a)(5) of the Internal Revenue Code of 1986 (the “Code”). Except as stated above, Bond Counsel will express no opinion as to any other federal, state or local tax consequences of the purchase, ownership or disposition of the Obligations. See Appendix C - FORMS OF OPINIONS OF BOND COUNSEL. In rendering its opinions, Bond Counsel will rely upon (a) certain information and representations of the City, including information and representations contained in the City's federal tax certificate, (b) the Verification Report prepared by Grant Thornton LLP with respect to the refunding of the Refunded Obligations and (c) covenants of the City contained in the respective Ordinances authorizing each series of the Obligations relating to certain matters, including arbitrage and the use of the proceeds of the Obligations and the property financed or refinanced therewith. Failure of the City to comply with these representations or covenants could cause the interest on the Bonds or Certificates, as the case may be, to become includable in gross income retroactively to their date of issuance. The Code and the regulations promulgated thereunder contain a number of requirements that must be satisfied subsequent to the issuance of the Obligations in order for interest on the Obligations to be, and to remain, excludable from gross income for federal income tax purposes. Failure to comply with such requirements may cause interest on the Obligations to be included in gross income retroactively to the date of issuance of the Obligations. The opinions of Bond Counsel are rendered in reliance upon the compliance by the City with such requirements, and Bond Counsel has not been retained to monitor compliance with these requirements subsequent to the issuance of the Obligations. Bond Counsel's opinions are not a guarantee of a result, but represent its legal judgment based upon its review of Existing Law and reliance on the aforementioned information, representations and covenants. Existing Law is subject to change by the Congress and to subsequent judicial and administrative interpretation by the courts and the Department of the Treasury. There can be no assurance that Existing Law or the interpretation thereof will not be changed in a manner which would adversely affect the tax treatment of the purchase, ownership or disposition of the Obligations. A ruling was not sought from the Internal Revenue Service by the Issuer with respect to the Obligations or the property financed or refinanced with proceeds of the Obligations. No assurances can be given as to whether the Internal Revenue Service will commence an audit of the Obligations, or as to whether the Internal Revenue Service would agree with the opinion of Bond Counsel. If an Internal Revenue Service audit is commenced, under current procedures the Internal Revenue Service is likely to treat the Issuer as the taxpayer and the Obligation holders may have no right to participate in such procedure. No additional interest will be paid upon any determination of taxability. FEDERAL INCOME TAX ACCOUNTING TREATMENT OF ORIGINAL ISSUE DISCOUNT The initial public offering price to be paid for one or more maturities of the Obligations may be less than the principal amount thereof or one or more periods for the payment of interest on the Obligations may not be equal to the accrual period or be in excess of one year (the “Original Issue Discount Obligations”). In such event, the difference between (i) the “stated redemption price at maturity” of each Original Issue Discount Obligation, and (ii) the initial offering price to the public of such Original Issue Discount Obligation would constitute original issue discount. The “stated redemption price at maturity” means the sum of all payments to be made on the Obligations less the amount of all periodic interest payments. Periodic interest payments are payments which are made during equal accrual periods (or during any unequal period if it is the initial or final period) and which are made during accrual periods which do not exceed one year. Under Existing Law, any owner who has purchased such Original Issue Discount Obligation in the initial public offering is entitled to exclude from gross income (as defined in section 61 of the Code) an amount of income with respect to such Original Issue Discount Obligation equal to that portion of the amount of such original issue discount allocable to the accrual period. For a discussion of certain collateral federal tax consequences, see discussion set forth below. In the event of the redemption, sale or other taxable disposition of such Original Issue Discount Obligation prior to stated maturity, however, the amount realized by such owner in excess of the basis of such Original Issue Discount Obligation in the hands of such owner (adjusted upward by the portion of the original issue discount allocable to the period for which such Original Issue Discount Obligation was held by such initial owner) is includable in gross income. Under Existing Law, the original issue discount on each Original Issue Discount Obligation is accrued daily to the stated maturity thereof (in amounts calculated as described below for each accrual period within each accrual period) and the accrued amount is added to an initial owner's basis for such Original Issue Discount Obligation for purposes of determining the amount of gain or loss recognized by such owner upon the redemption, sale or other disposition thereof. The amount to be added to basis for each accrual period is equal to (a) the sum of the issue price and the amount of original issue discount accrued in prior periods multiplied by the yield to stated maturity (determined on the basis of compounding at the close of each accrual period and properly adjusted for the length of the accrual period) less (b) the amounts payable as current interest during such accrual period on such Original Issue Discount Obligation. 31 The federal income tax consequences of the purchase, ownership, redemption, sale or other disposition of Original Issue Discount Obligations which are not purchased in the initial offering at the initial offering price may be determined according to rules which differ from those described above. All owners of Original Issue Discount Obligations should consult their own tax advisors with respect to the determination for federal, state and local income tax purposes of the treatment of interest accrued upon redemption, sale or other disposition of such Original Issue Discount Obligations and with respect to the federal, state, local and foreign tax consequences of the purchase, ownership, redemption, sale or other disposition of such Original Issue Discount Obligations. COLLATERAL FEDERAL INCOME TAX CONSEQUENCES The following discussion is a summary of certain collateral federal income tax consequences resulting from the purchase, ownership or disposition of the Obligations. This discussion is based on Existing Law, which is subject to change or modification, retroactively. The following discussion is applicable to investors, other than those who are subject to special provisions of the Code, such as financial institutions, property and casualty insurance companies, life insurance companies, individual recipients of Social Security or Railroad Retirement benefits, individuals allowed an earned income credit, certain S corporations with accumulated earnings and profits and excess passive investment income, foreign corporations subject to the branch profits tax, taxpayers qualifying for the health insurance premium credit and taxpayers who may be deemed to have incurred or continued indebtedness to purchase tax-exempt obligations. THE DISCUSSION CONTAINED HEREIN MAY NOT BE EXHAUSTIVE. INVESTORS, INCLUDING THOSE WHO ARE SUBJECT TO SPECIAL PROVISIONS OF THE CODE, SHOULD CONSULT THEIR OWN TAX ADVISORS AS TO THE TAX TREATMENT WHICH MAY BE ANTICIPATED TO RESULT FROM THE PURCHASE, OWNERSHIP AND DISPOSITION OF TAX-EXEMPT OBLIGATIONS BEFORE DETERMINING WHETHER TO PURCHASE THE OBLIGATIONS. Interest on the Obligations will be includable as an adjustment for “adjusted current earnings” to calculate the alternative minimum tax imposed on corporations by section 55 of the Code. Under section 6012 of the Code, holders of tax-exempt obligations, such as the Obligations, may be required to disclose interest received or accrued during each taxable year on their returns of federal income taxation. Section 1276 of the Code provides for ordinary income tax treatment of gain recognized upon the disposition of a tax-exempt obligation, such as the Obligations, if such obligation was acquired at a “market discount” and if the fixed maturity of such obligation is equal to, or exceeds, one year from the date of issue. Such treatment applies to “market discount bonds” to the extent such gain does not exceed the accrued market discount of such bonds; although for this purpose, a de minimis amount of market discount is ignored. A “market discount bond” is one which is acquired by the holder at a purchase price which is less than the stated redemption price at maturity or, in the case of a bond issued at an original issue discount, the “revised issue price” (i.e., the issue price plus accrued original issue discount). The “accrued market discount” is the amount which bears the same ratio to the market discount as the number of days during which the holder holds the obligation bears to the number of days between the acquisition date and the final maturity date. STATE,LOCAL AND FOREIGN TAXES Investors should consult their own tax advisors concerning the tax implications of the purchase, ownership or disposition of the Obligations under applicable state or local laws. Foreign investors should also consult their own tax advisors regarding the tax consequences unique to investors who are not United States persons. Subject to certain exceptions, information reports describing interest income, including original issue discount, with respect to the Obligations will be sent to each registered holder and to the Internal Revenue Service. Payments of interest and principal may be subject to backup withholding under section 3406 of the Code if a recipient of the payments fails to furnish to the payor such owner's social security number or other taxpayer identification number ("TIN"), furnishes an incorrect TIN, or otherwise fails to establish an exemption from the backup withholding tax. Any amounts so withheld would be allowed as a credit against the recipient's federal income tax. Special rules apply to partnerships, estates and trusts, and in certain circumstances, and in respect of Non-U.S. Holders, certifications as to foreign status and other matters may be required to be provided by partners and beneficiaries thereof. FUTURE AND PROPOSED LEGISLATION Tax legislation, administrative actions taken by tax authorities, or court decisions, whether at the federal or state level, may adversely affect the tax-exempt status of interest on the Obligations under federal or state law, and could affect the market price or marketability of the Obligations. Any of the foregoing could limit the value of certain deductions and exclusions, including the exclusion for tax-exempt interest. The likelihood of any of the foregoing becoming effective cannot be predicted. Prospective purchasers of the Obligations should consult their own tax advisors regarding the foregoing matters. 32 CONTINUING DISCLOSURE OF INFORMATION In the Ordinances, the City has made the following agreement for the benefit of the holders and beneficial owners of each series of Obligations. The City is required to observe the agreement for so long as it remains obligated to advance funds to pay the Obligations. Under the agreement, the City will be obligated to provide certain updated financial information and operating data annually, and timely notice of specified events, to the Municipal Securities Rulemaking Board (the “MSRB”). This information will be publicly available at no cost on the Electronic Municipal Market Access of the MSRB, with the web address www.emma.msrb.org (“EMMA”). ANNUAL REPORTS The City will provide certain updated financial information and operating data to the MSRB on an annual basis in an electronic format that is prescribed by the MSRB and available via the Electronic Municipal Market Access System ("EMMA") at www.emma.msrb.org. The information to be updated includes all quantitative financial information and operating data with respect to the City of the general type included in this Official Statement under Tables numbered 1 through 6; 8 through 20 and in Appendix B. The City will update and provide the information in Tables 1 through 6 and 8 through 20 within six months after the end of each fiscal year ending in and after 2016. The City will additionally provide audited financial statements when and if available, and in any event, within 12 months after the end of each fiscal year ending in or after 2016. If the audit of such financial statements is not complete within 12 months after any such fiscal year end, then the City will file unaudited financial statements within such 12 month period and audited financial statements for the applicable fiscal year, when and if the audit report on such statements becomes available. Any such financial statements will be prepared in accordance with the accounting principles described in Appendix B or such other accounting principles as the City may be required to employ from time to time pursuant to State law or regulation. The financial information and operating data to be provided may be set forth in full in one or more documents or may be included by specific reference to any document available to the public on the MSRB’s Internet Web site identified below or filed with the United States Securities and Exchange Commission (the "SEC"), as permitted by SEC Rule 15c2-12 (the "Rule"). The City’s current fiscal year end is September 30. Accordingly, the City must provide updated information included in 1 through 6 and 8 through 20 by the last day of March in each year, and audited financial statements for the preceding fiscal year (or unaudited financial statements if the audited financial statements are not yet available) as described above. If the City changes its fiscal year, it will file notice of the change (and of the date of the new fiscal year end) with the MSRB prior to the next date by which the City otherwise would be required to provide financial information and operating data as set forth above. EVENT NOTICES The City will also provide timely notices of certain events to the MSRB. The City will provide notice of any of the following events with respect to the Obligations to the MSRB in a timely manner (but not in excess of ten business days after the occurrence of the event): (1) principal and interest payment delinquencies; (2) non-payment related defaults, if material; (3) unscheduled draws on debt service reserves reflecting financial difficulties; (4) unscheduled draws on credit enhancements reflecting financial difficulties; (5) substitution of credit or liquidity providers, or their failure to perform; (6) adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB), or other material notices or determinations with respect to the tax status of the Obligations, or other material events affecting the tax status of the Obligations; (7) modifications to rights of holders of the Obligations, if material; (8) Obligation calls, if material, and tender offers; (9) defeasances; (10) release, substitution, or sale of property securing repayment of the Obligations, if material; (11) rating changes; (12) bankruptcy, insolvency, receivership, or similar event of the City, which shall occur as described below; (13) the consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of its assets, other than in the ordinary course of business, the entry into of a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any suchactions, other than pursuant to its terms, if material; and (14) appointment of a successor or additional paying agent or the change of name of a paying agent, if material. In addition, the City will provide timely notice of any failure by the City to provide annual financial information in accordance with their agreement described above under “Annual Reports”. For these purposes, any event described in clause (12) is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City. The City will provide each notice described in the previous paragraph to the MSRB through EMMA, in accordance with the Rule. 33 LIMITATIONS AND AMENDMENTS The City has agreed to update information and to provide notices of specified events only as described above. The City has not agreed to provide other information that may be relevant or material to a complete presentation of its financial results of operations, condition, or prospects or agreed to update any information that is provided, except as described above. The City makes no representation or warranty concerning such information or concerning its usefulness to a decision to invest in or sell Obligations at any future date. The City disclaims any contractual or tort liability for damages resulting in whole or in part from any breach of its continuing disclosure agreement or from any statement made pursuant to its agreement, although holders of Obligations may seek a writ of mandamus to compel the City to comply with its agreement. The City may amend its continuing disclosure agreement from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, if (i) the agreement, as amended, would have permitted an underwriter to purchase or sell Obligations in the offering described herein in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (ii) either (a) the holders of a majority in aggregate principal amount of the outstanding Obligations consent to the amendment or (b) any person unaffiliated with the City (such as nationally recognized bond counsel) determines that the amendment will not materially impair the interests of the holders and beneficial owners of the Obligations. If the City so amends the agreement, it has agreed to include with the next financial information and operating data provided in accordance with its agreement described above under “ANNUAL REPORTS” an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information and operating data so provided. COMPLIANCE WITH PRIOR UNDERTAKINGS In connection with prior transactions, the City has entered into undertakings pursuant to which it agreed to provide certain updated financial information and operating data within six months of the end of the City’s fiscal year along with notices of specified material events at required times. In addition, the City previously agreed to provide audited financial statements within six months of the end of the City’s fiscal year if audited financial statements were available by such time. If audited financial statements were not available, the City agreed to provide unaudited financial statements for the applicable fiscal year. During the previous five years, the City filed certain updated financial information and operating data in the form of tables (the “Tables”) identified in the official statements for each respective debt issuances within six months (March 31) after the end of each fiscal year. The audited financial statements for the fiscal years ending September 30, 2009 and September 30, 2010 were filed on July 5, 2010 and May 26, 2011, respectively, which is more than six months after the end of the fiscal year. In each instance, the City filed Tables that contained certain unaudited financial statement information that was similar to the type included in the audited financial information within six months of the end of the applicable fiscal year. OTHER INFORMATION RATINGS The Obligations and presently outstanding tax supported debt of the City are rated “___” by Moody's and “____” by S&P, without regard to credit enhancement. The ratings reflect only the respective views of such organizations and the City makes no representation as to the appropriateness of the ratings. There is no assurance that such ratings will continue for any given period of time or that they will not be revised downward or withdrawn entirely by either or both of such rating companies, if in the judgment of either or both companies, circumstances so warrant. Any such downward revision or withdrawal of such ratings, or either of them, may have an adverse effect on the market price of the Obligations. LITIGATION The City is a party to legal proceedings, many of which occur in the normal course of operations. It is not possible at the present time to estimate ultimate outcome or liability, if any, of the city with respect to the various proceedings. The City’s management believes that the ultimate outcome of the various lawsuits will not have a material adverse effect on the City’s financial position. REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE The sale of the Obligations has not been registered under the federal Securities Act of 1933, as amended, in reliance upon the exemption provided thereunder by Section 3(a)(2); and the Obligations have not been qualified under the Securities Act of Texas in reliance upon various exemptions contained therein; nor have the Obligations been qualified under the securities acts of any jurisdiction. The City assumes no responsibility for qualification of the Obligations under the securities laws of any jurisdiction in which the Obligations may be sold, assigned, pledged, hypothecated or otherwise transferred. This disclaimer of responsibility for qualification for sale or other disposition of the Obligations must not be construed as an interpretation of any kind with regard to the availability of any exemption from securities registration provisions. 34 LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS Section 1201.041 of the Public Security Procedures Act (Chapter 1201, Texas Government Code) provides that the Obligations are negotiable instruments, investment securities governed by Chapter 8, Texas Business and Commerce Code, and are legal and authorized investments for insurance companies, fiduciaries, and trustees, and for the sinking funds of municipalities or other political subdivisions or public agencies of the State of Texas. With respect to investment in the Obligations by municipalities or other political subdivisions or public agencies of the State of Texas, the PFIA requires that the Obligations be assigned a rating of at least “A” or its equivalent as to investment quality by a national rating agency. See “OTHER INFORMATION - RATINGS” herein. In addition, various provisions of the Texas Finance Code provide that, subject to a prudent investor standard, the Obligations are legal investments for state banks, savings banks, trust companies with at capital of one million dollars or more, and savings and loan associations. The Obligations are eligible to secure deposits of any public funds of the State, its agencies, and its political subdivisions, and are legal security for those deposits to the extent of their market value. The City has made no investigation of other laws, rules, regulations or investment criteria which might apply to such institutions or entities or which might limit the suitability of the Obligations for any of the foregoing purposes or limit the authority of such institutions or entities to purchase or invest in the Obligations for such purposes. No review by the City has been made of the laws in other states to determine whether the Obligations are legal investments for various institutions in those states. LEGAL OPINIONS The City will furnish a complete transcript of proceedings incident to the authorization and issuance of the Obligations, including the unqualified approving legal opinion of the Attorney General of Texas approving the Obligations and to the effect that the Obligations are valid and legally binding obligations of the City, and based upon examination of such transcript of proceedings, the legal opinion of Bond Counsel, to like effect and to the effect that the interest on the Obligations will be excludable from gross income for federal income tax purposes under section 103(a) of the Code, subject to the matters described under “TAX MATTERS” herein, including the alternative minimum tax on corporations. In its capacity as Bond Counsel, McCall, Parkhurst & Horton L.L.P. has reviewed the information under the captions “PLAN OF FINANCING” (except for the subsection “SOURCES AND USES OF PROCEEDS”), “THE OBLIGATIONS,” “TAX MATTERS,” “OTHER INFORMATION – LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS,” “OTHER INFORMATION – REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE,” “OTHER INFORMATION – LEGAL OPINIONS,” and “CONTINUING DISCLOSURE OF INFORMATION” (except under the subheading “COMPLIANCE WITH PRIOR UNDERTAKINGS”, as to which no opinion is expressed) in the Official Statement to determine whether such information fairly summarized matters of law and the provisions of the documents referred to therein, and Bond Counsel is of the opinion that the information relating to the Obligations and the Ordinances contained under such captions is a fair and accurate summary of the information purported to be shown. The legal fee to be paid to Bond Counsel for services rendered in connection with the issuance of the Obligations is contingent on the sale and delivery of the Obligations. The legal opinion will accompany the Obligations deposited with DTC or will be printed on the Obligations in the event of the discontinuance of the Book-Entry-Only System. In connection with the transactions described in the Official Statement, Bond Counsel represents only the City. The various legal opinions to be delivered concurrently with the delivery of the Obligations express the professional judgment of the attorneys rendering the opinions as to the legal issues explicitly addressed therein. In rendering a legal opinion, the attorney does not become an insurer or guarantor of that expression of professional judgment, of the transaction opined upon, or of the future performance of the parties to the transaction, nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. AUTHENTICITY OF FINANCIAL DATA AND OTHER INFORMATION The financial data and other information contained herein have been obtained from City records, audited financial statements and other sources which are believed to be reliable. There is no guarantee that any of the assumptions or estimates contained herein will be realized. All of the summaries of the statutes, documents and resolutions contained in this Official Statement are made subject to all of the provisions of such statutes, documents and resolutions. These summaries do not purport to be complete statements of such provisions and reference is made to such documents for further information. Reference is made to original documents in all respects. FINANCIAL ADVISOR First Southwest, a Division of Hilltop Securities Inc. is employed as Financial Advisor to the City in connection with the issuance of the Obligations. The Financial Advisor's fee for services rendered with respect to the sale of the Obligations is contingent upon the issuance and delivery of the Obligations. First Southwest, a Division of Hilltop Securities Inc., in its capacity as Financial Advisor, has relied on the opinions of Bond Counsel and has not verified and does not assume any responsibility for the information, covenants and representations contained in any of the legal documents with respect to the federal income tax status of the Obligations, or the possible impact of any present, pending or future actions taken by any legislative or judicial bodies. The Financial Advisor has reviewed the information in this Official Statement in accordance with, and as part of, its responsibilities to the City and, as applicable, to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Financial Advisor does not guarantee the accuracy or completeness of such information. 35 VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS The arithmetical accuracy of certain computations included in the schedules provided by First Southwest, a Division of Hilltop Securities Inc. on behalf of the City relating to (a) computation of forecasted receipts of principal and interest on the Federal Securities and the forecasted payments of principal and interest to redeem the Refunded Obligations and (b) computation of the yields of the Bonds and the restricted Federal Securities were verified by Grant Thornton, LLP, certified public accountants. Such computations were based solely on assumptions and information supplied by First Southwest, a Division of Hilltop Securities Inc. on behalf of the City. Grant Thornton, LLP has restricted its procedures to verifying the arithmetical accuracy of certain computations and has not made any study or evaluation of the assumptions and information on which the computations are based and, accordingly, has not expressed an opinion on the data used, the reasonableness of the assumptions, or the achievability of the forecasted outcome. CERTIFICATION OF THE OFFICIAL STATEMENT AND NO-LITIGATION CERTIFICATE At the time of payment for and delivery of the Obligations, the Initial Purchasers will be furnished a certificate, executed by the proper City officials, acting in their official capacity, to the effect that to the best of their knowledge and belief: (a) the descriptions and statements of or pertaining to the City contained in its Official Statement and any addenda, supplement or amendment thereto, for its Obligations on the date of such Official Statement, on the date of purchase of said Obligations, and on the date of delivery, were and are true and correct in all material respects; (b) insofar as the City and its affairs, including its financial affairs, are concerned, such Official Statement did not and does not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; (c) insofar as the descriptions and statements, including financial data, of, or pertaining to, entities other than the City and their activities contained in such Official Statement are concerned, such statements and data have been obtained from sources which the City believes to be reliable and that the City has no reason to believe that they are untrue in any material respect; (d) there has been no material adverse change in the financial condition of the City since September 30, 2015, the date of the last audited financial statements of the City and (e) except as disclosed herein, no litigation of any nature has been filed or is pending, as of that date, of which the City has notice to restrain or enjoin the issuance, execution or delivery of the Obligations, in any manner questioning the authority or proceedings for the issuance, execution, or delivery of the Obligations; or which would affect the provisions made for their payment or security, or in any manner question the validity of the Obligations. FORWARD-LOOKING STATEMENTS The statements contained in this Official Statement, and in any other information provided by the City, that are not purely historical, are forward-looking statements, including statements regarding the City's expectations, hopes, intentions, or strategies regarding the future. Readers should not place undue reliance on forward-looking statements. All forward-looking statements included in this Official Statement are based on information available to the City on the date hereof, and the City assumes no obligation to update any such forward-looking statements. The City's actual results could differ materially from those discussed in such forward-looking statements. The forward-looking statements included herein are necessarily based on various assumptions and estimates and are inherently subject to various risks and uncertainties, including risks and uncertainties relating to the possible invalidity of the underlying assumptions and estimates and possible changes or developments in social, economic, business, industry, market, legal, and regulatory circumstances and conditions and actions taken or omitted to be taken by third parties, including customers, suppliers, business partners and competitors, and legislative, judicial, and other governmental authorities and officials. Assumptions related to the foregoing involve judgments with respect to, among other things, future economic, competitive, and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the City. Any of such assumptions could be inaccurate and, therefore, there can be no assurance that the forward-looking statements included in this Official Statement will prove to be accurate. INITIAL PURCHASERS After requesting competitive bids for the Bonds, the City accepted the bid of ______________ (the "Initial Purchaser of the Bonds") to purchase the Bonds at the interest rates shown on the (inside) cover page of the Official Statement at a price of ______(%) of par plus a cash premium of $____________. The Initial Purchaser of the Bonds can give no assurance that any trading market will be developed for the Bonds after their sale by the City to the Initial Purchaser of the Bonds. The City has no control over the price at which the Bonds are subsequently sold and the initial yield at which the Bonds will be priced and reoffered will be established by and will be the responsibility of the Initial Purchaser of the Bonds. After requesting competitive bids for the Certificates, the City accepted the bid of ______________ (the "Initial Purchaser of the Certificates") to purchase the Certificates at the interest rates shown on the (inside) cover page of the Official Statement at a price of ______(%) of par plus a cash premium of $____________. The Initial Purchaser of the Certificates can give no assurance that any trading market will be developed for the Certificates after their sale by the City to the Initial Purchaser of the Certificates. The City has no control over the price at which the Certificates are subsequently sold and the initial yield at which the Certificates will be priced and reoffered will be established by and will be the responsibility of the Initial Purchaser of the Certificates. 36 MISCELLANEOUS The Ordinances authorizing the issuance of the Obligations will also approve the form and content of this Official Statement, and any addenda or amendment thereto, and authorize its further use in the reoffering of the Obligations by the Initial Purchasers. Mayor City of College Station, Texas ATTEST: City Secretary City of College Station, Texas S - 1 Schedule I SCHEDULE OF REFUNDED OBLIGATIONS* General Obligation Debt Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price 2017 4.000%1,340,000$(1)100.00 2018 4.000%865,000 (1)100.00 2,205,000$ General Obligation RefundingBonds, Series 2006 Maturity Interest Par Amount Call Call Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price February 15 Rate to be Refunded*Date Price 2017 4.250%135,000$(1)100.00 2017 4.250%135,000$(1)100.00 2018 4.250%140,000 (1)100.00 2018 4.250%140,000 (1)100.00 2019 4.250%150,000 (1)100.00 2019 4.250%150,000 (1)100.00 2020 4.375%155,000 (1)100.00 2020 4.375%155,000 (1)100.00 2021 4.375%165,000 (1)100.00 2021 4.375%165,000 (1)100.00 2022 4.500%175,000 (1)100.00 2022 4.500%175,000 (1)100.00 2023 4.500%185,000 (1)100.00 2023 4.500%185,000 (1)100.00 2024 4.500%195,000 (1)100.00 2024 4.500%190,000 (1)100.00 2025 4.500%205,000 (1)100.00 2025 4.500%200,000 (1)100.00 2026 4.500%215,000 (1)100.00 2026 4.500%215,000 (1)100.00 2027 4.625%225,000 (1)100.00 2027 4.625%225,000 (1)100.00 1,945,000$1,935,000$ Maturity Interest Par Amount Call Call Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price February 15 Rate to be Refunded*Date Price 2021 4.125%1,360,000$2/15/2018 100.00 2021 4.125%455,000$2/15/2018 100.00 2022 4.250%1,435,000 2/15/2018 100.00 2022 4.250%480,000 2/15/2018 100.00 2023 4.250%1,510,000 2/15/2018 100.00 2023 4.250%505,000 2/15/2018 100.00 2024 4.375%1,585,000 2/15/2018 100.00 2024 4.375%530,000 2/15/2018 100.00 2025 4.500%1,670,000 2/15/2018 100.00 2025 4.500%555,000 2/15/2018 100.00 2026 4.500%1,750,000 2/15/2018 100.00 2026 4.500%585,000 2/15/2018 100.00 2027 4.600%1,845,000 2/15/2018 100.00 2027 4.500%615,000 2/15/2018 100.00 2028 4.625%1,935,000 2/15/2018 100.00 2028 4.625%645,000 2/15/2018 100.00 13,090,000$4,370,000$ General Obligation Improvement Bonds, Series 2008Certificates of Obligation, Series 2008 General Obligation Improvement Bonds, Series 2007Certificates of Obligation, Series 2007 __________ *Preliminary, subject to change. (1) Call date to be determined at pricing. S - 2 Utility System Revenue Debt Maturity Interest Par Amount Call Call February 1 Rate to be Refunded*Date Price 2017 4.100%865,000$(1)100.00 2018 4.200%915,000 (1)100.00 2019 4.300%965,000 (1)100.00 2020 4.300%1,015,000 (1)100.00 2021 4.400%1,070,000 (1)100.00 2022 4.400%1,125,000 (1)100.00 2023 4.500%1,190,000 (1)100.00 2024 4.500%1,250,000 (1)100.00 2025 4.500%1,320,000 (1)100.00 2026 4.500%1,390,000 (1)100.00 2027 4.500%1,465,000 (1)100.00 12,570,000$ Utility System Revenue Bonds, Series 2007 __________ *Preliminary, subject to change. (1) Call date to be determined at pricing. APPENDIX A GENERAL INFORMATION REGARDING THE CITY A - 1 THE CITY The City, located in Brazos County, is situated in the middle of a triangle bounded by Dallas/Fort Worth, Houston, and San Antonio/Austin. Approximately 80% of the Texas population is located within a 200 mile radius of the City. In addition to being a residential community for faculty, students and other personnel of Texas A&M University, the City also serves as a regional manufacturing, retail and health care hub. The City was incorporated in 1938 and has a Council-City Manager form of government with City employees totaling 950.3 currently. The City adopted and enforces comprehensive zoning and building restrictions aimed at assuring orderly growth and development. The City’s ordinances require all subdividers, at their own expense and without provision for refund, to install streets and water and wastewater lines in any planned subdivision. These facilities are constructed under the City’s specifications and inspection and when completed are deeded to the City free and clear. All areas within the City are now adequately served with water, wastewater and electric service. In March 2013 Forbes magazine named College Station one of the nation’s 25 best places to retire. College-town cultural amenities, low cost of living, median home price, warm climate and low crime rate help land the City on Forbes list. CITY OWNED FACILITIES The City maintains approximately 325 centerline miles of streets within city limits, 99% of which are hard surface. The City has a complete water distribution, wastewater collection and treatment system with 775 miles of wastewater and water lines. The City owns the electrical distribution system with approximately 458 miles of distribution lines and 20 miles of transmission lines. The City has a fully equipped police department with 132 full time police officers and 74 support personnel. The department has 36 police patrol cars and one holding facility with a capacity of 17. The fire department consists of 146 full time fire fighters and 7 support personnel. There are six stations and a total of 8 engines, 6 ambulances, 2 command vehicles, 1 rescue truck, 2 ladder trucks, 1 tanker truck, and 1 grass fire truck. Fire Station #6 opened in December 2012. EDUCATIONAL FACILITIES The College Station Independent School District (the “School District”) is a fully accredited system offering 16 educational campuses for pre-kindergarten through high school. The School District has a student enrollment in excess of 12,500 and employs over 1,700 people. On November 3, 2015 the voters passed a bond proposition for the School District that includes the construction of three additional facilities. The bonds would fund a third intermediate school in the 2017-2018 school year and a third middle school and tenth elementary school in the 2018-2019 school year. The School District’s facilities are also used by Blinn College, a community college offering two years of college level courses. Texas A&M University provides higher educational facilities, offering both four year college programs and graduate degree programs. HEALTH CARE The College Station Medical Center “The MED” is located on 25 acres within the City. The 200,000 square foot facility is a full care hospital containing 167 beds and employing more than 650 people. The MED recently completed a $23 million hospital expansion. The MED is a Trauma Level III facility, Cycle III accredited Chest Pain Center, Certified Primary Stroke Center and was the region’s first Sleep Center to be accredited by the American Academy of Sleep Medicine. The Med partnered with Areofit to open a fitness center that provides a way to create new and creative approaches to wellness. The facility which opened in April 2014, offers outpatient therapy, health and wellness facilities and rehab services. In April 2014, Strategic Behavioral Health, LLC opened a 72-bed, acute psychiatric hospital in College Station. The hospital provides a structured, therapeutic and safe environment for children, adolescents, adults and seniors who require acute care for their psychiatric or behavioral challenges. On March 30, 2011, Baylor Scott and White broke ground on a 403,000 square foot, 5-story 143 bed hospital. The hospital opened in August 2013. Baylor Scott and White Hospital-College Station will house an emergency department, cardiac services including cath labs, neonatal intensive care unit, comprehensive cancer services, operating rooms, maternity services suites, endoscopic procedure suites, intra operative robotics and other specialty services, all supported by a pharmacy, comprehensive state-of-the-art imaging technology and other diagnostic capabilities Other area health care providers include: St. Joseph Regional Health Care Center, Baylor Scott and White Clinic, and The Physicians Centre. A - 2 TRANSPORTATION U.S. Highway 190/State Highway 21 links the City to Interstate 45 which is located approximately 35 miles to the east. State Highway 21 via U.S. Highway 290 also links the City to Austin, located approximately 110 miles to the west. State Highway 6 links the City to Waco (100 miles) and Interstate 35 to the north and Houston (90 miles) to the south. Also, State Highway 30 links the City to Huntsville (45 miles) and Interstate 45 to the east. Airlines Commercial, corporate and private airport facilities are provided by Easterwood Airport, which is located on the City’s west side and is owned and operated by Texas A&M University. American Eagle Airlines provides daily flights to and from Dallas-Fort Worth Airport out of Easterwood. United Airlines provides daily flights to and from Houston Bush Intercontinental Airport out of Easterwood. Coulter Field is located north of the City of Bryan and provides a 4,000 foot lighted runway. Coulter Field offers all types of services for the private aircraft. Bus Lines Two bus lines serve the City with daily service connecting the City with Houston and Dallas. Railroads Rail freight service is provided by the Union Pacific Railroad. Union Pacific Railroad operates a main freight line from Houston through Bryan-College Station to Dallas-Fort Worth and beyond. RECREATION The College Station park system presently includes 58 parks encompassing 1373 acres, including a 515 acre wilderness park, and a 150-acre regional athletic park. Collectively, these parks contain 66 playgrounds, 33 soccer fields, 26 basketball courts, 36 softball/baseball backstops, 14 tennis courts, 3 swimming pools, a spray park, a skate park, a gymnasium, an outdoor amphitheater with a green room and plaza area, 1 festival site and a number of picnic shelters and 7 picnic pavilions. The Parks and Recreation Department sponsors a variety of organized athletic and aquatic programs as well as many special events throughout the year. POPULATION 1970 1980 1990 2000 2010 City of College Station 17,676 37,272 52,456 67,890 93,857 Brazos County 57,978 93,588 121,862 152,415 194,851 Official U.S. Census(1) __________ (1)U.S. Census Bureau, American Community Survey ECONOMIC BACKGROUND Texas A&M University and System The City of College Station’s major asset is being the home of Texas A&M University (TAMU). TAMU is located on an approximately 5,200 acre campus within the City. TAMU has a significant economic impact on the City, contributing over $1.77 billion dollars annually to the local economy. TAMU has consistently ranked in the top 20 nationally among public institutions of higher education in both enrollment and research grants. TAMU's faculty-research members conduct an estimated $802 million worth of sponsored research projects each year, raking them in the top tier universities nationwide. In 2012, U.S. News and World Report ranked Texas A&M second in the nation among public universities in the “great school, great prices” category. Kiplinger’s 2013 “best value” ranks Texas A&M 1st in Texas and 18th among the nation’s top public colleges. Texas A&M ranks as the nation’s fifth largest university in enrollment, more than 59,000 students. Texas A&M ranks as one of the nation’s top 10 university for National Merit Scholars having over 400 National Merit Scholars enrolled. TAMU and its System, combined with its system agencies, employ more than 27,000 full-time and part-time staff. George Bush Presidential Library and Museum The City is the site of the George Bush Presidential Library and Museum, located on the campus of Texas A&M University. Texas A&M provides programs and facilities such as research and instructional programs related to the library and museum, a conference center, communications center, educational museum/library center, and family-oriented facilities such as a park surrounding the presidential library and museum. The Presidential Library and Museum is also part of the George Bush Presidential Library Center which is home to the prestigious Bush School of Government and Public Service. A - 3 One Health Plus Biocorridor College Station entered into an interlocal agreement for the One Health Plus Biocorridor with the City of Bryan. The 3,500 acre Biocorridor will be an international destination for education, research, development, commercialization and production of innovative technologies to improve global health. In March 2013, Texas A&M University announced a partnership with pharmaceutical giant GlaxoSmithKline to create $91 million influenza-manufacturing facility. The facility is expected to bring 7,000 jobs to the area. Medical District The City recently amended its Comprehensive Plan to include the College Station Medical District Master Plan. The Master Plan establishes guiding principles for the development of approximately 1,700 acres in south College Station to accommodate medical facilities, walkable village centers, commercial space, and a variety of residential unit types, all in close proximity to parks, open space, and trails. To ensure the long-term success of the District, the City has created two Tax Increment Reinvestment Zones to help fund the necessary infrastructure. The City is also in the process of establishing 2 Municipal Management Districts to be used as a tool for development of these areas as well. Athletics Athletics is an integral part of College Station. Texas A&M University, along with the City, hosts a multitude of athletic events. Texas A&M University is the home of Kyle Field, Reed Arena, Olsen Field at Bluebell Park, Aggie Softball Complex, George P. Mitchell Tennis Center and Gilliam Indoor Track Stadium. Several of Texas A&M teams have won both conference and national titles over the past five years which has positioned the University to host regional payoffs as well as national championship games. In the Fall of 2012, Texas A&M began playing in the Southeastern Conference. Texas A&M’s move to the SEC has proved positive for the City. At the end of the 2013 football season, the University began a $450 million renovation to Kyle Field making it the largest college stadium in the SEC and Texas with a seating capacity of 102,500. The stadium was completed prior to the 2015 season. The City’s sport complex’s as well as the ease to get around makes College Station attractive to several organizations. Over the past several years, the Amateur Softball Association and the Texas Amateur Athletic Federation have chosen College Station to host state tournaments and events. In addition, the City facilitates two major softball tournaments, a soccer tournament, a 7 on 7 flag football tournament and baseball tournaments throughout the year. The City has added 2 additional synthetic athletic fields at Veterans Park and Athletic Complex. This is anticipated to allow additional tournaments to be held in this area. MAJOR AREA EMPLOYERS Number of Firm Name Product Employees Texas A&M University and System Education/Research 17,000+ Bryan ISD Education 2000+ Texas A&M Health Science Center Education 2000+ College Station ISD Education 2000+ Reynolds & Reynolds Computer Hardware and Software 1800+ Blinn College - Bryan Campus Education 1000+ Sanderson Farms, Inc.Poultry Processing 1000+ CHI St. Joseph's Regional Hospital Health Service 1000+ Wal-Mart/Sam's Retail 1000+ HEB Grocery Retail 1000+ Brazos County Government 500-999 City of Bryan Government 500-999 City of College Station Government 500-999 College Station Medical Center Health Service 500-999 Ply Gem Windows Manufacturing 500-999 Baylor Scott & White Health Service 500-999 Source: Research Valley Partnership Employment is provided by a variety of high growth industries located in, or adjacent to, the City which include ambulatory health care services; professional, scientific, and technical services; specialty trade contractors; food manufacturing; administrative and support services as identified in the Local Employment Dynamics data. Additionally College Station is also home to the 350 acre Research Park, located on the Texas A&M University campus, which houses 30 public-private tenants including the Research Valley Partnership, Schlumberger, Texas A&M Transportation Institute, and Offshore Technology Research Center. The City also developed the 200-acre, Class “A” Business Center at College Station (BCCS), tenants of which include Reynolds and Reynolds Cognizant Technology Solution, Suddenlink Media, Stata Corporation, Heat Transfer Research, Inc. (HTRI), and the Texas A&M University System. In addition, the City has worked to develop a new Science Park at Research Valley, which currently houses Lynntech, Inc. and RBC Technologies. A - 5 LABOR STATISTICS College Station Labor Total Force Employment Unemployment Rate 2009 45,998 43,566 2,432 5.3% 2010 47,301 44,488 2,813 5.9% 2011 47,972 44,939 3,033 6.3% 2012 47,092 44,328 2,764 5.9% 2013 51,136 48,665 2,471 4.8% 2014 52,028 49,945 2,083 4.0% 2015 52,739 51,023 1,716 3.3% 2016 (1)54,546 52,930 1,616 3.0% Year Brazos County Labor Total Force Employment Unemployment Rate 2009 96,669 91,418 5,251 5.4% 2010 99,119 93,101 6,018 6.1% 2011 100,643 94,245 6,398 6.4% 2012 98,755 92,963 5,792 5.9% 2013 103,089 98,074 5,015 4.9% 2014 104,334 100,180 4,154 4.0% 2015 105,935 102,343 3,592 3.4% 2016 (1)109,636 106,168 3,468 3.2% Year Source: Texas Workforce Commission. (1) As of February 29, 2016 BUILDING PERMITS College Station has grown rapidly over the past 30 years as evidenced by an increase in population from 37,272 in 1980 to 93,857 in 2010. As of 2014, the estimated population of College Station was 100,394. The following table sets forth the number and value of construction permits issued by the City over the past several years. Residential Construction Commercial Construction Total Number Number Number of Permits Value of Permits Value of Permits Value 2007 990 161,466,990$413 74,683,795$1,403 236,150,785$ 2008 1,131 164,494,779 346 154,313,994 1,477 318,808,773 2009 792 82,316,558 243 46,947,099 1,035 129,263,657 2010 860 93,158,066 309 162,053,510 1,169 255,211,576 2011 971 124,132,135 359 123,779,052 1,330 247,911,187 2012 1,208 149,737,218 325 67,478,910 1,533 217,216,128 2013 1,030 145,142,757 333 67,516,132 1,363 212,658,889 2014 1,167 211,909,494 338 67,570,229 1,505 279,479,723 2015 1,687 206,336,883 294 78,209,095 1,981 284,545,978 (1) Calendar Year Source: The City. (1)Reflects January through December 2015. COUNTY CHARACTERISTICS Brazos County was created in 1841 from Robertson and Washington Counties. The economy is diversified primarily by agribusiness, computer manufacturing, research and development, and education. The Texas Almanac designates cattle, hogs, sorghums, corn, cotton, wheat, oats and pecans as the principal sources of agricultural income. The County had a 2010 population of 194,851, an increase of 27.8% since 2000. Minerals produced in the County include sand and gravel, lignite, gas and oil. APPENDIX B EXCERPTS FROM THE CITY OF COLLEGE STATION, TEXAS ANNUAL FINANCIAL REPORT For the Year Ended September 30, 2015 The information contained in this Appendix consists of excerpts from the City of College Station, Texas Annual Financial Report for the Year Ended September 30, 2015, and is not intended to be a complete statement of the City's financial condition. Reference is made to the complete Report for further information. APPENDIX C FORMS OF OPINIONS OF BOND COUNSEL 2016 Draft Debt Issue 2008 General Obligation Bonds Streets Proposed 4,000,000 Lakeway Drive Extension ST1101 20 Yrs 600,000 Traffic Signals (08 GOB)ST1027 20 Yrs Streets Total 4,600,000$ General Government 4,185,000 Library Expansion GG1010 20 Yrs General Gov't Total 4,185,000$ 2008 GOB Total 8,785,000$ Gen'l Gov't Certificates of Obligation Streets Proposed 200,000 Munson Street Rehabilitation ST1402 20 Yrs 735,000 Francis Drive Rehabilitation - Phase I ST1419 20 Yrs 595,000 Francis Drive Rehabilitation - Phase II ST1420 20 Yrs 3,050,000 Intelligent Transportation System Implementation ST1501 10 Yrs 4,100,000 Greens Prairie Tr fr 2154 thru Royder ST1504 20 Yrs 1,000,000 Cain/Deacon UP Railroad Crossing Switch ST1602 20 Yrs 655,000 Design of FM 2818 Capacity Improvements ST1603 20 Yrs 700,000 Rock Prairie Rd West - Wellborn Rd to City Limits ST1604 20 Yrs 800,000 Capstone & Barron Rd Alignment ST1605 20 Yrs 500,000 NH Safety Imp - Holik, Park Pl, Anna & Glade ST1606 20 Yrs 1,500,000 Holleman Drive South Widening ST1607 20 Yrs 515,000 Greens Prairie @ Arrington Intersection Imp ST1608 20 Yrs 2,700,000 Royder Road Expansion ST1611 20 Yrs Streets Total 17,050,000$ General Government 3,000,000 Police Station Design GG1604 20 Yrs General Gov't Total 3,000,000$ Governmental CO Subtotal 20,050,000$ 3/11/2016 8:39 2016 Draft Debt Issue 3/11/2016 8:39 Utility Certificates of Obligation Proposed 2,030,000 Well #9 20 Yrs 1,250,000 Well #9 Collection Line 20 Yrs 300,000 SH6 Water Line Ph I (SH40 to Venture Dr)20 Yrs 300,000 SH6 Water Line Ph II (Creagor Lane to SH40)20 Yrs 500,000 Munson Rehab 20 Yrs 1,345,000 Eastgate Rehab 20 Yrs - Cooling Tower Expansion 20 Yrs 1,200,000 Variable Frequency Drive Replacement 10 Yrs 720,000 Francis Rehab Ph I 20 Yrs 130,000 Francis Rehab Ph II 20 Yrs - Sweetwater Forest Line Extension 20 Yrs 125,000 Lakeway Water Line Extension 20 Yrs Water Projects 7,900,000$ Utility CO Subtotal 7,900,000$ Estimated Debt Issuance Costs 320,000$ Certificates of Obligation Total 28,270,000$ Total Debt Issue 37,055,000$ City Hall 1101 Texas Ave College Station, TX 77840 College Station, TX Legislation Details (With Text) File #: Version:116-0272 Name:General Obligation and Refunding Bonds Status:Type:Presentation Agenda Ready File created:In control:4/27/2016 City Council Regular On agenda:Final action:5/16/2016 Title:Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $56,000,000 in principal amount of “City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the Bonds; approving and authorizing instruments and other procedures relating to said bonds; and enacting other provisions relating to the subject. Sponsors:Jeff Kersten Indexes: Code sections: Attachments:Ordinance (GO Imp and Ref) (ver 1) College Station, 2016 POS (COUNCIL_5.11.2016).pdf Copy of 2016 Debt Issue.pdf Action ByDate Action ResultVer. Presentation, possible action, and discussion on an ordinance authorizing the issuance of up to $56,000,000 in principal amount of “City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the Bonds; approving and authorizing instruments and other procedures relating to said bonds; and enacting other provisions relating to the subject. Relationship to Strategic Goals:Financially Sustainable City, and Providing Core Services and Infrastructure. Recommendation(s):Council move to approve the ordinance authorizing the issuance and sale of up to $56,000,000 in “General Obligation Improvement and Refunding Bonds, Series 2016”; delegating the authority to certain City Officials to execute certain documents relating to the sale of the Bonds; approving and authorizing instruments and other procedures relating to said bonds; and enacting other provisions relating to the subject. Summary:The City has the opportunity to refund a portion of its General Obligation Improvement Bonds, Certificates of Obligation and Utility Revenue Bonds in order to achieve savings due to lower interest rates that are currently available. The City's Financial Advisor, Drew Masterson with First Southwest Company has presented the City with an opportunity to issue refunding bonds for several of our outstanding General Obligation Improvement Bonds, Certificates of Obligation and Utility Revenue Bond issues. Refunding is issuing new debt to replace and pay off existing debt. Refunding can be done for a number of reasons; however, most often are used to accrue a savings against the current debt. The bonds that are proposed to be refunded are: Utility System Revenue Bonds, Series 2007 $12,570,000 Certificates of Obligation, Series 2007 $ 1,945,000 Certificates of Obligation, Series 2008 $ 8,785,000 College Station, TX Printed on 5/12/2016Page 1 of 2 powered by Legistar™ File #:16-0272,Version:1 General Obligation Refunding Bonds, Series 2006 $ 2,205,000 General Obligation Bonds, Series 2007 $ 1,935,000 General Obligation Bonds, Series 2008 $ 3,915,000 $31,355,000 The City Council's Finance and Budgetary Policies allow for the City to "refund" debt when there is a net present value savings of at least 5%. The opportunity that is currently before the City Council will save the City approximately 12.618304% over the remaining life of the issues. The net present value savings includes the debt issuance costs.If this ordinance is approved, the City Council will be delegating to the Mayor, the City Manager and the Assistant City Manager the authority to effect the refunding and the bond sale when the net present value savings on the refunding achieves at least the 5% threshold through November 16, 2016. Currently, the net present value savings is above the 5% threshold, however, if the net present value savings should fall below the 5%, this will provide an opportunity to reach the 5% threshold over the next 6 months in order to generate as much savings as possible for the City. Refundings are typically done as negotiated sales rather than our normal bidding process. However, our financial advisor has recommended a competitive sale process this year. The City Council is authorized to approve the issuance of General Obligation Improvement Bonds which have been authorized by a vote of the citizens. The Citizens approved a total of $76,950,000 on November 4, 2008. By approving the ordinance, the Council will issue $8,785,000 from the 2008 authorization. This is the seventh bond sale from the 2008 bond authorization. The 2008 authorization provides for a 7 year capital plan. The City of College Station typically issues debt to fund various capital projects identified and approved as a part of the annual budget. This particular debt issue is planned to provide resources for street and transportation projects, traffic signals, pedestrian improvements, hike and bike trails, parks and park facilities improvements and the library expansion. Budget & Financial Summary: Based on current estimates, the refunding will reduce the overall cost of the refunded bonds by at least 12.618304% over the remaining life of the existing bonds. Total net present value savings will be at least $3,956,469.30. The average annual savings will range between $209,283 and $429,802 per year. The savings will help the City by providing an additional margin that Council may choose to use for projects not currently funded by an identified source. Staff reviewed the impact of the general obligation improvement bonds will have on City's ability to meet debt service requirements and the effect they may have on the ad valorem tax rate. The recommendation to move forward with this issue will not impact the ad valorem tax rate. Attachments: 1. Ordinance 2. Preliminary Official Statement - A copy will be place in the City Secretary’s Office 3. Debt Issuance 2016. College Station, TX Printed on 5/12/2016Page 2 of 2 powered by Legistar™ ORDINANCE NO. ______________ AUTHORIZING THE ISSUANCE OF UP TO $56,000,000 IN PRINCIPAL AMOUNT OF "CITY OF COLLEGE STATION, TEXAS GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BONDS, SERIES 2016"; DELEGATING THE AUTHORITY TO CERTAIN CITY OFFICIALS TO EXECUTE CERTAIN DOCUMENTS RELATING TO THE SALE OF THE BONDS; APPROVING AND AUTHORIZING INSTRUMENTS AND PROCEDURES RELATING TO SAID BONDS; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT WHEREAS, it is deemed advisable and to be in the best interest of the City of College Station (the "City") that certain bonds authorized at elections previously held in the City be combined in a single issue and sold as described herein. WHEREAS, this City Council finds and determines that it is necessary and proper to order the issuance, sale and delivery of such voted bonds; WHEREAS, the City has previously issued, and there are presently outstanding, revenue bonds of the City secured by a pledge of revenues derived by the City from the ownership and operation of the City's Utility System (consisting of the City's combined municipal electric light and power, waterworks and sewer system), and general obligation bonds and certificates of obligation which are secured by the full faith and credit of the City and a pledge by the City to levy ad valorem taxes sufficient to pay principal of and interest on the bonds and certificates of obligation as they become due and a pledge of surplus revenues of the Utility System to further secure the certificates of obligation; WHEREAS, the City now desires to refund all or part of the outstanding revenue bonds, general obligation bonds and certificates of obligation described in Schedule I attached hereto and incorporated herein, which may be selected and designated to be refunded by the Pricing Officer in the Pricing Certificate (the "Refunded Obligations"); WHEREAS, Chapter 1207, Texas Government Code, authorizes the City to issue refunding bonds and to deposit the proceeds from the sale thereof, together with any other available funds or resources, directly with a paying agent for the Refunded Obligations or a trust company or commercial bank that does not act as a depository for the City and is named in these proceedings, and such deposit, if made before the payment dates of the Refunded Obligations, shall constitute the making of firm banking and financial arrangements for the discharge and final payment of the Refunded Obligations; WHEREAS, Chapter 1207, Texas Government Code, further authorizes the City to enter into an escrow or similar agreement with such paying agent for the Refunded Obligations or trust company or commercial bank with respect to the safekeeping, investment, reinvestment, administration and disposition of any such deposit, upon such terms and conditions as the City and such paying agent or trust company or commercial bank may agree; WHEREAS, the City Council hereby finds and declares a public purpose and it is in the best interests of the City to refund the Refunded Obligations in order to achieve a debt service 2 savings, with such savings, among other information and terms to be included in the Pricing Certificate to be executed by the Pricing Officer (hereinafter designated), all in accordance with the provisions of Section 1207.007, Texas Government Code; WHEREAS, all the Refunded Obligations mature or are subject to redemption prior to maturity within 20 years of the date of the bonds hereinafter authorized; WHEREAS, the City is an "Issuer" within the meaning of Section 1371.001(4)(P), Texas Government Code, having (i) a principal amount of at least $100 million in outstanding long- term indebtedness, in long-term indebtedness proposed to be issued, or in a combination of outstanding or proposed long-term indebtedness and (ii) some amount of long-term indebtedness outstanding or proposed to be issued that is rated in one of the four highest rating categories for long-term debt instruments by a nationally recognized rating agency for municipal securities, without regard to the effect of any credit agreement or other form of credit enhancement entered into in connection with the obligation; WHEREAS, the bonds hereinafter authorized to be issued were voted and are to be issued, sold and delivered pursuant to the general laws of the State of Texas, including Texas Government Code Chapters 1207, 1331 and 1371, as amended, and the City's Home Rule Charter; and WHEREAS, it is officially found, determined, and declared that the meeting at which this Ordinance has been adopted was open to the public and public notice of the time, place and subject matter of the public business to be considered and acted upon at said meeting, including this Ordinance, was given, all as required by the applicable provisions of Texas Government Code Chapter 551; THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS: Section 1. DEFINITIONS; AUTHORIZATION OF BONDS. (a) Definitions. Terms not otherwise defined herein shall have the following meanings. (i) The term "Authorized Denomination" shall mean a denomination of $5,000 of principal amount of a Bond or any integral multiple thereof. (ii) The term "Bonds" shall mean the City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016. (iii) The term "Business Day" means any day other than a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the City are authorized by law or executive order to close. (iv) The term "MSRB" means the Municipal Securities Rulemaking Board. 3 (v) The term "Pricing Certificate" means a certificate of the Pricing Officer setting forth the terms of sale of the Bonds including the method of sale, principal amount, maturity dates, interest payment dates, dated date, interest rates, yields, redemption provisions, and other matters related to the sale of the Bonds. (vi) The term "Pricing Officer" means the Mayor, the City Manager and the Assistant City Manager (Jeff Kersten) of the City (each the "Pricing Officer") each of whom is independently authorized to finalize the terms of sale of the Bonds by execution of the Pricing Certificate. (vii) The term "Purchaser" means (i) if the Bonds are sold by negotiated sale, the underwriter or underwriting syndicate selected by the Pricing Officer, or (ii) if the Bonds are sold by competitive sale by soliciting public bids, the underwriter or underwriting syndicate awarded the Bonds by the Pricing Officer. (viii) The term "Rule" means SEC Rule 15c2-12 (17 C.F.R. § 240.15C2-12), as amended from time to time. (ix) The term "SEC" means the United States Securities and Exchange Commission (b) That said City's General Obligation Improvement and Refunding Bonds, to be designated the "City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016", are hereby authorized to be issued and delivered in the principal amount not to exceed $56,000,000 for the public purpose of (i) refunding the Refunded Obligations; (ii) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (iii) pay for the costs of expanding, constructing and improving City library facilities; (iv) paying the fiscal, engineering and legal fees incurred in connection with such projects; and (v) paying the costs incurred in connection with the issuance of the Bonds (collectively, the "Projects"). Section 2. DELEGATION TO PRICING OFFICER. (a) As authorized by Sections 1207.007 and 1371.053, Texas Government Code, each Pricing Officer is each hereby authorized to act individually and severally on behalf of the City in selling and delivering the Bonds, carrying out the other procedures specified in this Ordinance, including, determining the date of the Bonds, any additional or different designation or title by which the Bonds shall be known, whether the Bond shall be sold and delivered in one or more series and the date and sale and delivery of each such series, the price at which the Bonds will be sold, the years in which the Bonds will mature, the principal amount to mature in each of such years, the rate of interest to be borne by each such maturity, the interest payment and record dates, the price and terms upon and at which the Bonds shall be subject to redemption prior to maturity at the option of the City, as well as any mandatory sinking fund redemption provisions, and all other matters relating to the issuance, sale, and delivery of the Bonds and obtaining municipal insurance for all or any portion of the Bonds and providing for the terms and provisions thereof applicable to the Bonds, all of which shall be specified in the Pricing Certificate; provided that: 4 (i) the aggregate original principal amount of the Bonds shall not exceed $56,000,000, with (i) no more than $47,000,000 of such amount to be issued to refund the Refunded Obligations and pay costs of issuance of the Bonds, and (ii) no more than $9,000,000 of such amount issued to pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; to pay for the costs of expanding, constructing and improving City library facilities; to pay paying the fiscal, engineering and legal fees incurred in connection with such projects; and to pay the costs incurred in connection with the issuance of the Bonds; (ii) the true interest cost of the Bonds shall not exceed 3.000% per annum; (iii) the refunding must produce present value debt service savings of at least 5.000%; (iv) the final maturity of the Bonds shall not exceed February 15, 2036; (v) the delegation made hereby shall expire if not exercised by the Pricing Officer on or prior to May 16, 2017; and (vi) on or prior to delivery, the Bonds shall be rated by a nationally recognized rating agency for municipal securities in one of the four highest categories for long-term obligations. (b) In establishing the aggregate principal amount of the Bonds, the Pricing Officer shall establish an amount that, when combined with premium used for purposes other than the payment of costs of issuance, does not exceed the amount authorized in Subsection (a) hereof, which shall be sufficient in amount to provide for the purposes for which the Bonds are authorized and to pay costs of issuing the Bonds. The Bonds shall be sold with and subject to such terms as set forth in the Pricing Certificate. (c) The Bonds may be sold by public offering (either through a negotiated or competitive offering) and the Pricing Certificate shall so state, and the Pricing Certificate may conform this Ordinance to such method of sale, including the provisions hereof that pertain to the undertaking of the Issuer in accordance with the Rule. (c) The City Council hereby determines that the delegation of the authority to the Pricing Officer to approve the final terms of the Bonds as set forth in this Ordinance is, and the decisions made by the Pricing Officer pursuant to such delegated authority and incorporated into the Pricing Certificate are required to be, in the Issuer's best interests, and the Pricing Officer is hereby authorized to make and include in the Pricing Certificate a finding to that effect. Section 3. CHARACTERISTICS OF THE BONDS. (a) The City shall keep or cause to be kept at the corporate trust office in Dallas, Texas (the "Designated Trust Office") of The Bank of New York Mellon Trust Company, N.A., or such other bank, trust company, financial institution, or other agency named in accordance with the provisions of (g) below (the "Paying Agent/Registrar"), books or records for the registration and transfer of the Bonds (the "Registration Books"), and the City hereby appoints the Paying Agent/Registrar as its registrar and transfer agent to keep such books or records and make such transfers and registrations under 5 such reasonable regulations as the City and Paying Agent/Registrar may prescribe; and the Paying Agent/Registrar shall make such transfers and registrations as herein provided. It shall be the duty of the Paying Agent/Registrar to obtain from the registered owner and record in the Registration Books the address of the registered owner of each Bond to which payments with respect to the Bonds shall be mailed, as herein provided. The City or its designee shall have the right to inspect the Registration Books during regular business hours of the Paying Agent/Registrar at its Designated Trust Office, but otherwise the Paying Agent/Registrar shall keep the Registration Books confidential and, unless otherwise required by law, shall not permit their inspection by any other entity. Registration of each Bond may be transferred in the Registration Books only upon presentation and surrender thereof to the Paying Agent/Registrar at its Designated Trust Office for transfer of registration and cancellation, together with proper written instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar, evidencing the assignment of such Bond, or any portion thereof in any Authorized Denomination, to the assignee or assignees thereof, and the right of such assignee or assignees to have such Bond or any such portion thereof registered in the name of such assignee or assignees. Upon the assignment and transfer of any Bond or any portion thereof, a new substitute Bond or Bonds shall be issued in exchange therefor in the manner herein provided. (b) The entity in whose name any Bond shall be registered in the Registration Books at any time shall be treated as the absolute owner thereof for all purposes of this Ordinance, whether or not such Bond shall be overdue, and the City and the Paying Agent/Registrar shall not be affected by any notice to the contrary; and payment of, or on account of, the principal of, premium, if any, and interest on any such Bond shall be made only to such registered owner. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid. (c) The City hereby further appoints the Paying Agent/Registrar to act as the paying agent for paying the principal of and interest on the Bonds, and to act as its agent to exchange or replace Bonds, all as provided in this Ordinance. The Paying Agent/Registrar shall keep proper records of all payments made by the City and the Paying Agent/Registrar with respect to the Bonds, and of all exchanges thereof, and all replacements thereof, as provided in this Ordinance. (d) Each Bond may be exchanged for fully registered Bonds in the manner set forth herein. Each Bond issued and delivered pursuant to this Ordinance may, upon surrender thereof at the Designated Trust Office of the Paying Agent/Registrar, together with a written request therefor duly executed by the registered owner or the assignee or assignees thereof, or its or their duly authorized attorneys or representatives, with guarantee of signatures satisfactory to the Paying Agent/Registrar, at the option of the registered owner or such assignee or assignees, as appropriate, be exchanged for fully registered Bonds, without interest coupons, in the form prescribed in the FORM OF BOND, in an Authorized Denomination (subject to the requirement hereinafter stated that each substitute Bond shall have a single stated maturity date), as requested in writing by such registered owner or such assignee or assignees, in an aggregate principal amount equal to the principal amount of any Bond or Bonds so surrendered, and payable to the appropriate registered owner, assignee, or assignees, as the case may be. If any Bond or portion thereof is assigned and transferred, each Bond issued in exchange therefor shall have the same principal maturity date and bear interest at the same rate as the Bond for which it is being exchanged. Each substitute Bond shall bear a letter and/or number to distinguish it from each 6 other Bond. The Paying Agent/Registrar shall exchange or replace Bonds as provided herein, and each fully registered Bond or Bonds delivered in exchange for or replacement of any Bond or portion thereof as permitted or required by any provision of this Ordinance shall constitute one of the Bonds for all purposes of this Ordinance, and may again be exchanged or replaced. It is specifically provided, however, that any Bond delivered in exchange for or replacement of another Bond prior to the first scheduled interest payment date on the Bonds (as stated on the face thereof) shall be dated the same date as such Bond, but each substitute Bond so delivered on or after such first scheduled interest payment date shall be dated as of the interest payment date preceding the date on which such substitute Bond is delivered, unless such substitute Bond is delivered on an interest payment date, in which case it shall be dated as of such date of delivery; provided, however, that if at the time of delivery of any substitute Bond the interest on the Bond for which it is being exchanged has not been paid, then such substitute Bond shall be dated as of the date to which such interest has been paid in full. On each substitute Bond issued in exchange for or replacement of any Bond or Bonds issued under this Ordinance there shall be printed thereon a Paying Agent/Registrar's Authentication Certificate, in the form hereinafter set forth in the FORM OF BOND (the "Authentication Certificate"). An authorized representative of the Paying Agent/Registrar shall, before the delivery of any such substitute Bond, date such substitute Bond in the manner set forth above, and manually sign and date the Authentication Certificate, and no such substitute Bond shall be deemed to be issued or outstanding unless the Authentication Certificate is so executed. The Paying Agent/Registrar promptly shall cancel all Bonds surrendered for exchange or replacement. No additional ordinances, orders, or resolutions need be passed or adopted by the City Council or any other body or person so as to accomplish the foregoing exchange or replacement of any Bonds or portion thereof, and the Paying Agent/Registrar shall provide for the printing, execution, and delivery of the substitute Bond in the manner prescribed herein. Pursuant to Chapter 1206, Texas Government Code, the duty of exchange or replacement of any Bonds as aforesaid is hereby imposed upon the Paying Agent/Registrar, and, upon the execution of Authentication Certificate, the exchanged or replaced Bond shall be valid, incontestable, and enforceable in the same manner and with the same effect as the Bonds which originally were delivered pursuant to this Ordinance, approved by the Attorney General, and registered by the Comptroller of Public Accounts. Neither the City nor the Paying Agent/Registrar shall be required to transfer or exchange any Bond so selected for redemption, in whole or in part, within 45 calendar days of the date fixed for redemption; provided, however, such limitation of transfer shall not be applicable to an exchange by the registered owner of the uncalled principal of a Bond. (e) All Bonds issued in exchange or replacement of any other Bond or portion thereof, (i) shall be issued in fully registered form, without interest coupons, with the principal of and interest on such Bonds to be payable only to the registered owners thereof, (ii) may be redeemed prior to their scheduled maturities, (iii) may be transferred and assigned, (iv) may be exchanged for other Bonds, (v) shall have the characteristics, (vi) shall be signed and sealed, and (vii) the principal of and interest on the Bonds shall be payable, all as provided, and in the manner required or indicated, in the FORM OF BOND. (f) The City shall pay the Paying Agent/Registrar's reasonable and customary fees and charges for making transfers of Bonds, but the registered owner of any Bond requesting such transfer shall pay any taxes or other governmental charges required to be paid with respect thereto. The registered owner of any Bonds requesting any exchange shall pay the Paying 7 Agent/Registrar's reasonable and standard or customary fees and charges for exchanging any such Bond or portion thereof, together with any taxes or governmental charges required to be paid with respect thereto, all as a condition precedent to the exercise of such privilege of exchange, except, however, that in the case of the exchange of an assigned and transferred Bond or Bonds or any portion or portions thereof in an Authorized Denomination, as provided in this Ordinance, such fees and charges will be paid by the City. In addition, the City hereby covenants with the registered owners of the Bonds that it will (i) pay the reasonable and standard or customary fees and charges of the Paying Agent/Registrar for its services with respect to the payment of the principal of and interest on Bonds, when due, and (ii) pay the fees and charges of the Paying Agent/Registrar for services with respect to the transfer or registration of Bonds solely to the extent above provided, and with respect to the exchange of Bonds solely to the extent above provided. (g) The City covenants with the registered owners of the Bonds that at all times while the Bonds are outstanding the City will provide a competent and legally qualified bank, trust company, financial institution, or other agency to act as and perform the services of Paying Agent/Registrar for the Bonds under this Ordinance, and that the Paying Agent/Registrar will be one entity. The City reserves the right to, and may, at its option, change the Paying Agent/Registrar upon not less than sixty days written notice to the Paying Agent/Registrar. In the event that the entity at any time acting as Paying Agent/Registrar (or its successor by merger, acquisition, or other method) should resign or otherwise cease to act as such, the City covenants that it will promptly appoint a competent and legally qualified national or state banking institution which shall be a corporation organized and doing business under the laws of the United States of America or of any state, authorized under such laws to exercise trust powers, subject to supervision or examination by federal or state authority, and whose qualifications substantially are similar to the previous Paying Agent/Registrar to act as Paying Agent/Registrar under this Ordinance. Upon any change in the Paying Agent/Registrar, the previous Paying Agent/Registrar promptly shall transfer and deliver the Registration Books (or a copy thereof), along with all other pertinent books and records relating to the Bonds, to the new Paying Agent/Registrar designated and appointed by the City. Upon any change in the Paying Agent/Registrar, the City promptly will cause a written notice thereof to be sent by the new Paying Agent/Registrar to each registered owner of the Bonds, by United States mail, first-class postage prepaid, which notice also shall give the address of the new Paying Agent/Registrar. By accepting the position and performing as such, each Paying Agent/Registrar shall be deemed to have agreed to the provisions of this Ordinance, and a certified copy of this Ordinance shall be delivered to each Paying Agent/Registrar. Section 4. FORM OF BONDS. The form of the Bonds, including the form of the Authentication Certificate, the form of Assignment and the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be attached to the Bonds initially issued and delivered pursuant to this Ordinance, shall be in substantially the form as set forth in Exhibit A to this Ordinance, shall be numbered consecutively from R-1 upward, with the Initial Bond being numbered T-1, with such appropriate variations, omissions, or insertions as are permitted or required by this Ordinance, and with the FORM OF BOND to be modified pursuant to, and completed with information set forth in the Pricing Certificate. The FORM OF BOND as it appears in Exhibit A shall be completed, amended and modified by Bond Counsel to incorporate the information set forth in the Pricing Certificate but it is not required for the FORM 8 OF BOND to reproduced as an exhibit to the Pricing Certificate. The printer of the Bonds is hereby authorized to print on the Bonds (i) the form of bond counsel's opinion relating to the Bonds, and (ii) an appropriate statement of insurance furnished by a municipal bond insurance company providing municipal bond insurance, if any, covering all or any part of the Bonds. Section 5. RESERVED. Section 6. LEVY OF TAX; INTEREST AND SINKING FUND. (a) That a special fund or account, to be designated the "City of College Station, Texas Series 2016 Improvement and Refunding Bond Interest and Sinking Fund" (the "Interest and Sinking Fund") is hereby created and shall be established and maintained by the City. The Interest and Sinking Fund shall be kept separate and apart from all other funds and accounts of the City, and shall be used only for paying the interest on and principal of the Bonds. All ad valorem taxes levied and collected for and on account of the Bonds shall be deposited, as collected, to the credit of the Interest and Sinking Fund. During each year while any of the Bonds are outstanding and unpaid, the governing body of the City shall compute and ascertain the rate and amount of ad valorem tax, based on the latest approved tax rolls of the City, with full allowances being made for tax delinquencies and the cost of tax collections, which will be sufficient to raise and produce the money required to pay the interest on the Bonds as such interest comes due, and to provide a sinking fund to pay the principal (including mandatory sinking fund redemption payments, if any) of the Bonds as such principal matures or comes due through operation of the mandatory sinking fund redemption, if any, but never less than 2% of the original amount of the Bonds as a sinking fund each year. The rate and amount of ad valorem tax is hereby ordered to be levied against all taxable property in the City for each year while any of the Bonds is outstanding and unpaid, and the ad valorem tax shall be assessed and collected each such year and deposited to the credit of the Interest and Sinking Fund. Ad valorem taxes necessary to pay the interest on and principal of the Bonds, as such interest comes due and such principal matures, are hereby pledged for such payment, within the limit prescribed by law. Section 7. TRANSFER. That the City shall do any and all things necessary to accomplish the transfer of monies to the Interest and Sinking Fund of this issue in ample time to pay such items of principal and interest due on the Bonds. Section 8. SECURITY FOR FUNDS. That the Interest and Sinking Fund created by this Ordinance shall be secured in the manner and to the fullest extent permitted or required by law for the security of public funds, and such Interest and Sinking Fund shall be used only for the purposes and in the manner permitted or required by this Ordinance. Section 9. DAMAGED, MUTILATED, LOST, STOLEN, OR DESTROYED BONDS. (a) Replacement Bonds. That in the event any outstanding Bond is damaged, mutilated, lost, stolen, or destroyed, the Paying Agent/Registrar shall cause to be printed, executed, and delivered, a new Bond of the same principal amount, maturity, and interest rate, as the damaged, mutilated, lost, stolen, or destroyed Bond, in replacement for such Bond in the manner hereinafter provided. 9 (b) Application for Replacement Bonds. That application for replacement of damaged, mutilated, lost, stolen, or destroyed Bonds shall be made by the registered owner thereof to the Paying Agent/Registrar. In every case of loss, theft, or destruction of a Bond, the registered owner applying for a replacement Bond shall furnish to the City and to the Paying Agent/Registrar such security or indemnity as may be required by them to save each of them harmless from any loss or damage with respect thereto. Also, in every case of loss, theft, or destruction of a Bond, the registered owner shall furnish to the City and to the Paying Agent/Registrar evidence to their satisfaction of the loss, theft, or destruction of such Bond, as the case may be. In every case of damage or mutilation of a Bond, the registered owner shall surrender to the Paying Agent/Registrar for cancellation the Bond so damaged or mutilated. (c) No Default Occurred. That notwithstanding the foregoing provisions of this Section, in the event any such Bond shall have matured, and no default has occurred which is then continuing in the payment of the principal of, redemption premium, if any, or interest on the Bond, the City may authorize the payment of the same (without surrender thereof except in the case of a damaged or mutilated Bond) instead of issuing a replacement Bond, provided security or indemnity is furnished as above provided in this Section. (d) Charge for Issuing Replacement Bonds. That prior to the issuance of any replacement Bond, the Paying Agent/Registrar shall charge the registered owner of such Bond with all legal, printing, and other expenses in connection therewith. Every replacement Bond issued pursuant to the provisions of this Section by virtue of the fact that any Bond is lost, stolen, or destroyed shall constitute a contractual obligation of the City whether or not the lost, stolen, or destroyed Bond shall be found at any time, or be enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and proportionately with any and all other Bonds duly issued under this Ordinance. (e) Authority for Issuing Replacement Bonds. That in accordance with Section 1201.067, Texas Government Code, this Section of this Ordinance shall constitute authority for the issuance of any such replacement Bond without necessity of further action by the City or any other body or person, and the duty of the replacement of such Bonds is hereby authorized and imposed upon the Paying Agent/Registrar, and the Paying Agent/Registrar shall authenticate and deliver such Bonds in the form and manner and with the effect, as provided in Section 5(d) of this Ordinance for Bonds issued in conversion and exchange of other Bonds. Section 10. FEDERAL INCOME TAX MATTERS. That the City covenants to refrain from an y action which would adversely affect, or to take such action as to ensure, the treatment of the Bonds as obligations described in section 103 of the Code, the interest on which is not includable in the "gross income" of the holder for purposes of federal income taxation. In furtherance thereof, the City covenants as follows: (a) to take any action to assure that no more than 10 percent of the proceeds of the Bonds (less amounts deposited to a reserve fund, if any) are used for any "private business use," as defined in section 141(b)(6) of the Code or, if more than 10 percent of the proceeds are so used, that amounts, whether or not received by the City, with respect to such private business use, do not, under the terms of this Ordinance or any underlying arrangement, directly or indirectly, secure or provide for the payment of more than 10 percent of the debt service on the 10 Bonds, in contravention of section 141(b)(2) of the Code; (b) to take any action to assure that in the event that the "private business use" described in subsection (a) hereof exceeds five percent of the proceeds of the Bonds (less amounts deposited into a reserve fund, if any) then the amount in excess of five percent is used for a "private business use" which is "related" and not "disproportionate", within the meaning of section 141(b)(3) of the Code, to the governmental use; (c) to take any action to assure that no amount which is greater than the lesser of $5,000,000, or five percent of the proceeds of the Bonds (less amounts deposited into a reserve fund, if any) is directly or indirectly used to finance loans to persons, other than state or local governmental units, in contravention of section 141(c) of the Code; (d) to refrain from taking any action which would otherwise result in the Bonds being treated as "private activity bonds" within the meaning of section 141(b) of the Code; (e) to refrain from taking any action that would result in the Bonds being "federally guaranteed" within the meaning of section 149(b) of the Code; (f) to refrain from using any portion of the proceeds of the Bonds, directly or indirectly, to acquire or to replace funds which were used, directly or indirectly, to acquire investment property (as defined in section 148(b)(2) of the Code) which produces a materially higher yield over the term of the Bonds, other than investment property acquired with – (1) proceeds of the Bonds invested for a reasonable temporary period of three years or less until such proceeds are needed for the purpose for which the Bonds are issued, (2) amounts invested in a bona fide debt service fund, within the meaning of section 1.148-1(b) of the Treasury Regulations, and (3) amounts deposited in any reasonably required reserve or replacement fund to the extent such amounts do not exceed 10 percent of the proceeds of the Bonds; (g) to otherwise restrict the use of the proceeds of the Bonds or amounts treated as proceeds of the Bonds, as may be necessary, so that the Bonds do not otherwise contravene the requirements of section 148 of the Code (relating to arbitrage) and, to the extent applicable, section 149(d) of the Code (relating to advance refundings); and (h) to pay to the United States of America at least once during each five-year period (beginning on the date of delivery of the Bonds) an amount that is at least equal to 90 percent of the "Excess Earnings," within the meaning of section 148(f) of the Code and to pay to the United States of America, not later than 60 days after the Bonds have been paid in full, 100 percent of the amount then required to be paid as a result of Excess Earnings under section 148(f) of the Code. For purposes of the foregoing (a) and (b), the City understands that the term "proceeds" includes "disposition proceeds" as defined in the Treasury Regulations and, in the case of refunding 11 bonds, transferred proceeds (if any) and proceeds of the refunded bonds expended prior to the date of issuance of the Bonds. It is the understanding of the City that the covenants contained herein are intended to assure compliance with the Code and any regulations or rulings promulgated by the U.S. Department of the Treasury pursuant thereto. In the event that regulations or rulings are hereafter promulgated which modify or expand provisions of the Code, as applicable to the Bonds, the City will not be required to comply with any covenant contained herein to the extent that such failure to comply, in the opinion of nationally-recognized bond counsel, will not adversely affect the exemption from federal income taxation of interest on the Bonds under section 103 of the Code. In the event that regulations or rulings are hereafter promulgated which impose additional requirements which are applicable to the Bonds, the City agrees to comply with the additional requirements to the extent necessary, in the opinion of nationally-recognized bond counsel, to preserve the exemption from federal income taxation of interest on the Bonds under section 103 of the Code. In furtherance of such intention, the City hereby authorizes and directs the Mayor, the City Manager, any Assistant City Manager and the Assistant City Manager, severally, to execute any documents, certificates or reports required by the Code, and to make such elections on behalf of the City which may be permitted by the Code as are consistent with the purpose for the issuance of the Bonds. In order to facilitate compliance with clause (h) above, a "Rebate Fund" is hereby established by the City for the sole benefit of the United States of America, and such Fund shall not be subject to the claim of any other person, including without limitation the bondholders. The Rebate Fund is established for the additional purpose of compliance with section 148 of the Code. Section 11. ALLOCATION OF, AND LIMITATION ON, EXPENDITURES FOR THE PROJECT. That the City covenants to account for the expenditure of proceeds from the sale of the Bonds and any investment earnings thereon to be used for the purposes described in Section 1 of this Ordinance (such purpose referred to in this Section and Section 12 as a "Project") on its books and records by allocating proceeds to expenditures within 18 months of the later of the date that (a) the expenditure on a Project is made or (b) such Project is completed. The foregoing notwithstanding, the City shall not expend such proceeds or investment earnings more than 60 days after the earlier of (a) the fifth anniversary of the date of delivery of the Bonds or (b) the date the Bonds are retired, unless the City obtains an opinion of nationally-recognized bond counsel substantially to the effect that such expenditure will not adversely affect the tax- exempt status of the Bonds. For purposes hereof, the City shall not be obligated to comply with this covenant if it obtains an opinion that such failure to comply will not adversely affect the excludability for federal income tax purposes from gross income of the interest. Section 12. DISPOSITION OF PROJECT. That the City covenants that the property constituting a Project will not be sold or otherwise disposed in a transaction resulting in the receipt by the City of cash or other compensation, unless any action taken in connection with such disposition will not adversely affect the tax-exempt status of the Bonds. For purpose of the foregoing, the City may rely on an opinion of nationally-recognized bond counsel that any action taken in connection with such sale or other disposition will not adversely affect the tax-exempt status of the Bonds. For purposes of the foregoing, the portion of the property comprising personal property and disposed in the ordinary course shall not be treated as a transaction resulting in the receipt of cash or other compensation. For purposes hereof, the City shall not be 12 obligated to comply with this covenant if it obtains an opinion that such failure to comply will not adversely affect the excludability for federal income tax purposes from gross income of the interest. Section 13. PROCEDURES TO MONITOR COMPLIANCE WITH TAX COVENANTS. The City hereby adopts the procedures attached hereto as Exhibit B as a means of monitoring compliance with the federal tax covenants made by the City herein. Section 14. CUSTODY, APPROVAL, AND REGISTRATION OF BONDS. That the Assistant City Manager of the City is hereby authorized to have control of the Bonds initially issued and delivered hereunder and all necessary records and proceedings pertaining to the Bonds pending their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas. Upon registration of the Bonds said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall manually sign the Comptroller's Registration Certificate attached to such Bonds, and the seal of said Comptroller shall be impressed, or placed in facsimile, on such certificate. The Bonds thus registered shall remain in the custody of the Assistant City Manager (or the designee thereof) until delivered to the Underwriter (as defined in Section 18 of this Ordinance). Section 15. DTC REGISTRATION. That the Bonds initially shall be issued and delivered in such manner that no physical distribution of the Bonds will be made to the public, and The Depository Trust Company ("DTC"), New York, New York, initially will act as depository for the Bonds. DTC has represented that it is a limited purpose trust company incorporated under the laws of the State of New York, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered under Section 17A of the Securities Exchange Act of 1934, as amended, and the City accepts, but in no way verifies, such representations. The Bonds initially authorized by this Ordinance shall be delivered to and registered in the name of CEDE & CO., the nominee of DTC. It is expected that DTC will hold the Bonds on behalf of the Underwriter and its participants. So long as each Bond is registered in the name of CEDE & CO., the Paying Agent/Registrar shall treat and deal with DTC the same in all respects as if it were the actual and beneficial owner thereof. It is expected that DTC will maintain a book-entry system which will identify ownership of the Bonds in Authorized Denominations, with transfers of ownership being effected on the records of DTC and its participants pursuant to rules and regulations established by them, and that the Bonds initially deposited with DTC shall be immobilized and not be further exchanged for substitute Bonds except as hereinafter provided. The City is not responsible or liable for any functions of DTC, will not be responsible for paying any fees or charges with respect to its services, will not be responsible or liable for maintaining, supervising, or reviewing the records of DTC or its participants, or protecting any interests or rights of the beneficial owners of the Bonds. It shall be the duty of the DTC Participants, as defined in the Official Statement herein approved, to make all arrangements with DTC to establish this book-entry system, the beneficial ownership of the Bonds, and the method of paying the fees and charges of DTC. The City does not represent, nor does it in any way covenant that the initial book-entry system established with DTC will be maintained in the future. Notwithstanding the initial establishment of the foregoing book-entry system with DTC, if for any reason any of the originally delivered Bonds is duly filed with the Paying Agent/Registrar with proper request for 13 transfer and substitution, as provided for in this Ordinance, substitute Bonds will be duly delivered as provided in this Ordinance, and there will be no assurance or representation that any book-entry system will be maintained for such Bonds. In connection with the initial establishment of the foregoing book-entry system with DTC, the City heretofore has executed a "Blanket Letter of Representations" prepared by DTC in order to implement the book-entry system described above. Section 16. CONTINUING DISCLOSURE OBLIGATION PURSUANT TO RULE 15C2-12 (17 C.F.R. § 240.15C2-12). (a) Annual Reports. (i) The City will provide certain updated financial information and operating data to the MSRB on an annual basis in an electronic format that is prescribed by the MSRB and available via the Electronic Municipal Market Access System ("EMMA") at www.emma.msrb.org. The information to be updated includes all quantitative financial information and operating data with respect to the City of the general type included in the Official Statement under Tables numbered 1 through 6; 8 through 20 and in Appendix B. The City will update and provide the information in Tables 1 through 6 and 8 through 20 within six months after the end of each fiscal year ending in and after 2016. The City will additionally provide audited financial statements when and if available, and in any event, within 12 months after the end of each fiscal year ending in or after 2016. If the audit of such financial statements is not complete within 12 months after any such fiscal year end, then the City will file unaudited financial statements within such 12 month period and audited financial statements for the applicable fiscal year, when and if the audit report on such statements becomes available. Any such financial statements will be prepared in accordance with the accounting principles described in Appendix B of the Official Statement or such other accounting principles as the City may be required to employ from time to time pursuant to State law or regulation. (ii) The financial information and operating data to be provided may be set forth in full in one or more documents or may be included by specific reference to any document available to the public on the MSRB’s Internet Web site or filed with the SEC, as permitted by the Rule. If the City changes its fiscal year, it will notify the MSRB of the change (and of the date of the new fiscal year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. The financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document that is available to the public on the MSRB's internet website or filed with the SEC. All documents provided to the MSRB pursuant to this Section shall be accompanied by identifying information as prescribed by the MSRB. (b) Event Notices. The City shall notify the MSRB in an electronic format as prescribed by the MSRB, in a timely manner (but not in excess of ten Business Days after the occurrence of the event) of any of the following events with respect to the Bonds: 14 1. Principal and interest payment delinquencies; 2. Non-payment related defaults, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements reflecting financial difficulties; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions or the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701–TEB) or other material notices or determinations with respect to the tax status of the Bonds, or other material events affecting the tax status of the Bonds; 7. Modifications to rights of Bondholders, if material; 8. Bond calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayment of the Bonds, if material; 11. Rating changes; 12. Bankruptcy, insolvency, receivership or similar event of an obligated person (which is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City); 13. The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; 15 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The City shall notify the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with this Section by the time required by such subsection. (c) Limitations, Disclaimers, and Amendments. (i) The City shall be obligated to observe and perform the covenants specified in this Section for so long as, but only for so long as, the City remains an "obligated person" with respect to the Bonds within the meaning of the Rule, except that the City in any event will give notice of any deposit made in accordance with this Ordinance or applicable law that causes Bonds no longer to be outstanding. (ii) The provisions of this Section are for the sole benefit of the registered owners and beneficial owners of the Bonds, and nothing in this Section, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Section and does not hereby undertake to provide any other information that may be relevant or material to a complete presentation of the City's financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Section or otherwise, except as expressly provided herein. The City does not make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Bonds at any future date. (iii) UNDER NO CIRCUMSTANCE SHALL THE CITY BE LIABLE TO THE REGISTERED OWNER OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. (iv) No default by the City in observing or performing its obligations under this Section shall comprise a breach of or default under this Ordinance for purposes of any other provision of this Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. (v) Should the Rule be amended to obligate the City to make filings with or provide notices to entities other than the MSRB, the City hereby agrees to undertake such obligation with respect to the Bonds in accordance with the Rule as amended. The provisions of this Section may be amended by the City from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or 16 a change in the identity, nature, status, or type of operations of the City, but only if (1) the provisions of this Section, as so amended, would have permitted an underwriter to purchase or sell Bonds in the primary offering of the Bonds in compliance with the Rule, taking into account any amendments or interpretations of the Rule since such offering as well as such changed circumstances and (2) either (a) the registered owners of a majority in aggregate principal amount (or any greater amount required by any other provision of this Ordinance that authorizes such an amendment) of the outstanding Bonds consent to such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond counsel) determined that such amendment will not materially impair the interest of the registered owners and beneficial owners of the Bonds. If the City so amends the provisions of this Section, it shall include with any amended financial information or operating data next provided in accordance with subsection (b) of this Section an explanation, in narrative form, of the reason for the amendment and of the impact of any change in the type of financial information or operating data so provided. The City may also amend or repeal the provisions of this continuing disclosure agreement if the SEC amends or repeals the applicable provision of the Rule or a court of final jurisdiction enters judgment that such provisions of the Rule are invalid, but only if and to the extent that the provisions of this sentence would not prevent an underwriter from lawfully purchasing or selling Bonds in the primary offering of the Bonds. (d) Procedures to Monitor Compliance with Continuing Disclosure Covenants. The City hereby adopts the procedures attached hereto as Exhibit B as a means of monitoring compliance with the continuing disclosure covenants made by the City herein. Section 17. DEFEASANCE. (a) Deemed Paid. Any Bond and the interest thereon shall be deemed to be paid, retired and no longer outstanding (a "Defeased Bond") within the meaning of this Ordinance, except to the extent provided in subsection (e) of this Section, when payment of the principal of such Bond, plus interest thereon to the due date (whether such due date be by reason of maturity or otherwise) either (i) shall have been made or caused to be made in accordance with the terms thereof, or (ii) shall have been provided for on or before such due date by irrevocably depositing with or making available to the Paying Agent/Registrar in accordance with an escrow agreement or other instrument (the "Future Escrow Agreement") for such payment (1) lawful money of the United States of America sufficient to make such payment or (2) Defeasance Securities that mature as to principal and interest in such amounts and at such times as will insure the availability, without reinvestment, of sufficient money to provide for such payment, and when proper arrangements have been made by the City with the Paying Agent/Registrar for the payment of its services until all Defeased Bonds shall have become due and payable. At such time as a Bond shall be deemed to be a Defeased Bond hereunder, as aforesaid, such Bond and the interest thereon shall no longer be secured by, payable from, or entitled to the benefits of, the ad valorem taxes herein levied and pledged as provided in this Ordinance, and such principal and interest shall be payable solely from such money or Defeasance Securities. (b) Investments. Any moneys so deposited with the Paying Agent/Registrar may at the written direction of the City be invested in Defeasance Securities, maturing in the amounts and times as hereinbefore set forth, and all income from such Defeasance Securities received by the Paying Agent/Registrar that is not required for the payment of the Bonds and interest thereon, 17 with respect to which such money has been so deposited, shall be turned over to the City, or deposited as directed in writing by the City. Any Future Escrow Agreement pursuant to which the money and/or Defeasance Securities are held for the payment of Defeased Bonds may contain provisions permitting the investment or reinvestment of such moneys in Defeasance Securities or the substitution of other Defeasance Securities upon the satisfaction of the requirements specified in subsection (a)(i) or (ii) above. All income from such Defeasance Securities received by the Paying Agent/Registrar which is not required for the payment of the Defeased Securities, with respect to which such money has been so deposited, shall be remitted to the City or deposited as directed in writing by the City. (c) Selection of Defeased Bonds. In the event that the City elects to defease less than all of the principal amount of Bonds of a maturity, the Paying Agent/Registrar shall select, or cause to be selected, such amount of Bonds by such random method as it deems fair and appropriate. (d) Defeasance Securities. The term "Defeasance Securities" means (i) direct, noncallable obligations of the United States of America, including obligations that are unconditionally guaranteed by the United States of America, (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the City adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; (iii) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that, on the date the governing body of the City adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent and (iv) any securities and obligations now or hereafter authorized by State law that are eligible to refund, retire or otherwise discharge obligations such as the Bonds. (e) Continuing Duty of Paying Agent/Registrar. Until all Bonds defeased under this Section of this Ordinance shall become due and payable, the Paying Agent/Registrar for such Bonds shall perform the services of Paying Agent/Registrar for such Bonds the same as if they had not been defeased, and the City shall make proper arrangements to provide and pay for such services. Section 18. SALE OF BONDS; OFFICIAL STATEMENT. (a) The Bonds may be sold by public offering (either through a negotiated or competitive offering) and the terms and provisions of which are to be determined by the Pricing Officer in accordance with Section 2 hereof, and in which the purchasers of the Bonds are designated. The Bonds may be sold pursuant to a purchase agreement or notice of sale and bidding instructions (collectively, the "Purchase Agreement") which the Pricing Officer is hereby authorized to execute and deliver and in which the Purchaser of the Bonds shall be designated. The Bonds shall initially be registered in the name of the Purchaser thereof as set forth in the Pricing Certificate. (b) The City hereby approves the form and content of the draft preliminary official statement relating to the Bonds in the form attached hereto as Exhibit C and any addenda, 18 supplement or amendment thereto, and approves the distribution of such preliminary official statement in the reoffering of the Bonds by the Underwriter in final form, with such changes therein or additions thereto as the Pricing Officer executing the same may deem advisable. The Pricing Officer is hereby authorized, in the name and on behalf of the City, to approve, distribute, and deliver a final preliminary official statement and a final official statement relating to the Bonds to be used by the Underwriter in the marketing of the Bonds. (c) The Pricing Officer is authorized, in connection with effecting the sale of the Bonds, to obtain from a municipal bond insurance company so designated in the Pricing Certificate (the "Insurer") a municipal bond insurance policy (the "Insurance Policy") in support of the Bonds. To that end, should the Pricing Officer exercise such authority and commit the City to obtain a municipal bond insurance policy, for so long as the Insurance Policy is in effect, the requirements of the Insurer relating to the issuance of the Insurance Policy are incorporated by reference into this Ordinance and made a part hereof for all purposes, notwithstanding any other provision of this Ordinance to the contrary. The Pricing Officer shall have the authority to execute any documents to effect the issuance of the Insurance Policy by the Insurer. (d) The Mayor and Mayor Pro Tem, the City Manager, the Assistant City Manager, Director of Finance and City Secretary, shall be and they are hereby expressly authorized, empowered and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge and deliver in the name and under the corporate seal and on behalf of the City a Paying Agent/Registrar Agreement, in the form presented at the meeting at which this Ordinance is adopted, with the Paying Agent/Registrar and all other instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, the Bonds, the sale of the Bonds, the Purchase Agreement and the Official Statement. In case any officer whose signature shall appear on any Bond shall cease to be such officer before the delivery of such Bond, such signature shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until such delivery. Section 19. FURTHER PROCEDURES. That the Mayor, the City Secretary, the City Manager, the Assistant City Manager, and Director of Finance, shall be and they are hereby expressly authorized, empowered, and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge, and deliver in the name and under the corporate seal and on behalf of the City all such instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, and the sale and delivery of the Bonds and fixing all details in connection therewith. The City Council hereby authorizes the payment of the fee of the Office of the Attorney General of the State of Texas for the examination of the proceedings relating to the issuance of the Bonds, in the amount determined in accordance with the provisions of Section 1202.004, Texas Government Code. Section 20. CONSTRUCTION FUND; USE OF PROCEEDS. (a) The City hereby creates and establishes and shall maintain on the books of the City a separate fund to be entitled the "Series 2016 Bond Construction Fund" (the "Construction Fund") for use by the City for payment of all lawful costs associated with the acquisition and 19 construction of the Projects. (b) The proceeds from the sale of the Bonds shall be deposited, on the date of closing, in the manner described in a letter of instructions prepared by the City or on behalf of the City by the City's financial advisor. The foregoing notwithstanding, any proceeds representing accrued interest on the Bonds shall be deposited to the credit of the Interest and Sinking Fund. Section 21. INTEREST EARNINGS. That the interest earnings derived from the investment of proceeds from the sale of the Bonds may be used along with other proceeds for the construction of the permanent improvements set forth in Section 1 hereof for which the Bonds are issued; provided that after completion of such permanent improvements, if any of such interest earnings remain on hand, such interest earnings shall be deposited in the Interest and Sinking Fund. It is further provided, however, that any interest earnings on proceeds which are required to be rebated to the United States of America pursuant to this Ordinance hereof in order to prevent the Bonds from being arbitrage bonds shall be so rebated and not considered as interest earnings for the purposes of this Section. Section 22. APPROVAL OF ESCROW AGREEMENT AND TRANSFER OF FUNDS. In furtherance of authority granted by Section 1207.007(b), Texas Government Code, the Pricing Officer is further authorized to enter into and execute on behalf of the City with the escrow agent named therein, an escrow or similar agreement, in the form and substance as presented at the meeting at which this Ordinance was adopted, which agreement will provide for the payment in full of the Refunded Obligations. In addition, the Pricing Officer is authorized to purchase such securities, to execute such subscriptions for the purchase of the Escrowed Securities, (as defined in the agreement), if any, and to authorize such contributions to the escrow fund as provided in the agreement. Section 23. REDEMPTION OF REFUNDED OBLIGATIONS. (a) The City hereby directs that certain of the Refunded Obligations be called for redemption on the dates and as set forth in the Pricing Certificate and the Escrow Agreement. Each of such Refunded Obligations shall be redeemed at the redemption price of par plus accrued interest. The Pricing Officer is hereby authorized and directed to issue or cause to be issued the Notices of Redemption of the Refunded Obligations. (b) In addition, the paying agent/registrars for the Refunded Obligations are hereby directed to provide the appropriate notices of redemption and defeasance as specified by the ordinances authorizing the issuance of the Refunded Obligations and are hereby directed to make appropriate arrangements so that the Refunded Obligations may be redeemed on their redemption dates. The Refunded Obligations shall be presented for redemption at the paying agent/registrars therefore, and shall not bear interest after the date fixed for redemption. (c) The source of funds for payment of the principal of and interest on the Refunded Obligations on their redemption date shall be from the funds placed in escrow with the Escrow Agent, pursuant to the Escrow Agreement approved in Section 22 of this Ordinance. Section 24. DEFAULT AND REMEDIES. 20 (a) Events of Default. Each of the following occurrences or events for the purpose of this Ordinance is hereby declared to be an Event of Default: (i) the failure to make payment of the principal of or interest on any of the Bonds when the same becomes due and payable; or (ii) default in the performance or observance of any other covenant, agreement or obligation of the City, the failure to perform which materially, adversely affects the rights of the registered owners of the Bonds, including, but not limited to, their prospect or ability to be repaid in accordance with this Ordinance, and the continuation thereof for a period of 60 days after notice of such default is given by any registered owner to the City. (b) Remedies for Default. (i) Upon the happening of any Event of Default, then and in every case, any registered owner or an authorized representative thereof, including, but not limited to, a trustee or trustees therefor, may proceed against the City, or any official, officer or employee of the City in their official capacity, for the purpose of protecting and enforcing the rights of the registered owners under this Ordinance, by mandamus or other suit, action or special proceeding in equity or at law, in any court of competent jurisdiction, for any relief permitted by law, including the specific performance of any covenant or agreement contained herein, or thereby to enjoin any act or thing that may be unlawful or in violation of any right of the registered owners hereunder or any combination of such remedies. (ii) It is provided that all such proceedings shall be instituted and maintained for the equal benefit of all registered owners of Bonds then outstanding. (c) Remedies Not Exclusive. (i) No remedy herein conferred or reserved is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or under the Bonds or now or hereafter existing at law or in equity; provided, however, that notwithstanding any other provision of this Ordinance, the right to accelerate the debt evidenced by the Bonds shall not be available as a remedy under this Ordinance. (ii) The exercise of any remedy herein conferred or reserved shall not be deemed a waiver of any other available remedy. (iii) By accepting the delivery of a Bond authorized under this Ordinance, such registered owner agrees that the certifications required to effectuate any covenants or representations contained in this Ordinance do not and shall never constitute or give rise to a personal or pecuniary liability or charge against the officers, employees or members of the City or the City Council. 21 (iv) None of the members of the City Council, nor any other official or officer, agent, or employee of the City, shall be charged personally by the registered owners with any liability, or be held personally liable to the registered owners under any term or provision of this Ordinance, or because of any Event of Default or alleged Event of Default under this Ordinance. Section 25. MISCELLANEOUS PROVISIONS. (a) Preamble. The preamble to this Ordinance is incorporated by reference and made a part hereof for all purposes. (b) Titles Not Restrictive. That the titles assigned to the various sections of this Ordinance are for convenience only and shall not be considered restrictive of the subject matter of any section or of any part of this Ordinance. (c) Rules of Construction. The words "herein", "hereof" and "hereunder" and other words of similar import refer to this Ordinance as a whole and not to any particular Section or other subdivision. Except where the context otherwise requires, terms defined in this Ordinance to impart the singular number shall be considered to include the plural number and vice versa. References to any named person means that party and its successors and assigns. References to any constitutional, statutory or regulatory provision means such provision as it exists on the date this Ordinance is adopted by the City and any future amendments thereto or successor provisions thereof. Any reference to "FORM OF BOND" shall refer to the form of the Bonds set forth in Exhibit A to this Ordinance. Any reference to the payment of principal in this Ordinance shall be deemed to include the payment of any mandatory sinking fund redemption payments as may be described herein. (d) Inconsistent Provisions. All ordinances, orders and resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed and declared to be inapplicable, and the provisions of this Ordinance shall be and remain controlling as to the matters prescribed herein. (e) Severability. If any word, phrase, clause, paragraph, sentence, part, portion, or provision of this Ordinance or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Ordinance shall nevertheless be valid and the City hereby declares that this Ordinance would have been enacted without such invalid word, phrase, clause, paragraph, sentence, part, portion, or provisions. (f) Governing Law. This Ordinance shall be construed and enforced in accordance with the laws of the State of Texas. (g) Open Meeting. The City officially finds and determines that the meeting at which this Ordinance is adopted was open to the public; and that public notice of the time, place, and purpose of such meeting was given, all as required by Chapter 551, Texas Government Code. (h) Application of Chapter 1208, Government Code. Chapter 1208, Texas Government Code, applies to the issuance of the Bonds and the pledge of ad valorem taxes granted by the City under Section 6, and such pledge is therefore valid, effective, and perfected. If Texas law is amended at any time while the Bonds are outstanding and unpaid such that the pledge of the ad valorem taxes granted by the City is to be subject to the filing requirements of 22 Chapter 9, Texas Business & Commerce Code, then in order to preserve to the Registered Owners of the Bonds the perfection of the security interest in said pledge, the City agrees to take such measures as it determines are reasonable and necessary under Texas law to comply with the applicable provisions of Chapter 9, Texas Business & Commerce Code and enable a filing to perfect the security interest in said pledge to occur. (i) Immediate Effect. In accordance with the provisions of Section 1201.028, Texas Government Code, this Ordinance shall be effective immediately upon its adoption by the City Council. [Remainder of page intentionally left blank.] Ordinance City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016 SIGNATURE PAGE PASSED, APPROVED AND EFFECTIVE THIS MAY 16, 2016. City Secretary; City of College Station Mayor; City of College Station (CITY SEAL) APPROVED: McCall, Parkhurst & Horton L.L.P., Dallas, Texas Bond Counsel Schedule I-1 SCHEDULE I REFUNDED OBLIGATIONS • City of College Station, Texas General Obligation Refunding Bonds, Series 2006 • City of College Station, Texas Certificates of Obligation, Series 2007 • City of College Station, Texas General Obligation Improvement Bonds, Series 2007 • City of College Station, Texas Certificates of Obligation, Series 2008 • City of College Station, Texas General Obligation Improvement Bonds, Series 2008 • City of College Station, Texas Utility System Revenue Bonds, Series 2007 A-1 EXHIBIT A FORM OF BOND The form of the Bonds, including the form of Paying Agent/Registrar's Authentication Certificate, the form of Assignment and the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be attached only to the Bonds initially issued and delivered pursuant to this Ordinance, shall be, respectively, substantially as follows, with such appropriate variations, omissions, or insertions as are permitted or required by this Ordinance and with the Bonds to be completed with information set forth in the Pricing Certificate. The Form of Bond as it appears in this Exhibit A shall be completed, amended and modified by Bond Counsel to incorporate the information set forth in the Pricing Certificate but it is not required for the Form of Bond to reproduced as an exhibit to the Pricing Certificate. NO. _____ UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF BRAZOS CITY OF COLLEGE STATION, TEXAS GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BOND, SERIES 2016 $___________ MATURITY DATE INTEREST RATE DELIVERY DATE CUSIP NO. % , 2016 REGISTERED OWNER: PRINCIPAL AMOUNT: ON THE MATURITY DATE SPECIFIED ABOVE, THE CITY OF COLLEGE STATION, TEXAS, in Brazos County (the "City"), being a political subdivision of the State of Texas, hereby promises to pay to the Registered Owner specified above or to the registered assignee hereof (either being hereinafter called the "registered owner") the Principal Amount specified above, and to pay interest thereon (calculated on the basis of a 360-day year of twelve 30-day months), from the Delivery Date specified above, to the Maturity Date specified above, or the date of its redemption prior to scheduled maturity, at the interest rate per annum specified above, with said interest payable on August 15, 2016, and semiannually on each February 15 and August 15 thereafter until maturity or prior redemption; except that if this Bond is required to be authenticated and the date of its authentication is later than August 15, 2016, such interest is payable semiannually on each February 15 and August 15 following such date. THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of the United States of America, without exchange or collection charges. At maturity or A-2 redemption prior to maturity, the principal of this Bond shall be paid to the registered owner hereof upon presentation and surrender of this Bond at the designated corporate trust office in Dallas, Texas (the "Designated Trust Office") of The Bank of New York Mellon Trust Company, N.A., which is the "Paying Agent/Registrar" for this Bond. The payment of interest on this Bond shall be made by the Paying Agent/Registrar to the registered owner hereof on each interest payment date by check, dated as of such interest payment date, drawn by the Paying Agent/Registrar on, and payable solely from, funds of the City required by the ordinance authorizing the issuance of this Bond (the "Bond Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter provided; and such check shall be sent by the Paying Agent/Registrar by United States mail, first-class postage prepaid, on each such interest payment date, to the registered owner hereof, at its address as it appeared on the last business day of the month preceding each such date (the "Record Date") on the Registration Books kept by the Paying Agent/Registrar, as hereinafter described. Any accrued interest due at maturity as provided herein shall be paid to the registered owner upon presentation and surrender of this Bond for payment at the Designated Trust Office of the Paying Agent/Registrar. The City covenants with the registered owner of this Bond that on or before each principal and interest payment date for this Bond it will make available to the Paying Agent/Registrar, from the "Interest and Sinking Fund" created by the Bond Ordinance, the amounts required to provide for the payment, in immediately available funds, of all principal of and interest on the Bonds, when due. IN THE EVENT OF NON-PAYMENT of interest on a scheduled payment date, and for 30 days thereafter, a new record date for such interest payment (a "Special Record Date") will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest ("Special Payment Date", which shall be 15 days after the Special Record Date) shall be sent at least five business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each registered owner of a Bond appearing on the Registration Books kept by the Paying Agent/Registrar at the close of business on the last business day next preceding the date of mailing of such notice. IF THE DATE for the payment of the principal of or interest on this Bond shall be a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the Designated Trust Office of the Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on which banking institutions are authorized to close; and payment on such date shall have the same force and effect as if made on the original date payment was due. THIS BOND is one of a Series of Bonds dated as of July 1, 2016, authorized in accordance with the Constitution and laws of the State of Texas in the principal amount of $[_______], for the purpose of for the public purpose of (i) refunding the Refunded Obligations; (ii) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (iii) pay for the costs of expanding, constructing and improving City library facilities; (iv) paying the fiscal, engineering and legal fees incurred in connection with such projects; and (v) paying the costs incurred in connection with the issuance of the Bonds (collectively, the "Projects"). A-3 ON FEBRUARY 15, 2026, or on any date thereafter, the Bonds of this Series maturing on February 15, 2027 and thereafter may be redeemed prior to their scheduled maturities, at the option of the City, in whole, or in part, at par and accrued interest to the date fixed for redemption. The years of maturity of the Bonds called for redemption at the option of the City prior to their stated maturity shall be selected by the City. The Bonds or portions thereof redeemed within a maturity shall be selected by lot or other method by the Paying Agent/Registrar; provided, that during any period in which ownership of the Bonds is determined only by a book entry at a securities depository for the Bonds, if fewer than all of the Bonds of the same maturity and bearing the same interest rate are to be redeemed, the particular Bonds of such maturity and bearing such interest rate shall be selected in accordance with the arrangements between the City and the securities depository. AT LEAST THIRTY days prior to the date fixed for any such redemption, a written notice of such redemption shall be given to the registered owner of each Bond or a portion thereof being called for redemption by depositing such notice in the United States mail, first- class postage prepaid, addressed to each such registered owner at his address shown on the Registration Books of the Paying Agent/Registrar. By the date fixed for any such redemption due provision shall be made by the City with the Paying Agent/Registrar for the payment of the required redemption price for this Bond or the portion hereof which is to be so redeemed, plus accrued interest thereon to the date fixed for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, this Bond, or the portion hereof which is to be so redeemed, thereby automatically shall be redeemed prior to its scheduled maturity, and shall not bear interest after the date fixed for its redemption, and shall not be regarded as being outstanding except for the right of the registered owner to receive the redemption price plus accrued interest to the date fixed for redemption from the Paying Agent/Registrar out of the funds provided for such payment. The Paying Agent/Registrar shall record in the Registration Books all such redemptions of principal of this Bond or any portion hereof. If a portion of any Bond shall be redeemed a substitute Bond or Bonds having the same maturity date, bearing interest at the same rate, in Authorized Denominations, at the written request of the registered owner, and in aggregate principal amount equal to the unredeemed portion thereof, will be issued to the registered owner upon the surrender thereof for cancellation, at the expense of the City, all as provided in the Ordinance. IF AT THE TIME OF MAILING of notice of optional redemption there shall not have either been deposited with the Paying Agent/Registrar or legally authorized escrow agent immediately available funds sufficient to redeem all the Bonds called for redemption, such notice must state that it is conditional, and is subject to the deposit of the redemption moneys with the Paying Agent/Registrar or legally authorized escrow agent at or prior to the redemption date, and such notice shall be of no effect unless such moneys are so deposited on or prior to the redemption date. If such redemption is not effectuated, the Paying Agent/Registrar shall, within five days thereafter, give notice in the manner in which the notice of redemption was given that such moneys were not so received and shall rescind the redemption. ALL BONDS OF THIS SERIES are issuable solely as fully registered Bonds, without interest coupons, in Authorized Denominations. As provided in the Bond Ordinance, this Bond may, at the request of the registered owner or the assignee or assignees hereof, be assigned, transferred, and exchanged for a like aggregate principal amount of fully registered Bonds, A-4 without interest coupons, payable to the appropriate registered owner, assignee, or assignees, as the case may be, having the same maturity date, and bearing interest at the same rate, in Authorized Denominations as requested in writing by the appropriate registered owner, assignee, or assignees, as the case may be, upon surrender of this Bond to the Paying Agent/Registrar at its Designated Trust Office for cancellation, all in accordance with the form and procedures set forth in the Bond Ordinance. Among other requirements for such assignment and transfer, this Bond must be presented and surrendered to the Paying Agent/Registrar at its Designated Trust Office, together with proper instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar, evidencing assignment of this Bond or any portion or portions hereof in an Authorized Denomination to the assignee or assignees in whose name or names this Bond or any such portion or portions hereof is or are to be transferred and registered. The form of Assignment printed or endorsed on this Bond may be executed by the registered owner to evidence the assignment hereof, but such method is not exclusive, and other instruments of assignment satisfactory to the Paying Agent/Registrar may be used to evidence the assignment of this Bond or any portion or portions hereof from time to time by the registered owner. The foregoing notwithstanding, in the case of the exchange of an assigned and transferred Bond or Bonds or any portion or portions thereof, such fees and charges of the Paying Agent/Registrar will be paid by the City. The one requesting such exchange shall pay the Paying Agent/Registrar's reasonable standard or customary fees and charges for exchanging any Bond or portion thereof. In any circumstance, any taxes or governmental charges required to be paid with respect thereto shall be paid by the one requesting such assignment, transfer, or exchange as a condition precedent to the exercise of such privilege. In any circumstance, neither the City nor the Paying Agent/Registrar shall be required (1) to make any transfer or exchange during a period beginning at the opening of business 30 days before the day of the first mailing of a notice of redemption of Bonds and ending at the close of business on the day of such mailing, or (2) to transfer or exchange any Bonds so selected for redemption when such redemption is scheduled to occur within 45 calendar days. WHENEVER the beneficial ownership of this Bond is determined by a book entry at a securities depository for the Bonds, the foregoing requirements of holding, delivering or transferring this Bond shall be modified to require the appropriate person or entity to meet the requirements of the securities depository as to registering or transferring the book entry to produce the same effect. IN THE EVENT any Paying Agent/Registrar for the Bonds is changed by the City, resigns, or otherwise ceases to act as such, the City has covenanted in the Bond Ordinance that it promptly will appoint a competent and legally qualified substitute therefor, and promptly will cause written notice thereof to be mailed to the registered owners of the Bonds. IT IS HEREBY certified, recited and covenanted that this Bond has been duly and validly authorized, issued, and delivered; that all acts, conditions, and things required or proper to be performed, exist, and be done precedent to or in the authorization, issuance, and delivery of this Bond have been performed, existed, and been done in accordance with law; that this Bond is a direct obligation of said City, issued on the full faith and credit thereof; and that in accordance with the terms of the Bond Ordinance, annual ad valorem taxes sufficient to provide for the payment of the interest on and principal of this Bond, as such interest comes due and such A-5 principal matures, have been levied and ordered to be levied against all taxable property in said City, and have been pledged for such payment, within the limit prescribed by law. BY BECOMING the registered owner of this Bond, the registered owner thereby acknowledges all of the terms and provisions of the Bond Ordinance, agrees to be bound by such terms and provisions, acknowledges that the Bond Ordinance is duly recorded and available for inspection in the official minutes and records of the City, and agrees that the terms and provisions of this Bond and the Bond Ordinance constitute a contract between each registered owner hereof and the City. IN WITNESS WHEREOF, this Bond has been signed with the manual or facsimile signature of the Mayor of the City, attested by the manual or facsimile signature of the City Secretary, and the official seal of the City has been duly affixed to, or impressed, or placed in facsimile, on this Bond. xxxxx xxxxx City Secretary; City of College Station Mayor; City of College Station (SEAL) FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE It is hereby certified that this Bond has been issued under the provisions of the proceedings adopted by the City as described in the text of this Bond; and that this Bond has been issued in exchange for or replacement of a Bond of an issue which originally was approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts of the State of Texas. Dated: _______________ The Bank of New York Mellon Trust Company, N.A. Paying Agent/Registrar By: Authorized Representative [FORM OF COMPTROLLER'S CERTIFICATE ATTACHED TO THE BOND (BOND NO. T-1) UPON INITIAL DELIVERY THEREOF] COMPTROLLER'S CERTIFICATE A-6 OFFICE OF COMPTROLLER § REGISTER NO. ________ STATE OF TEXAS § I hereby certify that there is on file and of record in my office a certificate of the Attorney General of the State of Texas to the effect that this Bond has been examined by him as required by law, and that he finds that it has been issued in conformity with the Constitution and laws of the State of Texas, and that it is a valid and binding obligation of the City of College Station, Texas, payable in the manner provided by and in the ordinance authorizing same, and said Bond has this day been registered by me. WITNESS MY HAND and seal of office at Austin, Texas this ___________________. __________________________________________ Comptroller of Public Accounts of the State of Texas (SEAL) FORM OF ASSIGNMENT ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto: Please insert Social Security or Taxpayer Identification Number of Transferee Please print or type name and address, including zip code of Transferee the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints: ____________________________________, attorney, to register the transfer of the within Bond on the books kept for registration thereof, with full power of substitution in the premises. Dated: __________________. Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by an eligible guarantor institution participating in a securities transfer association recognized signature guarantee program. NOTICE: The signature above must correspond with the name of the registered owner as it appears upon the front of this Bond in every particular, without alteration or enlargement or any change whatsoever. A-7 INSERTIONS FOR THE INITIAL BOND. The initial Bond shall be in the form set forth in paragraph (a) of this Form of Bond, except that: i. immediately under the name of the Bond, the headings "INTEREST RATE" and "MATURITY DATE" shall both be completed with the words "As shown below" and "CUSIP NO. _____" shall be deleted. ii. the first paragraph shall be deleted and the following will be inserted: THE CITY OF COLLEGE STATION, TEXAS, in Brazos County, Texas (the "City"), being a political subdivision of the State of Texas, hereby promises to pay to the Registered Owner specified above or to the registered assignee hereof (either being hereinafter called the "registered owner") on the Maturity Dates, in the Principal Amounts and bearing interest at the per annum Interest Rates set forth in the following schedule:. Maturity Date Principal Amount ($) Interest Rate The City promises to pay interest on the unpaid principal amount hereof (calculated on the basis of a 360-day year of twelve 30-day months) from the Delivery Date above at the respective Interest Rate per annum specified above. Interest is payable on August 15, 2016 and on each February 15 and August 15 thereafter to the date of payment of the Principal Amounts specified above, or the date of redemption prior to maturity; except, that if this Bond is required to be authenticated and the date of its authentication is later than the first Record Date (hereinafter defined), such principal amount shall bear interest from the interest payment date next preceding the date of authentication, unless such date of authentication is after any Record Date but on or before the next following interest payment date, in which case such principal amount shall bear interest from such next following interest payment date; provided, however, that if on the date of authentication hereof the interest on the Bond or Bonds, if any, for which this Bond is being exchanged is due but has not been paid, then this Bond shall bear interest from the date to which such interest has been paid in full." iii. The initial Bond shall be numbered "T-1." B-1 EXHIBIT B . PROCEDURES REGARDING COMPLIANCE WITH FEDERAL TAX AND CONTINUING DISCLOSURE COVENANTS This Exhibit is intended to assist the City of College Station (the "City") in complying with the federal income tax covenants and securities disclosure covenants as they apply to the issuance of tax-exempt debt securities such as the General Obligation Improvement and Refunding Bonds (the "Obligations"). These procedures should be read together with any federal tax certifications, bond covenants, letters or memoranda from bond counsel and any attachments thereto (collectively, the "Closing Documents"). Failure to comply with federal guidelines could have serious consequences for investors, the City and its officials. These procedures shall apply to the Obligations, until they are superseded by a change in circumstances at which time the City's bond counsel will propose new procedures to be adopted. I. FEDERAL TAX LAW 1. Arbitrage Compliance. Arbitrage refers to the difference between the interest paid on tax-exempt Obligations and the interest earned by investing the proceeds of tax-exempt Obligations in higher-yielding investments. Such higher-yielding investments could take the form of loans, securities, real property, personal property, or other investments that could yield a profit to the City. Federal income tax laws generally restrict the ability to earn arbitrage utilizing the proceeds of tax- exempt Obligations. Generally, any profit from investing Obligation proceeds at a yield above the yield paid on the Obligations belongs to the federal government and must be rebated to the federal government. If the City fails to comply federal tax guidelines, Obligations could be deemed to be “arbitrage bonds” by the Internal Revenue Service (the “IRS”), which would expose the City to monetary liability from the City’s investors. The arbitrage yield on the Obligations is set forth on the IRS Form 8038-G. The Assistant City Manager and the City Treasurer (including such other employees of the City who report to such officers) (collectively, the "Responsible Person") will review the Closing Documents periodically (at least once a year) to ascertain if an exception to arbitrage compliance applies. a. Procedures applicable to the Obligation. The Responsible Person shall undertake the following procedures. B-2 i. If the City plans to spend funds currently on hand for a future project with the intent to later repay such funds from a debt issue, the Responsible Person shall contact Bond Counsel to obtain advice regarding a reimbursement resolution. The Responsible Person shall maintain any official action of the City (such as a reimbursement resolution) stating the City's intent to reimburse with the proceeds of the Obligations any amount expended prior to the Issue Date for the acquisition, renovation or construction of the Project. ii. The Responsible Person shall ensure that the applicable information return (e.g., U.S. Internal Revenue Service ("IRS") Form 8038-G, 8038-GC, or any successor forms) is timely filed with the IRS. iii. If proceeds of the Obligations are to be invested in interest-earning investments, assure that, unless excepted from rebate and yield restriction under section 148(f) of the Code, excess investment earnings are computed and paid to the U.S. government at such time and in such manner as directed by the IRS (i) at least every 5 years after the Issue Date and (ii) within 30 days after the date the Obligations are retired. If proceeds of the Obligations are to be invested in interest-earning investments, the Responsible Person should contact the City's arbitrage consultant regarding such matters. iv. The Responsible Person shall monitor all amounts deposited into a sinking fund or funds pledged (directly or indirectly) to the payment of the Obligations, such as the Interest and Sinking Fund (the "I&S Fund"), to assure that the maximum amount invested within such applicable fund at a yield higher than the yield on the Obligations does not exceed an amount equal to the debt service on the Obligations in the succeeding 12 month period plus a carryover amount equal to one-twelfth of the principal and interest payable on the Obligations for the immediately preceding 12- month period. NOTE: the purpose of the I&S Fund is to achieve a proper matching of revenues with principal and interest payments within each fiscal year. The I&S Fund should be used a mechanism for payment of current debt service and not as a long-term investment fund for debt service many years in the future. v. The Responsible Person shall ensure that no more than 50% of the proceeds of the Obligations are invested in an investment with a guaranteed yield for 4 years or more. b. With respect to the investment and expenditure of the proceeds of the Obligations that are issued to finance public improvements or to acquire land or personal property, the Responsible Person shall undertake the following. B-3 i. The Responsible Person shall instruct the persons who are primarily responsible for the construction, renovation or acquisition of the facilities financed with Obligations (the “Project”) that the Project must (i) proceed with due diligence toward completion and that (ii) binding contracts for the expenditure of at least 5% of the proceeds of the Obligations will be entered into within six (6) months of the date of closing of the Obligations (the “Issue Date”). The Responsible Person shall monitor that the above requirements are satisfied. ii. The Responsible Person shall monitor that at least 85% of the proceeds of the Obligations to be used for the construction, renovation or acquisition of the Project are expended within three years of the Issue Date. iii. The Responsible Person shall monitor investment of proceeds of the Obligations and restrict the yield of the investments to the yield on the Obligations after three years of the Issue Date. iv. To the extent that there are any unspent proceeds of the Obligations at the time the Obligations are later refunded, or if there are unspent proceeds of the Obligations that are being refunded by a new issuance of Obligations, the Responsible Person shall continue monitoring the expenditure of such unspent proceeds to ensure compliance with federal tax law with respect to both the refunded Obligations and any Obligations being issued for refunding purposes, and shall contact Bond Counsel as necessary. c. Procedures applicable to Escrow Accounts for the Obligations. In addition to the foregoing, with respect to the proceeds of the Obligations deposited to the escrow fund to be administered pursuant to the terms of an escrow agreement, the Responsible Person shall undertake the following. i. The Responsible Person shall review invoices, reports and other notifications from the escrow agent to ensure compliance with the applicable provisions of the escrow agreement, including with respect to reinvestment of cash balances. ii. The Responsible Person shall contact the escrow agent on the date of redemption of obligations being refunded to ensure that they were redeemed. iii. The Responsible Person shall monitor any unspent proceeds of the refunded obligations to ensure that the yield on any investments applicable to such proceeds are invested at the yield on the applicable obligations or otherwise applied (see Closing Documents). B-4 B. Private Business Use. Generally, the proceeds of tax-exempt Obligations may not inure to the benefit of entities other than state or local governments (“private business use”). Private business use occurs whenever Obligation proceeds are used to benefit any entity other than a state or local government, including nonprofit corporations and the federal government. A series of Obligations may lose their tax-exempt status if: (i) more than 10% of the proceeds of the Obligations are to be used for any private business use and the payment of the principal or interest on more than 10% of the proceeds of the Obligations is secured by or payable from property used for a private business use, or (ii) the amount of proceeds of the Obligations used to make loans to borrowers other than state and local governments exceeds the lesser of 5% of the proceeds or $15 million. With respect to the use of the facilities financed or refinanced with the proceeds of the Obligations, the Responsible Person shall undertake the following to ensure the Obligations do not violate private business use tests. a. The Responsible Person shall develop procedures or a “tracking system” to identify, log and record all property financed with tax-exempt debt and identify the issue of Obligations used to finance such property. b. The Responsible Person shall monitor and record the date on which the Project is substantially complete and available to be used for the purpose intended. c. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, the employees of the City, the agents of the City or members of the general public has any contractual right (such as a lease, research contract, naming rights agreement, purchase contract, management agreement or other service agreement) with respect to any portion of the Project. d. Before entering into any private business use arrangement that involves the use of the Project, the Responsible Person must obtain a description of the proposed private business use arrangement and determine whether such arrangement, if put into effect, will be consistent with the restrictions on private business use of the Project. In connection with the evaluation of any proposed private business use arrangement, the Responsible Person should consult with Bond Counsel to discuss whether such arrangement, if put into effect, will be consistent with the restrictions on private business use of the Project, and, if not, whether any “remedial action” permitted under federal guidelines may be taken as a means of enabling such private business use without adversely affecting the tax-exempt status of the Obligations. e. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, the employees of the B-5 City, the agents of the City or members of the general public has a right to use the output of the Project (e.g., water, gas, electricity, capacity) on any basis other than standard rates and charges. f. The Responsible Person shall monitor and record whether, at any time the Obligations are outstanding, any person, other than the City, has a naming right for the Project or any other contractual right granting an intangible benefit. g. Prior to any sale of property owned by the City (real or personal), the Responsible Person must confirm whether such property was financed with tax-exempt debt, and if so, determine whether the proposed disposition of the property could impact the tax-exempt status of the series of Obligations that financed the acquisition of such property. h. The Responsible Person shall take any action necessary to remediate any failure to maintain compliance with the covenants contained in the ordinance authorizing the issuance of the applicable series of Obligations. C. Record Retention. The Responsible Person will maintain or cause to be maintained all records relating to the investment and expenditure of the proceeds of the Obligations and the use of the Project financed or refinanced thereby for a period ending three (3) years after the complete extinguishment of the Obligations. If any portion of the Obligations is refunded with the proceeds of another series of Obligations, such records shall be maintained until the three (3) years after the refunding Obligations mature or are otherwise paid off. Such records can be maintained in paper or electronic format. For purposes of these procedures, the Memorandum of Bond Counsel dated December 1, 2011 styled "Certain Federal Income Tax Considerations for Record Retention – Record Management Program and Periodic Compliance Review" in incorporated herein and should be reviewed periodically, at least once per year, by the Responsible Person. D. Responsible Person & Continuity. Each Responsible Person shall receive appropriate training regarding the City’s accounting system, contract intake system, facilities management and other systems necessary to track the investment and expenditure of the proceeds and the use of the facilities financed with the proceeds of the Obligations. The foregoing notwithstanding, the Responsible Person is authorized and instructed to retain such experienced advisors and agents as may be necessary to carry out the purposes of these instructions. Prior to cessation of employment with the City, the Responsible Person should identify their successor to maintain compliance with these procedures. B-6 II. FEDERAL SECURITIES LAW Obligations, whether taxable or tax-exempt, sold in a public offering in an amount of $1 million or more are subject to Rule 15c2-12 (the “Rule”) of the United States Securities and Exchange Commission (the “SEC”). Additionally, the City may have covenanted to comply with the Rule even with respect to Obligations that would otherwise be exempt from the Rule (e.g., Obligations sold in a private placement or Obligations sold in an amount less than $1 million). Pursuant to the Rule, the City is required to make annual filings of certain information, as well as make filings upon the occurrence of certain specified events. All filings must be made with the Municipal Securities Rulemaking Board (the “MSRB”) through its Electronic Municipal Market Access System (“EMMA”) at emma.msrb.org. A. Annual Filings. The City must file the information listed below with EMMA within six (6) months of each fiscal year end for so long as the respective series of Obligations remains outstanding. The City’s fiscal year ends on September 30 of each year. Therefore, the City must provide updated information by March 31 of the subsequent year. If audited financial statements are not available by March 31, the City must provide unaudited financial information by such date and provide audited financial statements when such statements become available. The City must file each of the following items with EMMA: (1) The City’s audited financial statements; and (2) An update of the financial tables included in the Official Statement used in connection with the Obligations as described under the caption "Continuing Disclosure of Information". The information should be from the most recent fiscal year end. The Responsible Person must compile, prepare and make such filings within the required time, or, alternatively, contract with a third-party, such as the City’s financial advisor, to make such filings on the City’s behalf. B. Notices of Specified Events. The City must provide notice of any of the following events with respect to the Obligations to the MSRB in a timely manner (but not in excess of ten business days after the occurrence of the event): (1) Principal and interest payment delinquencies; (2) Non-payment related defaults, if material; (3) Unscheduled draws on debt service reserves reflecting financial difficulties; (4) Unscheduled draws on credit enhancements reflecting financial difficulties; B-7 (5) Substitution of credit or liquidity providers, or their failure to perform; (6) Adverse tax opinions, the issuance by the IRS of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701–TEB) or other material notices or determinations with respect to the tax status of the Obligations, or other material events affecting the tax status of the Obligations; (7) Modifications to rights of Obligation holders, if material; (8) Obligations calls (includes redemptions and other early payments), if material, and tender offers; (9) Defeasances; (10) Release, substitution, or sale of property securing repayment of the Obligations, if material; (11) Rating changes; (12) Bankruptcy, insolvency, receivership or similar event of the City; (13) The consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of the assets of the City, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; (14) Appointment of a successor or additional paying agent or the change of name of a paying agent, if material; and (15) In a timely manner, notice of a failure of the City to make the required annual filings listed in Subsection II(A) above. The Responsible Person should review this list at regular intervals to determine whether any event has occurred that may require a filing with EMMA. C-1 EXHIBIT C PRELIMINARY OFFICIAL STATEMENT PRELIMINARY OFFICIAL STATEMENT DATED _______________, 2016 NEW ISSUE - Book-Entry-Only In the opinion of Bond Counsel, interest on the Obligations will be excludable from gross income for federal income tax purposes under statutes, regulations, published rulings and court decisions existing on the date thereof, subject to the matters described under “TAX MATTERS” herein, including the alternative minimum tax on corporations. CITY OF COLLEGE STATION, TEXAS (a Home-Rule City located in Brazos County, Texas) Dated Date: July 1, 2016 Due: February 15, as shown on inside cover Interest Accrual Date: Date of Delivery The $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016 (the “Bonds”) and the $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016 (the “Certificates”) are being issued by the City of College Station, Texas (the “City”) pursuant to the terms of two separate ordinances adopted by the governing body of the City. In each of the ordinances, the City Council of the City delegated authority to certain authorized officials of the City to finalize the pricing of the Obligations. The Bonds and the Certificates are referred to herein collectively as the “Obligations.” The Obligations are issuable only in fully registered form in the denomination of $5,000 principal amount or integral multiples thereof, initially registered solely in the name of Cede & Co., as registered owner and nominee for The Depository Trust Company (“DTC”), New York, New York, acting as securities depository for the Obligations. The Obligations initially will be available to purchasers in book-entry-form only. So long as Cede & Co. is the registered owner of the Obligations, as nominee for DTC, the Paying Agent/Registrar, initially The Bank of New York Mellon Trust Company, N.A., Dallas, Texas (the “Paying Agent/Registrar”) will pay the principal of and interest on the Obligations to Cede & Co., which will, in turn, remit such amounts to DTC participants for subsequent disbursement to the beneficial owners of the Obligations. Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. (see “THE OBLIGATIONS - GENERAL DESCRIPTION”) The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. (see “THE OBLIGATIONS – OPTIONAL REDEMPTION”). In addition to the foregoing optional redemption provision, if in connection with the pricing of the Bonds or the Certificates the principal amounts designated in the separate Maturity Schedules herein are combined to create Term Obligations, each such Term Obligation shall be subject to mandatory sinking fund redemption commencing on February 15 of the first year which has been combined to form such Term Obligation and continuing on February 15 in each year thereafter until the stated maturity date of that Term Obligation, and the amount required to be redeemed in any year shall be equal to the principal amount for such year set forth in the serial maturity schedule on the inside cover. Term Obligations to be redeemed in any year by mandatory sinking fund redemption shall be redeemed at par and shall be selected by lot from the Term Obligations then subject to redemption. The City, at its option, may credit against any mandatory sinking fund redemption requirement Term Obligations of the maturity then subject to redemption which have been purchased and canceled by the City or have been redeemed and not theretofore applied as a credit against any mandatory sinking fund redemption requirement (see “THE OBLIGATIONS - MANDATORY SINKING FUND REDEMPTION”). SEE MATURITY SCHEDULE,INTEREST RATES AND YIELDS ON INSIDE COVER The Obligations are payable from annual ad valorem taxes levied against all taxable property in the City, within the legal limits prescribed by law. The Certificates are additionally payable from a subordinate lien on and pledge of $1,000 of the surplus revenues of the City’s combined utility system (see “THE OBLIGATIONS – SECURITY AND SOURCE OF PAYMENT,” and “– TAX RATE LIMITATION”). The Bonds and the Certificates are being offered by the City concurrently, under a common Official Statement. The Bonds and the Certificates are separate and distinct securities being issued and sold independently except for the Official Statement, and, while the Bonds and Certificates share certain common attributes, each issue is separate from the other and should be reviewed and analyzed independently, including without limitation the date of accrual and payment of interest for each series of the securities being offered, the redemption provisions and the tax treatment of interest for federal income tax purposes. The Obligations of each series are offered for delivery, when issued, and received by the initial purchasers (the “Initial Purchasers”) and subject to the opinion of the Attorney General of the State of Texas and the opinion of McCall, Parkhurst & Horton L.L.P., Dallas, Texas, Bond Counsel for the City (see “APPENDIX C – FORMS OF OPINIONS OF BOND COUNSEL”). It is expected that the Obligations will be available for delivery through the services of DTC on or about July 5, 2016. BIDS DUE TUESDAY, JUNE 7, 2016, AT 9:30 A.M., CDT FOR THE CERTIFICATES BIDS DUE TUESDAY, JUNE 7, 2016, AT 10:30 A.M., CDT FOR THE BONDS $39,640,000* GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BONDS SERIES 2016 $24,385,000* CERTIFICATES OF OBLIGATION SERIES 2016 ThisPreliminaryOfficialStatementandtheinformationcontainedhereinaresubjecttocompletionoramendment.ThesesecuritiesmaynotbesoldnormayofferstobuybeacceptedpriortothetimetheOfficialStatementisdeliveredinfinalform.UndernocircumstancesshallthisPreliminaryOfficialStatementconstituteanoffertosellorthesolicitationofanoffertobuynorshalltherebeanysaleofthesesecuritiesinanyjurisdictioninwhichsuchoffer,solicitationorsalewouldbeunlawfulpriortoregistrationorqualificationunderthesecuritieslawsofanysuchjurisdiction.Ratings: Moody’s: "____" S&P: "____" (See “OTHER INFORMATION – RATINGS” herein __________ * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. ii MATURITY SCHEDULES* $39,640,000* General Obligation Improvement and Refunding Bonds, Series 2016 Due Interest Due Interest Feb. 15 Principal*Rate Yield CUSIP (1)Feb. 15 Principal*Rate Yield CUSIP (1) 2017 2,540,000 2027 (2)4,260,000 2018 2,135,000 2028 (2)2,690,000 2019 1,400,000 2029 (2)415,000 2020 1,450,000 2030 (2)440,000 2021 3,110,000 2031 (2)460,000 2022 3,270,000 2032 (2)475,000 2023 3,430,000 2033 (2)495,000 2024 3,605,000 2034 (2)515,000 2025 3,815,000 2035 (2)540,000 2026 4,030,000 2036 (2)565,000 $24,385,000* Certificates of Obligation, Series 2016 Due Interest Due Interest Feb. 15 Principal*Rate Yield CUSIP (1)Feb. 15 Principal*Rate Yield CUSIP (1) 2017 915,000$2027 (2)1,015,000$ 2018 1,045,000 2028 (2)1,065,000 2019 1,065,000 2029 (2)1,120,000 2020 1,100,000 2030 (2)1,180,000 2021 1,145,000 2031 (2)1,235,000 2022 1,195,000 2032 (2)1,280,000 2023 1,240,000 2033 (2)1,335,000 2024 1,300,000 2034 (2)1,390,000 2025 1,365,000 2035 (2)1,450,000 2026 1,435,000 2036 (2)1,510,000 * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)CUSIP numbers have been assigned to the Obligations by CUSIP Global Services, managed by S&P Capital IQ on behalf of the American Bankers Association, and are included solely for the convenience of the purchasers of the Obligations. Neither the City, the Financial Advisor nor the Initial Purchasers shall be responsible for the selection or correctness of the CUSIP numbers set forth herein. (2)The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. iii For purposes of compliance with Rule 15c2-12 of the United States Securities and Exchange Commission, as amended and in effect on the date hereof (the “Rule”), this document constitutes a Preliminary Official Statement of the City with respect to the Obligations that has been deemed “final” by the City as of its date except for the omission of no more than the information permitted by the Rule. This Official Statement, which includes the cover page and the Appendices hereto, does not constitute an offer to sell or the solicitation of an offer to buy in any jurisdiction to any person to whom it is unlawful to make such offer, solicitation or sale. No dealer, broker, salesperson or other person has been authorized to give information or to make any representation other than those contained in this Official Statement, and, if given or made, such other information or representations must not be relied upon. The information set forth herein has been obtained from the City and other sources believed to be reliable, but such information is not guaranteed as to accuracy or completeness and is not to be construed as the promise or guarantee of the Financial Advisor. This Official Statement contains, in part, estimates and matters of opinion which are not intended as statements of fact, and no representation is made as to the correctness of such estimates and opinions, or that they will be realized. CUSIP numbers have been assigned to this issue by CUSIP Global Services, and are included solely for the convenience of the owners of the Obligations. Neither the City, the Financial Advisor nor the Initial Purchasers shall be responsible for the selection or correctness of the CUSIP numbers shown on the inside cover page. The information and expressions of opinion contained herein are subject to change without notice, and neither the delivery of this Official Statement nor any sale made hereunder will, under any circumstances, create any implication that there has been no change in the affairs of the City or other matters described. In connection with this offering, the Initial Purchasers may over-allot or effect transactions which stabilize the market price of the issue at a level above that which might otherwise prevail in the open market. Such stabilizing, if commenced, may be discontinued at any time. The Obligations are exempt from registration with the Securities and Exchange Commission and consequently have not been registered therewith. The registration, qualification, or exemption of the Obligations in accordance with applicable securities law provisions of the jurisdiction in which these securities have been registered or exempted should not be regarded as a recommendation thereof. NEITHER THE CITY, ITS FINANCIAL ADVISOR NOR THE INITIAL PURCHASER MAKE ANY REPRESENTATION OR WARRANTY WITH RESPECT TO THE INFORMATION CONTAINED IN THIS OFFICIAL STATEMENT REGARDING THE DEPOSITORY TRUST COMPANY (“DTC”) OR ITS BOOK-ENTRY-ONLY SYSTEM. Any information and expressions of opinion herein contained are subject to change without notice, and neither the delivery of this Official Statement nor any sale made hereunder shall, under any circumstances, create any implication that there has been no change in the affairs of the City or other matters described herein since the date hereof. The Initial Purchasers have provided the following sentence for inclusion in this Official Statement. The Initial Purchasers have reviewed the information in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Initial Purchasers do not guarantee the accuracy or completeness of such information. THIS OFFICIAL STATEMENT CONTAINS “FORWARD-LOOKING” STATEMENTS WITHIN THE MEANING OF SECTION 21E OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED. SUCH STATEMENTS MAY INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE THE ACTUAL RESULTS, PERFORMANCE AND ACHIEVEMENTS TO BE DIFFERENT FROM THE FUTURE RESULTS, PERFORMANCE AND ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. INVESTORS ARE CAUTIONED THAT THE ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THOSE SET FORTH IN THE FORWARD-LOOKING STATEMENTS. See “OTHER INFORMATION – FORWARD-LOOKING STATEMENTS DISCLAIMER” herein. References to web site addresses presented herein are for informational purposes only and may be in the form of a hyperlink solely for the reader’s convenience. Unless specified otherwise, such web sites and the information or links contained therein are not incorporated into, and are not part of, this final official statement for purposes of, and as that term is defined in, SEC Rule 15c2-12. iv TABLE OF CONTENTS MATURITY SCHEDULES..........................................................i OFFICIAL STATEMENT SUMMARY.....................................v SELECTED FINANCIAL INFORMATION ........................................VII GENERAL FUND CONSOLIDATED STATEMENT SUMMARY ..........VII UTILITY SYSTEM CONDENSED STATEMENT OF OPERATIONS......VII CITY OFFICIALS, STAFF AND CONSULTANTS..............viii ELECTED OFFICIALS ................................................................VIII SELECTED ADMINISTRATIVE STAFF .........................................VIII CONSULTANTS AND ADVISORS ................................................VIII INTRODUCTION ........................................................................9 DESCRIPTION OF THE CITY .........................................................9 PLAN OF FINANCING...............................................................9 PURPOSE....................................................................................9 REFUNDED OBLIGATIONS ...........................................................1 SOURCES AND USES OF PROCEEDS .............................................1 THE OBLIGATIONS ..................................................................2 GENERAL DESCRIPTION..............................................................2 AUTHORITY FOR ISSUANCE OF THE BONDS..................................2 AUTHORITY FOR ISSUANCE OF THE CERTIFICATES .......................2 SECURITY AND SOURCE OF PAYMENT.........................................2 TAX RATE LIMITATION ..............................................................2 OPTIONAL REDEMPTION .............................................................2 MANDATORY SINKING FUND REDEMPTION.................................3 NOTICE OF REDEMPTION ............................................................3 BOOK-ENTRY-ONLY SYSTEM.....................................................3 PAYING AGENT/REGISTRAR .......................................................5 TRANSFER,EXCHANGE AND REGISTRATION................................5 RECORD DATE FOR INTEREST PAYMENT .....................................5 DEFEASANCE .............................................................................5 REMEDIES OF HOLDERS OF OBLIGATIONS ...................................6 TAX INFORMATION.................................................................6 AD VALOREM TAX LAW ............................................................6 CONSTITUTIONAL AMENDMENT .................................................7 EFFECTIVE TAX RATE AND ROLLBACK TAX RATE.......................8 PROPERTY ASSESSMENT AND TAX PAYMENT..............................8 PENALTIES AND INTEREST ..........................................................8 CITY APPLICATION OF PROPERTY TAX CODE ..............................9 TAX ABATEMENT POLICY ..........................................................9 ECONOMIC DEVELOPMENT PROGRAMS.......................................9 TABLE 1 -VALUATION,EXEMPTIONS AND GENERAL OBLIGATION DEBT.............................................................11 TABLE 2 -TAXABLE ASSESSED VALUATIONS BY CATEGORY ...12 TABLE 3 -VALUATION AND GENERAL OBLIGATION DEBT HISTORY ...........................................................................13 TABLE 4 -TAX RATE,LEVY AND COLLECTION HISTORY .........13 TABLE 5 -TEN LARGEST TAXPAYERS......................................13 TABLE 6 -TAX ADEQUACY .....................................................14 TABLE 7 -ESTIMATED OVERLAPPING DEBT.............................14 DEBT INFORMATION.............................................................15 TABLE 8 -PRO-FORMA AD VALOREM TAX DEBT SERVICE REQUIREMENTS .................................................................15 TABLE 9 -INTEREST AND SINKING FUND BUDGET PROJECTION ......................................................................16 TABLE 10 –SELF-SUPPORTING DEBT .......................................16 TABLE 11 -AUTHORIZED BUT UNISSUED TAX BONDS .............17 ANTICIPATED ISSUANCE OF GENERAL OBLIGATION DEBT .........17 OTHER OBLIGATIONS ...............................................................17 PENSION FUND ........................................................................17 OTHER POST EMPLOYMENT BENEFITS ......................................17 FINANCIAL INFORMATION.................................................20 TABLE 12 -GENERAL FUND REVENUES AND EXPENDITURE HISTORY ...........................................................................20 TABLE 13 -MUNICIPAL SALES TAX HISTORY .........................21 FINANCIAL POLICIES................................................................21 THE COMBINED UTILITY SYSTEM...................................22 WATERWORKS SYSTEM ...........................................................22 WASTEWATER SYSTEM ............................................................23 ELECTRIC SUPPLY SOURCE ......................................................23 WIND WATT RATES.................................................................24 TABLE 14 -HISTORICAL UTILITY USERS ..................................25 TABLE 15 -TEN LARGEST UTILITY CUSTOMERS .......................25 TABLE 16 -CONDENSED STATEMENT OF OPERATIONS ..............25 TABLE 17 –VALUE OF THE SYSTEM .........................................26 TABLE 18 –CITY’S EQUITY IN THE SYSTEM .............................26 TABLE 19 –UTILITY REVENUE BOND AND SYSTEM SUPPORTED CERTIFICATE DEBT SERVICE ...........................27 INVESTMENTS.........................................................................27 LEGAL INVESTMENTS ..............................................................27 INVESTMENT POLICIES.............................................................28 ADDITIONAL PROVISIONS ........................................................29 CITY’S INVESTMENT POLICY....................................................29 TABLE 20 -CURRENT INVESTMENTS ........................................29 TAX MATTERS.........................................................................30 OPINION ..................................................................................30 FEDERAL INCOME TAX ACCOUNTING TREATMENT OF ORIGINAL ISSUE DISCOUNT ...............................................30 COLLATERAL FEDERAL INCOME TAX CONSEQUENCES ..............31 STATE,LOCAL AND FOREIGN TAXES ........................................31 FUTURE AND PROPOSED LEGISLATION .....................................31 CONTINUING DISCLOSURE OF INFORMATION............32 ANNUAL REPORTS ...................................................................32 EVENT NOTICES ......................................................................32 LIMITATIONS AND AMENDMENTS .............................................33 COMPLIANCE WITH PRIOR UNDERTAKINGS ..............................33 OTHER INFORMATION.........................................................33 RATINGS .................................................................................33 LITIGATION .............................................................................33 REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE .................................................................................33 LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS ...............................................................34 LEGAL OPINIONS .....................................................................34 AUTHENTICITY OF FINANCIAL DATA AND OTHER INFORMATION ...................................................................34 FINANCIAL ADVISOR ...............................................................34 VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS ................................................................35 INITIAL PURCHASERS ...............................................................35 MISCELLANEOUS .....................................................................36 SCHEDULE OF REFUNDED OBLIGATIONS ...............................................................SCHEDULE I APPENDICES GENERAL INFORMATION REGARDING THE CITY..................................A EXCERPTS FROM THE ANNUAL FINANCIAL REPORT ............................B FORMS OF OPINIONS OF BOND COUNSEL ............................................C The cover page hereof, this page, the appendices included herein and any addenda, supplement or amendment hereto, are part of the Official Statement. v OFFICIAL STATEMENT SUMMARY This summary is subject in all respects to the more complete information and definitions contained or incorporated in this Official Statement. The offering of the Obligations to potential investors is made only by means of this entire Official Statement. No person is authorized to detach this summary from this Official Statement or to otherwise use it without the entire Official Statement. THE CITY............................. The City of College Station, Texas (the “City”) is a political subdivision and a home-rule city of the State, located in Brazos County, Texas. The City covers approximately 51.6 square miles (see “INTRODUCTION - DESCRIPTION OF THE CITY”). THE BONDS .......................... The Bonds are issued as $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016. The Bonds are issued as serial bonds maturing on February 15 in each of the years 2017-2036, inclusive (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). THE CERTIFICATES ............. The Certificates are issued as $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016. The Certificates are issued as serial certificates maturing on February 15 in each of the years 2017- 2036, inclusive (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). PAYMENT OF INTEREST ...... Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. (see “THE OBLIGATIONS - GENERAL DESCRIPTION”). AUTHORITY FOR ISSUANCE OF THE BONDS .................... The Bonds are issued pursuant to the general laws of the State, particularly Chapters 1207, 1251, 1331 and 1371, Texas Government Code, an ordinance passed by the City Council of the City, and an election held November 4, 2008. In the ordinance authorizing the issuance of the Bonds, the City Council delegated pricing of the Bonds to a “Pricing Officer” who will approve the terms of sale of the Bonds. (see “THE OBLIGATIONS - AUTHORITY FOR ISSUANCE OF THE BONDS”). AUTHORITY FOR ISSUANCE OF THE CERTIFICATES ....... The Certificates are issued pursuant to the general laws of the State, particularly Chapter 1371, Texas Government Code and Subchapter C of Chapter 271, Texas Local Government Code, as amended; and an ordinance passed by the City Council of the City. In the ordinance authorizing the issuance of the Certificates, the City Council delegated pricing of the Certificates to a “Pricing Officer” who will approve the terms of sale of the Certificates. (see “THE OBLIGATIONS - AUTHORITY FOR ISSUANCE OF THE CERTIFICATES”). SECURITY FOR THE BONDS .................................. The Bonds constitute direct obligations of the City, secured by and payable from the levy and collection of a direct and continuing ad valorem tax, within the limits prescribed by law, on all taxable property located within the City (see “THE OBLIGATIONS - SECURITY AND SOURCE OF PAYMENT”). Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home-Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. SECURITY FOR THE CERTIFICATES...................... The Certificates constitute direct obligations of the City, secured by and payable from a combination of (i) the levy and collection of an annual direct and continuing ad valorem tax, within the limits prescribed by law, on all taxable property located within the City, and (ii) a subordinate lien on and pledge of $1,000 of the surplus revenues derived from the City’s combined utility system (see “THE OBLIGATIONS - SECURITY AND SOURCE OF PAYMENT”). Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home- Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. __________ * * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. . vi REDEMPTION ....................... The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption (see “THE OBLIGATIONS – OPTIONAL REDEMPTION”). Additionally, the Obligations may be subject to mandatory redemption in the event the Initial Purchasers elect to aggregate one or more maturities as a term Obligation. (See “THE OBLIGATIONS – MANDATORY SINKING FUND REDEMPTION.”) TAX EXEMPTION ................... In the opinion of Bond Counsel, the interest on the Obligations will be excludable from gross income for federal income tax purposes under existing law, including the alternative minimum tax on corporations. See “TAX MATTERS” for a discussion of the opinion of Bond Counsel and Exhibit C. USE OF BOND PROCEEDS ..... Proceeds from the sale of the Bonds will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (ii) pay for the costs of constructing and improving the City library (iii) refund certain obligations of the City described in Schedule I to this Official Statement (the “Refunded Obligations”) and (iv) pay the costs incurred in connection with the issuance of the Bonds (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). USE OF CERTIFICATE PROCEEDS.......................... Proceeds from the sale of the Certificates will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric systems including distribution, transmission, system lines and wells (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith; and (iv) to pay the costs incurred in connection with the issuance of the Certificates (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). RATINGS .............................The Obligations and presently outstanding tax supported debt of the City are rated “___” by Moody's Investors Service, Inc. (“Moody's”) and “____” by Standard & Poor's Ratings Services, a Standard & Poor’s Financial Services LLC business (“S&P”), without regard to credit enhancement (see “OTHER INFORMATION – RATINGS”). BOOK-ENTRY-ONLY SYSTEM .............................. The definitive Obligations will be initially registered and delivered only to Cede & Co., the nominee of The Depository Trust Company (“DTC”) pursuant to the Book-Entry-Only System described herein. Beneficial ownership of the Obligations may be acquired in denominations of $5,000 or integral multiples thereof. No physical delivery of the Obligations will be made to the beneficial owners thereof. Principal of and interest on the Obligations will be payable by the Paying Agent/Registrar to Cede & Co., which will make distribution of the amounts so paid to the participating members of DTC for subsequent payment to the beneficial owners of the Obligations (see “THE OBLIGATIONS - BOOK-ENTRY-ONLY SYSTEM”). PAYMENT RECORD ..............Other than a late payment on the City’s Certificates of Obligation, Series 2002 that occurred in 2003, the City has never defaulted in payment of its general obligation tax debt. [Remainder of Page Intentionally Left Blank] vii SELECTED FINANCIAL INFORMATION Ratio Tax Fiscal Per Capita Per Capita Debt to Year Estimated Taxable Taxable Net Net Taxable Ended City Assessed Assessed Ad Valorem Ad Valorem Assessed 9/30 Population(1)Valuation(2)Valuation TaxDebt (3)TaxDebt Valuation 2011 94,669 5,455,432,461$57,626$99,140,000$1,047$1.82%99.76% 2012 97,888 5,738,615,002 58,624 96,390,000 985 1.68%99.83% 2013 97,929 5,944,312,987 60,700 96,750,000 988 1.63%100.24% 2014 100,394 6,231,119,010 62,067 88,100,000 878 1.41%100.10% 2015 102,281 6,654,600,834 65,062 101,630,000 994 1.53%100.26% 2016 106,636 7,162,738,280 (4)67,170 116,450,000 (5)1,092 (5)1.63%(5)88.93%(6) Collection Total Percent _______________ (1)Source: The City. (2)As reported by the Brazos Central Appraisal District; subject to change during the ensuing year. (3)Payable from ad valorem taxes. Does not include self-supporting debt. See “TABLE 10 – SELF-SUPPORTING DEBT” for detail on the City’s self supported tax debt. (4)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (5)Projected, includes the Obligations and excludes the Refunded Obligations. (6)Collections as of February 29, 2016. A portion of the City’s taxpayer base has elected to provide split payments to the City which will be due in part on June 30, 2016. GENERAL FUND CONSOLIDATED STATEMENT SUMMARY 2015 2014 2013 2012 2011 BeginningBalance 20,244,248$15,925,531$16,492,693$14,393,033$(2)13,815,881$ Total Revenue 58,378,174 50,325,825 48,229,096 46,560,274 44,034,999 Total Expenditures 68,827,167 61,303,335 59,483,559 55,670,118 56,171,633 Other FinancingSources 12,627,809 15,296,227 10,687,301 11,209,504 12,713,810 EndingBalance(1)22,423,064$20,244,248$15,925,531$16,492,693$14,393,057$ For Fiscal Year Ended September 30, _______________ (1)The City’s financial policies require a General Fund balance of 15% of budgeted appropriations at year end. To the extent that the General Fund balance exceeds this amount, this surplus may be expended in future years for one time expenditures such as capital items and short term projects. (2)Restated. UTILITY SYSTEM CONDENSED STATEMENT OF OPERATIONS 2015 2014 2013 2012 2011 Revenues: Electric 98,763,293$95,677,765$92,892,541$94,396,234$98,737,655$ Water and Wastewater 28,732,968 27,550,262 29,018,108 27,652,449 29,248,180 Interest 180,423 116,433 170,062 136,974 142,700 Other 3,546,138 2,890,061 3,670,710 2,857,223 2,584,985 Total Revenues 131,222,822$126,234,521$125,751,421$125,042,880$130,713,520$ Expenses: Total Expenses 82,079,813$100,235,329$90,519,871$88,927,662$96,938,864$ Net Available for Debt Service 49,143,009$25,999,192$35,231,550$36,115,218$33,774,656$ Water (Units Served)41,540 40,768 40,767 39,338 37,565 Wastewater (Units Served)40,806 39,128 38,608 36,908 35,563 Electric (Units Served)43,471 38,198 38,456 39,123 37,829 For Fiscal Year Ended September 30, viii CITY OFFICIALS, STAFF AND CONSULTANTS ELECTED OFFICIALS Term Name Position Expiration Occupation Nancy Berry Mayor 6 Years (1)11/16 Full-time Volunteer John Nichols Mayor Pro Tem 3.5 Years (2)11/17 Retired Professor Steve Aldrich Council Member 2.5 Years (3)11/16 Financial Advisor Karl Mooney Council Member 5 Years (2)11/17 Texas A&M University Director Blanche Brick Council Member 5 Years (4)11/17 Professor Julie Schultz Council Member 5 Years (2)11/17 Business Owner James Benham Council Member 3.5 Years (4)11/17 Business Owner Length of Service _________________ (1) Elected Mayor in May 2010; former City of College Station Council Member 2004-2006. (2) Elected November 2012. (3) Elected November 2013. (4) Elected May 2011. SELECTED ADMINISTRATIVE STAFF Name Position Kelly Templin City Manager 4 Years (1) Chuck Gillman Deputy City Manager 8.5 Years (2) Jeff Kersten Assistant City Manager 25 Years (3) Jeff Capps Assistant City Manager 23 Years (4) Carla Robinson City Attorney 17.5 Years (5) Sherry Mashburn City Secretary 5.5 Years Ty Elliott Internal Auditor 8 Years Mary Ellen Leonard Director of Finance 2 Months David Coleman Director of Water Services 10.5 Years Timothy Crabb Director of Electric Utility 9.5 Years (6) Ben Roper Director of Information Technology 11.5 Years David Schmitz Director of Parks and Recreation 8 Years (7) Lance Simms Director of Development Services 20 Years (8) Donald Harmon Director of Public Works and CIP 16.5 Years (9) Alison Pond Director of Human Resources 7.5 Years Jay Socol Public Communications Director 6.5 Years Length of Service to the City _______________ (1) City Manager since November 2013; previously served as Planning & Development Director 2002-2004. (2) Deputy City Manager since January 2014; previously served as Director of Public Works and CIP. (3) Assistant City Manager since January 2014; previously served as Chief Financial Officer. (4) Assistant City Manager since June 2014; previously served as Chief of Police. (5) City Attorney since February 2011; previously served as Assistant City Attorney. (6) Director of Electric Utility since December 2012; previously served as Assistant Director of Electric Utility. (7) Director of Parks and Recreation since May 2011; previously served as Assistant Director of Parks and Recreation. (8) Director of Development Services since March 2014; previously Assistant Director of Development Services. (9) Director of Public Works and CIP since January 2014; previously Assistant Director of Public Works and CIP. CONSULTANTS AND ADVISORS Auditors ................................................................................................................................................. Ingram, Wallis & Company Bryan, Texas Bond Counsel .............................................................................................................................McCall, Parkhurst & Horton L.L.P. Dallas, Texas Financial Advisor.............................................................................................First Southwest, a Division of Hilltop Securities Inc. Houston, Texas For additional information regarding the City, please contact: Jeff Kersten Assistant City Manager City of College Station 1101 Texas Avenue College Station, Texas 77840 (979) 764-3555 Phone or Drew Masterson First Southwest, a Division of Hilltop Securities Inc. 700 Milam Street, Suite 500 Houston, Texas 77002 (713) 651-9850 Phone ix PRELIMINARY OFFICIAL STATEMENT RELATING TO CITY OF COLLEGE STATION, TEXAS (a Home-Rule City located in Brazos County, Texas) $39,640,000* GENERAL OBLIGATION IMPROVEMENT AND REFUNDING BONDS SERIES 2016 $24,385,000* CERTIFICATES OF OBLIGATION SERIES 2016 INTRODUCTION This Official Statement, which includes the cover pages and Appendices hereto, provides certain information regarding the issuance of the $39,640,000* City of College Station, Texas General Obligation Improvement and Refunding Bonds, Series 2016 (the “Bonds”) and the $24,385,000* City of College Station, Texas Certificates of Obligation, Series 2016 (the “Certificates”). The Bonds and the Certificates are referred to herein collectively as the “Obligations.” Capitalized terms used in this Official Statement, except as otherwise indicated herein, have the same meanings assigned to such terms in the ordinances authorizing the issuance of the Bonds (the “Bond Ordinance”) and the Certificates (the “Certificate Ordinance”), respectively. The Bond Ordinance and the Certificate Ordinance are collectively referred to herein as the “Ordinances.” In the Ordinances, the City Council delegated to certain officers known as “Pricing Officers” of the City the authority to finalize the pricing of the Obligations. There follows in this Official Statement descriptions of the Obligations and certain information regarding the City and its finances. All descriptions of documents contained herein are only summaries and are qualified in their entirety by reference to each such document. Copies of such documents may be obtained from the City's Financial Advisor, FirstSouthwest, a Division of Hilltop Securities Inc., Houston, Texas. DESCRIPTION OF THE CITY The City is a political subdivision and municipal corporation of the State of Texas (the “State”), duly organized and existing under the laws of the State, including the City's Home Rule Charter. The City was incorporated in October 1938, and first adopted its Home-Rule Charter in October 1938, which was last amended in November 2012. The City operates under a Council/City Manager form of government with a City Council comprised of the Mayor and six Council members. Some of the services that the City provides are: public safety (police and fire protection), highways and streets, electric, water and sanitary sewer utilities, health and social services, culture-recreation, public transportation, public improvements, planning and zoning, and general administrative services. The 2010 Census population was 93,857 and the current estimated population of the City is 106,636. The City covers approximately 51.6 square miles. PLAN OF FINANCING PURPOSE OF THE BONDS Proceeds from the sale of the Bonds will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting, related thereto; (ii) pay for the costs of constructing and improving the City library (iii) refund certain obligations of the City described in Schedule I to this Official Statement (the “Refunded Obligations”) and (iv) pay the costs incurred in connection with the issuance of the Bonds (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). PURPOSE OF THE CERTIFICATES Proceeds from the sale of the Certificates will be used to (i) pay for the costs of constructing and improving streets and roads including related drainage, landscaping, lighting and signage related thereto; (ii) designing and constructing a new police station; (iii) constructing improvements and extensions to the City's combined waterworks, sewer and electric systems including distribution, transmission, system lines and wells (iv) the payment of fiscal, engineering and legal fees incurred in connection therewith; and (iv) to pay the costs incurred in connection with the issuance of the Certificates (see “PLAN OF FINANCING – SOURCES AND USE OF PROCEEDS”). __________ * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. 1 REFUNDED OBLIGATIONS The principal of and interest due on the Refunded Obligations are to be paid on the respective interest payment dates and redemption dates of such Refunded Obligations, from funds to be deposited pursuant to a certain Escrow Agreement (the “Escrow Agreement”) between the City and The Bank of New York Mellon Trust Company, N.A., Dallas, Texas (the “Escrow Agent”). The Bond Ordinance authorizing the Bonds provides that from the proceeds of the sale of the Bonds and other available moneys of the City, if any, the City will deposit with the Escrow Agent the amount necessary to accomplish the discharge and final payment of the Refunded Obligations on their respective redemption dates. Such funds will be held by the Escrow Agent in a special escrow account (the “Escrow Fund”) and used to purchase (i) direct noncallable obligations of the United States, including obligations that are unconditionally guaranteed by the United States or (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the City adopts the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent (the “Federal Securities”). Under the Escrow Agreement, the Escrow Fund is irrevocably pledged to the payment of the principal of and interest on the Refunded Obligations. Grant Thornton LLP, a nationally recognized accounting firm, will verify at the time of delivery of the Bonds to the underwriters listed on the cover page hereof (the “Initial Purchasers”) the mathematical accuracy of the schedules that demonstrate the Federal Securities will mature and pay interest in such amounts which, together with uninvested funds, if any, in the Escrow Fund, will be sufficient to pay, when due, the principal of and interest on the Refunded Obligations.Such maturing principal of and interest on the Federal Securities will not be available to make debt service payments on the Bonds (see “OTHER INFORMATION - VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS”). By the deposit of the Federal Securities and cash, if necessary, with the Escrow Agent pursuant to the Escrow Agreement sufficient to pay the redemption price of the Refunded Obligations on their respective redemption dates, the City will have effected the defeasance of all of the Refunded Obligations in accordance with State law. As a result of such defeasance, the Refunded Obligations will be outstanding only for the purpose of receiving payments from the Federal Securities and any cash held for such purpose by the Escrow Agent and such Refunded Obligations will not be deemed as being outstanding obligations of the City payable from taxes or revenues nor for the purpose of applying any limitation on the issuance of debt. The City has covenanted in the Escrow Agreement to make timely deposits to the Escrow Fund, from lawfully available funds, of any additional amounts required to pay the principal of and interest on the Refunded Obligations, if for any reason, the cash balances on deposit or scheduled to be on deposit in the Escrow Fund are insufficient to make such payment. SOURCES AND USES OF PROCEEDS The proceeds from the sale of the Obligations, and the cash contribution by the City, will be applied approximately as follows: THE BONDS THE CERTIFICATES Sources of Funds Par Amount -$ Original Issue Premium - Issuer Contribution - Total Uses of Funds -$ Use of Funds Deposit to Project Fund -$ Deposit to Escrow Fund - Deposit to Interest and SinkingFund - Underwriters' Discount - Total Uses of Funds -$ Sources of Funds Par Amount Original Issue Premium Total Uses of Funds -$ Use of Funds Deposit to Project Fund Deposit to Interest and SinkingFund Underwriters' Discount Costs of Issuance Total Uses of Funds -$ 2 THE OBLIGATIONS GENERAL DESCRIPTION The Obligations will bear interest from the date of delivery to the Initial Purchasers, and mature on February 15 in each of the years and in the amounts shown on the inside cover page hereof. Interest on the Obligations will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Bonds will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing August 15, 2016 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. Interest on the Certificates will accrue from the date of delivery, and will be payable February 15 and August 15 of each year commencing February 15, 2017 until maturity or prior redemption and will be calculated on the basis of a 360-day year consisting of twelve 30-day months. The definitive Obligations will be issued only in fully registered form in any integral multiple of $5,000 for any one maturity and will be initially registered and delivered only to Cede & Co., the nominee of The Depository Trust Company, New York, New York (“DTC”) pursuant to the Book-Entry-Only System described herein. No physical delivery of the Obligations will be made to the beneficial owners thereof. Principal of and interest on the Obligations will be payable by the Paying Agent/Registrar to Cede & Co., which will make distribution of the amounts so paid to the participating members of DTC for subsequent payment to the beneficial owners of the Obligations (see “BOOK-ENTRY-ONLY SYSTEM”). AUTHORITY FOR ISSUANCE OF THE BONDS The Bonds are being issued pursuant to the Constitution and general laws of the State of Texas, particularly Chapters 1251, 1207, 1331 and 1371, Texas Government Code, as amended; an election held November 4, 2008 passed by a majority of the participating voters; and the Bond Ordinance. AUTHORITY FOR ISSUANCE OF THE CERTIFICATES The Certificates are being issued pursuant to the Constitution and general laws of the State of Texas, particularly Chapter 1371, Texas Government Code and Subchapter C of Chapter 271, Texas Local Government Code (the Certificate of Obligation Act of 1971), as amended; and the Certificate Ordinance. SECURITY AND SOURCE OF PAYMENT The Bonds are secured by and payable from a direct and continuing annual ad valorem tax levied within the limits prescribed by law, against all taxable property in the City. The Certificates are secured by and payable from an annual continuing ad valorem taxes levied against all taxable property in the City, within the legal limits prescribed by law and payable from a subordinate lien on and pledge of $1,000 of the surplus revenues of the City’s combined utility system. TAX RATE LIMITATION All taxable property within the City is subject to the assessment, levy and collection by the City of a continuing, direct annual ad valorem tax sufficient to provide for the payment of principal of and interest on all ad valorem tax debt within the limits prescribed by law. Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits its maximum ad valorem tax rate to $2.50 per $100 Taxable Assessed Valuation for all City purposes. The Home-Rule Charter of the City adopts the constitutionally authorized maximum tax rate of $2.50 per $100 Taxable Assessed Valuation. Administratively, the Attorney General of the State of Texas will permit allocation of $1.50 of the $2.50 maximum tax rate for all debt service for obligations payable from annual ad valorem property taxes, as calculated at the time of issuance. OPTIONAL REDEMPTION The City reserves the right, at its option, to redeem Obligations of either series having stated maturities on and after February 15, 2027, in whole or in part in principal amounts of $5,000 or any integral multiple thereof, on February 15, 2026, or any date thereafter, at the par value thereof plus accrued interest to the date of redemption. If less than all of the Obligations are to be redeemed, the City shall determine the Obligations, or portions thereof, within such maturity to be redeemed. If Obligations (or any portion of the principal sum thereof) shall have been called for redemption and notice of such redemption shall have been given, such Obligations (or the principal amount thereof to be redeemed) shall become due and payable on such redemption date and interest thereon shall cease to accrue from and after the redemption date, provided funds for the payment of the redemption price and accrued interest thereon are held by the Paying Agent/Registrar on the redemption date. 3 MANDATORY SINKING FUND REDEMPTION In addition to the foregoing optional redemption provision, if principal amounts designated in the serial maturity schedules show on the inside cover page hereof are combined to create term bonds (the “Term Bonds”) or if principal amounts in the serial maturity schedule shown on the inside cover page hereof are combined to create term certificates (the “Term Certificates” and together with the Term Bonds the “Term Obligations”), each such Term Obligation shall be subject to mandatory sinking fund redemption commencing on February 15 of the first year which has been combined to form such Term Obligation and continuing on February 15 in each year thereafter until the stated maturity date of that Term Obligation, and the amount required to be redeemed in any year shall be equal to the principal amount for such year set forth in the Maturity Schedules herein. Term Obligations to be redeemed in any year by mandatory sinking fund redemption shall be redeemed at par and shall be selected by lot from the Term Obligations then subject to redemption. The City, at its option, may credit against any mandatory sinking fund redemption requirement Term Obligations of the maturity then subject to redemption which at least 45 days prior to the mandatory sinking fund redemption date have been purchased and canceled by the City or have been redeemed and not theretofore applied as a credit against any mandatory sinking fund redemption requirement. NOTICE OF REDEMPTION Not less than 30 days prior to a redemption date for the Obligations, the City shall cause a notice of redemption to be sent by United States mail, first class, postage prepaid, to the registered owners of the Obligations to be redeemed, in whole or in part, at the address of the registered owner appearing on the registration books of the Paying Agent/Registrar. ANY NOTICE SO MAILED SHALL BE CONCLUSIVELY PRESUMED TO HAVE BEEN DULY GIVEN, WHETHER OR NOT THE REGISTERED OWNER RECEIVES SUCH NOTICE. NOTICE HAVING BEEN SO GIVEN, THE OBLIGATIONS CALLED FOR REDEMPTION SHALL BECOME DUE AND PAYABLE ON THE SPECIFIED REDEMPTION DATE, AND NOTWITHSTANDING THAT ANY OBLIGATION OR PORTION THEREOF HAS NOT BEEN SURRENDERED FOR PAYMENT, INTEREST ON SUCH OBLIGATION OR PORTION THEREOF SHALL CEASE TO ACCRUE. With respect to any optional redemption of the Obligations, unless certain prerequisites to such redemption required by the Ordinances have been met and moneys sufficient to pay the principal of and premium, if any, and interest on the Obligations to be redeemed shall have been received by the Paying Agent/Registrar prior to the giving of such notice of redemption, such notice shall state that said redemption may, at the option of the City, be conditional upon the satisfaction of such prerequisites and receipt of such moneys by the Paying Agent/Registrar on or prior to the date fixed for such redemption, or upon any prerequisite set forth in such notice of redemption. If a conditional notice of redemption is given and such prerequisites to the redemption and sufficient moneys are not received, such notice shall be of no force and effect, the City shall not redeem such Obligations and the Paying Agent/Registrar shall give notice, in the manner in which the notice of redemption was given, to the effect that the Obligations have not been redeemed. BOOK-ENTRY-ONLY SYSTEM This section describes how ownership of the Obligations is to be transferred and how the principal of and interest on the Obligations are to be paid to and credited by the DTC while the Obligations are registered in its nominee name. The information in this section concerning DTC and the Book-Entry-Only System has been provided by DTC for use in disclosure documents such as this Official Statement. The City, the Financial Advisor and the Initial Purchasers believe the source of such information to be reliable, but take no responsibility for the accuracy or completeness thereof. The City, the Financial Advisor and the Initial Purchasers cannot and do not give any assurance that (1) DTC will distribute payments of debt service on the Obligations, or redemption or other notices, to DTC Participants, (2) DTC Participants or others will distribute debt service payments paid to DTC or its nominee (as the registered owner of the Obligations), or redemption or other notices, to the Beneficial Owners, or that they will do so on a timely basis, or (3) DTC will serve and act in the manner described in this Official Statement. The current rules applicable to DTC are on file with the Securities and Exchange Commission, and the current procedures of DTC to be followed in dealing with DTC Participants are on file with DTC. DTC will act as securities depository for the Obligations. The Obligations will be issued as fully-registered securities in the name of Cede & Co. (DTC’s partnership nominee) or such other name as may be requested by an authorized representative of DTC. One fully-registered certificate for each maturity will be issued for the Obligations, in the aggregate principal amount of such maturity, and will be deposited with DTC. DTC, the world’s largest securities depository, is a limited-purpose trust company organized under the New York Banking Law, a “banking organization” within the meaning of the New York Banking Law, a member of the Federal Reserve System, a “clearing corporation” within the meaning of the New York Uniform Commercial Code, and a “clearing agency” registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity, corporate and municipal debt issues, and money market instrument from over 100 countries that DTC’s participants (“Direct Participants”) deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities through electronic computerized book-entry transfers and pledges between Direct Participants’ accounts. This eliminates the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation (“DTCC”). DTCC is the holding company for DTC, National Securities Clearing Corporation, 4 and Fixed Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly (“Indirect Participants”). Direct Participants and Indirect Participants are referred to collectively herein as “Participants”. DTC is rated AA+ by Standard and Poor’s. The DTC Rules applicable to its Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at www.dtcc.com. Purchases of Obligations under the DTC system must be made by or through Direct Participants, which will receive a credit for such purchases on DTC's records. The ownership interest of each actual purchaser of each Obligation (“Beneficial Owner”) is in turn to be recorded on the Participants’ records. Beneficial Owners will not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected to receive written confirmations providing details of the transaction as well as periodic statements of their holdings, from the Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Obligations are to be accomplished by entries made on the books of Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in the Obligations, except in the event that use of the book-entry system described herein is discontinued. To facilitate subsequent transfers, all Obligations deposited by Direct Participants with DTC are registered in the name of DTC’s partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of DTC. The deposit of Obligations with DTC and their registration in the name of Cede & Co. or such other DTC nominee do not effect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of the Obligations; DTC’s records reflect only the identity of the Direct Participants to whose accounts such Obligations are credited, which may or may not be the Beneficial Owners. The Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of Obligations may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Obligations, such as redemptions, tenders, defaults, and proposed amendments to the Obligation documents. For example, Beneficial Owners of Obligations may wish to ascertain that the nominee holding the Obligations for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the registrar and request that copies of notices be provided directly to them. Redemption notices shall be sent to DTC. If less than all of the Obligations within a maturity in the series are being redeemed, DTC’s practice is to determine by lot the amount of the interest of each Direct Participant in such maturity to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Obligations unless authorized by a Direct Participant in accordance with DTC’s Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.’s consenting or voting rights to those Direct Participants to whose accounts Obligations are credited on the record date (identified in a listing attached to the Omnibus Proxy). Payments on the Obligations will be made to Cede & Co., or such other nominee as may be requested by an authorized representative of DTC. DTC’s practice is to credit Direct Participants’ accounts upon DTC’s receipt of funds and corresponding detail information from the City and the Paying Agent/Registrar, on payable date in accordance with their respective holdings shown on DTC’s records. Payments by Participants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in “street name,” and will be the responsibility of such Participant and not of DTC nor its nominee, the Paying Agent/Registrar, or the City, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of redemption proceeds, principal and interest payments to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the City and the Paying Agent/Registrar. Disbursement of such payments to Direct Participants will be the responsibility of DTC, and reimbursement of such payments to the Beneficial Owners will be the responsibility of Participants. DTC may discontinue providing its services as depository with respect to the Obligations at any time by giving reasonable notice to the City and the Paying Agent/Registrar. Under such circumstances, in the event that a successor depository is not obtained, Obligations are required to be printed and delivered. The City may decide to discontinue use of the system of book-entry transfers through DTC (or a successor securities depository). In that event, Obligations will be printed and delivered. Use of Certain Terms in Other Sections of this Official Statement.In reading this Official Statement it should be understood that while the Obligations are in the Book-Entry-Only System, references in other sections of this Official Statement to registered owners should be read to include the person for which the Participant acquires an interest in the Obligations, but (i) all rights of ownership must be exercised through DTC and the Book-Entry-Only System, and (ii) except as described above, notices that are to be given to registered owners under the Ordinances will be given only to DTC. 5 Information concerning DTC and the Book-Entry System has been obtained from DTC and is not guaranteed as to accuracy or completeness by, and is not to be construed as a representation by the City or the Initial Purchasers. PAYING AGENT/REGISTRAR The initial Paying Agent/Registrar is The Bank of New York Mellon Trust Company, N.A., Dallas, Texas. In each Ordinance, the City retains the right to replace the Paying Agent/Registrar. The City covenants to maintain and provide a Paying Agent/Registrar at all times until the Obligations of either series are duly paid and any successor Paying Agent/Registrar must be a bank, trust company, financial institution, or other entity duly qualified and legally authorized to serve as and perform the duties and services of Paying Agent/Registrar for the Obligations of either series. Upon any change in the Paying Agent/Registrar for the Obligations, the City will promptly cause a written notice thereof to be sent to each registered owner of the Obligations by United States mail, first class, postage prepaid, which notice will also include the address of the new Paying Agent/Registrar. TRANSFER,EXCHANGE AND REGISTRATION In the event the Book-Entry-Only System should be discontinued, the Obligations may be transferred and exchanged on the registration books of the Paying Agent/Registrar only upon presentation and surrender thereof to the Paying Agent/Registrar and such transfer or exchange will be without expense or service charge to the registered owner, except for any tax or other governmental charges required to be paid with respect to such registration, exchange and transfer. Obligations may be assigned by the execution of an assignment form on the respective Obligations or by other instrument of transfer and assignment acceptable to the Paying Agent/Registrar. New Obligations will be delivered by the Paying Agent/Registrar, in lieu of the Obligations being transferred or exchanged, at the corporate trust office of the Paying Agent/Registrar, or sent by United States mail, first class, postage prepaid, to the new registered owner or his designee. To the extent possible, new Obligations issued in an exchange or transfer of Obligations will be delivered to the registered owner or assignee of the registered owner in not more than three business days after the receipt of the Obligations to be canceled, and the written instrument of transfer or request for exchange duly executed by the registered owner or his duly authorized agent, in form satisfactory to the Paying Agent/Registrar. New Bonds or Certificates registered and delivered in an exchange or transfer will be in any integral multiple of $5,000 for any one maturity and for a like aggregate principal amount as the Obligations surrendered for exchange or transfer. See “BOOK-ENTRY-ONLY SYSTEM” herein for a description of the system to be utilized initially in regard to ownership and transferability of the Obligations. Neither the City nor the Paying Agent/Registrar will be required to transfer or exchange any Obligation called for redemption, in whole or in part, within 45 days of the date fixed for redemption; provided, however, such limitation of transfer will not be applicable to an exchange by the registered owner of the uncalled balance of an Obligation. RECORD DATE FOR INTEREST PAYMENT The record date (“Record Date”) for determining the person to whom the interest is payable on the Obligations on any interest payment date means the close of business on the last business day of the preceding month. In the event of a non-payment of interest on a scheduled payment date, and for 30 days thereafter, a new record date for such interest payment (a “Special Record Date”) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (a “Special Payment Date,” which will be 15 days after the Special Record Date) will be sent at least five days prior to the Special Record Date by United States mail, first class, postage prepaid, to the address of each Holder of a Obligation appearing on the registration books of the Paying Agent/Registrar at the close of business on the day next preceding the date of mailing of such notice. DEFEASANCE The Ordinances provide for the defeasance of the Obligations when the payment of the principal of and premium, if any, on the Obligations, plus interest thereon to the due date thereof (whether such due date be by reason of maturity, redemption, or otherwise), is provided by irrevocably depositing with a paying agency, in trust (1) money sufficient to make such payment or (2) Defeasance Securities, certified by an independent public accounting firm of national reputation to mature as to principal and interest in such amounts and at such times to insure the availability, without reinvestment, of sufficient money to make such payment, and all necessary and proper fees, compensation and expenses of the paying agent for the Obligations. The Ordinances provide that “Defeasance Securities” means (a) direct, noncallable obligations of the United States of America, including obligations that are unconditionally guaranteed by the United States of America, (b) noncallable obligations of an agency or instrumentality of the United States of America, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent, (c) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent and (d) any securities and obligations now or hereafter authorized by Texas law that are eligible to refund, retire or otherwise discharge obligations such as the Obligations. The City has additionally reserved the right, subject to satisfying the requirement of (1) and (2) above, to substitute other Defeasance Securities for the Defeasance Securities originally deposited, to reinvestment the uninvested moneys on deposit for such defeasance and to withdraw for the benefit of the City moneys in excess of the amount required for such defeasance. 6 REMEDIES OF HOLDERS OF OBLIGATIONS The Ordinances establish specific events of default with respect to the Obligations. If the City defaults in the payment of the principal of or interest on the Obligations when due or the City defaults in the observance or performance of any of the covenants, conditions, or obligations of the City, the failure to perform which materially, adversely affects the rights of the owners of the Obligations including but not limited to, their prospect or ability to be repaid in accordance with the Ordinances, and the continuation thereof for a period of 60 days after notice of such default is given by any owner to the City, the Ordinances provide that any registered owner is entitled to seek a writ of mandamus from a court of proper jurisdiction requiring the City to make such payment or observe and perform such covenants, obligations, or conditions. The issuance of a writ of mandamus may be sought if there is no other available remedy at law to compel performance of the Obligations or the Ordinances and the City's obligations are not uncertain or disputed. The issuance of a writ of mandamus is controlled by equitable principles, so rests with the discretion of the court, but may not be arbitrarily refused. There is no acceleration of maturity of the Obligations in the event of default and, consequently, the remedy of mandamus may have to be relied upon from year to year. The Ordinances do not provide for the appointment of a trustee to represent the interest of the holders of either series of the Obligations upon any failure of the City to perform in accordance with the terms of the Ordinances, or upon any other condition and accordingly all legal actions to enforce such remedies would have to undertaken of the initiative of, and be financed by, the registered owners of the Obligations. On June 30, 2006, the Texas Supreme Court ruled in Tooke v. City of Mexia,197 S.W.3d 325 (Tex. 2006) that a waiver of sovereign immunity in a contractual dispute must be provided for by statute in “clear and unambiguous” language. Because it is unclear whether the Texas legislature has effectively waived the City’s sovereign immunity from a suit for money damages, registered owners of either series of the Obligations may not be able to bring such a suit against City for breach of the Obligations of covenants contained in either Ordinance. Even if a judgment against the City could be obtained, it could not be enforced by direct levy and execution against the City’s property. Further, the registered owners cannot themselves foreclose on property within the City or sell property within the City to enforce the tax lien on taxable property to pay the principal of and interest on the Obligations. Chapter 1371 of the Texas Government Code, which pertains to the issuance of public securities by issuers such as the City, permits the City to waive sovereign immunity in the proceedings authorizing its obligations. The City has relied upon Chapter 1371 in connection with the issuance of the Obligations, but the City has not waived sovereign immunity. The City is eligible to seek relief from its creditors under Chapter 9 of the U.S. Bankruptcy Code (“Chapter 9”). Although Chapter 9 provides for the recognition of a security interest represented by a specifically pledged source of revenues, the pledge of ad valorem taxes in support of a general obligation of a bankrupt entity is not specifically recognized as a security interest under Chapter 9. Chapter 9 also includes an automatic stay provision that would prohibit, without Bankruptcy Court approval, the prosecution of any other legal action by creditors or registered owners of the Obligations of an entity which has sought protection under Chapter 9. Therefore, should the City avail itself of Chapter 9 protection from creditors, the ability to enforce would be subject to the approval of the Bankruptcy Court (which could require that the action be heard in Bankruptcy Court instead of other federal or state court); and the Bankruptcy Code provides for broad discretionary powers of a Bankruptcy Court in administering any proceeding brought before it. The opinion of Bond Counsel will note that all opinions relative to the enforceability of the Obligations are qualified with respect to the customary rights of debtors relative to their creditors, principles of sovereign immunity and by general principles of equity which permit the exercise of judicial discretion. TAX INFORMATION AD VALOREM TAX LAW The appraisal of property within the City is the responsibility of the Brazos Central Appraisal District (the “Appraisal District”). Excluding agricultural and open-space land, which may be taxed on the basis of productive capacity, the Appraisal District is required under Title 1, Texas Tax Code (referred to herein as the “Property Tax Code”) to appraise all property within the Appraisal District on the basis of 100% of its market value and is prohibited from applying any assessment ratios. In determining the market value of property, different methods of appraisal may be used, including the cost method of appraisal, the income method of appraisal and the market data comparison method of appraisal, and the method considered most appropriate by the chief appraiser is to be used. State law further limits the appraised value of a residence homestead for a tax year to an amount not to exceed the lesser of (1) the property’s market value in the most recent tax year in which the market value was determined by the Appraisal District or (2) the sum of (a) 10% of the property’s appraised value for the preceding tax year, (b) the appraised value of the property for the preceding tax year and (c) the market value of all new improvements to the property. The value placed upon property within the Appraisal District is subject to review by an Appraisal Review Board, consisting of three members appointed by the Board of Directors of the Appraisal District. The Appraisal District is required to review the value of property within the Appraisal District at least every three years. The City may require annual review at its own expense, and is entitled to challenge the determination of appraised value of property within the City by petition filed with the Appraisal Review Board. Reference is made to the Property Tax Code, for identification of property subject to taxation; property exempt or which may be exempted from taxation, if claimed; the appraisal of property for ad valorem taxation purposes; and the procedures and limitations applicable to the levy and collection of ad valorem taxes. Article VIII of the State Constitution (“Article VIII”) and State law provide for certain exemptions from property taxes, the valuation of agricultural and open-space lands at productivity value, and the exemption of certain personal property from ad valorem taxation. 7 Under Section 1-b, Article VIII, and State law, the governing body of a political subdivision, at its option, may grant: (1) An exemption of not less than $3,000 of the market value of the residence homestead of persons 65 years of age or older; (2) An exemption to the disabled from all ad valorem taxes thereafter levied by the political subdivision; and (3) An exemption of up to 20% of the market value of residence homesteads. The minimum exemption under this provision is $5,000. In addition State law mandates a complete exemption for the residential homestead of disabled veterans determined to be 100% disabled by the U.S. Department of Veterans Affairs. Further, the surviving spouse of a deceased veteran who had received a disability rating of 100% is entitled to receive a residential homestead exemption equal to the exemption received by the deceased spouse until such surviving spouse remarries. In the case of residence homestead exemptions granted under Section 1-b, Article VIII, ad valorem taxes may continue to be levied against the value of homesteads exempted where ad valorem taxes have previously been pledged for the payment of debt if cessation of the levy would impair the obligation of the contract by which the debt was created. State law and Section 2, Article VIII, mandate an additional property tax exemption for disabled veterans or the surviving spouse or children of a deceased veteran who died while on active duty in the armed forces; the exemption applies to either real or personal property with the amount of assessed valuation exempted ranging from $5,000 to a maximum of $12,000. Article VIII provides that eligible owners of both agricultural land (Section 1-d) and open-space land (Section 1-d-1), including open-space land devoted to farm or ranch purposes or open-space land devoted to timber production, may elect to have such property appraised for property taxation on the basis of its productive capacity. The same land may not be qualified under both Section 1-d and 1-d-1. Article VIII, Section 1-n of the Texas Constitution provides for an exemption from taxation for “goods-in-transit,” which are defined as (i) personal property acquired or imported into the State and transported to another location inside or outside the State, (ii) stored under a contract for bailment in public warehouses not in any way owned or controlled by the owner of the stored goods, and (iii) transported to another location inside or outside the State within 175 days of the date the property was acquired or imported into the State. The exemption excludes oil, natural gas, petroleum products, aircraft and special inventory, including motor vehicle, vessel and out-board motor, heavy equipment and manufactured housing inventory. On December 8, 2011, the Council passed an ordinance approving taxation on certain goods-in-transit. After taking such official action, the goods-in-transit remain subject to taxation by the taxing unit until the governing body of the taxing unit rescinds or repeals its previous action to tax goods-in-transit. If, however, a taxing unit took official action prior to October 1, 2011 to tax goods-in-transit and pledged the taxes imposed on the goods-in-transit for the payment of a debt, taxes may continue to be imposed on goods-in-transit until the debt is discharged, if cessation of the imposition of the tax would impair the obligation of the contract by which the debt was created. Nonbusiness personal property, such as automobiles or light trucks, are exempt from ad valorem taxation unless the governing body of a political subdivision elects to tax this property. Boats owned as nonbusiness property are exempt from ad valorem taxation. Article VIII, Section 1-j, provides for “freeport property” to be exempted from ad valorem taxation. Freeport property is defined as goods detained in Texas for 175 days or less for the purpose of assembly, storage, manufacturing, processing or fabrication. Decisions to continue to tax may be reversed in the future; decisions to exempt freeport property are not subject to reversal. The City and the other taxing bodies within its territory may agree to jointly create tax increment financing zones within the City, under which the tax values on property in the zone are “frozen” at the value of the property at the time of creation of the zone. The City also may enter into tax abatement agreements to encourage economic development. Under the agreements, a property owner agrees to construct certain improvements on its property. The City in turn agrees not to levy a tax on all or part of the increased value attributable to the improvements until the expiration of the agreement. The abatement agreement could last for a period of up to 10 years. See “- TAX ABATEMENT POLICY” for a discussion of the City’s economic development guidelines and criteria. CONSTITUTIONAL AMENDMENT In a statewide election held on September 13, 2003, voters approved an amendment to Section 1-b, Article VIII of the Texas Constitution, that authorized a county, city, town or junior college district to establish an ad valorem tax freeze on residence homesteads of the disabled and of the elderly and their spouses. City Council did not take action to establish the tax limitation. Voters within the City were authorized to submit a petition signed by five percent of the registered voters of the City requiring the City Council to call an election to determine by majority vote whether to establish the tax limitation. A petition was submitted and an election was held on May 10, 2008. The voters of College Station voted to approve the ad valorem tax freeze. The City can provide no assurances of the impact, if any, implementation of this ad valorem tax freeze may have on the City’s finances. Under the tax freeze, the total amount of ad valorem taxes imposed by the City on a homestead that receives the exemption may not be increased while it remains the residence homestead of that person or that person's spouse who is disabled or sixty-five years of age or older, except to the extent the value of the homestead is increased by improvements other than repairs. If a disabled or elderly person dies in a year in which the person received a residence homestead exemption, the total amount of ad valorem taxes imposed on the homestead by the taxing unit may not be increased while it remains the residence homestead of that person's surviving spouse if the spouse is fifty-five years of age or older at the time of the person's death. In addition, the Texas Legislature by general law may provide for the transfer of all or a proportionate amount of the tax limitation applicable to a person's homestead to be transferred to the new homestead of such person if the person moves to a different residence within the taxing unit. Once established, the governing body of the taxing unit may not repeal or rescind the tax limitation. 8 EFFECTIVE TAX RATE AND ROLLBACK TAX RATE By the later of September 30th or 60 days after the certified appraisal roll is delivered to the City, the City Council adopts a tax rate per $100 taxable value for the current year. The tax rate consists of two components: (1) a rate for funding of maintenance and operation expenditures, and (2) a rate for debt service. Under the Property Tax Code, the City must annually calculate and publicize its “effective tax rate” and “rollback tax rate”. A tax rate cannot be adopted by the City Council that exceeds the lower of the rollback tax rate or the effective tax rate until two public hearings are held on the proposed tax rate following a notice of such public hearing (including the requirement that notice be posted on the City’s website if City owns, operates or controls an internet website and public notice be given by television if the City has a free access to a television channel) and the City Council has otherwise complied with the legal requirements for the adoption of such tax rate. If the adopted tax rate exceeds the rollback tax rate the qualified voters of the City by petition may require that an election be held to determine whether or not to reduce the tax rate adopted for the current year to the rollback tax rate. “Effective tax rate” means the rate that will produce last year’s total tax levy (adjusted) from this year’s total taxable values (adjusted). “Adjusted” means lost values are not included in the calculation of last year’s taxes and new values are not included in the year’s taxable values. “Rollback tax rate” means the rate that will produce last year's maintenance and operation tax levy (adjusted) from this year's values (adjusted) multiplied by 1.08 plus a rate that will produce this year's debt service from this year's values (unadjusted) divided by the anticipated tax collection rate. The Property Tax Code provides that certain cities and counties in the State may submit a proposition to the voters to authorize an additional one-half cent sales tax on retail sales of taxable items. If the additional tax is levied, the effective tax rate and the rollback tax rate calculations are required to be offset by the revenue that will be generated by the sales tax in the current year. Reference is made to the Property Tax Code for definitive requirements for the levy and collection of ad valorem taxes and the calculation of the various defined tax rates. PROPERTY ASSESSMENT AND TAX PAYMENT Property within the City is generally assessed as of January 1 of each year. Business inventory may, at the option of the taxpayer, be assessed as of September. Effective January 1, 2012, oil and gas reserves are assessed on the basis of a valuation process that uses pricing information contained in the most recent published Early Release Overview of the Annual Energy Outlook published by the United States Energy Information Administration, as well as appraisal formulas developed by the State Comptroller of Public Accounts. Taxes become due October 1 of the same year, and become delinquent on February 15 of the following year. Taxpayers 65 years old or older are permitted by State law to pay taxes on homesteads in four installments with the first due before February 15 of each year and the final installment due before August 15. PENALTIES AND INTEREST Charges for penalties and interest on the unpaid balance of delinquent taxes are made as follows: Cumulative Cumulative Month Penalty Interest Total February 6%1%7% March 7 2 9 April 8 3 11 May 9 4 13 June 10 5 15 July 12 6 18 After July, penalty remains at 12%, and interest increases at the rate of 1% each month. In addition, if an account is delinquent in July, an amount up to 20% attorney's collection fee is added to the total tax penalty and interest charge. Under certain circumstances, taxes which become delinquent on the homestead of a taxpayer 65 years old or older incur a penalty of 8% per annum with no additional penalties or interest assessed. In general, property subject to the City's lien may be sold, in whole or in parcels, pursuant to court order to collect the amounts due. Federal law does not allow for the collection of penalty and interest against an estate in bankruptcy. Federal bankruptcy law provides that an automatic stay of action by creditors and other entities, including governmental units, goes into effect with the filing of any petition in bankruptcy. The automatic stay prevents governmental units from foreclosing on property and prevents liens for post-petition taxes from attaching to property and obtaining secured creditor status unless, in either case, an order lifting the stay is obtained from the bankruptcy court. In many cases post-petition taxes are paid as an administrative expense of the estate in bankruptcy or by order of the bankruptcy court. 9 CITY APPLICATION OF PROPERTY TAX CODE The City grants an exemption to the market value of the residence homestead of persons 65 years of age or older of $30,000. The City has not granted an additional exemption of 20% of the market value of residence homesteads. Ad valorem taxes are not levied by the City against the exempt value of residence homesteads for the payment of debt. The City does not tax nonbusiness personal property. The City does permit split payments, but discounts are not allowed. The City does collect the additional one-half cent sales tax for reduction of ad valorem taxes. The City has adopted a tax abatement policy (see “TAX INFORMATION - TAX ABATEMENT POLICY”).An election was held on May 10, 2008 and the voters of College Station approved the ad valorem tax freeze for residential homesteads for disabled and age 65 or older persons. Brazos County collects the taxes for the City. TAX ABATEMENT POLICY The City has established tax abatement guidelines and criteria for economic development prospects in the City. In order to be eligible for designation as a Reinvestment Zone and receive tax abatement, the planned improvement: 1.Must be expected to have an increased appraised ad valorem tax value of at least $1,000,000 based upon the Brazos Central Appraisal District’s assessment of the eligible property. 2.Must be expected to prevent the loss of payroll or retain, increase or create a payroll on a permanent basis in the City. The following factors among others should be considered in determining whether to grant tax abatement and, if so, the percentage of value to be abated and the duration of the tax abatement: 1.Value of land and existing improvements, if any; 2.Type and value of proposed improvements; 3.Productive life of proposed improvements; 4.Number of existing jobs to be retained by proposed improvements; 5.Number of type of new jobs to be created by proposed improvements; 6.Amount of local payroll to be created; 7.Whether persons residing or projected to reside within the City will have the opportunity to fill the new jobs being created; 8.Amount of local taxes to be generated directly; 9.Amount of property tax base valuation which will be increased during term of abatement and after abatement, which shall include a definitive commitment that such valuation shall not, in any case, be less than $1,000,000; 10.The costs to be incurred by the City to provide facilities or services directly resulting from the new improvements; 11.The amount of ad valorem taxes to be paid to the City during the abatement period considering (a) the existing values, (b) the percentage of new value abated, (c) the abatement period, and (d) the value after expiration of the abatement period; 12.The population growth of the City that occurs directly as result of new improvements; 13.The types of public improvements, if any, to be made by the applicant seeking abatement; 14.Whether the proposed improvements compete with existing businesses to the detriment of the local economy; 15.The impact on the business opportunities of existing businesses; 16.The attraction of other new businesses to the area; 17.The overall compatibility with the zoning ordinances and comprehensive plan for the area; and/or 18.Whether the project is environmentally compatible with no negative impact on quality of life perceptions. Neither a Reinvestment Zone nor abatement agreement shall be authorized if it is determined that: 1.There would be substantial adverse affect on the provision of government service or tax base; 2.The applicant has insufficient financial capacity; 3.Planned or potential use of the property would constitute a hazard to public safety, health or morals; 4.Violation of other code or laws; 5.The agreement was signed after the commencement of construction, alteration or installation of improvements related to the project; or 6.Any other reason deemed appropriate by the City Council ECONOMIC DEVELOPMENT In the fall of 2013, the College Station City Council adopted an Economic Development Master Plan. This document represents the City’s first such effort and joins the many other Master Plans, Neighborhood, Corridor, and District Plans created to aid in successful implementation of the Comprehensive Plan. The Master Plan defines the goals and objectives of the City’s economic development efforts and lays out strategies and detailed actions to achieve these goals and objectives. The plan specifically identified six strategic initiatives that the City’s economic development program area should focus its efforts on: sustain and enhance high quality of life; support and partner with Texas A&M University and the Texas A&M University System; support retail development; support and stimulate biotechnology research and advanced manufacturing; support and stimulate health and wellness market; and support and stimulate sports, entertainment, and hospitality market. 10 Furthermore, the Plan also details how the plan should be monitored and updated over time, and identifies a series of formal economic development policy guidelines that were also adopted. These guidelines state that in order to ensure the ongoing competitiveness of the community, no State authorized incentive should immediately be discounted. The Texas Constitution and multiple State statutes identify the role of economic development by both the State and its municipalities as a public purpose. While recognizing there is no standard strategy, policy, or program for economic development, the Texas Legislature has created a vast array of tools that local governments have at their disposal. The objective of these tools is to not only encourage development and diversification of the Texas economy, but to simultaneously enhance the participating community’s overall quality of life. Incentives to consider may include, but not be limited to: Chapter 380 financing; development fee rebates; enterprise zone program sponsorship; Freeport exemptions; infrastructure assistance; land transactions; delayed annexation or limited purpose annexation; special districts; reinvestment zones (tax abatement or tax increment); and fast track development process. The City and the City of Bryan, Texas have also entered into an “Interlocal Cooperation and Joint Development Agreement” (the “Interlocal Agreement”) in connection with implementing a joint economic development program known as the Joint Research Valley BioCorridor Development Project (the “Project”). Under the terms of the Interlocal Agreement, the City will make funds available to the City of Bryan, and the City of Bryan will make funds available to the City, for certain defined public infrastructure projects that are intended to enhance development of the Project. The obligations of each city under the Interlocal Agreement shall not constitute a debt for purposes of any provision of the State Constitution, and are intended to be paid from the general revenues of each city. [Remainder of Page Intentionally Left Blank] 11 TABLE 1 -VALUATION,EXEMPTIONS AND GENERAL OBLIGATION DEBT 2015/2016 Market Valuation Established by Brazos Central Appraisal District 7,389,952,525$ (excludingexempt property) Less Exemptions/Reductions at 100% Market Value: Productivity Loss 92,126,938$ Over 65 Homestead Exemptions 86,045,313 Member Armed Service SurvivingSpouse 557,000 Freeport 12,682,228 Homestead 6,085,401 Abatements 10,042,880 227,214,245 2015/2016 Taxable Assessed Valuation 7,162,738,280$(1) Debt Payable from Ad Valorem Taxes (as of 3/31/2016)(2) Certificates of Obligation, Series 2008(2)4,820,000 General Obligation Improvement Bonds, Series 2008(2)1,615,000 General Obligation RefundingBonds, Series 2009 2,525,000 Certificates of Obligation, Series 2009 18,745,000 General Obligation Improvement Bonds, Series 2009 2,270,000 General Obligation RefundingBonds, Series 2010 20,685,000 Certificates of Obligation, Series 2010 2,325,000 General Obligation Improvement Bonds, Series 2010 15,135,000 Certificates of Obligation, Series 2011 6,520,000 General Obligation Improvement Bonds, Series 2011 440,000 Certificates of Obligation, Series 2012 14,035,000 General Obligation Improvement and RefundingBonds, Series 2012 14,410,000 Certificates of Obligation, Series 2013 9,120,000 General Improvement and RefundingBonds, Series 2013 16,715,000 Certificates of Obligation, Series 2014 30,980,000 General Improvement and RefundingBonds, Series 2014 30,810,000 The Bonds*39,640,000 The Certificates*(3)24,385,000 255,175,000 Less: Self SupportingDebt (4)138,725,000$ Less: Interest and SinkingFund as of 9/30/2015 2,814,048 Net Debt Payable from Ad Valorem Taxes 113,635,952$ Ratio of Net Debt Payable from Ad Valorem Taxes to Taxable Assessed Valuation(5)1.59% Per Capita Taxable Assessed Valuation - $67,170 Per Capita Net Funded Debt - $1,066 (5) 2016 Estimated Population - 106,636 * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (2)Excludes the Refunded Obligations. (3)A portion of the Certificates will be internally allocated by the City as being payable from the surplus revenues from the respective enterprise funds. Approximately $6,895,000 of the proceeds of the Certificates will pay for improvements to the City’s water system. The debt service on this portion of the Certificates will be internally allocated by the City as being payable from the surplus revenues from the respective enterprise funds. Although the City expects to pay for this portion of the Certificates with surplus enterprise funds, the Certificates are secured solely by a pledge of ad valorem taxes and by a pledge of combined utility system surplus net revenues limited to $1,000. See “THE OBLIGATIONS- SECURITY AND SOURCE OF PAYMENT.” There is no guarantee that payments from these enterprise funds will be made. If payments are not made from the enterprise funds, the City will be required to levy ad valorem taxes in amounts sufficient to make such payments. (4)In the past, the City has sold certificates of obligation to finance projects for the City’s water and sewer system, and electric system and has internally allocated portions of this debt as payable from the respective enterprise funds. The self-supporting amounts listed above are projections of debt that is expected to be retired by the City based on actual historical payments from these funds to pay for debt service the outstanding certificates of obligation. There is no guarantee that payments from these funds will continue in the future. Includes a portion of the Obligations. See “DEBT INFORMATION – TABLE 10 – SELF SUPPORTING DEBT.” (5)Net of Interest and Sinking Fund as of September 30, 2015. 12 TABLE 2 -TAXABLE ASSESSED VALUATIONS BY CATEGORY Taxable Appraised Value, Fiscal Year EndingSeptember 30, 2016 2015 % of % of % of Category Amount Total Amount Total Amount Total Real, Residential, Single-Family 3,942,774,761$53.35%3,657,836,541$53.15%3,449,698,417$53.49% Real, Residential, Multi-Family 1,326,289,539 17.95%1,296,417,661 18.84%1,121,645,054 17.39% Real, Vacant Lots/Tracts 142,089,823 1.92%141,077,944 2.05%142,441,840 2.21% Real, Acreage (Land Only)92,882,946 1.26%109,675,903 1.59%111,056,120 1.72% Real, Farm and Ranch Improvements 108,202,479 1.46%74,289,622 1.08%76,318,782 1.18% Real, Commercial/Industrial 1,330,864,915 18.01%1,204,879,922 17.51%1,159,961,447 17.99% Real, Oil, Gas & Other Mineral Reserves 10,793,941 0.15%3,227,032 0.05%3,329,602 0.05% Real and Tangible Personal, Utilities 30,944,850 0.42%37,673,140 0.55%35,261,190 0.55% Tangible Personal, Business 369,625,180 5.00%330,937,290 4.81%318,648,040 4.94% Tangible Personal, Other 2,024,340 0.03%2,096,570 0.03%2,138,640 0.03% Real Property Inventory 17,672,671 0.24%13,256,668 0.19%18,049,612 0.28% Special Inventory 15,787,080 0.21%10,534,560 0.15%10,293,530 0.16% Exempt Property Adjustment -0.00%-0.00%-0.00% Total Appraised Value Before Exemptions 7,389,952,525$100.00%6,881,902,853$100.00%6,448,842,274$100.00% Less: Total Exemptions/Reductions 227,214,245 227,302,019 217,723,264 Taxable Assessed Value 7,162,738,280$6,654,600,834$6,231,119,010$ 2012 % of % of Category Amount Total Amount Total Real, Residential, Single-Family 3,277,087,380$53.12%3,169,329,494$53.29% Real, Residential, Multi-Family 1,070,207,772 17.35%996,353,707 16.75% Real, Vacant Lots/Tracts 118,939,480 1.93%115,085,384 1.93% Real, Acreage (Land Only)171,879,670 2.79%183,146,931 3.08% Real, Farm and Ranch Improvements 22,726,592 0.37%18,078,677 0.30% Real, Commercial/Industrial 1,121,943,869 18.19%1,088,046,209 18.29% Real, Oil, Gas & Other Mineral Reserves 5,391,913 0.09%5,982,912 0.10% Real and Tangible Personal, Utilities 35,139,050 0.57%39,148,700 0.66% Tangible Personal, Business 309,881,970 5.02%298,432,950 5.02% Tangible Personal, Other 2,217,020 0.04%2,232,990 0.04% Real Property Inventory 23,728,660 0.38%23,307,800 0.39% Special Inventory 8,851,423 0.14%8,004,300 0.13% Exempt Property Adjustment 794,503 0.01%449,950 0.01% Total Appraised Value Before Exemptions 6,168,789,302$100.00%5,947,600,004$100.00% Less: Total Exemptions/Reductions 224,476,315 208,985,002 Taxable Assessed Value 5,944,312,987$5,738,615,002$ Taxable Appraised Value, Fiscal Year EndingSeptember 30, 2013 2014 NOTE: Valuations shown are certified taxable assessed values reported by the Brazos Central Appraisal District to the State Comptroller of Public Accounts. Certified values are subject to change throughout the year as contested values are resolved and the Appraisal District updates records. 13 TABLE 3 -VALUATION AND GENERAL OBLIGATION DEBT HISTORY Ratio of Net Fiscal Taxable G.O. TaxDebt Year Taxable Assessed to Taxable Net G.O. Ended Estimated Assessed Valuation Net G.O.Assessed TaxDebt 9/30 Population(1)Valuation(2)Per Capita TaxDebt (3)Valuation(4)Per Capita 2011 94,669 5,455,432,461$57,626$99,140,000$1.82%1,047$ 2012 97,888 5,738,615,002 58,624 96,390,000 1.68%985 2013 97,929 5,944,312,987 60,700 96,750,000 1.63%988 2014 100,394 6,231,119,010 62,067 88,100,000 1.41%878 2015 102,281 6,654,600,834 65,062 101,630,000 1.53%994 2016 106,636 7,162,738,280 (4)67,170 116,450,000 (5)1.63%(5)1,092 (5) (1)Source: The City. (2)As reported by the Brazos Central Appraisal District; subject to change during the ensuing year. (3)Payable from ad valorem taxes. Does not include self-supporting debt. (4)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal District. This amount is subject to change during ensuing year. (5)Projected, includes the Obligations and excludes the Refunded Obligations. Preliminary, subject to change. TABLE 4 -TAX RATE,LEVY AND COLLECTION HISTORY Fiscal Year General Interest and % Current % Total Ended 9/30 TaxRate Fund SinkingFund TaxLevy Collections Collections 2011 0.4475$0.2273$0.2202$24,304,840$99.31%99.76% 2012 0.4380 0.2365 0.2015 25,043,183 99.10%99.83% 2013 0.4307 0.2351 0.1956 25,518,199 99.50%100.24% 2014 0.4260 0.2329 0.1931 26,422,760 99.47%100.10% 2015 0.4525 0.2594 0.1931 29,800,811 99.64%100.26% 2016 0.4525 0.2594 0.1931 32,052,205 87.96%(1)88.93%(1) (1)Collections as of February 29, 2016. TABLE 5 -TEN LARGEST TAXPAYERS 2015/2016 % of Total Taxable Taxable Nature Assessed Assessed Name of Taxpayer of Property Valuation Valuation CPP College Station I LLC Apartments 61,098,101$0.85% Post Oak Mall - College Station, LLC Retail 57,221,280 0.80% Woodridge College Station I LLC Retail 56,772,000 0.79% College Station Hospital L.P.Medical 56,768,410 0.79% SHP - The Callaway House LP Apartments 51,790,840 0.72% BVP 2818 Place LP Apartments 44,260,419 0.62% Culpepper Family L.P.Housing 42,526,770 0.59% Weinberg, Isreal & David Alkosser Housing 42,274,060 0.59% Jamespoint Management Housing 41,841,798 0.58% CVCS LLC Housing 39,917,880 0.56% 494,471,558$6.90% GENERAL OBLIGATION DEBT LIMITATION . . . No general obligation debt limitation is imposed on the City under current State law or the City's Home Rule Charter (see “THE OBLIGATIONS - TAX RATE LIMITATION”). 14 TABLE 6 -TAX ADEQUACY Net Maximum TaxSupported Principal and Interest Requirements (2017)…………………………………………………………………………………………….14,240,956$(1) $0.20083 TaxRate at 99% Collection Produces ……………………………………………………………………………………………………………………………………….14,241,078$ Net Average TaxSupported Principal and Interest Requirements (2016-2036)……………………………………………………………………………………….8,583,663$(1) $0.12105 TaxRate at 99% Collection Produces ……………………………………………………………………………………………………………………………………….8,583,790$ (1)Includes the Obligations and excludes the Refunded Obligations and self supporting debt. Interest has been estimated for the purpose of illustration. Preliminary, subject to change. TABLE 7 -ESTIMATED OVERLAPPING DEBT Expenditures of the various taxing entities within the territory of the City are paid out of ad valorem taxes levied by such entities on properties within the City. Such entities are independent of the City and may incur borrowings to finance their expenditures. This statement of direct and estimated overlapping ad valorem tax debt (“Tax Debt”) was developed by the City from information obtained from the Brazos Central Appraisal District. Except for the amounts relating to the City, the City has not independently verified the accuracy or completeness of such information, and no person should rely upon such information as being accurate or complete. Furthermore, certain of the entities listed may have issued additional debt since the date hereof, and such entities may have programs requiring the issuance of substantial amounts of additional debt, the amount of which cannot be determined. The following table reflects the estimated share of overlapping Tax Debt of the City. City's Total Estimated Overlapping 2014/2015 Taxable 2016 TaxDebt as %TaxDebt as Assessed Value TaxRate of 3/31/2016 Applicable of 3/31/2016 City of College Station 7,162,738,280$(1)0.4525 116,450,000$(2)100.00%116,450,000$ Brazos County 14,654,550,499 0.4850 92,090,000 47.07%43,346,763 Bryan ISD 5,824,326,908 1.3500 160,105,000 2.05%3,282,153 College Station ISD 7,188,844,733 1.3630 325,805,000 88.50%288,337,425 Total Direct and OverlappingFunded TaxDebt 451,416,341$ Ratio of Direct and OverlappingFunded TaxDebt to Taxable Assessed Valuation 6.302% Per Capita OverlappingFunded TaxDebt 4,233$ Source: Municipal Advisory Council of Texas. (1)Certified taxable assessed valuation for tax year 2016 as reported by the Brazos Central Appraisal. This amount is subject to change during ensuing year. (2)Projected, includes the Obligations and excludes self supporting debt. Preliminary, subject to change. 15 DEBT INFORMATION TABLE 8 -PRO-FORMA AD VALOREM TAX DEBT SERVICE REQUIREMENTS* Total Net Year Total Less: The Less:TaxSupported End Outstanding Refunded Self-Supporting Debt Service 9/30 Debt Obligations*Principal Interest (1)Total Principal Interest (1)Total Debt Service(2)Requirements(2) 2016 28,338,794$515,966$184,644$184,644$15,584,612$12,422,860$ 2017 27,672,525 2,609,395 2,540,000$1,636,400 4,176,400 915,000$1,118,017$2,033,017$17,031,591 14,240,956 2018 25,615,438 2,088,608 2,135,000 1,589,650 3,724,650 1,045,000 985,700 2,030,700 16,060,276 13,221,904 2019 23,865,358 1,213,983 1,400,000 1,547,300 2,947,300 1,065,000 959,275 2,024,275 15,358,101 12,264,849 2020 23,887,479 1,210,826 1,450,000 1,504,550 2,954,550 1,100,000 926,800 2,026,800 15,418,633 12,239,371 2021 22,447,027 2,994,392 3,110,000 1,420,600 4,530,600 1,145,000 887,400 2,032,400 15,043,181 10,972,454 2022 20,108,460 3,021,170 3,270,000 1,293,000 4,563,000 1,195,000 840,600 2,035,600 13,096,369 10,589,521 2023 19,149,674 3,041,458 3,430,000 1,159,000 4,589,000 1,240,000 791,900 2,031,900 12,108,683 10,620,434 2024 18,437,941 3,050,386 3,605,000 1,000,275 4,605,275 1,300,000 734,600 2,034,600 11,787,076 10,240,354 2025 16,719,956 3,066,283 3,815,000 814,775 4,629,775 1,365,000 667,975 2,032,975 11,240,756 9,075,667 2026 15,475,974 3,079,895 4,030,000 618,650 4,648,650 1,435,000 597,975 2,032,975 10,625,236 8,452,467 2027 13,294,013 3,096,004 4,260,000 411,400 4,671,400 1,015,000 536,725 1,551,725 9,262,864 7,158,271 2028 12,874,992 2,639,663 2,690,000 237,650 2,927,650 1,065,000 484,725 1,549,725 7,955,537 6,757,167 2029 10,276,820 415,000 160,025 575,025 1,120,000 430,100 1,550,100 6,872,452 5,529,493 2030 8,079,523 440,000 138,650 578,650 1,180,000 372,600 1,552,600 4,971,779 5,238,994 2031 6,415,905 460,000 118,450 578,450 1,235,000 318,400 1,553,400 4,756,324 3,791,431 2032 5,822,894 475,000 99,750 574,750 1,280,000 268,100 1,548,100 4,159,019 3,786,725 2033 4,407,100 495,000 80,350 575,350 1,335,000 215,800 1,550,800 2,992,563 3,540,688 2034 3,073,938 515,000 60,150 575,150 1,390,000 161,300 1,551,300 2,254,400 2,945,988 2035 540,000 39,050 579,050 1,450,000 104,500 1,554,500 434,100 1,699,450 2036 565,000 14,125 579,125 1,510,000 37,750 1,547,750 430,500 1,696,375 305,963,808$31,628,026$39,640,000$13,943,800$53,583,800$24,385,000$11,440,242$35,825,242$197,444,052$166,485,416$ The Bonds*The Certificates* * Preliminary, subject to change. See "CONDITIONS OF SALE - ADVANCED ADJUSTMENT OF PRINCIPAL AMOUNT AND/OR TYPES OF BIDS" and " - POST BID MODIFICATION" in the Notice of Sale and Bidding Instructions. (1)Interest has been estimated at current market rates for the purpose of illustration. (2)In the past, the City has sold certificates of obligation to finance projects for the City’s water and sewer system, and electric system and has internally allocated portions of this debt as payable from the respective enterprise funds. The self-supporting amounts listed above are projections of debt that is expected to be retired by the City based on actual historical payments from these funds to pay for debt service the outstanding certificates of obligation. There is no guarantee that payments from these funds will continue in the future. Includes a portion of the Obligations. See “TABLE 10 –SELF SUPPORTING DEBT”and the accompanying footnotes. 16 TABLE 9 -INTEREST AND SINKING FUND BUDGET PROJECTION Total Net TaxSupported Debt Service Requirements, Fiscal Year EndingSeptember 30, 2016(1)12,422,860$ Interest and SinkingFund, September 30, 2015(2)2,814,048$ Calcuated Interest and SinkingFund TaxLevy @ 99% Collection 13,689,531 Budgeted Investment Earnings 20,000 Budgeted Transfers 363,101 16,886,680 Estimated Balance, September 30, 2016 4,463,820$ __________ (1) Excludes self-supporting debt. Includes the Obligations and excludes the Refunded Obligations. Preliminary, subject to change. (2) The outstanding portion of the Certificates of Obligation, Series 2009, supported by the Convention Center, have been paid for in full as one transfer in the amount of 157,979.48 to the Interest and Sinking Fund.That amount will be used to pay off future payments of the Certificates of Obligation, Series 2009 supported by the Convention Center. TABLE 10 –SELF-SUPPORTING DEBT* Year Total End Electric Wastewater Water Convention Parking Self-Supporting 9/30 Fund(1)Fund (2)Fund(3)Center(4)Landfill(5)Garage(6)Debt Service (7) 2016 5,884,732$4,225,974$4,594,047$9,374$406,560$463,925$15,584,612$ 2017 5,916,639 4,498,056 5,743,687 43,599 359,135 470,475 17,031,591 2018 5,784,964 4,177,181 5,499,060 12,724 361,610 224,738 16,060,276 2019 5,615,608 3,874,363 5,269,848 12,361 363,448 222,475 15,358,101 2020 5,636,479 3,889,784 5,296,560 7,074 364,335 224,400 15,418,633 2021 5,608,645 3,839,243 5,223,885 6,874 364,535 -15,043,181 2022 5,581,263 2,940,113 4,203,985 6,674 364,335 -13,096,369 2023 5,356,492 2,596,498 3,785,657 6,471 363,566 -12,108,683 2024 5,016,020 2,583,513 3,814,341 6,261 366,941 -11,787,076 2025 4,701,130 2,327,958 3,837,254 6,030 368,385 -11,240,756 2026 4,440,303 2,329,490 3,480,854 5,793 368,798 -10,625,236 2027 3,873,602 2,112,209 2,902,201 5,568 369,285 -9,262,864 2028 3,713,298 1,736,133 2,136,554 5,343 364,210 -7,955,537 2029 3,261,339 1,585,081 1,652,636 5,115 368,280 -6,872,452 2030 2,296,493 1,589,755 1,085,531 ---4,971,779 2031 2,103,384 1,568,565 1,084,375 ---4,756,324 2032 1,746,850 1,335,669 1,076,500 ---4,159,019 2033 1,196,288 924,275 872,000 ---2,992,563 2034 599,625 779,000 875,775 ---2,254,400 2035 --433,975 ---433,975 2036 --431,375 ---431,375 78,333,152$48,912,857$63,300,100$139,258$5,153,423$1,606,013$197,444,802$ ______________ * Preliminary, subject to change. (1)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2009, Series 2010, Series 2011, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012 and Series 2013, Series 2014. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (2)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2010, Series 2011, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012, Series 2013, Series 2014 and a portion of the Obligations. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (3)Includes a portion of the City’s Certificates of Obligation, Series 2008, Series 2008, Series 2009, Series 2012, Series 2013, Series 2014 and a portion of the General Obligation Refunding Bonds, Series 2010, General Obligation Improvement and Refunding Bonds, Series 2012, Series 2013, Series 2014 and a portion of the Obligations. Includes a portion of the Obligations and excludes a portion of the Refunded Obligations. (4)Includes a portion of the City’s Certificates of Obligation, Series 2009. The City has transferred to the Interest and Sinking Fund $157,979.48 from the Convention Center fund to pay the debt service shown in this column. (5)Includes a portion of the City's Certificates of Obligation, Series 2009. (6)Includes a portion of the City’s General Obligation Refunding Bonds, Series 2009. (7)The debt service described in this table is general obligation debt for which repayment is provided from revenues from other sources. It is the City’s current policy to provide these payments from such sources. There is no assurance that the use of these sources to make these payments will continue in the future. If payments are not made from such sources in the future, the difference will be paid for with ad valorem taxes 17 TABLE 11 -AUTHORIZED BUT UNISSUED TAX BONDS Date of Amount Issued Authorization Purpose Authorized To Date The Bonds Unissued 1/24/1984 (1)Fire Substation Building 700,000$-$-$700,000$ 1/24/1984 (1)Street Improvements 6,325,000 5,825,000 -500,000 11/4/2003 Municipal ComplexImprovements 7,610,000 3,955,000 -3,655,000 11/4/2008 Street Improvements 48,785,000 30,495,000 4,600,000 13,690,000 11/4/2008 Library Improvements 8,385,000 500,000 4,185,000 3,700,000 11/4/2008 Park Improvements 12,790,000 12,145,000 -645,000 84,595,000$52,920,000$8,785,000$22,890,000$ _______________ (1) Contains projects which may have been completed or abandoned; therefore, the remaining authorized but unissued bonds are not likely to ever be issued. ANTICIPATED ISSUANCE OF GENERAL OBLIGATION DEBT The City has no firm plans for the issuance of additional general obligation debt payable from ad valorem taxes within the next twelve months. OTHER OBLIGATIONS Currently, the City has no outstanding capital leases or loans. PENSION FUND The City provides pension benefits for all of its full-time employees through the Texas Municipal Retirement System (“TMRS”), a State-wide administered pension plan. The City makes annual contributions to the plan equal to the amounts accrued for pension expense. (For more detailed information concerning the retirement plan, see “APPENDIX B - EXCERPTS FROM THE ANNUAL FINANCIAL REPORT” - Section V - Note D.) The City recently received the contribution rates for Plan Year 2015 from TMRS as determined by the December 31, 2013 actuarial valuation. The City’s contribution rate for January 1, 2015 will be 13.22%. On September 13, 2012, Council approved revisions to the City's TMRS Ordinance. The revisions include a reduction in the updated service credits (USC) for current employees and a reduction in the Annuity Increase Cost of Living Adjustment (COLA) for retirees. The City's contributions rate of 13.53% became effective January 1, 2014. The funding status as of December 31, 2014 is as follows: 12/31/2014 Actuarial Value of Assets 202,844,913$ Actuarial Accrued Liability (AAL)233,670,897 Percent of Pension Benefit Obligation 86.81% Unfunded Actuarial Accrued Liability (UAAL)30,825,984$ Annual Covered Payroll 47,235,101 Percent of Covered Payroll 65.26% Estimated Employer Contribution 6,036,646$ OTHER POST EMPLOYMENT BENEFITS PROGRAM DESCRIPTION ...In addition to pension benefits, as required by state laws and defined by City policy, the City makes available postretirement medical, dental, vision, drug and life insurance benefits to all employees who meet TMRS retirement qualifications, retire from the City and who enroll themselves and their eligible dependent(s) on or before the effective date of their retirement through the City’s single-employer defined benefit other post-employment benefit (OPEB) plan. The life insurance plan provides a $10,000 fully insured death benefit coverage upon retirement which ceases upon attainment of age 65 for retirees. So long as monthly premium payments are made, the healthcare plan provides insurance to eligible retirees, their spouses and dependents through the City’s group health insurance plan, which covers both active and retired members, until attainment of age 65. Benefit provisions as well as retiree premium contributions are established by management. 18 The City determines the employer and participant contribution rates annually based on recommendations of City staff and the City’s consultant. All medical, dental, vision and drug care benefits are provided through the City’s self-insured health plan. The benefit levels are the same as those afforded to active employees. Life insurance for eligible retirees is paid entirely by the City. During fiscal year 2015, 52 former employees were covered under this arrangement, with claims totaling -$434,136. ANNUAL OPEB COST AND NET OPEB OBLIGATION ...The City’s annual OPEB cost is based on the annual required contribution (ARC) of the City, an amount actuarially determined in accordance with the parameters of GASB Statement 45. Despite the apparent implications of the term ARC, the City is not required to contribute the ARC to the plan each year, Instead, the ARC provides a basis for evaluating whether the City’s contributions for OPEB are adequate to fund the benefits during the working lifetime of current employees (i.e., the normal cost) and to amortize existing unfunded obligations (i.e., the obligations for current retirees plus that portion of the current employees’ obligations that are attributed to past service) in a systematic manner over the amortization period prescribed by GASB. The annual OPEB cost is the annual accounting expense recorded on the City’s Statement of Revenues, Expenses and Changes in Net Assets and on the City’s Statement of Activities. The annual OPEB cost is equal to (1) the ARC for the current fiscal year, plus (2) interest on the Net OPEB Obligation at the beginning of the year, reduced by (3) an adjustment to the ARC which is equal to an amortization of the beginning of the year Net OPEB Obligation. 2013 2014 2015 Annual Required Contribution (ARC)1,449,844$1,449,844$1,810,895$ Interest on Net OPEB Obligations 333,710 397,569 400,494 Adjusted to the ARC (413,492)(492,618)(522,847) Annual OPEB Cost 1,370,062 1,354,795 1,688,542 Contributions Made (92,888)(406,326)(434,136) Increase in net OPEB obligation 1,277,174$948,469$1,254,406$ Net OPEB Obligation, beginningof year 6,674,204 7,951,378 8,899,847 Net OPEB Obligation, end of year 7,951,378$8,899,847$10,154,253$ Percentage Fiscal Annual Actual of Annual Year OPEB Contribution OPEB Cost Net OPEB Ended 9/30 Costs Made Contribution Obligation 2013 1,370,062 92,888 6.78%7,951,378 2014 1,354,795 406,326 29.99%8,899,847 2015 1,688,542 434,136 25.71%10,154,253 Three-Year Trend Information Generally, the Net OPEB Obligation is the cumulative difference since the effective date of GASB 45 between the annual OPEB cost and the employer’s contributions to the plan including the OPEB liability/(asset) at transition, if any. Whenever the City contributes an amount less than the annual OPEB cost, this shortfall will increase the City’s Net OPEB Obligation. ACTUARIAL METHODS AND ASSUMPTIONS ...Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future. Actuarially determined amounts are subject to continual revision as actual results are compared to past expectations and new estimates are made about the future. The required schedule of funding progress immediately following the notes to the financial statements presents multi-year trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. GASB No. 45 calculations are based on the types of benefits provided under the terms of the substantive plan at the time of each valuation and on the pattern of sharing of costs between the employer and plan participants to that point. In addition, the projection of benefits for financial reporting purposes does not explicitly incorporate the potential effects of legal or contractual funding limitations on the pattern of cost sharing between the employer and plan participants in the future. Actuarial calculations reflect a long-term perspective. In addition, consistent with that perspective, actuarial methods and assumptions used in developing the amounts in this report include techniques that are designed to reduce short-term volatility in actuarial accrued liabilities. 19 The required contribution rates were determined as part of the October 1, 2014 actuarial valuation. Significant methods and assumptions follow: Actuarial valuation date 10/1/2014 Asset Valuation Method:Market Actuarial Cost Method:Projected Unit Credit Actuarial Assumption: Investment Rate of Return*4.50% *Includes Inflation at:3.50% Projected Salary Increases N/A Annual Healthcare Trend Rates:8.00% in FYE 2015 declining to 5.25% in FYE 2021 Amortization Method:Level Dollar RemainingAmortization Period:30 year open period FUNDING STATUS AND FUNDING PROGRESS ...The Schedule of Funding Progress presents information as of the current valuation date and the two preceding valuation dates. As of the date of this financial statement, the City has had three valuations Unfunded Annual UAAL as Actuarial Actuarial Actuarial Actuarial Covered Percentage of Valuation Value of Accrued Liability Funded Accrued Payroll Covered Date Assets (AAL)Ratio Liability (AAL)(Fiscal Year)Payroll 10/1/2010 -$9,356,116$0.00%9,356,116$42,298,776$22.12% 10/1/2012 -10,897,037 0.00%10,897,037 44,000,000 24.77% 10/1/2014 -15,013,856 0.00%15,013,856 44,000,000 34.12% There are factors that affect the ability to compare amounts reported from one actuarial valuation date to the next. The assumptions that have been changed since the previous valuation are: -the Discount Rate has been updated to reflect changes in the allocation of assets of the employer and the expected return on such assets; -the Assumed Per Capita Health Benefit Costs and Assumed Expenses for retirees and dependents have been updated to reflect changes in claims and expense expectations; and -the Health Benefit Cost Trend and Expense Trend have been updated to reflect changes in short-term expectations of the annual rate of increase of the Assumed Per Capita Health Benefit Costs. The City has had three separate valuations, one of which used the October 1, 2010 valuation date, October 1, 2012 and October 1, 2014 valuation date. The October 1, 2010 valuation date was used to develop results for the fiscal year ending September 30, 2012, the October 1, 2012 valuation date was used to develop results for the fiscal years ending September 30, 2013 and 2014. The plan was changed effective January 1, 2012 to eliminate post-65 medical coverage and was changed effective January 1, 2013 to eliminate one of the PPO benefit options. While the plan typically undergoes a biennial valuation, pursuant to paragraph 12 of GASB 45, a new valuation must be performed if there are significant changes to the plan since the previous valuation. The October 1, 2014 valuation date was used to develop results for the fiscal years ending September 30, 2015 and 2016, as part of the plan’s biennial valuation. 20 FINANCIAL INFORMATION TABLE 12 -GENERAL FUND REVENUES AND EXPENDITURE HISTORY 2015 2014 2013 2012 2011 Revenues: Taxes 46,750,120$41,951,522$39,654,465$37,527,211$35,236,521$ Licenses & Permits 1,500,777 1,424,598 1,238,967 1,496,424 1,054,986 Intergovernmental 355,083 189,103 469,783 520,948 589,326 Charges for Services 3,572,684 2,987,778 2,605,519 2,296,105 2,539,881 Fines, Forfeits and Penalties 2,693,647 3,038,926 3,252,418 3,636,209 3,823,406 Investment Income 116,074 66,264 88,198 88,684 92,017 Rents & Royalties 136,228 542,816 650,407 686,729 589,528 Contributions 1,251 11,016 56,990 20,168 33,995 Other 3,252,310 113,802 212,349 287,796 75,339 Total Revenues 58,378,174$50,325,825$48,229,096$46,560,274$44,034,999$ Expenditures: General Government 4,853,358$5,108,448$3,825,760$4,189,987$5,021,221$ Fiscal Services 3,314,990 3,029,566 2,970,342 2,871,677 2,997,993 Police Department 18,533,889 17,080,568 16,515,820 15,465,837 14,890,520 Fire Department 14,881,983 13,585,022 13,297,527 12,578,396 11,444,702 Planning& Development Services 3,106,143 2,867,857 3,505,029 3,523,742 3,298,725 Parks and Recreation 8,194,670 4,596,645 4,463,535 4,329,869 6,602,097 Information Technology 4,112,987 4,207,305 4,271,209 3,844,107 648,589 Public Works 9,156,069 7,611,303 6,519,248 5,884,577 5,021,642 Library Services 1,138,568 1,078,851 994,476 1,072,551 3,901,721 Claims ----1,061,581 Contributions 1,187,500 1,184,115 1,086,012 937,813 - Other 217,114 222,034 1,300,627 183,530 736,192 Capital Improvement Projects 129,896 731,621 733,974 788,032 - Total Expenditures 68,827,167$61,303,335$59,483,559$55,670,118$56,171,633$ Other FinancingSources (Uses): Sale of General Fixed Assets 8,974,205$4,582,111$-$-$8,690$ OperatingTransfers In 15,094,866 15,158,581 14,664,450 15,539,293 16,065,942 OperatingTransfers Out (11,441,262)(4,444,465)(3,977,149)(4,329,789)(3,360,822) Total Other FinancingSources (Uses)12,627,809$15,296,227$10,687,301$11,209,504$12,713,810$ Net Change in Fund Balance 2,178,816$4,318,717$(567,162)$2,099,660$577,176$ Fund Balance, Beginningof Year 20,244,248 15,925,531 16,492,693 14,393,033 (1)13,815,881 Fund Balance, End of Year 22,423,064$20,244,248$15,925,531$16,492,693$14,393,057$ Fiscal Year Ended September 30, Source: The City’s audited financial statements. (1)Restated. 21 TABLE 13 -MUNICIPAL SALES TAX HISTORY The City has adopted the Municipal Sales and Use Tax Act, Texas, Tax Code, Chapter 321, which grants the City the power to impose and levy a 1% Local Sales and Use Tax within the City; the proceeds are credited to the General Fund and are not pledged to the payment of the Obligations. Collections and enforcements are effected through the offices of the Comptroller of Public Accounts, State of Texas, who remits the proceeds of the tax, after deduction of a 2% service fee, to the City monthly. In May 1990, the voters of the City approved the imposition of an additional sales and use tax of one-half of one percent (½ of 1%) for property tax reduction. The total sales tax rate for the City is 1.5%. Fiscal Year % of Equivalent of Ended Total Ad Valorem Ad Valorem Per 9/30 Collected (1)TaxLevy TaxRate Capita(2) 2010 19,328,577$81.82%0.36$206$ 2011 20,292,871 83.49%0.37 214 2012 21,498,319 85.84%0.38 220 2013 23,064,035 90.38%0.39 236 2014 24,565,649 92.97%0.40 245 2015 26,687,963 89.55%0.41 261 (1)Provided by the City. (2)Based on population estimates provided by the City. FINANCIAL POLICIES Basis of Accounting . . .The accounts of the City are organized and operated on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. Government funds are used to account for the City’s general government activities. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. General Fund . . . The General Fund is the City’s primary operating fund. It is used to account for all activities typically considered governmental functions of the City. These include Public Safety, Public Works, Parks and Recreation, Economic and Planning and Development Services, the support functions for these areas, and the administrative functions for the City. The General Fund for the 2015-2016 fiscal year is influenced by current policies and any approved policy changes. The policies include inter-fund equity; maintaining a balance between revenues and expenditures; and maintaining the level of service currently provided as the City experiences residential and commercial growth. The City’s financial policies are for a General Fund balance of 15% of budgeted appropriations at year end. To the extent that the General Fund balance exceeds this amount, this surplus is to be expended in future years for one time expenditures such as capital items and short term projects. Debt Service Fund . . .The Debt Service Fund accounts for the servicing of general long-term debt not being financed by proprietary or nonexpendable trust funds. It is the City’s policy to maintain at least 8 1/3% of annual appropriated expenditures for debt service and any associated fees as the Debt Service Fund balance at fiscal year end. The City is in compliance with that policy. Budgetary Procedures . . .Prior to September 1, the City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following October 1. The operating budget includes proposed expenditures and the means of financing them. All budget requests are compiled by the Finance Department and presented with comparative and supporting data to the Mayor and City Council for review. Public hearings are properly advertised and conducted at City Hall for taxpayer comments. Prior to September 27, the budget is legally enacted through passage of an ordinance. The City Council must approve all transfers of budgeted amounts between departments within any fund and any revision that alters the total expenditure of any fund. An amount is also budgeted each year for contingencies which may arise. 22 THE COMBINED UTILITY SYSTEM WATERWORKS SYSTEM Since December 1981, the City has had the capability to produce and deliver 100% of its water. The system has been expanded to a system of nine wells, with a combined capacity of 29 million gallons per day. The water is delivered to the distribution system by 14 miles of 30- inch diameter and 36 inch diameter pipeline and two pumping stations. These pipelines will be fully redundant once TxDoT completes the Villa Maria / 2818 overpass and the City completes the pipeline re-routing necessary to accommodate the overpass. Two of the wells mentioned above are shallow wells, less than 1,500 feet, drilled into the Carrizo and Sparta aquifers. The remaining six are deep wells, approximately 3,000 feet, drilled in the Simsboro Sand formation of the Carrizo-Wilcox aquifer. This is a very prolific aquifer of high quality water that has the capacity to provide an adequate water supply for the City and surrounding communities through the year 2060, and well beyond, if managed properly. The Simsboro Sand, and all local aquifers, are regulated by the Brazos Valley Groundwater Conservation District, and permitting requirements have been implemented for all new water wells. College Station has obtained a Drilling/Operating Permit from the Groundwater District for the City to drill another Simsboro Well, Well #9, which will be designed in FY-16 and constructed in FY-17. This well will meet our projected demands for water for many years into the future. Well #10 remains in the planning stages, and would be constructed in approximately 2021, depending upon the rate of growth of water demands. College Station is also investigating other water supply strategies for the future. The prime example is Aquifer Storage and Recovery (ASR), which would store treated wastewater effluent in an aquifer for future use, most likely during summer peaks. If implemented, this ASR system would greatly reduce the demand on the drinking water system and ensure a very stable water supply for the City. The City has completed a Water Reclamation project, which pumps effluent from the wastewater treatment plant up to Veteran’s Park for irrigation of playing fields, reducing the demand on the potable water system by approximately 350,000 gallons per day. Additional phases of the reclaimed water system are in the planning stages. In March 2016, the City completed a two year agreement with an oil company, which provided the City with $470,000 of revenue for providing just under 200 million gallons of reclaimed water. The City also has stand by generators at strategic locations sufficient to provide adequate potable water for health and safety during and extended electrical power outage. Water rates were established by ordinance, passed and approved by the City Council, and became effective October 1, 2010. The Residential rates are inclined block rates to encourage water conservation. Type of Customer Usage Charge (per 1,000 gallons)Service Charge Meter Size Residential, Commercial and Industrial $ 10.19 per mo. 5/8” 10.19 per mo. 3/4” 12.78 per mo.1” 19.03 per mo. 1 1/2” 30.05 per mo.2” 94.84 per mo.3” 140.90 per mo.4” 171.53 per mo.6” Residential $2.26 for usage from 0-10,000 gallons $2.94 for usage from 11,000-15,000 gallons $3.61 for usage from 16,000-20,000 gallons $4.28 for usage from 21,000-25,000 gallons $4.96 for usage from 26,000 gallons and more Commercial and Industrial $2.49 per 1,000 gallons Commercial Irrigation Usage Charge $2.68 per 1,000 gallons 23 WASTEWATER SYSTEM The City’s waste water is treated by three City-owned wastewater treatment plants, Carter Creek Treatment Plant, Lick Creek Treatment Plant, and Carter’s Lake Treatment Plant located within the City limits. The three plants have a combined treatment capacity of 11.5 mgd as compared to average current average daily demand of 7.0 mgd. The treatment plant’s capacity is adequate to serve a population estimated at 125,000. Sewer rates were established by ordinance, passed and approved by the City Council, and became effective on October 1, 2012. Residential (metered water).......................................................... $18.78 including 4,000 gallons of metered water Usage Charge................................................................................ $3.76 per 1,000 gallons of additional metered water $41.34 maximum per month Residential (without meter to each unit)....................................... $23.89 per unit per month Commercial and Industrial............................................................ $16.11 per month Usage Charge................................................................................$4.47 per 1,000 gallons of metered water usage There are 2,003 city residents who receive their water from Wellborn Water, but sewer is provided by the City of College Station. Those residents pay an initial usage charge of $41.34 per month. After six months of documented waste water usage, rates can be adjusted downward on a tiered scale. ELECTRIC SUPPLY SOURCE The City has multiple Power Purchase Agreements (PPAs) in order to meet its load requirements. The PPAs are currently with AEPEP (AEP Energy Partners) and Garland Power and Light (GP&L). With AEPEP we have fixed block ATC PPA that runs until the end of 2027. This fixed block ATC PPA replaced a unit contingent PPA with AEPEP in 2015.We also have a PPA with AEPEP for wind power that runs until the end of 2028. We have a load following PPA with GP&L. While the PPAs with AEPEP are considered base load power, the load following PPA with GP&L is covers our load above the base power provided by AEPEP's PPAs. Other wholesale/power supply costs include congestion costs, Ancillary Services and Transmission Cost of Service (TCOS). Since the City owns transmission assets it not only pays but also receives TCOS payments based on TCOS rates approved by the Public Utility Commission of Texas. On January 1, 2015, the City began a three-year contract (with a possible two-one year extensions) with Garland Power and Light (GPL) for Qualified Scheduling Entity (QSE) services and a two year load following contract for power above the contracted resources from AEPEP. GP&L's QSE schedules and settles all the contract resources owned by the City. On City's advice the QSE also procures any replacement power as needed on behalf of the City. The City's owns 20 miles of 138kV transmission lines, seven substations, and 458 miles of distribution lines. ERCOT serves as the RTO/ISO for our area. The current electric rates were established by ordinance passed and approved by the City Council and became effective on October 1, 2010. The electric rates are subject to a transmission delivery adjustment (TDA) charge which requires that the net energy charge per kilowatt hour must be increased or decreased by an amount per kilowatt hour equal to additional transmission charges above those accounted for in the wholesale rate. The TDA is currently set at $0.005 per kilowatt hour of energy consumed. In January 2009, College Station Utilities began offering residential electric customers renewable wind energy. In February 2010, the renewable wind energy program was expanded to include commercial customers. Wind energy is generated from the South Trent Mesa Wind Project located west of Abilene, Texas. Electric rates were established by Ordinance #2010-3288 on September 23, 2010, passed and approved by the City Council, and became effective on October 1, 2010 24 Single Family Residential...............................Service Charge......................................................$7.00 per month plus: kwhrs (May through October)..............................$0.1181 per kwhr kwhr (November through April)...........................$0.1134 per kwhr Tax.........................................................................1.50% Transmission Delivery Adjustment (TDA)...........0.50% Master Metered Multiple Dwelling Units......Service Charge.......................................................$100.00 per month per master meter plus: kwhrs (May through October)...............................$0.1181 per kwhr kwhr (November through April)...........................$0.1134 per kwhr Tax.........................................................................1.50% TDA.......................................................................Calculated as needed Small Commercial (1-10 KW demand).........Service Charge.......................................................$9.00 per month plus: First 1,000 kwhrs...................................................$0.1358 per kwhr Over 1,000 kwhrs..................................................$0.1038 per kwhr Tax.........................................................................8.25% TDA.......................................................................0.50% Medium Commercial (15-300 KW)...............Service Charge.......................................................$25.00 per month plus: Demand Charge (Per KW)................................$10.40 per KW Energy Charge All kwhrs......................................$0.0736 per KW Minimum Monthly Charge................................$181.00 Tax.........................................................................8.25% TDA.......................................................................0.50% Large Commercial (300 – 1,500 KW)...........Service Charge.......................................................$75.00 per month plus: Demand Charge (Per KW)................................$10.40 per KW Energy Charge All kwhrs......................................$0.0710 per KW Minimum Monthly Charge................................$3,195.00 Tax.........................................................................8.25% TDA.......................................................................0.50% Industrial (1,500 KW and over).....................Service Charge......................................................$250.00 per month plus: Demand Charge (Per KW)................................$9.85 Energy Charge (first 500,000 kwhrs)....................$0.0689 per KW Minimum Monthly $15,034.85 Tax.........................................................................8.25% TDA.......................................................................Calculated as needed WIND WATT RATES Wind rates were established by Ordinance #2012-3397 on February 23, 2012, passed and approved by the City Council, and became effective on March 1, 2012. Participation Level: Residential & Commercial 10%.......................................................................$0.0005 per KW 50%.......................................................................$0.0025 per KW 100%.....................................................................$0.005 per KW 25 TABLE 14 -HISTORICAL UTILITY USERS (UNITS SERVED) 2015 2014 2013 2012 2011 Water 41,540 40,768 40,767 36,460 35,615 Wastewater 40,806 39,128 38,608 36,908 35,510 Electric 43,471 38,198 38,456 39,123 37,829 Fiscal Year Ended September 30, TABLE 15 -TEN LARGEST UTILITY CUSTOMERS Total Percent FY2015 KWH of KWH Utility Customer Type of Business Consumption Consumed City of College Station Municipality 26,299,782 3.15% CSISD School 22,669,558 2.72% Scott & White Hospital & Clinic Hospital/Clinic 17,493,546 2.10% Texas A&M University 12,195,018 1.46% CBL & Associates Retail Mall 9,192,620 1.10% College Station Medical Center Hospital 9,183,183 1.10% Wal-Mart Retail 9,008,880 1.08% HEB Grocery Retail Grocery 8,667,360 1.04% Dealer Computer Services, Inc.Retail 4,864,000 0.58% Cambridge Holdings LLC Hotel 4,703,400 0.56% 124,277,347 14.88% TABLE 16 -CONDENSED STATEMENT OF OPERATIONS 2015 2014 2013 2012 2011 Revenues: Electric 98,763,293$95,677,765$92,892,541$94,396,234$98,737,655$ Water and Wastewater 28,732,968 27,550,262 29,018,108 27,652,449 29,248,180 Interest 180,423 116,433 170,062 136,974 142,700 Other 3,546,138 2,890,061 3,670,710 2,857,223 2,584,985 Total Revenues 131,222,822$126,234,521$125,751,421$125,042,880$130,713,520$ Expenses: Total Expenses 82,079,813$100,235,329$90,519,871$88,927,662$96,938,864$ Net Available for Debt Service 49,143,009$25,999,192$35,231,550$36,115,218$33,774,656$ Water (Units Served)41,540 40,768 40,767 39,338 37,565 Wastewater (Units Served)40,806 39,128 38,608 36,908 35,563 Electric (Units Served)43,471 38,198 38,456 39,123 37,829 For Fiscal Year Ended September 30, 26 TABLE 17 –VALUE OF THE SYSTEM 2015 2014 2013 2012 2011 Utility Systems 507,758,485$459,071,713$446,518,318$435,064,838$366,563,463$ Construction in Progress 13,213,020 43,281,736 36,982,355 20,430,326 69,987,787 520,971,505$502,353,449$483,500,673$455,495,164$436,551,250$ Less: Accumulated Depreciation 198,339,390 183,756,067 171,069,875 158,428,406 142,344,667 Net System Value 322,632,115$318,597,382$312,430,798$297,066,758$294,206,583$ Fiscal Year Ended September 30, TABLE 18 –CITY’S EQUITY IN THE SYSTEM Fiscal Year Ended September 30, Resources 2015 2014 2013 2012 2011 Net System Value 322,632,115$318,597,382$312,430,798$297,066,758$294,206,583$ Current Assets 52,023,881 42,939,476 59,428,776 53,031,034 47,319,652 Restricted Assets 19,977,038 27,760,893 5,757,167 10,143,761 5,166,872 Other Resources -0 120,000 120,000 240,000 Deferred Charges 2,381,933 1,305,356 1,665,943 780,390 919,183 Total 397,014,967$390,603,107$379,402,684$361,141,943$347,852,290$ Obligations Current Liabilities 13,688,841$19,092,357$23,329,045$17,180,367$20,308,090$ Current Liabilities Payable from Restricted Assets 10,735,825 7,292,731 7,190,577 13,474,895 11,049,949 General Obligation Debt 43,175,000 47,995,000 36,930,000 30,675,000 24,020,000 Certificates of Obligation 83,445,000 87,210,000 66,695,000 55,865,000 48,085,000 Revenue Bond Debt 13,395,000 14,920,000 34,765,000 41,505,001 49,845,002 Other Debt(1)8,593,734 9,385,034 4,825,184 4,561,927 3,249,873 Total Liabilities 173,033,400$185,895,122$173,734,806$163,262,190$156,557,914$ City's Equity in System 223,981,567$204,707,985$205,667,878$197,879,753$191,294,376$ Percentage of Equity in System 56.42%52.41%54.21%54.79%54.99% __________ (1)Includes OPEB Net Pension Obligations. 27 TABLE 19 –UTILITY REVENUE BOND AND SYSTEM SUPPORTED CERTIFICATE DEBT SERVICE Original Outstanding Principal Principal Amount as of 9/30/2015 2008 (2)15,925,000 5,210,000 2009 (2)19,490,000 19,560,000 2010 (2)2,850,000 2,350,000 2010 (1)(3)25,905,000 17,395,000 2011 (2)7,920,000 6,820,000 2012 (2)16,415,000 14,690,000 2012 (1)(3)9,570,000 6,760,000 2013 (2)10,230,000 9,500,000 2013 (1)(3)6,255,000 5,575,000 2014 (2)23,555,000 22,515,000 2014 (1)(3)14,455,000 13,445,000 2016 (2)6,895,000 6,895,000 2016 (1)(3)18,380,000 18,380,000 152,570,000$149,095,000$ Series __________ * Preliminary, subject to change. Includes a portion of the Obligations and excludes the Refunded Obligations. (1)Represents refunding bonds. (2)Certificates of Obligation supported in whole or in part by Utility System revenues. (3)General Obligation Improvement Bonds supported in part by the Utility System revenues. INVESTMENTS The City invests its investable funds in investments authorized by Texas law in accordance with investment policies approved by the City Council. Both state law and the City’s investment policies are subject to change. LEGAL INVESTMENTS Under State law, the City is authorized to invest in: (1) obligations of the United States or its agencies and instrumentalities, including letters of credit; (2) direct obligations of the State or its agencies and instrumentalities; (3) collateralized mortgage obligations directly issued by a federal agency or instrumentality of the United States, the underlying security for which is guaranteed by an agency or instrumentality of the United States; (4) other obligations, the principal of and interest on which are unconditionally guaranteed or insured by, or backed by the full faith and credit of, the State or the United States or their respective agencies and instrumentalities, including obligations that are fully guaranteed or insured by the Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United States; (5) obligations of states, agencies, counties, cities, and other political subdivisions of any state rated as to investment quality by a nationally recognized investment rating firm not less than A or its equivalent; (6) bonds issued, assumed, or guaranteed by the State of Israel; (7) certificates of deposit and share certificates (i) issued by a depository institution that has its main office or a branch office in the State of Texas, that are guaranteed or insured by the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund, or are secured as to principal by obligations described in clauses (1) through (6) or in any other manner and amount provided by law for City deposits, or (ii) where (a) the funds are invested by the City through (I) a broker that has its main office or a branch office in the State of Texas and is selected from a list adopted, at least annually, by the City as required by law or (II) a depository institution that has its main office or a branch office in the State of Texas that is selected by the City; (b) the broker or the depository institution selected by the City arranges for the deposit of the funds in certificates of deposit in one or more federally insured depository institutions, wherever located, for the account of the City; (c) the full amount of the principal and accrued interest of each of the certificates of deposit is insured by the United States or an instrumentality of the United States, and (d) the City appoints the depository institution selected under (a) above, a custodian as described by Section 2257.041(d) of the Texas Government Code, or a clearing broker-dealer registered with the Securities and Exchange Commission and operating pursuant to Securities and Exchange Commission Rule 15c3-3 (17 C.F.R. Section 240.15c3-3) as custodian for the City with respect to the certificates of deposit; (8) fully collateralized repurchase agreements that have a defined termination date, are fully secured by a combination of cash and obligations described in clause (1) which are pledged to the City, held in the City’s name, and deposited at the time the investment is made with the City or with a third party selected and approved by the City and are placed through a primary government securities dealer, as defined by the Federal Reserve, or a financial institution doing business in the State of Texas; (9) bankers’ acceptances with the remaining term of 270 days or less, if the short-term obligations of the accepting bank or its parent are rated at least “A-1” or “P-1” or the equivalent by at least one nationally recognized credit rating agency; (10) commercial paper that is rated at least “A-1” or “P-1” or the equivalent by either (a) two nationally recognized credit rating agencies or (b) one 28 nationally recognized credit rating agency if the paper is fully secured by an irrevocable letter of credit issued by a bank organized and existing under the laws of the United States or any state; (11) no-load money market mutual funds regulated by the Securities and Exchange Commission that have a dollar weighted average portfolio maturity of 90 days or less and include in their investment objectives the maintenance of a stable net asset value of $1 for each share; (12) no-load mutual funds registered with the Securities and Exchange Commission that: have an average weighted maturity of less than two years; invests exclusively in obligations described in the preceding clauses; and are continuously rated as to investment quality by at least one nationally recognized investment rating firm of not less than “AAA” or its equivalent; provided, however, that the City is not authorized to invest in the aggregate more than 15% of its monthly average fund balance, excluding bond proceeds and reserves and other funds held for debt service, in such no-load mutual funds, and (13) for bond proceeds, guaranteed investment contracts that have a defined termination date, are secured by obligations of the United States or its agencies and instrumentalities in an amount equal to the amount invested under the contract, and are pledged to the City and deposited with the City or a third party selected and approved by the City. The City is also authorized to invest its funds through an eligible investment pool if the governing body of the City by rule, ordinance, or resolution, as appropriate, authorizes investment in the particular pool. To be eligible to receive funds from and invest funds on behalf of the City, an investment pool must furnish to the investment officer or other authorized representative of the City an offering circular or other similar disclosure instrument that contains, at a minimum, the following information: (1) the types of investments in which money is allowed to be invested; (2) the maximum average dollar-weighted maturity allowed, based on the stated maturity date, of the pool; (3) the maximum stated maturity date any investment security within the portfolio has; (4) the objectives of the pool; (5) the size of the pool; (6) the names of the members of the advisory board of the pool and the dates their terms expire; (7) the custodian bank that will safekeep the pool's assets; (8) whether the intent of the pool is to maintain a net asset value of one dollar and the risk of market price fluctuation; (9) whether the only source of payment is the assets of the pool at market value or whether there is a secondary source of payment, such as insurance or guarantees, and a description of the secondary source of payment; (10) the name and address of the independent auditor of the pool; (11) the requirements to be satisfied for an entity to deposit funds in and withdraw funds from the pool and any deadlines or other operating policies required for the entity to invest funds in and withdraw funds from the pool; and (12) the performance history of the pool, including yield, average dollar-weighted maturities, and expense ratios. Governmental bodies in the State are authorized to implement securities lending programs if (i) the securities loaned under the program are 100% collateralized, a loan made under the program allows for termination at any time and a loan made under the program is either secured by (a) obligations that are described in clauses (1) through (6) of the first paragraph under this subcaption, (b) irrevocable letters of credit issued by a state or national bank that is continuously rated by a nationally recognized investment rating firm not less than “A” or its equivalent, or (c) cash invested in obligations that are described in clauses (1) through (6) and (10) through (12) of the first paragraph under this subcaption, or an authorized investment pool; (ii) securities held as collateral under a loan are pledged to the governmental body, held in the name of the governmental body and deposited at the time the investment is made with the City or a third party designated by the City; (iii) a loan made under the program is placed through either a primary government securities dealer or a financial institution doing business in the State; and (iv) the agreement to lend securities has a term of one year or less. The City may invest in such obligations directly or through government investment pools that invest solely in such obligations provided that the pools are rated no lower than “AAA” or “AAAm” or an equivalent by at least one nationally recognized rating service. The City is specifically prohibited from investing in: (1) obligations whose payment represents the coupon payments on the outstanding principal balance of the underlying mortgage-backed security collateral and pays no principal; (2) obligations whose payment represents the principal stream of cash flow from the underlying mortgage-backed security and bears no interest; (3) collateralized mortgage obligations that have a stated final maturity of greater than 10 years; and (4) collateralized mortgage obligations the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. INVESTMENT POLICIES Under Texas law, the City is required to invest its funds under written investment policies that primarily emphasize safety of principal and liquidity; that address investment diversification, yield, maturity, and the quality and capability of investment management; and that includes a list of authorized investments for City funds, maximum allowable stated maturity of any individual investment and the maximum average dollar-weighted maturity allowed for pooled fund groups, methods to monitor the market price of investments acquired with public funds, a requirement for settlement of all transactions, except investment pool funds and mutual funds, on a delivery versus payment basis, and procedures to monitor rating changes in investments acquired with public funds and the liquidation of such investments consistent with the PFIA. All City funds must be invested consistent with a formally adopted “Investment Strategy Statement” that specifically addresses each funds’ investment. Each Investment Strategy Statement will describe its objectives concerning (1) suitability of investment type, (2) preservation and safety of principal, (3) liquidity, (4) marketability of each investment, (5) diversification of the portfolio, and (6) yield. 29 Under Texas law, City investments must be made “with judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person’s own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived.” At least quarterly the investment officers of the City will submit an investment report detailing (1) the investment position of the City, (2) that all investment officers jointly prepared and signed the report, (3) the beginning market value and ending market value for each pooled fund group, (4) the book value and market value of each separately listed asset at the end of the reporting period, (5) the maturity date of each separately invested asset, (6) the account or fund or pooled fund group for which each individual investment was acquired, and (7) the compliance of the investment portfolio as it relates to: (a) adopted investment strategy statements and (b) state law. No person may invest City funds without express written authority from the City Council. ADDITIONAL PROVISIONS Under Texas law the City is additionally required to: (1) annually review its adopted policies and strategies; (2) require any investment officers’ with personal business relationships or relatives with firms seeking to sell securities to the entity to disclose the relationship and file a statement with the Texas Ethics Commission and the City Council; (3) require the registered principal of firms seeking to sell securities to the City to: (a) receive and review the City’s investment policy, (b) acknowledge that reasonable controls and procedures have been implemented to preclude imprudent investment activities, and (c) deliver a written statement attesting to these requirements; (4) perform an annual audit of the management controls on investments and adherence to the City’s investment policy; (5) provide specific investment training for the Finance Director, Treasurer, Assistant City Manager and investment officers; (6) restrict reverse repurchase agreements to not more than 90 days and restrict the investment of reverse repurchase agreement funds to no greater than the term of the reverse repurchase agreement; (7) restrict the investment in non-money market mutual funds of any portion of bond proceeds, reserves and funds held for debt service and to no more than 15% of the entity’s monthly average fund balance, excluding bond proceeds and reserves and other funds held for debt service; (8) require local government investment pools to conform to the new disclosure, rating, net asset value, yield calculation, and advisory board requirements and (9) at least annually review, revise, and adopt a list of qualified brokers that are authorized to engage in investment transactions with the City. Under Texas law, the City may contract with an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section 80b-1 et seq.) or with the State Securities Board to provide for the investment and management of its public funds or other funds under its control for a term up to two years, but the City retains ultimate responsibility as fiduciary of its assets. In order to renew or extend such a contract, the City must do so by order, ordinance or resolution. The City has not contracted with, and has no present intention of contracting with, any such investment management firm or the State Securities Board to provide such services. CITY’S INVESTMENT POLICY The Assistant City Manager or his designee will promptly cause all City funds to be deposited with the bank depository and invested in accordance with the provisions of the current Bank Depository Agreement or in any negotiable instrument that the City Council has authorized under the provisions of the PFIA, as amended, and in accordance with the City Council approved Investment Policies. At the end of each fiscal year, a report on investment performance will be provided to the City Council. In conjunction with the quarterly financial report, the Assistant City Manager or his designee will prepare and provide a written recapitulation of the City’s investment portfolio to the Council, detailing each City investment instrument with its rate of return and maturity date. The City's adopted investment policy permits the City to invest its funds and funds under its control in all of the enumerated investments authorized by the PFIA. TABLE 20 -CURRENT INVESTMENTS As of March 31, 2016, the City’s investable funds were invested in the following categories: Book Market Investment Type Value Value Cash 5,000,000$5,000,000$ Certificate Of Deposit 9,051,703 9,051,703 Local Government Investment Pool 14,795,198 14,795,198 Money Market Mutual Fund 128,677,025 128,677,025 USAgencies and Securities 14,000,000 14,017,840 171,523,926$171,541,766$ 30 TAX MATTERS OPINION On the date of initial delivery of each series of the Obligations, McCall, Parkhurst & Horton L.L.P., Dallas, Texas, Bond Counsel, will render its opinion that, in accordance with statutes, regulations, published rulings and court decisions existing on the date thereof (“Existing Law”), (1) interest on the Obligations for federal income tax purposes will be excludable from the “gross income” of the holders thereof and (2) the Obligations will not be treated as “specified private activity bonds” the interest on which would be included as an alternative minimum tax preference item under section 57(a)(5) of the Internal Revenue Code of 1986 (the “Code”). Except as stated above, Bond Counsel will express no opinion as to any other federal, state or local tax consequences of the purchase, ownership or disposition of the Obligations. See Appendix C - FORMS OF OPINIONS OF BOND COUNSEL. In rendering its opinions, Bond Counsel will rely upon (a) certain information and representations of the City, including information and representations contained in the City's federal tax certificate, (b) the Verification Report prepared by Grant Thornton LLP with respect to the refunding of the Refunded Obligations and (c) covenants of the City contained in the respective Ordinances authorizing each series of the Obligations relating to certain matters, including arbitrage and the use of the proceeds of the Obligations and the property financed or refinanced therewith. Failure of the City to comply with these representations or covenants could cause the interest on the Bonds or Certificates, as the case may be, to become includable in gross income retroactively to their date of issuance. The Code and the regulations promulgated thereunder contain a number of requirements that must be satisfied subsequent to the issuance of the Obligations in order for interest on the Obligations to be, and to remain, excludable from gross income for federal income tax purposes. Failure to comply with such requirements may cause interest on the Obligations to be included in gross income retroactively to the date of issuance of the Obligations. The opinions of Bond Counsel are rendered in reliance upon the compliance by the City with such requirements, and Bond Counsel has not been retained to monitor compliance with these requirements subsequent to the issuance of the Obligations. Bond Counsel's opinions are not a guarantee of a result, but represent its legal judgment based upon its review of Existing Law and reliance on the aforementioned information, representations and covenants. Existing Law is subject to change by the Congress and to subsequent judicial and administrative interpretation by the courts and the Department of the Treasury. There can be no assurance that Existing Law or the interpretation thereof will not be changed in a manner which would adversely affect the tax treatment of the purchase, ownership or disposition of the Obligations. A ruling was not sought from the Internal Revenue Service by the Issuer with respect to the Obligations or the property financed or refinanced with proceeds of the Obligations. No assurances can be given as to whether the Internal Revenue Service will commence an audit of the Obligations, or as to whether the Internal Revenue Service would agree with the opinion of Bond Counsel. If an Internal Revenue Service audit is commenced, under current procedures the Internal Revenue Service is likely to treat the Issuer as the taxpayer and the Obligation holders may have no right to participate in such procedure. No additional interest will be paid upon any determination of taxability. FEDERAL INCOME TAX ACCOUNTING TREATMENT OF ORIGINAL ISSUE DISCOUNT The initial public offering price to be paid for one or more maturities of the Obligations may be less than the principal amount thereof or one or more periods for the payment of interest on the Obligations may not be equal to the accrual period or be in excess of one year (the “Original Issue Discount Obligations”). In such event, the difference between (i) the “stated redemption price at maturity” of each Original Issue Discount Obligation, and (ii) the initial offering price to the public of such Original Issue Discount Obligation would constitute original issue discount. The “stated redemption price at maturity” means the sum of all payments to be made on the Obligations less the amount of all periodic interest payments. Periodic interest payments are payments which are made during equal accrual periods (or during any unequal period if it is the initial or final period) and which are made during accrual periods which do not exceed one year. Under Existing Law, any owner who has purchased such Original Issue Discount Obligation in the initial public offering is entitled to exclude from gross income (as defined in section 61 of the Code) an amount of income with respect to such Original Issue Discount Obligation equal to that portion of the amount of such original issue discount allocable to the accrual period. For a discussion of certain collateral federal tax consequences, see discussion set forth below. In the event of the redemption, sale or other taxable disposition of such Original Issue Discount Obligation prior to stated maturity, however, the amount realized by such owner in excess of the basis of such Original Issue Discount Obligation in the hands of such owner (adjusted upward by the portion of the original issue discount allocable to the period for which such Original Issue Discount Obligation was held by such initial owner) is includable in gross income. Under Existing Law, the original issue discount on each Original Issue Discount Obligation is accrued daily to the stated maturity thereof (in amounts calculated as described below for each accrual period within each accrual period) and the accrued amount is added to an initial owner's basis for such Original Issue Discount Obligation for purposes of determining the amount of gain or loss recognized by such owner upon the redemption, sale or other disposition thereof. The amount to be added to basis for each accrual period is equal to (a) the sum of the issue price and the amount of original issue discount accrued in prior periods multiplied by the yield to stated maturity (determined on the basis of compounding at the close of each accrual period and properly adjusted for the length of the accrual period) less (b) the amounts payable as current interest during such accrual period on such Original Issue Discount Obligation. 31 The federal income tax consequences of the purchase, ownership, redemption, sale or other disposition of Original Issue Discount Obligations which are not purchased in the initial offering at the initial offering price may be determined according to rules which differ from those described above. All owners of Original Issue Discount Obligations should consult their own tax advisors with respect to the determination for federal, state and local income tax purposes of the treatment of interest accrued upon redemption, sale or other disposition of such Original Issue Discount Obligations and with respect to the federal, state, local and foreign tax consequences of the purchase, ownership, redemption, sale or other disposition of such Original Issue Discount Obligations. COLLATERAL FEDERAL INCOME TAX CONSEQUENCES The following discussion is a summary of certain collateral federal income tax consequences resulting from the purchase, ownership or disposition of the Obligations. This discussion is based on Existing Law, which is subject to change or modification, retroactively. The following discussion is applicable to investors, other than those who are subject to special provisions of the Code, such as financial institutions, property and casualty insurance companies, life insurance companies, individual recipients of Social Security or Railroad Retirement benefits, individuals allowed an earned income credit, certain S corporations with accumulated earnings and profits and excess passive investment income, foreign corporations subject to the branch profits tax, taxpayers qualifying for the health insurance premium credit and taxpayers who may be deemed to have incurred or continued indebtedness to purchase tax-exempt obligations. THE DISCUSSION CONTAINED HEREIN MAY NOT BE EXHAUSTIVE. INVESTORS, INCLUDING THOSE WHO ARE SUBJECT TO SPECIAL PROVISIONS OF THE CODE, SHOULD CONSULT THEIR OWN TAX ADVISORS AS TO THE TAX TREATMENT WHICH MAY BE ANTICIPATED TO RESULT FROM THE PURCHASE, OWNERSHIP AND DISPOSITION OF TAX-EXEMPT OBLIGATIONS BEFORE DETERMINING WHETHER TO PURCHASE THE OBLIGATIONS. Interest on the Obligations will be includable as an adjustment for “adjusted current earnings” to calculate the alternative minimum tax imposed on corporations by section 55 of the Code. Under section 6012 of the Code, holders of tax-exempt obligations, such as the Obligations, may be required to disclose interest received or accrued during each taxable year on their returns of federal income taxation. Section 1276 of the Code provides for ordinary income tax treatment of gain recognized upon the disposition of a tax-exempt obligation, such as the Obligations, if such obligation was acquired at a “market discount” and if the fixed maturity of such obligation is equal to, or exceeds, one year from the date of issue. Such treatment applies to “market discount bonds” to the extent such gain does not exceed the accrued market discount of such bonds; although for this purpose, a de minimis amount of market discount is ignored. A “market discount bond” is one which is acquired by the holder at a purchase price which is less than the stated redemption price at maturity or, in the case of a bond issued at an original issue discount, the “revised issue price” (i.e., the issue price plus accrued original issue discount). The “accrued market discount” is the amount which bears the same ratio to the market discount as the number of days during which the holder holds the obligation bears to the number of days between the acquisition date and the final maturity date. STATE,LOCAL AND FOREIGN TAXES Investors should consult their own tax advisors concerning the tax implications of the purchase, ownership or disposition of the Obligations under applicable state or local laws. Foreign investors should also consult their own tax advisors regarding the tax consequences unique to investors who are not United States persons. Subject to certain exceptions, information reports describing interest income, including original issue discount, with respect to the Obligations will be sent to each registered holder and to the Internal Revenue Service. Payments of interest and principal may be subject to backup withholding under section 3406 of the Code if a recipient of the payments fails to furnish to the payor such owner's social security number or other taxpayer identification number ("TIN"), furnishes an incorrect TIN, or otherwise fails to establish an exemption from the backup withholding tax. Any amounts so withheld would be allowed as a credit against the recipient's federal income tax. Special rules apply to partnerships, estates and trusts, and in certain circumstances, and in respect of Non-U.S. Holders, certifications as to foreign status and other matters may be required to be provided by partners and beneficiaries thereof. FUTURE AND PROPOSED LEGISLATION Tax legislation, administrative actions taken by tax authorities, or court decisions, whether at the federal or state level, may adversely affect the tax-exempt status of interest on the Obligations under federal or state law, and could affect the market price or marketability of the Obligations. Any of the foregoing could limit the value of certain deductions and exclusions, including the exclusion for tax-exempt interest. The likelihood of any of the foregoing becoming effective cannot be predicted. Prospective purchasers of the Obligations should consult their own tax advisors regarding the foregoing matters. 32 CONTINUING DISCLOSURE OF INFORMATION In the Ordinances, the City has made the following agreement for the benefit of the holders and beneficial owners of each series of Obligations. The City is required to observe the agreement for so long as it remains obligated to advance funds to pay the Obligations. Under the agreement, the City will be obligated to provide certain updated financial information and operating data annually, and timely notice of specified events, to the Municipal Securities Rulemaking Board (the “MSRB”). This information will be publicly available at no cost on the Electronic Municipal Market Access of the MSRB, with the web address www.emma.msrb.org (“EMMA”). ANNUAL REPORTS The City will provide certain updated financial information and operating data to the MSRB on an annual basis in an electronic format that is prescribed by the MSRB and available via the Electronic Municipal Market Access System ("EMMA") at www.emma.msrb.org. The information to be updated includes all quantitative financial information and operating data with respect to the City of the general type included in this Official Statement under Tables numbered 1 through 6; 8 through 20 and in Appendix B. The City will update and provide the information in Tables 1 through 6 and 8 through 20 within six months after the end of each fiscal year ending in and after 2016. The City will additionally provide audited financial statements when and if available, and in any event, within 12 months after the end of each fiscal year ending in or after 2016. If the audit of such financial statements is not complete within 12 months after any such fiscal year end, then the City will file unaudited financial statements within such 12 month period and audited financial statements for the applicable fiscal year, when and if the audit report on such statements becomes available. Any such financial statements will be prepared in accordance with the accounting principles described in Appendix B or such other accounting principles as the City may be required to employ from time to time pursuant to State law or regulation. The financial information and operating data to be provided may be set forth in full in one or more documents or may be included by specific reference to any document available to the public on the MSRB’s Internet Web site identified below or filed with the United States Securities and Exchange Commission (the "SEC"), as permitted by SEC Rule 15c2-12 (the "Rule"). The City’s current fiscal year end is September 30. Accordingly, the City must provide updated information included in 1 through 6 and 8 through 20 by the last day of March in each year, and audited financial statements for the preceding fiscal year (or unaudited financial statements if the audited financial statements are not yet available) as described above. If the City changes its fiscal year, it will file notice of the change (and of the date of the new fiscal year end) with the MSRB prior to the next date by which the City otherwise would be required to provide financial information and operating data as set forth above. EVENT NOTICES The City will also provide timely notices of certain events to the MSRB. The City will provide notice of any of the following events with respect to the Obligations to the MSRB in a timely manner (but not in excess of ten business days after the occurrence of the event): (1) principal and interest payment delinquencies; (2) non-payment related defaults, if material; (3) unscheduled draws on debt service reserves reflecting financial difficulties; (4) unscheduled draws on credit enhancements reflecting financial difficulties; (5) substitution of credit or liquidity providers, or their failure to perform; (6) adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB), or other material notices or determinations with respect to the tax status of the Obligations, or other material events affecting the tax status of the Obligations; (7) modifications to rights of holders of the Obligations, if material; (8) Obligation calls, if material, and tender offers; (9) defeasances; (10) release, substitution, or sale of property securing repayment of the Obligations, if material; (11) rating changes; (12) bankruptcy, insolvency, receivership, or similar event of the City, which shall occur as described below; (13) the consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of its assets, other than in the ordinary course of business, the entry into of a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any suchactions, other than pursuant to its terms, if material; and (14) appointment of a successor or additional paying agent or the change of name of a paying agent, if material. In addition, the City will provide timely notice of any failure by the City to provide annual financial information in accordance with their agreement described above under “Annual Reports”. For these purposes, any event described in clause (12) is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City. The City will provide each notice described in the previous paragraph to the MSRB through EMMA, in accordance with the Rule. 33 LIMITATIONS AND AMENDMENTS The City has agreed to update information and to provide notices of specified events only as described above. The City has not agreed to provide other information that may be relevant or material to a complete presentation of its financial results of operations, condition, or prospects or agreed to update any information that is provided, except as described above. The City makes no representation or warranty concerning such information or concerning its usefulness to a decision to invest in or sell Obligations at any future date. The City disclaims any contractual or tort liability for damages resulting in whole or in part from any breach of its continuing disclosure agreement or from any statement made pursuant to its agreement, although holders of Obligations may seek a writ of mandamus to compel the City to comply with its agreement. The City may amend its continuing disclosure agreement from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, if (i) the agreement, as amended, would have permitted an underwriter to purchase or sell Obligations in the offering described herein in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (ii) either (a) the holders of a majority in aggregate principal amount of the outstanding Obligations consent to the amendment or (b) any person unaffiliated with the City (such as nationally recognized bond counsel) determines that the amendment will not materially impair the interests of the holders and beneficial owners of the Obligations. If the City so amends the agreement, it has agreed to include with the next financial information and operating data provided in accordance with its agreement described above under “ANNUAL REPORTS” an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information and operating data so provided. COMPLIANCE WITH PRIOR UNDERTAKINGS In connection with prior transactions, the City has entered into undertakings pursuant to which it agreed to provide certain updated financial information and operating data within six months of the end of the City’s fiscal year along with notices of specified material events at required times. In addition, the City previously agreed to provide audited financial statements within six months of the end of the City’s fiscal year if audited financial statements were available by such time. If audited financial statements were not available, the City agreed to provide unaudited financial statements for the applicable fiscal year. During the previous five years, the City filed certain updated financial information and operating data in the form of tables (the “Tables”) identified in the official statements for each respective debt issuances within six months (March 31) after the end of each fiscal year. The audited financial statements for the fiscal years ending September 30, 2009 and September 30, 2010 were filed on July 5, 2010 and May 26, 2011, respectively, which is more than six months after the end of the fiscal year. In each instance, the City filed Tables that contained certain unaudited financial statement information that was similar to the type included in the audited financial information within six months of the end of the applicable fiscal year. OTHER INFORMATION RATINGS The Obligations and presently outstanding tax supported debt of the City are rated “___” by Moody's and “____” by S&P, without regard to credit enhancement. The ratings reflect only the respective views of such organizations and the City makes no representation as to the appropriateness of the ratings. There is no assurance that such ratings will continue for any given period of time or that they will not be revised downward or withdrawn entirely by either or both of such rating companies, if in the judgment of either or both companies, circumstances so warrant. Any such downward revision or withdrawal of such ratings, or either of them, may have an adverse effect on the market price of the Obligations. LITIGATION The City is a party to legal proceedings, many of which occur in the normal course of operations. It is not possible at the present time to estimate ultimate outcome or liability, if any, of the city with respect to the various proceedings. The City’s management believes that the ultimate outcome of the various lawsuits will not have a material adverse effect on the City’s financial position. REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE The sale of the Obligations has not been registered under the federal Securities Act of 1933, as amended, in reliance upon the exemption provided thereunder by Section 3(a)(2); and the Obligations have not been qualified under the Securities Act of Texas in reliance upon various exemptions contained therein; nor have the Obligations been qualified under the securities acts of any jurisdiction. The City assumes no responsibility for qualification of the Obligations under the securities laws of any jurisdiction in which the Obligations may be sold, assigned, pledged, hypothecated or otherwise transferred. This disclaimer of responsibility for qualification for sale or other disposition of the Obligations must not be construed as an interpretation of any kind with regard to the availability of any exemption from securities registration provisions. 34 LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS Section 1201.041 of the Public Security Procedures Act (Chapter 1201, Texas Government Code) provides that the Obligations are negotiable instruments, investment securities governed by Chapter 8, Texas Business and Commerce Code, and are legal and authorized investments for insurance companies, fiduciaries, and trustees, and for the sinking funds of municipalities or other political subdivisions or public agencies of the State of Texas. With respect to investment in the Obligations by municipalities or other political subdivisions or public agencies of the State of Texas, the PFIA requires that the Obligations be assigned a rating of at least “A” or its equivalent as to investment quality by a national rating agency. See “OTHER INFORMATION - RATINGS” herein. In addition, various provisions of the Texas Finance Code provide that, subject to a prudent investor standard, the Obligations are legal investments for state banks, savings banks, trust companies with at capital of one million dollars or more, and savings and loan associations. The Obligations are eligible to secure deposits of any public funds of the State, its agencies, and its political subdivisions, and are legal security for those deposits to the extent of their market value. The City has made no investigation of other laws, rules, regulations or investment criteria which might apply to such institutions or entities or which might limit the suitability of the Obligations for any of the foregoing purposes or limit the authority of such institutions or entities to purchase or invest in the Obligations for such purposes. No review by the City has been made of the laws in other states to determine whether the Obligations are legal investments for various institutions in those states. LEGAL OPINIONS The City will furnish a complete transcript of proceedings incident to the authorization and issuance of the Obligations, including the unqualified approving legal opinion of the Attorney General of Texas approving the Obligations and to the effect that the Obligations are valid and legally binding obligations of the City, and based upon examination of such transcript of proceedings, the legal opinion of Bond Counsel, to like effect and to the effect that the interest on the Obligations will be excludable from gross income for federal income tax purposes under section 103(a) of the Code, subject to the matters described under “TAX MATTERS” herein, including the alternative minimum tax on corporations. In its capacity as Bond Counsel, McCall, Parkhurst & Horton L.L.P. has reviewed the information under the captions “PLAN OF FINANCING” (except for the subsection “SOURCES AND USES OF PROCEEDS”), “THE OBLIGATIONS,” “TAX MATTERS,” “OTHER INFORMATION – LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS,” “OTHER INFORMATION – REGISTRATION AND QUALIFICATION OF OBLIGATIONS FOR SALE,” “OTHER INFORMATION – LEGAL OPINIONS,” and “CONTINUING DISCLOSURE OF INFORMATION” (except under the subheading “COMPLIANCE WITH PRIOR UNDERTAKINGS”, as to which no opinion is expressed) in the Official Statement to determine whether such information fairly summarized matters of law and the provisions of the documents referred to therein, and Bond Counsel is of the opinion that the information relating to the Obligations and the Ordinances contained under such captions is a fair and accurate summary of the information purported to be shown. The legal fee to be paid to Bond Counsel for services rendered in connection with the issuance of the Obligations is contingent on the sale and delivery of the Obligations. The legal opinion will accompany the Obligations deposited with DTC or will be printed on the Obligations in the event of the discontinuance of the Book-Entry-Only System. In connection with the transactions described in the Official Statement, Bond Counsel represents only the City. The various legal opinions to be delivered concurrently with the delivery of the Obligations express the professional judgment of the attorneys rendering the opinions as to the legal issues explicitly addressed therein. In rendering a legal opinion, the attorney does not become an insurer or guarantor of that expression of professional judgment, of the transaction opined upon, or of the future performance of the parties to the transaction, nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. AUTHENTICITY OF FINANCIAL DATA AND OTHER INFORMATION The financial data and other information contained herein have been obtained from City records, audited financial statements and other sources which are believed to be reliable. There is no guarantee that any of the assumptions or estimates contained herein will be realized. All of the summaries of the statutes, documents and resolutions contained in this Official Statement are made subject to all of the provisions of such statutes, documents and resolutions. These summaries do not purport to be complete statements of such provisions and reference is made to such documents for further information. Reference is made to original documents in all respects. FINANCIAL ADVISOR First Southwest, a Division of Hilltop Securities Inc. is employed as Financial Advisor to the City in connection with the issuance of the Obligations. The Financial Advisor's fee for services rendered with respect to the sale of the Obligations is contingent upon the issuance and delivery of the Obligations. First Southwest, a Division of Hilltop Securities Inc., in its capacity as Financial Advisor, has relied on the opinions of Bond Counsel and has not verified and does not assume any responsibility for the information, covenants and representations contained in any of the legal documents with respect to the federal income tax status of the Obligations, or the possible impact of any present, pending or future actions taken by any legislative or judicial bodies. The Financial Advisor has reviewed the information in this Official Statement in accordance with, and as part of, its responsibilities to the City and, as applicable, to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Financial Advisor does not guarantee the accuracy or completeness of such information. 35 VERIFICATION OF ARITHMETICAL AND MATHEMATICAL COMPUTATIONS The arithmetical accuracy of certain computations included in the schedules provided by First Southwest, a Division of Hilltop Securities Inc. on behalf of the City relating to (a) computation of forecasted receipts of principal and interest on the Federal Securities and the forecasted payments of principal and interest to redeem the Refunded Obligations and (b) computation of the yields of the Bonds and the restricted Federal Securities were verified by Grant Thornton, LLP, certified public accountants. Such computations were based solely on assumptions and information supplied by First Southwest, a Division of Hilltop Securities Inc. on behalf of the City. Grant Thornton, LLP has restricted its procedures to verifying the arithmetical accuracy of certain computations and has not made any study or evaluation of the assumptions and information on which the computations are based and, accordingly, has not expressed an opinion on the data used, the reasonableness of the assumptions, or the achievability of the forecasted outcome. CERTIFICATION OF THE OFFICIAL STATEMENT AND NO-LITIGATION CERTIFICATE At the time of payment for and delivery of the Obligations, the Initial Purchasers will be furnished a certificate, executed by the proper City officials, acting in their official capacity, to the effect that to the best of their knowledge and belief: (a) the descriptions and statements of or pertaining to the City contained in its Official Statement and any addenda, supplement or amendment thereto, for its Obligations on the date of such Official Statement, on the date of purchase of said Obligations, and on the date of delivery, were and are true and correct in all material respects; (b) insofar as the City and its affairs, including its financial affairs, are concerned, such Official Statement did not and does not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; (c) insofar as the descriptions and statements, including financial data, of, or pertaining to, entities other than the City and their activities contained in such Official Statement are concerned, such statements and data have been obtained from sources which the City believes to be reliable and that the City has no reason to believe that they are untrue in any material respect; (d) there has been no material adverse change in the financial condition of the City since September 30, 2015, the date of the last audited financial statements of the City and (e) except as disclosed herein, no litigation of any nature has been filed or is pending, as of that date, of which the City has notice to restrain or enjoin the issuance, execution or delivery of the Obligations, in any manner questioning the authority or proceedings for the issuance, execution, or delivery of the Obligations; or which would affect the provisions made for their payment or security, or in any manner question the validity of the Obligations. FORWARD-LOOKING STATEMENTS The statements contained in this Official Statement, and in any other information provided by the City, that are not purely historical, are forward-looking statements, including statements regarding the City's expectations, hopes, intentions, or strategies regarding the future. Readers should not place undue reliance on forward-looking statements. All forward-looking statements included in this Official Statement are based on information available to the City on the date hereof, and the City assumes no obligation to update any such forward-looking statements. The City's actual results could differ materially from those discussed in such forward-looking statements. The forward-looking statements included herein are necessarily based on various assumptions and estimates and are inherently subject to various risks and uncertainties, including risks and uncertainties relating to the possible invalidity of the underlying assumptions and estimates and possible changes or developments in social, economic, business, industry, market, legal, and regulatory circumstances and conditions and actions taken or omitted to be taken by third parties, including customers, suppliers, business partners and competitors, and legislative, judicial, and other governmental authorities and officials. Assumptions related to the foregoing involve judgments with respect to, among other things, future economic, competitive, and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the City. Any of such assumptions could be inaccurate and, therefore, there can be no assurance that the forward-looking statements included in this Official Statement will prove to be accurate. INITIAL PURCHASERS After requesting competitive bids for the Bonds, the City accepted the bid of ______________ (the "Initial Purchaser of the Bonds") to purchase the Bonds at the interest rates shown on the (inside) cover page of the Official Statement at a price of ______(%) of par plus a cash premium of $____________. The Initial Purchaser of the Bonds can give no assurance that any trading market will be developed for the Bonds after their sale by the City to the Initial Purchaser of the Bonds. The City has no control over the price at which the Bonds are subsequently sold and the initial yield at which the Bonds will be priced and reoffered will be established by and will be the responsibility of the Initial Purchaser of the Bonds. After requesting competitive bids for the Certificates, the City accepted the bid of ______________ (the "Initial Purchaser of the Certificates") to purchase the Certificates at the interest rates shown on the (inside) cover page of the Official Statement at a price of ______(%) of par plus a cash premium of $____________. The Initial Purchaser of the Certificates can give no assurance that any trading market will be developed for the Certificates after their sale by the City to the Initial Purchaser of the Certificates. The City has no control over the price at which the Certificates are subsequently sold and the initial yield at which the Certificates will be priced and reoffered will be established by and will be the responsibility of the Initial Purchaser of the Certificates. 36 MISCELLANEOUS The Ordinances authorizing the issuance of the Obligations will also approve the form and content of this Official Statement, and any addenda or amendment thereto, and authorize its further use in the reoffering of the Obligations by the Initial Purchasers. Mayor City of College Station, Texas ATTEST: City Secretary City of College Station, Texas S - 1 Schedule I SCHEDULE OF REFUNDED OBLIGATIONS* General Obligation Debt Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price 2017 4.000%1,340,000$(1)100.00 2018 4.000%865,000 (1)100.00 2,205,000$ General Obligation RefundingBonds, Series 2006 Maturity Interest Par Amount Call Call Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price February 15 Rate to be Refunded*Date Price 2017 4.250%135,000$(1)100.00 2017 4.250%135,000$(1)100.00 2018 4.250%140,000 (1)100.00 2018 4.250%140,000 (1)100.00 2019 4.250%150,000 (1)100.00 2019 4.250%150,000 (1)100.00 2020 4.375%155,000 (1)100.00 2020 4.375%155,000 (1)100.00 2021 4.375%165,000 (1)100.00 2021 4.375%165,000 (1)100.00 2022 4.500%175,000 (1)100.00 2022 4.500%175,000 (1)100.00 2023 4.500%185,000 (1)100.00 2023 4.500%185,000 (1)100.00 2024 4.500%195,000 (1)100.00 2024 4.500%190,000 (1)100.00 2025 4.500%205,000 (1)100.00 2025 4.500%200,000 (1)100.00 2026 4.500%215,000 (1)100.00 2026 4.500%215,000 (1)100.00 2027 4.625%225,000 (1)100.00 2027 4.625%225,000 (1)100.00 1,945,000$1,935,000$ Maturity Interest Par Amount Call Call Maturity Interest Par Amount Call Call February 15 Rate to be Refunded*Date Price February 15 Rate to be Refunded*Date Price 2021 4.125%1,360,000$2/15/2018 100.00 2021 4.125%455,000$2/15/2018 100.00 2022 4.250%1,435,000 2/15/2018 100.00 2022 4.250%480,000 2/15/2018 100.00 2023 4.250%1,510,000 2/15/2018 100.00 2023 4.250%505,000 2/15/2018 100.00 2024 4.375%1,585,000 2/15/2018 100.00 2024 4.375%530,000 2/15/2018 100.00 2025 4.500%1,670,000 2/15/2018 100.00 2025 4.500%555,000 2/15/2018 100.00 2026 4.500%1,750,000 2/15/2018 100.00 2026 4.500%585,000 2/15/2018 100.00 2027 4.600%1,845,000 2/15/2018 100.00 2027 4.500%615,000 2/15/2018 100.00 2028 4.625%1,935,000 2/15/2018 100.00 2028 4.625%645,000 2/15/2018 100.00 13,090,000$4,370,000$ General Obligation Improvement Bonds, Series 2008Certificates of Obligation, Series 2008 General Obligation Improvement Bonds, Series 2007Certificates of Obligation, Series 2007 __________ *Preliminary, subject to change. (1) Call date to be determined at pricing. S - 2 Utility System Revenue Debt Maturity Interest Par Amount Call Call February 1 Rate to be Refunded*Date Price 2017 4.100%865,000$(1)100.00 2018 4.200%915,000 (1)100.00 2019 4.300%965,000 (1)100.00 2020 4.300%1,015,000 (1)100.00 2021 4.400%1,070,000 (1)100.00 2022 4.400%1,125,000 (1)100.00 2023 4.500%1,190,000 (1)100.00 2024 4.500%1,250,000 (1)100.00 2025 4.500%1,320,000 (1)100.00 2026 4.500%1,390,000 (1)100.00 2027 4.500%1,465,000 (1)100.00 12,570,000$ Utility System Revenue Bonds, Series 2007 __________ *Preliminary, subject to change. (1) Call date to be determined at pricing. APPENDIX A GENERAL INFORMATION REGARDING THE CITY A - 1 THE CITY The City, located in Brazos County, is situated in the middle of a triangle bounded by Dallas/Fort Worth, Houston, and San Antonio/Austin. Approximately 80% of the Texas population is located within a 200 mile radius of the City. In addition to being a residential community for faculty, students and other personnel of Texas A&M University, the City also serves as a regional manufacturing, retail and health care hub. The City was incorporated in 1938 and has a Council-City Manager form of government with City employees totaling 950.3 currently. The City adopted and enforces comprehensive zoning and building restrictions aimed at assuring orderly growth and development. The City’s ordinances require all subdividers, at their own expense and without provision for refund, to install streets and water and wastewater lines in any planned subdivision. These facilities are constructed under the City’s specifications and inspection and when completed are deeded to the City free and clear. All areas within the City are now adequately served with water, wastewater and electric service. In March 2013 Forbes magazine named College Station one of the nation’s 25 best places to retire. College-town cultural amenities, low cost of living, median home price, warm climate and low crime rate help land the City on Forbes list. CITY OWNED FACILITIES The City maintains approximately 325 centerline miles of streets within city limits, 99% of which are hard surface. The City has a complete water distribution, wastewater collection and treatment system with 775 miles of wastewater and water lines. The City owns the electrical distribution system with approximately 458 miles of distribution lines and 20 miles of transmission lines. The City has a fully equipped police department with 132 full time police officers and 74 support personnel. The department has 36 police patrol cars and one holding facility with a capacity of 17. The fire department consists of 146 full time fire fighters and 7 support personnel. There are six stations and a total of 8 engines, 6 ambulances, 2 command vehicles, 1 rescue truck, 2 ladder trucks, 1 tanker truck, and 1 grass fire truck. Fire Station #6 opened in December 2012. EDUCATIONAL FACILITIES The College Station Independent School District (the “School District”) is a fully accredited system offering 16 educational campuses for pre-kindergarten through high school. The School District has a student enrollment in excess of 12,500 and employs over 1,700 people. On November 3, 2015 the voters passed a bond proposition for the School District that includes the construction of three additional facilities. The bonds would fund a third intermediate school in the 2017-2018 school year and a third middle school and tenth elementary school in the 2018-2019 school year. The School District’s facilities are also used by Blinn College, a community college offering two years of college level courses. Texas A&M University provides higher educational facilities, offering both four year college programs and graduate degree programs. HEALTH CARE The College Station Medical Center “The MED” is located on 25 acres within the City. The 200,000 square foot facility is a full care hospital containing 167 beds and employing more than 650 people. The MED recently completed a $23 million hospital expansion. The MED is a Trauma Level III facility, Cycle III accredited Chest Pain Center, Certified Primary Stroke Center and was the region’s first Sleep Center to be accredited by the American Academy of Sleep Medicine. The Med partnered with Areofit to open a fitness center that provides a way to create new and creative approaches to wellness. The facility which opened in April 2014, offers outpatient therapy, health and wellness facilities and rehab services. In April 2014, Strategic Behavioral Health, LLC opened a 72-bed, acute psychiatric hospital in College Station. The hospital provides a structured, therapeutic and safe environment for children, adolescents, adults and seniors who require acute care for their psychiatric or behavioral challenges. On March 30, 2011, Baylor Scott and White broke ground on a 403,000 square foot, 5-story 143 bed hospital. The hospital opened in August 2013. Baylor Scott and White Hospital-College Station will house an emergency department, cardiac services including cath labs, neonatal intensive care unit, comprehensive cancer services, operating rooms, maternity services suites, endoscopic procedure suites, intra operative robotics and other specialty services, all supported by a pharmacy, comprehensive state-of-the-art imaging technology and other diagnostic capabilities Other area health care providers include: St. Joseph Regional Health Care Center, Baylor Scott and White Clinic, and The Physicians Centre. A - 2 TRANSPORTATION U.S. Highway 190/State Highway 21 links the City to Interstate 45 which is located approximately 35 miles to the east. State Highway 21 via U.S. Highway 290 also links the City to Austin, located approximately 110 miles to the west. State Highway 6 links the City to Waco (100 miles) and Interstate 35 to the north and Houston (90 miles) to the south. Also, State Highway 30 links the City to Huntsville (45 miles) and Interstate 45 to the east. Airlines Commercial, corporate and private airport facilities are provided by Easterwood Airport, which is located on the City’s west side and is owned and operated by Texas A&M University. American Eagle Airlines provides daily flights to and from Dallas-Fort Worth Airport out of Easterwood. United Airlines provides daily flights to and from Houston Bush Intercontinental Airport out of Easterwood. Coulter Field is located north of the City of Bryan and provides a 4,000 foot lighted runway. Coulter Field offers all types of services for the private aircraft. Bus Lines Two bus lines serve the City with daily service connecting the City with Houston and Dallas. Railroads Rail freight service is provided by the Union Pacific Railroad. Union Pacific Railroad operates a main freight line from Houston through Bryan-College Station to Dallas-Fort Worth and beyond. RECREATION The College Station park system presently includes 58 parks encompassing 1373 acres, including a 515 acre wilderness park, and a 150-acre regional athletic park. Collectively, these parks contain 66 playgrounds, 33 soccer fields, 26 basketball courts, 36 softball/baseball backstops, 14 tennis courts, 3 swimming pools, a spray park, a skate park, a gymnasium, an outdoor amphitheater with a green room and plaza area, 1 festival site and a number of picnic shelters and 7 picnic pavilions. The Parks and Recreation Department sponsors a variety of organized athletic and aquatic programs as well as many special events throughout the year. POPULATION 1970 1980 1990 2000 2010 City of College Station 17,676 37,272 52,456 67,890 93,857 Brazos County 57,978 93,588 121,862 152,415 194,851 Official U.S. Census(1) __________ (1)U.S. Census Bureau, American Community Survey ECONOMIC BACKGROUND Texas A&M University and System The City of College Station’s major asset is being the home of Texas A&M University (TAMU). TAMU is located on an approximately 5,200 acre campus within the City. TAMU has a significant economic impact on the City, contributing over $1.77 billion dollars annually to the local economy. TAMU has consistently ranked in the top 20 nationally among public institutions of higher education in both enrollment and research grants. TAMU's faculty-research members conduct an estimated $802 million worth of sponsored research projects each year, raking them in the top tier universities nationwide. In 2012, U.S. News and World Report ranked Texas A&M second in the nation among public universities in the “great school, great prices” category. Kiplinger’s 2013 “best value” ranks Texas A&M 1st in Texas and 18th among the nation’s top public colleges. Texas A&M ranks as the nation’s fifth largest university in enrollment, more than 59,000 students. Texas A&M ranks as one of the nation’s top 10 university for National Merit Scholars having over 400 National Merit Scholars enrolled. TAMU and its System, combined with its system agencies, employ more than 27,000 full-time and part-time staff. George Bush Presidential Library and Museum The City is the site of the George Bush Presidential Library and Museum, located on the campus of Texas A&M University. Texas A&M provides programs and facilities such as research and instructional programs related to the library and museum, a conference center, communications center, educational museum/library center, and family-oriented facilities such as a park surrounding the presidential library and museum. The Presidential Library and Museum is also part of the George Bush Presidential Library Center which is home to the prestigious Bush School of Government and Public Service. A - 3 One Health Plus Biocorridor College Station entered into an interlocal agreement for the One Health Plus Biocorridor with the City of Bryan. The 3,500 acre Biocorridor will be an international destination for education, research, development, commercialization and production of innovative technologies to improve global health. In March 2013, Texas A&M University announced a partnership with pharmaceutical giant GlaxoSmithKline to create $91 million influenza-manufacturing facility. The facility is expected to bring 7,000 jobs to the area. Medical District The City recently amended its Comprehensive Plan to include the College Station Medical District Master Plan. The Master Plan establishes guiding principles for the development of approximately 1,700 acres in south College Station to accommodate medical facilities, walkable village centers, commercial space, and a variety of residential unit types, all in close proximity to parks, open space, and trails. To ensure the long-term success of the District, the City has created two Tax Increment Reinvestment Zones to help fund the necessary infrastructure. The City is also in the process of establishing 2 Municipal Management Districts to be used as a tool for development of these areas as well. Athletics Athletics is an integral part of College Station. Texas A&M University, along with the City, hosts a multitude of athletic events. Texas A&M University is the home of Kyle Field, Reed Arena, Olsen Field at Bluebell Park, Aggie Softball Complex, George P. Mitchell Tennis Center and Gilliam Indoor Track Stadium. Several of Texas A&M teams have won both conference and national titles over the past five years which has positioned the University to host regional payoffs as well as national championship games. In the Fall of 2012, Texas A&M began playing in the Southeastern Conference. Texas A&M’s move to the SEC has proved positive for the City. At the end of the 2013 football season, the University began a $450 million renovation to Kyle Field making it the largest college stadium in the SEC and Texas with a seating capacity of 102,500. The stadium was completed prior to the 2015 season. The City’s sport complex’s as well as the ease to get around makes College Station attractive to several organizations. Over the past several years, the Amateur Softball Association and the Texas Amateur Athletic Federation have chosen College Station to host state tournaments and events. In addition, the City facilitates two major softball tournaments, a soccer tournament, a 7 on 7 flag football tournament and baseball tournaments throughout the year. The City has added 2 additional synthetic athletic fields at Veterans Park and Athletic Complex. This is anticipated to allow additional tournaments to be held in this area. MAJOR AREA EMPLOYERS Number of Firm Name Product Employees Texas A&M University and System Education/Research 17,000+ Bryan ISD Education 2000+ Texas A&M Health Science Center Education 2000+ College Station ISD Education 2000+ Reynolds & Reynolds Computer Hardware and Software 1800+ Blinn College - Bryan Campus Education 1000+ Sanderson Farms, Inc.Poultry Processing 1000+ CHI St. Joseph's Regional Hospital Health Service 1000+ Wal-Mart/Sam's Retail 1000+ HEB Grocery Retail 1000+ Brazos County Government 500-999 City of Bryan Government 500-999 City of College Station Government 500-999 College Station Medical Center Health Service 500-999 Ply Gem Windows Manufacturing 500-999 Baylor Scott & White Health Service 500-999 Source: Research Valley Partnership Employment is provided by a variety of high growth industries located in, or adjacent to, the City which include ambulatory health care services; professional, scientific, and technical services; specialty trade contractors; food manufacturing; administrative and support services as identified in the Local Employment Dynamics data. Additionally College Station is also home to the 350 acre Research Park, located on the Texas A&M University campus, which houses 30 public-private tenants including the Research Valley Partnership, Schlumberger, Texas A&M Transportation Institute, and Offshore Technology Research Center. The City also developed the 200-acre, Class “A” Business Center at College Station (BCCS), tenants of which include Reynolds and Reynolds Cognizant Technology Solution, Suddenlink Media, Stata Corporation, Heat Transfer Research, Inc. (HTRI), and the Texas A&M University System. In addition, the City has worked to develop a new Science Park at Research Valley, which currently houses Lynntech, Inc. and RBC Technologies. A - 5 LABOR STATISTICS College Station Labor Total Force Employment Unemployment Rate 2009 45,998 43,566 2,432 5.3% 2010 47,301 44,488 2,813 5.9% 2011 47,972 44,939 3,033 6.3% 2012 47,092 44,328 2,764 5.9% 2013 51,136 48,665 2,471 4.8% 2014 52,028 49,945 2,083 4.0% 2015 52,739 51,023 1,716 3.3% 2016 (1)54,546 52,930 1,616 3.0% Year Brazos County Labor Total Force Employment Unemployment Rate 2009 96,669 91,418 5,251 5.4% 2010 99,119 93,101 6,018 6.1% 2011 100,643 94,245 6,398 6.4% 2012 98,755 92,963 5,792 5.9% 2013 103,089 98,074 5,015 4.9% 2014 104,334 100,180 4,154 4.0% 2015 105,935 102,343 3,592 3.4% 2016 (1)109,636 106,168 3,468 3.2% Year Source: Texas Workforce Commission. (1) As of February 29, 2016 BUILDING PERMITS College Station has grown rapidly over the past 30 years as evidenced by an increase in population from 37,272 in 1980 to 93,857 in 2010. As of 2014, the estimated population of College Station was 100,394. The following table sets forth the number and value of construction permits issued by the City over the past several years. Residential Construction Commercial Construction Total Number Number Number of Permits Value of Permits Value of Permits Value 2007 990 161,466,990$413 74,683,795$1,403 236,150,785$ 2008 1,131 164,494,779 346 154,313,994 1,477 318,808,773 2009 792 82,316,558 243 46,947,099 1,035 129,263,657 2010 860 93,158,066 309 162,053,510 1,169 255,211,576 2011 971 124,132,135 359 123,779,052 1,330 247,911,187 2012 1,208 149,737,218 325 67,478,910 1,533 217,216,128 2013 1,030 145,142,757 333 67,516,132 1,363 212,658,889 2014 1,167 211,909,494 338 67,570,229 1,505 279,479,723 2015 1,687 206,336,883 294 78,209,095 1,981 284,545,978 (1) Calendar Year Source: The City. (1)Reflects January through December 2015. COUNTY CHARACTERISTICS Brazos County was created in 1841 from Robertson and Washington Counties. The economy is diversified primarily by agribusiness, computer manufacturing, research and development, and education. The Texas Almanac designates cattle, hogs, sorghums, corn, cotton, wheat, oats and pecans as the principal sources of agricultural income. The County had a 2010 population of 194,851, an increase of 27.8% since 2000. Minerals produced in the County include sand and gravel, lignite, gas and oil. APPENDIX B EXCERPTS FROM THE CITY OF COLLEGE STATION, TEXAS ANNUAL FINANCIAL REPORT For the Year Ended September 30, 2015 The information contained in this Appendix consists of excerpts from the City of College Station, Texas Annual Financial Report for the Year Ended September 30, 2015, and is not intended to be a complete statement of the City's financial condition. Reference is made to the complete Report for further information. APPENDIX C FORMS OF OPINIONS OF BOND COUNSEL 2016 Draft Debt Issue 2008 General Obligation Bonds Streets Proposed 4,000,000 Lakeway Drive Extension ST1101 20 Yrs 600,000 Traffic Signals (08 GOB)ST1027 20 Yrs Streets Total 4,600,000$ General Government 4,185,000 Library Expansion GG1010 20 Yrs General Gov't Total 4,185,000$ 2008 GOB Total 8,785,000$ Gen'l Gov't Certificates of Obligation Streets Proposed 200,000 Munson Street Rehabilitation ST1402 20 Yrs 735,000 Francis Drive Rehabilitation - Phase I ST1419 20 Yrs 595,000 Francis Drive Rehabilitation - Phase II ST1420 20 Yrs 3,050,000 Intelligent Transportation System Implementation ST1501 10 Yrs 4,100,000 Greens Prairie Tr fr 2154 thru Royder ST1504 20 Yrs 1,000,000 Cain/Deacon UP Railroad Crossing Switch ST1602 20 Yrs 655,000 Design of FM 2818 Capacity Improvements ST1603 20 Yrs 700,000 Rock Prairie Rd West - Wellborn Rd to City Limits ST1604 20 Yrs 800,000 Capstone & Barron Rd Alignment ST1605 20 Yrs 500,000 NH Safety Imp - Holik, Park Pl, Anna & Glade ST1606 20 Yrs 1,500,000 Holleman Drive South Widening ST1607 20 Yrs 515,000 Greens Prairie @ Arrington Intersection Imp ST1608 20 Yrs 2,700,000 Royder Road Expansion ST1611 20 Yrs Streets Total 17,050,000$ General Government 3,000,000 Police Station Design GG1604 20 Yrs General Gov't Total 3,000,000$ Governmental CO Subtotal 20,050,000$ 3/11/2016 8:39 2016 Draft Debt Issue 3/11/2016 8:39 Utility Certificates of Obligation Proposed 2,030,000 Well #9 20 Yrs 1,250,000 Well #9 Collection Line 20 Yrs 300,000 SH6 Water Line Ph I (SH40 to Venture Dr)20 Yrs 300,000 SH6 Water Line Ph II (Creagor Lane to SH40)20 Yrs 500,000 Munson Rehab 20 Yrs 1,345,000 Eastgate Rehab 20 Yrs - Cooling Tower Expansion 20 Yrs 1,200,000 Variable Frequency Drive Replacement 10 Yrs 720,000 Francis Rehab Ph I 20 Yrs 130,000 Francis Rehab Ph II 20 Yrs - Sweetwater Forest Line Extension 20 Yrs 125,000 Lakeway Water Line Extension 20 Yrs Water Projects 7,900,000$ Utility CO Subtotal 7,900,000$ Estimated Debt Issuance Costs 320,000$ Certificates of Obligation Total 28,270,000$ Total Debt Issue 37,055,000$