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On November 5, 2024, Sugar Land voters approved five general obligation bond propositions totaling $350 million. These projects are expected to be completed or under construction in the next five to seven years. These investments will strengthen public safety, reconstruct streets, repair sidewalks, enhance mobility, improve drainage systems, modernize municipal facilities, and build a new animal shelter.
About the 2024 Bond Propositions
The bonds will require a tax rate increase of no more than 5 cents, spread out over the next five to seven years. This will initially cost the average homeowner with a home valued at about $500,000 approximately $5 per month. This cost will increase annually, and by 2030, the monthly cost could rise to about $20 per month, excluding the impacts of property revaluation.
The City is committed to full transparency and accountability in carrying out approved bond projects. Explore each proposition section below to see project details and latest progress updates.
Check out the Bond Project Tracker Dashboard
The Bond Project Tracker offers real-time project status updates, budget breakdowns, key project details, and more.
Learn more about project phases
Every project goes through a series of phases to ensure careful planning, transparency, and successful completion.
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Fill out our online feedback form to send us your bond related questions and comments.
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Questions and Answers
- What is a General Obligation Bond?
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General Obligation bonds are debt instruments issued by states and city governments to finance large capital improvements. Bonds are sold to investors and the proceeds from the sales of these bonds are used to pay for major capital investments that have a public purpose—in previous Sugar Land Bond programs, these funds have been used to address drainage, parks, mobility and public safety projects.
Bond elections provide voters the opportunity to have a say in which projects they are willing to support through the approval of bond propositions to authorize funding for each type of project on the ballot.
- What is the tax impact of the bond?
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The bonds will require a tax rate increase of no more than 5 cents, spread out over the next five to seven years.
This will initially cost the average homeowner with a home valued at about $500,000 approximately $5 per month. This cost will increase annually, and by 2030, the monthly cost could rise to about $20 per month, excluding the impacts of property revaluation.
Tax Impact Calculator
This Property Tax Impact Calculator is provided as a general information tool to help you estimate the potential impact of tax increases due to the bond based on the values you enter. Please note that the calculator does not account for individual property revaluation, additional tax exemptions, or other factors that may affect your individual tax impact.
- What are the assumptions in value growth?
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Considering current and historical growth of values, estimates assume a 5% value growth in 2025 (which corresponds to Fiscal Year 2026) and 3% annually afterward. Individual property revaluation will vary.
- Why did the City include $50 million in the total bond cost to account for inflation?
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Voter approved projects are anticipated to be completed or under construction in the next five to seven years. As inflation increases, the value of a dollar today will be lower to when the funds are needed to cover project costs.
Since the projects cannot all be completed at once, without adjusting for inflation, project costs can become outdated and insufficient. Adjusting for inflation allows the City to plan for costs based on when voter approved projects are anticipated to begin, and complete projects without significant shortfalls and as scheduled.
- How did the City determine the 50 million dollars that account for inflation on the bond? What is the inflation rate being calculated into it?
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Project estimates totaled around $300 million in 2024 dollars. To account for inflation, the estimates were increased by 4% per year based on project timelines and debt capacity, adding approximately $50 million.
- Since bonds were approved by voters, is the City going to raise the value of my home?
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The City does not set the value of your home. The Fort Bend County Appraisal District is the entity that sets your property’s valuation amount based on market values.
- What interest rate will we have to pay? For how long?
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The interest rate is set by the bond market at the time bonds are issued. The City's interest rate is among the lowest available for municipal bonds. Sugar Land typically issues bonds based on a 20-year maturity schedule, with at least half of the principal paying off in the first 10 years. This aggressive repayment schedule would also minimize the interest cost that must be repaid.
- How were bond projects selected?
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Bond projects were identified through years of public feedback including the most recent Citizen Satisfaction Survey, sentiment surveys and community meetings - as well as various master plans and City Council input.
- The Citizen Satisfaction Survey measures and assesses citizen satisfaction with the delivery of major City services and helps set community priorities for improved services and long-range planning.
- Community meetings provide opportunities for direct interaction between City officials and staff and residents.
- Sugar Land’s various master plans are documents that present the long-range goals and objectives for all activities that affect our City.
- How will the City ensure there is accountability in carrying out approved bond projects including project budgets?
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The City is committed to full transparency and accountability in carrying out approved bond projects. Regular updates on project progress, timelines, and the use of bond funds will be available on the City's website.
One example of is the online dashboard created to track American Rescue Plan Act (“ARPA”) funds. The dashboard provides a clear overview of each project's budget, showing the amount spent versus the remaining funds, providing a clear and transparent view of the financial expenditures for every project. All projects funded from the bonds will be trackable through a similar dashboard once funding is appropriated by City Council each fiscal year.
- Why would a bond election be the way to pay for these projects rather than paying for them as we go?
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The City issues bonds to finance projects that will benefit the City for decades, allowing the cost to be spread across the useful life of the project. It would take many years to accumulate enough funding to pay for these projects as we go- during that time the projects don’t get built.
History has shown that construction inflation far outpaces interest costs and are not fixed as the interest will be on bonds.
- Can bond funds be used for any other purpose?
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No. Texas law requires that the proceeds of voter approved bonds be used only for projects described in the ballot questions.
- How are funds repaid that are received through the issuance of General Obligation Bonds?
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Property taxes are the main source of funds used to repay bonds issued through a General Obligation bond. General Obligation bonds are backed by the full faith and credit of the issuing jurisdiction, in this case the City of Sugar Land. This means the City is obligated to pay back the bonds plus interest by pledging revenue from ad valorem taxes. The City levies a property tax annually with a portion of the tax rate dedicated to the interest & sinking fund to repay general obligation bonds in the form of annual principal and interest payments.