In order for the City to proceed with the current bond financing plan, the existing bonds will need to be approved by the voters for refunding. Refunding the existing bonds and issuing new debt for the remaining amount will allow the City to issue the new bonds using the existing 1% sales tax.
If approved by voters, it will CONTINUE to authorize the tax to be used to repay bonds and provide funds for capital improvements.
This ballot measure MUST be approved by voters to move forward with any of the bond projects also being voted on by the citizens of Cabot.
This will NOT be a new tax. This will be an extension of the current 1% sales and use tax that was originally presented and approved in 2005, and extended in 2013 by voters.
Bonds of the City of Cabot in the maximum aggregate principal amount of $24,835,000 for the purpose of financing all or a portion of the costs of refunding the City's outstanding Sales and Use Tax Refunding and Improvement Bonds, Series 2013 and Sales and Use Tax Improvement Bonds, Series 2016, professional fees related to the foregoing, the establishment of reserves, and bond issuance and any credit enhancement costs, and, in order to pay the bonds, the levy and pledge of a 1% local sales and use tax within the City that will expire after the bonds have been paid or provision is made therefor in accordance with Arkansas statutes.
□ FOR the issuance of Refunding Bond
□ AGAINST the issuance of Refunding Bond