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Municipal bond underwriters face pro-gun test in Texas
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Panda Biotech closes sale on old Delphi building
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El Paso City Council is considering issuing another round of non-voter approved debt, also known as certificates of obligation, for city infrastructure, quality of life projects and other municipal purposes.
At $96 million, these certificates of obligation could be issued to pay for streets, parks and the Mexican American Cultural Center.
Certificates of obligation are tools local governments can use, without voter approval, to pay for public construction projects. Funding for certificates of obligation comes from property tax revenues or other taxable revenues.
The certificates of obligation are part of a larger budget package as city officials prepare a budget over $1 billion for the 2022 fiscal year.
Valor Club project, place of healing and transition for veterans, inches closer to breaking ground
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So now they re at the end of the line, Backiel said.
Backiel said it s not impossible for Panda to get its money this year. However, it s highly, very unlikely, Backiel said.
The bond approvals are granted on a lottery system, with housing applications taking priority over projects such as the hemp facility. Backiel said if Panda does not get approved by Aug. 15, the company could apply again in 2022.
Panda received an incentive package from the city of Wichita Falls on the promise of creating jobs. Equipment said to be in the Delphi building was put up for collateral.
In February, Panda asked for, and received, a change in the agreement to secure a $1-million, non-forgivable loan until it sold bonds on the $100 million-dollar deal it anticipated getting from the state.