LAWTON — Lawton voters will decide the fate of a $60 million bond issue this fall.
The Lawton City Council voted unanimously July 11 to call for a municipal election on the proposition, which would extend the city’s ad valorem road improvement program for another 10 years.
If voters approve the proposition Sept. 12, the city will issue $60 million in general obligation bonds to finance a series of street and bridge improvements. Part of the money would be used to pay for acquiring rights-of-way and relocating utility lines.
The city would repay the bonds over 25 years with revenue from a new property tax, also known as an ad valorem tax. The new tax for road improvements would replace the existing tax when it expires.
The proposition would renew the city’s existing property tax for road improvements but would not result in a tax increase, said Councilman George Gill.
“This is just a continuation of a tax we already have to bring in additional monies,” he said.
Acting City Attorney Tim Wilson noted that the city is essentially asking voters to approve a new tax. However, he said the city will try to keep the mill levy as close to the current rate as possible.
“It is a tax, and we have to say it is a tax,” he said.