Citizens For Missouri City's Future

Quail Valley Acquisition Feasibility Report

Story summary:

• Group overwhelmingly endorses recommendation to acquire the Quail Valley Properties
• Negotiations with owner began January 29
• The purchase will keep our city fiscally sound and appealing
• Great places to live have common open space in higher percentages than other communities
• The committee reports are "Wish Lists" which we have control to act on over time
• The main effort is to acquire the property so that it doesn't deteriorate further

    Committees and citizens met at the Missouri City Community Center for the Quail Valley Country Club Acquisition Summary of Committee Reports tonight. It was a busy night for City leaders as they had just dedicated the new $3 million fire station at Fondren Park. Besides the homes, commercial growth is quickening in that area (see map in Poised for Growth), and we're now better prepared to serve the safety needs of that part of the city.

One rumor the Mayor wanted to quash was that our property taxes have gone up five cents. They have gone up  one-half penny (.5 cent) and that is based on a cushion of our 2003 bond issue that we have never completely used. Our bond rating is very high: that is particularly significant in today's troubled financial markets.

The bottom line  of  the Acquisition,  is that if our homes continue to lose value (which quit growing in 2004) because of the instability of the Quail Valley Properties, we'll have to have a tax increase equal to what it would take to acquire the properties if we wish to continue current levels of City services.

So, it's a possible 2 cent tax increase ($32 per year on a $160,000 home) and get an amenity for the city.  Or it's the same possible 2 cent  tax increase (estimated loss for one year conservatively is $703,000). Moreover, we would get nothing except 400  acres  of neglected open space that was once beautiful.

As Mayor Owen  said, "The summary of the committee's reports are a wish list, but one we can control and act on over time. The high priority is to acquire the property and not let it deteriorate further. Our proceedings may have seemed slow to you, because we have not used the big hammer the city has. We have listened to our citizens, did studies and worked in good faith.

Council and I live here. It's our money too.

The City staff is non-political and has put together a report. The City just put bonds on the open market with high ratings because we are fiscally responsible and plan. There are no slush funds and our city finances and records are an open book."

The Tennis Center figures into the mix as well (different owner). Redevelopment in that area won't occur without renovating that property. We did not get the grant we applied to separately purchase the center. We will continue seeking grants because ARC (Association for Retarded Citizens) will move into the old Kelsey Seybold facility when Lowe's finalizes their purchase of the corner of Hiway 6 and 1092, March 25, 2008.

City Manager Frank Simpson gave a summary of the report (which is attached below).

The City staff prepared a graphic to show the loss of open space in Missouri City from 1968 to present. It was dramatic, but equally dramatic was a comparison with best places to live. Currently  Missouri City has  8%  of its acres in parks. This compares with 33% for The Woodlands, for example. The acquisition of Quail Valley Properties would bring our total to 10%. With Sugar Land only having 6% in parks (they have been trying to catch up), we'd have another differentiating factor besides our location and access to major freeway arteries and alternate routes to Southwest Freeway.

Committees recommended need for community facility and to re-furbish El Dorado course first since it is closed and work on La Quinta next. The Executive 9 and Par 3 are more open ended on uses.

Negotiations started with Quail Valley Country Club today. They will remain closed until concluded.

The report summary of committee reports or wish lists is below. We already have a place saver for the graphic the City prepared and our group was credited with requesting the City to prepare that information. They did a great job.

The sea of hands endorsing the report was impressive.

Download MoCityQVexecsummary.pdf

Senator Janek to Resign

Our Missouri City State Senator Kyle Janek will resign his Senate seat March 10. Senator Janek helped Missouri City and others pass HB3232. He was articulate in our cause.

To read more of the resignation story, press here.

Missouri City's Bond Rating Praised

MISSOURI CITY’S BOND RATING TIED TO SOLID TAX BASE GROWTH, SOUND FINANCIAL OPERATIONS & MODERATE DEBT PROFILE—years of conservative practices cited 

The sale this week of $5.7 million of general obligation bonds and $2.3 million certificates of obligation illustrated the City of Missouri City’s strong fiscal management.   Moody’s Investors Service assigned a Aa3 rating to the sale and noted that:  

        “The rating reflects the City’s continuing trend of solid tax base growth, sound financial operations and moderate debt profile.  The rating assignment also considers the City’s favorable socioeconomic profile, and proximity to the employment centers in the City of Houston, and future debt issuance plans.  Proceeds from the bonds will be used to fund the purchase of a fire truck; improve streets and traffic signals; and construct parks and recreation trails.” 

Proceeds from the certificates of obligation are intended to be used for new and expanded city facilities.  “Roadway construction costs have increased by 62% over the past 5 years.  Consequently, deferred projects cost more which also affects other projects,” explains City Manager Frank Simpson, “and these funds will meet those increased cost needs.”  

Simpson also adds that the City has kept a fairly level tax rate. “In fact, our operations and maintenance expenditures, which fund the police department, streets, drainage, and parks, is the lowest it has been since 1988,” he said.  He also explained that the recent half penny tax rate increase had been calculated as part of the voters’ passage of the bond election in 2003. “As we grow we issue debt, we do not overburden it,” said Simpson.  

He also shared information from a recent debt per capita study about Missouri City’s exceptional standing among 16 cities of comparable size.  Missouri City’s ranking is the lowest of all the 16 cities of similar size with its debt at $875 per capita. 

“The bond ratings and the interest in the bond sale is a meter of our financial strength and stability, said Mayor Allen Owen, adding that “it’s something that we take pride in when we do this on behalf of our residents.” 

The three bond ratings recently acquired by the City of Missouri City include: 

Moody’s Investor Service          Aa3 

Standard and Poor                   A +/Stable 

Fitch Ratings                          A + 

Missouri City’s managed growth, financial flexibility and conservative revenue estimates were praised by all the rating agencies which position Missouri City well in today’s market. 

Missouri City Economic Development

The latest on economic development was announced by Bob Graf, Missouri City Economic Development:

• A new senior living project to be called Sunrise Senior Living of Missouri City is being proposed on 4.9 acres in the Brazos Lakes project being developed by Johnson Development.

• Stream Realty Partners have now contracted for 32 acres located on Gessner, in Beltway Crossing, just north of the Ben E. Keith site to build large distribution warehouses.

• Spring Creek Barbecue is a proposed tenant for one of the pad sites at the Colonial Lakes Village at Hwy 6 and Colonial Lakes.

• A new day care center is being proposed on 2.2 acres on Knights Ct. next to Christian Brothers Automotive.

• LEM Construction is looking at purchasing a site and constructing a building on North Gardens.

• A developer is looking at constructing some age-restricted apartments on the only site we have zoned for Multi-Family on Beltway 8, north of Gessner.

• A developer has the 7.5 acres tract at the intersection of Hampton and FM 1092 under contract for future development.

• It is our understanding that Lowe's have given their go-ahead to build a new center on the site of the old Memorial Hermann Hospital.

• The owners of Joshtom Millwork have purchased a 1.5 acre tract on North Gardens and plan to construct a 20,000 sf building for their millwork business.

• The new Mexican Bar BQ restaurant, next to the new Courts and Emergency Operations building, called Pacos has open for business

• The Nyonya House Malaysian restaurant has moved from Sugar Land to Missouri City to the site of the former Bohot Mongolian Grill.

• A developer is interested in creating an International Village retail and office complex on the land Johnson Development owns on Hwy 6 just south of Glenn Lakes.