SIOUX FALLS S.D. (KELO) — The date when Sioux Falls city councilors will vote on the proposed aquatics and recreation bond is drawing closer.
The $68 million bond would upgrade Frank Olson and Kuehn Parks and a westside recreation center. Five percent of that is for flexibility purposes. The ordinance would authorize the city to issue bonds backed and repaid by the City’s existing 2nd penny sales tax.
The council is set to host their first reading of the ordinance on January 7 with the second reading scheduled to be held the next week on January 14.
Originally, the plan was to vote on what was then a $77 million bond back in May of 2024, but that vote was postponed three times, first to consider fee structures, and then again to await the results of the 2024 election and the fate of a failed ballot measure that aimed to cut certain taxes in the state. Councilors delayed the vote again back in December, saying the reason for the delay was so they could determine every option.
Councilors said the bond cost will be backed by existing sales tax revenues, meaning taxpayers won’t see any changes to their current taxes.
According to a report from Director of Finance and Innovation and Technology, Shawn Pritchett they have made several changes to the ordinance where he noted the following changes:
- All language related to utilizing proceeds for the purchase of the Westside
Recreation Center has been removed. - The amount of the bond proceeds to be utilized for construction was
reduced from $77M to $68M - The parameters around the amount that can be expended for the Frank
Olson vs. Kuehn Park projects were reduced from a 10% variation to a 5%
variation.
According to the report, the bonds will be issued in two series, both of which are approved as part of this single bond ordinance. The intent is that the first series (Series A) will be issued for the design and architecture services related to both the Frank Olson and Kuehn Park
projects.
The second series (Series B) would occur once the designs have been approved through Council Resolution and effective, we would then issue the Series B bonds for Frank Olson construction.
