BOND PACKAGE AND TAX RATE INFORMATION
PROPOSITION A (Bond Package) APPROVED – MAY 2018
About the Election
On May 5, 2018, voters in the Port Freeport Navigation District approved Proposition A, a $130 million bond package, which will support the Freeport Harbor Channel Project to deepen the channel from its current depth of 46 feet to a maximum level of 56 feet mean lower low water at its deepest point.
The package can be accomplished without an increase in the Port’s total tax rate $0.0401.
This project, when complete, will allow larger ships to access the port. This is expected to increase the Port’s capacity and its customer base, enabling the Port to market itself to a wider range of global vessels and potentially attract new liner services.
The estimated construction cost of the Freeport Harbor Channel Improvement Project is $295 million. More than half of this project is expected to be paid for with federal funds.
Proposition language is below.
PORT FREEPORT – PROPOSITION A
“THE ISSUANCE OF $130,000,000 OF BONDS FOR THE PURPOSE OF IMPROVING, CONSTRUCTING, OR DEVELOPING THE FREEPORT HARBOR CHANNEL IMPROVEMENT PROJECT, AND THE LEVYING OF THE TAX IN PAYMENT THEREOF”
General Obligation Bond Issuances
Bonds for the Freeport Harbor Channel Improvement Project will be issued over several years in multiple seres as work on the channel progresses. The phased issuance enables the Port Commission to manage the tax rate at its current level.
Current Bond Issuances:
June 2019 – $35 million of the $130 million bond package for the Freeport Harbor Channel Improvement Project were issued in June 2019. Project dredging of first segment will commence in 2020.