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Fire Station 2’s future could depend on general election ballot measures

Kingman Fire Department Station No. 2’s construction could depend on the result of the general election ballot measures. (Daily Miner file photo)

Kingman Fire Department Station No. 2’s construction could depend on the result of the general election ballot measures. (Daily Miner file photo)

KINGMAN – Tina Moline, City finance director, provided Council on Tuesday with a financial update for Fire Station 2, construction of which could depend on outcomes of general election ballot measures.

Moline explained that a project like the fire station is comprised of two parts, construction and financing. She said typically, financing is addressed at the same time a construction bid is awarded. Initial discussions with CORE Construction have begun for the work.

Kingman Fire Chief Jake Rhoades has said the department hoped to break ground on the $4.5 million station as early as this month, with a live-in date of December 2019. Those monies were allocated from the capital fund for Fiscal Year 2018-2019.

However, Moline told Council the City has delayed the financial process.

“And we have delayed that process, although we have spoken with our bond attorneys and we are moving forward, we have delayed that process for two reasons,” she said. “And probably the biggest reason is that we have two ballot measures on the Nov. 6 ballot that are going to impact whether or not we as staff feel that we should recommend to commit the monies for financing the fire station until we know the outcome of each of those.”

Those two ballot measures are for the Transaction Privilege Tax and Home Rule Option.

“The other reason is because of those two particular ballot measures, banks are not probably going to bid or give us very good terms knowing those disclosure events,” Moline said.

However, the City continues to move forward on the project and will bring a resolution to Council at its next meeting.

“Basically pledging our excise taxes for whatever that certain dollar amount is to take to banks using our placement agent firm … who will issue terms and information packages to interested banks who want to bid on it knowing those event disclosures.”

But she said the City would not review those bids until they know the outcome of the ballot measures. Councilwoman Jamie Scott Stehly inquired as to whether the project would progress should the TPT ballot measure pass.

“Our recommendation will be to reevaluate all the capital projects that are currently budgeted, because we will have to reevaluate priorities,” said City Manager Ron Foggin.