Frequently Asked Questions

A General Obligation bond, also known as a GO bond, is a debt mechanism that is repaid through the assessment of ad valorem taxes. Ad Valorem taxes are commonly referred to as property taxes. A GO bond must be approved by the voters through a bond referendum.

The Parks projects would cost about 0.3661 mills for every $1,000 of taxable value, which equals about $62.73 per year - a little over $5 per month based on the average assessed value.

The Roadway projects would cost about 0.3983 mills for every $1,000 of taxable value, which equals about $68.23 per year - less than $6 per month based on the average assessed value.

Combined, that's a total of $130.96 per year - approximately $11 per month - for the average home value. This represents the possible impact if the entire amount of bonds were issued at one time. In practice, the City would issue the bonds in two or more series at different times as projects are ready, meaning the actual cost to taxpayers would be spread out over several years - and the full amount may never be assessed if all authorized funds are not ultimately needed.

To determine your individual impact, you can take your taxable value (net of all exemptions), divide by 1,000, and multiply it by 0.3661 mills for Parks or 0.3983 mills for Roadways.

The financial information is based on estimates and assumptions. Actual costs, interest calculations, and amount of tax will not be final until the actual issuance of the debt and the tax millage are officially assessed. Borrowings will occur over several years, and the estimate of $130.96 per year is at full borrowing.

The purpose of the City of Homestead's proposed GO Bond is to finance the cost of various capital improvement projects such as:

• Roadway improvements
• Park improvements

Residents will vote on both types of proposed bonds during the General Election on November 4th, 2025. The vote could result in either one, none, or both bonds being approved.

The proposed bond proceeds amount shall not exceed $76 million if both referenda are passed. The total estimated interest cost, if issued together at one time, would be approximately $68.6 million over the 30 year span (assuming current market rates).

The City would need to seek guidance from the bond counsel and City staff to prepare the necessary legal and financial documents to sell the bonds in the municipal bond market. Additionally, the projects would need to be designed and prepared to be built.

Based on feedback from City of Homestead residents and business owners through community forums, Mayor and Council, and City Administrators, the Proposed GO Bond has two areas of focus:

• Roadway Improvements
• Parks and Recreation

The project list includes, but is not limited to, the identified parks and roadway improvements - funds may also be used for other related projects that support these areas, with final allocations subject to City Council approval.

Roadway Improvements

Some of the projects are as follows:

Park Improvements

The City held a series of public input sessions in preparation of the Strategic Plan. All public input and information sharing sessions were hosted by City Administration to garner direct feedback from residents about desired neighborhood improvements. Projects were selected based on staff recommendations, public input received during several community forums, and City Council approval.

No. Bond proceeds cannot be used to pay day-to-day operating cost. The proceeds can only be used on the approved capital projects indicated in the bond referendum questions.

The bonds will not exceed 30 years beyond the date of final issuance. If the bonds are issued in separate series, each series would not exceed thirty years from such series date of issuance. If series one was issued in 2026, the bonds would have a final maturity not to exceed 2056, and if the second series of bonds were issued in 2028, those bonds would have a final maturity not to exceed 2058.

The bond proceeds are anticipated to be issued in several series over multiple years rather than all at once. This means the City would only borrow the amount needed as specific projects are ready to begin, instead of taking on the full cost upfront. By structuring the bonds this way, the impact on taxpayers is phased in gradually. Taxes would increase incrementally based on the amount issued at the time of each series, rather than reflecting the full cost from the start.

If City of Homestead residents vote to pass the proposed bond, City Administration will establish a Parks Bond Advisory Committee and a separate Roadway Bond Advisory Committee, made up of City of Homestead residents with support from City staff. The advisory committees will monitor and review implementation of the projects, to further the City's efforts toward transparency.

Bond funds must be spent within a set timeframe to ensure projects move forward on a steady schedule and that the community sees the benefits as quickly as possible.

Yes, all property owners are subject to ad valorem taxes.

No, the bond will be a supplement to other funding sources that may include developer contributions, grants, and other state and federal appropriations.