Debt Obligation Transparency Commitment
The City of Corpus Christi is committed to financial transparency and accountability. Through its “Transparency Star” program, the Texas Comptroller of Public Accounts recognizes local governments across Texas for going above and beyond in their transparency efforts. This is accomplished by providing citizens with clear and meaningful financial information not only by posting financial documents, but also through summaries, visualizations, downloadable data, and other relevant information.
The City of Corpus Christi is dedicated to increasing our financial transparency in regards to Debt Obligations.
City of Corpus Christi Debt Information
The City of Corpus Christi issues a variety of long-term debt instruments in order to acquire and/or construct major capital facilities and equipment for governmental and business-type activities. These instruments include general obligation bonds, certificates of obligation, tax notes payable, revenues bonds, and capital leases.
General Obligation Bonds
General Obligation Bonds are direct obligations with the City’s full faith and credit pledged toward the payment of these obligations and are issued upon approval by the public via an election to finance projects with benefits that accrue to the entire community. Debt service payments are primarily paid from ad valorem (property) taxes.
Certificates of Obligation
Certificates of Obligation are generally secured by a combination of ad valorem taxes and revenues from a source that the City is authorized by State law to encumber for a public purpose. Voter approval is not required; however, additional notification and public hearing requirements may apply.
Tax Notes are secured by ad valorem taxes and may be issued to finance construction of public works, purchase of equipment, materials, buildings or land, and to pay for certain professional services. State law limits the term to a maximum of seven years.
Bonds are payable from the pledged revenue generated by the respective activity for which the bonds are issued.
Corpus Christi Business and Job Development Corporation (CCBJDC) is a blended component unit of the City. Its Sales Tax Revenue Bonds are secured by a pledge of dedicated sales taxes and financed major repairs to the Seawall System and an arena.
North Padre Island Development Corporation (NPID) is a blended component unit of the City. Its Contract Revenue Bonds are secured by a pledge on the ad valorem tax increment revenues within Tax Increment Financing Zone #2 and financed the construction of Packery Channel and related amenities.
Combined Utility System Revenue Bonds are secured by a pledge of Utility System revenues and are used to finance acquisition and construction of equipment, improvements and infrastructure necessary to provide Water, Wastewater, Storm Water and Gas services.
Marina System Revenue Bonds are secured by Marina System revenues and are used to finance improvements to the City Marina.
Lease-Purchase Financing Agreements
Lease-Purchase Financing Agreements are used to finance the purchase of capital equipment. The Lessor retains a security interest in the leased property until termination of the lease.
Total Outstanding Debt Obligations as of September 30, 2019
City of Corpus Christi: Inflation-Adjusted Tax-Supported Debt Per Capita, Fiscal 2015-2019 (2019 Dollars)
City of Corpus Christi: Tax-Supported and Revenue-Supported Debt, Fiscal 2018-2019 (in Millions)