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Foundation for the Future
To effectively and responsibly plan and budget for future infrastructure improvements, the city adopts a multi-year Capital Improvement Plan (CIP) to identify current and future needs.
As the city approached its centennial anniversary in 2024, the City Council and staff began planning for various infrastructure improvements, some of which dated back to the 1940s. In 2022, the City Council took the initial step in this process by issuing Certificates of Obligation (COs) to fund several major capital projects, including upgrades to streets, drainage systems, facilities, and water/sewer infrastructure.
In September 2025, the City Council authorized a Notice of Intent to issue new COs to continue the work that began in 2022, as well as begin the next phase of infrastructure improvements. The 2025 total bond proceeds will be approximately $10.76 million.
2025 Notice of Intent to Issue COs
Through successful strategic planning with the City's CIP, West U has been able to invest in the city's essential infrastructure while still allowing the city to offer one of the lowest property tax rates in Harris County.
The graphs below illustrate the city's historical and current annual debt payments, and the projected effects of the 2025 issuance over the next five years. These projections do not account for future debt issuances.
- A Certificate of Obligation is a bond that municipalities can use to fund certain long-term expenditures. They work similarly to your home mortgage, through which you finance a large purchase over time.
- Certificates of Obligation can be supported by ad valorem taxes or other local revenues (such as water & sewer rates).
- Certificates of Obligation can be used by local governments to fund large infrastructure projects that require long-term debt, during an emergency such as a natural disaster or threat to public health, or the immediate need to comply with state or federal regulation, rule, or law.
- A Capital Improvement Plan (CIP) is a multi-year plan of capital projects that systematically plans, schedules, manages, and monitors financing of current and upcoming infrastructure improvements.
- The first year of the plan is incorporated into the city’s annual budget, while subsequent years are only approved on a planning basis and do not receive expenditure appropriation.
- Recently, the city expanded its CIP from a 5-year plan to a 10-year plan to extend planning and prioritization of city assets.