A successful citizen-led petition halted the Stephenville City Council’s plan to issue up to $22 million in Certificates of Obligation for infrastructure projects, forcing the city to seek voter approval if they want to move forward.
In addition to this discussion, the council also approved employee benefits, administrative services for a downtown revitalization grant and sidewalk improvements for West Tarleton Street, during its Tuesday, March 18 meeting.
A major focus of the meeting was the receipt of a petition protesting the issuance of Certificates of Obligation (COs), a form of municipal debt that allows cities to fund projects without voter approval. Due to the petition’s success, the city is now required to hold a public vote before issuing any COs related to road infrastructure, effectively stopping the council from proceeding with the $22 million plan as originally proposed.
The decision sparked debate among council members and citizens, with concerns over funding road repairs and city services. Councilmember Gerald Cook expressed frustration over the situation, emphasizing that the city still needs a way to address deteriorating roads.
“We either have a public vote,orwejusthavepotholes,” Cook said. “The streets are going to have to be fixed. The money has got to come from somewhere. It’s going to come from salaries or from other services, or it’s going to come from taxes. There’s no other way to do it. We can live with potholes, or we can fix the streets. 550 people have determined 22,000 people’s decision.”
On the other side of the debate, Keri Wallace, one of the citizens responsible for initiating the petition, defended the effort, arguing that the council was not transparent about how the money would be spent.
“This was an uninvited tax increase on the citizens. They were not transparent,” Wallace said. “They had three workshops, not on camera and there were no minutes on the website to know exactly what they were doing. There was no formal list of streets. They had a list of projects, but it was not in any priority order. To me, they were not planned or prepared.”
She further argued that the lack of a clear spending plan left too much discretion in the hands of the council.
“If the $22 million was issued, it was just under the name of infrastructure. They could pretty much have free rein over what they wanted to do with the money. They could build a new city hall, build new streets, or fix old streets, but it would have been at their discretion, with the citizens only having an opinion to be given.”
With the petition forcing a public vote on the matter, the city will now need to reevaluate its funding strategies for road repairs and other infrastructure needs.
Despite the heated debate over infrastructure funding, the council moved forward with several key approvals.
The council approved an administrative services agreement for the 2025-226 Texas Community Development Block Grant. The agreement designates Public Management, Inc. to assist with the grant application process and, if awarded, to oversee administrative services. If secured, the grant would provide funding for sidewalk rehabilitation, street improvements and other downtown infrastructure enhancements.
In another infrastructurefocused decision, the council approved a professional services agreement with Jacob and Martin, Inc. for the West Tarleton Street Sidewalk Improvements Project. This project, which spans from McIlhaney to Clinton, aims to enhance pedestrian accessibility and safety.
Lastly, the council approved new health insurance plans for city employees, ensuring continued coverage for the 2025-26 fiscal year.