CITIZENS SUE CITY TO STOP $11 MILLION CO ISSUE

By Juan Montoya

Eight Brownsville residents have filed a lawsuit against the City of Brownsville and the city commissioners asking a court to stop them from issuing more than $11 million in certificates of obligation for a number of municipal improvements without first getting voter approval.
The lawsuit was filed in the 138th District Court presided by Judge Arturo C. Nelson early Monday morning. The plaintiffs in the case are William De la O, Robert H. Carey, Roberto Uresti, Dagoberto Barrera, Argelia Miller, Tere Flores, Moses Sorola, and Robert "Captain Bob" Sanchez.
Aside from the city, Mayor Patrico Ahumada, and commissioners Amthony P. Troiani, Rose M. Z. Gowen, Edward C. Camariallo, Ricardo Longoria, Jr., Melissa Zamora, and Charles Atkinson are named as defendants.
The lawsuit contends that the defendants acting in their official capacity have advertised their intent to issue (time warrants) certificates of obligation in violation of the city charter that prohibits their issuance in Articel IV Finance, Section 3, where it states that "no time warrants shall be issued by the governing body of the city except in cases of public calamity."
The city has already approved at first reading an ordinance approving the issuance of more than $11 million in COs on Aug. 10.
The plaintiffs contend that since the COs are "bonds issued without voter approval and therefore time warrants," the charter prohibits the city from such action without voter approval.
Further, the plaintiffs contend that local taxpayers have standing to enjoin the illegal expenditure of public funds, and need not demonstrate a particularized injury. They ask the court to grant them a declaratory judgement.
They also ask the court to issue a restraining order to prevent the future issuance of COs without going to the voters for their approval.
The City of Brownsville first announced that it was issuing about $19 million in certificates of obligation to fund street improvements, drainage, landfill improvements and Sports Park amenities.
That was whittled down to a little over $9 million, then to $5 million.
When the commissioners said they would issue $5.25 for city projects and another $3.13 for the Sports Park in separate issuances, it triggered a petition drive headed by Sorola to stop the commission from issuing them without voter approval.
But since the city changed to the amount to $5.25 million, it caused the petition drive to stop because the wording on the petition protesting the original issuance would have been incorrect. Once the city announced that it would seek $11 million, that action triggered the lawsuit.
Sanchez, Sorola, and De la O, also participated in filing a successful lawsuit against the city last year to stop the commissioners from continuing to receive benefits not specifically contained in the city charter.
District Judge Janet Leal said commissioners were not entitled to free health or life insurance coverage, a $300 monthly car-allowance stipend and unrestricted use of cell phones. She said that commissioners could receive cell phones and the car allowance only if they could document that they were on city business.