Bond issue to fund several Haysville projects

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By Nancy D. Borst
TSnews

The Haysville City Council on Monday formalized the sale of more than $2 million in general obligation bonds that will pay for several community improvements, including the city’s new rotary press sewer plant.
Financial advisor Bret Shogren of Stifel, Nicolaus & Company said the city received six bids for the bonds, with the low bid submitted by Country Club Bank, at an interest rate of 1.4 percent. In addition, the bank bid a premium of $82,000, which lowered the total amount of the issuance from $2,460,000 to $2,365,000.
These bonds will pay for recent improvements to the city’s police department and senior center. They also will finance paving, drainage, sewer and water line improvements for Phase 2 of Timber Creek Estates. And the city exercised its charter ordinance option to include the nearly $1 million cost of the rotary press in the bond issue. The bond sale is expected to close on Oct. 1.
The council also approved the city’s application for a Community Development Block Grant to help fund curb/gutter, street and drainage improvements in the Sunset Fields area. Mayor Bruce Armstrong said this is the only area of the city that met the low to moderate income requirement of CDBG grants.
The city tried for a grant last year but just barely missed being awarded funds. The city reached out to the Kansas Department of Commerce to see how it could improve its application this year and was encouraged to try again. The application was modified to reflect KDOC guidance.
The request is for $342,000. That is the maximum allowance of $2,000 for each of the 171 people considered beneficiaries of the project (residents in the area). The city plans to pay the remaining project costs of $601,995 if the project is funded. The application is due in October with awards to be announced in January 2021.
Chief administrative officer Will Black reported that the city has received a check for $118,349 from Sedgwick County, which constitutes half of the money the city has been awarded by the county from the CARES Act. The city will continue to submit required paperwork to receive the remaining funds (totaling $236,698), which will be used to pay or reimburse necessary expenditures incurred due to the COVID-19 pandemic.
In other business, the council:
• Approved a policy for the new Haysville Hustle transportation service. The service is expected to begin in October and will run from 8 a.m. to 4:30 p.m. Monday through Friday.
• Approved hiring Ranson Financial to administer the CDBG-CV grant of $132,000 for small businesses with low to moderate income employees affected by the pandemic. The cost to hire Ranson is $12,000.
• Approved the appointment of Angela Millspaugh as city clerk.