The Salina City Commission approved the sale of general obligation bonds to finance several public infrastructure projects, including road work connected to the new Amazon facility, multiple residential subdivision projects and financing tied to the new fire station.

The bond sale followed earlier commission action authorizing the city to offer the bonds for public sale. The projects are part of the city’s broader capital financing plan and include a combination of property-tax-supported debt and special-assessment-supported projects.

According to city documents, the projects included in the bond financing are Fire Station No. 4, Airport Industrial Center No. 3 Phase 1, Cedar Point, Lakeview Estates No. 2 Phase 2, Liberty Addition No. 3, Stone Lake Phase 3b and Overlook Estates.

During the bond bid report, city representatives said the projects being financed included six benefit district projects. One involves road work tied to the new Amazon facility, while five others involve residential subdivision projects. The bond package also includes financing connected to the new fire station.

The city received six bids for the bonds. David Atterbury with Stifel Nicolaus presented the bid report and said FHN Financial Capital Markets, based in Memphis, submitted the best bid with the lowest true interest cost at 3.863334%.

Atterbury said the bid was verified as mathematically correct, met the required bidding parameters and included the required 2% good-faith deposit.

The bond issue was resized following the bid process. City officials said the amount changed from the earlier figure of $12.66 million to $12.595 million because the winning bid included a premium. The premium allows the city to receive the net funding amount needed while issuing a slightly lower principal amount of bonds.

City staff also reported that Moody’s Ratings confirmed Salina’s Aa3 credit rating on June 3, 2026, as part of the bond process. The report cited Salina’s continued role as the regional economic hub of north-central Kansas, conservative budgeting and strong tax revenues.

The May bond packet estimated the original project funding total at $14.725 million, including estimated cost of issuance. Fire Station No. 4 represented the largest listed project amount at approximately $5.12 million. Airport Industrial Center No. 3 Phase 1 was listed at approximately $4.72 million.

The residential subdivision projects listed in the city packet included Cedar Point, Lakeview Estates No. 2 Phase 2, Liberty Addition No. 3, Stone Lake Phase 3b and Overlook Estates.

The city packet stated that debt payments for the financed projects would be supported through a combination of property taxes and special assessments. Fire Station No. 4 is listed as property-tax-supported, while the Airport Industrial Center and subdivision projects are listed as special-assessment-supported.

General obligation bonds are a form of municipal borrowing backed by the city’s taxing authority. Cities commonly use them to finance public improvements and spread repayment over time rather than paying the full project cost upfront.

City documents estimated a 20-year repayment term for the listed projects. The packet also noted that the city’s current debt-service payments are supported by taxes, special assessments and enterprise fund revenues.

City staff previously said the current debt service fund mill levy was 6.107 and that staff did not believe the addition of the 2026 debt would change the current mill levy, unless variables such as future debt issuance, other tax collections, debt service fund balance or interest rates fluctuate.

The approved bond sale moves financing forward for several projects tied to public safety, industrial development and residential growth in Salina.