Commission approves 3.95% lease to finance new fire truck after debate over local bank

The Atchison City Commission voted 3–2 to accept a 3.95% lease financing bid from First State Bank & Trust for the new fire truck, approving resolution number 34‑11.

City Manager Mark Westhoff told the commission the city received six bids for the financing, with interest rates between 3.95% and 5.55%, and that staff recommended the low bid under the city’s procurement policy. "The low bid is 3.95 percent First State Bank and Trust," Westhoff said.

The commission debate centered on whether to favor the lowest-cost bidder or to support a local lender. One commissioner argued for backing Exchange Bank and Trust because of the institution’s local tax contributions and community support; another commissioner said the city could not justify paying roughly $700 a year more to favor a local bank over the low bidder. After discussion, the motion to accept the First State Bank and Trust bid was moved, seconded and carried on a 3–2 vote.

Westhoff noted none of the bids included prepayment penalties and that the city intends to pay the lease off in five years rather than the longer term offered in some bid scenarios. He also explained differences in total payments between bidders arise from interest and term lengths.

The approved financing will fund the fire truck that has completed final upfitting and is expected to enter service; the commission previously authorized the vehicle purchase at its March meeting.

Votes at a glance: resolution 34‑11 (fire truck lease financing) — approved, vote tally reported as 3 in favor, 2 opposed.

Commissioners and staff did not provide a roll-call transcript of individual yes/no votes in the record provided.