Saginaw-area airport commission approves $7.6 million revenue bond for solar canopy and EV chargers

MBS International Airport officials presented a proposal to pay for a $7.6 million solar and electrical upgrade through a revenue bond and told the Saginaw City Council that the plan would not raise local taxes.

The project, as described by James Canders, airport director at MBS International Airport, would be funded with a revenue bond and paid for by the airport: "This is not a tax, and it's a revenue bond and will not impact any taxable members of the community. So it's going to be 100% MBS International Airport's responsibility to pay," Canders said.

Why it matters: The upgrades include covered solar canopies at the terminal and rental-car areas, a mix of EV chargers and an enlarged solar array expected to reduce electrical costs and support long-term sustainability at the airport.

Canders outlined the main elements and projected savings. He said the contract amount is roughly $7,300,000 and estimated combined revenue and utility savings of about $390,000 per year. He added there is "I R a rebate associated with this if we get it completed by the end of the year of $2,176,000 that would be going back into the project and help helping to pay off that revenue bond." The terminal short-term parking would gain a covered solar canopy; long-term parking would be covered and include about 20 level-1 dual-port charging locations and additional level-2 and DC fast-charging stations in short-term and long-term lots. Canders said the solar work would offset roughly 35% of terminal electrical use and about 52% overall when combined with the rental-car facility project; administrative and fire station facilities could see 85–90% savings and the airfield lighting vault about 99%.

Airport officials also emphasized local labor and U.S.-made components. "Solar modules are entirely domestic and made in the U.S. ... Labor is a % local Michigan contractors," Canders said, adding the contractor has airport experience and that solar modules are largely recyclable.

Council action: At the meeting the council considered a final, narrowly worded resolution that approved a municipal step needed to enable the airport commission to issue tax‑exempt revenue bonds. The resolution, described in the council packet as approving issuance by the MBS International Airport Commission of not-to-exceed $7,600,000 in airport revenue bonds, was adopted by voice vote after the airport presentation.

What comes next: Airport staff said they expect the project to support operational savings and could help attract airline service sensitive to building energy costs. Canders said the project life is guaranteed at 25 years, with potential longevity beyond that: "The life of the solar panel arrays is guaranteed for 25 years. It could go as high as 50 years, although productivity might drop off a little bit after 25 years." He also reiterated the financing point: "there are no local taxes that are associated with this project."