The Hays City Commission on July 10 voted unanimously to authorize the sale of bonds and temporary notes to finance multiple infrastructure projects, including public improvements for the Grove RHID and preliminary work near Interstate 70 Exit 161.

Kim Rupp, city staff, described two resolutions: a project authorization to permit the city to issue general obligation debt for the Grove RHID and Exit 161 improvements and a sale authorization to allow staff and advisors to prepare and offer bonds and temporary notes for sale. Rupp said the Grove public infrastructure is estimated at about $3,675,000 with a taxable component of $825,000; Exit 161 infrastructure improvements were estimated at about $4,000,000 net of an anticipated grant.

David Arterberry, financial advisor with Stifel Nicholas, outlined an estimated financing plan: an estimated $14,375,000 tax‑exempt Series 2025‑A to fund the automated metering infrastructure (AMI), police and courts facility and Grove RHID public works; a smaller taxable Series 2025‑B tied to Grove costs that are taxable; and temporary notes Series 2025‑1 of about $4,075,000 to temporarily finance Exit 161 work pending final bond financing.

Rupp and Arterberry reviewed proposed debt service structures: the AMI payments were presented at about $284,000 per year over 20 years; police facility debt service at about $518,000 per year over 20 years; and combined Grove payments structured lower in early years (about $200,000 annually during an anticipated build‑out period) and extending 23 years to match the RHID’s remaining term. Arterberry said the taxable Series would be callable in five years and the longer tax‑exempt issue would likely include an 8‑ or 9‑year call feature, allowing refinancing if market rates fall.

Commissioner Ken Barrack moved to approve Resolution Number 2025‑010 authorizing issuance of bonds for the Grove RHID and Exit 161 infrastructure; Commissioner Cunningham seconded. Barrack voiced concern that Exit 161 is “quite an investment” with no secured development yet; city staff replied that developers and retailers told staff infrastructure is required before lots can be sold and that state grant funds offset part of the cost. The motion passed, 5‑0.

Commissioner Reuter moved to approve the sale authorization (motion text recorded in the meeting as “Resolution Number 2020Five‑eleven”); Commissioner Musil seconded. The commission approved the sale authorization by voice vote, 5‑0, allowing staff and advisors to solicit bids, request ratings, prepare official statements and receive offers on Aug. 28 with a proposed closing on Sept. 25.

Arterberry noted the city’s AA bond rating and reviewed current market rate trends; he said rates had come down in recent weeks but remain subject to market change and that bids on the August sale would set final rates. No alterations to the resolutions were made during the meeting.