Johnson County commissioners on Oct. 23 voted 7-0 to authorize issuance of $60,200,000 in general obligation bonds, series 2025A, to finance specified wastewater improvements and certain airport improvements.

County budget staff told the board the sale generated strong market interest and lower-than-expected borrowing costs. Leslie Friedel of Budget and Financial Planning said the bonds drew 12 bidders and the county realized an interest cost of about 3.67 percent, down from an original projection of roughly 4.6 percent. Friedel said the county resized part of the issue to preserve premium proceeds, applying roughly $4 million of premium toward Mill Creek storage costs and lowering capitalized interest for an airport project by about $300,000.

The county’s municipal advisor, Elizabeth Bergman of Baker Tilly, told commissioners the county’s three AAA ratings and strong market demand contributed to favorable pricing. Bergman also said one winning bidder asked to withdraw because of an input error; the county, after consulting counsel, permitted withdrawal and accepted the next-best bid to maintain market goodwill.

During public comment, Ben Hobert of Westwood Hills pressed the county for more detail on the airport financing. Hobert asked why the airport T-hangar portion was being financed with general obligation bonds rather than special obligation bonds, which he said would reflect the more uncertain revenue stream; he also asked whether any tenants were lined up, what payment-in-lieu-of-taxes (PILOT) amounts VanTrust (referred to in board materials) will pay, and whether VanTrust or an affiliated entity has adequate capitalization or guarantees for ground lease obligations. Hobert requested the total subsidy implied by the PILOT schedule over the 20-year bond term.

Friedel and staff did not provide new contractual details on tenants or ground-lease guarantors during the hearing; the board’s action and staff presentation focused on sale results, pricing and the projects to be funded. Commissioner Myers moved the resolution to authorize issuance; Commissioner Hanslick seconded. The roll call vote was unanimously in favor.

The board approved the motion following the presentation and public comment without further amendment. The resolution authorizes issuance of general obligation internal improvement bonds to provide funds for the enumerated wastewater and airport improvements in the principal aggregate amount stated in the motion.

Commissioners and staff repeatedly noted the county’s strong credit profile and successful sale as a financial benefit to taxpayers, while the public commenter’s questions about PILOTs, tenant commitments and risk allocation remained on the record for follow-up.