Preliminary approval was given to a Board of Public Utilities bond issue at the Monday evening Unified Government Economic Development and Finance Committee meeting.
The item will be “fast-tracked” to the Thursday night full UG Commission meeting at 7 p.m. Oct. 13, according to UG officials.
There was no discussion at the UG Committee meeting about the BPU bond issue. Some committee members said they did not have time to read the documents and they would wait to hear a presentation in front of the full commission on Thursday. The BPU bond issue was placed on the UG committee agenda on Monday afternoon.
Committee members voted unanimously to approve the $62 million bond issue and forward it to the full commission.
The bond issue was approved by the BPU board at a meeting on Sept. 21.
At the BPU meeting on Sept. 21, BPU officials said that in addition to nine projects to be funded with the $62 million utility system revenue bond issue, the BPU also would refinance an earlier bond issue from 2009 of $47.6 million, for a total of around $110 million. The BPU is expected to achieve a cost savings by refinancing the 2009 bond issue, a BPU official said at the Sept. 21 meeting.
While BPU representatives were in the audience of the Oct. 10 UG committee meeting, they were not asked to speak at the committee meeting. Also, the UG chief financial officer was asked to wait until the full UG Commission meeting to give her presentation.
The nine utility improvements listed include:
• Nearman 1 Boiler Tube Improvements, replacing the boiler tubes at Nearman Unit 1, $10 million;
• Rosedale Substation, replacing the existing substation, $29.5 million;
• Fiberglass Substation addition, adding a third distribution transformer and switchgear to serve load in the Fairfax and downtown area, $2.8 million;
• Muncie II Substation, a new 161kV substation to replace the existing Muncie substation, $4 million;
• Kaw West Substation addition, add a second 15kV switchgear to the Kaw West Substation, $3.5 million;
• Downtown Underground 15kV Rebuild, modernizing the 15kV underground electric system in the downtown area, $1.5 million;
• Electric Distribution Feeders, replace aging 15kV distribution infrastructure as well as improve switching capabilities between stations, Piper, Muncie, Wolcott, Fiberglass, Legends, $5.7 million;
• Electric Transformers, overhead and underground, purchase overhead and underground distribution transformers to support system restoration and improve service reliability, $3 million;
• Electric Infrastructure for city street projects, $2 million.
The resolution also stated “all other necessary and related improvements” to the utility system were included.
The entire BPU bond resolution is in the agenda that was revised Monday afternoon, online at http://wycokck.boardsync.com/Web/UserControls/DocPreview.aspx?p=1&aoid=192.
For an earlier story on the BPU bond issue, visit https://wyandotteonline.com/bpu-approves-62-million-bond-issue-for-utility-improvements/.
In other action the UG Economic Development and Finance Committee also gave tentative approval to a public hearing on Oct. 27 to consider amendments to the University-Rosedale Urban Renewal Plan. According to UG officials, there were some concerns about conformance with the Urban Renewal Plan. These were not discussed in detail at the committee meeting.
The UG Economic Development and Finance Committee also approved a public hearing date of Oct. 27 for the Kansas City, Kan., Boyer Medical Office Building project at 1601 N. 98th St. The public hearing will accept comments on whether to issue $11 million in industrial revenue bonds for the 40,000-square-foot building. A 60 percent tax abatement is proposed on a 10-year fixed payment in lieu of taxes, according to the UG agenda.
In other action, the UG Economic Development and Finance Committee approved a second amendment to the Legends Auto Plaza development agreement with Honda. The agreement was between the UG and KCK Development II Inc.
According to UG officials, the developer now has proposed two other developments for three lots on the property, and wants to remove the three lots from the development agreement. One of the lots will be used for a car wash for the dealership, not open to the public, and another lot will be used for car repairs, according to UG officials.
The amendment received unanimous approval from the committee and can move forward to the full commission.
