City of Derby, Kansas

In September 2015, the City of Derby, Kansas established the Derby STAR Bond Project District, which allows incremental sales taxes generated within the District to be used to finance projects that are approved by the State. The City wanted to bring something new and exciting to their City through the use of STAR Bonds. The City evaluated several options and decided to utilize a portion of the STAR bond allocation to help finance a portion of the costs of an indoor/outdoor educational dinosaur attraction.

The Solution

After certain financing options began to stall, the City reached out to Crews for assistance in issuing the STAR Bonds. Crews was able to work with City of Derby to issue their first ever STAR bond and provide funds for the approved projects.  Our firm acted as the sole senior manager and underwrote the 20-year, fixed rate, tax-exempt bonds as non-rated at a True Interest Cost of 5.00%. The bonds were secured solely by the incremental sales taxes generated within the District.

The Difference

Crews worked hard to serve our client in extraordinary ways by:

  1. Completing the financing to meet the City’s desired timeline.
  2. Providing flexible redemption provisions and bond covenants.