Kansas House approves Junction City debt measure
Published on -2/9/2012, 2:48 PM
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TOPEKA, Kan. (AP) -- A bill that will give Junction City more time to pay down debt related to growth at Fort Riley was overwhelmingly approved by Kansas House members Thursday.
The measure, which passed 98-25 on final action, now heads to the Senate. It is a piece of Junction City's multi-step plan to restore its financial health, said City Manager Gerry Vernon.
The measure gives the city an additional three years to reduce the ratio of outstanding debt to its total property valuation. The limit would remain at 37 percent under the bill through June 30, 2016.
"The city is on track to make the existing debt thresholds, but it was on an extremely close margin," Vernon said.
Junction City issued the bonds in the past decade to make improvements related to the return of the 1st Infantry Division to Fort Riley. City officials and supporters of the debt extension said the high level of anticipated growth didn't occur, leaving the city in financial difficulty.
Fort Riley's population has grown from about 10,000 soldiers in 2001 to 18,000 soldiers in 2012. And the Army has invested more than $2 billion in infrastructure improvements, including new barracks, child care centers, airfield renovations and a new hospital, which is set to open in the next few years.
Junction City and the surrounding communities were asked to help the Army handle the influx of soldiers and their families by building new homes and rental units. However, the pace of deployments to Iraq and Afghanistan delayed, if not muted, the increase in population.
Vernon and city officials hope that more flexibility in reducing the debt and other measures will restore Junction City's financial health over time.









