Kaysville Approves Up to $6.5 Million in Bonds to Renovate Its Operations Center; Public Hearing Nov. 5
The Kaysville City Council on Sept. 17 approved a resolution that lets the city borrow up to $6.5 million to renovate and expand its Operations Center, the building that houses the Public Works, Power and Parks departments. The next public step is a hearing on Nov. 5.
What the project covers
According to the city’s staff report, the Operations Center is about 34 years old and the renovation is estimated at roughly $6.4 million. The work was approved as part of the city’s fiscal 2027 budget and includes:
- Expanding and renovating parts of the building to make room for staff growth since it opened
- Replacing the fuel island to meet state requirements
- Adding covered storage for city vehicles and equipment
- Replacing worn parking-lot asphalt
The staff report notes this version is far smaller than an earlier Operations Center concept estimated at about $39 million.
How it will be paid for
The city says the project will be paid from its utility (enterprise) funds, not the General Fund or property taxes. Utility rate adjustments already built into the fiscal 2027 budget support the debt payments along with the general cost of running the utilities. The city’s estimates for an average household are about $1.63 a month for water, $0.31 for electric and $2.40 for stormwater.
The bonds will be issued as sales tax revenue bonds. The staff report explains that pledging sales tax revenue as security is a stronger credit than a utility revenue bond, which should mean lower borrowing costs, even though utility revenue will actually repay them. They are limited obligations of the city, not general obligation bonds, and do not pledge the city’s property-taxing authority.
What the council approved
The resolution sets limits the final sale has to stay within:
- No more than $6.5 million in principal
- A final maturity of no more than 21 years
- An interest rate no higher than 6.0%
- A sale price of at least 98% of principal
Within those limits, the Mayor, City Manager or Finance Director, working with the city’s municipal advisor, will set the final terms. At the meeting, the city’s bond counsel said the resolution authorizes the borrowing but does not by itself require the city to issue the bonds if market conditions aren’t right.
What happens next
The city will publish a notice and hold a public hearing on Thursday, Nov. 5, 2026 on the bond issue and the project’s potential economic impact. Publishing that notice also starts a 30-day period during which the bonds can be legally contested. Meanwhile, the city’s architect is finishing design plans this winter so the project can go out to bid during the slower construction season.
Also on Sept. 17
At the same meeting the council repealed the temporary 180-day regulation on accessory structures it adopted Aug. 20 (Ordinance 26-08-02). It also adopted the city’s detached accessory dwelling unit ordinance required by state law (SB 284), with changes discussed at the meeting. DCU will report the final ADU rules once the city posts the adopted text.
Read the agenda and full meeting packet on Kaysville’s agendas and minutes portal, or watch the meeting through kaysville.gov. For more local government news, visit DCU News.
Dates, dollar figures and rate estimates come from Kaysville City’s Sept. 17, 2026 meeting packet. The city sets these and they can change, including the hearing date and final bond terms. Confirm on the city’s official site.
