The Municipal Building Authority of the City of Hurricane, Utah, intends to issue Lease Revenue Bonds, Series 2026, to fund several municipal construction projects, according to an October 2 statement.
The Authority adopted a resolution on Oct. 1, 2026, declaring its intention to issue the bonds and calling for a public hearing to receive community input.
The proposed bonds are intended to finance the acquisition and construction of a new police station, a new city hall building, and related improvements, collectively referred to as the Series 2026 Project.
Additional funds from the issuance will be used for required deposits to a debt service reserve fund and to cover costs associated with the issuance of the bonds. The bonds will be payable solely from rents, revenues, and other income the Authority receives from leasing the Series 2026 Project to the City on an annually renewable basis.
The Authority intends to issue the bonds in a principal amount not to exceed $27,000,000. The bonds will bear interest at a rate not to exceed 6.50% per annum and will mature in no more than 31 years from their date of issuance.
Based on current interest rate estimates and the financing plan, the total estimated debt service cost of the bonds, if held until maturity, is $50,618,864.31. The bonds are to be sold at a price not less than 98% of the total principal amount, plus any accrued interest to the date of delivery.
The Authority currently has $1,041,000 in outstanding principal amount secured by lease revenues. Information regarding all of the Authority’s outstanding bonds is available in the City’s audited financial report located at https://reporting.auditor.utah.gov/searchreports/s/.
A public hearing is scheduled for Nov. 5, 2026, at 6:00 p.m. at the City of Hurricane offices, located at 147 North 870 West, Hurricane, Utah. The hearing will address the proposed bonds and any potential economic impact the financed improvements may have on the private sector.
A 30-day period following the posting of the notice allows interested persons to contest the legality of the resolution, indenture, lease, or bonds. During this time, active voters in the City may sign a written petition requesting an election to authorize the issuance; if 20% of active voters sign, the Authority must hold an election before issuing the bonds.
