PITTSBURG — The city of Pittsburg plans to issue $6.5 million in bonds to fund construction costs for utilities at its new state-owned casino.
The Joplin Globe reports that the Pittsburg City Commission approved a development agreement Tuesday that says the Kansas Crossing Casino and Hotel will initially pay for necessary improvements to bring sewer and water service to the facility.
It also says the city will try to issue bonds within 90 days of the improvements being completed to reimburse Kansas Crossing.
The casino’s project developer, James Walker, says Kansas Crossing will pay off the bonds over about 20 years with payments of about $440,000 annually.
City manager Daron Hall says the city will pay for about $70,000 in projects, including lift-station upgrades. The casino will pay about $500,000 in engineering fees necessary for the utility work.