Interest-only payments concern Kansas lawmakers

(KSNT Photo File Photo)

TOPEKA, Kan. (AP) — Kansas lawmakers say they want more control over state finances after the Department of Transportation issued $400 million in bonds and arranged to only pay interest for the first decade.

Senate President Susan Wagle said in a statement that she and her colleagues “have serious heartburn” over aspects of recent deals. The Wichita Republican also raised concerns about a $19.9 million lease-to-own deal that the Kansas Department of Administration negotiated.

The Wichita Eagle reports Wagle says lawmakers will be pursuing legislation to “ensure legislative oversight over principal and interest payments, collateral agreements and long-term leases.”

Gov. Sam Brownback’s spokeswoman, Eileen Hawley, says the Departments of Administration and Transportation acted “well within their legal scope of authority.” She says Brownback is “happy to review legislation improving legislative oversight.”

 

 

Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 

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