Kansas Development Finance Authority (KDFA)
The Kansas Development Finance Authority (KDFA) is a self-supporting public corporation of the State of Kansas. It serves as a conduit issuer of tax-exempt and taxable bonds and other financing mechanisms to facilitate economic development, affordable housing, education, healthcare, and other essential public purposes across the state. KDFA operates independently of state appropriations and generates revenue through fees associated with its financing activities.
KDFA’s primary mission is to improve the quality of life for Kansans by fostering economic growth and providing access to essential services. It achieves this by providing access to lower-cost capital for eligible projects. These projects often struggle to secure traditional financing due to their size, complexity, or perceived risk. By bridging this financing gap, KDFA enables the development of critical infrastructure, creation of jobs, and expansion of essential services.
KDFA offers a range of financing programs tailored to meet the specific needs of various sectors. These programs include:
- Economic Development Bonds: Used to finance projects that create or retain jobs, attract new businesses, or expand existing industries in Kansas. These bonds can support manufacturing facilities, research and development centers, and commercial developments.
- Healthcare Financing: Supports hospitals, clinics, and other healthcare providers in upgrading facilities, acquiring equipment, and expanding services to meet the healthcare needs of Kansans.
- Educational Facility Bonds: Provides financing for public and private educational institutions, including universities, colleges, and K-12 schools, for construction, renovation, and equipment purchases.
- Affordable Housing Bonds: Supports the development and rehabilitation of affordable housing units for low- and moderate-income families and individuals. These bonds help address the critical need for affordable housing options throughout the state.
- Infrastructure Financing: Finances critical infrastructure projects such as water and wastewater treatment facilities, transportation improvements, and renewable energy projects.
To obtain financing through KDFA, projects must meet specific eligibility criteria, which vary depending on the program. Generally, projects must demonstrate a significant public benefit, contribute to economic development or community betterment, and be financially viable. KDFA conducts thorough due diligence on all proposed projects to ensure they are sound investments and aligned with the agency’s mission.
KDFA plays a vital role in the Kansas economy by providing access to capital that would otherwise be unavailable. By facilitating the development of critical infrastructure, affordable housing, and essential services, KDFA contributes to a higher quality of life for all Kansans. Its self-supporting structure ensures its continued ability to serve as a valuable resource for economic and community development in the state.