HENDERSON, Ky. (From news reports) -- The City of Henderson Board of Commissioners held a public hearing at its meeting Tuesday about issuing industrial revenue bonds for the coming Pratt Industries facility.

The bonds, which will be used in financing the "acquisition, construction, installation, and equipping of an approximately 639,000 square foot" facility, will not exceed $320 million.

Attorney Mark Franklin of Dinsmore and Shohl said the bonds will have no impact on the city's borrowing capacity or credit rating.

"They will be considered specialty, limited obligations of the city, meaning they will be payable only with monies provided by Pratt under the applicable legal documents," Franklin said.

There were no public comments on the issue and the board passed an ordinance authorizing the bonds. The Pratt facility is expected to produce 247,000 tons of containerboard in its first year of operation, with a gradual increase to 543,000 tons by the 10th year, staying at that production level until the bonds expire. The bonds have a maturity date of no later than 2062.