Memorandum

City of Lawrence

Legal Services Department

 

TO: 

David Corliss,  City Manager

Toni Wheeler, Director of Legal Services

 

FROM:

John Jay Miller, Staff Attorney

 

CC:

Debbie Van Saun, Assistant City Manager

 

Date:

March 21, 2007

 

RE:

Adoption of the  Neighborhood Revitalization Plan and Program  for the 8th and Pennsylvania District and Approval of Developer Agreement

 

On March 6th, the City Commission held a public hearing on the adoption of a Neighborhood Revitalization Plan and Program for the 8th and Pennsylvania District. Staff and the developer, Cinco Hombres, have prepared a Neighborhood Revitalization Plan and Program, for the City Commission’s adoption which contains the statutory requirements for creating a Neighborhood Revitalization Area and Plan. 

 

A Neighborhood Revitalization Plan is required by The Kansas Neighborhood Revitalization Act, K.S.A. 12- 17,114 et seq., in order to establish a property tax rebate program to encourage improvements to property within the Revitalization Area.  The basis of this plan is that this is an “area in which there is a predominance of buildings or improvements which by reason of age, history, architecture or significance should be preserved or restored to productive use.” K.S.A. 12-17,115.

As proposed by the Plan:

·         The Developer would only be eligible for rebates on an amount no greater than the cost of the public and private infrastructure improvements.

·         The time frame to receive any rebate is twenty (20) years from the adoption of the plan.   

·         Plan is contingent upon Property owner entering into Developer Agreement with the City.

·         Upon Approval of the Plan the Neighborhood Revitalization Fund will be established.

·         City Commission may change the plan as conditions policies or priorities change.

 

In conjunction with the Plan, staff has prepared a Developer Agreement which will formalize the development, construction and implementation of the Neighborhood Revitalization Plan and the public and private infrastructure improvements. 

 

Cinco Hombres has informed Staff that unless the other municipalities (Douglas County and the Lawrence School District) with taxing authority also agree to tax rebates the project will not be feasible.  Upon approval of the ordinance enacting the Neighborhood Revitalization Plan and Program, Cinco Hombres will seek tax rebate approval from the other municipalities.  If the other municipalities agree to approve rebates, Staff will prepare interlocal agreements to include them as part of the Neighborhood Revitalization Plan.

 

An ordinance adopting the Neighborhood Revitalization Plan and Program is attached for your review and adoption. A  Developer Agreement along with project estimates and exhibits is also attached for your review and approval. 

 

Action Requested:  Adopt ordinance creating a Neighborhood Revitalization Plan and designating a Neighborhood Revitalization Area, if appropriate.   Approve Developer Agreement between the City and Cinco Hombres, if appropriate.