|
CITY COMMISSION AGENDA ITEM |
|
|
Department: |
City Manager’s Office |
Commission Meeting Date: 6-5-2018 |
||
|
Staff Contacts: |
Britt Crum-Cano, Economic Development Coordinator Diane Stoddard, Assistant City Manager |
|||
|
||||
|
||||
|
Executive Summary: |
The Lawrence Humane Society (LHS) is planning the construction of a new animal shelter at 1805 E. 19th Street in Lawrence, Kansas to replace the existing aged and obsolete shelter located on the same parcel. The facility will provide approximately 22,000 square feet of new space and be built on LHS’s four (4) acres of land at 1805 E. 19th Street. Project construction is anticipated to start in May 2018, with the facility being operational in summer 2019. Total construction costs for the project are estimated at $7.5 million, with approximately $3.8 million subject to sales tax.
At their May 1, 2018 meeting, the City Commission adopted Resolution of Intent No. 7249 to issue Industrial Revenue Bonds (IRBs) for new LHS animal shelter. The next step required in the IRB process is the authorization of the issuance of the bonds through approval of a bond ordinance. |
|||
|
Strategic Plan Critical Success Factor: |
Collaborative Solutions |
|||
|
Fiscal Impact (Amount/Source): |
The costs of incentives are restricted to a sales tax exemption on construction materials for the project. Assuming a total project cost of $7,500,000 and using the most recent (January 2018) Kansas Department of Revenue countywide sales tax ratios, staff estimates the total value of exempted sales taxes to be approximately $348,000. Of this total exemption, the City is estimated to forego approximately $88,600 in sales tax revenues and the County is estimated to forego a little over $14,000 in sales tax revenues. The State would forego approximately $250,000 in sales tax revenues. |
|||
|
Attachments: |
||||
|
Reviewed By: (for CMO use only) |
☐TM ☒DS ☐CT ☐BM |