Focus Area: Legal
Staff Contact: Ron Shaver
Subject: Ordinance approving a TIF Redevelopment Project Plan and Development Agreement for the Indian Creek Crossing Project at the northeast corner of Santa Fe Street and Mur Len Road.
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title:
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Public hearing and consideration of Ordinance No. 24-48 adopting a TIF Redevelopment Project Plan pursuant to K.S.A. 12-1770 et seq. and a Development Agreement for the Indian Creek Crossing Project.
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Summary:
On September 17, 2024, the City Council adopted Ordinance No. 24-36, establishing a tax increment financing (“TIF”) redevelopment district consisting of a single TIF redevelopment project area at the northeast corner of Santa Fe Street and Mur Len Road (the “TIF District”). The TIF District was established pursuant to K.S.A. 12-1770 et seq. (the “TIF Act”).
The TIF Act requires the City to prepare a TIF redevelopment project plan in consultation with the City’s Planning Commission who must determine that the project plan is consistent with the intent of the comprehensive plan for the development of the City. The plan must include:
(a) a summary of the comprehensive feasibility study prepared in conjunction with the redevelopment project;
(b) a reference to the redevelopment district plan that identifies the redevelopment project area that is set forth in the comprehensive plan that is being considered;
(c) a description and map of the redevelopment project area to be redeveloped;
(d) the relocation assistance plan;
(e) a detailed description of the buildings and facilities proposed to be constructed or improved in such area;
(f) any other information the Governing Body deems necessary to advise the public of the intent of the plan; and
On October 4, 2024, a proposed TIF Redevelopment Project Plan (the “Redevelopment Plan”) (Attachment A) was prepared for the TIF District. On October 14, 2024, the Planning Commission determined that the Redevelopment Plan is consistent with the intent of the comprehensive plan for development of the City.
The Redevelopment Plan includes acquisition of real property, demolition of certain existing improvements, and the general redevelopment of structures within the TIF District containing approximately 115,000 square feet of retail/commercial uses, including entertainment, restaurant, retail, office, medical office, and/or other similar, related or appurtenant uses, along with all associated site work, infrastructure, utilities, stormwater control, access, street improvements, landscaping, lighting, parking facilities, and other items allowable under the TIF Act.
Staff, in coordination with the City’s Bond Counsel, Gilmore & Bell, P.C., has negotiated a Development Agreement (Attachment B) with the developer, Rosebud Partners, LLC, for consideration by the City Council in connection with the Redevelopment Plan.
The attached ordinance (Attachment C) adopts the Redevelopment Plan and approves the Development Agreement.
Also on tonight’s agenda, the City Council will conduct a public hearing and consider creation of a community improvement district (“CID”) pursuant to the Development Agreement.
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Financial Impact:
Total investment in the Indian Creek Crossing project is anticipated to be over $26.4 million, of which approximately $16.12 million would be eligible for reimbursement from TIF and CID proceeds. The developer has proposed to be reimbursed up to $7 million from TIF and CID proceeds, or approximately 26.5% of total redevelopment project costs.
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Action Needed:
Conduct the public hearing. Approve Ordinance No. 24-48 adopting a TIF Redevelopment Project Plan pursuant to K.S.A. 12-1770 et seq. and approving a Development Agreement for the Indian Creek Crossing Project.
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Attachment(s):
A: TIF Redevelopment Project Plan
B: Development Agreement
C: TIF Ordinance