Title
AN ORDINANCE APPROVING A TAX INCREMENT FINANCING FUNDING AGREEMENT BETWEEN THE CITY OF LEE’S SUMMIT, MISSOURI AND PARROT PROPERTIES, INC. AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY.
Body
Issue/Request:
AN ORDINANCE APPROVING A TAX INCREMENT FINANCING FUNDING AGREEMENT BETWEEN THE CITY OF LEE’S SUMMIT, MISSOURI AND PARROT PROPERTIES, INC. AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY.
Key Issues:
In January of 2017 Parrot Properties, Inc. (Developer) began discussions with staff to pursue a Tax Increment Financing (TIF) Plan for the Village at View High mixed-use development. Since this time, the Developer continued to refine the TIF Plan and has submitted a TIF Plan application which is currently scheduled to go before the TIF Commission on May 30, 2017.
In accordance with the City's Economic Development Incentive Policy, the Developer desires to enter into this funding agreement to pursue the TIF Plan approval and execution of a TIF Contract for the Village at View High development.
The level of incentive requested does not exceed the 25% guideline of public incentive compared to total private development cost, therefore a conceptual economic development incentive request is not required to presented to the City Council prior to proceeding through the incentive consideration process.
Proposed City Council Motion:
First motion: AN ORDINANCE APPROVING A TAX INCREMENT FINANCING FUNDING AGREEMENT BETWEEN THE CITY OF LEE’S SUMMIT, MISSOURI AND PARROT PROPERTIES, INC. AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY, I move for second reading.
Second motion: AN ORDINANCE APPROVING A TAX INCREMENT FINANCING FUNDING AGREEMENT BETWEEN THE CITY OF LEE’S SUMMIT, MISSOURI AND PARROT PROPERTIES, INC. AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY, I move for adoption.
Background:
On October 20, 2016 the City Council adopted Ordinance No. 8002 granting a change in zoning classification from R-1 to PMIX on approximately 74 acres located at the northeast corner of SW View High Drive and SW 3rd Street and approved a conceptual development plan for Village at View High development.
On November 3, 2017 the City Council adopted Ordinance No. 8008 approving a preliminary development plan on land generally located at the northeast corner of SW View High Drive and SW 3rd St. for Village at View High Apartments.
On February 2, 2017 the City Council adopted an Ordinance approving a plan for an industrial development project (Chapter 100) for Village at View High Apartments in the principal amount not to exceed $39,500,000 to finance the costs of such project, authorizing and approving certain documents, and authorizing certain other actions in connection with the issuance of the bonds. It should be noted this portion of the Village at View High project is not included within the proposed Tax Increment Financing plan or any redevelopment area of said plan.
Recommendation
Recommendation: Staff recommends approval of the ordinance