Title
An Ordinance approving the Land Clearance for Redevelopment Authority (LCRA) Policy and adding the LCRA Policy to the Economic Development Incentive Policy for the City of Lee’s Summit, Missouri.
(Note: First reading by City Council was done on January 7, 2020. Passed by unanimous vote.)
Body
Issue/Request:
The proposed ordinance incorporates amendments to the LCRA and Economic Development Incentive Policy as presented and discussed at the November 12, 2019 and December 10, 2019 City Council meetings.
Key Issues:
The Mayor and Council requested staff to create and introduce proposed policy language that creates guidelines, policy statements and implementation conditions for incorporation into the currently adopted Economic Development Incentive Policy with respect to the utilization of LCRA incentive tools.
The proposed policy language has been reviewed and recommended by the LCRA as well as the City Council.
Proposed City Council Motion:
I move for adoption of an Ordinance Approving the Land Clearance for Redevelopment Authority (LCRA) Policy and Adding the LCRA Policy to the Economic Development Incentive Policy for the City of Lee’s Summit, Missouri.
Background:
Since the reactivation of the LCRA in 2009, the LCRA has considered and Council approved a total of 13 projects through the issuance of Certificate of Qualification for Real Property Tax Abatement. Three of these projects were considered and approved prior to the adoption of the Economic Development Incentive Policy in 2015, and four projects considered before the creation and implementation of the LCRA evaluation criteria (LCRA spreadsheet evaluation tool).
Over time, the LCRA has refined the manner in which proposed projects are evaluated and considered and at this time one project which was previously approved is requesting further consideration and amendment to the approved abatement. Prior to considering this project request, it was felt that it would be beneficial to have a general policy discussion and develop policy provisions to guide decision making on current and future LCRA projects/requests.
On November 12, 2019, staff presented information to the Mayor and Council on matters to consider in developing the policy provisions. The Mayor and Council provided feedback for staff to develop the proposed policy provisions.
On December 4, 2019, staff presented the draft LCRA policy provisions to the LCRA for consideration. The LCRA ultimately recommended approval of the proposed policy language recommending the "targeted amount approach" be utilized when considering LCRA projects requesting Certificate of Qualification for Tax Abatement.
On December 10, 2019 staff presented the proposed LCRA policy provisions and received direction from the Mayor and Council to prepare an ordinance for consideration.
Presenter
Mark Dunning, Assistant City Manager
David Bushek, Chief Counsel of Econ. Dev. & Planning
Recommendation
Recommendation: Staff recommends adoption of the ordinance.
Committee Recommendation
Committee Recommendation: The LCRA recommended approval of the policy provisions utilizing the "targeted amount approach" for LCRA projects requesting Certificate of Qualification for Tax Abatement at their December 4, 2019 LCRA meeting.