Neighborhood Revitalization Plan

Interlocal Agreement

 

 

 

            THIS INTERLOCAL AGREEMENT (Hereinafter referred to as “Agreement”) entered into this _______ day of _______________, 2000, by and between the City of Hutchinson a duly organized municipal corporation hereinafter referred to as “City” and Reno County hereinafter referred to as “County.”

 

            WHEREAS, K.S.A. 12-2904 allows public agencies to enter into interlocal agreements to jointly perform certain functions including economic development; and

 

            WHEREAS, K.S.A. 12-17, 114 et seq. provides a program for neighborhood revitalization and further allows for the use of interlocal agreements between municipalities to further neighborhood revitalization; and

 

            WHEREAS, it is the desire and intent of the parties hereto to provide the maximum economic development incentive as provided for in K.S.A. 12-17, 119 by acting jointly.

 

            NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS CONTAINED HEREIN, THE PARTIES AGREE AS FOLLOWS:

 

            1.         The parties agree to adopt the neighborhood revitalization plan as contained in Attachment A, attached hereto and incorporated by reference as if fully set forth herein.  The parties further agree the neighborhood revitalization plan as adopted will not be amended without approval of the parties except as may be necessary to comply with applicable state law or regulation.

 

            2.         The parties further agree that the county shall administer the neighborhood revitalization plan as adopted by each party on behalf of the signatory parties.  The county shall create a neighborhood revitalization fund pursuant to K.S.A. 12-17, 118 for the purpose of financing the redevelopment and to provide rebates.  Any increment in property taxes received by the county resulting from qualified improvements to property pursuant to the neighborhood revitalization plan shall be credited to the county’s neighborhood revitalization fund.

 

            3.         The parties agree to undertake a review of the neighborhood revitalization plan every three years hereafter, to determine any needed modifications to the neighborhood revitalization plan.  The parties agree that any party may terminate this agreement by providing thirty (30) days advance written notice, provided however, any applications for tax rebate submitted prior to termination shall, if approved, be considered eligible for the duration of the rebate period.

 

            IN WITNESS WHEREOF, the parties have hereunto executed this agreement as of the day and year first above written.

 

                                                                        City of Hutchinson, Kansas

 

                                                                        ________________________________

                                                                        Patrick McCreary, Mayor

 

ATTEST:

 

______________________________

Ross A. VanderHamm, Deputy City Manager/City Clerk

 

                                                                        ________________________________

                                                                        Francis E. Schoepf, Chairperson

                                                                        Board of County Commission

 

 

                                                                        ________________________________

                                                                        Frances Garcia, Commissioner

                                                                        Board of County Commission

 

 

                                                                        ________________________________

                                                                        Larry Sharp, Commissioner

                                                                        Board of County Commission

 

Approved to form:

 

_______________________________

Porter Brown, City Attorney

 

_______________________________

Date

 

 

Approved this _____ day of _______________, 2000, by the Attorney General of the State of Kansas.

                                                                        Kansas Attorney General

 

                                                                        ________________________________


 

ATTACHMENT A

 

 

 

NEIGHBORHOOD REVITALIZATION PLAN

 

 

CITY OF HUTCHINSON

 

 

 

 

 

 

June 1, 1997

Amended October, 1997

Amended March, 2000

 

 


 

TABLE OF CONTENTS

 

Page

 

Part 1     Legal Description of Neighborhood Revitalization Area................... 5

 

Part 2     Assessed Valuation of Land and Buildings within the Area................ 5

 

Part 3     Listing of Owners of Record in Area.............................................. 5

 

Part 4     Existing Zoning and Land Use....................................................... 6

 

Part 5     Capital Improvements Planned for the Area.................................. 6

 

Part 6     Eligibility Requirements................................................................ 8

 

Part 7     Criteria for Determination of Eligibility.......................................... 9

 

Part 8     Contents of Application for Tax Rebate......................................... 10

 

Part 9     Procedures to Submit Application................................................. 11

 

Part 10   Standards and Criteria for Review and Approval............................. 13

 

Part 11   Rebate Formula........................................................................... 14

 

 

 

 

The Neighborhood Revitalization Plan will be reviewed by the City Council every three years at which time modifications to the Program may be considered.

 


PART 1

 

LEGAL DESCRIPTION OF AREA AND MAP

 

Legal Description of Neighborhood Revitalization Area

Generally, the reinvestment zone is all areas within the Hutchinson city limits south of the north street right-of-way of 11th Avenue and extended, containing 6090 acres (9.516 square miles), more or less.

 

The legal description of the zone is as follows:

 

        The City Limits of Hutchinson south of a line beginning at the north line of the Nickerson Boulevard right-of-way and the west City Limits line; thence southeasterly along said right-of-way to a point where it intersects the west right-of-way line of Arthur Street; thence northerly along said west right-of-way to the north right-of-way line of 11th Avenue; thence easterly along said right-of-way line of 11th Avenue to the east right-of-way line of Airport Road; thence continuing easterly along said north right-of-way line extended to the east City Limits line.

 

Map

A map outlining the Neighborhood Revitalization Area and depicting the existing parcels of real estate therein is on file at the City Planning and Development Office.

 

 

 

PART 2

 

ASSESSED VALUATION OF LAND AND BUILDINGS

WITHIN THE AREA

 

The existing assessed valuation of the parcels in 1997 of real estate in the proposed Neighborhood Revitalization area is $29,830,834.00

 

 

 

PART 3

 

LISTING OF OWNERS OF RECORD IN AREA

 

The names and addresses of the owners of record of real estate within the area are on file in the City Planning and Development Office, 125 East Avenue B, Hutchinson, Kansas. 

PART 4

 

EXISTING ZONING AND LAND USE

 

A zoning district classification map, a list of zoning districts for the area, and an existing land use map is on file in the City Planning and Development Office.

 

 

 

PART 5

 

CAPITAL IMPROVEMENTS PLANNED FOR THE AREA

 

The proposed Five Year Capital Improvement Program (1997) and other projects proposed by the City of Hutchinson include the following improvement projects in the zone.

 

Street and Bridge Improvements

·        Reconstruct 4th Avenue from Elm to Lorraine

·        Reconstruct 4th Avenue from Whiteside to west of viaduct

·        Replace 4th Avenue bridge over Eastside Ditch

·        Pave and drain Chemical Street, West 9th Avenue

·        Replace bridges over Cow Creek at Avenues B and F

·        Reconstruct Avenue F from Adams to Monroe

·        Overlay K-96 from Adams to West city limits

·        Intersection redesign at Hendricks and K-96

·        Railroad crossing repairs at various locations

·        Paving of dirt streets in Grandview Park vicinity

 

Parks and Recreation

·        Renovation of Grandview Park

·        Lighting of Carey Park ball diamonds

·        Completion of Avenue Park at Main; and Avenue A

·        Annual reforestation program

·        Centennial Park restrooms

·        Carey Park golf course green renovation

 

Public Buildings

·        Fire sprinkler system in Memorial Hall

·        Consolidated Public Works Building

·        Zoo Visitors Center

 

 

Water and Sewer

·        Sewer replacement at Cowboy Casino

·        F Street sewer replacement

·        Storm water extension from Avenue G to Halstead

·        Replace lift stations at  9th and Whiteside; 1st and Hendricks; Aurora and 14th Avenue; 11th and Hendricks

·        Sewer replacement along 7th from Monroe to Washington

·        Replace storm sewer boxes at Maple Street--9th and 10th; Sherman--Madison and Jefferson; Plum--5th and 6th; Washington--7th and 8th; Bonebrake--Ave A and Ave B

 

·        Water main replacement at 5th and Adams

·        Monroe - Van Buren Sewer Replacement

·        Replace Carey Park lift station

·        Replace sewer 2nd Street

 

Neighborhood Improvements

·        Housing Rehabilitation

·        Sidewalks and residential street improvement program (annual)

·        Street Lighting (annual)

·        Property maintenance and clean-up

·        Demolition of dangerous buildings

·        Chip and seal program (annual)


PART 6

 

ELIGIBILITY REQUIREMENTS

 

Residential Property

 

1.       Rehabilitation, alterations and additions to any existing residential structure, including the alteration of a single-family home into a multi-family dwelling, shall be eligible.

 

2.       Construction of new residential structures, including the conversion of all or part of a non-residential structure into a residential structure, shall be eligible.

 

3.       Residential property must be located within the appropriate zoning districts to be eligible. 

 

 4.      Improvements to detached accessory structures such as garages, workshops and storage sheds are eligible.  Improvements such as swimming pools, etc., shall not be eligible.

 

 

 

Commercial/Industrial Property:

 

1.       Rehabilitation, alterations and additions to any existing commercial structure used for retail, office, manufacturing, warehousing, institutional or other commercial or industrial purposes shall be eligible.

 

2.       Construction of new commercial structures, including the conversion of all or part of a non-commercial structure into a commercial structure, used for retail, office, manufacturing, warehousing, institutional or other commercial or industrial purposes shall be eligible.

 

3.       Improvements to existing or construction of new structures used for public utility or railroad purposes shall not be eligible.

 

4.       Commercial or industrial property must be located within the appropriate zoning districts to be eligible.

 


PART 7

 

CRITERIA FOR DETERMINATION OF ELIGIBILITY

 

1.       Construction of an improvement must have been commenced on or after June 1, 1997, the effective date of enactment of the tax rebate program, as documented by a building permit.

 

2.       An application for rebate must be filed within sixty (60) calendar days of the issuance of a building permit, except that the City Council may extend this period for up to thirty (30) additional days upon a finding of excusable neglect.

 

3.       The minimum investment of an improvement shall be $5,000 for residential property and $15,000 for commercial and industrial property, as documented by the building permit.

 

4.       The minimum increase in assessed value shall be 5% for residential property and 15% for commercial and industrial property as determined by the Reno County Appraiser following partial or total completion of the improvement.

 

5.       Property eligible for tax incentives under any other program adopted pursuant to statutory or constitutional authority shall be eligible to submit only one application per project.

 

6.       The property for which a rebate is requested shall conform with all applicable city codes and regulations in effect at the time the improvements are made and shall remain in conformance for the duration of the rebate period or the rebate shall be terminated.  This includes the new as well as the existing improvements on the property.

 

7.       Any property that is delinquent in any tax payment, special assessment, including BID assessments, or city utility payment shall not be eligible for a rebate until such time as all taxes, bills and assessments have been paid.

 

8.       No application shall be considered for an improvement for which an unresolved tax protest has been filed.

 

9.       Renovation of any property on the local, state or national register of historic places will receive a rebate of 100% for 10 years.


 

PART 8

 

CONTENTS OF APPLICATION FOR TAX REBATE

 

An application for a rebate of property tax increments shall contain the following information.

 

Part I

 

 1.      Owner’s name

 2.      Owner’s mailing address

 3.      Owner’s daytime phone number

 4.      Address of property

 5.      Legal description of property

 6.      Parcel I.D. No.

 7.      Building Permit No.

 8.      Existing use of property

 9.      Proposed use of property

10.      Age of principal building(s)

11.      Occupancy status during last 5 years

12.      Buildings proposed to be or actually demolished

13.      Proposed improvements

14.      Estimated cost of improvements

15.      Date construction started

16.      Estimated date of completion of construction

17.      County Appraiser’s statement of existing assessed valuation of improvements.

 

Part II

 

1.       Status of construction as of January 1 following commencement

2.       County Appraiser’s statement of increase in assessed valuation of improvements

3.       County Clerk’s statement of tax status

4.       City Clerk’s statement of special assessment status

5.       Planning Director’s statement of program conformance.

 


PART 9

 

PROCEDURES TO SUBMIT APPLICATION

 

1.       The applicant shall obtain an Application for Tax Rebate from the City Planning and Development Department when obtaining a building permit.

 

2.       The applicant shall complete and sign Part 1 of the application and file the original with the City Planning and Development Department within sixty (60) calendar days following issuance of the building permit.

 

3.       The City Planning and Development Department shall forward the application to the Reno County Appraiser’s office for determination of the existing assessed valuation of the improvements.

 

4.       Upon completion by the County Appraiser’s Office, the Appraiser’s Office will return the application to the applicant.  The applicant shall certify the status of the improvement project as of January 1 following the commencement of construction by completing and signing PART 2 of the application.  The applicant shall file the application with the Appraiser’s office on or before December 1, preceding the commencement of the tax rebate period.

 

5.       The County Appraiser shall conduct an on-site inspection of the construction project and determine the new valuation of the real estate as of January 1, and shall complete his portion of the application and shall report the new valuation to the County Clerk by June 15.  The tax records on the project shall be revised by the County Clerk’s Office.

 

6.       Upon determination by the County Appraiser’s Office that the improvements meet the percentage test for rebate, determination by the County Clerk’s office that the taxes and assessments on the property are not delinquent, and determination by City Planning and Development Department that the project and application meets the requirements for a tax rebate, the County Appraiser’s Office shall notify the applicant and the County Treasurer’s Office of the rebate percentage due for each year of the rebate period.

 

7.       Upon the full payment of the real estate tax for the subject property for the initial and each succeeding tax year extending through the specified rebate period, a tax rebate shall be made to the applicant.  The tax rebate shall be made within sixty (60) calendar days following due date of payment and submittal of a receipt by the applicant to the County Treasurer’s Office.  The tax rebate shall be made from the Neighborhood Revitalization Fund established by Reno County in conjunction with the other taxing units participating in an Interlocal Agreement.  The County Appraiser’s Office shall make periodic reports on the tax rebate program to the governing bodies of the participating taxing units.

 

8.       The County Appraiser’s Office shall inform the County Clerk and County Treasurer’s Office thirty (30) calendar days prior to the expiration of the final rebate period for each property receiving a tax rebate.

 


PART 10

 

STANDARDS AND CRITERIA FOR REVIEW AND APPROVAL

 

1.       The property for which a rebate is requested shall conform with all applicable city codes and regulations in effect at the time the improvements are made and shall remain in conformance for the duration of the rebate period or the rebate shall be terminated.  Rebates are payable to the owner at the time the rebate is due.

 

2.       Any property that is delinquent in any tax payment, special assessment, including BID assessments, or city utility payment shall not be eligible for a rebate until such time as all taxes, bills and assessments have been paid.

 

3.       Following establishment of the increase in assessed value resulting from a specific improvement, the fixed rebate percentage shall be applied to any change in assessed value or mill levy during subsequent years.

 

4.       The City Manager, or his/her designee, shall have the authority and discretion to approve or reject applications based on the eligibility standards and review criteria contained herein.  If an applicant is dissatisfied with the City Manager’s decision, a written appeal may be submitted to the City Council for final determination.

 


PART 11

 

REBATE FORMULA

 

AMOUNT AND YEARS OF REBATE ELIGIBILITY

 

1.       For improvements to property located        2.  For improvements to all other

between the west side of Adams and      property (Excluding that in #1)

the east side of Poplar, in the            located in the *reinvestment zone

*reinvestment zone:

 

          Year   Rebate*                                     Year   Rebate*

             1          95%                                       1          95%

            2           95%                                      2           85%

            3           95%                                      3           75%

            4           95%                                      4           65%

            5           95%                                      5           55%

            6           50%                                      6           50%

            7           50%                                      7           50%

            8           50%                                      8           50%

            9           50%                                      9           50%

           10          50%                                    10          50%

 

 

2.     For improvements to any historic property in the reinvestment zone*:

          Year   Rebate*

             1          100%

            2           100%

            3           100%

            4           100%

            5           100%

            6           100%

            7           100%

            8           100%

            9           100%

           10          100%

 

*The Reinvestment zone is all area in the Hutchinson City limits south of 11th Avenue.

 

*5%  of the increment or $15.00, whichever is greater, is to be retained by Reno County for administrative costs.