Plan and Program
The
Neighborhood Revitalization Plan (“Plan”) is required by state statute (see
Appendix 1) in order to create a Neighborhood Revitalization Program intended
to encourage both reinvestment and improvements to a specific area or district
of the community. The
governing body of the City of
a) An area in which there is a predominance of buildings
or improvements by which reason of dilapidation, deterioration, obsolescence,
inadequate provision for ventilation, light air, sanitation, or open spaces,
high density of population and overcrowding, the existence of conditions which
endanger life or property by fire and other causes or a combination of such
factors, is conducive to ill health, transmission or disease, infant mortality,
juvenile delinquency or crime and which is detrimental to the public health,
safety or welfare;
b) An area which by reason of the presence of a
substantial number of deteriorated or deteriorating structures, defective or
inadequate streets, incompatible land use relationships, faulty lot layout in
relation to size, adequacy, accessibility, or usefulness, unsanitary or unsafe
conditions, deterioration of site or other improvements, diversity of
ownership, tax or special assessment delinquency exceeding the actual value of
land, property by fire or other causes, or a combination of such factors,
substantially impairs or arrests the sound growth of municipality, retards the
provisions of housing accommodations or constitutes an economic or social
liability and is detrimental to the public health, safety or welfare in its
present conditions and use; or
c)
An area in which
there is a predominance of buildings or improvements which by reason of age,
history, architecture or significances should be preserved or restored to
productive use.
The Governing Body has
also determined that the rehabilitation, conservation, and redevelopment of the
District is necessary to protect the public health, safety and welfare of the
residents of the Neighborhood Revitalization District and the City as a
whole.
The components
of the Plan include a map establishing boundaries of the District, a proposal
for improving municipal services, a list establishing local eligibility
criteria, and an application procedure for the Program.
The Plan provides an avenue
to achieve the City’s goal to improve neighborhoods to strengthen the City’s
reputation as a safe and friendly community.
Section
1: Purpose
Establish a neighborhood
revitalization tax rebate program (“Program”) to provide incentives for both
residential and commercial property owners to improve their aging or
deteriorating property, or otherwise increase the appraised value of the
property. The Program is intended to
promote the revitalization and development of residential and commercial
properties by stimulating new construction and the rehabilitation,
conservation, or redevelopment of the area in order to protect the public
health, safety, or welfare of residents of the City.
The purpose of
implementing the Program includes providing a revitalization tool that will:
- Stabilize mature neighborhoods by rehabilitating
older homes and properties.
- Encourage volunteers from non-profits to
revitalize areas and homes.
- Encourage property owners to improve businesses
and homes.
- Encourage improvement of rental properties.
- Strengthen community pride.
- Eventually increase tax base and make affordable
housing more available.
There are many
benefits of the Program:
- It will provide incentives for housing
improvements through property tax refunds.
- It does not interfere with current property tax
revenues.
- It will create new long-term tax revenue,
without creating a fiscal burden for the City, County, and other taxing
jurisdictions.
- It will offer incentives for development/redevelopment
where development/redevelopment might not otherwise occur.
- It will help create jobs because, historically,
jobs follow development.
- It will help reverse the outward migration of
residents and the resulting deterioration of neighborhoods within the mature
portion of the City.
- It will help stabilize land value.
- It will strengthen the fiscal capacity of city
government to grow and serve the area.
- It provides a window of opportunity for
participation, thereby, prompting investment that otherwise may not have
occurred.
- It will encourage housing, commercial, and industrial
development in the City.
Section 2: Legal Description of Neighborhood
Revitalization District
Legal to be written once district is finalized.
Section 3: Value of
Real Properties
The appraised value
of the real estate in the District for the 3,644 parcels is:
Land: $ 173,275,840
Buildings:
$
658,099,525
Total Value: $ 831,375,365
The assessed
value of the real estate in the District for the 3,644 parcels is:
Land: $
Buildings:
$
Total
Value: $
Assessed value to be determined once district is
finalized.
Section 4: Owners of Record in the Districts
A list of
names and addresses of owners of record of real estate within the District are
available upon request from the City Clerk’s Office.
Section 5: Zoning Classifications and Land Use
See Appendix
II – Zoning Map.
See Appendix III
– Land Use Map.
Section 6: Current Condition of the Districts
The 1,718 acre
District is comprised of single family, two family and multifamily residential,
commercial, retail and office park components. The split of parcels in the District is
approximately 71% residential, 7% commercial, 13% ROW, 6% common grounds/public
and semi public, and 2% agriculture or vacant.
Of the residential units, approximately 68% of the residential
properties in the District are single family units, 19% are duplexes and 22%
are multifamily units (including skilled nursing facilities). The businesses (commercial, retail,
warehouse, etc) comprise approximately 7% of the parcels in the District. The remaining 22% of the parcels included are
right of way, agriculture/vacant and common ground. The
Utilizing the
2000 Census information, the demographics in the District are below:
Average Household
Income: $48,900
|
Race |
% of District Population |
|
Caucasian |
82.2% |
|
African
American |
4.9 |
|
Native
American |
>1.0% |
|
Asian |
4.9% |
|
Hispanic |
6.2 |
|
Total |
100% |
|
Age |
% of District
Population |
|
>5 |
6.2% |
|
5-9 |
6.43% |
|
10-14 |
6.0% |
|
15-19 |
5.9% |
|
20-24 |
8.8% |
|
25-34 |
18.3% |
|
35-44 |
15.0% |
|
45-54 |
13.7% |
|
55-59 |
4.4% |
|
60-64 |
2.8% |
|
65-74 |
4.6% |
|
75-84 |
4.8% |
|
<85 |
3.2% |
|
Total |
100.0% |
Other
statistics reviewed include crime rates and code violations. Approximately, 15,156 crimes occurred from
2001 to 2005 of which approximately 4,825 or 31.83% occurred in the District. Of these, 1,009 or 20.9% were serious in
nature compared to 2,419 or 16% outside of the District. Code violations in the
District reached approximately 4,739 from 2001-2005 or 38% of the City’s total
violations.
Section 7: Proposals for Improving Municipal Services in
the District
The City
recognizes the value of municipal services and capital improvements throughout
the community. The City is strongly
committed to maintaining a substantial presence in the District.
Efforts
underway or in planning stages include:
Capital
Projects 2006-2010
Road Improvements
Community
Center HVAC and Fire Suppression Upgrades (2006)
Roof Replacement
on Parks Maintenance Shops (2007)
Watershed Improvements
77th
and Caenen Storm Drainage Improvements (2006)
Crime Resistant Community Program
The purpose of the Crime Resistant
Community Program is to help deal with illegal activity and quality of life
issues that occur in our hotels and apartment communities.
It addresses criminal activities such as illegal
drugs and loud noise complaints, and also addresses quality of life issues such
as abandoned vehicles that can lead to an increase in criminal activity.
Rental
Licensing and Inspections Program
A program other
communities have used to keep maturing residential neighborhoods strong and
viable is a licensing and inspection program of rental properties ranging from
single family homes to apartments.
Enhanced
Code Enforcement.
As neighborhoods
in
Section 8: Criteria for Determining Eligibility
Eligible property
applies to additions or improvements to existing buildings, new construction,
or both (“Improvements”).
1. There will be a five (5) year application period beginning January
1, 2007, and ending December 31, 2012. At the end of four
(4) years, the City will review the Plan and determine its continuation. The
City reserves the right to evaluate the Program at any time. Applications approved
during the five-year period will continue to receive the tax rebate for a full
ten (10) years following completion of the project
(“Term”.)
2. The Improvements must result in an increase of $5,000
for residential and $10,000 commercial or industrial in the appraised value of
eligible property within twelve months of making the Improvements. Some Improvements,
such as major repairs (even those that may require a building permit) may not result
in an increase in the appraised value and thus will not be eligible for a
property tax rebate.
3. New and existing Improvements on property
must conform to all codes, rules, and regulations in effect at the time the Improvements
are made. Tax rebates may be terminated if Improvements do not conform to codes
during the Term.
4. Any otherwise eligible property with delinquent taxes
or special assessments shall not be eligible for a rebate until such time as
all taxes and assessments have been paid.
5. Qualified Improvements eligible for tax rebates under
the Neighborhood Revitalization Plan may submit only one application per piece
of property. Unless approved by City
Council action.
6. Tax rebate is personal to the owner. If a property is
sold the tax rebate will be terminated.
7. The Program is subject to approval of each taxing
unit which will be stated in the interlocal agreement between the City and taxing
jurisdictions. (See the City Clerk for taxing units who have adopted the Program.)
8. Construction must be completed in the time set out in
the Program application. Extensions beyond that period will be considered on a
case by case basis by the Assistant City Administrator.
9. Property Eligible for a Property Tax Rebate
a) Residential Property
i.
Property used
after improvement for single or multi-family residential uses shall be limited
to: redevelopment (ground up), rehabilitation
and alterations, including new or existing accessory structures to any existing
primary residential structure built prior to adoption of this Plan, including
alteration of a single-family home into a multi-family dwelling, shall be
eligible.
ii.
The Improvements
must meet the minimum health and safety codes of the City.
iii.
Eligible
residential property shall be eligible for a 75-85 percent rebate of property
taxes on taxable value of eligible Improvements for the Term (see Section 10.)
b) Commercial & Industrial Property
i.
All property
used exclusively after redevelopment (ground up)
or improvement for commercial
or industrial uses shall be eligible.
ii.
Mixed use
residential and commercial property shall be eligible if the residential use
qualifies or to the extent the Improvements are appraised as commercial
property.
iii.
Mixed use residential
and industrial property shall be eligible.
iv.
Eligible
commercial and industrial property shall be eligible for a 75% rebate of
property taxes on the appraised value of eligible improvements for the Term (see
Section 10.)
c) Agricultural and all other property
Property used after
improvement for agricultural or any non-commercial, non-industrial or
non-residential uses shall not be eligible.
10. General Provisions Applicable to All Rebate
Applications on Eligible Property
a) Property owners of all eligible property shall make
application filed with the City Clerk on application forms provided by the City.
b) Eligible Improvements must be authorized by a
building permit when applicable.
c) Property owners shall make application before a
building permit has been issued and the permit fee paid for any eligible Improvements
(Building Permit fees is refundable if the project meets the requirements of
eligibility). The deadline for application shall be prior to commencing
improvements. The property owner may appeal to the City Council and the City Council
may approve an application for rebate after the deadline but not later than
when the substantially completed improvements are first assessed by a Lenexa Building
Official or designee.
d) Only one application for rebate shall be allowed per
property. This application may include any
number of Improvements.
e) Any otherwise eligible property with delinquent taxes
or special assessments shall not be eligible for a rebate until such time as
all taxes and assessments have been paid. If delinquency occurs after entry
into the Program, the owner shall have ninety days to bring taxes current. If such delinquency continues beyond ninety
days, the property shall no longer be eligible for the Program. If such delinquency is corrected within the
initial 90 days, but reoccurs in subsequent years, the property shall no longer
be eligible for the Program.
f)
The property
owner shall notify the City when all improvements covered under the application
have been completed and the City shall inspect the Improvements for compliance
with the required building codes. The
City shall notify the
g) The
h) The rebate shall be calculated each year using the appraised
value resulting from the Improvements.
i)
The property
taxes must be paid and an increment generated before a rebate will be issued.
j)
The Assistant
City Administrator shall review all applications based on eligibility contained
in this Plan and approve such eligible applications. If an application is not
approved, the property owner may appeal the decision within 10 days of the date
of the Assistant City Administrator’s decision, in writing to the City Council
for final determination.
k) If this Plan is repealed or the rebate criteria
changed, any approved applications shall be eligible for rebates for the
remaining Term of the rebate originally provided in the Plan.
15. Construction of an improvement must have begun on or
after the date of the designation of the District and be located within the District.
16. The appraised valuation must increase by $5,000 for
single family and two-family residential and by $10,000 for multifamily and
commercial property.
17. An application for a tax rebate must be filed prior
to commencing construction.
18. The Improvements must conform to the City of
19. The new, as well as existing improvements on the
property must conform to all applicable codes, rules, laws, ordinances, and
regulations in effect at the time the improvements are made, and remain in
compliance for the length of the rebate or the rebate may be terminated.
20. List of
Improvements NOT Eligible for rebate
- Swimming pools
- All property within a TIF
- Any property which has or will receive a tax
abatement
21. Effective Dates of the Plan
This Plan and
property tax rebates provided by this Plan shall be effective upon the adoption
of this Plan by resolution of the City Council of the City of
Section 9: Application Procedures
Prior to filing the
Application for Tax Rebate, the following procedure apply:
1. Obtain an application from the Lenexa City Clerk,
located at
2. Prior to the commencement of construction of any Improvements
or new construction for which a tax rebate will be requested, the
applicant-owner will complete Part 1 of the application. Requests must be
received and approved before commencement of construction.
3. Part 1 of the application must be filed with the City
Clerk with a refundable application fee ($25.00 single family residential and $100.00
multifamily residential or commercial) prior to the commencement of
construction.
4. The City will notify by letter to the applicant
within ten (10) days of receipt of a completed and comprehensive application,
indicating approval or denial of the project.
5. The City Clerk will forward a copy of Part 1 to the
6. The applicant-owner will notify the
7. For any Improvements that are only partially
completed as of January 1, following commencement of construction, the
owner-applicant will file Part 3 of the application with the
8. For any improvement that is completed on or before
January 1, following the commencement of construction, the owner-applicant will
file Part 3 of the application with the
9. Soon after January 1, the
10. Upon filing of Part 3, and the determination of the
new valuation of the said real estate, the form will be filed by the City Clerk
with the
11. Upon payment in full of the real estate tax for the
subject property for the initial and each succeeding year period extending
through the specified rebate period, and within approximately thirty (30) day
period following the date of tax distribution by the City to the other taxing
units, a tax rebate in the amount of the tax increment will be made to the
owner. The tax rebate will be made by the Finance Director of
