Memorandum

City of Lawrence

City Manager’s Office

TO:	David L. Corliss, City Manager
FROM:	Diane Stoddard, Assistant City Manager
CC:	Cynthia Wagner, Assistant City Manager
Date:	March 7, 2011
RE:	Consider Establishment of a Neighborhood Revitalization Act Policy for the City of Lawrence

Background/Discussion:

Staff has prepared a draft resolution setting for the City’s policies regarding the establishment of Neighborhood Revitalization areas within the City of Lawrence in accordance with the State of Kansas’ Neighborhood Revitalization Act.  The Neighborhood Revitalization Act is a redevelopment tool that enables cities to set out programs that encourage redevelopment and revitalization of structures within a certain geographic area.  Development is encouraged by rebating a portion of the incremental property tax increases associated with the investment in improving the property.  The policy sets forth the criteria and process for requesting the establishment of such areas within the City.  

The draft policy follows state statutes regarding the overall process.  Section Three sets forth the criteria to be considered.  This section enables the eligibility of a single property, a group of properties, or an entire neighborhood area to seek designation.  The three main criteria indicated in the statute are also included.  There are additional local criteria included in the draft.  These criteria mirror community values in other policies and include:

1. the opportunity to promote redevelopment activities which enhance Downtown Lawrence;

2. the opportunity to promote redevelopment activities for properties which have been vacant or significantly underutilized on sites around Lawrence.

3. the opportunity to attract unique retail and/or mixed use development which will enhance the economic climate of the City and diversify the economic base.

4. the opportunity to enhance the vitality of a neighborhood within the City as supported by the City’s Comprehensive Plan and/or other sector planning documents.

5. the opportunity to enhance the community’s sustainability by supporting projects which embrace energy efficiency, multi-modal transportation options, or other elements of sustainable design.

The Commission may wish to discuss any additional elements to add to the policy, such as thresholds for investment and anticipated reimbursement levels.  The way the policy is drafted currently enables the City Commission to consider these issues with each proposal that comes forward and provides the most flexibility for the City Commission.

Each neighborhood revitalization area established under the policy must have its own Neighborhood Revitalization Plan established.  This plan would then set forth the particular parameters surrounding that project, including the term and reimbursement levels of the increment generated from the project. 

Suggested Action:

Consider referring the draft Neighborhood Revitalization Act policy to the Public Incentive Review Committee for review and comment.