Coffey County adopts resolution to set public hearing on housing incentive district for 14-home project

The Coffey County Commission voted unanimously to approve Resolution 202078, a step to establish a Reinvestment Housing Incentive District for a proposed 14-home development.

Economic Development Director Ginny Tettman and a consultant explained the RHID process to the commission, saying the developer intends to build infrastructure up front and seek reimbursement over time from the tax increment produced within the district. The developer has identified about $840,000 of horizontal infrastructure costs eligible for reimbursement, the presenters said.

"The developer would construct the infrastructure upfront and then be entitled to reimbursement over time as that property tax increment is generated," the consultant said, explaining that the RHID captures tax growth within the district for a set period rather than increasing the property tax rate for homeowners.

Commissioners asked about inspection and handoff requirements. The consultant said a development agreement will require that any infrastructure turned over to the county meet county standards and inspections before the county accepts ongoing maintenance responsibility.

Chair (speaker 2) moved to adopt the resolution to set the public hearing and to provide for statutorily required notices; the motion carried 5-0. The county will publish notices, notify affected taxing jurisdictions and the school district, and hold a public hearing in June to receive public comment and consider whether to create the district.

If the county and school district proceed, the school district will have a 30-day protest period related to potential capture of levies. The consultant reminded commissioners the maximum capture period for a district is 25 years.

Next steps: the county will finalize hearing documents, confirm notification to the school district and Secretary of Commerce, and hold the scheduled public hearing. The county staff said they will bring back a development agreement and additional documents if the commission chooses to proceed after the hearing.

Provenance: discussion and motion appear in the meeting transcript beginning with an RHID presentation and continuing through the adoption of Resolution 202078 (see timeline entries).