The city of Harrisonville is one of the parties looking to dissolve an underperforming taxing district around Cass Regional Medical Center due to lack of growth and lack of funds, and on Monday night, the board of aldermen passed a resolution allowing the city administrator to enter into an agreement in order to get rid of transportation development district.
In 2013, the city of Harrisonville, along with Cass County, entered into an agreement with the hospital interchange transportation development district (TDD) to fund roadway improvements around the hospital.
Now, four years later, City Administrator Happy Welch says the taxing district doesn’t generate enough funds to to cover the attorney fees to maintain it. City documents show the TDD brought in a little more than $2,100 last year in revenue. The majority of that revenue is generated by a single pharmacy inside the hospital that charges sales tax. The district’s sales tax rate is set at 1 percent.
“Even though it’s a 50-year TDD, it’ll probably never pay it off with that amount. It just hasn’t performed,” Welch said during the meeting.
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According to the 2013 agreement, tax revenue from the district was supposed to help the county and city fund several road improvement projects, including a diamond-type interchange with roundabouts along U.S. 71 and a new bridge connecting Rock Haven Road and Peculiar Drive.
The city took steps to dissolving the TDD during Monday night’s meeting. The aldermen voted unanimously to pass a resolution allowing the city to amend TDD agreement to dissolve the taxing district and pay off its portion of establishing the TDD. In a memo to the board, Welch said the city would owe $12,500 to pay to Gilmore & Bell, P.C., the law firm representing the district. The city said funds to pay off its portion in order to dissolve the TDD are available in the 2017 budget.
The city administrator said the county has also expressed interest in dissolving the TDD, and the matter will likely be taken up by the county commission in one of its next meetings. The amendment to the TDD agreement will then go to the TDD board, a board that consists of representatives from the city, county as well as landowners.
According to the first amendment to the TDD agreement, the county would also be required to pay $12,500 to cover its own portion of the formation costs of the district.
The remainder of the costs, $53,099, is set to be wiped off the books by Gilmore & Bell, according to the amended agreement.
In other business Monday night, the Harrisonville board of aldermen also passed the following with one alderman, David Dickerson, absent from the meeting:
▪ On 4-3 vote, passing an amended ordinance that calls for no parking on the south side of Elm Street between Price Street and Halsey Street at all times, and no parking on the north side of Elm Street between Price Street and Halsey Street on school days between the hours of 11 a.m. and 4 p.m. The time change from 7 a.m. to 11 a.m. was recommended by the public safety committee while staff recommended no parking from 7 a.m. to 4 p.m., per the initial ordinance. Aldermen Judy Bowman, Marcia Milner and Judy Reece voted against the ordinance and against the amended times from 7 a.m. to 4 p.m. to 11 a.m. to 4 p.m. Aldermen Matt Turner, Clint Long and Brad Bockelman voted in favor of the amended ordinance. Mayor Brian Hasek broke the tie and voted in favor of the amended ordinance.
▪ Unanimously approved a resolution to enter into a a tree trimming agreement with American Legion.
▪ Unanimously approved a resolution to enter into an agreement with Midwest Public Risk for fiscal year July 1, 2017 through June 30, 2018.
▪ Unanimously approved a resolution to enter into agreement with Tailor Made Exteriors, LLC in the amount of $40,726.88 for parks roofing repairs.
▪ Unanimously approved a resolution authorizing the city administrator to enter into an agreement with Redford Construction for the 2017 Ann Terrace Storm Drainage Improvements in an amount not to exceed $143,808.
▪ Unanimously approved a resolution to enter into an agreement with Alliance Pump to provide pump repair services at Lake Harrisonville in an amount not to exceed $26,094.07.
▪ Unanimously approved a resolution rescinding an existing policy and adopting an updated investment policy for the city of Harrisonville.
▪ Unanimously passed an ordinance regarding an established procedure to disclose potential conflicts of interest and substantial interests for certain officials and to amend the time in which candidates for office are required to file disclosure statements with the city clerk.
▪ Unanimously passed an ordinance repealing certain sections of section 500 building and property maintenance codes, section 505 building regulations and chapter 700 utilities of the Harrisonville code of ordinances, and enacting new sections.