Overland Park council begins work on Brookridge public funding — again

The two-year-long saga of the Brookridge development continued Monday as Overland Park City Council members restarted talks about public financing with special tax districts.

Council members set Dec. 19 as the public hearing date to discuss tax increment financing and sales tax revenue (STAR) bonds to pay some of the development costs of a project that is expected to cost $1.8 billion when it is fully built. The vote only establishes the public hearing date and does not commit the city to a financing plan.

The development at the golf and country club at Interstate 435 and Antioch Road would eventually include 2 million square feet of office space, 370,000 square feet of retail space, 550 hotel rooms, 2,187 apartment units and a 3,500-seat performance venue. Attorney John Petersen described it as a “live-work-play” concept. It would be built in three phases, with construction expected to begin in 2017. Petersen said the developer hopes to be able to finish the northern part within five years.

While no formal request has yet been made for financing, the developer intends to ask for other funds besides the TIF and STAR bonds, city officials say. The project also may be funded by a community improvement district; a $10 million investment from the city, and an economic development revenue bond that allows a sales tax exemption on construction materials. The council only addressed the TIF and STAR districts Monday. A staff document estimated that about 30 percent of the entire project costs would be public funding.

“It has been a long process,” Petersen said. “but we want you to know that since we were here the night we received our zoning and our plan approval, (the developers) have not rested. They have continued to find ways to make this truly an iconic project.”

The Brookridge development has been adamantly opposed by neighbors fearing the increased density and loss of green space. The hearings on the rezoning, which was approved in June, were sometimes contentious, with neighbors at times interrupting the proceedings with shouts of disapproval.

Monday’s discussion at a council committee meeting began in a similar vein, with one woman repeatedly interrupting Mayor Carl Gerlach to the point that he threatened to have her ejected. “This is not a presidential election,” he said. Although a few of the development’s opponents could be heard murmuring disapproval at times, the meeting proceeded with no other outbursts. There was no public comment period at Monday’s meeting.

The council had to start over again on the taxing districts. The TIF and STAR bonds districts were established back in 2014, but were invalidated because the city did not meet its legal requirement to notify the Johnson County Commission and the Shawnee Mission School District. Those two entities essentially have veto power over those districts because their revenue is also affected.

Besides setting a public hearing, the council also sent a new request asking the Kansas Secretary of Commerce to once again decide whether the project is eligible for STAR bonds, which are intended to help developments that are tourist attractions.

The current project has been streamlined, Petersen said, with three project phases replacing the former 26. He also sought to reassure council members about progress on buying some residential properties along Antioch Road that would be included in the districts. The developer has bought seven of the properties and removed some, and is in talks with other property owners who would be included in the district.

In a series of unanimous or nearly unanimous votes, the council decided to restart the process on the taxing districts. For some, the decision turned on the fact that the districts already had been created but were lost due to the city’s mistake.

“It’s the only fair thing to do, not only to set the public hearing but after the public hearing to recreate the districts,” said Councilman Terry Goodman.

Councilman Paul Lyons disagreed, saying that the two years that have passed since original approval were a long enough time that all aspects should be reconsidered.

This story was originally published November 8, 2016 at 11:18 AM with the headline "Overland Park council begins work on Brookridge public funding — again."