By TONY GUERRERO
Hays Post
A Reinvestment Housing Incentive District was approved for Big Creek Estates on Tuesday.
This is a procedural step and does not finalize the development's creation. Adam Pray of the Platinum Group and David Clingan of Grow Hays spoke at the Ellis County Commission meeting.
The tax incentive district covers 13 homes planned southeast of Hays, with construction costs estimated at $600,000. The resolution acknowledges a local housing shortage and begins the process by submitting a housing study to the Kansas Secretary of Commerce for review.
The incentive district uses new property tax revenue from the development to reimburse infrastructure expenses. About $300,000 will go toward a lift station to provide sewer access.
"The 13 homes could generate an estimated $325,000 to $455,000 annually in local economic activity. Over a 20-year period, that equals about $6.5 million to $9 million just for 13 homes being added to our county," Clingan said.
Pray said housing demand far outweighs supply, with some buyers waiting for years. A 2022 housing needs assessment presented to the commission showed the county has fallen short of basic growth targets.
Rising development costs and affordability challenges have made it difficult to build new homes without financial incentives. Pray said there is a waiting list of 67 potential buyers.
"We've got one couple right now that came up from Houston. They've been looking for a year and a half," Pray said. "We just had a couple move here from Topeka. They've been looking for four years."
Pray said homes are typically sold before construction begins, and he expects the same for Big Creek Estates. He added the Hansen Foundation awarded a grant for the first four homebuyers, which can be used to lower interest rates, cover closing costs or other buyer expenses.
The resolution passed unanimously, but Commissioner Nathan Leiker said he is not yet fully committed to supporting the incentive district.
"I have no problem seeing this start advancing forward, but I'm not sure if I'll be able to support it after the public hearing. I will be doing more homework on it," Leiker said.
A certified copy will be submitted to the Kansas Secretary of Commerce. If the secretary approves, the county can schedule a public hearing and further consider the district.