By BECKY KISER
Hays Post
Hays city commissioners were presented with a few minor adjustments to the draft 2027 budget during their work session Thursday.
Collin Bielser, deputy city manager, reminded commissioners it was the last scheduled review to establish a maximum levy authority.
"We have to get this published in the next couple weeks so people will know what the max is," Bielser said. "You can always go down, but we can't go up."
Commissioners praised Bielser, the department heads and staff members for a job well done.
"It's a great budget," said Sandy Jacobs, commissioner.
"You guys have kind of planned for the future, reducing where you need to," said Mason Ruder, mayor. "This is one of the easiest budgets I've ever read. I know where things are at and why they're there."
At an earlier work session, Bielser noted proposed expenditures in the general fund are only about half a million dollars more than 2026. The overwhelming majority (76%) is because of a 2% step in employee salary increases, along with a 2% cost-of-living adjustment.
"This recommended budget is taking care of our employees and maintains operations," Bielser said.
The mill levy for the draft 2027 budget is 24.153 mills. That is a decrease of about .2 mills.
The city notified the Ellis County Clerk of its intent to exceed the revenue neutral rate, as required by the state. To be revenue neutral, a taxing entity can’t collect more in taxes than it did the previous year.
On Sept. 10, a revenue-neutral rate public hearing will be conducted during the regular commission meeting, along with approval to exceed the revenue-neutral rate. Those will be followed by the budget public hearing and approval of the 2027 budget.
The draft budget is available on the city's website.
Debt collection services
Jami Breit, city clerk, presented a request to change to using a collection service for utility and abatement debts to the city. All fees associated with the collection agency would also be assessed to the customer.
Currently, the city uses a program through the State of Kansas for debt collection purposes, but Breit told commissioners a collection agency service is a "cleaner process."
More than $30,000 is owed in outstanding debts by city customers.
City staff wants to replicate the process already used by Hays Municipal Court, which has a better success rate, Breit said.
The proposed ordinance was moved on to the Aug. 13 meeting for a vote.
Former Lincoln school housing development
Jarrod Kuckelman, assistant city manager, presented economic development incentives requested by Hays developer Michael Graham for the historic Lincoln School and its grounds, 1906 Ash.
They are an ordinance establishing a reinvestment housing incentive district (RHID), a development plan of housing and public facilities in the district and approval of a development agreement.
Graham plans to renovate the former Lincoln school building into a 26- unit apartment complex and construct seven additional structures on the property, with four living units in each structure.
Graham also requested a resolution of intent to issue industrial revenue bonds for a state sales tax exemption for the project and a resolution of support for Kansas Housing Investor Tax Credits (KHITC) of $840,000.
All items were moved on to next week's meeting.
Tallgrass First Addition Phase 6
GK Real Estate Development, LLC, Ellis, has petitioned the city for street, stormwater, water and sanitary sewer improvements to an area of 24 lots in the Tallgrass First Addition Phase 6 through the use of a benefit district. The area includes Rolling Hills Drive, and portions of East 19th and East 20th streets.
The engineer’s estimate for total construction costs is $1.6 million.
Seventy percent of the special benefit district costs would be allowed to be special assessed to property owners, with the remaining 30% being paid in full by the developer prior to the award of the construction contract.
This would be the developer's first project in Hays.
"We have a need for all types of housing in Hays, including the higher-end housing which is what this will be," said Toby Dougherty, city manager.
The resolution to establish the benefit district along with an engineering services agreement with Driggs Design Group, Hays, for $31,500, will be voted on next week.
Executive session
Dougherty called for a 30-minute executive session with city commissioners, Bielser and Kuckelman, to discuss data related to the financial affairs or trade secrets of corporations, partnerships, trusts and individual proprietorships.
No action was taken after the executive session.
Commissioner Shaun Musil was absent from the meeting.