Reporter Cristina Janney speaks with Doug Williams of Grow Hays about the 24/7 Travel Plaza development on this episode of the Hays Post Podcast.
By BECKY KISER
Hays Post
Two economic development incentives requested from the city of Hays for a planned full-service 24/7 Travel Plaza and convenience store north of Interstate 70 are a good investment, said Mason Ruder, mayor, at Thursday's city commission work session.
"I was looking at the rate of return for the city of Hays. It's almost 2,200%," Ruder said.
Commissioner Sandy Jacobs said, "It's a really exciting project, and I'm ready to see what it does to that interchange with some alternate routes into town.
"I happen to believe it's going to be a really busy interchange as people really get in their brains that that's the way you get down to the university."
Shaun Musil, commissioner, expects to see more business develop in the area over time.
"It's going to take a few years, but I think it's going to be a big part of our community and bring in more sales tax," he said.
Commissioners unanimously agreed to move to next week's meeting two resolutions for public hearings, one for a Tax Increment Financing (TIF) project plan and the other for a Community Improvement District (CID).
The financing district would capture all incremental property tax revenues within the TIF District, but no sales taxes, in line with the city’s economic development policy. No bonds would be issued.
The developer, Triplett, Inc., Salina, estimates that the TIF would generate $4.5 million during its 20-year life for TIF-eligible expenses on a pay-as-you-go basis.
Within the improvement district, a 2% CID sales tax would be imposed in addition to the city's current 2.25% sales tax.
The CID sales tax revenues would be used to reimburse the developer on a pay-as-you-go basis for CID-eligible expenses, primarily related to the private construction costs of the Travel Store, gas pumps and related private improvements.
The developer estimates the CID sales tax would generate about $2 million to fund CID-eligible expenses during its 22-year life.
Total project cost is estimated at $11 million.
Triplett already operates a small 24/7 Travel Store in Hays at 3601 Vine St., south of the interstate Exit 159.
Rezoning requests
Commissioners also moved on two rezoning requests on East 27th Street.
The first request is to rezone property at 2460 E. 27th St. from an agricultural district to a light industrial district.
The property is owned by L&A Enterprises. The owner wants the zoning change in order to expand services.
The second rezoning request is for the adjacent property at 2470 E. 27th St., owned by Josh Ziegler, to change the designation from general commercial district to light industrial district.
Ziegler owns and operates T.S.B. Storage on the property.
The Hays Area Planning Commission has already approved both requests.
Executive session
Mayor Ruder called a 30-minute executive session to include the city commissioners for discussion of personnel matters. No action was taken.