Sep 02, 2022

šŸŽ„ City commission excited about more apartments to be developed in Hays

Posted Sep 02, 2022 11:01 AM
The Hadley Center, 205 E. 7th, currently houses 70 business tenants. Owner Dave VanDoren plans to remodel the third floor into apartments. (Courtesy Hadley Center)
The Hadley Center, 205 E. 7th, currently houses 70 business tenants. Owner Dave VanDoren plans to remodel the third floor into apartments. (Courtesy Hadley Center)

By BECKY KISER
Hays Post

More moderate income apartment housing is expected to soon be developed in Hays. 

Dave VanDoren, owner of the Hadley Office Center, has plans to add apartments to the third floor of the building in downtown Hays, located at 205 E. 7th.

To finance the construction, VanDoren wants to apply for a $650,000 Moderate Income Housing (MIH) grant from the Kansas Housing Resources Corporation (KHRC).

Hays businessman Dave VanDoren (center) is flanked by Doug Williams of Grow Hays (left) and Dan Steffen,&nbsp;<i>Kansas Department of Commerce&nbsp;</i><i>Regional Project Manager (right) at Thursday's Hays city commission work session.&nbsp;</i><br>
Hays businessman Dave VanDoren (center) is flanked by Doug Williams of Grow Hays (left) and Dan Steffen, Kansas Department of Commerce Regional Project Manager (right) at Thursday's Hays city commission work session. 

As Collin Bielser, asst. city manager, explained to city commissioners during their Thursday work session, only cities or counties with a population smaller than 60,000 may apply for the grant. Applications must include a resolution from the governing body indicating support for the project.

"Technically the grant would be between the city of Hays and Kansas Housing Resources Corporation.

"... This is the same agreement we did with Frontier Apartments having an assumption agreement.

"That's basically assigning the grant responsibilities over to Mr. VanDoren, also with a personal guarantee [from VanDoren] to follow through with the requirements...," Bielser said. 

No city incentives are requested.

To be eligible for the moderate income housing, a four-person household for example, must earn between $50,000 and $130,000, based on federal HUD (United States Department of Housing and Urban Development) guidelines.   

Two renovation phases are proposed, starting with the east wing of the building in phase one followed by the north wing in phase two.

Hadley Center owner Dave VanDoren of Hays, plans to remodel the building's third floor into 31 moderate income apartments. (Courtesy Hadley Center)
Hadley Center owner Dave VanDoren of Hays, plans to remodel the building's third floor into 31 moderate income apartments. (Courtesy Hadley Center)
Some of the one-bedroom apartment units would include an office. (Courtesy Hadley Center)
Some of the one-bedroom apartment units would include an office. (Courtesy Hadley Center)

Phase one would consist of 23 total units, one and two bedroom apartments. Some of the one-bedroom units would include an office. 

VanDoren said tenants would have easy access to many amenities in the Hadley Center, including a restaurant, hair salon, and massage services. "There's over a mile of hallways you can walk indoors when the weather is bad," he said.

VanDoren also noted the building's close proximity to downtown Hays with many other services and amenities nearby.

According to VanDoren, there are currently 70 businesses occupying the Hadley Center. 

"It's a great project," City Commissioner Sandy Jacobs told VanDoren. "Appreciate your investment again in the community."

"Absolutely," agreed Mayor Mason Ruder. "Thank you for chipping away at this housing problem that we have."

The city's resolution of support for the project will be considered at the Sept. 8 commission meeting. 

Jacobs also updated the commission on her recent discussion with a couple of the outside agencies requesting funding from the city in 2023.

"Julie Rider, the interim director of DHDC (Downtown Hays Development Corporation) is working very hard to make a difference on their financials."

The United Way of Ellis County moved into the same office location as DHDC earlier this week, "so DHDC's rent is half of what it was before," Jacobs reported.  

Rider is also reviewing DHDC computer costs and was able to downsize to a smaller, less expensive Illustrator program, eliminating $400 a year from their budget.

"Whenever our outside agencies are making those kind of attempts at improvement, I want everybody to know about it," Jacobs said. 

Karen Dreiling, DHDC member and owner of Furniture Look, speaks to Hays city commissioners on Aug. 18 about the downtown organization's economic impact on the town.&nbsp;
Karen Dreiling, DHDC member and owner of Furniture Look, speaks to Hays city commissioners on Aug. 18 about the downtown organization's economic impact on the town. 

Following another round of discussion during the August 18 work session, city commissioners finally agreed on the funding requests from outside agencies for 2023.

A total $215,000 will be allocated to the non-profit groups:  

* CARE Council ā€“ full request ($170,000) from social services budget in the General Fund; up $2,000 from last year
     Western KS Child Advocacy-$10,000
     Center for Life Experience-$3,500
     Big Brothers Big Sisters-$16,000
     Cancer Council-$1,500
     CASA of the High Plains-$11,000
     First Call for Help-$30,700
     Options-$5,300
     Hays Senior Center-$13,750
     DSNWK Access Transportation-$75,250
     Western KS Assoc. for Concerns of the Disabled-$3,000

* FHSU Scholarship Program - full request ($100,000) from Economic Development budget in the General Fund

* Grow Hays ā€“ full request ($180,000) from economic development budget in the General Fund

* Ellis County Historical Society ā€“ full request ($21,116) from CVB; up from $3,000 last year

* Hays Arts Council ā€“ full request ($15,000) from CVB

* Wild West Festival -  ($9,500) from CVB; down $500 from last year

* DHDC ā€“ full request ($60,000) from CVB; up $6,000 from last year

* Sister Cities ā€“ full request ($5,050) from CVB

The Hays Chamber also made a funding request of $45,000. This was a first-time request for the chamber, and a one-time request, according to Sarah Wasinger, president and CEO.

Chamber members will see an across-the-board 10% increase in their dues next year.

"We're hoping that (along with other new plans) will bring some sustainability to us," Wasinger told commissioners. 

A small dues increase was implemented this year.

"We had about 25 members drop out because of inflation and things of that nature. We're really not sure how many more might drop  out next year.

"So this is really just to give us a baseline and an extra year to put those other pieces in place so we can continue to still pay our staff (of four) liveable wages and still work on projects like childcare."

If approved by city commissioners, the chamber's allocation would not be funded through the 2023 budgeting process, but from the commission capital reserve account. That would take separate action at a future commission meeting.

The city commission is scheduled to conduct its revenue neutral rate public hearing and 2023 budget public hearing at its Sept. 8 regular meeting.