ORDINANCE NO. 230378
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Sponsor: Director of Housing and Community Development Department
Authorizing the Director of the Housing and Community Development Department to negotiate and execute a Central City Economic Development Funding Agreement with 2000 Vine Street, LLC, in the amount of $950,000.00 for the purpose of site development of a mixed-use building, located at 2000 Vine Street; and appropriating money for such purpose.
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WHEREAS, 2000 Vine Street, LLC (“Developer”) has proposed to construct 2000 Vine, a mixed-use office, event space, art gallery, co-working space and outdoor street cafe, expanding the cultural corridor of Vine Street, to be located in Wendell Phillips neighborhood along Vine Street (the “Project Site”); and
WHEREAS, the Developer’s proposal includes buildout of flexible outdoor community spaces programmed to provide opportunities for micro-businesses to participate at the scale of food trucks, small business stands, micro-office suites and full service retail tenants within the overall outdoor campus; and
WHEREAS, the Developer’s proposal contemplates a financing package that includes Central City Economic Development Sales Tax Funds; and
WHEREAS, the Developer requested a public contribution of $950,000.00 and the Central City Economic Development Sales Tax Board has recommended that funding be approved in the amount of $950,000.00; and
WHEREAS, the project serves a predominantly public municipal purpose because, without limitation, completion of the project (i) enhances the tax base of the Project Site; (ii) retains and generates jobs; (iii) promotes economic development in the area of the City in which the Project Site is located, and promotes consideration of areas of the City that the City Council has determined to be blighted as a location for business operations; (iv) results in generation of tax revenues to the City from the conduct of business and other activities in the City that would not otherwise occur; (v) serves as a catalyst for additional investment in and further redevelopment and rehabilitation of the area of the City in which the Project Site is located; and (vi) furthers the City's policy of encouraging economic stability and growth; and
WHEREAS, the City desires to encourage the Developer to carry out the project for the purpose of realizing these predominantly public purposes by entering into an agreement to contribute certain revenues in an amount needed to cause the project to be undertaken and attract the necessary private investment; and
WHEREAS, the contributions contemplated by the Funding Agreement are limited to those which have been determined to be needed for the purpose of ensuring that the project proceeds, and but for their contribution, the project would not proceed, to the detriment of the public interest; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:
Section 1. That the sum of $950,000.00 is hereby reduced in the following account of the Central City Economic Development Sales Tax Fund:
24-2200-552047-B-619080 Central City Sales Tax $950,000.00
Section 2. That the sum of $950,000.00 is hereby appropriated to the following account of the Central City Economic Development Sales Tax Fund:
24-2200-555998-B-619080-552000Vine 2000 Vine $950,000.00
Section 3. That the Director of the Housing and Community Development Department is hereby authorized to execute a Funding Agreement with 2000 Vine Street, LLC. for the purposes contemplated herein in an amount not to exceed $950,000.00, to be paid from funds herein appropriated in the Central City Economic Development Sales Tax Fund to Account No. 24-2200-555998-B-619080-552000Vine.
Section 4. That the Director of the Housing and Community Development Department is directed to negotiate a funding agreement that provides for compliance with any applicable provisions of the Missouri Prevailing Wage Law and any applicable provisions of the City’s Contracting Program Requirements set out in Article IV, Chapter 3, Code of Ordinances, including, but not limited to, the provisions concerning affirmative action, Minority and Women’s Business Enterprises and the Small Local Business Enterprises program. Further, the Director of the Housing and Community Development Department is directed to negotiate a funding agreement that prohibits the use of any CCED sales tax funding for the repayment of any preexisting debt or repayment for services or work performed prior to the execution of the funding agreement. In addition, the Director of the Housing and Community Development Department is directed to negotiate a funding agreement that requires the disclosure of total project funding sources and projected costs and periodic reporting of project progress.
Section 5. That the Director of the Housing and Community Development Department is hereby designated as requisitioning authority for Account No. 24-2200-555998.
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I hereby certify that there is a balance, otherwise unencumbered, to the credit of the appropriation to which the foregoing expenditure is to be charged, and a cash balance, otherwise unencumbered, in the treasury, to the credit of the fund from which payment is to be made, each sufficient to meet the obligation hereby incurred.
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Tammy L. Queen
Director of Finance
Approved as to form:
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Joseph A. Guarino
Senior Associate City Attorney