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					STATE OF KANSAS              )
WYANDOTTE COUNTY             )) SS   REGULAR SESSION, THURSDAY, DECEMBER 21, 2006
CITY OF KANSAS CITY, KS      )


       The Unified Government Commission of Wyandotte County/Kansas City,
Kansas, met in regular session, Thursday, December 21, 2006, with eleven members
present: Gilstrap, Commissioner At-Large First District; DeSeure, Commissioner At-
Large Second District; Barnes, Commissioner First District; Miller, Commissioner
Second District, Mendez, Commissioner Third District; Mitchell, Commissioner Fourth
District; Kane, Commissioner Fifth District; Pettey, Commissioner Sixth District;
Cooley, Commissioner Seventh District; Ellison, Commissioner Eighth District; Reardon,
Mayor/CEO presiding. The following officials were also in attendance: Dennis Hays,
County Administrator, Doug Bach, Deputy County Administrator; Hal Walker, Chief
Counsel; Tom G. Roberts, Unified Government Clerk; and Sergeant-At-Arms, Captain
Bill Howard.


MAYOR REARDON called the meeting to order.


ROLL CALL: Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
Mitchell, Kane, Reardon.


INVOCATION was given by Commissioner Barnes.


THE AGENDA for December 21, 2006, was presented. Tom G. Roberts, Unified
Government Clerk, stated there were no revisions.


MAYOR’S AGENDA
ITEM NO. 1 – 970013…COMMUNICATION
Synopsis:      Consider the nomination of Sister Therese Bangert for reappointment to
the Health Midwest Board of Directors, effective January 1, 2007.
Action:        Commissioner Miller made a motion, seconded by Commissioner
               Mendez, to approve. Roll call was taken and there were ten “Ayes,”
               Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
               Mitchell, Kane.


ITEM NO. 2 – 060307…COMMUNICATION
Synopsis:      Request approval of the 2007 Unified Government State Legislative
Program and 2007 Federal Legislative Agenda, submitted by Mike Taylor, CAO/Public
Relations.


Mayor Reardon stated in earlier public session we were presented the Legislative
Programs for both the State and Federal Legislative Agenda. Mike Taylor prepared those
and he is available this evening for Commission.         Indicate to us if there are any
substantive changes since we met in Special Session on the ninth floor earlier.


Mike Taylor said I did make changes based on discussion from the Commission last
week in both the State and the Federal Programs. On the priority page adding on the
Property Tax Relief section about the Homestead Exemption added a section about also
looking at Property Tax Deferral possibilities. In the Federal Program we also added a
section about continued funding for the Turkey Creek Flood Control Project. Those were
specifics that were mentioned by Commissioners last week during the session.
Commissioner Pettey said under the Federal Legislation of the Legislative Agenda did
you add information concerning healthcare? Mr. Taylor said yes Commissioner I did. I
added that along with workforce training on the last page of that in the revised document
that you received. An entire section about healthcare cost based on recommendations
that you and the committee made. Commissioner DeSeure said I know I didn’t have an
opportunity to be at that session, I would like to request from the other Commissioners
and also address to the Administrator, I know in the future we are going to need to deal
with Juvenile Campus Facility. I would like to have that included in the Economic and
Development part of our Legislative Agenda also.




                                   December 21, 2006
Action:        Commissioner Miller made a motion, seconded by Commissioner
               Ellison, to approve. Roll call was taken and there were ten “Ayes,”
               Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
               Mitchell, Kane.


CONSENT AGENDA
Mayor Reardon asked if there were any set-asides on the Consent Agenda. There were
none. Commissioner Kane made a motion, seconded by Commissioner Mendez, to
approve the Consent Agenda. Roll call was taken and there were ten “Ayes,” Pettey,
Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez, Mitchell, Kane.


ITEM NO. 1 – 030499…RESOLUTION
Synopsis:      Request adoption of resolution setting February 1, 2007, as a public
hearing date to consider adoption of the 38th & Leavenworth Road “C” Redevelopment
District, submitted by LaVert Murray, Development.            The area is bounded by
                                    th
Leavenworth Road on the north, 38 Street on the east, 240’ south of Leavenworth Road
on the south and 420’ west of 38th Street on the west. Acquisition, demolition, site
preparation and public infrastructure improvements are estimated at $176,000. Estimated
cost for construction of a commercial building on the site is $500,000.


Action:        RESOLUTION NO. R-154-06, “A resolution setting the public hearing
               date of February 1, 2007, to consider the adoption of the 38th &
               Leavenworth Road “C” Redevelopment District. Commissioner Kane
               made a motion, seconded by Commissioner Mendez, to approve. Roll
               call was taken and there were ten “Ayes,” Pettey, Cooley, Ellison,
               Gilstrap, DeSeure, Barnes, Miller, Mendez, Mitchell, Kane.


ITEM NO. 2 – 050061…PLAT
Synopsis:      Robert Landmark 2 located at Hutton Road and Haskell Avenue and being
developed by Reid Roberts, submitted by L. Allen Greenwood, Surveyor, and Fred
Backus, County Engineer.



                                   December 21, 2006
Action:       Commissioner Kane made a motion, seconded by Commissioner
              Mendez, to approve. Roll call was taken and there were ten “Ayes,”
              Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
              Mitchell, Kane.


ITEM NO. 3 – 970013…APPOINTMENTS
Synopsis:     Request appointments to Boards and Commissions:
Gerald Baker to the Planning Commission, 12/21/06 – 10/1/07, submitted by
Commissioner Gilstrap. Loris Jones to the Wyandotte/Leavenworth Area Wide Advisory
Council on the Aging, 12/21/06-10/1/08, submitted by Commissioner Mitchell.


Action:       Commissioner Kane made a motion, seconded by Commissioner
              Mendez, to approve. Roll call was taken and there were ten “Ayes,”
              Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
              Mitchell, Kane.


ITEM NO. 4 – MINUTES
Synopsis:     Minutes from Regular Session of November 16, 2006, and Special Session
of December 11, 2006.


Action:       Commissioner Kane made a motion, seconded by Commissioner
              Mendez, to approve. Roll call was taken and there were ten “Ayes,”
              Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
              Mitchell, Kane.


ITEM NO. 5 – WEEKLY BUSINESS MATERIAL
Synopsis:     Weekly business material dated December 8, 2006.


Action:       Commissioner Kane made a motion, seconded by Commissioner
              Mendez, to receive & file.    Roll call was taken and there were ten




                                December 21, 2006
               “Ayes,” Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller,
               Mendez, Mitchell, Kane.


PUBLIC HEARING AGENDA
ITEM NO. 1 – 060272…PUBLIC HEARING/ORDINANCE
Synopsis:      Conduct a public hearing and request adoption of an ordinance
establishing the Strawberry Hill Neighborhood Redevelopment District, submitted by
LaVert Murray, Development. The area is bounded by 6th Street on the west, Ann
Avenue on the south, Armstrong Avenue on the north, and 4th Street on the east. The
proposed plan for this TIF District consists of the construction of 67 or more new, two
and three bedroom for sale, market rate town homes. On November 16, 2006, the
Commission adopted Resolution No. R-144-06 setting the public hearing date.


LaVert Murray, Director of Development, said I did want to display the larger map
showing the boundaries of the proposed TIF District that’s before you tonight. On
November 16, 2006 the Unified Government Commission adopted Resolution R-145-06
which established the public hearing tonight to hear comments with regards to the
proposed 2-C Strawberry Hill TIF District. The district as depicted on this map is
bounded by, and for the sake of the public, I will point out the boundaries. Armstrong
Ave. on the north, by Ann Ave. on the south, North 4th Street on the east, and the alley
adjacent to 6th St. on the west. Of course those boundaries meander just a bit. The
proposed development for this area, the Strawberry Hill TIF District, proposes a number
of Town Home Developments. As you can see from the depiction in the material
circulated to the Commission, it proposes 9 town home developments to the west of 5th
Street on Armstrong, again an additional 21 town home developments to the east of 5th
St., 37 town home unit developments along Ann Ave. The development is pursued by
the 2-C Development that’s representing both City Vision Ministries and they are
represented here tonight and CHWC is also represented. I should point out that this
district is, and you will find similarities between this district and other TIF Districts to be
presented here tonight. This proposed TIF District exists with an existing enterprise
zone. These enterprise zones were established back in the early 90’s and of course the



                                    December 21, 2006
TIF Statutes 12-1771 authorizes TIF Districts to be established within enterprise zone
areas and if there is no enterprise zone area the only other way to create a TIF District is
through a declaration of blight for that area. This area has not been declared blighted; it
is within, as I stated before, an enterprise zone. It promotes the redevelopment of this
area with town home unit development. We find this development to be a very positive
improvement upon the downtown and the Strawberry Hill area.                  We do have
representatives from 2-C Development that can address any specific concerns you might
have about this district. Your staff is aware that there have been meetings between 2-C
and members of the Strawberry Hill area. We have heard of no opposition to the Town
home Development proposed for this area.          The staff would recommend that the
Commission approve the establishment of this TIF District at the conclusion of the public
hearing tonight.


John Harvey, City Vision Ministries, said we just want to emphasize this is a
partnership between these two Community Development Corporations.                 We have
networked very thoroughly with the neighborhood on this project. We anticipated to be
performed in two phases.      The first phase will be the 30 town home units along
Armstrong that LaVert mentioned. The first phase would be about 6 ½ million dollars
worth of development.      These would be market rate ownership town homes.             We
anticipate price points of between $170-$215 thousand dollars on these units. We want
to emphasize in this hearing that in this first phase we are targeting to acquire vacant
property and vacant structures. We are anticipating in the first phase we are not acquiring
any occupied structures whatsoever in this first phase. We are targeting blighted
properties that have been vacant a long time and vacant ground that has been sitting for a
long time.


Michael Avery, CHWC, said I would just add to what Mr. Harvey said. It’s unusual for
Community Development organizations to form these kinds of collaborated partnerships.
I think that sends a very strong message. I think this development is not only one that the
City can be proud of but it is something that people will see as they enter the city as sort




                                   December 21, 2006
of a gateway to the City. I think it is something that we will all be proud of when we are
finished.


Mayor Reardon opened the public hearing.


Carol Diehl, 615 Sandusky, said I am the President of Strawberry Hill Neighborhood
Association. I have prepared a letter and I have sent one to LaVert Murray and the letter
says: It’s my pleasure to represent the Strawberry Hill Neighborhood Association and
our support of the TIF proposal for our community by City Vision and CHWC. We
believe strongly in restoration of our older homes but sometimes they are beyond saving.
By ridding our area of these blighted houses and placing infill housing in the empty lots
we will only strengthening the overall appearance of the hill. These new homes will give
us more rooftops, new people to shop at our business, as well as add to the overall plans
to the Downtown Shareholders. These two plans fit hand in hand like a glove; one will
not work without the other. We have sent a letter to Mr. LaVert Murray expressing our
desire to see this plan approved. It is our belief that the old part of town has so much to
offer. We feel new mixed with the old is good business. It will only add to our ambiance
and to the very future to the urban core of our great city. I do have one other thing I want
to add. For the record, I do want you to know that I am also in favor of the two other TIF
things.


Cindy Cash, 3633 N. 87th Street, said tonight I’m here as the President of the
Downtown Shareholders and I too would also like to add my support for the proposed
TIF for the development on Strawberry Hill. Both of these developers are members of
the Downtown Shareholders, they have been active members of our group as well as very
active in the Community Master Planning process that is currently going on, so we
certainly hope that you improve this.


Emmanuel Barnes, 2901 Parkwood Blvd., said we are in support of it; also I come to
represent the Black Contractors Association of Kansas City, KS. We are in support of it,




                                   December 21, 2006
we just want to ask the Mayor and Commissioners that we would sure like to get our
share of it.


Marilyn White, 614 Washington Blvd, I’m not necessarily against this project. I want
to give a little critic to it. As Mr. Barnes said, that there are to be some equity in building
these since most of the time when we are using taxpayers money, black people and
contractors and workers are usually shut out of these projects. I also want to caution the
people who going to be purchasing these homes that they should check them out
thoroughly. I was also in favor of building the Turtle Hill Town homes but they are
becoming something of an eyesore and troublesome behavior to the neighborhood that I
live in. It needs a little more attention given to them; the quality of work that went into
them is not necessarily the best. I think when public money is being used that we ought
to be able to get the best of everything just like we are supposed to get when it is private
money. I do think that it something that we need to be aware of and give more attention
to. I know Turtle Hill Town homes do not live up to what it supposed to be.


Mayor Reardon closed the public hearing.


Commissioner Barnes said could you explain the participation on this project from the
city standpoint?    Mr. Murray said tonight it is requested that the Strawberry Hill
Redevelopment District TIF District be established. As you know Commissioner, this is
the very first step in the TIF process and there will be future hearings to determine
whether or not this district and the proposed improvements conform to the City Master
Land Use Plan and then for the Commission to adopt the redevelopment plan for this
area. The adoption of the redevelopment plan that will provide you the details of the
exactly what would be required of the Unified Government then of course we are
currently engaged in an assessment of the project during our due diligence to determine
what the base values are for the district. The based value subtracted from the new
improved values created will tell us what the amount the bonds are that we can issue for
this district. It’s that kind of specific detail that I cannot share with you tonight because
we don’t have those full details. Again, we are creating the district that within the next



                                    December 21, 2006
several months we will be developing those plans and details.            We have enough
information to determine that this appears to be a viable project and that’s why we
brought the district to you tonight. Commissioner Barnes said I understand that portion
of it, but for those citizens that did come forward both for and against the project or
partially against, has some concerns about the project. The proper time for them and
their concerns to be addressed would be at what particular time so they can be informed.
Mr. Murray said notice will be provided to the general public and certainly to the area
specifically impacted by this TIF District. Notifying them of the public hearing to
consider the details of the redevelopment plan and certainly as those details are shared
with you, the Commission, along with our feasibility analysis, that is the time to really
address those specific concerns in a detailed fashion. Commissioner Barnes said is
there a list or a procedure that they can contact you if you can send them direct
information on the project? Mr. Murray said absolutely. They can contact our office or
e-mail us. Any request for information will be honored and we will share detailed
information about this project as it is developed. Commissioner Miller said I just want
to make sure and thank everybody that came to speak both in favor and opposition
tonight. I would like to note it is really great that we have two great teams collaborating
on this project in terms of City Vision Ministries and CHWC and understanding that
coalition and what they could do together is fantastic for our community. I would like to
entertain a motion. Commissioner Mendez said LaVert could you give us an idea of
what the purchase price would be for these town houses on an average? Mr. Murray
said can I call upon Mr. Harvey or Mr. Avery to address that question. We are still
working those details and I think they can provide a better answer. Mr. Avery said these
are two and three bedroom town homes in a price range of $170-$215 thousand dollars.
Commissioner Mendez said I think this is a shot in the arm for our redevelopment
efforts in the downtown area, 67 new homes; I commend you and these two groups, John
Harvey and CHWC, for their efforts to try and come together as one for the promotion of
our downtown area.


Action:        ORDINANCE         NO.     O-137-06,    “An    ordinance    establishing   a
               redevelopment district known as the Strawberry Hill Neighborhood



                                   December 21, 2006
               Redevelopment District.” Commissioner Miller made a motion,
               seconded by Commissioner Mendez, to approve.


Mayor Reardon said I too want to commend both the CDC’s for working together. I
think the key to our downtown redevelopment has everything to do with new home
owners in our downtown and this is definite a step forward.


               Roll call was taken and there were ten “Ayes,” Pettey, Cooley, Ellison,
               Gilstrap, DeSeure, Barnes, Miller, Mendez, Mitchell, Kane.




ITEM NO. 2 – 060193…PUBLIC HEARING/ORDINANCE/DEVELOPMENT
AGREEMENT
Synopsis:      Conduct a public hearing and request adoption of an ordinance and
development agreement for the Speedway Plaza Redevelopment Plan, submitted by
LaVert Murray, Development. The plan consists of the acquisition of property within the
TIF District, demolition of structures, relocation of residents, and public infrastructure at
an aggregate cost of $85,550,000. The proposed private improvements consist of the
construction of 850,000 sq. ft. of retail space consisting of three or more bib box retail
sales buildings, junior anchor store buildings, and various pad sites at an aggregate cost
of $103,698,000. On October 19, 2006, the Commission adopted Resolution No. R-134-
06 setting the public hearing date.


LaVert Murray, Director of Development, said during July the Unified Government
Commission approved Resolution R-93-06 which established the TIF District for the
Plaza at the Speedway TIF Redevelopment District. This project is sometimes referred to
as Plaza at the Speedway. I should point out that this project is eligible to become a TIF
District because it is located within one of the States designated enterprise zones that
were in place prior to the change of law in 1992. It is very similar to the matter you just
heard with regards to the Strawberry Hill TIF District. I would also like to point out that
there are just a very few areas, particular in the western part of the city, that makes up the



                                      December 21, 2006
remainder of the enterprise zone. A project of this magnitude, particularly in the western
area, would not be possible because we do not have the enterprise zone area left and
that’s our ability to approve more districts similar to this would be severely limited. You
have in your packets a map showing the boundaries for the Speedway Plaza District.
This district represents 92.365 acres of land bounded by Parallel Parkway on the south
and the rear sections of those properties approaching Haskell and Cleveland on the north
and the rear sections of those properties approaching 104th Street on the east and 110th
Street on the west. The redevelopment plans calls for the development of a shopping
center consisting of approximately 865,000 square feet of retail space including a
Discount Super Store with groceries, Warehouse Club, Home Improvement Store, several
Junior Type Box Stores, smaller Retail Stores, and other restaurants. I should point out
that in approving the district, the District Plan was presented and the District Plan has
been refined and continues to show the improvements that I just noted. Your staff has
reviewed the economic justification for this project and the community impacts for the
project. It is anticipated would generate or create 2100 new jobs. Produce $6.4 million
in taxes annually of which the local government would retain $4.2 million and bring
about an orderly high quality power center that would compliment Village West and the
surrounding neighborhoods. From staff perspective, we looked at and weighed as we
reviewed the feasibility analysis, what positive impact this project would present to the
surrounding area and we noted that. The approval of the redevelopment plan would bring
about quality development. That is something that we believe would not happen if this
TIF Redevelopment Plan is not approved. It is also designed to protect the surrounding
neighbors to this project. As you know there is a 100 foot improved buffer area built into
this redevelopment plan designed to protect adjacent neighbors.        We looked at the
economic benefit to the community at large and with the redevelopment plan approved,
as I stated, we would have an orderly development that would occur at one time and
avoid piecemeal development occurring within this area. The Plaza at the Speedway
Project represents a $144.5 million development. The TIF is required for this
development and is estimated to represent $28.4 million of that cost. I should point out
that a good portion of these TIF dollars will be used to make public improvements for the
area that not only impacts the development and makes the development better, but makes



                                   December 21, 2006
the entire surrounding area better. Additionally, it should point out that a TDD or a
Transportation Development District is required along with this and is built into the
redevelopment plan and that TDD will generate $13 million to also assist in that
development. The staff has reviewed the economic analysis for this project. We find the
project to be viable and feasible and the staff would recommend approval of this
development upon the conclusion of the public hearing. Doug Bach will address other
factors related to this project as it relates to the Redevelopers Agreement.


Doug Bach, Deputy Administrator, said the development agreement which we put forth
recommending to the Commission this evening is one that really just carries out the
action and the direction for the Commission on this project. Many of the points which
Mr. Murray has stated are points that I can pick through and show how this development
agreement will insure that those points will happen within the agreement as they are
noted in this agreement. We are doing this agreement with First National Development
who has developed a local LLC for this project. As LaVert noted, it is projected to be a
865,000 square foot power center, covers about 92 acres, there’s going to be several big
box stores, junior boxes such like that within the stipulation of the contract. It does
require that there will be a full-service grocery within this development. We are going to
see about $2.5 million in public roads and utility infrastructure dollars invested directly
from this project around the project area, to have adequate transportation route and such
like that in the community so it will not have to be any public investment from our
government back into this project area, to make sure the roads and infrastructure are
taking care of in this area. The project is approximately $150 million; there is a TIF on it.
It lays out on the ad valorem and sales tax. The sale tax rate is 35% of two and a quarter
cents of local percentage. That total is maxed out at $28.4 million which can come into
this project area. That represents about 20% of the total project dollars. When you
compare this out, we did this in some of our earlier hearings, when you compare this out
to other TIF projects, many of which are smaller in overall magnitude to this one, but to
the projects in the metropolitan area, this one really ranks in the lower tier of those
projects as we see them ranging from the low end of 18-19% up to 45-50% for TIF
projects such as this.



                                    December 21, 2006
Mr. Bach said while there is part tax ad valorem, all the developments within the
development will pay property taxes. The TIF will goes towards major residential
buffering, site infrastructure, grading, and partial land cost. I will note that all project or
TIF dollars that go into the project area will be expended first before there is any
reimbursement back toward the portion of the land dollars. There are stipulations in this
agreement where the developer will provide a private investment in the school district in
that area of $1.5 million. They are also going to give $300,000 towards creation of jobs
and/or transit type operations to insure that people in our community will be able to get
out and work jobs in this area. All the direction of the TIF we put forth in this area really
they are set out so we can insure high quality development. Stipulations from the
preview from our Planning Department haven’t been incorporated as part of this contract.
We have design criteria that are built in the actual development agreement so that the
developer has to follow through with all this activity or they are not able to draw down on
TIF Bonds if they do not follow this program. There are controls, our ability to protect
the neighborhoods around this area. If you don’t do agreements like this and you don’t
have this type of program you can have development come in build in certain areas, we
can try to do stipulations through our P and Z Dept., however, this type of development
insures the quality of berms surrounding the setbacks which are a much higher level than
we have ever done with any other project within our community between a residential
area. It increases the overall development potential of this 92 acres. This is an important
note; we ran an early economic analysis on this project, which still holds through today,
when you look at this at a short-term, the project with a TIF pays more local sales tax
dollars back to the community early. It pays much more in the long-term so it is an
overall economic gain for our community to have this TIF on the project area. We are
projecting this to pay about $4.2 million annually back to the Unified Government.
That’s prior to the retirement of any of the TIF programs. That is the immediately gain
that comes back into our local community. Provides much needed goods and services to
our citizens many of which are currently being picked up outside of the community.
There is an overall synergy generation economic factors that we haven’t even built into
the equations which will allow for more tax dollars built back into our local community.
The project stipulates that there will be utilization of local minority and women



                                    December 21, 2006
contractors in this development.       It also stipulates that the developer will utilize
prevailing wage in all the developments that they control on this project. The developer
is the one who is receiving the TIF on this project area to insure the quality of the
development and everything comes together throughout it. The end users are not the
recipients of this TIF project. I will also note that the bonds issued in this project are
Special Obligation Bonds. That means they are directly paid for by this project and this
project only. There will be no backing and this is stipulated in our agreement from the
Unified Government thus there is no risk to the Unified Government in moving forward
with this project. I will offer my recommendation that we have a very good contract with
this developer and a very good developer to come in and do this project for us. I am
going to introduce Peter Dellaportas at this time he is with the First National Developer
he has his project team here to come in and talk about the project a little bit.


Peter Dellaportas, First National Developer, said we have been through about a 1 ½ to
2 years coming before the Council many of times through the planning, through the staff
and we have worked and articulated what I believe to be a jewel of a piece of property.
We really hope you feel the same. We have our team here today and we are going to give
you a quick synopsis. Peter Heaven will give you a quick overview of the project. Kevin
Nunnink is going to come and give you a little quick take on the financing portion. We
have everybody here for whatever open questions that anybody may have left.


Pete Heaven, 10851 Mastin, Overland Park, KS, said I represent First National
Development. First National Development is a development company not affiliated with
any retailer and is out of Chicago, Illinois. They currently have two shopping centers in
Kansas City and this I believe will be there third.         I won’t repeat what Doug has
explained to you and described in our project. I would like to highlight a couple of things
that makes this very, very unique for this community and one that we are happy to invest
in. This property that we are talking about is not under a single ownership, its 92 acres
under 16 different ownerships. Mr. Hays explained in a hearing 6 months ago, it will be
very difficult to try and develop this property in a unified way without unification of the
ownership, which is one of the reasons that the land is somewhat dear. The other reason



                                    December 21, 2006
that it is dear, it’s sort of a happy problem and that it the Legends has created a new
market for real estate in this area. It rivals any market value in the State of Kansas
currently in terms of square foot prices, that’s to your credit, it’s an amazing
phenomenon. What is so important about this center is that it fits precisely into the
Delaware Piper Master Plan. For this particular piece of property, the Master Plan says
we want a unified form of development, high quality that will serve the daily need of the
residents. That is precisely what we are doing. Our retailers are going to be daily need
retailers. The super retailers of the Legends will be a compliment to us and we will be a
compliment to them. We will have groceries, we will have dry goods, we will have
hardware, and we may have lumber. We will have the things we need in that area that the
Village West isn’t designed to provide. It is a prefect compliment. I think in all the years
I have been doing this, I have never seen a buffering system like the one we have
designed and are going to be utilizing. As you recall about 8 months ago I explained to
you that we had an audiologist come out and give us a report. Base upon these berms
which are some as high as 75 feet high with wall irrigated landscaping, fences; he
testified to you that in your home, if you live next door to the shopping center, you will
not be able to hear any noise from the shopping center. If you stand at your property line,
you will hear a whisper and if you’re in the second story of you home, you can’t see the
shopping center. It is really an incredible network, one of the reasons that TIF is so
important and is designed to help this type of development go forward.            It is also
important to note that TIF whether people think it’s a good idea or a bad idea allows
under the law for a capture of 20 years of real estate taxes. We’ve done our Performa and
we are asking for only 10 which is half the normal amount. We’ve done our Performa
and we are only asking a small portion of the sales tax and with that small portion of the
real estate taxes and the sale taxes we can bring to you a world class shopping center.
That is our pledge to you. I will be happy to answer any question you might have. We
have been through the plan many times with you so I’m sure your familiar with it, but we
have our entire team here if you have any questions.


Kevin Nunnink, 2401 W. 69th St., Shawnee Mission, KS, said LaVert Murray did a fine
job of explaining the finance plan to you. A couple of highlights that I wanted to enter



                                   December 21, 2006
into the record but for TIF this project could not be built.   The yield to First National
Development is approximately 4% and as you know 10 year treasury now are hovering
between 4.5% and 4.8% but if not TIF this project would not be built. That is why the
developer is asking for some public incentive. The other thing that I don’t think was
pointed out is that while there is $4.2 million a year to the Unified Government, the taxes
to the UG over 20 years will be approximately $126 million. I think it was pointed out,
but I want to point it out again, that there will be a grant to the school district of $1.5
million. In my opinion, and I think you heard me say this before, this is the perfect
pyridine of a public private partnership and all boats will rise if this project moves
forward. There are a lot of details and I won’t be redundant and if you have any
questions, I will be happy to get down into any detail you would like to.


Mayor Reardon said I will open the public hearing on this matter. I will note that the
Clerk has indicated to me that we received a letter of correspondence with respect to this
matter. I am going to ask the Clerk to go ahead and read it into the record at the
beginning of the public hearing.


This letter is from Dan Brune, 10520 Parallel Parkway.
Dear Mayor Reardon and Unified Government Commissioners,
As someone born and raised in Wyandotte County, I want to speak out in favor of the
TIF. By granting the TIF to developers of The Plaza at the Speedway, Wyandotte
County has everything to gain and nothing to lose. Anyone who doesn’t understand why
development incentives should be offered should simply do the math. An immediate
$1.5 million has been offered to the Piper School District and the total amount of new
taxes would be substantial. Currently, over one-third of the 92 acres combined to form
the proposed development site pays less than $2,000 in taxes. According to a Unified
Government study, projected taxes for this development in 2008 are $4.2 million. After
that the figure goes up to $6.4 million annually. The same study shows that the Unified
Government will be $35 million better off over the next 21 years, $129 million in tax
revenues by using the TIF vs. $94 million without it, by encouraging the developer to
build the Plaza at the Speedway instead of any piecemeal approach to development. A



                                   December 21, 2006
piecemeal method would result in a retail center of inferior quality, land locking some
property, resulting in an inefficient use of space, and would take longer to develop. This
would further delay the taxes the county needs and deprive local residents of a place
where they can shop for groceries and other household essentials. Also by exchanging
their properties for other residential or investment real estate in the county, individuals
currently owning land on the proposed site may actually increase the tax base by paying
increased taxes on their new, higher valued properties. Additionally, over 2,100 jobs will
be created by this development. Of course, they can’t all be management positions with
full benefits, but even entry level jobs will enhance our labor force and give these new
employees a chance to gain self-esteem and an opportunity to excel. It’s the training one
receives from a job at Wal-Mart that may make the difference in getting those benefits at
their next job in this area, a much better solution than unemployment or welfare. It’s
important to point out that if Wyandotte County doesn’t attract this major development,
another municipality will. It’s been proven many times before and will continue to be a
major factor in commercial development. Of ten major projects in the Greater Kansas
City area, only two have received less incentives than those proposed for the Plaza at the
Speedway. One received more than twice as much 45% vs. 19.8%, showing how vital it
is for competing municipalities to attract these developments. It could take many more
years before this mix of national retailers are assembled and ready to try Wyandotte
County again, if ever. Any delay in project completion will have an impact on tax
revenues, but by turning these developers away, we can count on millions of tax dollars
lost, something that we may never regain. Our citizens should realize that providing tax
incentives to developers or corporations is not giving up something, but is making it
possible to have the tax revenue that would not be there otherwise.         There are no
guarantees that this development will happen without incentives.           Without them,
Wyandotte County, finally enjoying a comeback, would lose out on an opportunity to
attain the level of excellence that it so richly deserves.


Sherese Sedlock, 1300 N. 78th St., said I live and work in Wyandotte County. I also
represent 21 of the 29 sellers of the property that we are talking about tonight at 106th &
Parallel. I want to recognize there are a number of neighbors and residents that are here



                                     December 21, 2006
in support of the TIF approval. Some will have their own comments. I’m here tonight
basically to ask you to support the buyer TIF application and to ask you to recognize and
utilize the economic tools that are available to our community to improve and continue to
approve our economic strength. As a community over the years we have done a very
good job of recognizing physical deterioration as a good reason and justification to use
economic incentives. We should continue to do so. In the past most cities recognized
this narrow definition of physical deterioration to justify the need for economic incentives
such as TIF. However, about 10 years ago communities and commissions across the
country recognized, including ours I might say, recognized that a failure to utilize
economic tools and incentives to attract retail dollars into their cities was as damaging or
more damaging than any physically deteriorating neighborhood. The competition for
retail entertainment dollars began in earnest. Many in this Commission successfully
jump started our economy in Wyandotte County with NASCAR and Village West by
recognizing the need to use economic incentives. We knew we were not the only city
competing for the prize with these two. We were competitive and we have benefited
greatly by being competitive. The reality is because of retailer’s huge economic impact
to a community, cities everywhere are using these economic tools to compete for and
secure these benefits. Those who may tell you that because we have good development
in Wyandotte County in the form of Village West and NASCAR that we no longer need
incentives to secure retail are ignoring or not aware of the reality of the competitive
marketplace that is competing for retail dollars. Tonight I’m just asking you to recognize
these incentives as valid and valuable tools in competition to secure these dollars. Please,
please keep our community in a position to compete for quality development like Plaza
Speedway.


Michelle Ivicak, 13025 Washington Court, said I am here in support of this project. I
was born and raised in this city. After graduating from college, I decided to stay here and
a purchased a new home in Piper, I love living here. The Legends and Village West is a
beautiful development and I enjoy it as much as I can afford. The only down side of
living in Piper is the lack of everyday retail, eating establishment, and most of all a
grocery store. This development would address this problem and that is why I am in



                                   December 21, 2006
support of it. Commissioner Kane, you promised us this type of development when you
were running for office, this is your chance to make good on your promise. To the other
Commissioners, I know you don’t represent Piper, but what goes on in Piper reflects the
entire county of Wyandotte County. We would expect for all of you to be in favor of this
project.


Tim Evans, 7225 Renner Rd., Shawnee, KS, said we represent Haven Baptist Church
which is located on the northwest corner of 106th and Parallel, which is one of the subject
parcels of one of the owners to be sold. The church was built in the 1950’s, it is right
across the street now from the Legends from the Village and over the period of the last
couple of years, of course, we were excited to see the growth in the area. At the same
time it makes it a little bit less suitable for our church purposes. When the church was
built those years ago, parallel was a two-lane highway, now the front entrance to the
church is just literally some 15 to 20 feet from Parallel Parkway. This developer is the
first serious developer to come along in the several years that the church contemplated
selling the property during this last two years that we’ve been engaged in contracts with
the developer. They have met every contractual obligation, they have been easy to deal
with and we look forward to concluding this transaction on behalf of the church. The
church in fact has identified another parcel in western Wyandotte County for its future
church and, therefore, will not be leaving the county but will be relocating in Wyandotte
County. The members look forward to this and we urge the Commission tonight to vote
in favor of the TIF District.


Julie Brame, 8628 Cleveland, said I just want as a citizen and someone who has raised a
family and continues to live and work in this community; I just want to encourage you all
to take this opportunity to support first-class retail development. For those of us that
need to be able to purchase items in our everyday life, what a great opportunity we have
to be able to do that in our own neighborhood. To be able to have choices in where we
purchase or groceries, or where we purchase our hardware, or whatever the needs we
have for our community and our own families. As a citizen and one who lives and works
here, I would just like to encourage you all to be behind this developer who is going to



                                   December 21, 2006
take the risk and help move our community forward. It will be a place where people can
come and purchase and be able to do all their shopping within their own community and
not have to make the drive north or south to get everything done.


Father Alex Bugarin, 3700 123rd St., said I am totally in favor of this project because
we are in need of a grocery store. We are in need of a hardware store and other retail
stores. This project will create a tax base to offset the tax burden on residential properties
and most important will support our school. This project is a blessing for the Piper area.


Brenda Fee, 12801 Markson Rd., said I was born and raised in Kansas City, KS. I just
wanted to tell you that we are definitely in support of the new development. My husband
and I live here and he works here and we also have a residency clause so we like to
support our own community.         We welcome Wal-Mart and any of the new retail
development with open arms and as many of our neighbors and our friends do. I would
like to have the opportunity to spend our money in our own community. I would prefer
spending it in the Piper area because it does support our schools. Although, I do not have
child in the Piper School District, I know that it is one of the best. We should all be very
proud of that. It would be wonderful having regular retail stores here to enhance the
specialty shops of Village West. Wouldn’t it be nice to keep our money right here in the
Piper area? Right now when I want to buy groceries or to shop at a Wal-Mart or a Home
Depot, I have to go to Bonner Springs, Leavenworth, Shawnee or one of those other
areas. When your out at Village West, isn’t it nice to look around to see how many
licenses plates that are out there, that are not from our own county. We are getting the
support from all those areas. When people are already out shopping, why not have a
Wal-Mart or have a Super Center and have grocery stores, so you will already have the
convenience while they are out there to do the shopping right here in our own
community. Having a Wal-Mart and other big name retail shops will give us all choices
as to where we spend our money, but it will also create a good tax base for our Piper
Schools. As you know in Piper we all pay a lot of taxes for our residence, it would be
nice to have someone else share in that tax base. We were promised in the past and the
year around 2000 by our former Mayor that when Piper became annexed that we would



                                    December 21, 2006
have all the amenities as other Wyandotte County citizens such as sewer, adequate phone
lines, cable and we still don’t have that. What I’m asking you is to please give us the
freedom of choice as to where we do our shopping and to do it in our own community.
This is also a chance for you to step up to the plate and do something right for all of us
Wyandotte County citizens and give us the retail shops we need in our community.


Nolen Ellison, 1710 N. 90th St, said I was a little bit concerned whether or not I should
hold my comments for the Midtown Development Project that is next on the hearing. I
do live in the Piper Master Plan Township area and pay taxes there. Commissioner Kane
and I and others on the City Commission have continued to look carefully at reasoned
development in Kansas City, KS and the Unified Government. I thought this would be
the right time to speak rather than to hold my comments. I am in favor of this project, but
I am reminded of Jesse Jackson’s comment: A rising tide in Kansas City, KS, Unified
Government raises all boats, because I live in the Piper Delaware Township Master Plan
area and because I am absolutely fascinated and pleased, as everyone in the audience is,
with the developments out west, what we must do and I am here on behalf of the
Wyandotte County Taxpayers League. The Master Plan for the City Steering Committee
that is at work today because of the Downtown Development Plan that is promised to
come forward in January, because of the public debate regarding propriety of continued
tax incentives for redevelopment purposes. I will agree with everyone who has spoken
tonight in favor of this project, because of the reason they stated.


Mr. Ellison said however, we believe the Taxpayer League and they will be meeting in
January, we will be trying to determine how we as a Taxpayer League respond to the
State Legislative Audit. We are proud of Wyandotte West and the Legends, and the
Speedway but we are reminded, Mr. Administrator, that the Legislative Audit raise some
very difficult questions for a town like ours that engage in large scale economic
development projects. It means that we have to be more diligent. It seems to me that
what happens here tonight when this project is approved and we go to the next one, we
need as taxpayers to fully understand. Mr. Mayor the Taxpayer League asked me to say
that we need to understand better as a taxpayers and home owners in our County. What



                                    December 21, 2006
is our policy? What is the policy of the Unified Government with respect to long-term
development for an entire City? Not just the area of the City that needs, requires, and
should get these kinds of development activities. What is our long time policy with
respect to TIF’s and other tax incentive programs? We want some time before the end of
January to in fact work with the Mayor, work with City Government, to make sure that
there is a composite list of all the tax incentive programs both for housing, and retail, and
large scale development because while each individual project might or might not meet
certain long term financial strategies for those projects, the whole city must benefit from
these activities and that’s must be focus. The second thing we will be looking at in
January, and we will come to you in writing with these requests, is the community impact
analysis question. That is when big box stores come into a community and, obviously
one in Piper is going to meet a need, no question about it. When big box stores begin to
negatively impact the neighborhood grocery stores, negatively impact other small people
who have been in our county for a long time and deserve the right and the incentives to
stay here and economically thrive, it seems to me whether or not the Unified Government
has the focus on the kind of cost benefit analyses. The kind of focus on the community
impacts not only in terms of promise jobs, but how we over time see ourselves growing
out of a dilemma we have been in for years. The Taxpayer League will be looking and
we will come to you to try to better understand what the policies are in the Unified
Government for that purpose. Finally, I jumped the gun on my comment about the
wonderful development. I recall the last time I stood before the Commissioners, it was in
the Reardon Center downtown, when we were given at least one week to review the
entire package of the development out west and we thought that was unfair then. We
have agreed as a Taxpayer League not to make that a major issue, but in fact in January
when the executive committee meets, we will be trying to think through with you how we
make sure that the impact on the individual home owner, that is a tax rates that are
impacted by the Community College, impacted by the Board of Public Utilities, impacted
by Payments in Lieu of Taxes, impacted by Public Education, and impacted by other
sources of revenue, that impact the potential of people to live decent lives in our county.
We will come to you in writing as Mayor of the City, CEO, and to the Unified
Government Commissioners and to the County Administrator, because we think that



                                    December 21, 2006
better data will help us make sure that a rising tide whether it is out west, up north, down
south, a rising tide raises all boats in our County. I’m here supporting this activity.


Marilyn White, 614 Washington Blvd., said I know that I am blowing in the wind when
I say that I don’t care one way or the other about this project. I am upset about the fact
that Home Depot and Wal-Mart are getting corporate welfare from the Unified
Government. Everybody knows that Wal-Mart has more money than God. I get a little
bit upset because they come around with their hand out. If I remember correctly, when
Lowe’s was built on the corner of 62nd and State, I shop at Lowe’s and I really like
Lowe’s, I used to go out to Shawnee Mission Dr. to shop at Home Depot, but I found
Lowe’s much more palatable than Home Depot. If I remember correctly, the Unified
Government was taunting the fact that Lowe’s did not ask for any handouts and built
there structure themselves. They are doing a great job and they’re going good business. I
shop there and I like to comparison shop and I look for a product I want and then I go
look one place and go look the other place when I’ve wanted to buy something for my
house I went to Lowe’s, I went to Home Depot out on Quivera, Johnson Dr. and I had to
come back to Lowe’s because that’s where I found the best product. I think that the
Unified Government is going a little bit TIF crazy. I pay taxes and I don’t seem to be
getting the benefit of any of the taxes that I pay. Everything is going that way and
LaVert talked about empowerment zone.            I worked with LaVert and the Unified
Government in the empowerment zone and the empowerment zone was supposed to
impact most of the northeast. Where did all the money go? We got nothing, absolutely
nothing the way most things go in this county. Every time money comes in for the
northeast, Unified Government finds some other way of spending it, and we still get
nothing, absolutely nothing and I think that’s a travesty. I just paid my taxes this week
and I’m a little bit up tight because they were not cheap and I think I ought to be getting
some return on my taxes. Just trying to get the ordinary things done that a community
supposed to get from this Government is like pulling teeth. We are not beggars. We pay
our taxes. I know most people have the idea that the northeast area of this town is the
poor man, we have to go to the back door for everything. That is a lie, that’s the biggest
lie I ever told. People call me everyday talking about how they have to pay their taxes



                                    December 21, 2006
and how high their taxes are and things keep going up, up, up and you are making the
living standard and a lot of this county go down. When people have to pay their taxes
instead of eating it’s not fair, it’s just not fair.


Bishop Emmanuel Barnes, 2901 Parkwood Blvd., said I don’t exactly agree with Mrs.
White that we get nothing on the northeast end. We are getting a shaft. When the
development comes in, is their someway we can monitor whether we are getting portions.
In my neighborhood we have been arguing for years and years to just get sidewalks and
they told us they were going to charge us and add it to our taxes if they put sidewalks in.
There was a developer on the east end, Zion Development, I believe. I had a home down
there and they have not paid me for that home that has been over 10 years ago. Mayor
Reardon said Bishop Barnes if you can relate your comments to the proposal before us
tonight to keep on task. Mr. Barnes said the City has been giving us the shaft and we are
asking the city if you are going to get these tax incentives, is there some way we can
monitor that. We have called Mr. Mayor’s office from year to year at various times and
we have gotten no response, but the runaround.             We are asking this City to be
accountable for what they vote for. The citizens in this area, especially the northeast area
are losing faith in this Government and their policy and their promise is just about as
weak as a wet soda cracker.


Mike Connor, 2704 N. 101st Terr., said I appreciate all the due diligence that this
Commission has done on this project. It’s quite extensive and I appreciate all your time
that you put in it. I will try to stick to the point of the purpose of being up here and that’s
for this project I appreciate the information that has been available to the general public
with regards to the berms, that is very important to our neighborhood and that’s a big
issue. I think the points were made earlier with regards to the TIF money and the
developer and not to Wal-Mart or Home Depot. I think that is a big point to be made.
People seem to be a little bit confused on where the TIF money is going. To have an
overall development to make it a quality development, I think this is a way to go and I
certainly approve of it and I hope you all do to.




                                       December 21, 2006
Dale Hartweg, 9305 Minnesota Ave., said Mayor you left me in a tough position, you
don’t have a middle ground this. I was hear last time when we had a meeting about this
particular district and one question that I would have liked answered, which wasn’t
answered the last time, is why they can not build this without TIF financing. I don’t
understand that. We are talking about the largest retail corporation in the world is going
to be a big part of this. This relates to the project at Indian Springs also. I can’t imagine
what else is going to go in there if it isn’t Wal-Mart or something like that. I’m not
opposed to these projects, I am really proud of what Wyandotte County has done with
Village West, Legends. I would like to know as far as 110th St. if that is going to be
widened. I have a reason for wanting to know that because some people I know that live
there.   I was here the last time and we were talking about billboards at 38th and
Leavenworth Rd. for longer than we were talking about this, I hope we got that resolved
and I hope that we are spending as much time on this as we did the billboards on 38th and
635. Mark Wiebe wrote a very interesting article in the paper this morning about how
much is too much for development. I’m not opposed, we were floundering in Wyandotte
County, there isn’t any question about. We have the Speedway, we have the Legends,
there are a lot of tax incentives going around with TIF financing. We have Schlitterbahn
now that I read in the paper that is going to add more money to the project that they are
going to do. Are we going to add more money to that, I don’t know? I think the
important thing is that the citizens are informed about what is going on with these
projects. The Schlitterbahn project, I’ve seen construction equipment sitting out there for
4 months nothing has moved ahead. The development on 18th Street which you guys
approved, I don’t see anything going on with that. 94th Street the improvement you want
to widen it, it has been an absolute disaster for those people who live there. I think the
people need to know what’s going on in Wyandotte County. Where is the Fairgrounds
going to go? I haven’t heard about that, I live there, I would like to know what’s going
on with these kinds of things. It seems to me like the people that I have seen up here;
Mark Mitchell seems to analyze these things pretty well. Nathan seems to analyze it very
well. Butch Ellison seems to analyze these things pretty well, I would like to know what
these people think about these things. I’m not opposed to it, because we need these kinds
of things, but I’m opposed if we don’t need TIF financing to move ahead with these. I



                                    December 21, 2006
would like the developer to answer the question tonight why he can’t do this without TIF
financing. It wasn’t answered the last time I was here. The people who have spoken in
favor of this and I’m not opposed, but I wish they would of thought about a beam when
they built the Speedway and they had to listen to Richard Pettey driving experience
Saturday and Sunday from 9:00 to 7:00 at night, believe me it is loud. I am in favor of
anything that benefits Wyandotte County, and I have lived here all my life, but something
you might consider for the next year is for the senior citizens that have lived here all their
lives contributed money, how about putting a lid on our property value so we don’t have
to pay anymore property taxes all the time, that would be something to consider your
talking about senior citizens all the time. I’ve got people in my neighborhood who have a
hard time paying their taxes because they are living on Social Security. I am proud of
what we have done but just consider what you are doing. If nobody in Kansas City gave
TIF financing wouldn’t these things still be built? I’m sure they would, Wal-Mart has
been looking for a place for 3 years that I know of. I’m sure they will close the one on
State Ave. if they do this. That means that the urban people are going to go to Overland
Park to shop, they’re not going to come out there, they are going to go straight down 18th
St. I thank you for your consideration.


Phil Gardos, 1904 W. 36th Ave., said as a Rosedale I’ve noticed that my property taxes
have doubled in the last 10 years. My house has gotten older but I’m actually kind of
pleased that it’s a sign it’s more valuable to live here. I appreciate that and I like the
progress we are making and I think the developments out West are great for us, more
than I could of ever hoped for 10 years ago. I am here because I’m upset about Wal-Mart
in particular, it looks like a fairly nice project underway but altogether in too many places
with duct tape and if you have worked for duct tape you know it’s quick, cheap, and it’s
guaranteed to fail in the long run. A quick run through on why I think Wal-Mart is not go
for our community. The most important thing I would like to say is that a shopping
center in what we recognize we’ve created as some of the prime territory in the State isn’t
a very high or lofty standard. We have the opportunity where private developers are
coming in and not asking for help and putting up world class facilities. We have some of
the prize land nearby and we are going to put in a shopping center which I assume as



                                    December 21, 2006
most places has a 20-year life expectance and then it’s a problem for us. There is the
unfairness to our other fellow citizens who have opened shops and business themselves
without help from the government and are now going to be forced to compete against an
economic giant. I would think that this proposal would be better shelved and look for a
better one. I know we are in a hurry to make some money off the risk we took out west
and it is working. I just don’t think we should rush into the first lowest common
denominator kind of development available.          No doubt that this is a wonderful
development, I know how much I want retail to be able to go and shop in the county and
sale tax dollars work here. I would rather not do it at the expense of fellow citizens who
are not getting government assistance and then finally the objections to Wal-Mart. It is
bad for the environment, it’s bad for the world because part of their business model and
in all credit they have this spectacular inventory control system, they are a wonderful
model, we should all try to learn from them, but part of their system includes this race to
the bottom where they demand the bottom lowest price from producers. This has help
create the brown fog in Asia and Southern Asia and Southeast Asia. We contribute to
shipping goods from clear across the world using petroleum products in order to achieve
the transportation. Then it ends up being bad for the country because we end up putting
local producers out of business and send the money to foreign countries. It is bad for the
State because their workers don’t get paid the same amount of money they are going to
loose from jobs they put out of business, we end up paying more for Medicare, Medicaid.
They don’t pay their workers enough to have health insurance, many of them, so we end
up subsidizing them locally; we end up spending more tax money on the people that we
bring in to replace the people who have their own jobs without tax help. It is bad for
local politicians, they will be faced with trying to defend the next time they run that they
brought in an anti-environment, anti-worker, anti-union, anti-fairness to other citizens
and businessmen and organizations. It’s not much help to the average citizen who many
of us will end up unemployed, working at jobs for lower pay, and have what is possibly
at the moment our prime piece of land turned into a subsidy to the world richest
corporation when we might in fact done something to enhance that area even more,
continue to make it a world class destination for recreation.




                                   December 21, 2006
Jack Youngens, 53rd & Georgia, said I have been a lifetime resident of Wyandotte
County in Kansas City, KS. I think it is great and we need it but I am against these low
paying jobs at this type of establishment improvement will bring to this part of the
country right here in Wyandotte County. We have people working two and three jobs
right now trying to make ends meat just to put groceries on our tables from these types of
jobs. These are going to be minimum low paying jobs. The poverty level scaled today in
this country is $10 an hour. It’s about $21,000 a year and they can’t even afford health
insurance for their families. I know this is going on because I have kept up on this type
of thing. I am retired out of General Motors and I have been in the political picture
keeping up on this type of thing for many years. Like I said, I’m not against progress, but
I am against these low paying jobs that this type of thing will bring in. You are going to
have about 2,100 jobs out there, out of that maybe 300 of them will be those people who
will be able to afford insurance and won’t have to work two jobs to take care of their
families, the rest of us are going to have to work a couple of jobs in order to make ends
meet. I know this is going on and I’m sure that you Commissioners up there know that
this is happening too and you are aware of it and you see it everyday. This gentleman
who was just up here was talking about Wal-Marts.            In most States 90% of their
employees are on welfare, the states are paying their Medicare, that’s a fact, it happening
right here. We need to look into this before we bring in these companies. What we need
here is industry, big industry that pays somewhere between $12-$16 dollar an hour, good
union paying jobs, not these minimum low wage jobs. I know we are a right-to-work
State I know that, I hate it with a passion. I’m union all the way and we need it. I want
to know are going to force these contractors or make these contractors be union to put
this in out there. I think they need to be. I heard them mention prevailing wage. What
are you going to do about prevailing wage? We have good well qualified people in this
greater Kansas City area without bringing in people from other parts of the country to get
good qualified people to do that job. In order to get these jobs we need to make sure they
are done right.


Michael J. Judy, 3027 N. 91st St., said I call it tornado alley because I was one of the
people that gotten blown around a little bit about 3 or 4 years ago. I opposed this just like



                                    December 21, 2006
these two speakers have said. It is down right deplorable and disgusting that we have to
be subsidizing the world’s largest corporation or one of them. That’s prime real estate
now and doesn’t have to be given away like that. It can stand on its own two. It is time
to let property like that go and in fact that was the Master Plan I believe before you all
changed it or whoever decided to or maybe it was Marinovich that stated it was going to
stay that way. That property ought to speak on its own merits of value of what it is. It is
kind of ironic we’re talking about it, I am union too, and it is deplorable that we have all
these people working in this county that can’t get by on one job. Over in Communist
China if you’ve been keeping up with their Wal-Mart over there, they have union party
over there. It is pretty bad when Communist China is granting them union status for
Wal-Mart employees in Communist China but yet not over here. I have said enough on
that and I’m opposed of it and it can stand on its on two merits for whoever wants to
come in and develop that.


Mayor Reardon closed the public hearing. I would like to ask staff if there are any
items that were raised this evening that are ones that can be addressed by staff
information to allow staff to do that and then open it up for Commissioner comments or
questions.


Mr. Hays said we have attempted to maintain a list of questions that we can walk
through quickly. We will attempt to respond to a series of questions. The question
regarding the monitoring of the contracts that would be let, the development agreement
that Mr. Bach spoke of earlier does require prevailing wage and there is a monitor of that,
as well as, MBE, LBE requirements and the specific participation goals. There are
specific monitoring requirements in the development agreement for that. 110th Street that
question was raised regarding construction of 110th St. north; in fact 110th Street will be
reconstructed from Parallel north to Leavenworth Road in the coming year. There was a
series of question raised regarding Schlitterbahn and while this is not a hearing regarding
Schlitterbahn, we can simple revise that revision to the development agreement for that
project was approved by the Commission last week. That project is on schedule and will
be underway during the course of the coming year as well as announcements regarding



                                   December 21, 2006
the Fairgrounds ultimate location. Mr. Bach or Mr. Murray any questions that you may
have picked up on that you would like to respond to that I have missed.


Commissioner Ellison said we are all human too and I have been awake since 3 o’clock
with this Wal- Mart thing, particularly after I have saw the ad, where the lady says it
would take her a thousand years to make what one of the executives made in one year. I
looked at the Wall Street bonuses that were paid, $600,000 dollar bonuses that was
minimum. Wal-Mart is going to occupy less than 25% of the space out west and I got a
different view. I’ve been looking at it all day long and answering the telephone, that’s an
enterprise zone and someone mentioned policy awhile ago, that’s an enterprise zone
which is eligible to encourage businesses to develop there. That has not been utilized and
when a financier comes along and says we want to utilize that and we have a tool that’s
going to help the county and help lower tax base on our homes, I pay taxes too and I’m
retired and a senior citizen, we have to take a look at what’s best for the County and the
City. They are occupying less than 25% of the 865,000 square feet and Wal-Mart Super
Center is occupying 203. Would they come, sure they have the money to come, but if we
have the tools to use it, sure they pay minimum wage but that’s better than nothing. My
mother worked for 25 years, she started at $16 a week for 60 hrs a week. Wal-Mart is
probably a little higher than that. We have to make decisions and we are going to make
one shortly and we are going to satisfy some folks and other folks are not going to be
satisfied, that’s all I want to say.


Commissioner Barnes said I don’t know whether I should address this to Mr. Bach or
Mr. Murray. Either you have an expanded section on your MBE, LBE, WBE, and I
guess I want to compliment you on that. I have a couple of questions and I know we
have done a lot of work and I think one of the principles talked about how many years it
had been in getting us to this point right now. I would be interested in knowing how
much money have we spent to date on this project getting to this point. I mentioned the
section about LBE, WBE, MBE and how we plan to do this and to make certain that they
all participate. It would be interesting to know the number of how much money has been
spent already and how much of it has been shared with the LBE, MBE, and WBE. I



                                       December 21, 2006
would like to know that. I would like to know about the UG’s office staff assistance. It
has 15 items that we will be assisting with and I know that is going to take a lot of staff
time. I would be interested to know if that will take additional staff in order for us to do
that. I’m asking theses questions but I’m complimenting you at the same time on
including this in here. It talks about an annual review process and it almost seems as if
these individual will be reviewing themselves and I will be concerned about that being
answered. Mayor Reardon said Mr. Bach, I think Commissioner Barnes is referencing
the agreement so I would think that you would be most appropriate to address these.


Mr. Bach said I think he is referencing Exhibit F as it comes through and it pertains to
the MBE, WBE, and LBE and the goals that are laid out in the contract. It requires the
developer and go through and use the different percentage of local minority and women
own venders throughout the construction of the project area and also through the ongoing
services they have in the project area. These are stipulations in a similar agreement to
ones that we started first in enacting when we did the projects in the Village West area. I
believe Cabela’s and Nebraska Furniture Mart was some of the early ones with this. I
can say some of the stipulations that we have in this agreement now, we have cleaned out
some of the things that maybe did not work and probably have some percentages that we
see that the developer agrees to, that they can obtain within the community when they
move forward with these projects. In our Procurement Department we have our Contract
Compliance Officer Jason Banks who works with the developers. He works directly on
the points you noted on page 14 and 15. We will go through some of those steps with the
companies when they come into and look to see if they need some assistance in
understanding different areas. The firms that are registered and such like that insure that
they have that information. They also submit their forms and their reports into them. He
starts his work early on in the project. Jason actually contacted me on this project a little
bit ago; he has not been fully engaged to start working on it yet. I think that’s the
question you asked about how much money has been expended by the developer to date.
We can have him speak to that question up to this point and answer that. He will be there
for the reports that are submitted into him and will monitor those at the same time as we
monitor the rest to the projects that are falling under these stipulations in our community.



                                    December 21, 2006
Commissioner Barnes said these projects can be, as you heard from different people,
represent their life of a community. It also can represent the death of a community if we
don’t monitor the process or implement it properly. The way we start out is usually
going to be the way we finish. There are a lot of professions that are not included in on
the front end and you have heard me say this before.            I’m sitting here looking at
diagrams, architectural renderings, financial analysis all kinds of people. If we don’t start
the process of participation, most of these people I don’t even think they’re local. It’s not
about minority participation or women owned participation, it’s even about local
participation. What I was hoping to have by tonight is how important it is for dollars to
turnover in our community. If we are to truly benefit, we need to be cognizant of the fact
we have to keep these dollars at home. We have to start practicing that from the
beginning, whether you’re able to supply us with those numbers tonight, I would
certainly like to have them as soon as possible on what they spent up until today’s date
per tonight’s meeting, what have they spent so far and how much of it stayed home, how
much of it went to locals, how much of it went to minorities, and how much of it went to
women’s. I think it will give us a snapshot in where we are going with this project.
There was one statement in here that we talked about that has kind of changed from what
we have done in the past. It was on the Center Management Companies and we said
shall, will, require and all those other kind of adjective in the past. This one says that the
developer agrees it will use responsible effort to negotiate for and include. That is a
change in language from the past and is there a reason why the language from the past
was not good enough and we had to change this language to this right here to say
reasonable effort and that’s almost similar to best effort that we use and we know that,
that means nothing in trying to achieve these goals. Would it make a difference or would
we have the opportunity to change those words back to what we have used in the past and
would that make a big difference or are we stuck on reasonable. There is no definition
for reasonable in here either. Mr. Bach said I don’t know if I can remember the exact
reason on the reasonable efforts language in this case verses some of those contracts that
we have shall. I think the shall language, if I recall in the other contracts was imposed,
we were able to bring it into the language where we were talking about when they have
sub developments within a project area and with those projects we were able to get the



                                    December 21, 2006
language in there on some of the contracts and that has not been on all of them where
they use their best efforts to negotiate that into the language or into those contracts for
other end user developments that comes in. Commissioner Barnes said I don’t know if
this is the place to debate that but I think it is because I have a certain level of discomfort
with this because they’re doing the monitoring. All the other developments we had, they
were required to go before this committee, and Mr. Mayor you’re very familiar with that
committee. It is almost if they’re not apart of that process in Village West and the
Legends. They were required to come before the committee to discuss their percentages.
If they’re short we have the opportunity to intervene and require them to make good in
some other areas and for some reason they have been exempt from that procedure and
this is the way this reads to me. If that’s the case I can’t support this. Mr. Bach said this
development agreement requires the developer and the end users developments to submit.
Commissioner Barnes said submit it, that’s all it says, just submit. Mr. Bach said
submit all their information into us so we will have it for us for that evaluation purpose.
Commissioner Barnes said it does not state that in here. I don’t know what we need to
do to add the stipulation that they would have the same requirement as the other long
term development agreements that we have sign in the past and it shocks me that we have
to change. Mr. Bach said if it doesn’t read out that way I think what we are talking
about we have the quarterly meetings and we discuss this where we come forward from
our developer perspective that you would be part of that process just to report on your
activities that are going out there, mainly your contractor and such. I know we talked
through this, so if it’s not part of it with the developer, we can write all that language into
this contract that you will be part of that reporting committee and such like that. I know
we had it there, if it was omitted that was an error on that. Commissioner Barnes said
we don’t have to put that in a motion, can’t we just change that now. Mr. Bach said I
think we can make that part of the record now; their attorney is here our attorney is here.
The resolution states that we can incorporate that into the agreement.


Commissioner Barnes said and lastly Mr. Mayor, I know that there was someone that
mentioned who monitors and who does what and that there’s a very careful process that
is in place that when we do make this agreement that we do monitor their activities. We



                                    December 21, 2006
have done that, we have the percentages that we are very proud of as to minorities,
women, and locals. What is ironic about this process is that it wasn’t about women or
minorities; it was about locals also because we were all in the same boat. We were not
participating to a reasonable degree on none of these large projects coming to our town
and now we have a procedure in place that allows that to happen. We had local people
talking about I have been located in Wyandotte County for 20 years and haven’t never
gotten a job within the County. That didn’t sound good for no one. We have fixed that
situation and we are asking that these people come into our town that partake in our
incentives that all they have to do is to dig a little deeper into and employee those
individuals that work and live and pay taxes here and when those dollars turn over in our
community everybody benefits as a result to that and we have seen the positive result to
that with Village West and The Legends and we do monitor that on a daily basis. I did
want to address some of those other concerns that we are not directly addressed to this,
but I don’t want to start a fight, so I will let it go there. Mayor Reardon said I would
expect that and I believe that case was as the agreement came forward this evening that
the quarterly reporting meetings that we have used in the Village West project area would
be part of and incorporated into the development agreement here as well. Mr. Bach we
will make it part of that agreement and the developer nodding their heads in agreement to
it, so we will make sure if it is omitted from this, we will make sure that it is part of the
agreement.


Commissioner Kane said I would like to thank the young lady for reminding me what I
heard when we were on our campaign. The second thing we heard when we were on our
campaign was they would like to have a grocery store out west. The interesting part
about that is I am a union rep myself so the first thing I had to do is struggle with myself
so I will put myself in a couple of locations so people could see me and talk to me and
tell me what they wanted. They spoke loud and clear, they want the grocery store. After
we sat down and talked about what was going on, it was about 2 months after I got
elected that they talked about this project, they came up and Westmore Down people
were concerned back there about the buffer, that’s where I live. That is why it is a
hundred foot buffer there. We asked them to donate to $1.5 million to the Piper School



                                    December 21, 2006
District; they said they will do that. For a school district that is struggling at best and the
$70 million school bond was not able to pass, we will be able to help the students by
doing this. There are 1,050 jobs that will be available to Wyandotte County people. The
prevailing wage was to keep the union worker here in town, here in town as they are
building it. Rob Richardson and his staff along with the developer did a great job coming
up with this project and very seldom do I pat Rob on back and tell him he did a good job,
but every time we had an issue, a question that came forward, they answered every single
question, every single time. When we it comes time to make a motion I would like to
make the motion. I appreciate all your work. I appreciate every single person being here
and I listened to you loud and clear.


Commissioner Mitchell said someone mentioned that they thought maybe I had good
analytical skills and wanted to know what I thought so I guess that was my invitation to
speak. I will say this up front. I believe this is a good project that meets valid needs. I
understand Wal-Mart will probably pay less than other jobs and it would probably pay
more than some jobs. How ever many workers that will be there, I don’t know, will that
be 100 workers, will that be 1,000 workers, I don’t know. But there will be 1,000 or
10,000 workers that are also making minimum wage somewhere that will be able to shop
at Wal-Mart and have their expenses lower because they are there. I think there is going
to be some wash with that. End result, they are doing it in a high quality way, which I do
appreciate, and that has been from the start, as Commissioner Kane mentioned, they are
trying to protect the community there.         The MBE, LBE, WBE is protected well,
prevailing wage done a number of things that show this a good quality project. I did have
a couple of concerns and those were twofold. The first one is 20% incentive government,
is that too much? I’m assuming they’re going to say that’s not enough and my stance
will be, it ought to be less and that’s going to be our prospective. I look at the cost and I
got to admit the accountant in me says I bet you I can save some money on some of that.
I imagine if anyone of them came into may household and looked at my checkbook they
could tell me I bet you I can save you some money on some of that. I understand, and I
don’t do that for a living, but I’m comfortable in that, we now have extra money set-
aside that could be used for transit, which would be very good for people in my district to



                                    December 21, 2006
be able to get some of those jobs. Some will be low paying jobs and some will be higher
paying jobs. We now have a percent ratio set on some of those cost. If they get the
opportunity to save a dollar, we participate in that savings, that helps to make a
difference. As I understand it, we have very little or no exposure on the risk side, that
makes me more comfortable for a cost standpoint. The other concern I had was does
offering incentives out there keep my area from getting any development. Well it just so
happens that tonight we have already passed one in the downtown tonight and we are
going to hear another one here just shortly so it looks like developers are looking to my
side of the town also. I do appreciate that. End result, I guess my analyzation of it is
this; Wyandotte County would be stronger economically if we do this. I want to clarify, I
think one lady that spoke said I don’t represent Piper, I think technically that’s true, I’m
not voted on by Piper residents, but I feel like when I’m up here I am representing Piper
and I’m representing Turner, and I’m representing the northeast as we all do. We want to
make decisions that are good for the whole county as Dr. Ellison mentioned. A rising
tide raises all boats. I believe this project going in out west will help my community. I
do ask everybody to remember because, I don’t want an east verses west mentality, but
also when we come before you with a Downtown Master Plan that cost some money, that
is going to be part of the thing that raises the tide. You know that the tide rises and all
boats will go up so we need to continue to work as a community and obviously we have
some special needs east of 635 and so we are going to need everybody help whether
you’re in Piper, whether you are in Turner to make sure whatever comes forward that we
are making this a better community because we all do benefit. I benefit because of
Village West, beside the fact that I can shop out there, but I do benefit from that. You
will benefit with a better downtown which I’m sure we will get to it some point in time.
It just so happens in this area an opportunity came before us and we can take advantage
of that. To the east side of town we may have to create an opportunity rather than an
opportunity coming to us, so be it. We need to be able to do that and willing to do that so
this can be a better community.


Commissioner Mendez said with regard to minority participation, women participation,
I would like to suggest to you Mayor that this project be included as part diversity



                                   December 21, 2006
committee that Commissioner Barnes and myself chair. It seems to have worked for the
Speedway; it seems to have worked for the Red Development of The Legends. I would
suggest that we do that and get a commitment from the developer that they will agree to
do so. These are the reports that are submitted for our review. I don’t see why the
developer will hesitate to do so. I want to commend the developer Mr. Dellaportas, Mr.
Nunnink, Mr. Heaven, and the whole team for upfront putting in a commitment to
prevailing wage and minority business participation, women business participation and
local business participation is important to our community. Our community now is more
than 50% diverse. We have the lowest per capita income in our community. I’ve notice
that the employment rate has dropped and that’s good. It needs to come down more, but
we can’t expect our residents to see an increase in the quality of life with minimum wage,
no one can afford to live on minimum wage. I hope the Feds finally do something to
address that.    It’s good that prevailing wage is included; it’s good the minority
participation is included; it’s good the women participation is included in this. I believe
Commissioner Barnes and myself have done a good job with the Diversity Committee
and I that the developer will agree also to include in the project for our review. Mayor
Reardon said I concur with that.


Commissioner DeSeure said I have several comments to make and I sure don’t want to
miss any of them. It’s going to take me a little bit to do it. First of all Mr. Ellison I want
to say thank you. It is indeed an honor to have you stand before us and I know we have
disagreements over our last ten years but this has been a changing government that I
think has been or the good of our community. It is wonderful to have you come up
before us and talk about accountability and talk about things that need to happen and
working with the government instead of not working with us. I think your input was very
important and very proactive and I congratulate you on that and thank you again for those
comments tonight. I know we had some other comments with Mrs. White and Mr.
Barnes and the concern about what’s happening in my part of the community. I think
you have ten Commissioners up here that is always saying that, what’s going on in my
commission district. More importantly, we talk about TIF’s, and I know Mrs. White
understand TIF’s because I think one of the developments she lives in was done by TIF.



                                    December 21, 2006
I also believe that we have had more TIF’s in the northeast part of our community over
the last 5 years and more new houses built in the northeast part of our community over
the last 5 years then we’ve had in the previous 15, 20 or 30 years or 40, if you want to go
back that far, and I congratulate Mr. Barnes because he has been at the very forefront of
that effort. It’s been an honor to be sitting at this Commission and this City Council since
1995 with Commissioner Barnes. I am a little disappointed because for me to make this
comment we have actually have more housing that has happened in the northeast part of
our community then in several other area of our community. I live in Argentine and
unfortunately Argentine has been one of the areas that’s not had as much new housing
built in as we had in the northeast. I congratulate this governing body to have that vision
to grow the entire community and not just one part of our community. I also had the
opportunity to sit on this City Council and this Commission with Commissioner Barnes
and a couple other Commissioners up here when we sit before a group that was probably
about ten times this size and people didn’t believe the vision that we had to build a new
Racetrack and to build a tourism district here in Wyandotte County. We actually had
State Representatives and State Senators that came before us and told us we were crazy,
that our vision for this community was not good. We knew we had to do something to
change what was happening in Wyandotte County. Our tax rate was way too high. You
know I would hate to see where we would be without the development of the Racetrack
and the Tourism District. This governing body since 1995 has lowered the mill levy 25%
now I would challenge anybody in this room to go and check in the State of Kansas and
see if any other City or any other County in this State has lowered the mill levy as much
as this governing body has done in the last 10 years. I hate to say where we would be if
we had not had the vision for that development. I’m afraid that our taxes would be 25%
higher now more than they are. The decision to do what we did here tonight or what we
may do here tonight is based upon, for me, is the benefit to the community as a whole on
our tax base. I have asked many questions of staff and I asked what the difference was in
doing this development with or without the TIF. Over 5, 10, or 15 year period of time
what was the most economic benefit to this community as a whole. The number one goal
that I have as an elected official is to continue to lower the tax base here in Wyandotte
County. I believe that is the goal and the vision of all these Commissioners and this



                                   December 21, 2006
Mayor and this governing body and we have done that and we will continue to do that. I
see this development paying more taxes to this government than doing it without the TIF.
That is the main reason why I will support this type of development because it will
generate more tax dollars for us to do more things throughout the rest of the community
and to continue to lower the mill levy here in Wyandotte County which is so important
for all of us. I thank you for the opportunity to serve as a Commissioner. It’s been a
wonderful opportunity for the last 10 years and I look forward to continue doing the
things that we have been doing and look forward to the progress that we have going on in
Wyandotte County.


Commissioner Gilstrap said when I was elected Commissioner one of my main things
was quality development.       A lot of people here probably won’t agree with all the
Commissioners up here, some will agree with all and some won’t. We have a mixed
crowd here and I appreciate everyone here and everyone’s view. The quality to vote is
my number one thing. What is best for all the citizens? I am a Commissioner At-Large
that means after I make it through the primary, if I do, everyone in the County has a
chance to vote for or vote against me. I waited to the end here because you probably
heard a lot of things 3 or 4 times by now and when I vote tonight you will see how I vote
and if you don’t like the way that I vote, when it comes election day, you can vote against
me if you like the way I vote, come election day, please vote for me. I am in favor of this
project.


Commissioner Pettey said I think it is important and I’m sure it is very nice to have all
of you out here tonight because it shows to all of us that there is a great deal of interest in
not only this project but the other projects that we have already discussed and will be
discussing this evening. I know that I’m speaking for the rest of the Commissioners that
we all take our elected position very seriously and it doesn’t matter as a Commissioner
whether it’s a project in my district or whether it’s a project somewhere else in Kansas
City, Kansas and Wyandotte County. I know that it is going to impact my life and it is
going to impact the life of all of us who either live or others who work as many of you
may work with people who don’t live here in Wyandotte County. All of these projects



                                    December 21, 2006
are very, very important and I continue to feel really honored that I’m here and I’ve been
a part of seeing the transition that has occurred for our county in the last 10 years. It’s
just phenomenal and I still appreciate when I hear people say to us you are doing great
things in Kansas City, Ks. and Wyandotte County. There’s a lot of things that go into
making a decision for me about this particular project because, I was and have been a
member of the Commission for awhile, and I was here when Mayor Marinovich said I
don’t think we need to use any kind of incentives for anything west of 435 and that
seemed a reasonable statement at the time as things were moving along. When you begin
to look at what do we want to see happen and what does it take to make that happen. The
reality hits the rubber and we have to face that if we want to have quality projects and if
we want to have some control over those projects, if we don’t want to see things happen
piecemeal, then are going to have to do something like what we done with The Legends
and Village West but maybe in a different way and other tools. We don’t have Star
Bonds for everything so we have to look at the other tools that are available. We have
already heard how passionate this Commission feels about recognizing that everyone gets
an opportunity to be involved in the construction and those services that go into making
these projects work. You are not looking at the material I’m looking at, but there are 16
pages in this document that deals just with the MBE, LBE, and the WBA goals so it’s not
taking lightly and that has been addressed over and over and it has been refined maybe
not yet to the point that Commissioner Barnes would wish, but it continually being
refined to address those needs so that the opportunity available for those contractors, for
those services, if they use the process to at least consider for those jobs and they are only
counted if they actually have the jobs. For this project the goals are based upon Disparity
Study that was done by Kansas City, MO. for the metropolitan area and we have been
asking for sometime to see that Disparity Study into action. For me looking at one this is
an enterprise, not an empowerment zone, it’s an enterprise zone. This area has been part
of an enterprise zone that was established before the legislature changed and that has
been over 14 years. Why did it take so long, well here it is sits prime property right off
435 but it wasn’t happening for us in Wyandotte County, now it is. That makes this
property available for something that other pieces of property wouldn’t have been
available for. This project is providing what resident in the area have been saying to us, I



                                    December 21, 2006
like what’s been happening in Village West, I like what’s happening with The Legends,
but I still don’t have a grocery store. I still don’t have those services I can use on a daily
basis. This project is going to provide that. It matches the Prairie Delaware Master Plan,
that’s very important. A lot of times we have spent on that and some of you are now
involved and working on the Master Plan for our whole city, those are important things
that are occurring when we look at the city, that doesn’t happen in metropolitan areas
citywide. We’re having an opportunity now and you’re have an opportunity to be a part
of that and once that happens, it’s a document that has force and we should continue to
look at it, not just have it occur and put it on the back shelf. Once we did the Prairie
Delaware people said why aren’t you looking at my part of the city well now we are, we
are looking at the whole city. This represents a quality project. Those items I have to
weigh, just as the rest of the Commissioners have done, heavily to make a decision
whether it is best for our community and I think this is the right way to go.


Mayor Reardon asked for one of the developers to come forward at this because I have
some specific questions for somebody on the development team. There are a couple of
questions I have specifically that I prefer for you to answer directly. The first is an issue
was raised, I think in the public hearing as well as one of the Commissioners, which is
explain to us the need for TIF in the project.


Kevin Nunnick said there are a couple of reasons, more than a couple, I will try to
articulate them. First of all to develop the quality of center that will be consistent with
the Legends, the developer is taken really the high road so the quality of the façade is
much more expensive to build than a normal power center. I think you will be very
proud of what’s going to be built in the community both architecturally and building
materials. The large berm that was discussed earlier is quite expensive. This berm is
definitely necessary for this site because remember this is a redevelopment site, some 16
parcels are being assembled, and that is more expensive. There are considerable public
improvements that we are going to fix and contribute to that are necessary due to the
increased traffic of the Legends and this project as well as Schlitterbahn. The largest
factor, and you will have this in any infield development, if you would choose not to do



                                    December 21, 2006
an infield assemblage, the land would be much cheaper for them to go out further out,
suburban, but the problem as we know, when cities initially ignored redevelopment and
people just kept moving out as long as you had land this creates blight in the city. Cities
have really readjusted and this Council done a great job and we have heard about the
northeast and all of what you are doing there, but if so happens that 30 or 40 years ago
many of these parcels north of Parallel were developed in very small tracts. The cost to
acquire those properties was more than if you went out and brought 80 acres and put a
power center in. Why is that, because people have put improvements and the value of the
land in the improvement is more than the cost of going out and acquiring 80 acres? What
all cities are faced with is, to assemble, it cost more money but before TIF what would
happen is your power centers would continue to go out and you would have suburban
sprawl and if you hoped to redevelop that why cities have enter into public private
partnerships. Those reasons and a combination thereof is why you need TIF.


Mayor Reardon said the second issue is and it was raised by Commissioner Mendez as
well as Commissioner Barnes, and I just want to make a record on this, which we had
discussion that the developer would be willing to comply with the quarterly meeting
schedule and the way that we handle monitoring with respect of Village West and I just
want to make record that is the case and we want to do that for our recording. Mr.
Nunnick said yes for the record we will agree. I would also point out Commissioner
Barnes, I helped when we were dealing with the original Legends and the Speedway area
help develop your LBE, WBE policy through Clarkson at that time. I am happy to report
that Clarkson will be doing the work on this facility. We are negotiating with them and
they are very skilled at hitting all the percentages and doing it right.


Mayor Reardon said I do want to make a couple comments and I appreciate you coming
up. It is four days before Christmas and it really is wonderful to see this many people
here and I think even more significant than that it shows where we are as a community
and the potential that we have and that potential existing in all parts of our community I
absolutely believe. Your interest, I listen to every single person that came forward, and
what were very thoughtful comments both in support and questioning this. As many of



                                     December 21, 2006
the Commissioners have said I want to make a record as to why I’m supportive of this
project and it moving forward. There are three simple factors that weighed heavily for
me as I reviewed this. One of them has been mentioned several times and that is the
quality of the development and the development happening is part of an entire property
and not piecemeal. I think that’s very important because it’s right next to Village West. I
think it’s more important because I think as a community we are at a place and time
where we should demand the highest quality development regardless of where it exists. I
think we set that tone every time that a project or a proposed project comes forward. I
think that it resonates in other places and I will give you two examples that I mentioned
early today when I had a meeting with a couple of folks and how I think it translates to
other parts of our community. The second Walgreen’s in our community is being built at
29th and State Ave. and I can tell you that our Planning Director specifically dealt with
Walgreen’s, and we are happy to have them and it is a wonderful development, but was
able to set an expectation and a tone as to the kind of Walgreen’s we want at 29th and
State Ave. We have a Sonic that is going in at about 9th and State Ave. as well and Sonic
came in and we want them to be a part of our downtown community but our Planning
Director was able to go to Sonic and say the Sonic we expect downtown is the exact kind
of Sonic you built in Village West. When we move these projects forward we set a tone
and a expectation that I believe must resonate and can resonate to other parts of our
community and the expectation that development that we have regardless of where it
comes we expect the best. The nice thing is that we all sit here tonight and we have a
standard that we can set that too. I think part of what we are doing tonight, in my
opinion, my support of this is that it does set that expectation and it translates beyond the
place where that exists. The second thing is I think equally important is when you do
large projects like this; we need to be sensitive to and provide for adequate protection that
surrounds the neighborhoods that abut this. I think that we are absolutely doing all that
we can to do that. In fact in our last public hearings some of you weren’t here, but we
asked the question and I can tell you that Rob, our Planning Director, will tell you that we
can’t find an example anywhere in the Kansas City Metropolitan area were the buffering
between a residential area and a retail development is any superior than what we are
going to be able to provide our residents here and I think that’s a critical factor that



                                    December 21, 2006
weighed heavily on me. The final one and I think that it is very important to me, is what
the bottom line is for this project. Several Commissioners have brought up the ability for
us to lower our property tax rate over time. I absolutely believe that the way for us to do
that for the long haul is to increase other revenues. Increasing other revenues must mean,
in my opinion, and several of you said it tonight, that we can shop more in our own back-
yard and capture those sales tax that leave our community every week when you all and
myself and my family have to find our way outside of our borders to make those essential
purchases. Furthermore, I think it also speaks to our long-term residential growth. We
need to provide those retail amenities when we expect and we should expect, that folks
would be interested in buying a new home and moving from somewhere else to Kansas
City, KS and Wyandotte County and I think that this answers that need and allows us to
continue to build record numbers of homes to attract individuals. The day the doors open
on this project, $4.2 million we project in sales tax will be brought into the Unified
Government coffers and that was mentioned earlier tonight. To give you a sense of what
that impact means in the Village West area today, and all of us I think here tonight have
heard a lot of comments about how phenomenal that’s been, it generates about $6 million
in revenue annually. The day this project opens up the significance for us from a revenue
standpoint, we will generate $4.2 million in revenue and that opens up the ability for you
all to hold us accountable as to how we are going to spend that money or if we are going
to reduce property taxes from that new revenue but it gives us the ability to take that step
forward and I think that is extremely important.       Don mentioned something in his
comments as well, that with the TIF we are able to generate more net revenue gain
because we are able to develop a quality development across the whole scope of this then
if we allowed it to go piecemeal. I think that is extremely important. I will finally
mention two other points and the first is that we are using no current tax dollars from any
other source to make this project go and our staff has done a good job of minimizing, if
not completely eliminating, the risk to the Unified Government and expecting that the
developer will move forward with the public infrastructure improvements prior to
anything else and I think that’s extremely important point. The final thing I will mention,
because workforce is extremely important, having prevailing wage in this contract is
something that we have done now on several of our major projects. I’m proud of that



                                   December 21, 2006
because quite frankly I think you are going to be hard pressed to find any other
community in Kansas that has made a clear statement in support of prevailing wage and
paying folks prevailing wage when we do projects where public dollars are involved.
We’ve set that tone in expectation and it carries forward to today, it carries forward in our
Minority and Women participation to make sure that we are lifting up all boats and we
are able to carry that forward here too. I think that is persuasive as well.


Commissioner Mendez said I would like for the developers to explain the timeframe for
completion of the total project please.


Mr. Heaven said we expect the project to start with some site work fall of 2007. First
order of business is going to be starting in putting a majority of the dirt on that berm to
try to alleviate any of the north residents seeing any kind of construction once it may be
happening and that the berm could prohibit. That is item #1 and probably through fall we
are going to get that accomplished to some sort and that will go through depending on
winter construction and spring 2008 is really when this project is really going to begin.
We hope to open the stores some of them fall of 2008, majority of them spring of 2009 to
fall of 2009.
Action:         ORDINANCE          NO.     O-138-06,     “An     ordinance      adopting   the
                Redevelopment Plan for property in the Speedway Plaza Redevelopment
                District.” Commissioner Kane made a motion, seconded by
                Commissioner Gilstrap, to approve. Roll call was taken and there were
                ten “Ayes,” Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller,
                Mendez, Mitchell, Kane.
Action:         RESOLUTION          NO.    R-155-06,     “A     resolution     approving   the
                Redevelopment Agreement with Plaza Speedway, LLC, to construct a
                retail shopping center known as the Speedway Plaza Redevelopment
                District.”   Commissioner Kane made a motion, seconded by
                Commissioner Gilstrap, to approve. Roll call was taken and there were
                ten “Ayes,” Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller,
                Mendez, Mitchell, Kane.



                                    December 21, 2006
ITEM NO. 3 – 060296…PUBLIC HEARING/ORDINANCE
Synopsis:      Conduct a public hearing and request adoption on ordinance establishing
the Midtown Redevelopment District, submitted by LaVert Murray, Development. The
area is bounded by I-635 on the east, I-70 on the south, 48 Street on the west, and
Nebraska Avenue on the north. The proposed plan for this TIF district is mixed-use
consisting of one or more large retail “box” stores, one or more smaller retail stores and
restaurants, one or more commercial office buildings, and multifamily and single family
residential units. On November 16, 2006, the Commission adopted Resolution No. R-
146-06 setting the public hearing date.


LaVert Murray said this matter comes before the Unified Government Commission to
address a critical need to rebuild the Midtown area. On November 16, 2006, the Unified
Government Commission adopted Resolution R-146-06 establishing tonight as the public
hearing date to consider establishing the Midtown Redevelopment Tax Increment
Financing District. The proposed Midtown Redevelopment Tax Financing District is
bounded by Interstate 635 to the east, Interstate 70 on the south, 48th Street on the West
and Nebraska Ave. on the north. The proposed plan for this district is a mixed use
project consisting of construction of one or more large retail box stores, one or more
smaller retail stores and restaurants, one or more commercial office buildings, a multi-
family and single-family residential development. The plan for the proposed district
consists of the acquisition of property, relocation of impacted concerns, demolition of
buildings, site preparation and the development of public infrastructure improvements
and, as I stated earlier, the redevelopment of the Midtown District as a mixed use retail
office and residential development. The Midtown Redevelopment District is located in
an eligible area under the Tax Increment Financing Act because the area was declared
blighted pursuant to Resolution No. R-145-06 as adopted by the Unified Government
Commission on November 16, 2006, and as defined in the State TIF Statutes. The staff
believes that the establishment of the Midtown Redevelopment District is necessary to
promote the general and economic welfare of the Unified Government of Wyandotte
County and Kansas City, Kansas. I should point out that this is the first step, as you
heard earlier today, similar to other TIF Districts that we have established, but this is the



                                    December 21, 2006
first step towards the creation of a redevelopment plan for the area and the
Commissioners action tonight is to create the TIF District. If the district is approved, it is
proposed that the area serve as an economic engine for the Midtown area in terms of
bringing about retail development and economic growth that will benefit all of the
citizens of our community. In terms of next steps, I should point out, that the staff will
pursue a course of action designed to solicit proposals from all potential developers
interested in redeveloping the Midtown area which may include the current owners of the
existing retail center. A number of major and national developers have already shown
interest in developing in this area and the Commissions positive action tonight will allow
staff to pursue those development opportunities, again, designed to benefit the Midtown
area and the entire community. I should point out, as I mentioned earlier, that the
declaration of blight that was approved earlier establishes our ability to pursue this step.
Our staff recommends, upon conclusion of this public hearing, that this TIF District be
approved.


Mayor Reardon said are there any questions for Mr. Murray at this time? I’m not seeing
any. Again, to review process for this public hearing, as we have done in the previous
two, we will open up the public hearing and allow those to speak in favor and in
opposition to this proposal to come forward. I will note for the record that legal counsel
for the current owner informed us of his desire in presentation to have more than five
minutes of time and according to our procedures at the five minute mark, I will be
entertaining a motion to extend that time so that the current owner would have the
opportunity to continue presentation to us. At this time we will open the public hearing
and ask for anyone that is here this evening that wishes to address the Commission in
support of this proposal, to come forward, state your name and address for the record,
you will be given up to five minutes to address the Commission.


Marcia Rupp, Neighborhood President of Watch Group 46ers, said we’re located in
the midtown division. Along with me, there are some other Neighborhood Watch Group
leaders that are here. I don’t know if they want to speak or not, but I will speak for
myself and probably for some of the ones that are here. I want to wish a good evening to



                                    December 21, 2006
Mayor Reardon and to the City Administrator, Dennis Hays, and to all the
Commissioners. Most of the volunteers in the community and the neighborhood leaders
are located in the midtown of Wyandotte County. I don’t have three jobs like Nathan
Barnes, I only have one and I don’t get paid for it, and neither do any of the other leaders
that work in their neighborhoods to clean it up and make it better. We have been waiting
for a positive step in the right direction to do something with this dead white elephant that
when we commute across 635 north or south, we look down and we see or if we take the
main thoroughfare, State Avenue, to out west or to east, we see it. I thank you and I
applaud you for taking that first step to help us out, us leaders and the citizens in the
midtown, that you haven’t forgotten about us and that you are going to do something to
make it more positive in our midtown. Thank you. Mayor Reardon said thank you Ms.
Rupp.


Dale Hartweg, 9305 Minnesota Ave. said I would like to speak in favor of the TIF
District at Indian Springs. I was there when they built it and it has long outlived its
usefulness. I would give the person that bought, I don’t know the people at all, but they
have made an attempt to make something out of it, they bought it and they have tried
different situations which none of them worked. The 635 corridor where it was all
blocked off, nobody could get on State Ave., that hurt it a great deal, but that has been a
long time ago and I think it’s time to bring the wrecking ball down. I do feel that they
did try to do something with it, but there is so much around that area that could be
developed and it would help the urban community a great deal, now that would be a place
where I’m sure Wal-Mart could go. I grew up at 13th & Central and I drove down Central
tonight and ten years ago I don’t think there was ten percent of the store fronts open, I
don’t understand Spanish, but they are all open now, so that has really been good for the
area. I think we really need to do something with this, develop it, particularly for the
urban community so that they have a place to shop. If Wal-Mart goes in there, fine,
whatever goes in there, but I think the development that goes in there should be tailored
toward the urban community, shops that they can afford, restaurants that they can afford,
maybe there should be different types of restaurants than went into Village West; you
know they are pretty expensive for some people. I strongly support the TIF District here



                                    December 21, 2006
and I want to thank the members of the Commission that commented on the other
development by Village West. I think you took the time to analyze it very well in what
we need and there are several of you that didn’t even analyze it at all. You guys, I know
don’t get paid a lot, you’re doing this because you love Wyandotte County just like I did
and I’ve never left here and I’m interested in what goes on in Wyandotte County and
that’s the reason I’m here. But anyway, there was a comment made by Mr. DeSeure I
think, but the tax rate has gone down, which it has, there isn’t any question about it.
They have done a good job of doing that, but by the same token evaluations in Wyandotte
County have gone way up. It is a difficult situation for some people to make those taxes
and you’ve got to consider that too. I’m like a lot of people, I didn’t leave and go to
Johnson County, I stayed here, my kids, two of them still live here so I want to see
Wyandotte County grow and prosper. I hope I live that long. Thank you very much.
Mayor Reardon said thank you Mr. Hartweg.


Mayor Reardon said is there anyone else that wishes to address the Commission in
support of this application, this ordinance, excuse me. Let the record reflect, we are
seeing no one else come forward at this time. At this time we will ask for anyone that
wishes to address the Commission in opposition or has questions to step forward and to
state your name and address for the record.


Reid Holbrook said, Mayor Reardon and Commissioners good evening. There have
been some colorful comments this evening. We will try to make ours a little plainer. My
name is Reid Holbrook and I have the privilege of representing the owner of Indian
Springs Business Park, my office is 7400 W. 110th St., Overland Park. Thank you for
allowing us to have just a little bit of extra time. Fortunately, for all of you, I’m not
going to say very much tonight. I would like to have Mr. Richard Caplan come forward.
On the 16th about three hours before the actual hearing on the blight issue, that was the
first time we had seen a Bucher Willis Ratliff report. We employed a consultant to come
in to do a blight study. It comes to different conclusions. I would like to have Mr.
Caplan who has prepared the report come forward. I think he needs about 7 or 8 minutes
and after that we would like to have Mr. Joe Vaught come forward who, as you know, is



                                  December 21, 2006
a former Commissioner and local realtor. We are going to ask, and do ask, that this body
set-aside, rescind and vacate the blight study for the reasons that are going to be set forth
in the comments and remarks of Mr. Caplan and then also that you not go forward with
the redevelopment district. If I may, could I have Mr. Caplan come forward.


Mayor Reardon said I might at this time entertain a motion to extend time for 15
minutes for presentation so that we don’t interrupt Mr. Caplan in the middle.


Action:        Commissioner Pettey made a motion, seconded by Commissioner
               Gilstrap, to extend the time for 15 minutes.                 Motion passed
               unanimously.


Richard Caplan said thank you Mr. Mayor and members of the Commission. Good
evening, my name is Richard Caplan. My office is at 7301 Mission Road in Prairie
Village. My firm has worked in Housing and Community Development consulting for
over 20 years and I have worked on behalf of cities and developers on TIF and blight
studies in six cities in Kansas. I’ve also worked for the Unified Government on housing
issues on and off for the last 15 years and I should say professionally I’m a strong
admirer of your governments’ and community success and widely applaud many of your
efforts that you have taken on redevelopment. However, this evening I have to make an
exception to this action in front of you. My purpose is to assess the findings and the
conclusions of the blight analysis for the Midtown Redevelopment District that you
adopted on November 16, 2006. The blight study submitted stated that six of the nine
criteria for finding blight concluded that the area was blighted.        However, a more
complete assessment finds that no more than three of the blight criteria have been
satisfied and this assessment is based on three, I think, important points. First, there are
incorrect statements of fact or incomplete data in the November 8, 2006 blight study.
Second, the blight study fails to give any credence to several of the positive factors that
are occurring on the property and in the redevelopment area and in the midtown area.
Third, ironically your Unified Government actions have been embraced changes that are
underway there. The staff has endorsed the rezoning, the Planning Commission adopted



                                    December 21, 2006
that, the Board of Zoning Appeals have approved new signage for the property and your
own actions and rezoning of property earlier in 2006 was a step in allowing the current
owner of the Indian Springs property to take some very progressive efforts to undertake
redevelopment.


Mr. Caplan said I want to take this opportunity to point out some of the positive trends
that are cited in the blight analysis itself that I think might warrant restating; one being
increased population.    The study notes that the study area as defined in the blight
analysis, the population has increased by about 800 people over the last decade. That
exceeds the population growth rate for the county has a whole. Secondly, there is new
housing being built in the area. The study says “it is now experiencing a positive trend in
housing with 277 building permits issued between 2000 and 2004”. Third, there is
increased retail sales. The study states that retail sales in the area have increased.
Certainly these are areas, points that certainly counter the conclusion that there is blight
in the area, and if there is blight in that area, then certainly that definition loosely
interrupted could be applied universally throughout much of the state of Kansas for that
matter. There are some important inaccuracies in that study that I want to point out.
First, the vacancy finding.      The study incorrectly notes that the Indian Springs
Marketplace building is currently 90% vacant. In fact, there are 24 tenants occupying
over 230,000 square feet or 34% of the property resulting in a vacancy rate of 66%, not
over 90%. The largest tenant, of course, at Indian Springs Marketplace is the Kansas
City, Kansas USD 500 which houses approximately 300 employees and accommodates
about 300 to 400 students daily, each afternoon, to attend either an alternative school or
utilize the Special Education classroom in district premises which I would add the district
has spent a significant amount renovating that property for these specific uses. Secondly,
the study incorrectly states that there are no retail tenants. In fact, there are nine retail
tenants that occupy about 21,000 square feet including two eating establishments, an
apparel store, a nail salon, a jewelry store, and four others. Third, the comment is that the
access is a problem. It fails to note that many of the retail establishments at Indian
Springs, and for that matter, all along State Ave. beyond the district, did experience a
negative impact for about two years during KDOT construction of the I-635 project and



                                    December 21, 2006
certainly that did have a negative impact on Indian Springs and throughout the area.
Those improvements have improved access onto State Ave. and in fact, when the
property was rezoned, the Unified Government staff memorandum did not criticize or
express any reservations or concerns about the traffic at that site, access to the site at the
time of the rezoning so it is rather contradictory that a study six months later, after the
rezoning, says there is a traffic concern there. Fifth point, decline in assessed value. The
study incorrectly notes that the assessed value at the Indian Springs Shopping Center has
decreased. In fact, part of the conditions that you imposed on Indian Springs was for a
ten year tax freeze on part of the property because of the Tel-A-Tec project. In one hand,
by your action, there was a freeze in the property tax and then on the other hand, there is
a criticism the property tax hasn’t gone up, but in fact, in the blight study, if you look at
the data correct from either 1980 or 1990, the combined assessed value within the
redevelopment district has increased. It has increased significantly since 1980 and since
1990. Sixth, adjacent development, as many of you may be aware, there is new light
industry that has just been built immediately west of the property that’s over a $2 million
investment on 47th Street and it is valued by the County Appraiser at $1.4 million. This is
immediately adjacent to the proposed district. So, again, that is certainly a significant
investment that contradicts the fact that the area lacks economic vitality.


Mr. Caplan said next, and one question, the district boundary; the district includes three
parcels on the southern portion of the site owned by the Wyandotte County Land Bank.
The study says that the use of these properties is severely limited. There had been
undermine problems, as you know, and there are buildings on those properties that were
demolished and so the property has now been deemed safe. I don’t think its adequate
though to suggest that the property is going to be turned into any other public use or
private use and it is questionable why those parcels need to be or would be included in
the tax increment financing district. It would be our recommendation that any action you
might consider would remove those parcels from the district and by so doing, again, that
really eliminates one of the criteria that defines the area as blighted on property that is
clearly not going to be redeveloped so why should that be in the district. There won’t be




                                    December 21, 2006
any future property tax increment; there are no other public improvements that are
required on that site.


Mr. Caplan said very briefly, the six items that the study identified as being blighted I
wanted to comment on, substantial number of deteriorating structures, in fact, the
property owner has spent over $850,000 on repairs since 2002. There have been eight
code violations in the last five years. All of those code violations have been corrected in
a very timely manner and have been dismissed. In fact, eight seems rather relatively
minor considering the Code Enforcement staff is located in the property and obviously
has opportunity to observe and cite any incidents of code violations instantly as they go
to or from work during the day. In addition to that, certainly in terms of the traffic issue,
with the buses coming with 300 to 400 children everyday, I haven’t asked the school
district, but I don’t think there has been any concern about traffic safety from the student
standpoint. That counters the second point of predominates of defective or inadequate
street layout.   The streets are satisfactory to the school district, they were found
satisfactory to the Planning staff during the rezoning and certainly the I-635
improvements have helped. The next point, improper subdivision or obsolete planning or
land use in fact, as I’ve noted, you have changed the zoning on that and the changing of
the use from exclusively retail to a business park has allowed the property owner and the
leasing agents to actively market that property and there has been very strong interest,
that I’m sure some of you are aware, from non-retail users on that site. Again, that’s a
direct result of the new zoning that you enacted. Last, conditions which create economic
obsolesces, the blight study incorrectly notes that is the lowest lease rates in the county.
In fact, those lease rates are artificially low because they were granted low to the school
district in return for the school district making $2 million worth of improvements, of
tenant improvements.     In fact, there are other rates in Wyandotte County that are
comparable to the same rate that the school district pays. On the other end of the scale,
the rates range up to $21 and $22 per square foot for some of the tenants and those are
very comparable to rental rates and lease rates across other parts of Wyandotte County.
Again, some of the rates have been discounted specifically for some of the non-profits
which has been a strategy to generate more traffic activity at the marketplace.           In



                                    December 21, 2006
conclusion, we concur with three of the findings. I think it’s important to note that the
blight study said there is no tax or special assessment delinquency, there are no defective
or unusual conditions of title and there are no conditions which endanger life or property.
In conclusion, this assessment shows that the study area does not meet a majority of the
criteria according to the State Statute and I think there is insufficient evidence to satisfy
the nine criteria to qualify for blight at this time. I would be happy to answer any
questions. Thank you. Mayor Reardon said thank you Mr. Caplan.


Mr. Holbrook said previously we had mailed a complete copy of Mr. Caplan’s report to
each of the Commissioners and you Mayor. I would just like to formally request it be
made part of the record. I think that’s kind of automatic, but I would like to have that
made part of the record.


Mayor Reardon said just for clarification, Mr. Roberts do you have a copy of that at this
time. Mr. Roberts said no sir. Mayor Reardon said I will make sure that the copy you
sent to me is forwarded to Mr. Roberts and is included in the record. Mr. Holbrook said
I will give him one as soon as we’re done this evening. The other thing is I would like to
give to our distinguished U.G. Clerk 38 letters from tenants and employees of tenants in
the building that are in opposition to the blight finding and in opposition to the proposed
action of the city. Mayor Reardon said the Clerk will accept those and make those part
of the record. Thank you.


Mr. Holbrook said may Mr. Vaught now come forward. Mayor Reardon said yes.


Joe Vaught said Mayor Reardon and Commissioners I’m with the Vaught group. The
Vaught group is a commercial real estate company located 8040 Parallel Parkway, KCK.
I am the real estate broker and the leasing agent for Kansas City Mall Associates, Inc.
whose is the owner of the former Indian Springs Shopping Mall and now the Park West
Business Center. Before I go on, having been a previous Councilman and Commissioner,
I would like to acknowledge Commissioner Barnes remarks about the pay. I think the
only one that pays Commissioners less than the Unified Government is what the Chinese



                                    December 21, 2006
get paid making shoes or something. I’m with you. I think you ought to get more
money. Since Mr. Caplan has already provided considerable detail about the blight study
and the findings, my comments will be brief but they will be about it being rezoned as a
business center which when I was a Commissioner, and representing the mall and since
then, I had always envisioned that as being because the demographics of the area didn’t
provide that it would ever be viable as a retail center for economically because of the per
capita income. The redevelopment district will have an adverse effect on USD 500 and
that is one of the more important things that I think needs to be covered. The proposed
redevelopment district will have serious and adverse impact upon USD 500 and the
valuable service it provides to Wyandotte County residents. The school district currently
leases 133,000 square feet of space in the mall and has a lease that runs until 2013, that’s
the old Penney’s space in the mall, that many of you are familiar with. The school
district has invested approximately $3 million into the space to meet their needed
specifications. In other words, they did the tenant finish. They got an attractive lease
rate and they did the tenant finish.


Mr. Vaught said aside from the disruption of forcing the school district to relocate, their
investment will be forfeited if they are forced to leave the facility. There is no way for
them to get back their investment. The school district currently serves hundreds of young
children with special needs at the facility. Every work day more than 300 USD 500
employees report to work for the Park West Business Center.              Every morning and
afternoon over 300 children are transported to the facility. The facility is both convenient
and safe. As you know there is a police reporting station located inside the center,
numerous police cars advertise police presence, thereby reducing the risk of crime. The
site is advantageous because most of the children have special needs and must be bussed.
I do not think there is a better location in this city for this type of service that’s provided
by USD 500. If the proposed redevelopment project goes forward, USD 500 will have
difficulty finding 133,000 square feet of suitable space in Wyandotte County to lease, and
truthfully, the only place you will lease that kind of space is in Fairfax or in the bottoms
warehouse space and that’s what they are leasing that for. The price they are paying us
is what you would pay for hot space. Simply stated, the school districts current location



                                       December 21, 2006
is ideal and any relocation will be difficult and a financial waste to the taxpayers. It is
surprising to me that the school district was not consulted prior to the blight designation.
Who else would be displaced, allow me to comment, and the few I’m going to talk about
is some of the non-profits that are there at a very attractive rate and when they leave, they
can’t find space at the rate they are paying. The Kansas Black Chamber of Commerce,
they lease 6,500 square feet for $2,100 a month or $3.88 a square foot. Children’s
Museum, 15,500 square feet for $250 a month or .46 a square foot. Actually, the $250 a
month doesn’t even pay for the air-conditioning and the heat which is paid for by the
Kansas City Mall Associates for that piece of property, but that’s part of what the
Kashani family does for non-profit organizations. Unified Government leases 15,190
square feet at $7,004.16 a month or $5.53 per square foot. This compares to the property
the Unified Government recently leased at 8200 State Ave. for $18.00 a square foot,
Police Department, 3,000 square feet at $1,250 per month or $5.00 per square foot.


Mr. Vaught said the redevelopment district will have an adverse effect on the local
grocery business. The proposed redevelopment district envisions a Wal-Mart Super
Center that sells groceries. Such a store will have a harmful effect on other grocery
stores in Wyandotte County and we are told will likely lead to the closure of some or all
of these area businesses. The demand for grocery unlike many other products is fairly
static over time. The addition of a Super Wal-Mart into the mix will not increase the
number of jobs in Wyandotte County. The loss of jobs resulting from the closure of other
grocery stores will offset any new jobs that are created in the redevelopment district.


Mr. Vaught said the 2005 rezoning of Indian Springs Center opened up non-retail uses
for the facility. In 2005 the Unified Government rezoned Indian Springs Shopping
Center from CP-1 Planned Limited Business District to BP Planned Business Park
District. Your vote to approve this was unanimous. The rezoning was necessary and
appropriate because the demographics of the area in which Indian Springs Shopping
Center is located do not support its continued existence as a purely retail facility, but the
business center has several non-retail uses that the ownership has vigorously pursued.
Specifically, the owner has negotiated with the Kansas Department of Social



                                    December 21, 2006
Rehabilitation Services, SRS, to lease approximately 87,000 square feet to accommodate
the relocation of approximately 370 SRS employees to the former Tel-A-Tec site on this
property. Just a side comment, that Tel-A-Tec site was tenant finished, state-of-the-art,
and SRS would be moving in to one of the finest facilities that they could possibly find in
the metropolitan area and to think that this property should be scrapped is sinful
truthfully.   As part of the lease agreement with SRS the Kansas City Mall Associates
was committed to making in excess of $5 million in finished upgrades to this site. The
SRS lease would also have triggered an additional several million dollars in upgrades per
the business center agreement, approved by the Planning & Zoning Commission of the
Unified Government. That was part of what you approved when you approved the
rezoning of this business park. This was all going to be done without any TIF or tax
abatement. Please understand that the money we’re going to spend for SRS and all the
other upgrades wasn’t going to come out of the pockets of the taxpayers. All increases in
the taxes triggered by this redesign and tenant finish was going to be paid for by the
owners without any government assistance. In keeping with Governor Sebelius plan for
consolidation of State office space, this space has the potential to set the stage for leasing
of space to other State agencies which need large spaces and added parking to service
their clientele. This was part of a plan that she put together. When we bid on this there
was other people that were going to be involved and still will be involved because of the
very thing she wants to do. Prior to November 16, 2006, we approached the Mayor about
changing the location of the bus stop to accommodate the SRS clientele, but these
opportunities cannot become a reality if the Commission creates a redevelopment district.


Mr. Vaught said let me point out just one thing while we’re talking about SRS and that
is they don’t have to be located in Wyandotte County, that’s not a requirement. We have
the opportunity to bring other State offices to our city and we also have the possibility of
losing a major one to another city. In addition to the SRS lease, I had received a Letter of
Intent from Regency Hospital Services of Atlanta, Georgia to purchase six acres of land
so they could build a 60,000 square foot acute care long-term hospital on the property.
Shortly after your actions on November 16th, Regency withdrew their offer and has
decided to go elsewhere. Incidentally, I received that offer on the 14th of November.



                                    December 21, 2006
Investment in the new Park West Business Center, with the approval of the zoning
change in early fall of 2005, the ownership proceeded to, and did invest more than
$230,000, in architectural and engineering and other related services to change Indian
Springs from a mall to a business park. Ironically, our request for a sign change to the
Board of Zoning Appeals for a $70,000 monumental sign and some additional signage
around the park was approved on November 6, 2006, a mere ten days before you declared
the property blighted.


Mr. Vaught said the notion that this area is blighted and not conducive to economic
activity is not supported by facts. Jim Francis has recently invested millions of dollars in
traffic safety business on North 47th Street, immediately west of Indian Springs, and I
sold them that property.      I brought them here from Riverside and he had some
reservations about it, but he needed to expand his business, and I convinced him that this
was the location for him. I want to read a letter that he wrote today to me addressed to
Joe Vaught. “Dear Joe, as you know I had some reservations when I purchased the
property at 626 No. 47th Street, Kansas City, Kansas. We are contractors and have a lot
of equipment that we move around daily as our work is highway markings and signing.
You encouraged me to buy this particular piece of property for its location and for the
ease of receiving our shipments and ability to mobilize our work. After being here and
seeing how well this works, we feel the whole area would be built into warehouse and
office space as it is not a location for retail. There appears to be a stigma about shopping
retail here. The 18 acres we own north of our complex to be incorporated with the
property between ours and 47th Street making it an ideal location for warehouses. We
would have an interest in developing the property if we could receive some assistance
from the City. It is centrally located and has access to two interstates” signed Sincerely,
Jim Francis.


Mr. Vaught said I would just like to say that in summary, the proposed Midtown
Redevelopment District causes great harm and inconvenience to USD 500. It would
force the school district to forfeit substantial investment and inconvenience to large
numbers of parents and children. It would also have an adverse effect upon the local



                                   December 21, 2006
grocery business if a Super Wal-Mart were to enter the grocery business in that location.
Further, it has frustrated the owner’s efforts to lease the space for productive uses such as
governmental office space and hospital use. I would urge the Commission to reject this
motion and I would also like to take time to give to Tom drawings of what we did in
December of 2005, a year ago, when it came to artist renderings and how we were going
to lay this out and nobody bothered to say, before we do this, what is your plan, because
we have a very nice plan and I hope everyone of you will take the time to look at what
we’ve done and what a beautiful addition it would have made, and will make, to that
corridor. Thank you. Mayor Reardon said thank you Mr. Vaught.


Mr. Holbrook said Mr. Mayor that concludes the remarks on behalf of the landowner.
We would like to request that the letter of Jim Francis again be made part of the record
and that the color site plans that LaVert Murray now has also be made part of the record
and should there be any questions, we will be happy to answer them as best we can.
Mayor Reardon said the Clerk will ensure that those are part of the record.


Mayor Reardon said that takes us to the remaining part of our public hearing on this
item.   If there is anyone here that wishes to speak in opposition to this proposed
ordinance or has additional questions, we ask for you to step forward at this time. State
your name and address for the record, you will be given up to five minutes to address the
Commission.


Tyszu Woolridge, 1539 No. 85th Pl., said I’m representing Jai-beez Restaurant who is
located in the Indian Springs Mall which is my mother and her good friend. They just
had a couple of questions that they needed answered. I don’t particularly think that they
are either for or against it; they are just mainly concerned about how the outcome is going
to be for them. One thing they wanted me to let you know is that they have been at that
facility for four years and they have just began to show progress and have a consistent
customer base. If Indian Springs is going to be torn down, what compensation will be
given to those businesses that are in there, because even in the interim, even if they are
relocated somewhere, they will have to store their equipment, and this is their sole source



                                    December 21, 2006
of income. They have both retired off their jobs and poured their savings into this piece
of property because it was economical for them and they could afford to do that and it has
made income for them so they can still live at a comfortable rate and yet go in and still
maintain what they were doing in their business. If it is torn down, and if they are
relocated, do they have any say in where they are relocated, and if they can’t agree, if the
Unified Government and their business can’t agree on the location, what compensation or
what will be given to them because they have invested some money in the business that
they wouldn’t be able to get back. They were saying if Indian Springs didn’t have to be
torn down, it could possibly be remodeled just like you put stipulations on other
businesses and give them a chance to put a new face on the place rather than tearing it
down because that’s money that wouldn’t have to be spent. It would be cheaper to
remodel rather than having to tear it down, but they are mainly concerned about what
happens to, maybe they’re not a big box company, but they are a little mom/pop
restaurant that has survived over three years going to their fourth year and they are just
starting to see some profit on their end, so they just want to know what would happen to
them. Mayor Reardon said thank you ma’am.


Tony Gordon, 404 Pueblo, Lake Quiveria, Ks., said I have listened to a lot of
proceedings tonight and it is very interesting. I do admire what Wyandotte County has
done with the developments that they have done. I do see where the County wants to
progress and do better for its citizens and things like that, but myself, I’m a business
owner. I own a business in Indian Springs Mall. I have been there over two years now.
It allows me to benefit there. I own a Adult Daycare for seniors. I take care of about 35
seniors and physically disabled people a day. I was given some assurance that we would
be relocated, I was given some assurances that these things would happen. I think if you
guys give that mall a chance, I think it will come back. If SRS does goes in there and
they get 300 to 400 people employees working there, that is going to create foot traffic,
that’s going to create other restaurants to come into the mall and that is going to create
some more retail to come into the mall. I also think as far as the State goes, of course, I
deal with Medicaid and Medicare, I know a lot of the agencies are looking for
inexpensive locations to go. For me, transportation is my biggest issue. I used to have a



                                   December 21, 2006
location in Johnson County on Shawnee Mission Parkway and I would actually bring in
clients for five years from Wyandotte County into Johnson County because I found a spot
on Shawnee Mission Parkway that had inexpensive square footage. I was drawn back
into Wyandotte County because of the Indian Springs Mall and what it did for me. They
worked with me well on numbers and was able to fit into my budget. I work Medicaid so
my budget is very limited on what I can do and what I can’t do. I do know there is a
serious concern, at least with my residents, and when I say residents, they are only there
Monday thru Friday; they are concerned it is going to be ripped down and it has been
there for a long time, it has a great history here in Wyandotte County. I think it needs
some time to be turned into something else and I know probably most of you
Commissioners have talked to people and you’ve already made up your minds on what
you are going to do with this, but if you guys would give it a little time, table it, think
about what you’re going to do here, because it is a major thing. I will tell you what, if I
hear about another Wal-Mart opening in Wyandotte County, it’s crazy. If you’re going to
have one out, and I don’t know if it’s a Wal-Mart or what, but if you’re going to have one
on 18th Street and you’re going to have one at 635, and you’re going to have one out
west, I have nothing against Wal-Mart personally, I love Wal-Mart, but I think Wal-Mart
is going to be in a little bit of an over kill here in Wyandotte County if you have to have
that many of them. I don’t want to waste your time here, but really I think you guys
should really seriously consider this particular motion. I think the other things you guys
have thought about today and voted on were excellent ideas. The redevelopment of
Wyandotte County is absolutely necessary and a year from now if you guys feels that the
mall isn’t where it should be or it’s not progressing and you’re not getting more tenants in
there and it’s becoming part of the community, then revote on it, but don’t make that
decision today on this particular project. I was given about 15 days notice, maybe 20
days notice about this meeting tonight. I have a business where I don’t know what I’m
going to do and I would like some assurances because I’ve talked to people at City Hall
and I’ve talked to other people that have told me and given me assurances that yes you
will be moved and we’re going to get you into this other place, but I want it for public
record. I want the developer to come here and tell the business owners, and I know there
are quite a few business owners here, give us some assurances that these are the things



                                   December 21, 2006
that are going to happen, if this does happen, because right now all I’m getting is what’s
going to happen, but nobody is giving me anything in writing, nobody has made any
public statements, I’m getting a lot of what could be. In closing, I would really like to
see you guys table this issue and give us some consideration and think about, can we
redevelop that mall, is it possible, and I really truly believe that it is. Thank you very
much for your time. Mayor Reardon said thank you sir.


Mayor Reardon said is there anyone else that wishes to address the Commission on this
issue, I will ask you to step forward and state your name and address for the record. You
will be given five minutes to speak.


Joshua Watson, 111 River Road, Farley, Missouri, said we’ve recently became friends
with the Indian Springs Mall and we’re tenants there now and we’re going to be,
hopefully, opening a 1,000 seat theatre there for Elvis The Second, who I represent,
which we’ve got quite a bit of publicity and quite a bit of following within the years
we’ve been doing what we’ve been doing.           I would like to state that we’ve been
publishing a magazine that world wide, we’ve been on every local TV station here and a
few talk shows and stuff on the news channels. With that being said we also have a list
of over 100 tour bus companies and travel agencies that are getting ready to sign
contracts with us for wherever we open our theatre to bring business. I believe that this is
going to better the community as far as bringing in outside business for all the
surrounding area and the Indian Springs Mall. As far as everybody and new businesses
coming into the mall to thrive on the business that we would be able to bring, that’s not
counting the employees that we would be having to employ for our business alone, so
we’re thinking it is going to be as much as 40 to 50 to probably 60 employees of our own
that we would be employing which would be for the Indian Springs area. With that to be
said, I would just like to say that there is hope for this mall and the vision that we have
with what we’re doing, which will succeed, and we’ve had a very big and large response
with what we do and you know a lot of people look at something like this and laugh and
say okay another show. But I will tell you what, the entertainment industry these days is
going up so big, I mean this is something this area definitely needs and something that it



                                   December 21, 2006
wants even though you have your movie theatre; you have a lot of entertainment that you
could go to. This is something that we’re bringing a Branson style (unintelligible word)
to the area where the people can come and say, wow; this is where I want to come back to
on my vacation, this is where I want to come back to on a regular week to week basis,
this is where I want to come back to see friends and family and to bring friends and
families here. We have something here that we’re bringing to the plate that is going to
benefit this mall and benefit the surrounding area to better everybody in this area with,
not just the mall, but all the retailers that are outside of the mall in the area and to be
redeveloped as far as new streets, new other companies being built around and really
grow this area up to where it is a thriving area. With that being said thank you. Mayor
Reardon said thank you sir.


Susan Solis, 318 E. Lowell, Claycomo, Mo., said I also represent the major retailer in
that mall, Rainbow.     We are a nationwide company.          Believe it or not that retail
environment we generate more profits at that location than we do out in the Olathe
branch at the Great Mall. I run both of those stores myself and I can tell you that we have
people from Olathe, Lawrence, Topeka and the Missouri side that comes to our location
because it is centrally located and they like the service there, they like the safety
environment, and they don’t have a lot of drama at that mall. They are assured that
there’s police on staff there so that gives them a warm and comfortable feeling. When I
first took over that location last year, it was kind of in a slump financially and our
company was considering pulling out of there. We have taken that and have turned it
around and we have brought more business back into that mall. I would just like to ask
you to really reconsider all the effort, not just our sales, but the other merchants have put
into that mall. I’m here on my own time, I don’t get paid overtime, just like you guys
don’t.   It’s one of those things where you’re affecting a lot of individuals in that
community that don’t have access to low cost clothing or low cost services and that mall
is providing that because they can offer us real estate at a reasonable price and we can
keep our prices lower because of that. I’m also a clearance center, for not only my
district, but for the region because they can afford to lower our prices there because they
offer such good prices on our real estate there and it has brought us in a lot more business



                                    December 21, 2006
there. Again, I would like to ask you to reconsider that. There is a Wal-Mart up there on
State. People don’t shop there because they don’t have the options and the selections at
that location that they do even down at our mall. They make specific trips just to come to
our store. Thank you for your time tonight. Mayor Reardon said thank you ma’am.
Joe Miller said I am a taxpayer, 1209 Orville, and Mr. Holbrook and Mr. Vaught hit on
some of the points that I had prepared tonight. I have done security for Mr. Kashani in
the mall for roughly seven years, since 1999. About three or four years ago, and this is
away from my text, Mr. Kashani asked, what is it going to take for a facility this big to
turn it around. It’s a combination of consensus building. You all are consensus builders.
You all give your opinion and that’s what makes us have things accomplished. I’m a
pragmatist, I’m a Rotarian, I’m a Shriner, Knights of Columbus, Disabled Veteran, I’ve
served my country, I’m a businessman. I would just like to see one time, I was coming
back from Savannah, Georgia about three weeks, and I saw a special on KCPT and it had
about big business. We all have been discussing the pros and cons of box and small.
Wal-Mart was in this discussion. I’m a patriot; I’m a Kansas resident for many years and
a good citizen. I’m sitting here listening for a glass company somewhere in Ohio, I
caught the tale end of it, Kim’s gone, and there are three glass companies that have
already gone down the tubes and this was in discussion about unfair competition of
China. China was being terrorized at the end and the small businessmen, this glass
company, had protested that China won, and this was not politics, this is business, this is
what we’re here about is undervalue, 40% of whatever they call it, yen, whatever it is, so
that’s 40%. Their labor force, anybody that knows about history and the labor practices,
and I’ve listened to a lot of folks here, union, non-union, we’re all pro business. We want
good jobs here in Wyandotte County. I’ve lived here three times in my life and I’m
sitting here listening to the Wal-Mart lawyers defending China to fight against making a
fair profit because they are not using fair labor practices, their under valuing their money
and they own everything, it’s privatized. They don’t have a choice like we do here.


Mr. Miller said Susan just came up, twice someone said I’m making a go of it here, and I
seen hope here. I’m an ex-Mason, I used to lay brick in ’62, I can tell you that building is
structurally safe. I load brick and I don’t understand, this is ludicrous, you’ve got people



                                   December 21, 2006
in business and you’re going to displace them for whatever reason, it makes no sense.
My daughter is going to lose a job. Do you care about that? Are you considering that
sir? That is a shame. Protect American jobs and by that every person here is getting
help. Joseph lost money when the State deemed two years, and I know Mr. Trevor, the
previous manager, he applied, begged us, to leave one exit. Had you all here tried
traveling down I-70 and tried to get off to this facility at 4601 State, you had to go 18 th
Street and go circumfuse. You had to go down to 57th to get there. It hurt everyone
including 47th Street.


Mayor Reardon said Mr. Miller you have another 30 seconds.


Mr. Miller said please, will you reason here. I’m a businessman, I don’t get help from
the government, what I pay my workman’s comp and my general liability insurance,
none of these folks that are in business. Tony Gordon, Sunflower, we’re all struggling;
we need to pull each other together and help us, not help foreign countries. Thank you.
Mayor Reardon said thank you Mr. Miller.


Patricia Provo said my husband Rowland and I live at 5101 So. Ridge in Roeland Park.
We operate KC Car Bay which is at 909 No. 47th St. In August, 2006, we secured a three
year with Kansas City Mall Associates for the building formally occupied by Firestone,
just north of the Indian Springs Mall. KC Car Bay is a full service auto repair shop. We
have contract mechanics working for us, we have people who want to open their own
business, but can’t afford the start up costs of equipment and building face, so we lease
them bay space and lift space and tools to help them get going in their own business.
Since the first day we began working on the building, people have been stopping in to see
what we’re doing and we were fixing cars before we were ever open for business. We’ve
committed over $100,000 to our business that has just opened. We’ve taken out a second
mortgage on our house, we’ve borrowed from relatives, we borrowed from our retirement
funds and we’re attempting to secure an SBA Guaranteed Loan so we can open and equip
all ten bays and we have done this all in good faith that the location we are leasing will
remain. This building is perfect for our purposes. We intend to continue and expand the



                                   December 21, 2006
business by hosting car shows and indoor swap meets and inviting car clubs to meet at
the location. This influx of people to the Indian Springs area will bring more visibility to
the area and help build up the economic development. Should the mall and surrounding
stores be turned into a redevelopment area, we’ll lose everything that we have worked
for.   We’ve literally mortgaged our future on our business and we stand to lose
everything. We would much prefer to keep the business going where it is. I believe our
end goals and the end goals of the Unified Government are the same. We’re looking for
improved economic development for this area of the county and we think we can help
with that. Thank you. Mayor Reardon said thank you ma’am.


Mike Beal said good evening Mr. Mayor, Commissioners and City Administrator, I’m
here representing the Fred Ball family and Ball’s Food Company.             I’m the Chief
Financial Officer at Ball’s Food Stores. Our office is located at 5300 Speaker Road,
Kansas City, Kansas, down behind Associated Wholesale Grocers. I would like to read a
statement into the record for you. “Kansas City, Kansas is very important to us. This is
where our company got its start at our first store at 16th & Stewart in 1923. Today Ball’s
Food’s is the largest retail grocer in the Kansas City metro area and Kansas City, Kansas
remains a very important and significant part of our business both from a community and
a philanthropic standpoint. We have four supermarkets in Kansas City, Kansas including
the one we opened in 1956 at 55th & Leavenworth Road which is still a very important
part of that community. As a long time member of the Kansas City, Kansas community
we understand the Unified Government’s desire to redevelop the Indian Springs
Shopping Center. As we’ve heard from a number of our friends and customers about this
issue for many years, we commend the governing body for its commitment to
improvements in the overall Kansas City, Kansas community. I’m here this evening
because we want to go on record regarding our concerns about the potential for a Wal-
Mart Super Center as part of the redevelopment plan for the Indian Springs site. A Wal-
Mart Super Center at Indian Springs would have a significant negative impact on our
ability to continue to do business in Kansas City, Kansas. Having been here in the retail
grocery business for 83 years we understand that there is only so much business to go
around and people do not buy more groceries because a new retailer opens a new store.



                                   December 21, 2006
In essence, the same pie gets sliced into smaller pieces, no pun intended. The Price
Chopper Store at 4301 State Ave. would be significantly and negatively impacted and
would most likely be forced to close. We currently employ 76 teammates at that store
and pay almost $100,000 a year in real estate taxes. Most of our teammates at that
location are union members and enjoy much better health insurance benefits than a Wal-
Mart Super Center would provide to its workers. Cities often believe that when a Wal-
Mart Super Center arrives taxable sales will increase, thus increasing overall sales tax
revenues.


Mr. Beal said there is a group called the Hometown Merchants Association, hereafter
referred to HMA. In conjunction with the National Grocer’s Association, which has
conducted research in Nebraska and Wisconsin regarding the linkage between the arrival
of a Wal-Mart Super Center and sales tax revenues, HMA survey of eleven Nebraska
Wal-Mart Super Centers found that Wal-Mart is only as low as it needs to be. Prices are
cheap until the competition is eliminated. In terms of local impact, an Iowa State
University study found that 84% of Wal-Mart sales simply shifted dollars from among
existing local retailers. That would be the situation if a Wal-Mart Super Center is
selected in connection with the Indian Springs redevelopment. The study shows that
most counties sales tax revenue grew faster before the Wal-Mart Super Center opened,
than after, especially in year three and after. In fact, the sales tax research show that
communities with a Wal-Mart Super Center show an annual average growth of 3.98% per
year while communities without a Wal-Mart Super Center showed an annual growth of
4.78% per year. The San Diego County California the Taxpayer Association research
found that the average Wal-Mart Super Center employee makes between $5.50 and $7.50
per hour. Our average salary range at our stores is almost double that figure. The study
also showed that a lower percentage of Wal-Mart employees, compared to other national
retailers, were covered by company insurance. The University of California at Berkley
found that a Wal-Mart employee’s use 40% more state provided health care than other
large retailers and 38% in other subsidies than other large retailers. In fact, in studies
done in 23 states Wal-Mart was the number one corporate user of the states Medicaid




                                  December 21, 2006
program. We have copies of all the aforementioned studies and we would be happy to
provide them to members of the Commission.


Mr. Beal said in considering the redevelopment of Indian Springs we would like the UG
to consider the entire area, including the Price Chopper site at 4301 State Ave. as part of
any redevelopment plan. We have reinvested hundreds of thousands of dollars over the
past years in capital improvements at this store in order to better serve the needs of our
customers and the residents, but without an improvement to the entire shopping center
and surrounding area, the benefits of our investments have gone largely unnoticed.
Delaying action on this redevelopment plan to provide time to consider the area in its
entirety and examine all possible options, would likely result in a better plan for the
current and future need of the public you serve. This evening the Unified Government
approved a Wal-Mart Super Center development across from Village West. If Wal-Mart
Super Centers are built out by the Legends and at Indian Springs, the question will not be,
will we be forced to close any of our four stores in Kansas City, Kansas, the question will
be how many stores of our four stores will be forced to close. For those people in
attendance tonight, who may not know, we operate a Price Chopper store at 4301 State
Ave. as I have mentioned, the Price Chopper at 7734 State Ave., the Ball’s Food Store at
55th & Leavenworth Road and the Hen House Store at 81st & Parallel Parkway. Together
these stores employ over 290 teammates and pay around $3.5 million a year in sales tax
revenue. This doesn’t include another 200 teammates at our corporate office and at our
Tippin’s Pie Plant in Kansas City, Kansas. In conclusion, I’m here representing the Ball
family and Ball’s Food Stores to ask the Board of Commissioners to consider the
following: 1) delay action, the action proposed tonight to review the additional
information presented this evening. 2) Review the studies I have mentioned. The detail,
the true impact of a Wal-Mart Super Center on the community and other businesses. 3)
Commit to a redevelopment project that does not include a Wal-Mart Super Center at
Indian Springs. 4) Consider including the 43rd & State Ave. site as part of an overall
redevelopment plan for the I-635 & State Ave. intersection. Let’s look at this area in its
entirety. The Unified Government has made great progress in moving this community
forward in a positive manner by forming partnerships. Ball’s Foods would rather be a



                                   December 21, 2006
partner in this process working in concert with the governing body to revitalize this area
rather than be an adversary.” Thank you for giving me the opportunity to present our
information to you this evening. Mayor Reardon said thank you Mr. Beal.


Homer Vansant said I’m the General Manager of Charles Ball Supermarkets, address is
1816 Central Ave., Kansas City, Kansas and I’m speaking to you on behalf of the Charles
Ball family regarding the issue of the Indian Springs site and how it would affect the
plans to build the new store at 18th & I-70. The Prescott Project at 18th & I-70 is a
gateway to Wyandotte County and has been vacant and a blighted eyesore four many
years. We’ve been working with Fishman & Company and Arrow and the Unified
Government for the past few years to help change the landscape of Wyandotte County
and this corner. We at Charles Ball Market are very excited when we finalized an
agreement last month to move forward with this project. We will help change that
gateway from an eyesore to an attractive commerce center that will blend old and new
aspects of our community. The Charles Ball families started at 919 Pacific, across from
St. Benedict here in Kansas City, Kansas over 75 years ago. We are thrilled to have the
opportunity to move from our current location and build the first new grocery store in
Wyandotte County in over 40 years. This location we will be better able to serve our
community and our customers. Based upon a geographic study completed by Associated
Wholesale Grocers and the Dakota Company, the food dollars available in this market
without a big box retail are very hard to come by. With a big box retail in the mix, we
will fall significantly short of our projection sells by approximately 35% making this
project completely unfeasible and securing a loan impossible. AWG has completed an
economic erosion report to show the impact of big box retail on the food dollars in
Wyandotte County. This report is comparable with any other group that performs these
same studies such as the Dakota Company and this report supports our concerns that the
big box retail project will dramatically impact the future of our new store and the local
grocers in the area who have served this community for many years. We’re committed to
the area, we’re committed to this project, but not with a big retail in the mix. We’re the
only grocer seriously interested in the 18th & I-70 Project. We were told by AWG we’re
the only grocer able to make the project feasibly work with the added dollars we would



                                  December 21, 2006
bring to that location from our current site. On a personal note, let me add that the
Charles Ball family has committed their lives to serving the people of Kansas City,
Kansas for these past 75 years. They have not only put their hearts and soles into service,
they have returned a lot of the profits back into their stores. I have been with the
company for 19 years and have seen a continual investment in updating equipment,
fixtures, flooring, interior and exterior improvements. I have worked in this business for
over 35 years, even owned my own store, this family reinvests as much or more of their
profits back into the business than anyone I have ever been associated with. They don’t
take it out and take it somewhere else and spend it. Mayor Reardon and Commissioners,
let me close by saying that the Charles Ball family is excited to move forward with the
18th & I-70 project, but they cannot possibly do so as long as there is threat of a big box
retail moving into the Indian Springs site.      We would ask that you take this into
consideration before you decide how to vote on the issue regarding this site. We look
forward to continuing our partnership with the Unified Government to create an attractive
and vibrant gateway to our community, something that the entire area can be proud of.
On behalf of Charles Ball Markets and myself, I thank you for this consideration. Mayor
Reardon said thank you sir.


Larry Basole, 8002 Darnell Lane, Lenexa, Ks., said I’m here to represent Associated
Wholesale Grocers. You have already heard from two of our retailers and we would like
to talk to you about our concerns with this project. As you know AWG is a multi state
grocery wholesaler. We have corporate offices here on Kansas Ave. and our division
offices along with our warehousing and distribution center is located here in Wyandotte
County. We supply 322 stores out of our Kansas City division, stores that you know and
hopefully shop at, Hen House, Price Chopper, Apple Market, Thriftway, many
independents such as Charles Ball and these folks have been in Wyandotte County for a
long time. AWG employs at our distribution centers and warehouse on Kansas Ave.
1,160 people. We pay back in real estate taxes and property taxes to Wyandotte County a
little over $900,000 a year. We’re a large employer and we’re an integral part of this
program in Wyandotte County with our retailers. I’m here tonight to basically express
some concerns that we have about the proposed condemnation of Indian Springs Mall



                                   December 21, 2006
and the rumor of a potential Wal-Mart Super Center and maybe a Sam’s Club in that
location. We’re not opposed to the redevelopment of Indian Springs, but we do have
major concerns about the impact that a Wal-Mart and a Sam’s would have, not only upon
AWG, but our retailers. Our concerns are loss of sales and jobs in Kansas City, Kansas.
Today we supply twelve stores that serve the 635 & State Ave. area, stores that these two
gentlemen just spoke of, and stores that have been an integral part of Kansas City, Kansas
for many years. If Wal-Mart Super Center were to open, a vast majority of Wal-Mart
sales would not come from outside the trade area as it would be in the case of the
proposed and discussed super center at Parallel out at the Speedway. These sales and
sales tax dollars would come from the existing stores, Ball’s Store, Charles Ball Stores
and the other twelve retailers that we serve or the combined total of twelve retailers that
we serve, they aren’t new sales. They are just a redistribution of sales from these retailers
that currently serve this marketplace today along with the sales tax dollars that support
that. The majority of retailers would be affected in this area and it wouldn’t be a large
majority that wouldn’t be affected. There would be a decline in sales for these stores and
some stores would be forced to reduce staff. Some stores, as you’ve already heard,
would possibly be closing resulting in more storefronts, more buildings for rent, for lease,
for sale, in neighborhoods throughout Wyandotte County and Kansas City, Kansas. As
retail store sales decline, another thing happens, purchases from AWG decline and it has
an impact on us. We predict that as many as 26 warehouse employees, our pickers and
loaders, might lose their jobs, six drivers might lose their jobs, maybe a supervisor
because of the decline in sales that would occur at our retail stores that funnel down to us.
Now these are union jobs and they pay over $50,000 and we have excellent benefit and
pension plans for our employees. We want you to understand and share our concern
about the project that is being proposed. In addition, as you have heard from our
retailers, there are hundreds of jobs that could be lost in the retail end of our stores.
Again, we’re not opposed to the redevelopment of the Indian Springs Mall, but we are
opposed to securing property for one of our major competitors, a competitor that is really
the largest and most financially capable retailer in the United States, at the expense of
long-term Wyandotte County retailers and AWG. Thank you for your time. Mayor
Reardon said thank you sir.



                                    December 21, 2006
Michael Fishman, 1948 E. Santa Fe, Olathe, Ks., said Mr. Mayor, members of the City
Commission, Mr. Hays, for the record I have appeared before you a number of times. As
you know I am one of the co-developers of the Prescott Plaza Shopping Center that has
been approved for 18th & I-70. I know it’s late and I will be brief. I am here basically to
concur with the previous speakers. I have been in this business for a number of years, I
don’t think I’ve ever appeared before a City Commission or City Council to oppose a
redevelopment, and in this case I don’t oppose a redevelopment. I want to make a clear
distinction. The Indian Springs Shopping Center may need to be redeveloped. There
may be other alternatives. What concerns me is the prospect of the Wal-Mart Super
Center. We have worked long and hard, as you well know, in order to get the Prescott
Plaza Project ready, keyed up, approved and we are on the verge now of making that
project a reality. I hear what the retailers say and I’m particularly concerned about
Charles and John Ball. If the Wal-Mart Super Center were to be approved, I think it
would have a devastating effect on their ability to be successful at that location and so I
am asking you to consider that. I know you will. Again, I am not here to oppose
redevelopment of Indian Springs. What I’m here to do is to support John and Charles
Ball who have stepped up to the plate and made a commitment to bring modern up-to-
date beautiful, well needed retail services to a part of town that really does need it. I
thank you very much for your consideration. Mayor Reardon said thank you sir.


Ken Janes, 7840 Savage Dr., Kansas City, Kansas said I have been a life-long area
resident here. My wife and I have raised five kids here. We’ve been property paying
homeowners, paying our taxes for 30 plus years here and doing small things that are big
dreams to us, helping the kids with college, trying to save for our old age. Again, these
are within our dreams. They are the same dreams that I hear my co-workers talk about
for their families. I’ve been employed by Associated Wholesale Grocers for the last 15
years and their wages and benefits have allowed our family to pursue some of the dreams.
From what I know about Wal-Mart, the majority of their wage earners don’t make the
wages to pursue those dreams, basic solid American dreams. As a taxpayer I ask that you
do no special favors for a company that has not shared their success with their wage



                                   December 21, 2006
earners and to remember a company that has its roots here for 75 years and shared its
success with its employees and the community for over 75 years. I would ask you to turn
this down. Thank you. Mayor Reardon said thank you sir.


Dr. Frank Blacknall said I am the owner of the Indian Springs Dental Clinic. I’m here
to not necessarily express opposition to the redevelopment of Indian Springs
Marketplace; I do want to express an extreme concern I have about the continuity of care
that I provide for the patients that I see on a daily basis. The clinic was established about
three years ago. My sole purpose in establishing the clinic was to see children, not only
in our community, but in far reaches and remote locations in both Kansas and Missouri,
where children that are Medicaid who do not have providers can come, a place they can
come and receive general dental services, complete and comprehensive care that they
couldn’t receive anywhere else. The services that we provide, I’ve got three associate
dentists that work in my office, we’ve all decided to dedicate our practice to working
with this segment of our community where not many other providers were seeing these
kids. I have a staff of about 21 employees outside of the dentist and one of the services
that I’m extremely proud of is the fact that if a parent or a school nurse calls us and says
that they have a child in pain, we will have that child come in that day, and they do
receive and it is our goal to get that child out of pain regardless of their ability to pay.
Some of these children do not have, for whatever reason, they don’t qualify for Medicaid,
their parents do not have the means to actually pay for insurance on their own so we work
with those parents and those children are our number one priority to get them out of pain.
The questions I have, again I’m not necessarily opposed to the redevelopment, I would
just like to know if we are asked to relocate, how will commercial tenants who have
invested a significant amount for facility improvements, how will we be compensated for
that, as well as things like the location value associated with the area. I would also like to
know in this proposal if there is going to be commercial sites that will be developed, will
the current tenants receive the first right of refusal for those sites. I would also like to
know if the developers can elaborate on how the redevelopment of the area will progress,
will it be incremental. My office is not actually in the mall, it’s in the northwest corner of
the mall parking lot, the old Douglas Bank building. I would like to know because I



                                    December 21, 2006
would love to keep it where the continuity of care I can continue to provide the
emergency services for these kids and there be no significant interruption of the business
and the services that we provide. So, I need to know if this redevelopment is going to be
incrementally done where different areas of the redevelopment site will be demolished at
certain times or once all of this clears, the whole area will be demolished and then
redeveloped. Thank you. Mayor Reardon said thank you sir.


Joe Schmitz, 37 So. Baltimore, said I’m concerned and I believe that the current
properties could be retained at the site. I’m a firm believer that Wal-Mart is the pariah of
the retail business. If you look at all the small communities across the state and other
states, all small businesses have been run out. They go out and buy real estate in the
suburbs outside the city limits, and they progressively run all the small businesses out.
They put the squeeze on providers. Providers in this country, manufacturers, have been
run out of business because their product was being retailed through Wal-Mart and they
just told Wal-Mart if you don’t meet our price, we will run you out of business. As a
result, that particular corporation had huge machines and they are now in the property of
the Chinese who bought them for ten cents on the dollar. Another thing, they buy
everything from overseas, they don’t buy much from the United States that are made
here. This is one of the problems we have in our economy today and when they get
everybody else ran out of business, their prices will go up and I concur with these other
gentlemen that just spoke, they are going to run the current businesses out because in that
area, it’s not like a new area out there where they had no grocery stores in western
Kansas City, Kansas, here we do have providers that pay a living wage and I’m sure that
Wal-Mart will not match that. I propose that we stay away from that development as it
presently is offered. Thank you. Mayor Reardon said you sir.


Katrina Hale, 3112 Oakland, Kansas City, Kansas said my daughter Ashley is
learning about how city government works, what a night to pick. Mayor Reardon said it
doesn’t get any better than tonight. Ms. Hale said I applaud the Unified Government of
Wyandotte County for a lot of the economic progress we are seeing as well as our
increasing home valuations, although I don’t like the part I have to pay, and I will be glad



                                   December 21, 2006
when the STAR Bonds are paid off and the different benefits come our way and
hopefully, will lower our tax burden on our personal properties.           I am in favor of
redevelopment although I do have a few questions, maybe comments and concerns about
this particular project at the former Indian Springs now known as Park West Business
Center. I don’t own a store there, I’m just a citizen. I have been here all my life. My
first question, when I read and heard about this, it took me by surprise first of all, but my
first question was have we, the Unified Government, have we tried to partner with the
current owner and offer any type of incentives for the current owner to make changes.
We all know the parking lot needs major help, but as we heard tonight, some of the tenant
lease agreements that he has are very very affordable. With that type of arrangement, he
cannot make those repairs as we would like to see so if we offer some incentives, have
we already tried to do that, that hasn’t been brought out tonight and maybe it was brought
out earlier and forgive me for my ignorance if it was, but have we tried to partner with
the current owners, are the current owners interested in redeveloping into a more modern
looking facility that would accommodate the mixed use or the business park idea that the
zoning was changed for. That is a big concern that I had from the very beginning.
Number two, a concern and I’m not eloquent with words as many people here do so well,
it sounds kind of rushed and I’m a little concerned that we need, I don’t want to use these
two words that a lot of people don’t like to hear, I’m really concerned about it being kind
of quick so I will just leave it at that. Indian Springs is a prime location for easy access.
Yes we do want quality there, we want it to look better, we want the driveway to be
better, and we want those stores full of either enterprising businesses or mixed. The
people that are there now, the tenants that are there now would love to have more
restaurants. When people go to lunch, the school district and some of those other places
go to lunch, they have to travel away. They wish more good restaurants could be there so
when we do consider putting in more whatever happens with this site, let’s not forget the
restaurants. Another question that came to my attention that has not been brought up
tonight is let’s not forget the land that this sits on. Let’s not forget the preparation that’s
needed if we do go into tearing down and rebuilding, the springs, that run under this. We
all know what happened with the medical building behind it, we know the current
location exists on some of that same type of terrain. I’m sure there are people here much



                                    December 21, 2006
smarter than me that are keeping that in mind, but I just want to be sure that we do keep
that in mind when we go to disturbing this land, if this passes for TIF. Thank you for
your time. Also, just for the record, whatever happens with this, please let’s incorporate
crime prevention through environmental design, also known as CIFTED. Whatever
businesses coming here, we want them to stay, we want them to thrive. We all know the
lost prevention is a big item for all of our businesses that operate in this area so please
let’s just keep that in mind just for the record. Thank you everyone for your time. I
know you want to go home. Mayor Reardon said thank you ma’am.


Someone requested to speak again.        Mayor Reardon said since you have already
addressed the Commission on this, I understand, but we’re trying to stay to the rules and
the rules say you have one five minute period of time tonight on this issue.


Mayor Reardon said at this point I’m seeing no one else come forward and so I will
close the public hearing. I will ask the County Administrator to address any of those
issues that can be addressed that were raised during the public hearing.


Mr. Hays said we will turn to our Assistant County Counselor and our Director of
Planning to respond to Mr. Caplan’s comments in a few moments, but I would like to
take the opportunity for just a few minutes, as the Mayor has requested, and respond to
some of the questions, some of the issues that have been brought forth this evening. Let
me start by saying there is no deal with Wal-Mart. There is no specific development
proposal on the table for the Commission to consider now. This is the beginning of a
long process. The process is to create a tax increment financing district and inform all
the parties that have interest that the government would be willing to offer public
incentives to redevelopment in the district. That’s the purpose of tonight’s hearing, is to
solicit comment regarding creation of a district. If approved tonight, the Commission
would then authorize the staff to proceed forward with a request for proposal process that
would unfold after the first of the year that would invite any and all interested parties to
submit proposals for redevelopment in that area. I will tell you that this Commission, in
actions that it takes on a routine and regular basis and you said this earlier this evening,



                                   December 21, 2006
stands for the issues in this community of bringing jobs to this community and bringing
high quality jobs to this community. You heard discussions of prevailing wage earlier
this evening, this is the policy of this Commission and this staff will carry that out on a
routine and regular basis.


Mr. Hays said I think many of the concerns that have been voiced here tonight, if I may
so, are a bit premature. We can’t answer many of the questions, but I will walk through
several of the questions that we can answer tonight and answer those as directly as we
can. First regarding relocation, acquisition, we have no knowledge at this point that there
would be relocation and acquisition of businesses. It is possible. The TIF process, under
the State Statutes sets out how individuals would be compensated and would go through
the relocation process. At this point and time, we don’t have knowledge; there is no
specific proposal of relocation or demolition of the structure. If you listened to Mr.
Murray earlier this evening, he spoke of those as possible components of a
redevelopment plan.     There are provisions to treat individuals fairly and equitably
through the relocation and consideration investments that any business or any property
owner has and that would be laid out as part of a plan that would be considered by the
Commission at a later time. So let me assure those in the audience that spoke on that
issue, there is a process and without going into it at this late night, it is a formal legal
process to protect your interest and your rights as a business to be relocated or as a
property owner in that process.


Mr. Hays said now to speak to this notion; I believe that this Commission would like
nothing more than to find a proposal that would include the local ownership, the local
management, as well as local grocers in a solution as a part of a redevelopment plan for
that area. In no way is anything tonight excluding or suggesting otherwise. This is
simply creating the boundaries of a district in saying that the Commission would be
willing to extend public incentives and start the process and ask for proposals. So, with
those general comments, Mayor, I would suggest we ask Ms. York to speak to the
specific issues concerning the earlier comments by Mr. Caplan in the study that was
submitted and approved by the Commission previously.



                                   December 21, 2006
Delia York said Mr. Mayor, as stated by Mr. Murray earlier, the governing body has
previously adopted findings with respect to this area and specifically those findings
include that the area is blighted and eligible, therefore, under the TIF laws. Tonight the
action requested of you is simply adoption of an ordinance that creates the TIF District;
notwithstanding, staff has reviewed Mr. Caplan’s assessment of the blight study. For the
purpose of creating a clear record as to what the facts and evidence is in support of the
action being requested, I would strongly urge you to recognize Mr. Richardson. He is the
Planning Director and he can address many of those relevant issues. Mayor Reardon
said I will call for Mr. Richardson at this time. Thank you Ms. York.


Rob Richardson said there are several facts that you need to know about this evening
that may have not been shared with Mr. Caplan as part of his study. The first of those is
that in the year 2005 the property owners of these parcels appealed their property tax
valuation and stating in that appeal that it was over market value had excessive vacancy
and was in need of repairs. Now to address that, it would seem that the blight or the anti-
blight study that was presented would need to address the changes in this facility,
specifically since 2005. Also, in 2005 the owners of the property applied for rezoning.
Their representatives testified before the Planning Commission, and today I took the
opportunity to review the tape of that meeting, and I have several quotes from that
meeting that might be of interest. “Retail won’t work, demographics won’t support it.
It’s a good business park location because it’s close to Overland Park, the airport and the
interstate system. I have a major party wanting to commit to 100,000 square feet. The
mall is extremely underutilized, the mall is expensive to heat and cool. When Penner
leaves, there will be literally no retail at all. The rest are basically on a consignment
basis, not paying rent.” Mr. Richardson said since that time I would note that Penner
has left the mall. “Basically only the school district and Unified Government remain as
tenants. Mr. Richardson said another representative said “to implement the business
park plan, they may have to move office tenants upstairs to allow the heavier storage on
ground level due to floor lugs.” Mr. Richardson said none of this has occurred at this
time. As Planning Director I usually have the final word before the Commission takes



                                   December 21, 2006
action at the Planning Commission meeting and at that time I said “this is a deteriorating
facility.” And with that I had full support and had discussed this with members of the
team and we were all in agreement that basically you had to do something and this was
one of the better things you could try to rezone that. August of 2005 was nearly 14
months ago. There has been no action with the exception of a variance application since
that time. They have stated that there are no structural concerns and that this is a sound
facility. Today through open records request to the State of Kansas, I obtained an email
from a Mr. Gavin Young, this is the email that you may recognize as the basis of Mark
Wiebe’s story in the Kansas City Star, and I will quote “The reporting on the U.G.’s
plans was included in correspondence with Mr. Kashani to illustrate yet another valid
concern, but was not caused for ending negotiations. There was never an agreement by
the Kansas City Mall Associates and the State of Kansas and negotiations between the
two parties have been terminated.”           Mr. Richardson said a second piece of
correspondence I received from the State is a letter addressed to Mr. Joseph Kashani of
October 16, 2006 from the Department of Labor Secretary on the Department of
Secretary’s letterhead, let me explain. In this letter they express serious concerns over
health, safety and structural issues in areas adjoining their lease space within the mall and
this letter and the structural concerns of this letter were the basis of the termination of the
negotiations with the State and the Kansas City Mall Associates. Once again, that letter
was addressed to Mr. Kashani himself October 16, 2006. “This is for all practical
purposes a first ring suburban mall and it is no secret to anyone in the profession that they
are dying on the vine all over the country unless something else happens. Indian Springs
or the Park West Business Center is no exception. Ninety percent of the malls tenant
spaces are vacant, and as they note, 66% of the mall itself in square footage is vacant. By
any measure of blight that is blighted. They noted the undermined areas so they can’t be
reused. Mr. Richardson said there are actually three possible alternatives for those sites
and that’s why they were included in here. One of the alternatives is that it could be used
as associated parking space for any residential development that would occur on the site.
The void itself could be filled with fly ash, as you’re familiar with in other mined areas in
the community that would stabilize the area and open a prime corner of two US
Interstates for development that would expand the scope of this redevelopment project.



                                    December 21, 2006
Finally, it is also possible that the mine itself could be collapsed and regarded and
possibly a little fill added if necessary and have the site prepared in yet another way for
future development. So, those parcels are critical to this site in that they represent a huge
market opportunity for redevelopment in the midtown area.


Mr. Richardson said the tenant for which the tax breaks on this property were given is
no longer there, yet they continue to receive the tax breaks even though they are not in
compliance with their NRA Agreement. Overall, the mall has decreased in value over
42% over the last 16 years. When the zoning analysis was done for the proposed
business park, we relied on internal staff to make the assessment of the streets rezoning.
When we hired Bucher Willis & Ratliff, a well-known respected engineering firm, to
assess the site, they came up with a different recommendation than staff on the suitable of
the streets in that area. As you know on typical zoning cases we don’t hire engineering
firms to give traffic data to us on the site. Usually the applicant provides that and then in
this case that did not happen. However, I would maintain that Bucher Willis & Ratliff
Corp. is in a prime position and has the knowledge and ability to make the determination
made in the report that you have and made a finding on previously. I would also note
that zoning is only the first step in this development process. The platting is obsolete. To
fulfill their plan they would likely need to replat this property to sell out-parcels to people
that would want buildings or replat them all itself. The mall also has a sewer easement
underneath the mall. As you all will remember in the Village West Project we moved, at
great expense, a sewer line to make sure that it was not under any portion of the building.


Mr. Richardson said finally, I want to talk about, not finally, but when they say
demographics won’t support retail in this area, being a resident of this area, I would say
that the demographics would support a quality retail establishment in this area and that
we do not have right now on many fronts that have been addressed tonight. Finally, on a
technical point, the blight study does not attempt, the anti-blight study does not attempt to
controvert every point of the blight study that might be for Bucher Willis & Ratliff Corp.
They cherry pick issues that sound good and overall the blight study and the findings of
the blight study, are valid. I think you can see from the evidence that I presented tonight,



                                    December 21, 2006
and I have also provided to Mr. Roberts the email and the letter that I spoke of, but this
site is in fact and remains, in my opinion, will remain blighted for some time to come
without action by the Commission. Mayor Reardon said thank you Mr. Richardson.


Commissioner DeSeure said I have a couple questions and then I think I would like to
make a motion. First question that I’m going to have is, I want to make sure I understand
the facts are correct by Legal and by our Planning & Zoning Director, that on November
16th we did adopt the Resolution R-145-06 that included the area described as Midtown
Redevelopment District as a declared blighted area by State Statute. Is that correct? Mr.
Walker said yes, that is what they did. Mr. Hays said let us correct that as the action of
the Board. Commissioner DeSeure said and it’s your observation that the adoption of
that resolution did meet the TIF’s requirements of the State, right? Mr. Hays said yes. It
met the number of requirements required by the State law to have the finding of blight.
Commissioner DeSeure said now my question to Legal and to staff; we did have a
presentation by the owners of Indian Springs Business Park West tonight and an
individual by the name of Mr. Richard Caplan that disputed several of the observations of
our description of blight in that study. My comments to staff tonight, to Legal and to the
Planning and Zoning Director, are any of those observations validated or do we still have
a recommendation from staff and from Legal that this site is still recognized as a blighted
area by State Statute and TIF Statute standards. Mr. Richardson said it is my opinion
that the blight study that you all made your findings based on is still valid and that the
findings you made are still valid.     Commissioner DeSeure said then I guess my
comment to Legal then is that. Ms. York said I know it’s a difficult decision to make
tonight and it is a little overwhelming with the number of people that are here, however,
you have already made findings that the area is an eligible area due to blight. I think the
request by some of the owners of the properties involved is that you set that decision
aside. You’ve already made that decision, you’ve already found that the factors are
present; you’ve already found that it meets State law with regard to what is required for
blight. You have all the evidence and all the facts before you. The decision for you to
make tonight is whether or not you’re going to adopt an ordinance that creates this
district.



                                   December 21, 2006
Commissioner DeSeure said I’m going to make a motion that’s based on the facts that
have been presented to us tonight not only by our Legal staff and by the Planning and
Zoning staff, but also the facts that have been presented by the owners of Indian Springs
Business Park West on their evaluation of blight that we continue to move forward with
the study that has been made that the site is still eligible and does still meet the blighted
designation of the State Statute of the TIF Statute and that the governing body hereby
finds and determines that the Midtown Redevelopment District is located within an
eligible area under the Act and the conservation and that the development or
redevelopment of such area is necessary to promote the general economic welfare of the
Unified Government.


Action:        ORDINANCE          NO.     O-139-06,    “An     ordinance    establishing   a
               redevelopment district known as the Midtown Redevelopment District.”
               Commissioner DeSeure made a motion, seconded by Commissioner
               Ellison, to approve. Roll call was taken and there were ten “Ayes,”
               Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
               Mitchell, Kane.


STANDING COMMITTEES’ AGENDA
ITEM NO. 1 – 060316…RESOLUTION
Synopsis:      Request adoption of a resolution authorizing a survey of land for the
Rosedale Mission Cliffs Redevelopment Project-Phase II, submitted by Ken Moore,
Legal/Right-of-Way. On December 18, 2006, this item appeared before the Public
Works Standing Committee, chaired by Commissioner Gilstrap. It was requested, and
received the Mayor’s approval, to be advanced to the December 21, 2006, full
Commission meeting due to its time sensitive matter.


Action:        RESOLUTION NO. R-156-06, “A resolution that the Unified
               Government pursuant to the authority granted by applicable Kansas
               statutes has previously approved and designated the Rosedale Mission



                                    December 21, 2006
               Cliffs Redevelopment Project-Phase II within Kansas City, Wyandotte
               County, Kansas and authorizing the Chief Counsel to cause a survey and
               description of such parcels to be undertaken and filed with the Clerk of
               Wyandotte County/Kansas City, Kansas; to thereafter prepare and submit
               to the Board of commissioners an ordinance authorizing the exercise of
               eminent domain with respect to such parcels; and upon approval of the
               same by the Board of Commissioners to initiate eminent domain
               proceedings in the District Court of Wyandotte County, and to undertake
               all other necessary actions to complete acquisition of such parcels.”
               Commissioner Mendez made a motion, seconded by Commissioner
               Pettey, to approve. Roll call was taken and there were ten “Ayes,”
               Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
               Mitchell, Kane.


ITEM NO. 2 – 060319…COMMUNICATION
Synopsis:      Recommend the following agencies receive funding from the 2006-2007
Neighborhood Revitalization Funding Program, submitted by Robert Roddy, Public
Works.
Downtown shareholders - $70,000
LISC - $450,000
Carmelle Estates - $60,000
Also, recommend LISC to support the following requests for funding:
Strawberry Hill initiative - $100,000
UMB Town Homes initiative - $500,000
On December 18, 2006, this item appeared before the Public Works and Safety Standing
Committee, chaired by Commissioner Gilstrap. It was requested, and received the
Mayor’s approval, to be advanced to the December 21, 2006, full Commission meeting
due to its time sensitive matter.


Action:        Commissioner Pettey made a motion, seconded by Commissioner
               Miller, to approve. Roll call was taken and there were ten “Ayes,”



                                    December 21, 2006
              Pettey, Cooley, Ellison, Gilstrap, DeSeure, Barnes, Miller, Mendez,
              Mitchell, Kane.


ADMINISTRATOR’S AGENDA
No Items of business.


COMMISSIONERS’ AGENDA
No Items of business.


LAND BANK BOARD OF TRUSTEE’S AGENDA
No Items of business.
                        MAYOR REARDON ADJOURNED
                          THE MEETING AT 11:30P.M.
                                DECEMBER 21, 2006


                                               _________________________
                                               Tom G. Roberts, CMC
                                               Unified Government Clerk


slm




                                 December 21, 2006

				
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