Memorandum

City of Lawrence

City Manager’s Office

TO:	David L. Corliss, City Manager
FROM:	Diane Stoddard, Assistant City Manager Britt Crum-Cano, Economic Development Coordinator
Date: CC:	January 30, 2013 Cynthia Wagner, Assistant City Manager
RE:	Cider Building Area Community Improvement District Petition

Please place the following item on the February 5, 2013 City Commission agenda:

Receive the petition to establish a Community Improvement District (CID) to utilize special assessments to fund underground utilities along Pennsylvania Street and consider first reading of Ordinance 8834 to establish the community improvement District. 

Background:

On January 15, 2013, the City Commission authorized city funding for certain improvements related to the Cider Building project along Pennsylvania Street.  Mr. Krsnich, who is the developer of the project, also requested assistance with undergrounding existing utilities along Pennsylvania.  The best way to accomplish this is in conjunction with the brick street work that the City will be doing on Pennsylvania. 

A funding mechanism of a community improvement district (CID) was identified.  CIDs can be utilized to fund various private improvements but work generally like benefit district financing.  In this case, special assessments against the benefitting properties over time are being requested.  The city-at-large is not requested to participate in these improvements, except that the city does own a parking lot within the proposed CID area, and would be assessed $16,280.57 for its share of the improvements.  Under the mechanism, the City will fund the improvements and will be repaid from the assessments.  The City Commission authorized the City Manager to sign the petition on behalf of the City’s property at the January 15, 2013 meeting.   The total improvements costs for all lots are estimated at $109,000.    

Requested Action:

The City Commission will need to receive the petition and consider first reading of Ordinance 8834 to establish a community improvement district to fund underground utilities along Pennsylvania Street.