Council sets May 6 public hearing on Hutchinson Mall CID and approves developer funding agreement

The Hutchinson City Council on April 15 voted to set a public hearing for May 6 on the advisability of a Community Improvement District (CID) for Hutchinson Mall Phase 2 and approved a funding agreement with Rockstep Hutchinson LLC to cover city costs tied to the CID process.

Why it matters: A CID can allow a private developer to capture incremental sales taxes collected within the district to reimburse eligible development expenses; if approved later in the process the CID could provide funding for redevelopment work at the mall. The council’s action sets the formal public‑notice step in motion and secures payment from the developer to reimburse the city for legal, notice and administrative costs already incurred.

What council and staff said

- Staff briefing: Matt Williams, director of community development, said Rockstep Hutchinson LLC petitioned for a 2% CID to replace an existing 1% CID and that the city would present a development agreement and more detail at the May 6 public hearing. Staff recommended approval of the resolution to set the hearing and said the development agreement timeline contemplates tenant recruitment and potential project activity in 2027.

- Funding agreement: Angela Richard, the city’s finance director, told council the funding agreement being presented would permit the city to accept developer payment to cover legal costs and other expenses the city incurred or will incur before the public hearing and during CID processing. Staff said the developer already presented a check to cover these costs.

- Public comment and developer presentation: Mike Warren, a nonresident who said he lives outside the city limits, asked how long the original CID had been in place and how much the city currently holds in CID funds; he urged the city to ensure a clear return on investment before increasing the CID rate. Mark Gavin (developer counsel on Zoom) and Tommy Stewart (developer representative) said a full presentation of eligible projects, total project cost and the portion requested for CID reimbursement will be presented at the May 6 hearing.

Council action

Council approved a resolution to set the public hearing for May 6, 2025 at 5:30 p.m. and approved the related funding agreement allowing the developer to pay the city’s pre‑hearing costs. Staff will publish the required public‑notice materials and present the full development agreement at the May 6 meeting.

Ending: Councilmembers asked staff to include a clear primer at the hearing explaining how a CID works and to present a large map of the proposed district so residents can see the boundaries and the proposed reimbursements.