Topeka committee approves aligned CID/TIF/RHID policy updates including $25,000 developer funding agreement and higher application fee

The Topeka City Policy and Finance Committee approved a package of coordinated changes to the city’s CID (community improvement district), TIF (tax increment financing) and RHID policies on Jan. 28, 2025, including a new upfront funding agreement of $25,000, an increase in the CID application fee to $5,000 and added affordable‑housing language to the TIF policy.

Committee members and staff said the changes are meant to standardize timelines and review practices across the three incentive programs and to ensure the city can recover costs when it engages consultants and legal counsel to analyze proposed projects.

The revisions require a developer or applicant to provide a $25,000 funding agreement before staff begins outside consultant work, legal drafting or the city’s financial analysis. Randa Freeman, director of planning and development services, told the committee the payment is intended to “protect the city and our costs for investing and doing the analysis” of an RHID, TIF or CID and that the fee will be consistent across the three programs.

The CID policy was changed to increase the application fee from $1,500 to $5,000 to align with the TIF and RHID fees; staff said the change reflects similar consultant and staff workloads on all three program types. The committee also approved language making clear that developer entities and related partners must not be delinquent on property taxes or special assessments to qualify for incentives, a provision added for consistency with the TIF and RHID rules.

On consumer disclosure, the CID policy now includes a signage requirement so shoppers can tell when they enter a CID with an elevated sales tax. The draft calls for a prominently displayed sign at a public entrance; staff previewed an 8.5-by-11-inch option with at least 30-point font but said the size could be revised after committee feedback. Council members asked whether the notice could disadvantage businesses and discussed allowing flexibility such as a sticker on a register or door as an alternative to an 8.5-by-11 posting.

Staff also inserted an explicit affordable‑housing objective into the TIF policy’s description of public‑benefit priorities to reflect council direction to help close housing gaps when feasible. Freeman said city staff have seen rising emphasis on affordable housing since 2018 and added the language to guide use of TIF funds toward projects that increase affordable housing where appropriate.

To improve internal consistency, the policies now call for the same review committee membership across CID, TIF and RHID applications. That group will include the assistant city manager (or designee), chief financial officer (or director of finance), director of public works, planning director, city attorney and the city’s financial adviser; the policy also lists utilities, bond counsel and other technical reviewers as needed.

Staff walked committee members through the typical application sequence for a project: pre‑application meetings with planning and legal staff; submittal of the formal application and payment of the application fee; execution of the $25,000 funding agreement; engagement of the city’s financial consultant to run a draft financial analysis; review by the committee and then contract negotiations and a development agreement; and, where required, public hearings before the governing body (TIF and RHID include public‑hearing steps). Freeman said the $25,000 payment is meant to occur before staff or consultants expend significant time so the city can recoup those costs if an application does not advance.

The committee also discussed traffic impact analyses: Public Works will determine whether a proposed project meets existing thresholds that require a traffic study. If a submitted traffic analysis is inadequate and requires significant city or consultant time to correct, staff said the city will seek to pass those review costs back to the applicant under the funding agreement framework.

After discussion and minor drafting tweaks — including an edit to permit the city manager to allow a deputy or designee to serve on the review committee in the manager’s stead — the committee voted to move the revised policies forward for placement on an upcoming governing‑body agenda.

Votes at a glance - Election of chair: Committee accepted the nomination of Spencer Duncan as chair and approved the election by voice vote during the Jan. 28 meeting (nomination, second, voice vote). - Approval of Nov. 18 minutes: Committee approved the minutes by voice vote. - CID/TIF/RHID policy revisions: Committee voted to approve the coordinated policy revisions and directed staff to carry forward the amendments to the governing body with the agreed language adjustments and the manager’s suggested flexibility for designees.

What this means next Staff said the city will bring the revised policy and related procedures to a future governing‑body agenda for formal adoption. If adopted by the governing body, the changes will standardize application and review steps across incentive programs and make the $25,000 funding agreement and $5,000 CID application fee standard city practice. Where a project proceeds to use TIF or RHID, state or other statutory requirements for public hearings will still apply.

The committee also discussed but did not take final action on two separate items that were discussed later in the meeting: a request from the city manager’s office to authorize deputies or the finance director to sign certain contracts on behalf of the city manager (the city manager later withdrew that item for further revision), and a separate briefing on the 2026 general fund budget and a proposed half‑cent sales‑tax initiative to support affordable housing, homelessness response and public safety.