The Lenexa City Council approved an ordinance establishing Mining TIF District Project Plan 6 for the Ross Canyon phase 1 multifamily project, voted to approve a disposition and development agreement with Petra Lenexa LLC, and adopted a resolution expressing the city's intent to issue approximately $130,000,000 in industrial revenue bonds to support the development.

City Attorney Sean McLaughlin summarized the proposal, saying the phase 1 plan covers 353 Class A multifamily units and associated infrastructure and mine mitigation; eligible private reimbursement under the TIF is about $15,000,000, eligible public reimbursement about $8,000,000 for roads and resurfacing, and projected TIF revenue over a 20-year term is $20,100,000. McLaughlin said IRBs are authorized up to $130,000,000 to allow phased bond issuance for the overall project.

The project and related incentives prompted multiple public comments focused on density, traffic and fiscal impacts. Alan Shorthouse, president of the Cottonwood Canyon Homes Association, told council, “There are currently 3 multifamily housing developments, totaling approximately 1,200 housing units that have recently opened or under construction adjacent to Cottonwood Canyon community.” Shorthouse and other residents said they are seeing increased cut-through traffic and high speeds in nearby neighborhood streets.

Resident Mike Feller asked how the $130,000,000 in IRBs related to the roughly $23,000,000 in TIF-eligible costs and whether the city’s taxpayers would effectively support roughly $8,000,000 in infrastructure costs with little or no property-tax benefit to local taxing entities during the 20-year TIF. Gaylene Van Horn asked for the developer’s claimed “significant” benefits from the feasibility study and pressed for details about impacts on city and county infrastructure and on schools.

Staff and the applicant addressed several technical points: Ben Bigum of Paulson Law Firm, representing Petra Lenexa LLC, said IRBs are structured so a first issuance can cover the phase 1 share of the $130,000,000 and that a later issuance could cover subsequent phases. Scott McCullough, community development director, said the city has a traffic-calming policy that includes maintenance, snow removal, and neighborhood support and funding requirements for traffic-calming elements; he said staff has been engaged with the neighborhood and is willing to continue review and meetings.

Councilmembers moved three measures by voice vote. Councilmember Craig moved (seconded by Councilmember Chris) to pass the ordinance approving Mining TIF District Project Plan 6; the motion passed. Councilmember Bill moved (seconded by Councilmember Melanie) to approve the disposition and development agreement with Petra Lenexa LLC; the motion passed. Councilmember Chris moved (seconded by Councilmember Craig) to adopt the resolution determining the city’s intent to issue approximately $130,000,000 in industrial revenue bonds; the motion passed.

Staff said written responses to many of the public questions would be provided. McLaughlin and applicant representatives said construction for phase 1 is expected to begin after the incentives and bond issuance processes are completed.

While council approved the plan and agreements, several residents and councilmembers emphasized outstanding concerns about traffic impacts, the cost and responsibility for traffic-calming measures in adjacent neighborhoods, and the longer-term fiscal trade-offs of TIFs and IRBs. Scott McCullough noted that the Ridgeview Road extension north of Prairie Star Parkway is not currently in the city's capital improvement program and that some traffic-calming options could cost “hundreds of thousands of dollars.”