Council approves CID to amortize Lawrence Bay specials; public speakers urge foreclosure and accountability

The Topeka governing body on July 15 approved a Community Improvement District that will allow existing future special assessments on 16 developer-owned lots and three city-owned lots in the Lawrence Bay subdivision to be amortized over 20 years, lowering monthly payments for future homeowners, staff said.

Deputy City Manager Braxton Copley told the governing body the change will reduce monthly special assessments on the affected lots from about $300 per month to roughly $185 per month by amortizing existing future specials over a 20-year schedule. He said the developer has paid approximately $525,000 toward past-due specials; that money is currently in escrow.

Copley said the property owners affected — the Lawrence Bay developer and the city for three auction-acquired lots — consented to the CID assessment amounts, which allowed the city to proceed on a consent basis and avoid additional statutory public-hearing steps. “All of the property owners have consented which has allowed us to just move right to this process,” Copley said.

Public commenters strongly objected to aspects of the deal. Daniel Twemlow said the public property-tax website showed lower specials on some of the 16 lots than staff described and questioned how taxpayers would ultimately pay for infrastructure and whether the developer should be held accountable. “I'm confused on how these 16 properties are going to be benefiting,” Twemlow said. Henry McClure and Councilmember Valdivia Acala urged foreclosure on unpaid specials and criticized the developer’s record and influence.

Several council members defended the agreement as a way to make lots affordable for buyers and to get stalled lots developed. Councilmember Neil Dobler, who moved approval of the CID, said the amortization will reduce the burden on homebuyers and that the city holds three lots acquired at auction if the developer fails to meet obligations. The motion to approve passed with eight votes in favor and one no vote (Councilmember Valdivia Acala).

Separately, the governing body suspended rules and approved an ordinance to defer city special assessments on three land-bank lots until the CID amortizes those assessments, which staff said is a routine use of the law to avoid the city paying assessments to itself while holding land-bank properties.