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Spring Hill approves purchase agreements for future wastewater plant site and a leaseback to allow continued farming
Summary
The council authorized two purchase agreements for roughly 64.38 acres for a new wastewater treatment plant and approved a leaseback allowing the seller to farm a parcel through June 2026; the city will finalize acreage by survey and pay $10,500 per acre as negotiated.
The Spring Hill City Council on April 24 authorized the mayor to sign two real estate purchase agreements covering three parcels totaling approximately 64.38 acres for a future wastewater treatment plant and approved a leaseback so the current owner may continue farming one parcel through June 2026.
City staff said the acreage figure is preliminary and a final survey will determine exact totals. Staff reported the negotiated price is $10,500 per acre; using the estimated acreage the total purchase price was described as roughly $1.7 million pending survey confirmation. City staff recommended the council approve the agreements on a per-acre basis so the final contract reflects the survey results.
Allison Abel told the council the site lies in a separate watershed from Hillsdale Lake; she said that distancing from Hillsdale’s watershed should help address earlier KDHE concerns about water quality and may improve access to future grants or loans. The council also approved a leaseback agreement with D Styles Farms Inc. that allows agricultural use to continue and sets a nominal lease fee of $10; the lease requires the seller to vacate by June 2026 to allow construction if the schedule is accelerated.
Why it matters: The land purchase is an initial, necessary step to secure a location large enough to serve Spring Hill’s anticipated growth. Staff noted that alternate delivery methods such as design-build could be used to accelerate schedule and control costs once site acquisition is complete.
Details: Council authorized the mayor to execute two contracts covering the three parcels at $10,500 per acre, with total acreage to be determined by a survey. The leaseback with D Styles Farms Inc. was approved with a $10 annual lease and a June 2026 vacate date; staff said the leased parcel is not expected to include the plant’s operational footprint, allowing design and construction work to proceed around the leased area if necessary.
Next steps: Staff will obtain a survey to determine final acreage, continue pursuing grants and loans to fund design and construction, and return with design contracts and grant applications in future meetings.
