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Commission gives consensus to rescind and reestablish RHID for Larry and Hickory Street project; funding options discussed
Summary
Commissioners gave consensus to pursue rescinding a prior RHID ordinance and start the process to reestablish a new RHID for the Larry and Hickory Street housing project; staff reported an engineering estimate of about $1.4 million for infrastructure and that Fund 260 has a $6.8 million cash balance to support potential funding.
The Liberal City Commission gave consensus to move forward with rescinding a previously approved residential housing improvement district (RHID) ordinance for the Larry and Hickory Street development and to begin the process of establishing a new RHID with the proposed developer.
City staff reviewed an engineering estimate the developer provided for infrastructure work — roughly $1.4 million — and reported the city’s 1% sales tax Fund 260 has a cash balance of about $6.8 million. Staff said Fund 260 typically receives roughly $250,000 per month and that the fund already has several commitments, including roughly $1 million allocated to other housing projects and about $1 million previously discussed for Air Products infrastructure; staff said they prefer to keep $2.5 million available for existing maintenance and projects.
Staff and commissioners discussed the legal steps required. City counsel and staff advised the practical approach would be to rescind the ordinance that established the prior RHID, then pass a new ordinance and resolution to begin the public‑hearing process; that approach will restart the statutory timeline, staff said. The earliest public hearing date staff could schedule is March 11, and staff said they would seek guidance from the state to confirm whether rescission is required or if an administrative adjustment is possible.
Commissioners expressed a desire to expedite the process if the commission chooses to proceed — including the possibility of special meetings — and asked staff to coordinate with the state and prepare the ordinance and resolution for the next meeting. Commissioners acknowledged the project would delay planned bidding for streets by several months if the RHID process is restarted; staff said the developer had indicated the delay would be acceptable.
The commission’s consensus directs staff to draft the rescission ordinance and a new RHID resolution, consult with the state on the correct procedural steps, and return to the commission for action and scheduling of a public hearing.
