Coffey County approves resolution to sponsor moderate-income housing grant as Housing Authority and city fund drainage work for six lots

Coffey County commissioners voted Monday to authorize the county to sponsor a moderate-income housing grant application intended to support a proposed six-house development near Lebo, Kansas.

The resolution authorizing the county’s sponsorship passed on a voice vote after County Economic Development staff said the city of Lebo could not sponsor the application because the proposed development lies outside city limits. “The moderate income housing grant is going to be due here in a couple weeks,” Jenny (Coffee County Economic Development) said by speakerphone, and she asked the board to approve county sponsorship so the applicant could submit on time.

Why it matters: County sponsorship will allow the developer to apply to the Kansas Housing Resources Corporation (KHRC) MIH program, which county staff said can be used for infrastructure and other costs that make small-scale for-sale housing feasible in rural areas.

County Economic Development staff said Patrick, the project applicant, has prepared application materials and will complete the grant if the board signs the sponsorship resolution. Commissioners were told the applicant expects the project to meet the program’s matching-fund requirements, meaning the county’s role would be administrative rather than a cash commitment. “There’s no monetary commitment from the county on this,” one commissioner said during the discussion.

A Housing Authority update and drainage work: Rhonda Gilbert, director of the Coffey County Housing Authority, told commissioners separately that the city has agreed to pay for the full cost of a drainage-ditch project that Housing Authority staff and the school district say is necessary to make six lots buildable. “The city did approve paying for the entirety of the drainage ditch work,” Gilbert said, adding the contractor expects to finish the drainage work by the end of the month, weather permitting. Craig Marshall, superintendent for USD 244, confirmed the school district and recreation center have discussed historic uses of the parcel and that the partners intend to market lots for single-family houses that fit the neighborhood.

Timing and next steps: Economic development staff said the MIH pre-application deadline is the week of the meeting and that a full application for the KHRC MIH program is due Friday, Oct. 6, 2025, at noon (as stated in the meeting). Staff also said the county can serve as grant administrator and verify application materials if the board approves. Gilbert said the Housing Authority plans to post a request for proposals for a real-estate agent to market the six lots and hopes to approve the agent at an October board meeting.

What the board decided: Commissioners approved a resolution authorizing the chairman to execute documents to sponsor the MIH application (moved by Commissioner Abendroth; seconded by Commissioner Peterson). The motion passed on a voice vote.

Context and uncertainties: Staff discussed another MIH application submitted by the Coffey County Housing Authority for a triplex inside Burlington city limits and said KHRC staff would be asked whether the county may sponsor more than one MIH application in the same funding round; KHRC rules and the applicant types (city, county, nonprofit) determine eligibility. Staff also discussed a related “RID” (rural improvement district) process; county staff said they would present more information on that topic at a later meeting.

Commissioners emphasized that county sponsorship is intended to be administrative; staff said the application, if awarded, would provide funds that typically cover a portion of development costs.

Ending: With county sponsorship approved, staff said they would deliver a county-signed resolution and proceed to finalize the MIH application for submission to KHRC. If KHRC requires additional county actions or matching funds, staff said they would return to the board for further direction.