Coffey County approves amendment to TA-linked CID rebate agreement to fund paving and infrastructure

The Coffey County Commission on Monday approved a First Amendment to a real property tax rebate agreement tied to the Bido Junction Community Improvement District that changes how the county and property owner may satisfy a prior "tangible improvement" obligation.

County counsel and staff told the commission that the amendment—renumbered in county records to correct duplicate earlier resolutions—allows infrastructure and paving improvements that have been agreed in writing between the county and the property owner to meet the agreement’s 12/31/2025 improvement deadline. The amendment also sets out an administrative reimbursement process: TA (the owner/tenant entity) would submit a certificate of expenditures, the county would verify the certificate, and then reimburse eligible expenditures from CID funds up to a stated cap.

Why it matters: The change aims to resolve delays in completing construction tied to a tax-rebate arrangement and to create a clear paper trail so expenditures from the 2% CID sales-tax receipts can be audited and defended. Counsel told the board delays were driven in part by corporate-level legal staffing changes at the tenant and by weather and scheduling for construction work.

What the amendment does: The document revises paragraph 3 of the original rebate agreement so that annual infrastructure and paving improvements "agreed to in writing between the County and owner" count toward the contractual obligation. It specifies eligible expenses, a "pay-as-you-go" financing mechanism, and requires a certificate of expenditures that the county must verify before reimbursement. Staff noted the county’s maximum CID reimbursement for identified asphalt/paving work was $80,000 under the amendment.

Board reaction and vote: Commissioners discussed ensuring a clear audit trail for CID funds and keeping expenditures aligned with the district’s purpose. McCurry moved, and Avondraff seconded, a motion to approve the amendment and authorize the chairman to sign; the motion passed on a voice vote and the document was signed by county officials and the private entities present in the packet.

Next steps: Staff indicated the amendment will be filed and the county will use the certificate-of-expenditures process when TA requests reimbursement. Commissioners asked that the attachments and scopes of work be kept with the official record so that future auditors can trace expenditures to approved projects. The CID remains a 25-year district funded by a 2% additional sales tax on qualifying retail sales in the district.