Commission authorizes development of $63,000 housing incentive agreement with South Hutchinson

The Reno County Commission on April 8 authorized county staff to develop an agreement with the city of South Hutchinson to provide $63,000 in housing incentives intended to increase housing stock in the Prairie Ridge subdivision.

A county presenter (Jeff) said the incentive request would help bring a builder into the area, lower the cost to construct homes and bring prices closer to fair market value. Staff said the request fits a previously adopted county policy that allows grants or incentives to support local housing and could be funded from the economic development line in the general fund or from an economic development reserve fund.

Staff outlined a likely structure that would encumber $21,000 per year over three years as houses are built and sold, and said a formal development agreement with the city would be prepared and returned to the commission for final approval. The city reportedly owns the property to be developed and infrastructure (streets, water, sewer) is already in place.

The motion to authorize staff to develop the agreement passed on a roll call vote, with Commissioners Perks, Vincent, Winger, Bogner and Hurst recorded as voting "yes." The item was presented as a first step—final disbursement and the exact payout schedule will depend on terms negotiated in the development agreement.

Next steps: county counselor and city staff will draft a development agreement spelling out timing, encumbrance and any performance conditions; the agreement will return to the commission for final vote.