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Baldwin City EDC asks Douglas County for $500,000 to help build $2 million childcare facility
Summary
Baldwin City Economic Development told commissioners it plans a $2 million childcare facility to serve newborns through age 6 and requested a one-time $500,000 county contribution to fill a funding gap; project leaders said $1 million has been raised (including tax-credit sales) and a $500,000 loan is in place.
Baldwin City Economic Development asked Douglas County commissioners for a one-time $500,000 contribution to help complete a proposed $2 million childcare facility intended to serve newborns through 6-year-olds.
Dave Hill, representing Baldwin City Economic Development, described the plan as a two-phase project totaling about 8,700 square feet. He said the EDC has raised about $1,000,000 (including proceeds from selling tax credits), has a $500,000 loan in place that would be serviced with tax-credit proceeds, and is requesting $500,000 from the county to fill the remaining gap.
"So the ask today is 500,000 to fill our gap. It's a onetime ask," Hill said. He added the EDC plans to own the building initially and lease it to Rainbow Preschool at a nominal fee, with the intention of eventually deeding the property to Rainbow and holding a 30-year mortgage that would be reduced by one-thirtieth each year to secure long-term ownership.
Hill outlined capacity and phasing: phase 1 would be about 4,500 square feet with roughly 45 slots (primarily for 2½–6-year-olds), and phase 2 would add about 4,200 square feet to bring total capacity to about 80–85 children, with bids expected back by Aug. 15 and bid packages to be issued the following Wednesday.
On affordability and operations, Hill said Rainbow Preschool has reasonable rates and cash reserves and that the EDC is structuring minimal lease fees to let the operator provide competitive wages and retain staff. He said the current Rainbow facility is an older church structure with cramped space and that the new building would meet current safety and access standards.
Why it matters: Presenters argued the facility would close a gap for newborns to 2½-year-olds that forces some employees to commute to other towns for childcare, creating a barrier to workforce participation in Baldwin City.
Next steps: Commissioners asked clarifying questions about bids, staffing, and potential city contributions; Hill said the city is not a funder and that donations and tax-credit sales are the primary local sources. No formal vote was taken.
