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Council approves IRB letter of intent, sales‑tax exemption for Child Advocacy Center expansion
Summary
Wichita approved a letter of intent to issue industrial revenue bonds (IRBs) to enable a sales‑tax exemption for the Child Advocacy Center expansion. The nonprofit seeks up to $14 million in IRBs; staff estimated the sales‑tax exemption value at about $385,000 (city share ≈ $28,875). Council voted 7–0 to adopt the resolution.
The Wichita City Council approved a resolution authorizing a letter of intent to issue industrial revenue bonds (IRBs) to facilitate a sales‑tax exemption for the Child Advocacy Center of Sedgwick County’s planned expansion.
Leah Sisco of Development Services told the council the project includes a 23,000‑square‑foot addition and renovation of about 6,000 square feet at 1211 South Emporia. The CAC is a nationally accredited nonprofit that coordinates law enforcement, child protective services, prosecutors, medical providers and victim advocates to serve children and families who have experienced abuse or neglect.
Sisco explained that the request is for a letter of intent to issue IRBs in an amount not to exceed $14,000,000 for a sales tax exemption on eligible construction materials. She emphasized the city would not be lending money nor would taxpayer dollars be at risk; the organization would secure its own financing and be responsible for all issuance costs and the city’s annual origination fee.
“The estimated value of the sales tax exemption is approximately $385,000 with the city’s share estimated at approximately $28,875,” Sisco said. She reminded the council that IRBs are a mechanism for a sales tax exemption and/or property tax abatement and that the bond documents would be prepared by the city’s bond counsel and reviewed by the law department prior to issuance.
Diane (CAC CEO) told the council the capital campaign has raised about $9 million toward a $14 million goal and that the matching Mabee Foundation grant ($1.88M) requires raising the remainder by March of next year. She said the expansion would expand therapy space and partner agency workspaces and would increase access to services for more than 2,000 children per year.
Council asked several clarifying questions about matching grants, timelines, and the city’s level of financial exposure. Staff reiterated the city bears no debt or risk under this arrangement. Council then closed the public hearing, adopted the resolution, and authorized signatures; the motion passed 7–0.
Next steps: bond documents will be prepared by city bond counsel and returned to council as required; the CAC will continue its capital campaign and pursue required financing steps.
