Community Improvement Districts
A Community Improvement District (CID) is a special purpose district in which property owners voluntarily tax themselves to fund a broad range of public improvements and/or services to support business activity and economic development within specified boundaries. Created by an ordinance of the Board of Aldermen, establishment of the CID would be considered upon receipt of a petition, signed by owners of real property, representing more than 50 percent of the assessed valuation within the proposed CID boundary and more than 50 percent per capita of all owners of real property.
By law, the city must determine that certain requirements have been met before approving the establishment of a Community Improvement District. These requirements are set forth under Sections 67.1401 - 67.1571 of the Revised Statutes for the State of Missouri (RSMo).
The City of Kearney is prepared to approve petitions for Community Improvement Districts (CID) to facilitate business activity and economic development within Kearney provided the petition meets the statutory requirements referenced above.
The petition must include:
- A five-year plan describing the purpose of the district, the services that it will provide, the improvements it will make and an estimate of costs or improvements.
- Information as to whether the district will be a political entity or a non-profit corporation.
- The maximum rates of taxes and / or special assessments.
- The limitations on the borrowing capacity and revenue generation of the district.
The district will be allowed to exist for 27 years. Improvements that can be financed, include, but are not limited to:
- If the property within the district is declared a blighted area, the demolition, removal, renovation, reconstruction, or rehabilitation of a building or structure, and
- Street, sidewalk or parking lot construction, maintenance and cleaning, and
- Traffic signs and signals, utilities, drainage, water, storm and sewer systems
- Trash collection and disposal services
- Safety officers, district management, and
- Legal fees, interest, engineering and architectural fees
CITY REPRESENTATION ON FUNDING DISTRICT BOARD OF DIRECTORS
Most favorable consideration will be given to a CID where the majority control of the board of director’s rests with persons designated by the city, including city staff and elected or appointed city officials.
CITY APPLICATION & APPROVAL PROCESS
Once a project is deemed eligible, the property owner(s) may file a petition pursuant to RSMo 67.1401 - 67.1571 to the office of the City Clerk. Upon receipt of the petition, the City Clerk shall determine whether the petition substantially complies with statutory requirements. Following confirmation that the petition complies with these requirements; a public hearing will be held by the Board of Aldermen. The Board of Aldermen would then consider whether to approve an ordinance to establish the CID.
Once established, the applicant will either seek to impose a sales tax, a property tax, or a special assessment within the district in accordance with the procedures and provisions set forth in the state statutes. Following the approval of the tax or assessment, the city and the CID board shall enter into a cooperative agreement for the purpose of establishing the terms of the relationship between the city and the CID.