Hoisington Hotel deal popular with commission

By CHUCK SMITH

HOISINGTON — Next week it’s expected that the Barton County Commission will take action on a request to use more than $1 million in stimulus funding bonds to help bring a hotel to northern Barton County, replacing the Hoisington facility that was destroyed in the 2001 tornado.

Since then there has been no motel in Hoisington and the city, business leaders, and investors are seeking the use of $1.38 million in ARRA bonds to help finance that project.

It was explained the county, due to issues of economic distress, was assigned $2.6 million in American Recovery and Reinvestment Act bonds for 2009.

Those bonds could be used in this project, planned to develop the Hoisington Hotel on the north side of Hoisington, where the current city park is located.

County Administrator Richard Boeckman noted the issue was raised as a discussion item this week to provide the commissioners with opportunities to receive input before a decision is asked for at the Nov. 30 meeting.

Hoisington City Manager Jonathan Mitchell told commissioners that the ARRA bonds would join other incentives that are being offered to make the deal work, including the donation of the 2.5-acre city-owned site; plans for the establishment of a transient guest tax that would help fund marketing; the issue of Industrial Revenue Bonds and significant local investment.

Mitchell reported that 22 local investors are prepared to invest up to 25 percent of the total cost, and, he added, the city could establish a special sales tax zone, specifically for the hotel, to help with funding. He said there is close to $500,000 so far in private investment available.

“We are ready to move forward with the project. We have the investors in place,” the city manager commented.

County commission members were supportive of the idea.

Commissioner Kenny Schremmer commented, “This is a very, very great opportunity for northern Barton County.”

Commissioner Kirby Krier said it’s a great addition to the community, but he urged, “I think you’re building it too small.”

Krier was assured there is the potential for the 31-unit facility to be expanded.