Following the adjournment of a public hearing, the Great Bend City Council Monday night approved the creation of a Community Improvement District for Golden Belt Cinema 6.
At the Feb. 4 council meeting, a public hearing was opened to discuss the special taxing district for the new movie complex under construction at Lakin and Kansas, but was adjourned without any action taken. Monday, it was reconvened and closed so the vote could be taken.
The agreement is between the city and DC Real Estate Holdings LLC., the Great Bend-based developers of the new downtown theater.
Sarah Steele with the Wichita firm of Gilmore and Bell, which advises the city of bond- and tax-related matters, said the hearing was a formality to meet the requirements of the state law allowing such taxing districts. No comments were made by citizens attending the meeting regarding the action.
CIDs are allowed under the Kansas Community Improvement District Act. Under the act, cities can establish CIDs for improvement projects within the bounds of the district. These are funded by a CID tax (sales tax) levied by the entity requesting the CID and would be returned to the entity.
In this case, only the theater would be covered and it would charge a 2 percent tax to its customers to help offset the cost project. No other businesses would be impacted by the tax.
By state statute, such districts can only be in place for 22 years. Great Bend City Administrator Howard Partington said at an earlier meeting this one will likely reach that maximum.
The funds from the CID will be collected by the Kansas Department of Revenue which will turn them over to the city so it can disburse them to DC Real Estate Holdings. The city is entitled to an administrative of up to 5 percent of the CID money raised.
Project developers have said the theater is still on track to be completed in May.
In other business, the council:
• Approved abatements at: 812 Monroe, owned by Emma Moreno, for accumulation of refuse (AOR); 910 Madison, owned by Peggy Krom, for AOR; 1032 Jefferson, owned by Wesley Anderson, for AOR; 1019 Jefferson, owned by Mary Ann Schinstock, for AOR; 814 Monroe, owned by Fred McNett, for AOR; 1022 Jefferson, owned by Mary Baxter, for AOR; 3017 10th St., owned by Ambika Enterprises, for motor vehicle nuisance (MVN); and 1922 Williams, owned by Dean Sherman, for MVN.
• Partington presented an update on the activities of city departments.