City to help finance new spec building in Urban Hess
The Tonganoxie City Council would like another building in the Urban Hess Business Center, and they're willing to put some money toward it.
On Monday, during their third and final budget work session, council members gave the preliminary green light to help fund a structure.
City Administrator Shane Krull told the council the budget carryover, or fund balance, was at $159,000. Krull suggested the city earmark $50,000 to be used on a building in Urban Hess, which is northeast of Laming Road and U.S. Highway 24-40.
That money would go toward the Leavenworth County Port Authority, if the group would agree to oversee construction and pay for the remainder of the building, which would be constructed on a speculative basis.
The port authority already has built two spec buildings in Urban Hess -- structures that now are homes to Everlasting Specialties and S&S Alloy Steel.
(includes residential and commercial properties)
Mill levy recent history
*-Proposed number. Council still must approve final budget.
2005 mill levy breakdown
General fund 16.527
Employee benefit 7.105
Debt service 3.252
Library employee benefit 1.039
A 10,000-square-foot building would cost about $340,000, Krull said Tuesday.
At the meeting, Krull said it shouldn't take long to attract a tenant once a building goes up.
"I don't think it would sit for more than six to 12 months," Krull said.
Council member Steve Gumm was supportive of the idea.
"If we're going to compete with Lansing and Leavenworth, I agree with Shane," Gumm said.
Velda Roberts concurred.
"I think it's a positive," Roberts said. "It's long overdue."
Mayor Dave Taylor and members Kathy Graveman and Ron Cranor attended the meeting with Gumm and Roberts. Emmett Wetta was absent.
In other budget information, Krull and Taylor will attend a mayor's meeting Thursday in Leavenworth to discuss the Leavenworth County Justice Center tax.
The countywide tax currently is set at one cent, but could change depending on the county commission's decision.
The tax is supposed to expire in 2006, but the commission could renew it.
Tonganoxie receives a portion of that revenue.
It also receives a one-cent sales tax. Tack that onto the statewide sales tax of 5.3 percent, and city residents pay a 7.3 percent tax.
The council must send its approved budget to Leavenworth County Clerk Linda Scheer by Aug. 25.