City discusses details of development incentives

By Ralph Pokorny

Nevada Daily Mail

Between 1990 and 2000 the population of Vernon County grew by 7.4 percent, while the population of Nevada remained essentially unchanged and few new housing developments were built inside the city limits.

To encourage developers to build new housing in town, the city has established several incentives such as extending sewers to a development and setting up Neighborhood Improvement Districts to allow the streets to be paid for by an assessment on each new house sold in a development. This assessment would be used to pay off the bonds issued to cover the cost of the improvements over time.

Bill McCaffree, city attorney, told the city council Tuesday night that a similar method was used in Nevada in the 1950s to pay for curb and guttering on city streets.

McCaffree said the bonds in the 1950s were purchased by a local bank which allowed the bonds to be paid off early easier than if they were purchased by a company that is in the business of purchasing bonds.

"The First National Bank handled most of the bonds in the past and are very interested in handling these," McCaffree told the council.

Such an arrangement would allow for more flexibility and options for homeowners at very competitive interest rates, he said.

The bank's board of directors will probably give this program their approval, he said, adding that the First National Bank is also one of the banks that financed the spec building.

"This is good for the entire city," McCaffree said.

In other business the council:

* Approved a change in the summer transportation sales tax street improvements.

* Voted 4-0 to postpone consideration of a picnic liquor license for the Elk's Lodge for Sept. 24, 25 and 26 until the July 6 meeting or a special meeting so council member Bill Edmonds, who was out of town because of business, can participate.

* Voted 4-0 to postpone consideration of the second reading of an ordinance approving the newest version of the sales agreement for the Ozark Building between the city and Cypress Grove Apartments, L.P., until the July 5 meeting or a special meeting so council member Bill Edmonds can vote on the issue.

* Passed on second reading a special ordinance approving a final plat 1 for part of Ashland Estates.

* Passed on second reading a special ordinance approving a development agreement for Ashland Estates plat 1 between Stutesman Realty, Inc. and the city of Nevada.

* Passed on second reading a general ordinance amending Section 2-27 of the city code to increase the number of members of the airport board from four to five to make it easier to have a quorum at a meeting.

* Voted to approve a boot block for the Scott Family Relay for Life team for the American Cancer Society on July 10 from 9 a.m. to 1 p.m. A permit for this type of activity is required under recently enacted changes in the city code.

* Passed on first reading a special ordinance approving reimbursing Judy Knowles $1,850 for flags and supplies purchased for the Remember 2000 Grant.

* Held a public hearing and voted unanimously to approve on first reading an ordinance permanently zoning newly annexed property owned by Stutesman Realty, Inc. to R-1, single family residential.

* Passed on first reading a special ordinance declaring 15 self-contained breathing apparatus and 21 air cylinders surplus city property so they can be donated to the State Fire Marshall's Office to be distributed to other Missouri Fire Departments. The Nevada Fire Department recently replaced these units with new ones that were paid for with grants.

* Passed on first reading a special ordinance approving a contract with the Community Council on the Performing Arts for rental of the Fox Theatre for recreational programming or other uses such as in-service training and other training for city employees. The agreement provides for the building to be rented at the CCPA's set fee schedule with the total rental not to exceed $6,000 between July 7, 2004 and June 30, 2005.

* Passed on first reading a special ordinance authorizing the city manager to apply for a Community Development Block Grant to build a new terminal building at the Nevada Municipal Airport as an incentive for Precision Aero Services to locate a facility in Nevada.

* Passed on first and second reading an emergency ordinance to amend Chapter 25 of the city code to add flexibility to the incentive grant program to assist Nevada Police Officers to purchase a home within the city limits.

The program provides a one-time, $5,000 no interest loan to police officers for a down payment on a primary home inside the city to encourage them to remain on the Nevada Police Department.

The loans are reimbursed over a five-year time period with credits earned by the officers continued employment with the city. The ordinance was passed on an emergency basis to facilitate the purchase of a home by an officer, who needs to close on the purchase this week.