City Expands Downtown TIF District to Accommodate Proposed Lighthouse Properties Hotel

City Expands Downtown TIF District to Accommodate Proposed Lighthouse Properties Hotel

City Commission Expands Downtown Redevelopment District Following Public Hearing

The Salina City Commission voted unanimously Monday to expand the Salina Downtown Redevelopment District, commonly referred to as the downtown Tax Increment Financing (TIF) district, following a required public hearing.

The action follows a resolution approved by the commission on Nov. 10 that formally initiated consideration of expanding the district and set the date for Mondayโ€™s public hearing. Notices were sent to all affected property owners, Saline County, and USD 305 prior to the hearing.

The request to expand the district was brought forward at the request of Lighthouse Properties, which is evaluating a potential hotel and parking garage development in the 200 block of South Seventh Street. That area, which currently includes a surface parking lot, was not previously included within the boundaries of the downtown TIF district.

What the Expansion Includes

The ordinance approved by the commission expands the existing downtown redevelopment district to include two additional areas:

  • The parking lot in the 200 block of South Seventh Street
  • The Community Theatre property

By expanding the district, tax increment revenues generated within the district could be used on eligible projects located in these newly included areas.

What This Vote Does and Does Not Do

City staff emphasized that Mondayโ€™s vote does not approve any specific development project.

The ordinance strictly expands the geographic boundaries of the district. It does not approve a hotel, parking garage, or any other construction, nor does it authorize the use of funds for a specific project at this time.

Any proposed development by Lighthouse Properties would still require additional analysis, formal applications, and separate approvals from the City Commission before moving forward.

Downtown TIF Fund Status

During the meeting, staff noted that the downtown TIF fund has performed better than originally anticipated. The fund currently holds more revenue than projected when the downtown redevelopment effort began.

That financial performance allows the city greater flexibility in considering future redevelopment opportunities within the district, provided projects meet eligibility requirements and receive commission approval.

Public Hearing and Vote

No members of the public spoke during the public hearing.

Following the hearing, the commission approved Ordinance No. 25-11274, making the required findings and formally expanding the Salina Downtown Redevelopment District pursuant to Kansas statute.

The ordinance passed on a roll call vote, 5โ€“0.

What Comes Next

While Lighthouse Properties continues to work through planning details for a potential hotel and parking garage, any proposal tied to the expanded district will return to the City Commission for separate consideration.

Mondayโ€™s action simply ensures that, if a project is ultimately proposed and approved, it would be eligible to utilize downtown TIF funding under the expanded district boundaries.

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