JEFFERSON CITY — If you travel down Christy Drive in Jefferson City, you’ll see the Special Olympics Missouri building, and then it’s neighbor, an old quarry. Some people in Jefferson City want to trade what’s now a conglomerate of rock mounds into a hotel, restaurants, office space, and soccer fields.
Jefferson City Council Members discussed the proposed development during their meeting Monday night, and the project now hinges on whether members approve tax incentives for the developers.
Developers of the proposed entertainment district are seeking approval of A Tax Increment Financing (TIF) plan. The plan is designed to encourage new development in underserved and underutilized areas in municipalities throughout the state.
In the case of the proposed Christy Drive development in Jefferson City, this plan would provide a tax incentive for the developers. Developers would cover the cost of actually building the structures on the property. In return, local taxes such as some sale and personal property taxes would be reimbursed to the businesses instead of going to the city. Public financing will account for approximately $9.1 million of the project.
Benjamin Musholt, an attorney for the Polsinelli Law Firm representing the developers, spoke during Monday night’s meeting.
“It’s hard to understand this at times, but it’s important to note that without this, and so, even with these incentives in place, the city and county are going to receive more than if this development did not occur,” Musholt said. “They’re going to receive more than they would on a vacant quarry.”
Jefferson City managers hired the firm “Baker Tilly” to perform an independent analysis on the necessity of a TIF plan for the project to happen. Kolbe Krzyzanowski, a representative from Baker Tilly, shared data from his research at the council meeting.
“The determination of the report is that the project would not occur in the current market place without the requested incentive,” Krzyzanowski said.
Council separately discussed zoning the proposed development as a Community Improvement District (CID). That would entail an additional 1% sales tax on purchases made within it, with the mandate that all that tax revenue goes back directly to that area.
Jefferson City Council Members will vote on allowing the TIF plan and making the development a CID during their meeting on Jan. 6.
