Topeka council approves tax incentives for developer Klausman

The Topeka City Council has taken initial steps to give developer Jim Klausman new tax incentives. During a recent meeting, the council agreed to send findings about creating a Reinvestment Housing Incentive District (RHID) in Lauren's Bay to the Kansas secretary of commerce for review. Two council members voted against this move. Assistant city manager Braxton Copley explained that this action is the first step in the process of approving the RHID tax incentive for Klausman. In earlier discussions, some council members expressed concerns about allowing tax incentives for Klausman, who currently owes money to the city. Klausman owns 140 lots in Lauren's Bay through different companies but is only requesting tax incentives for 16 of those lots. The neighborhood is located near S.W. 47th Street and Wanamaker Road. The council has previously debated whether to grant Klausman these incentives, given the outstanding debts. In a recent decision, the council approved negotiations with Klausman regarding how he will repay the owed money for the 16 lots. Under the agreement, Klausman will pay $2.25 per square foot, totaling $525,333. Of that amount, $102,000 will go toward existing special assessments due to city infrastructure. Klausman also has 124 additional lots in Lauren's Bay, for which he owes over $7 million in taxes and penalties. The amount due for future special assessments is around $3.6 million. As part of his negotiations, Klausman is seeking more tax incentives through a Community Improvement District (CID). A public hearing on this matter will be held at the city council meeting on April 8, allowing residents to share their views.