Office of the City Manager
Mayor Frese and Members of the Tonganoxie City Council: It is my pleasure to present the City of Tonganoxie 2024 Adopted Budget, which was approved by the City Council on September 5, 2023 by a vote of 5-0. The Adopted B udget communicates the City’s immediate and long-term plan for continuing to deliver high-quality city services at a reasonable cost to Tonganoxie residents and visitors. Also, on September 5, 2023, but prior to the Budget Adoption, the City Council adhered to K.S.A. 79-2988, which also required public notice for a public hearing to consider exceeding the Revenue Neutral Rate (RNR), which would allow jurisdictions to levy more revenue from property tax than the year before. On a 5-0 vote, the City Council voted to exceed the RNR and adopted Resolution 09-23-01 indicating such intent. Despite exceeding the RNR, the City Council placed a priority on providing tax payer relief, and adopted a budget that reduced the total City mill by 4 mills (3.128 on the City, and 0.872 on the City Library). This, coupled with mill levy reductions by USD 464 (2.015 mills) and the Recreation Commission (0.695 mills), and Leavenworth County (0.145 mills) allowed for a 6.855 total mill reduction for the City of Tonganoxie Tax District. Strong Commercial and Residential Development Activity We were happy to see Hill ’ s Pet Nutrition host a ribbon cutting event on October 16 th , signaling that the 400,000 sq ft Manufacturing Plant at the Tonganoxie Business Park, a private investment of $475M was open and ready for production. This project, which generated approximately 100 new, high wage jobs with excellent benefits, signified a major milestone in the Business Park’s investment and job creation. On May 1, 2023, we were thrilled to have DSM, a global purpose-led health and nutrition company, announce their intent to build a next-generation nutritional premix plant in the Tonganoxie Business Park. This approximate $52M investment for a 65,000 sq ft plant, will create an additional 28 jobs at the Business Park, and adds another significant tenant to the Park, with ties to the State of Kansas’ efforts to solidify an Ani mal Health Corridor. The project received local approvals in June, and the project is currently under active construction. Additional activity in the area near the Business Park included the voluntary annexation of approximately 75 acres, just to the West of the Business Park, across 222 nd St, and signified the owners ’ intent to partner with the City to pursue development opportunities. We’ve also been fortunate to attract great businesses to the Urban Hess Business Center; which is owned by the Leavenworth County Port Authority and offers sites ranging from 1.5 to 4.5 acres. A recent addition to the Park was the expansion of Wilson Glass, which will double its current building footprint. We’ve seen growth in our residential development as well, including introducing multi -family options after a nearly 25-year lag in new product availability. The West Village project is well underway, and has completed construction of the 21 single story villas and has neared completion on the garden style apartment building which will offer 36 units; this nearly $8M project is financed by a grant from the Kansas Housing Resources Corporation Moderate Income Housing Grant and by the creation of a Rural Housing Incentive District through the Kansas Department of Commerce. We also continued strong growth by seeing additional phases of single-family development in Stone Creek with the approval of Rausch Coleman’s proposal for 142 new single -family homes in the Stone Creek Development area, representing an approximate $58M Capital Investment.
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