Jonathan Goering, Thrive Allen County’s economic development director, is ready to move forward with plans to start a land bank.
Commissioners, though, aren’t quite as enthusiastic.
They’re concerned the county could end up with a surplus of unwanted property they’ll have to maintain, and they could lose some property tax revenue.
Goering assured them they have options to control those things.
As a result of discussion on the matter Tuesday, commissioners planned to meet with their attorney to learn more about the legal parameters.
GOERING and commissioners have been discussing land banks for more than a year as an option to address the local housing shortage.
Under a land bank, a city or county has the power to remove delinquent tax obligations on abandoned property so that it can be transferred to a new owner without that financial burden. It makes the property more appealing to developers, and in some cases the government may sell it for a minimal amount, such as $1.
Commissioners seem intrigued by the idea but reluctant to take on the responsibility of owning unwanted property.
They would prefer to serve as more of a “pass through” organization. Under that model, the county would not take ownership of property until a developer is found. Then, they would take over the legal aspects of the transfer.
Goering assured commissioners they can still do that, but they were skeptical.
“Let’s build out the framework to get it created,” Goering said. “You don’t have to acquire properties. You’d just have it in place.”
Commissioner David Lee hedged. “My fear is we create the land bank, then start filling it with properties,” he said.
Commissioner Jerry Daniels agreed. “I’m a little skittish when I hear about metro counties that have 3,000 lots that nobody wants, and they have to mow them. That’s the furthest thing from what I want,” he said.
Daniels was referring to Wyandotte County, which is one of only 19 counties in Kansas to establish a land bank. Most land banks are tied to cities, including one in Pittsburg.
But the Wyandotte County land bank has been very successful in turning around many properties for development, including for shopping malls, Commissioner Bruce Symes noted. It’s quite a different market. Their land bank is so large, it requires its own administrator.
