committeesub
[COMMITTEE SUBSTITUTE FOR] ORDINANCE NO. 250854
title
Sponsor: Director of Finance Department
COMMITTEE SUBSTITUTE
Appropriating $1,500,000.00 from the Unappropriated Fund Balance of the Parks Sales Tax Fund (2030) and $1,500,000.00 from the Unappropriated Fund Balance of the Convention and Sports Complex Fund (5370) for the purpose of providing funding for the development and maintenance of Starlight Theater and support of cultural institutions; designating requisitioning authority; requesting that the Board of Parks and Recreation Commissioners study creation of a position within the Parks and Recreation Department responsible for maintenance, enhancement, and support of cultural institutions; and recognizing this ordinance as having an accelerated effective date.
body
WHEREAS, the Starlight Theatre is managed by the Starlight Theatre Association of Kansas City, Missouri ("Association"); and
WHEREAS, the Association is undertaking the fundraising, financing, and management of capital improvements ("Starlight Theatre Project"), including improved access for Theatre patrons, the construction of a new production bridge, addition of a canopy covering 3,000 seats, and renovations of the kitchen, concession spaces, and restrooms; and
WHEREAS, the Starlight Theatre Project is estimated to increase the total direct and indirect economic output of the Theatre from $42.6 million to $50.0 million annually within the City of Kansas City upon completion of the project; and
WHEREAS, the City Council has expressed support for the Starlight Theatre Project through passage of Ordinance No. 240477, which provided a $3.5 million bridge loan to the Starlight Theatre Project to commence Phase I construction; and
WHEREAS, the passage of Ordinance No. 240499 provided an additional sales tax redirection to the Starlight Theatre Project from taxes generated by the economic activity at Starlight Theatre to assist in repayment of the bridge loan; and
WHEREAS, Ordinance No. 250439 directed the City Manager to assist with preparation of a tax credit application to the Missouri Development Finance Board (“MDFB”) to assist with the planned improvements to the Starlight Theatre, where $3 million in tax credits would leverage up to $6 million in contributions for Starlight; and
WHEREAS, Section 66 of Ordinance No. 250277 directed the City Manager to submit an ordinance to the City Council to fund a contribution of up to $3,000,000.00 to Starlight Theater subject to the availability of funds following the FY 2025-26 First Quarter Budget analysis; and
WHEREAS, the FY 2025-26 First Quarter Budget analysis has determined an appropriation to support this directive will require a drawdown of fund balance in the Parks Sales Tax Fund; and
WHEREAS, a dedicated position to manage and facilitate the maintenance and enhancement of cultural institutions will best ensure the long-term success of Starlight Theater and other city-owned and managed cultural institutions; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:
Section 1. That the sum of $1,500,000.00 is hereby appropriated from the Unappropriated Fund Balance of the Parks Sales Tax Fund, Fund No. 2030, to the following account:
26-2030-708025-B-70065933 Starlight Theater Improvements $1,500,000.00
Section 2. That the Director of Parks and Recreation is hereby designated as requisitioning authority for Account No. 2030-708025-B-700659333.
Section 3. That the sum of $1,500,000.00 is hereby appropriated from the Unappropriated Fund Balance of the Convention and Sports Complex Fund, Fund No. 5370, to the following account:
26-5370-708025-B-70065933 Starlight Theater Improvements $1,500,000.00
Section 4. That the Director of Parks and Recreation is hereby designated as requisitioning authority for Account No. 5370-708025-B-700659333.
Section 5. That the Board of Parks and Recreation Commissioners is hereby requested to study creation of a position within the Parks and Recreation Department responsible for maintenance, enhancement, and support of cultural institutions.
Section 6. That this ordinance relating to the appropriation of money and the expenses of government is recognized as an ordinance with an accelerated effective date as provided by Section 503(a)(3)(B) and Section 503(a)(3)(C) of the City Charter and shall take effect in accordance with Section 503, City Charter.
end
______________________________________________________
I hereby certify that there is a balance, otherwise unencumbered, to the credit of the appropriation to which the foregoing expenditure is to be charged, and a cash balance, otherwise unencumbered, in the treasury, to the credit of the fund from which payment is to be made, each sufficient to meet the obligation hereby incurred.
_______________________
William Choi
Interim Director of Finance
Approved as to form:
______________________________
Samuel Miller
Assistant City Attorney