MODERATE INCOME HOUSING - Kansas Housing Resources

Oswego
Girard
Humboldt
Liberal
Salina
Beloit
Sterling
Hiawatha
MODERATE INCOME HOUSING
COMMUNITY PROFILES
INTRODUCTION
These community profiles that follow have been compiled to give policymakers and the
public examples of housing needs that exist across the State of Kansas. The list of communities
provided is only a small sample of the need that actually exists statewide. The information was
taken from applications submitted to the Moderate-Income Housing (MIH) Program
administered by Kansas Housing Resources Corporation (KHRC) and from community housing
needs assessment surveys submitted to the Housing Inter-Agency Committee (HIAC).
The HIAC committee was formed to provide assistance and guidance to communities
who are trying to address their housing needs. HIAC is composed of the several organizations
including KHRC, the Kansas Department of Commerce, the Federal Home Loan Bank of Topeka
and the United States Department of Agriculture - Rural Development.
The need for moderate-income* workforce housing in Kansas is great. Currently, there
are 97 counties and over 600 communities in Kansas, which have a population of under 60,000,
that are eligible to apply for the MIH Program. These communities comprise approximately 68
percent of the State of Kansas’ total population. Many areas are experiencing or have
opportunities for economic development and job growth, but a lack of adequate, affordable
housing is making new expansion extremely challenging.
*Under the MIH Program, moderate-income is ranged from $23,220 to $109,350 and is adjusted for family size.
TABLE OF CONTENTS
Beloit, Eudora .................................................................................... Page 3
Galena, Girard .................................................................................... Page 4
Greensburg, Hiawatha ........................................................................ Page 5
Hodgeman County, Humboldt ............................................................ Page 6
Liberal, Lyons ..................................................................................... Page 7
Mankato, Marshall County ................................................................. Page 8
Medicine Lodge .................................................................................. Page 9
Oswego, Parsons ................................................................................ Page 10
Peabody, Republic County .................................................................. Page 11
Salina, Stafford................................................................................... Page 12
Sterling, Stockton ............................................................................... Page 13
Wilson ............................................................................................... Page 14
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CITY OF BELOIT/
MITCHELL COUNTY
Beloit is the county seat of Mitchell County, a ROZ County, in north central Kansas with
a population of 3,835. Beloit and Mitchell County have an agricultural-based economy
with some manufacturing business influence.
While Beloit did not apply for a moderate-income housing award, they did complete
the Housing Assessment Tool (HAT) overview. The purpose of conducting a housing
assessment is to help local communities identify strengths, weaknesses, opportunities,
and priorities before allocating resources to implement strategies or tasks that will
address those priorities. The assessment is completed locally and the community
should keep in mind that the assessment is an evolving process that is subject to
change depending on community issues and perspectives.
The survey also listed the top 6 employers in the region and identified each employer
as having difficulty finding housing for their employees. During the process of visiting
with employers, the companies indicated they have a strong need for "workforce" or
"wage appropriate” housing. In 2010, a survey done by the Regional Planning
Commission came to the same conclusion. Beloit has an unemployment rate of only
3.1 percent and over 100 jobs available.
In addition, The City of Beloit and Mitchell County have been planning for future
housing growth by providing utility infrastructure to areas of need and selling
additional city-owned property to developers for new housing developments. The
survey was also a good reminder that there are some areas of Beloit not suitable for
housing, such as areas near the Solomon River that are located in a floodplain.
CITY OF EUDORA/
DOUGLAS COUNTY
Eudora is a growing community of 6,260 people along the rapidly developing Highway
10 corridor in eastern Douglas County. Eudora is growing at a faster rate (42.5
percent) than any other community in the county, including Lawrence. This rapid
expansion and the community’s young population and increasing home values is
putting a stress on housing affordability. Census data shows that 15 percent of home
owners and 55 percent of rental households are paying more than 35 percent of their
monthly income which is considered to be housing income burdened by HUD
standards.
School teachers, nurses, administrative assistants, social workers, young married
people with and without families, and much of the workforce are among those who
are affected by the rapid appreciation of housing costs in the area. As in most Kansas
communities, wages and salaries have not kept pace with housing costs.
The Eudora community has shown support for developing a strategy to address
moderate income housing needs. The Eudora City Commission passed a resolution of
support for an application to KHRC for funding through the Moderate Income Housing
Program with 60 citizens voicing their support. The city is also offering fee waivers and
discounts to local developers. A landowner is offering to sell lots at less than the
appraised value. The city is working with Tenants to Homeowners, a Lawrence nonprofit with housing development experience, and USDA to provide assistance with
down payments and closing costs.
The community would like to leverage $691,000 to build ten new homes in a new
development area. A request was made to KHRC to fill the funding gap for this
development. KHRC had to deny the request due to a lack of funding.
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CITY OF GALENA/
CHEROKEE COUNTY
Galena is a community of 3,119 located in Cherokee County in the mining area of
southeast Kansas. In one of the poorest areas of the state, Galena is generating job
growth with a new $13.5 million hospital that will open in early 2013 and become the
largest employer in the area. The city is also planning a multimillion dollar extension
of the Main Street streetscape. The economic expansion is creating a need for rental
housing.
Being located close to Joplin, Missouri, many people who work in Galena live in that
community. The devastating tornado that struck Joplin in 2011 has put additional
stress on available housing in the area. Galena requested KHRC support for converting
an old hotel into eleven rental units for the elderly hoping to create a situation where
the older people will sell their homes to moderate income families and move into the
apartments. KHRC was unable to approve the request.
GITY OF GIRARD/
CRAWFORD COUNTY
The City of Girard, with a population of 3,483, is the county seat of Crawford County in
southeast Kansas. Girard is in need of new, single-family homes available for home
ownership. The majority of housing units, 74.6 percent, are owner occupied and 25.4
percent are renter occupied. Of the total households, 69 percent are families, with
42.5 percent having children under the age of 18.
The citizens in Girard recently organized Envision Girard, an organization comprised of
health care, education, government, business, planning, banking, and community
engagement professionals, who have formed several action teams focused on key
community needs. The housing action team distributed a needs assessment survey to
both Girard residents and workers that commute to the city. The data gathered
supports the city’s desire to construct new single-family housing.
The City requested funding from the KHRC to construct two new homes located on
lots within the Girard city limits. After the homes are built, the city plans to sell the
homes to qualified moderate-income families and use the proceeds from those sales
to establish a revolving fund. A portion of the grant would be used to acquire
additional lots and prepare the sites for future construction. The city will use the
revolving fund to repeat this activity, thereby continually increasing the availability of
quality, affordable homes within Girard. The City Council has approved an incentive
package to encourage the purchase of these homes by non-residents, attracting new
citizens to the community.
The city is donating two lots as leveraged funding and Girard National Bank is offering
incentives to the potential buyer, lessening some of the barriers to securing financing.
A local real estate agent has agreed to assist with the sale of the homes. Due to high
demand for funding from the MIH program, KHRC was unable to approve this request.
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CITY OF GREENSBURG/
KIOWA COUNTY
Greensburg, Kansas, located in the southwest part of the state, is the county seat for
Kiowa County. On May 4, 2007, Greensburg became one of the most recognized cities
in the country when an EF5 tornado destroyed 95 percent of the community’s
housing. Immediately following the tornado, Greensburg residents announced their
intention to rebuild greener and stronger, with a progressive eye to the future. Prior
to the tornado, Greensburg had a population of 1,498. The current population is
around 800.
Over the past five years, Greensburg has demonstrated an ability to administer grant
funds by successfully utilizing approximately $35 million of State and Federal funds as
they continue to rebuild. Greensburg has worked with such agencies as FEMA, USDA
Rural Development, EPA, Kansas Division of Emergency Management and State and
Federal Congressional Delegations.
While Greensburg has been successful in rebuilding, they still continue to struggle with
housing for families in the moderate-income bracket. Major employers in Greensburg
and surrounding Kiowa County have found it difficult to recruit employees due to lack
of affordable housing. Since the tornado, Greensburg has about 400 homes that have
been renovated and there are a few new homes for sale. The rental housing market is
tight with a waiting list of people wanting to rent. The most pressing need is for twoand three-bedroom apartments or homes that fit into the guidelines of the moderateincome family.
In 2012, Greensburg proposed to build a moderate-income 12-unit complex consisting
of three-bedroom units on land that is owned by Mennonite Housing Resources. The
units would be 1500 square foot with construction costs of around $105 per square
foot. Greensburg requested funding to be applied directly to the construction costs of
the units. Due to the high demand for funding from the MIH Program, KHRC was
unable to approve Greensburg’s request.
CITY OF HIAWATHA/
BROWN COUNTY
Hiawatha, with a population of 3,300, is located in Brown County in northeast Kansas.
Faced with a declining population, only three new homes were built in 2011.
However, the city is experiencing economic expansion and job growth. The Hiawatha
Community Hospital just completed a large clinic addition in 2011. A new Best
Western Hotel and a large grain handling rail facility are scheduled to begin
construction in the fall of 2012. In all, eight of the largest employers in Hiawatha have
increased their capacity and employment. All eight of the employers indicated in a
survey conducted in early 2012 that over 50 percent of their employees live outside of
Hiawatha.
One effort to encourage families to locate and build in Hiawatha has been to offer, as
an incentive to new home builders, a Free Land Program (FLP). The FLP consists of lots
located in a new edition in Hiawatha that have paved streets, curbs and gutters and
utilities already in place. The Hiawatha Foundation for Economic Development (HFED)
has a plan to offer down payment assistance to the interested parties. The estimated
cost of the housing is estimated around $150,000 each.
Hiawatha requested funding from KHRC to be used for initial down payment and
closing fees to include both buyer and seller costs as well as commissions. The
proposal submitted by HFED attempts to reverse the population decline in the
community. The City of Hiawatha and the HFED have been aggressively working to
support local business and create new business opportunities and have successfully
attracted seven new businesses with over 100 new jobs. Due to the high demand for
funding from the MIH Program, KHRC was unable to approve the request.
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HODGEMAN COUNTY
Located in southwest Kansas, Hodgeman County is home to 1,906 people. The county
believes it is poised for population growth due to expansion in the petroleum and
wind industries. To address housing needs, the county has formed a Housing Action
Team that works with the Hodgeman County Economic Development group. The
county is a designated Rural Opportunity Zone and an accredited community through
the Public Square Communities program. It has also worked through the Housing
Assessment Tool developed by the Kansas Department of Commerce.
The housing need in Hodgeman County affects the basic functioning of local services.
The Sheriff reports that the requirement for his employees to live within the county
had to be suspended because of a lack of housing which unacceptably delays the
response time to law enforcement situations in the county. The Crop Production
Services, a large local employer, is planning an expansion, but already has employees
who live outside the county. The hospital has lost employees and potential new
employees because they cannot find adequate housing.
Jetmore and Hanston, the two largest towns in Hodgeman County, have many vacant
housing units, but most were seriously deteriorated or dilapidated while others were
not for sale due to a variety of reasons. Low-income housing is available in the county,
but many people in need of housing do not qualify. There is concern that increased
activity from the Mississippian Oil Play will place further stress on the local housing
needs that are already of crisis proportions.
The Hodgeman County Economic Development group has initiated the Hodgeman
County Land Rush program that provides $5,000 assistance to those building a new
home in the county that meets minimum requirements and up to $10,000 if the house
is built in Jetmore. The city has completed a new sewage system and is now
embarking on a major main street improvement project. Jetmore and Hanston have
sponsored a City Cleanup/Beautification Ordinance in order to improve blighted areas.
Hodgeman County would like to develop rental housing including the repair and
conversion of the old hospital into housing as an initial effort to address the housing
needs. However, KHRC has not been able to provide assistance due to a lack of
funding.
CITY OF HUMBOLDT/
ALLEN COUNTY
Humboldt is a community of 1,816 people in Allen County situated in southeast
Kansas. Since 2008, Humboldt has been a member of Public Square Communities and
from this involvement the Humboldt Housing Action Team was established to address
the City’s needs for housing. This team began the process of completing various
surveys to identify its housing needs. These surveys were sent to non-resident
employees, Humboldt alumni and local residents.
The non-resident employee survey results identified a shortage and need for
workforce housing in the Humboldt area. Of those that responded 40 percent stated
they would consider moving to Humboldt, if they could find affordable housing in the
price range of $50,000 to $100,000. The other surveys showed a need for smaller sized
housing for seniors with minimum maintenance and upkeep requirements. Another
survey showed that over 75 percent of houses for sale in the area are below the
census bureau average value of a home in Humboldt. To encourage buyers, the
committee wants to offer an incentive to reduce the cost to a potential homeowner to
purchase affordable new housing.
Humboldt applied to KHRC’s Moderate Income Housing Program to construct and sell
ten homes over the next five years. As each house is purchased and a lender provides
the mortgage loan to each buyer, there will be a commitment by the local lender for a
soft second mortgage up to the total amount of the grant. The Community National
Bank & Trust in Humboldt expressed an interest in participating in the program. KHRC
was unable to approve the request.
6
CITY OF LIBERAL/
SEWARD COUNTY
Liberal is a growing city and the county seat of Seward County in southwest Kansas.
Home to National Beef Packers, the city is experiencing job growth in several areas,
but has an aging housing stock that is making it difficult for new employees to find
suitable lodging. The school district hires 60 to 80 new teachers each year, but few
find adequate housing and are forced into sub-standard living conditions. National
Beef Packers is ready to hire another 150 employees, but the housing shortage is
prohibitive. Other businesses in the oil and gas, agribusiness and medical care
industries are ready to expand, but have expressed the same problem.
The city conducted housing assessments in 1998, 2008 and 2012. These studies
showed a need to build 77 to 100 houses a year to keep up with demand, but this
need has not been met in 20 years. The assessments also showed an overwhelming
demand for moderate-income rental housing. While low-income rental housing needs
have been addressed with excellent results, there has been little progress on the
moderate-income housing needs. Nonetheless, the city has been active in creating
programs to enhance housing opportunities, including a Housing & Community
Development Department, a First-Time Homebuyer Program, a Senior Housing
Program, a USDA Self-Help Program, and a Neighborhood Revitalization Program.
As the population has grown and become more ethnically diverse, housing problems
have become more pronounced. Infrastructure is deteriorating. There is a lack of lots
that can be developed. Available housing is obsolete due to inappropriate size and
configuration. The number of substandard homes is growing. Loans for home
purchase are difficult to obtain.
Liberal requested funding from the Moderate Income Housing Program to support the
development of rental housing consisting of two- and three-bedroom units with
covered parking. KHRC was unable to approve the request.
CITY OF LYONS/
RICE COUNTY
The City of Lyons is the county seat of Rice County located in central Kansas. Lyons
has a population of 3,739 and is the only town in Rice County that has not experienced
a decline in population over the last 10 years. A housing market study completed in
2010 revealed that the area Lyons serves saw a net gain of 869 jobs. Both total
employment and overall size of the labor force has increased. Additionally, there are
several major employers in and around Lyons, including Lyons Salt, Rice County
Hospital, the Lyons School District, JACAM Chemicals and the Country Living Assisted
Living facility.
From the period of 2000 through 2010, Lyons saw an increase of half percent in
housing units from 1,738 to 1,747, and a 6.6 percent increase in rental housing units.
In the past decade, Lyons has only issued 22 single-family building permits, with 10 of
those being for a low income development that was constructed last year. Less than
10 percent of all the housing stock in Lyons has been constructed since 1980.
The City of Lyons is seeking funding to construct 10 new single-family residences for
moderate- income qualified families. The city has identified a project site and
completed a purchase agreement with the property owner. Utilities are already in
place and the City Council has agreed to retire all the special assessments that are in
place on the existing lots. The income from this program is estimated to create an
ongoing $100,000 revolving loan fund, which the city will utilize for a critical repair and
infrastructure program for low- to moderate-income eligible homeowners.
Due to limited funding and a high demand for assistance, KHRC was unable to approve
this request.
7
CITY OF MANKATO/
JEWELL COUNTY
Located in north central Kansas, Mankato, with a population of 869, is the county seat
for Jewell County. While the population is shrinking, unemployment is low and job
opportunities exist. Local employers, including the Jewell County Hospital, the school
district, and the county, have expressed concern over finding appropriate housing for
employees. The hospital recently hired a worker who had to commute from a
neighboring county for four months until a house in Mankato could be found.
In an effort to address housing concerns, the Mankato community established a
leadership group of 12 individuals who obtained input from 11 percent of the local
population that lead to the completion of a housing assessment. The leadership group
interviewed major employers in the county, attended meetings of various community
organizations, gathered anecdotal information through informal conversations with
the general public, and conducted a “community betterment meeting” where all
citizens were invited to share their concerns and ideas for community improvement.
The housing assessment showed that the top three housing needs in Mankato and
Jewell County are:
1.
2.
3.
Moderate priced housing units available for purchase.
Multi-family rental units.
Rehabilitation/remodeling of older homes which are not of the quality
or style to appeal to younger and/or new residents.
A partnership of local entities composed of the City, the State Exchange Bank, Jewell
County Community Development and Jewell County Justified LLC (JCJ) has been
formed to pursue new local investment opportunities. The City has managed CDBG
grants including one that involved the use of local volunteer labor to construct an
addition to the fire station. In addition, Jewell County is currently working on a
Federal Home Loan Bank funded project focused on entrepreneurship development in
the County.
In an effort to build on these local initiatives, The City of Mankato applied to KHRC for
assistance from the Moderate Income Housing Program to build four new rental
housing units. The city believes that the construction of these new units will create a
domino effect by creating an opportunity for older residents to move out of their
homes into the new housing and allowing the vacated housing to be purchased by
younger families, first time home buyers, and new residents in the community.
The City is donating the land and in-kind labor to prepare the site while JCJ is providing
other funding that, together, amounts to 24 percent of the development cost. KHRC
has been asked to provide a loan for the balance of the cost. Six individuals who
would like to sell their homes and move into the new rental units have been
identified. Due to high demand for funding from the MIH Program, KHRC was unable
to approve this request.
MARSHALL COUNTY
Marshall County, located in northeast Kansas, has a population of 10,117. The largest
city and county seat is Marysville. Over the past six years several housing studies and
needs assessments have been completed. Most recently a housing profile and needs
assessment cited a need for 35 owner units in the 51 to 125 percent AMI high and a
need for 125 rental units within the same AMI.
Marysville is home to the Landoll Corporation which employs over 945 people. Since
Landoll’s expansion there has been a dramatic increase in the need for housing, so
much so that there are virtually no housing rental units available in Marysville or the
surrounding communities. An informal survey showed that numerous families are
living with a friend or family member in Marysville with the remaining family members
living as far away as Topeka until suitable housing can be found. This situation has
prevented 11 children from entering the school system and in some ways preventing
families from purchasing goods and services in Marshall County.
8
Like many communities in Kansas, Marshall County has an aging housing stock. With
more than 70% of the homes being built prior to 1949. Based on several data points
and on the information gathered from the housing assessments the housing shortage
is acute and is the primary barrier to economic expansion in Marshall County.
Marshall County requested funding from KHRC to construct one home in Marshall
County with the proceeds from the sale of that home being used to fund the
construction of an additional home. The goal is to complete each home on a timeline
of eight months. The houses would be located in any community in Marshall County
who wishes to participate and where a need for housing is or has been demonstrated.
Availability of lots, potential buyers, and community support will affect the final
decision. Due to limited funding and a high demand for assistance, KHRC was unable
to approve this request.
CITY OF MEDICINE
LODGE/
BARBER COUNTY
Medicine Lodge is the county seat for Barber County, located in the Gypsum Hills area
of South Central Kansas along the Oklahoma border. With a population of 1,883, the
City has experienced out-migration and a decline in the quality of its housing stock.
Only 25 single family homes and no rental units have been built in this century. Of a
total 1,027 dwelling units 108 are dilapidated or deteriorated. The average rental
vacancy rate is 2.17 percent. Census data shows that 63 households are paying more
than 35% of their income for housing.
The Barber County area is experiencing a flurry of economic activity due to oil and gas
exploration in the Mississippian Lime formation that could lead to a big influx of
energy-sector workers and a spike in housing demand resulting in rent escalation to
the detriment of moderate income families. Several drilling companies are acquiring
leases in the County and significant drilling operations are expected to begin in 2013
and 2014.
Medicine Lodge has experienced difficulties in finding suitable housing for new
employees coming into town prior to the recent surge of interest from the oil play. A
recently hired high school teacher has been living in another family’s basement until
she can find a place of her own. The expected oil “boom” makes the housing
challenges even greater.
The City has been working with Barber County Economic Development, Inc., The City
of Kiowa and the Matrix Design Group to assess the impact of the oil play in Barber
County and to project housing needs resulting from this activity. Barber County and
the area communities have enacted the Neighborhood Revitalization program. The
development of rental housing has been identified as a priority need.
Medicine Lodge applied to KHRC for assistance to create an innovative pilot program
consisting of two components: (1) Infill Site Acquisition/Development Grant Fund; and
(2) Moderate Income Rental Development Loan Fund. The first component will help
the City acquire infill lots which incentivize development of moderate income rental
housing, increase housing density and maximize use of existing infrastructure while
encouraging further reinvestment and re-development of older neighborhoods.
The second component will allow the City to provide subordinate debt and gap
financing for development of moderate income rental housing. This will increase the
stock of rental housing to serve the energy sector demand, preserve moderate income
rental housing opportunities from rent escalation, and encourage development of
properties suitable for eventual home ownership. Due to limited funding, KHRC was
unable to approve this request.
9
CITY OF OSWEGO/
LABETTE COUNTY
Oswego is the county seat of Labette County located in southeast Kansas along the
Oklahoma border. With a population of 1,829, Oswego has experienced a decline over
the past ten years, but has opportunities for growth coming its way. The Great Plains
Industrial Park is being developed ten miles north of town. If the Industrial Park is
successful in attracting new companies to the area, housing will be in great demand.
The opening of the Kansas Correctional Camp in January of 2013 will also impact
housing with both employees and families of inmates wanting to relocate to Oswego.
Oswego School District 504 has been recognized as among the best in the country.
Oswego High School is one of 315 schools nationwide and one of only 23 public high
schools to receive the U.S. Department of Education’s National Blue Ribbon Award
based on the school’s success in closing achievement gaps. The school district also
operates the Service Valley Charter Academy which includes agricultural activities as
part of their curriculum. A local teacher at the Academy was named as one of five
recipients selected nationally for the “Excellence in Teaching about Agriculture.” Local
officials believe the strength of the school system will become a further magnet for
potential new residents.
The city has participated in the HOME Rehabilitation program upgrading nearly 20
homes over the past several years addressing the need to improve its existing housing
stock. It also has an active demolition program removing houses that detract from the
community while creating a cleaner environment. Investments in local infrastructure
have improved nearly all aspects of water, sewer, gas and electric distribution.
A housing needs survey identified community priorities to be 1) rehabbing older
homes that are beginning to show age, 2) developing rental housing for the elderly
without an income limit, 3) building more moderate-income range homes for purchase
and 4) developing a new housing addition with new construction homes.
Oswego is trying to attract developers who are willing to construct new homes and to
fix up old homes that could be sold to younger families.
CITY OF PARSONS/
LABETTE COUNTY
With a population of 10,996, Parsons is the largest community in Labette County.
While the county’s employment levels have remained strong, more than 1,500
employees commute into Parsons each day because of the housing shortage. The
Parsons housing market consists primarily of older renter-occupied units and singlefamily homes with a limited number of new units.
The Superintendent of Schools states that “the lack of moderate-income housing has
played a role in the loss of revenue for the school district. Families have moved to
nearby communities because adequate housing could not be found in the Parsons
community.” Although the city has struggled with growth over the past several years
the recent transfer of the Kansas Army Ammunition Plant to the Great Plains
Development Authority has presented an opportunity to develop 6,800 acres into the
largest industrial park in Kansas.
In 2010, the city commissioned a Housing Market Study that lead to a Housing Action
Plan consisting of 21 strategic actions. The study recommended building 24, threebedroom rental duplexes that could be converted into owner-occupied units. The
capture rate for these units was projected to be 2.1 percent. The study also
recommended the construction of 120 to 150 single-family units over the next five
years at a price range of between $90,000 to $150,000.
Parsons applied to KHRC for assistance to construct four homes and to establish a
revolving loan fund to continue building housing into the future. The City committed
$469,000 of local funding in the form of construction loans through local banks,
infrastructure investment, land donation, in-kind services and real estate tax rebates
through the Neighborhood Revitalization Program. KHRC was not able to approve the
application.
10
CITY OF PEABODY/
MARION COUNTY
The City of Peabody, located in Marion County, is a picturesque small town situated in
the heart of the Kansas Flint Hills. According to the 2010 census Peabody has a
population of 1,210.
In 2012, the city submitted an application for the Moderate Income Housing Program
for the Baker Lofts development. This development will be located in the former Baker
Furniture building that has been vacant since 2009. Partnering with several entities,
the city requested funding that would help generate five moderate-income housing
units in the city’s historic downtown.
Recent housing studies conducted demonstrate a high need for rental housing units in
Peabody. The studies estimate that each year approximately 100 people contact The
City of Peabody in search of rental housing. One example is a young married couple
who recently graduated from universities in Michigan and South Dakota that visited
Peabody with the intent of relocating to a small community near Wichita where they
had found jobs. The couple quickly fell in love with the town and worked feverishly to
find ANY available rental units, regardless of condition. Ultimately, no rental units
could be found and the young couple was unable to relocate to Peabody.
Unfortunately, this growing trend continues at a time when economic opportunities in
the primary market area are expanding. New jobs in the market area will create an
even greater need. Due to limited funding, KHRC was unable to provide assistance to
The City of Peabody.
REPUBLIC COUNTY
Republic County is a rural county located in North Central Kansas along the Kansas
Nebraska border. The largest city and county seat is Belleville. As of the 2010 census,
the county had a population of 4,980. Like many counties in Kansas, nearly 50 percent
of Republic County’s housing units were built prior to 1939. Only four percent were
built since 2000. Republic County lost 236 housing units from 2000 to 2010. This decay
of housing properties can be attributed to lack of funds, high development costs, lack
of communication on the need for housing, poor organization of housing stakeholders,
lack of funding sources for moderate-income housing and tight lending conditions.
The Republic County Economic Development Corporation contracted with the Docking
Institute of Public affairs located at Fort Hays State University to conduct a housing
study in 2011. The study assessed housing demand and availability in Republic County,
using data published by the US Census Bureau and data collected from surveys
conducted by the Institute. The survey found:


Limited options and conditions of properties were the two major concerns
when looking for rental properties or houses among respondents living in
Republic County.
Respondents who live outside of Republic County are interested in renting
so that they may move to Republic County.
Recently, Reinke Manufacturing announced plans to build a $1.5 Million
manufacturing plant in Belleville. The plant will build electrical boxes for irrigation
systems and ship them to China. When the plant is completed there will be between
50 - 60 new jobs created in Belleville.
The Republic County Economic Development Corporation requested assistance from
KHRC to be used for to moderate-income housing projects. The first project was the
renovation of the Hotel Republic and the second project was renovation of the USD
109 middle school. The two projects would have generated 25 market rate rental units
and 45 affordable housing units serving low-income families and the elderly. KHRC was
unable to approve the request.
11
CITY OF SALINA/
SALINE COUNTY
The City of Salina is the largest city and county seat of Saline County, Kansas. As of the
2010 census, the city population was 47,707.
In 2012, the City of Salina requested funding from KHRC for a rehabilitation project
involving low to moderate-income renter-occupied or new owner-occupied housing
units. The city selected the North Central Planning Regional Commission to administer
the program in conjunction with the staff in the Salina Development Services
Department. The city also designated an "Area of Change” as identified in the Salina
comprehensive plan. This area includes many neighborhoods noticeably deteriorating
physically and socially within West and North Salina. In many cases, these areas
represent the oldest community neighborhoods in Salina.
The use of funds would be as follows:
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Substantial rehabilitation for up to 13 renter-occupied houses and or owneroccupied houses.
Clean up and repair an estimated 25 homes; labor to be performed by
volunteers.
Removal and clearance of five unoccupied former housing units.
Additionally, Salina's Building Service Department proposed to waive any permit fee
and provide the code inspection when necessary. Additionally, Salina agreed to issue a
sales tax exemption certificate for the rehabilitation properties to the contractors that
will be performing the work. Due to a lack of funding KHRC was unable to approve this
request.
STAFFORD COUNTY
Located in south central Kansas and home to the Quivira National Wildlife Refuge,
Stafford County is a designated Rural Opportunity Zone county with a population of
4,342. St. John is the county seat and there are several small communities including,
but not limited to Stafford and Mackville. Like much of rural Kansas, Stafford County
has been losing population for decades. However, with the establishment of a
countywide economic development effort in 2010, there has been a deliberate focus
on fostering entrepreneurship and bringing back alumni. As a result there has been
modest growth in the three county school districts.
The housing inventory in Stafford County is old and deteriorating. Only 2 percent of
the inventory is less than 10 years old. Of the 2,067 houses in the county only 14 are
multi-family units. The remaining rental properties in the county are single family
residences, but they are old, small, energy inefficient and not marketable for families
looking for housing.
The housing shortage is so severe that a new school principal is residing in an
independent living apartment at the local nursing home. Young professionals with
children moving back to the area are living with family members until they can find
something to buy. Others are commuting from town outside the county. Some
employers have lost valued employees because they couldn’t find appropriate
housing.
Stafford County needs assistance to develop new rental housing in the form of
duplexes. They have a plan to build at least two duplexes and use the rent to finance
construction loans for the development of single family residences. When one single
family residence is completed and sold, another one will be built. Stafford County
Economic Development will provide funding in the form of cash and land donations for
the initial development. KHRC was asked to provide support through the Moderate
Income Housing program but was unable to provide assistance due to the high
demand and limited funding.
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CITY OF STERLING/
RICE COUNTY
Sterling is a central Kansas community of 2,328 people in Rice County. Population in
Sterling has been declining even though job opportunities have been increasing. The
lack of adequate housing is considered to be the cause of the population decline. A
recent survey of employees in the community determined that 40 percent of the
respondents live in other cities. Twenty six percent of those answering the survey
could not find adequate housing in Sterling and 18% said they would move to Sterling
if housing were available.
JACAM Chemicals states that of their 132 employees only 45 live in Sterling. KMW Ltd.
states that 29 of 57 employees live outside of Sterling. Sterling College has a ten year
vision to increase its student population by 500. Numerous testimonials from private
businesses and public entities stress the need for more housing in Sterling.
Beginning in 2011 The City of Sterling began working with the Sterling Housing
Committee, established by community leaders in 2010, and Housing Opportunities Inc.
to develop a housing plan. Some of the major businesses driving the Sterling
discussion of needed housing are JACAM Chemicals, Sterling College, KMW Ltd.,
Farmers Coop, Presbyterian Manor, USD 376, First Bank, United Industries, Sterling
Services, Sterling Medical Center, Alden State Bank, Home Lumber and Sterling Farm
Supply. In the late summer of 2011 The Sterling Housing Committee with funding
from the City commissioned a housing market study which was conducted by Virden
Associates. The study determined that 4-6 new family rental units and 3-17 home
owner units are needed.
In 2012 Sterling applied to KHRC for assistance through the Moderate Income Housing
program. They proposed building three single family homes for rent or sale. When
the homes are sold a revolving loan program will be established to build additional
homes for as far into the future as the homes are needed. Local investors and The City
of Sterling will provide $125,949 of funding. KHRC was unable to approve funding for
this request.
CITY OF STOCKTON/
ROOKS COUNTY
Stockton, a community of 1,329, is the county seat of Rooks County situated in the
Solomon River Valley of Northwest Kansas. The lack of moderate-income housing in
the community has created significant problems for area employers and the school
district. People have not been able to relocate to Stockton due to the lack of adequate
housing. There are 194 people currently working in Stockton who do not live there.
Five local businesses are unable to expand their workforce without employees
commuting more than 20 miles. Teachers are driving to Stockton to work, but live and
raise their families in other communities. The school system is concerned that these
teachers may leave the district at the end of their contract because they are unable to
live where they work. The Solomon Valley Manor currently has at least ten employees
who would relocate to Stockton if housing were available.
In 2007 and in 2012, Stockton completed a housing needs assessment. There are 95
rentals in the city, but only 6 are available at this time and only one of those is in
standard condition. There are 498 owner-occupied homes and nine homes for sale.
Stockton has an old, deteriorating supply of housing with only ten new single-family
homes and an eight unit independent living facility for seniors being constructed in the
last five years.
Stockton requested funding from KHRC to purchase and demolish six blighted
structures and prepare the sites for new construction while establishing a revolving
loan program with the city to construct a minimum of four, new three-bedroom
homes and sell them to people who need the housing. Local government, the public
housing authority and the Stockton Industrial Development Group are prepared to
provide land, in-kind labor, waiver of landfill fees and loan guarantees. The Stockton
National Bank is willing to provide 3 percent construction financing. The city has also
adopted the Neighborhood Revitalization Program that will provide tax rebates to new
homeowners. KHRC was unable to approve the request.
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CITY OF WILSON/
ELLWORTH COUNTY
Located in Ellsworth County, Wilson is the “Czech Capital” of Kansas with a population
of 781 and approximately 400 homes. Of these homes, 15% are empty or vacant but
are not for rent or sale. There are approximately 30 percent of local employees with
families who do not live in Wilson because they cannot find suitable housing. At the
same time, 40 percent of Wilson’s employers state that they would like to expand and
60% of employers say that housing is an issue when they are hiring.
The City has been active in trying to address these issues. In 2012 they received a
Rehabilitation and Demolition grant from the Kansas Department of Commerce that
will enable them to demolish eight structures which will free up lots for people to
build on. It will also rehabilitate approximately 14 houses in need of repair to ensure
that they stay livable and don’t become dilapidated. They will seek additional funding
in 2013.
Wilson has also approved a Neighborhood Revitalization Plan that offers real estate
tax rebates for improvements made to properties with a minimum investment of
$2,000 that increases the appraised value by at least $500. The city is also working on
reducing debris/junk and noxious weeds through the Board of Health and the Public
Compliance Officer.
The City has determined that its greatest housing need is rental units both for the
elderly and for new people moving into town. Rental units for the elderly would allow
them to move from single family homes and create opportunities for younger people
and first time home buyers to buy these vacated homes. Wilson needs assistance to
achieve these goals.
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