Jefferson City has filed a petition in Cole County Circuit Court to form a Missouri State Prison Transportation Development District.
The petition is pursuant to the Missouri Transportation Development District Act, which requires formation of a development district be initiated by petitioning the circuit court.
In the petition, Jefferson City Counselor Ryan Moehlman said the city wants to create the district to assist in funding a "project" through imposition of a TDD sales tax. The proceeds of the sales tax would be deposited into a special trust fund and used solely for development of the transportation project that will assist in redeveloping the former MSP.
The TDD would cover more than 31 acres, Moehlman said.
The transportation project will consist of improvements of streets and sidewalks on the perimeter of the district, according to the petition. This would include Lafayette and Chestnut streets, as well as Capitol Avenue.
The project would also make improvements to streets and sidewalks within the district, including Cherry and Riviera streets.
There would also be a parking garage constructed in the district, adjacent to a proposed conference center, along with surface parking.
By law, Moehlman said, the Missouri Department of Transportation must be given notice of a TDD's formation so the state agency can determine if it will be responsible for the project.
"If the project doesn't involve anything in the state highway system, then the city is solely responsible for the upkeep of the project," Moehlman explained. "It would be part of the city's infrastructure."
The estimated cost of the transportation project is more than $10.3 million. The district is estimated to generate $100,000 in sales tax revenue per year once it is fully developed.
A five-member board of directors would oversee the TDD. Since the city owns the property, Moehlman said, the members would be appointed by the mayor with consent of the City Council.
Pursuant to the TDD Act, the sales tax may be imposed in increments of one-eighth of 1 percent, up to a maximum of 1 percent on the receipts from the sale at retail of all tangible property or taxable services at retail within the TDD.
The proposed TDD will exist until any debt or other obligations for the transportation project have been fully repaid, according to the petition.
Cole County Judge Jon Beetem has been assigned the case. No court date has been set.