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KRMC to seek Kingman Crossing agreement at April 3 council meeting

A motion authorizing City Attorney Carl Cooper and Interim City Manager Jim Bacon to enter into discussions with KRMC regarding Kingman Crossing will go before Council at today's meeting.

A motion authorizing City Attorney Carl Cooper and Interim City Manager Jim Bacon to enter into discussions with KRMC regarding Kingman Crossing will go before Council at today's meeting.

KINGMAN – City Council will discuss a motion at today’s meeting that would authorize City Attorney Carl Cooper and Interim City Manager Jim Bacon to move forward in preparing a development agreement with Kingman Regional Medical Center for the construction of the Kingman Crossing interchange.

According to a letter sent to Bacon by Brian Turney, KRMC chief executive officer, the potential development proposals entail that the hospital would finish the design for the interchange no later than Dec. 31, 2019. The interchange itself would be completed by Dec. 31, 2022.

KRMC has proposed to work with developer Ault Companies on design and construction. The two companies would pay for developmental planning of property owned by KRMC and property owned by the City of Kingman, and would pay for the total cost of the interchange and two-thirds of the cost for the construction of the connecting road from the interchange to Southern Avenue.

KRMC and Ault Companies would also design and construct streets from Santa Rosa Drive to Prospector Street and vice versa.

The proposal includes that the City and two companies would share City sales tax revenues from areas surrounding the proposed site for Kingman Crossing. Revenues from sales taxes generated from construction would be excluded.

Another provision notes that Kingman would not sell or enter into agreements with developers for the land at the proposed interchange site until 2024. This differs from previous talks between the City and KRMC, in which the land would have been sold to the hospital.

Tax revenue would be split between the entities until project completion or until KRMC is refunded for its contribution. That includes design, construction, master planning, design and construction of streets and the $3 million for Kingman Crossing.

Kingman, in cases where ADOT approval is not required, will have final approval over the interchange and accompanying streets’ designs and construction contracts. The development agreement would need to be approved by the KRMC board, Ault Companies and Council.

“Having a developmental agreement completed is going to be essential to be able to take the next steps and effectively attract new businesses to this site,” Turney wrote. “It is my hope that the City Council will be supportive of this proposal and we can move forward with completing a formal development agreement.”

Editor's Note: This story was changed to clarify that KRMC is offering to pay upfront the total cost of the interchange and two-thirds of the cost for the construction of the connecting road from the interchange to Southern Avenue.