The Rooks County Neighborhood Revitalization Plan (NRP) has been amended by the Rooks County Commission to allow for the transfer of the tax rebate for improvements by people building or renovating for speculation purposes. The amendment was specifically passed to encourage the building of new homes, or renovation of existing homes, in the county by contractors or private citizens whose intent is to sell the home to a third party.

"It is well-documented that we have a housing shortage in Rooks County, and this amendment was passed to help alleviate that problem" stated Economic Development Director Roger Hrabe. "We wanted to find a way to encourage building for speculation, and then have the new homeowner be afforded the same tax benefits that anyone else would receive."

The NRP allows for a rebate of property taxes that result from a qualified improvement to property. For example, if a person builds a new home, the property taxes are rebated to the owner on a declining basis over a ten year period. Likewise, if a property owner improves a property by more than $5,000 in value, those improvements are then subject to the same rebates. Since the plan was implemented in 2001, well over $4 million in new construction—commercial and residential—has taken place in the county.

Hrabe stated that the county has already seen tremendous benefits from the plan, and should see more benefits with the passage of this amendment. "Any time we have someone building new, that is eventually going to add to the tax base, and hopefully relieve some of our tax burden. The NRP delays the benefits for a few years, but we all have to think about the long-term benefits and not be short-sighted."

It is important for anyone considering building or renovating to fill out a form in the County Appraiser’s Office before beginning any construction. If building for speculation purposes, an affidavit stating the purpose of the building must also be signed. There is a one-time $50 application fee due at the time of application. If you have any questions, please contact the Appraiser’s Office at 785-425-6262, or the Economic Development Office at 785-425-6881.