Modifications to Public Infrastructure Program
The Square commercial center in downtown Lexington. Source: Carol M. Highsmith
In Tuesday’s Budget, Finance, and Economic Development (BFED) Committee, Councilmembers will hear a proposal to change and update the Public Infrastructure Program.
The Public Infrastructure Program provides zero-interest, and sometimes forgivable, loans to developers to construct any public-use infrastructure as part of their economic development project. Public infrastructure can include sewer lines, sidewalks and shared-use paths, public parking, and similar infrastructure.
Council allocated $2 million to the Public Infrastructure Program in the FY25 Budget. Loan amounts from the program can be either 10% of the total development costs or $500k, whichever is less.
Changes are being proposed to the program to make it more enticing for developers to use. Some of these changes include:
Clarifying what counts as public infrastructure;
Emphasizing projects that are within Lexington’s Infill and Redevelopment area;
Create space for exemptions in the program criteria for projects with high public benefit.
You can view the presentation slides and view the program change language starting on page 21 of this packet.
The Budget, Finance, and Economic Development Committee will meet on Tuesday, June 25th at 1pm in Council Chambers. You can attend in-person or watch live on LexTV.
