AUGUSTA FLOODING ISSUE

Dear Community Members, we would like to take a moment to highlight the significant contributions of a dedicated local entrepreneur who has consistently demonstrated a commitment to our city, Augusta. This individual has not only invested in multiple businesses within our community but has also created numerous job opportunities for local residents, thereby enhancing our economy and supporting our local workforce.

Over the years, this entrepreneur has been instrumental in hiring hundreds of local citizens, contributing to the vibrancy and growth of Augusta. Their generosity extends beyond business; they have donated land to the city and have been reliable supporters of local events, providing financial assistance that helps foster community engagement and unity.

However, developments have raised concerns the potential implications for our community. If no action is taken, we risk losing not only a valuable business but also the economic benefits that come with it. The impact on taxpayers could be significant, as the loss of local businesses often leads to reduced employment opportunities, decreased revenue for the city, and a diminished sense of community.

We encourage all residents to engage with our city council to express their support for local businesses and to advocate to find a solution. Your voice is crucial in ensuring that we do not lose a vital asset to our community.

Thank you for your attention to this important matter. Together, we can work towards a prosperous future for Augusta.

Industrial Park
INDUSTRIAL PARK ISSUE ALERT-2.pdf
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TO:       Mayor and Augusta City Council

FROM:  Troy Palmer, a concerned Augustan

DATE:    01/14/25

I hope this message finds you well. I am reaching out to express my concerns regarding the potential impacts on our community should we experience another significant economic disruption, particularly in light of the challenges faced by our second largest employer Global Parts.Aero and now VSE in recent years at 901-912 Industrial Park.

 

    As you are aware, the flooding events of 2019 and 2021 took many by surprise, and the     repercussions have been felt throughout our community. With the looming possibility of KDOT interventions in the coming years, it is imperative that we proactively address these challenges to ensure the stability and sustainability of our local economy.

 

    I would like to inquire if the council has developed any recommendations or strategies to mitigate the risk of further economic decline. Additionally, I am interested to know if there are contingency plans in place should we face another crisis. It would be beneficial for the community to have an open discussion on this matter, as I have not seen it addressed in recent council meetings or on the agenda.

 

    Thank you for your attention to this important issue. I look forward to your response and to any insights you can provide regarding our community's preparedness and future planning. Please be advised I am bringing this to your attention as a concerned citizen and have no ownership in VSE or the buildings anymore.

 

The flooding incident affected five buildings (901-912 Industrial Park) within our industrial park. Following heavy rainfall, water accumulation occurred primarily on the eastern side of two buildings, as well as on the western side, leading to significant damage and operational disruptions. Total damages incurred amounted to approximately $2.5 million. This figure encompasses both physical damage to the infrastructure and the associated loss of revenue during the downtime.

2021

 

901-912 Industrial Park buildings, which were leased out, unfortunately encountered another significant setback due to flooding from the same pipe issue under Highway 400. It resulted in an estimated $2 million in damage to the properties (similar to the 2019 flooding). The flooding affected all five buildings, impacting on both the structural integrity and the operational capabilities of our tenants. As the owner, I was informed the tenant (VSE) stated they would be moving out should they endure another flood setback in the future.

 

2024

 

I wanted to provide an update regarding the recent sale of my Industrial property to Sage Capital at 901- 9012 Industrial Park, which required a price reduction of $1.5 million due to flooding concerns in the area, along with assisting with extra flood insurance for the new buyers. While this adjustment was necessary, because the city caused a flooding situation. This tenant, a publicly traded entity, has been an exemplary occupant for the past 4 years and has 6 more years on their lease. Their commitment and reliability should have significantly contributed to the property's value and appeal. For those familiar with commercial real estate, you will appreciate the advantages of having such a reputable tenant in place. Even though I could not get close to fair market value of the property, even with the all-star tenant, due to the Highway 400 drainage issue.

 

2021-2022

 

The study commissioned by the city has revealed significant findings regarding water runoff patterns in Augusta, particularly highlighting that a considerable volume of water originates from the northern end of the city. The research indicates that the runoff from the High School area traverses the Golf Course, contributing to flooding issues that extend beyond the last pond and impact nearby residential properties. This water flow continues through the Industrial Park, raising concerns about potential damage and disruption. Furthermore, the study has identified a critical infrastructure concern: the drainage pipe situated beneath Highway 400, which has been in place since approximately 1940, is notably undersized for current drainage needs. The continued use of this outdated and inadequate pipe could exacerbate flooding issues and impede effective water management in the area. These findings underscore the need for a comprehensive assessment of the city's drainage systems and potential upgrades to mitigate flooding risks and improve overall water management.

 

I took action and dug out a pond at the golf course for water retention at a cost of $15,000.00 in 2023. Asking the City of Augusta for assistance in the past:

I’d like to express my deep concerns regarding the persistent drainage issues in our area, which have led to significant financial losses for local businesses, including VSE. Despite reaching out to various entities, including FEMA, KDOT, BUTLER COUNTY, RAILROAD, KS REP, and KS SENATOR, it appears that no substantial action has been taken to resolve the matter. It is worth noting that the ditch responsible for the drainage problem is owned by McClures. The City had the opportunity to repurchase this property, which ideally should have never been sold, but chose not to invest in this solution.

During my discussions with Josh in 2024, I was informed that the City does not consider the drainage issue to be its responsibility, which contradicts the study findings. This response is particularly disheartening, especially as I was in the process of selling my building and highlighted the financial ramifications of the two recent floods. The situation has become critical. Should there be another flood, VSE has indicated that it will consider relocating its operations out of Augusta. As a major employer with an $800 million valuation, the loss of VSE would have devastating effects on our local economy.

Additionally, the prospect of attracting new businesses to the area is severely diminished if potential tenants are deterred by the risk of flooding. I urge the City to take immediate and decisive action to address the drainage issues before it is too late. The well-being of our community and the stability of our local economy depend on it.

 

In 2019, the city undertook a brush-clearing initiative; however, subsequent overgrowth occurred prior to the flooding event in 2021. Unfortunately, this area was not adequately maintained afterward. In 2024, I reached out to the City Manager to express my concerns regarding the ongoing issue, but my request was met with the assertion that it was not the city's responsibility or fault. This situation underscores the need for a more proactive approach to maintenance and environmental management to prevent recurrence of similar issues in the future.

As business owners, it is imperative to recognize the profound impact that companies like Global Parts.Aero, now operating as VSE, have on our community. Their contributions extend beyond mere sponsorship and donations; they play a vital role in generating sales tax and property tax revenue, which are essential for funding local services and infrastructure. Furthermore, their commitment to stewardship reflects a dedication to the long-term sustainability of our community.

 

We must proactively address the challenges facing our businesses and our community. Inaction at this critical juncture could yield significant repercussions that may impede our collective growth and stability. It is imperative that we unite in advocating for solutions that will ensure the ongoing vitality of our economic environment and not wait to see if the State is going to fund this 3 to 5 years from now, as it will be too late.

By prioritizing this issue and collaborating effectively, we can protect not only our businesses but also the community that sustains them. The data speaks for itself: from 2006 to 2021, Global Parts.Aero contributed $75 million in payroll back into the community, and an estimated $25 million since 2021. This demonstrates our commitment to fostering local economic health.

 

To assess the extent of awareness regarding this issue among council members, it would be beneficial to gather data on the number of council members who have been informed about the matter, as well as the frequency and context in which it has been discussed in meetings or reports. Understanding the level of engagement and concern expressed by council members will provide valuable insights into how this issue has been perceived at the management level.

Additionally, it would be prudent to analyze any documented communications, such as meeting minutes or official correspondence, to identify how long this issue has been on the agenda and the nature of discussions surrounding it. This will help in determining the perceived urgency and importance of the issue, ultimately reflecting management's prioritization and responsiveness.

I am sure none of you would appreciate the city choosing not to act on this matter, other than email correspondence and finger pointing on the asset side/structural of things. This has great potential to be bigger than you realize if nothing is done now. No response or actions from the council on this matter would not be in the favor of the Augusta citizens.

 

 

 
   

 

 

Troy Palmer

The recent study commissioned by the city has brought to light, significant concerns regarding the drainage system serving the entire north side of Augusta.  The findings suggest that the current infrastructure, not only exacerbates flooding issues, but may also hinder future business develolpment and overall community growth. 

 

We remain optimistic that the issue of flood concerns will be prioritized on the upcoming agenda.  It is crucial for the council to investigate the reasons behind the lack of action taken to expedite a resolution.  Relying solely on the completion of the study by KDOT may not be sufficient; proactive measures are necessary to ensure the safety and well-being of our community.  We look forward to a thorough discussion and prompt action on this pressing matter.

Read and study the survey below

Industrial Park Survey
22.W047_AugustaCombinedReport_110222.pdf
Adobe Acrobat document [4.8 MB]

 

 

 

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