Kansas City Council Business Session: Audit Plan & Luminary Park Update - March 5, 2026
Kansas City Council Business Session: Audit Plan & Luminary Park Update - March 5, 2026
The Kansas City Council held a business session on March 5, 2026, beginning with the approval of minutes from the February 26 meeting and then receiving two major presentations: the Office of the City Auditor's annual audit plan for fiscal year 2027 and a detailed update on the Roy Blunt Luminary Park (formerly the 670 South Loop project). The Luminary Park discussion dominated the session, with extensive debate about funding, private fundraising progress, city financial commitments, and equity concerns raised by several council members.
Consent Calendar
- Approval of Minutes: The council approved the minutes from the business session of February 26, 2026, by a unanimous voice vote (all in favor, no opposed).
Discussion Items
2026-2027 Annual Audit Plan Presentation
- Mark Shaw, Interim City Auditor, presented the fiscal year 2027 audit plan, introducing new hire Bailey Keller, who previously directed a state-level special education audit and worked as an assistant principal. The city's annual municipal budget is approximately $2.5 billion, covering 20 departments and about 7,500 employees.
- Audits in progress: (1) Parks and Recreation compliance with pricing policies for community and aquatic centers (initiated fall 2025); (2) Water Services Department implementation of human resource policies; (3) Tax increment financing deliverables (initiated 2025 before Shaw's arrival) – assessing whether selected tax abatement projects created projected impacts.
- Planned FY2027 audits: Required reports – annual women in the workplace report (within 90 days of receiving data) and a comprehensive wage disparity study. Other audits include: Linwood Shopping Center lease compliance, Healthy Homes Rental Inspection Program enforcement, use of parks-managed housing units by city employees, fire department internal complaint mitigation, and police department budget and expenditure allocation.
- Tentative audits (as resources permit): Accessibility of public spaces during construction, street resurfacing strategies, management of city-owned real estate, fire department training and safety, police department staffing and organizational structure, and homelessness response coordination.
- Operational review cycle audits: General reviews of Aviation, Convention and Entertainment Facilities, General Services, and Neighborhoods departments (target: each department reviewed every four years). The office aims to complete most audits within approximately 120 days of initiation.
Roy Blunt Luminary Park Update and Debate
- Jeff Martin (ACM, City Manager’s Office) presented the update, noting that in October 2025, council authorized moving to 100% design. The project has a total budget of $315 million, covering all costs (design, soft costs, construction management). Current commitments total $224.7 million, which includes $65 million in city special obligation bonds (contingent on additional $21 million private fundraising to reach $50 million total private funds), plus $10 million and $15 million in prior city appropriations, $28.3 million federal, $15 million state (2024), and $31.5 million MODOT cost-share agreement.
- Private fundraising: Phase one raised $29 million (completed October 2025). Phase two target is $21 million; to date, four new donor commitments totaling $1.75 million are in hand, and proposals pending from eight major prospects total $20 million. The Downtown Council (Bill Dietrich) and Ann Holiday (Downtown Council Community Development Inc., the 501c3 charged with fundraising and future operations) provided details. The goal is to have the full $50 million in commitments by April 2026.
- Construction is planned to commence in July 2027 after the FIFA World Cup, with a three-year build period (completion by 2029). The $15 million bond issuance for design (already appropriated in October 2025) is required now to fill a budget hole—this is the subject of ordinance 260238 on the legislative docket. The additional $65 million in special obligation bonds would require future council action once the $21 million is raised in hand.
- The remaining funding gap beyond commitments is approximately $68 million (to reach $315 million). The team is pursuing a federal BUILD grant ($25 million), other federal/state grants, and potential Jackson County support. Martin noted that without the full $315 million, the project could deliver a safe operational tunnel with limited amenities (pathways, grass, trees) at around $220 million, but not the full park features.
Council Debate
- Councilman Duncan questioned the gap and timeline, noting that even with all pending private funds, the project is still $68.5 million short. He expressed concern that approving the $15 million bonds now locks the city into a project with a substantial unfunded gap.
- Councilman Curls reiterated his consistent opposition, stating his constituents in South Kansas City (Fifth District) lack amenities and transportation to access a downtown park. He cited a lack of investment in his district and noted that a developer request for funds was denied while the city considers $90 million for this project.
- Councilman Willie opposed moving forward without seeing the full $50 million private fundraising in hand. He remarked that $65 million in city funds could be used for other priorities and that taxing restaurants and tourism citywide to fund a downtown project is inequitable.
- Councilwoman Patterson requested detailed financial pro formas about ongoing maintenance costs and revenue sources, expressing concern that the project could strain other parks budgets. She also asked for clarity on the project’s ownership and questioned whether the city is being asked to pay the Downtown Council to manage Barney Allis Plaza.
- Councilwoman Robinson defended the process, arguing the council should not “change the goalposts” after setting conditions. She noted the third district has historically been excluded from such amenities and called for consistency in expectations with external partners.
- Councilman O’Neill cited the city’s $400 million deferred maintenance backlog and argued that adding a new asset without a clear maintenance plan is unfair to other city entertainment assets. He also stated the $21 million private fundraising is not yet in hand.
- Councilman Raya supported the project, describing it as a citywide and regional asset that will generate tax revenue and economic spillover. He clarified that the $15 million bond issuance is for design only and that the $64.9 million additional bonds require separate future council action.
- Councilman Rogers supported the project, stating it helps recruit talent to Kansas City and is a regional asset that benefits all residents.
- The Mayor noted that the $15 million bond ordinance must pass now to avoid a budget hole, and that the larger $65 million request will be considered only after the $21 million is raised. He expressed concern about the $68 million gap and urged the team to provide a “Pontiac” (less expensive) version of the park if full funding is not achieved.
Key Outcomes
- Minutes Approved: Unanimous approval of February 26, 2026, business session minutes.
- No Votes on Luminary Park Bonds: The council took no final vote on the $65 million special obligation bonds; the $15 million bond ordinance (260238) was on the legislative docket for later in the meeting but was not debated or voted on during this business session. The discussion was informational and advisory.
- Direction to Staff: Council members requested detailed financial information, including: current private funds in hand vs. commitments, a pro forma for ongoing maintenance and revenue, and clarity on the project’s ownership and management model. The team (Downtown Council) committed to providing these electronically.
- Next Steps: The fundraising team aims to secure the remaining $21 million in private commitments by April 2026. The council will consider the $65 million bond request only after that threshold is met and in hand. The project design continues toward a final presentation to council within the next month for authorization to proceed with construction.
Meeting Transcript
Is approval of minutes for business session of February 26? Is there a motion? So moved. Second. And moved and seconded. All in favor of approving the minutes say aye. Aye. Opposed. Motion passes our first item today, the 2026-2027 annual audit plan presentation, our interim city auditor. Okay, Honorable Mayor, members of the City Council, Mr. City Manager, good afternoon. My name is Mark Shaw from the Office of the City Auditor. I'm here this afternoon with Bailey Keller, who you all have not met, but will be seeing a fair amount of. She is one of our exceptional new hires who is the brains behind so many things in our office. Bailey joins us from the Dallas area, where she served in various roles in the Louisville School District that included directing an extensive state level audit on special education, which was the subject of her PhD. She also directed program evaluation and performance monitoring as assistant principal at a high school with a student body of 4,162 students. This may explain why she is totally unflappable, why she can multitask so effective effectively, and how she dutifully keeps us on track in the office. We are delighted that she's relocated to our great city and has chosen to join our leadership team here in City Hall. Thank you for the opportunity to present the Office of the City Auditor's annual audit plan for fiscal year 2027. As you are aware, each year, our office develops a plan that reflects both the priorities of this governing body and the needs of our community. Our work is rooted in one central purpose to independently assess city operations so that Kansas City can continue to deliver effective, equitable, and transparent services. With an annual municipal budget of approximately $2.5 billion, which covers 20 departments and approximately 7,500 employees, the scope and complexity of city operations require continuous evaluation. Our audit plan is designed to identify risks, improve performance, and support long-term organizational success. Today I will provide an overview of the audits currently underway, the audits we intend to initiate, tentative audits, and operational review cycle audits scheduled for this fiscal year. We currently have three audits in progress. At present, in the process of finalizing an audit we initiated in the fall of 2025 to determine whether parks and recreation is complying with its pricing policy for establishing entry fees for community and aquatic centers and whether it is properly administering and monitoring facility use agreements. Separately, we are currently evaluating whether the Water Services Department is properly implement implementing the city's human resource policies and procedures. The third audit in progress was initiated in 2025, before my arrival on tax increment financing deliverables. It sought to determine whether selected tax abatement projects create projected impacts or promised outcomes. Our team is in the process of assessing the data collected to determine next steps on this audit. In FY 2027, we'd like to initiate several new audits. Among them are two required reports mandated by the council. The annual women in the workplace report, which we will complete within 90 days of receiving the requisite data from the city manager's office, and a comprehensive wage disparity study that will evaluate compensation across all city departments. Other planned audits include the Linwood Shopping Center, in which we will examine compliance of the center's leases and cooperative agreements. In addition, we will look into enforcement of the Healthy Homes Rental Inspection Program, the use of parks managed housing units by city employees, the fire department's internal complaint mitigation efforts, and the police department's allocation of budget and expenditures. We have incorporated into our audit plan several tentative audits that we will initiate as resources permit. These audits would include evaluating the accessibility of public spaces during construction, street resurfacing strategies, management of city-owned real estate, fire department training and safety practices, police department staffing and organizational structure, homelessness response coordination. Finally, under our operational review cycle audits. We will conduct general reviews of the departments of aviation, convention and entertainment facilities, general services, and neighborhoods. The intent is to conduct a review of each city department once every four years. Each review will assess departmental effectiveness, alignment with charter and code mandates, transparency, public access, and regulatory performance. Apart from audits we initiate, we will follow up on audit recommendations from previously published reports approximately six months after their publication to assess the extent to which audited entities have implemented our recommendations. This will allow us to track progress and report back to you, the council, ensuring accountability. Our audit plan reflects our commitment to enhancing the effectiveness and efficiency of city operations. That is one reason driving our efforts to complete the majority of our audits within approximately 120 days of initiation. Limiting the scope and time frame of our audits provides council the opportunity to make relevant and timely policy decisions. We acknowledge that we are presenting an ambitious plan. We hope that you will consider it in parallel with our budget proposal, which includes a request for additional FTEs and resources. We appreciate your support and encouragement as we move forward with this essential work. I welcome any questions you may have.
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