The Parsons City Commission on Monday discussed three possible incentives — a combination a loan, grant and tax rebates — to the new owner of the Parsons Theatre upon the cinema’s reopening, which is expected in June.
The name of the potential new owner was not mentioned in Monday’s discussion, although city commissioners previously mentioned that the company that bought theaters in Iola and Chanute was interested in Parsons. RT Entertainment Inc. of Iowa purchased the B&B Theatres in Iola and Chanute — the Sterling Six Cinema and the Roxy 4 Theatres, respectively — and plan improvements to the facilities, according to media reports on the acquisitions. These changes include adding recliners in some screening rooms.
In an email exchange on Wednesday, Rod Mayer of RT Entertainment said the company plans on setting up a sustainable theater operation in Parsons, which the city of Parsons’ incentives will help. Soon, the company is looking to install recliners in Parsons, but this depends on how long it takes for the company to start seeing guests return. Projectors and the sound system are currently being checked and calibrated to industry standards, Mayer said in the email.
On Monday, Parsons Mayor Verlyn Bolinger read the incentives that the city is planning on making to the new owner.
The first incentive would be a $150,000 forgivable loan for upgrading one of the screening rooms. The loan would be forgivable over 10 years at $15,000 a year as long as the theater remains operational. This money would come from the city’s economic development fund. Bolinger said this loan would be available at the signing of the building over to the new owner. The city would have a second position to bank financing on this forgivable loan.
The second incentive would be a $125,000 grant to assist in upgrading a second screening room. This will be available on opening night of the theater, which is expected in early June. Money for this grant will come from the Union Pacific fund that’s used for economic development projects in the city. The UP
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fund would be paid back over five years from the operational budget of the city’s economic development department.
The third incentive would be $50,000 based on a tax rebate and would be paid from the operational budget of the economic development fund. The money would be paid out at $5,000 a year over 10 years from the economic development budget.
According to information shared with commissioners, the loan and the $50,000 are tied to the theater being open. If the theater closes the loan may be called in. The $5,000 a year will be paid if the theater is open, regardless of ownership or property tax status.
City Manager Jeff Cantrell told commissioners that economic incentives should hit on significant quality of life standards for citizens. He said since he’s been city manager, he’s heard from people wanting the theater back.
“I don’t know that this will solve everybody’s interest for a weekend … entertainment, but it’s definitely an asset that we have sitting idle in the community,” Cantrell said.
He said the new owner has experience in running a movie theater.
“He has the expertise to make this a success in my opinion,” Cantrell said.
City Attorney Ross Albertini said the issue was placed on the agenda to give commissioners time to mull the incentives and give citizens time to consider it and contact commissioners to offer input. The incentive package will return to the commission’s May 29 agenda.
Commissioner Kevin Cruse said he’s looking forward to the prospect of keeping the theater going, and Commissioner Leland Crooks agreed. If the city loses its theater, it will never return, he said. Later in the meeting, he added that the incentives won’t be released until the property transfers.
Theater co-owner Lee Salyers, when reached for comment Thursday, said he was pleased with the process to date. “I’m happy that the city feels the theater is a part of the community that needs to be saved.”
Pat Haley and Salyers bought Parsons Theatre on the old Parsons Plaza, now Main Street, in 1998. Three weeks after the purchase, the building burned, destroying the theater. The theater opened in its new location, 210 N. 17th St., on March 17, 2000. Four weeks later, on April 19, 2000, a tornado damaged the building, which had to close. The owners rebuilt it and reopened it.
The theater closed on March 17, 2020, after Gov. Laura Kelly ordered nonessential businesses to close because of the COVID-19 pandemic. Other communities across the country were making similar choices.
The theater opened on May 28, 2021. It screened its last movies on Oct. 20, 2024.
City staff had been mulling options for the theater and commissioners had heard from citizens on the need to reopen it.
In other matters, the commission: — Heard an update on the summer reading program from library Director Samantha Graven. The reading program kicks off May 27 and runs through Aug. 8. A kickoff event is scheduled for May 30. Sponsors for the reading program have agreed to provide gift certificates for readers who meet reading goals through the summer. The first 50 children who finish their reading goals will get a gate pass to the Kansas State Fair in Hutchinson. During the program, yard signs will be placed on the lawns of “reading champions.”
“Those will be popping up all over town,” Graven said.
As the program wraps up, a summer swim party is planned for Aug. 2 at Parsons Municipal Swimming Pool.
She also touched on some of the programs this summer.
“It’s going to be a great summer.” — Agreed to appoint Coleen Marks to an eight year term on the library board.
— Agreed to distribute these amounts of state alcohol funds collected by local taxes on alcoholic beverages: $19,000 to Labette Center for Mental Health Services, $3,000 to Labette County Big Brothers and Big Sisters and $3,000 to Juvenile Services for Labette and Cherokee counties.
— Recognized police officers who completed field training for the department.
— Heard that the new trash truck the city ordered in March 2023 was to be delivered this week.
— Heard that eight new poly tubs had to be ordered to improve the transfer of recyclables in Pittsburg. The new recycling trailer, which is a triple axle platform, has eight poly tubs on it, each of which can carry up to a yard of material. SEK Recycling in Pittsburg has staff to sort the recyclables by hand so the city would have to unload the eight poly bins and place a second set of bins on the trailer to keep the recycling program going. The new tubs cost $4,000.
— Heard that the roughly quarter of a million dollar fix to a drainage problem on South 24th Street would not work so the city will have to consider funding options for the more expensive plan with a much larger price tag.
— Heard that the swimming pool needed to replace a vacuum used to clean the pool water. The cost will be about $7,000.
— Heard that the street sweeping machine is in the shop in Kansas City again this time to replace a torque converter. City staff is looking at other options, including using demonstration units from other companies to see how the machines fare.
