HomeMy WebLinkAbout~Master - Adopting Plan and Establising Urban Renewal Area for 2105 and 2421 North Dayton Avenue RESOLUTION NO. 22-648
RESOLUTION ADOPTING PLAN AND ESTABLISHING AN
URBAN RENEWAL AREA FOR 2105 AND 2421 NORTH DAYTON AVENUE
FOR THE CITY OF AMES,IOWA
WHEREAS, at its November 8th,2022 meeting,the City Council voted to proceed with the
process to create an Urban Renewal Area at 2105 and 2421 Dayton Avenue. The Urban Renewal
Area will have the same boundaries as the recently approved North Dayton Industrial Park
Preliminary Plat. Urban Renewal Areas (URA) allow for a city to use a variety of powers and
authorities to remove slum and blight and support economic development within an URA, as
defined by Chapter 403 of the Code of Iowa. An Urban Renewal Plan for an Urban Renewal Area
may also establish Tax Increment Financing (TIF) districts to financially support the objectives
and projects of the Urban Renewal Plan; and,
WHEREAS, the URA comprises approximately 73 acres of land along Dayton Avenue on
land containing a recently approved Preliminary Plat known as the North Dayton Industrial Park
Subdivision at 2105 and 2421 Dayton Avenue (Attachment A). The land is currently zoned
General Industrial (GI)with a masterplan which was approved this past summer; and,
WHEREAS, the Urban Renewal Plan (URP) is intended to promote economic
development for the City of Ames for small scale industrial lots and speculative buildings for small
businesses. The URP contemplates use of Tax Increment Financing (TIF) in the form of property
tax rebates to the developer; and,
WHEREAS, the City Council approved a Development Agreement in October with the
developer,Dayton Avenue Development LLC.The Development Agreement caps the TIF at either
10 years of rebates or$2,968,264, whichever occurs first; and,
WHEREAS,the Urban Renewal Plan must reflect if, and how,TIF funds will be used. The
identified amount of TIF funds is a cap on the amount of TIF that can be collected in support of
Urban Renewal Projects. Additional projects, or any increase in TIF that exceeds what is
authorized in the Plan, would require an amendment to the Plan. The Plan identifies up to $2.968
million dollars for use in facilitating private development through incremental property tax rebates.
The Plan itself does not define the specific parameters of TIF; the associated TIF ordinance will
define the location where TIF will be generated and how it will be used; and,
WHEREAS, the Iowa Code also requires that the Plan contain a summary of the City's
current debt obligations, the City's limits on issuing debt, and an estimate of the amount of TIF
debt that would be incurred. There are no General Obligation bonds associated with this Urban
Renewal Area. In this case the structure of the TIF rebate will be subject to annual appropriation
by the City Council and does not count towards the City's debt limit; and,
WHEREAS, a TIF ordinance establishing a TIF District for the entirety of the North
Dayton Industrial Park URA has been drafted and will be considered for approval following action
on the Urban Renewal Plan and Area.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa,
that the proposed North Dayton Industrial Park Urban Renewal Plan and Area is hereby approved.
ADOPTED THIS 131h day of December, 2022.
Renee kall, City Clerk John A. Haila, Mayor
Introduced by: Betcher
Seconded by: Rollins
Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 131h day of December, 2022.