HomeMy WebLinkAboutA001 - Council Action Form dated February 24, 2026ITEM #:24
DATE:02-24-26
DEPT:P&H
SUBJECT:ANNUAL TAX ABATEMENT CERTIFICATION
COUNCIL ACTION FORM
BACKGROUND:
The City Council has established Urban Revitalization Areas (URAs) which allow for the
granting of tax exemption for the increased valuation of a property for projects that meet the
criteria of each URA’s Urban Revitalization Plan. Every year, owners who have made
improvements to property within the City’s URAs during the previous year may apply for tax
exemption on the incremental added value of their properties, subject to the criteria of a URA
Plan. The City Council must determine if the completed improvements meet the criteria in the
Urban Revitalization Plan for the URA in which the property is located. If the City Council finds
that the criteria are met, this approval is forwarded to the City Assessor, who then reviews
each request and determines the amount of the exemption based on the increase in
incremental valuation.
All of the applications in this report submitted for approval for 2025 improvements are related
to the City-wide URA for ownership housing. (An additional application for URA tax abatement
is the subject of another report on this agenda.) This year is the second year that new
construction of single-family ownership housing is eligible for partial of full property tax
abatement on the first $500,000 of value added after April 26, 2024, as part of the Citywide
URA that was approved by Council in 2024. Eligible properties can take advantage of a 5-year
sliding scale of partial abatement.
City Council initiated the City-wide URA in response the low number of housing starts in 2023,
with only 61 building permits issued for single-family homes. The following table outlines the
housing starts over the past several years.
Housing Starts:
Year Total for Year
2023 61
2024 59
2025 68
To apply for tax abatement the home must have had improvements completed after April 26,
2024. Improvements completed before April 26, 2024, are ineligible for tax abatement. Staff
mailed notices known property owners that had not yet filed applications and might have
qualified for tax abatement as ownership housing. By February 1, 2025, the City received 25
applications. By February 1, 2026, staff received 53 applications by the filing deadline, for this
tax year (2026). Of those 53 applications, 48 were for single-family homes completed in 2025
and 5 were for homes completed in 2024. Of the 53 applications, 9 were for partial
improvements for homes started before April 26, 2024, and 44 were for full new construction
started after April 26, 2024. Attached to this report is list of address and the type of
improvements eligible for abatement.
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Current Applications Received:
Home
Completed in:
Partial (construction
began prior to April 26,
2024)
Full (construction
began after April 26,
2024)
Total
2024 4 1 5
2025 5 43 (including 1
ineligible)48
Total 9 44 (including 1
ineligible)53
One of the applications, 2113 Ada Hayden Road, is ineligible as the property is not
owner-occupied. This brings the total number of eligible applications to 52.
Note that any owners who did not file for abatement this year may still be eligible to file for
abatement in 2026 if it is within two years of the first tax year having an improvement value.
Based upon values stated in the applications for both partial and full improvements, at least
$20.6 million of improvement value is eligible for abatement. (Staff is still awaiting final claimed
improvement value/cost information on three applications.) The final amount will likely be less
with the final review of partial improvement value claims. The average new improvement value
claimed was $421,000 after adjusting for the $500,000 maximum cap on value.
The most difficult evaluation of the applications has been the value of partial improvement s
and timing of ownership of the housing to meet the eligibility criteria.
City Council is not determining the value of partial improvements with certification of
eligibility. After conferring with the City Assessor, the City Assessor will determine the
value of improvements as is normally the case for tax abatement eligibility. The
Assessor visited buildings that were in progress near the April 26, 2024, date of eligibility and
documented the status of those homes. They will compare their records with stated values of
applications to make a determination of eligible abatement value. In any event, the maximum
abatement value is $500,000.
The second issue is the final determination related to ownership as a primary residence. A
handful of applications were submitted for improvements that received final approvals in early
January and under the ownership of the primary residence at the time they filed the application
for the improvements. Staff believes these applications can be certified as meeting the criteria
because they are owner occupied at the time of filing the application.
ALTERNATIVES:
1. Resolution approving the following:
a. Certify 52 property tax abatement applications as listed in the attachment as
meeting the eligibility requirements of the City-wide URA.
b. Determine 2113 Ada Hayden Road does not meet the eligibility requirements of
being owner occupied.
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c. Submit the applications to the City Assessor for a determination of improvement
value.
2. Approve a certification of a different number of applications by specifying those that meet
the City-wide URA eligibility requirements.
CITY MANAGER'S RECOMMENDED ACTION:
Staff has examined the applications submitted by February 1, 2026, and has found that
52 of the 53 requests for the completed projects substantially conform to criteria of the
City-wide URA. All of the applications are eligible for a 5-year sliding scale of partial or
full property tax abatement of Year 1-100%; Year 2-80%; Year 3-60%; Year 4-40%; Year
5- 20% based upon the final determination of improvement value by the City Assessor.
Therefore, it is the recommendation of the City manager that the City Council approve
Alternative #1A-B.
ATTACHMENT(S):
Applications Submitted by February 1, 2026.pdf
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ADDRESS ISSUED DATE FINALED DATE OWNER TAX YEAR
REQUESTED PARTIAL OR FULL IMPORVEMENT VALUE CLAIMED MAXIMUM ALLOWED NOTES
2018 AIKMAN DR
Ames, IA 50010 9/14/2023 6/12/2024 NEIL BRUNS 2026 PARTIAL $63,750 $63,750 Finaled in 2024, turned in
application in 2025
1401 ADA HAYDEN RD
Ames, IA 50010 9/27/2023 9/23/2024 JAMES & SUMMAR KNEEDLER 2026 PARTIAL $166,162 $166,162 Finaled in 2024, turned in
application in 2025
4725 EVEREST AVE
Ames, IA 50014 4/4/2024 10/29/2024 JOHN & VICKIE SANDVE 2026 PARTIAL $416,200 $416,200 Finaled in 2024, turned in
application in 2025
2117 ADA HAYDEN RD
Ames, IA 50010 4/10/2024 12/11/2024 ERIK & CLAIRE CHESTER 2026 FULL $587,000 $500,000 Finaled in 2024, turned in
application in 2025
2013 KETELSEN DR
Ames, IA 50010 2/12/2024 6/14/2024 DEBRA HENDRICKSON 2026 PARTIAL $81,200 $81,200 Finaled in 2024, turned in
application in 2026
4616 ALDRIN AVE
Ames, IA 50014 7/22/2024 1/14/2025 DOUGLAS & JANE EASTON 2026 FULL $633,536 $500,000
5807 WESTFIELD DR
Ames, IA 50014 10/11/2024 2/18/2025 JENNIFER HERA 2026 FULL Awaiting Update Awaiting Update
5821 WESTFIELD DR
Ames, IA 50014 10/11/2024 2/21/2025 THOMAS & MARY KENNEKE 2026 FULL $418,850 $418,850
4710 EVEREST AVE
Ames, IA 50014 12/6/2024 3/11/2025 JOSIAH & MEGAN O'POLKA 2026 FULL $468,842 $468,842
4616 EVEREST AVE
Ames, IA 50014 1/13/2025 4/7/2025 HAILONG HUANG & ZONGYANG LYU 2026 FULL $360,000 $360,000
4600 ALDRIN AVE
Ames, IA 50014 8/2/2024 4/11/2025 BRIAN & MIRANDA WHITLEY 2026 FULL $455,500 $455,500
5105 ERICKSON AVE
Ames, IA 50014 10/7/2024 4/16/2025 STEPHEN & JANE RICKLEFS 2026 FULL $667,550 $500,000
3511 ANSLEY AVE
Ames, IA 50014 7/18/2024 4/21/2025 TIMOTHY & KIMBERLY GRANDON 2026 FULL $1,100,000 $500,000
5803 WESTFIELD DR
Ames, IA 50014 2/3/2025 5/19/2025 STEPHEN YANG & YU-PIN LIANG 2026 FULL $435,511 $435,511
5433 GREENE ST
Ames, IA 50014 2/3/2025 5/19/2025 DAN & KRISTINA KONRADI 2026 FULL $479,000 $479,000
2009 LACEY DR
Ames, IA 50010 9/14/2023 6/4/2025 HAROLD LARIMER 2026 FULL $207,000 $207,000
2013 LACEY DR
Ames, IA 50010 9/14/2023 6/4/2025 TATIANA TWEDT 2025 PARTIAL $278,700 $278,700
2017 LACEY DR
Ames, IA 50010 9/14/2023 6/4/2025 LIANG ZHANG & WENZHUO ZHAO 2026 FULL $244,800 $244,800
2019 LACEY DR
Ames, IA 50010 9/14/2023 6/4/2025 WEITING YU & BAI CUI 2026 PARTIAL $392,000 $392,000
5710 ALLERTON DR
Ames, IA 50014 6/4/2024 6/5/2025 JIAN CHEN 2026 FULL $399,900 $399,900
NEW SINGLE FAMILY HOMES FINALED IN 2024 & 2025
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ADDRESS ISSUED DATE FINALED DATE OWNER TAX YEAR
REQUESTED PARTIAL OR FULL IMPORVEMENT VALUE CLAIMED MAXIMUM ALLOWED NOTES
NEW SINGLE FAMILY HOMES FINALED IN 2024 & 2025
5530 GREENE ST
Ames, IA 50014 2/25/2025 6/6/2025 THOMAS & KAMRYN POLLARD 2026 FULL $367,900 $367,900
5107 GREENE ST
Ames, IA 50014 10/29/2024 6/11/2025 KLEIN FAMILY REVOCABLE TRUST 2026 FULL $973,853 $500,000
5526 GREENE ST
Ames, IA 50014 3/27/2025 6/12/2025 JOHN & KAYLA ROBERTS 2026 FULL $389,000 $389,000
607 FREMONT AVE
Ames, IA 50014 7/2/2022 6/12/2025 JOHN & EMILY CACIC 2025 PARTIAL $100,000 $100,000
5318 GREENE ST
Ames, IA 50014 3/4/2025 6/18/2025 JOSEPH PAULICK 2026 FULL $539,000 $500,000
404 S WILMOTH AVE
Ames, IA 50014 4/18/2024 6/30/2025 APRIL ERICKSON 2026 FULL Awaiting Update Awaiting Update
5510 GREENE ST
Ames, IA 50014 4/18/2025 7/2/2025 MATTHEW GOODMAN 2025 FULL $374,900 $374,900
5516 GREENE ST
Ames, IA 50014 4/18/2025 7/8/2025 CANDICE YEE KEN WONG 2025 FULL $305,000 $305,000
5520 GREENE ST
Ames, IA 50014 4/18/2025 7/8/2025 BRYCE CARPER & ZOE LAMBERT 2026 FULL $432,375 $432,375
5714 ALLERTON DR
Ames, IA 50014 4/17/2024 7/9/2025 ROBIN LABIOS 2026 PARTIAL $424,900 $424,900
5101 GREENE ST
Ames, IA 50014 6/14/2024 7/9/2025 CURTIS & LINDA HOFF 2026 FULL $1,032,612 $500,000
5101 ERICKSON AVE
Ames, IA 50014 3/7/2025 7/10/2025 NORMA ELWICK 2026 FULL $646,439 $500,000
4630 CARTIER AVE
AMES, IA 50014 12/17/2024 7/28/2025 PETER & REBECCA RALSTON 2026 FULL Awaiting Update Awaiting Update
5324 GREENE ST
Ames, IA 50014 5/1/2025 7/30/2025 JOSHUA & DENNA HEYER 2026 FULL $530,000 $500,000
3110 GREEN HILLS DR
Ames, IA 50014 3/19/2025 8/1/2025 SUE DAVIS 2026 FULL $562,765 $500,000
1620 ADA HAYDEN RD
Ames, IA 50010 10/4/2024 8/1/2025 DAVID & MARIANNE SPALDING 2026 FULL $500,000 $500,000
4614 CARTIER AVE
AMES, IA 50014 12/17/2024 8/11/2025 DOUGLAS & DONNA LITTLE 2025 FULL $720,000 $500,000
5126 ERICKSON LN
Ames, IA 50014 3/17/2025 8/28/2025 VICKI & LANCE CRAWFORD 2026 FULL $831,691 $500,000
2113 ADA HAYDEN RD
Ames, IA 50010 11/13/2024 8/28/2025 JASON & CYNTHIA STANEK FULL Ineligible - Not Owner-Occupied
4518 CARTIER AVE
Ames, IA 50014 3/13/2025 9/11/2025 LEI FANG & JING TANG 2026 FULL $500,000 $500,000
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ADDRESS ISSUED DATE FINALED DATE OWNER TAX YEAR
REQUESTED PARTIAL OR FULL IMPORVEMENT VALUE CLAIMED MAXIMUM ALLOWED NOTES
NEW SINGLE FAMILY HOMES FINALED IN 2024 & 2025
2002 ADA HAYDEN RD
Ames, IA 50010 4/24/2025 10/2/2025 JENNIFER & MODESTOS MODESTOU 2026 FULL $509,000 $500,000
4703 CARTIER AVE
AMES, IA 50014 10/21/2024 10/7/2025 MARTIN & TERESA SIMPSON 2026 FULL $1,286,000 $500,000
3114 GREEN HILLS DR
AMES, IA 50014 4/8/2025 10/7/2025 CATHERINE ADAMS 2026 FULL $563,746 $500,000
5312 GREENE ST
Ames, IA 50014 6/25/2025 10/13/2025 ZHIHUA HE & DHANRAJ SAMAROO 2026 FULL $465,000 $465,000
4427 CARTIER AVE
Ames, IA 50014 12/2/2024 10/17/2025 MATTHEW & SUSAN PYLE 2026 FULL $500,000 $500,000
2022 KETELSEN DR
Ames, IA 50010 4/17/2025 10/24/2025 MICHAEL & JENNY BUTCHER 2026 FULL $670,000 $500,000
4728 CARTIER AVE
Ames, IA 50014 3/31/2025 10/31/2025 RUOYU WU & YE ZHAO 2026 FULL $563,488 $500,000
4426 CARTIER AVE
Ames, IA 50014 3/17/2025 10/31/2025 DAVID & JENNIFER WHITE 2026 FULL $608,161 $500,000
5517 TENNESSEE ST
Ames, IA 50014 4/14/2025 11/13/2025 JEFFREY & KATHERINE KALLEM 2026 FULL $444,447 $444,447
4733 CARTIER AVE
Ames, IA 50014 11/6/2024 11/13/2025 ROBERT & PAIGE LYNCH 2026 FULL $1,429,198 $500,000
5206 GREENE ST
Ames, IA 50014 4/16/2025 11/14/2025 SMART REVOCABLE TRUST 2026 FULL $463,700 $463,700
2617 OAKWOOD RD
Ames, IA 50014 7/20/2023 12/3/2025 ALEX & LACI WICKENKAMP 2026 PARTIAL $500,000 $500,000
2827 GREEN HILLS DR
Ames, IA 50014 4/16/2025 12/15/2025 JOSEPH & DEBORAH POWERS 2026 FULL $804,012 $500,000
Completed in 2025
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