HomeMy WebLinkAboutA048 - Second reading of ordinance to amend the Municipal Code by enacting a new Section 24.21 for creating Tax Increment Financing District within the Downtown Reinvestment District Urban Renewal AreaTo:Mayor & City Council
From:Kelly Diekmann, Director of Planning & Housing
Date:March 24, 2026
Subject:Tax Increment Financing Districts
Item No. 52
MEMO
The ordinance to amend the Municipal Code of the City of Ames, Iowa by
enacting a new Section 24.21 thereof, for the purpose of creating Tax Increment
Financing District within the Downtown Reinvestment District Urban Renewal
Area is attached for City Council's review and consideration for second reading.
ATTACHMENT(S):
Ordinance 8th-9th TIF District.PDF
Planning and Housing 515.239.5105 main
515.239.5142 fax
515 Clark Ave. P.O. Box 811
Ames, IA 50010
www.CityofAmes.org
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ORDINANCE NO. ___________
AN ORDINANCE TO AMEND THE MUNICIPAL
CODE OF THE CITY OF AMES, IOWA, BY
ENACTING A NEW SECTION 24.21 THEREOF, FOR
THE PURPOSE OF ESTABLISHING THE EIGHTH
AND NINTH TAX INCREMENT FINANCING
DISTRICTS; REPEALING ANY AND ALL
ORDINANCES OR PARTS OF ORDINANCES IN
CONFLICT TO THE EXTENT OF SUCH CONFLICT;
AND ESTABLISHING AN EFFECTIVE DATE.
BE IT ENACTED, by the City Council for the City of Ames, Iowa, that:
Section One. The Municipal Code of the City of Ames, Iowa, shall be and
the same is hereby amended by enacting a new Section 24.21 as follows:
“Sec.24.21. DOWNTOWN REINVESTMENT DISTRICT TAX INCREMENT
FINANCING DISTRICTS.
(1) Purpose. The purpose of this ordinance is to provide for the division of
taxes levied on taxable property within the Downtown Reinvestment District
Urban Renewal Area, each year by and for the benefit of the state,city,
county, school districts or other taxing districts after the effective date of this
ordinance in order to create a special fund to pay the principal of and interest
on loans,moneys advanced to or indebtedness,including bonds proposed to
be issued by the City of Ames to finance projects in such area.
(2)Definitions.For use within this ordinance the following terms shall
have the following meanings:
"City"shall mean the City of Ames,Iowa.
"County" shall mean Story County,Iowa.
"Urban Renewal Area" shall mean the Downtown Reinvestment District
Urban Renewal Area, such area having been identified in the Urban Renewal
Plan approved by the Ames City Council by Resolution No. 21-467 adopted on
August 24, 2021, which includes the real property identified below and shall
constitute the tax increment financing districts created by this ordinance. There
shall be two TIF Districts created as set forth below, which shall be the City’s
Eighth and Ninth Tax Increment Financing Districts [TIF]:
(a)Eighth Tax Increment Financing District-The Linc East
121 Kellogg Avenue (09-02-358-010): Lots Twelve (12) and Thirteen (13)
in Lee & Munn’s Subdivision, a replat of Lot “A”, except the West Sixty (60’) feet of
said Lot “A”, a part of Block 49, Fourth Addition to Ames, Iowa; and
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119 Kellogg Avenue (09-02-358-020): Lot 11, Lee & Munn’s Subdivision, a replat
of Lot “A”, except the west (60’) feet of said Lot A, a part of Block 49, Fourth
Addition to Ames, Iowa; and
117 Kellogg Avenue (09-02-358-030): Lot 10 in Lee & Munn’s Subdivision
of Lot “A,” in Block 49, Fourth Addition to Ames, Iowa, except the West 60 feet
thereof; and
113 Kellogg Avenue (09-02-358-040): Lots 7, 8, and 9, all in Lee & Munn’s
Subdivision to Ames, Iowa; and
111 Kellogg Avenue (09-02-358-050): Lot 6, in Lee & Munn’s Subdivision,
Ames, Iowa; and
109 Kellogg Avenue (09-02-358-060): Lot 5, in Lee & Munn’s Subdivision
Ames, Iowa; and
105 Kellogg Avenue (09-02-358-070): Lots 3 and 4, in Lee & Munn’s
Subdivision, Ames, Iowa; and
303 Lincoln Way (09-02-358-080): Lots 1 and 2, in Lee & Munn’s
Subdivision, Ames, Iowa; and
307 Lincoln Way (09-02-358-081): Billboard upon Leased Land known as
Lots 1 and 2, in Lee & Munn’s Subdivision, Ames, Iowa; and
311 Lincoln Way (09-02-358-090): The South 100 feet of Lots 14 and 15, in
Lee & Munn’s Subdivision to Ames, Iowa; and
319 Lincoln Way (09-02-358-105): The North 60 feet of Lots 14 and 15, and
the South 16 feet of Lot 16, all in Lee & Munn’s Subdivision of Lot “A” in Block 49,
Fourth Addition, to Ames, Iowa, except the West 60 feet thereof, AND the South
190 feet of the West 60 feet of Lot “A” in Block 49, Fourth Addition to Ames, Iowa;
and
327 Lincoln Way (09-02-358-120): The South 221.7 feet of Lot 1, Block 49,
Fourth Addition to Ames, Iowa, also known as Blair’s Fourth Addition to Ames,
Iowa; and
329 Lincoln Way (09-02-358-130): The South 150 feet of the East 50 feet
of Lot 2, in Block 49, Fourth Addition to Ames, Iowa; and
328 Gilchrist Street (09-02-358-190): Lot 1, in Block 49, Fourth Addition to
Ames, Iowa, except the South 221.7 feet thereof, and except beginning at a point
25 feet South of the North line of Lot 1 and 25 feet West of the East line of said Lot
1, thence East 25 feet parallel to the South line of said Lot 1, thence North along
the East line of said Lot 1 to the NE Corner of said Lot 1, thence Southwesterly
along the North line of said Lot 1 to a point 25 feet North of the place of beginning,
thence South 25 feet to the place of beginning; AND the East 50 feet of Lot 2 in
Block 49, Fourth Addition to Ames, Iowa, except the South 150 feet thereof; and
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322 Gilchrist Street (09-02-358-200): Beginning at a point 25 feet south of
the north line of Lot 1 and 25 feet West of the East line of said Lot 1, thence East
25 feet parallel to the South line of said Lot 1, thence North along the east line of
said Lot 1 to the Northeast corner of said Lot 1, thence Southwesterly along the
North line of said Lot 1, to a point 25 feet North of the place of beginning, thence
South 25 feet to the place of beginning, all in Block 49, Fourth Addition to Ames,
Iowa; and
320 Gilchrist Street (09-02-358-210): The West 60 feet of Lot “A”, Block 49,
Fourth Addition to Ames, Iowa, except the South 190 feet thereof; and
312 Gilchrist Street (09-02-358-225): Parcel #2 of Lot 16, in Lee & Munn’s
Subdivision, Ames, Iowa, as shown on the Plat of Survey recorded in the office of
the Story County Recorder on March 31, 1986, in Book 7, at Page 177; and
The alley within Lee & Munn’s Subdivision more specifically defined as the
point of beginning at the Southwest corner of Lot 1 in the Lee & Munn’s
Subdivision, Ames, Iowa extending West 16 feet along Lincoln Way North right-of-
way line to the Southeast corner of Lot 14; thence extending North 311 feet to the
Northeast corner of Lot 16 of Lee & Munn’s Subdivision, thence 16.1 feet to the
Northeast on the South right-of-way of Gilchrist Street to the northwest corner of
Lot 13 of the Lee & Munn’s Subdivisions, thence South along the alley’s East right-
of-way 313.3 feet to the point of beginning.
(b)Ninth Tax Increment Financing District-The Linc West
335 Lincoln Way (09-02-358-140): The West 50 feet of Lot 2, in Block 49,
Fourth Addition to Ames, Iowa; and
403 Lincoln Way (09-02-358-150): The East 60 feet of Lot 3, in Block 49,
Fourth Addition to Ames, Iowa; and
407 Lincoln Way (09-02-358-151): Billboard upon Leased Land known as
the East 60 feet of Lot 3, in Block 49, Fourth Addition to Ames, Iowa; and
415 Lincoln Way (09-02-358-160): The West 40 feet in width of Lot 3 and
all of Lot 4, Block 49, Fourth Addition to Ames, Iowa, excepting therefrom the
following described portion to-wit: Beginning at the Northwest Corner of said Lot
4, thence running South along the West line of said lot, a distance of 80 feet, thence
East 70 feet, thence North to the North line of said lot, thence Southwesterly along
the North line of said lot to the point of beginning; and
419 Lincoln Way (09-02-358-170): The South 125 feet of Lot 5, in Block 49,
in Fourth Addition to Ames, Iowa; and
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116 Clark Avenue (09-02-358-180): Lot 1, Nelson Subdivision, Ames, Iowa;
and
[Note: As verified by an Affidavit filed January 13, 1966, in the records of
the Recorder of Story County, Iowa, in Book 19, Page 213, the “Fourth Addition to
the Town of Ames, Iowa” is also known as “Blairs Fourth Addition to Ames, Iowa.”].
(3)Provisions for Division of Taxes Levied on Taxable Property in
the Urban Renewal Area. After the effective date of this ordinance,the
taxes levied on the taxable property in the Urban Renewal Area each year
by and for the benefit of the State of Iowa,the City,the County and any
school district or other taxing district in which the Urban Renewal Area is
located,shall be divided as follows:
(a)that portion of the taxes which would be produced by
the rate at which the tax is levied each year by or for each of the taxing
districts upon the total sum of the assessed value of the taxable property in
the Urban Renewal Area,as shown on the assessment roll as of January I of
the calendar year preceding the first calendar year in which the City certifies
to the County Auditor the amount of loans,advances,indebtedness,or bonds
payable from the special fund referred to in paragraph (b)below,shall be
allocated and when collected be paid into the fund for the respective taxing
district as taxes by or for said taxing district into which all other property
taxes are paid.For the purpose of allocating taxes levied by or for any
taxing district which did not include the territory in the Urban Renewal Area
on the effective date of this ordinance,but to which the territory has been
annexed or otherwise included after the effective date,the assessment
roll applicable to property in the annexed territory as of January 1 of the
calendar year preceding the effective date of the ordinance which amends
the plan for the Urban Renewal Area to include the annexed area, shall be
used in determining the assessed valuation of the taxable property in the
annexed area.
(b)that portion of the taxes each year in excess of such
amounts shall be allocated to and when collected be paid into a special
fund of the City to pay the principal and interest on loans,moneys
advanced to or indebtedness, whether funded,refunded, assumed or
otherwise,including bonds issued under the authority of Section 403.9(l)
of the Code of Iowa,incurred by the City to finance or refinance,in whole
or in part, a project within the Urban Renewal Area,and to provide
assistance for low and moderate-income family housing as provided in
Section 403.22 of the Code of Iowa,except that taxes for the regular and
voter-approved physical plant and equipment levy of a school district imposed
pursuant to Section 298.2 of the Code of Iowa,to the extent authorized in
Section 403.19 (2) of the Code of Iowa,taxes for the instructional support
program levy of a school district,imposed pursuant to Section 257.19 of the
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Code of Iowa,to the extent authorized in Section 403.19(2) of the Code of
Iowa, taxes for the payment of bonds and interest of each taxing district,and
taxes imposed under Section 346.27(22) of the Code of Iowa,related to
joint county-city buildings,shall be collected against all taxable property
within the taxing district without limitation by the provisions of this ordinance.
Unless and until the total assessed valuation of the taxable property in the
Urban Renewal Area exceeds the total assessed value of the taxable
property in such area as shown by the assessment roll referred to in
subsection (a) of this section, all of the taxes levied and collected upon the
taxable property in the Urban Renewal Area shall be paid into the funds for
the respective taxing districts as taxes by or for said taxing districts in the
same manner as all other property taxes. When such loans,advances,
indebtedness,and bonds,if any, and interest thereon, have been paid,all
money thereafter received from taxes upon the taxable property in the Urban
Renewal Area shall be paid into the funds for the respective taxing districts
in the same manner as taxes on all other property.
(c)the portion of taxes mentioned in subsection (b) of this
section and the special fund into which that portion shall be paid may be
irrevocably pledged by the City for the payment of the principal and
interest on loans,advances,bonds issued under the Authority of Section
403.9(1) of the Code of Iowa,or indebtedness incurred by the City to
finance or refinance in whole or in part projects in the Urban Renewal
Area.
(d)as used in this section,the word "taxes"includes,but is not
limited to, all levies on an ad valorem basis upon land or real property.
Section Two. All ordinances, or parts of ordinances in conflict herewith are
hereby repealed to the extent of such conflict, if any.
Section Three. This ordinance shall be in full force and effect from and
after its passage and publication as required by law.
Passed this day of , 2026.
_________________________________________________________
John A. Haila, Mayor
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First Reading: _________________
Second Reading: ______________
Third Reading: ________________
Passed on: ___________________
I, Renee Hall, City Clerk of the City of Ames, Iowa, hereby certify that the above and
foregoing is a true copy of Ordinance No. ______________, passed by the City Council
of said City at the meeting held on ______________________and signed by the Mayor
on ___________________________, and published in the Ames Tribune on
___________________________.
________________________________
Renee Hall, City Clerk
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