Resolution of Necessity for the proposed Amended and Restated Urban Renewal Plan for the Peru Road Urban Renewal Area, Version 2026.1City of Dubuque
City Council
Copyrighted
September 8, 2026
ITEMS SET FOR PUBLIC HEARING # 6.
ITEM TITLE: Resolution of Necessity for the proposed Amended and
Restated Urban Renewal Plan for the Peru Road Urban
Renewal Area, Version 2026.1
SUMMARY: City Manager recommending City Council adopt a Resolution
of Necessity that: 1) finds that a proposed Amended and
Restated Peru Road Urban Renewal Plan ("Plan") for the
Peru Road Urban Renewal Area ("District") is both necessary
and appropriate; and 2) sets a public hearing on the
proposed Plan for October 5th, 2026.
RESOLUTION Of Necessity Finding That Updates To The
Peru Road Urban Renewal Plan Are Necessary And That
Certain Areas In The Peru Road Urban Renewal Area Should
Be Removed From The Area, And Setting Dates Of Hearing
And Consultation On A Proposed Amended And Restated
Urban Renewal Plan For Said Area
SUGGUESTED Receive and File; Adopt Resolution(s), Set Public Hearing for
DISPOSITION: October 5, 2026
ATTACHMENTS:
1. MVM Memo Resolution of Necessity for the proposed Amended and Restated
Urban Renewal Plan for the Peru Road Urban Renewal Area, Version 20261
2. Staff Memo
3. Resolution of Necessity
4. Notice of Public Hearing
5. Attachment A-1 Map
6. Attachment A-2 Map
Dubuque
THE CITY OF
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Masterpiece on the Mississippi zoo�•*o
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Resolution of Necessity for the proposed Amended and Restated Urban
Renewal Plan for the Peru Road Urban Renewal Area, Version 2026.1
DATE: September 1, 2026
Assistant Economic Development Director Ian Hatch is recommending City Council
adopt a Resolution of Necessity that: 1) finds that a proposed Amended and Restated
Peru Road Urban Renewal Plan ("Plan") for the Peru Road Urban Renewal Area
("District") is both necessary and appropriate; and 2) sets a public hearing on the
proposed Plan for October 5th ,2026.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
v
Mic ael C. Van Milligen
MCVM:sv
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Jill Connors, Economic Development Director
Ian Hatch, Assistant Economic Development Director
THE CITY OF
DUB E
Masterpiece on the Mississippi
Dubuque
All -America City
1 1111 1
2007• 2012• 2013• 2017
TO: Michael Van Milligen, City Manager
FROM: Ian Hatch, Assistant Economic Development Director
Economic Developme
Department
50 West 13th Street
Dubuque, Iowa 52001
Office (563) 589-4393
TTY (563) 690-6678
http://www.cityofdul
SUBJECT: Resolution of Necessity for the proposed Amended and Restated
Urban Renewal Plan for the Peru Road Urban Renewal Area, Version
2026.1
DATE: August 25, 2026
INTRODUCTION
This memorandum presents for City Council consideration a Resolution of Necessity
that: 1) finds that a proposed Amended and Restated Peru Road Urban Renewal Plan
("Plan") for the Peru Road Urban Renewal Area ("District") is both necessary and
appropriate; and 2) sets a public hearing on the proposed Plan for October 5th ,2026.
BACKGROUND
The Peru Road Urban Renewal Area was originally established in December 2017 to
allow the City to capture tax increment revenue to support redevelopment, primarily the
demolition and redevelopment of the soon -to -be -vacated Flexsteel manufacturing
facility. The Urban Renewal Plan was updated in December 2018, when the District was
expanded to include additional property, including the Prairie Farms facility.
At the time, the City was discussing a potential development agreement with Prairie
Farms, and the District was expanded to accommodate future TIF incentives. The 2018
Plan anticipated that Prairie Farms TIF rebates would not exceed $420,000. The
District's TIF ordinance was also repealed with the intent of adopting a new ordinance
after the Flexsteel site was demolished.
The City Council subsequently approved a development agreement with Prairie Farms
on March 18, 2019. However, the Urban Renewal Plan was not updated and a new TIF
ordinance was not adopted. As a result, there is currently no active TIF ordinance for
the Peru Road Urban Renewal Area.
Before a municipality may exercise the authority provided under Chapter 403 of the
Iowa Code, the City Council must adopt a Resolution of Necessity finding that the area
qualifies as a slum, blighted, or economic development area and that redevelopment or
related activities are necessary for the public health, safety, or welfare. The Resolution
also begins the required consultation process with the County and School District.
DISCUSSION
City staff recently identified that Prairie Farms TIF rebates had been paid from the
Greater Downtown Urban Renewal Area rather than the Peru Road Urban Renewal
Area. A total of $41,739.39 was paid from November 2022 through November 2025.
The Finance Department, Economic Development Department, and City Attorney's
Office have developed a plan to repay the Greater Downtown Urban Renewal Area fund
using Greater Downtown Loan Pool funds.
To properly administer the remaining Prairie Farms TIF rebates, the City must adopt a
TIF ordinance for the Peru Road Urban Renewal Area. This will allow the City to certify
the related debt, begin collecting tax increment from the correct area, and make the
remaining payments required under the development agreement.
The need to establish the TIF ordinance also provides an opportunity to update the
2018 Urban Renewal Plan. The Plan contains outdated references to a potential Prairie
Farms development agreement, as well as language that should be revised to reflect
changes to Iowa's urban renewal and property tax laws, including the 2026 Property
Tax Law, SF 2472.
The proposed Plan would also remove the former Flexsteel site, currently identified as
Subarea A, from the Peru Road Urban Renewal Area. The property would instead be
placed in a new, separate urban renewal area, proposed as the North Jackson Urban
Renewal Area.
This change is important because certifying the Prairie Farms TIF debt will begin the
statutory 23-fiscal-year Iifespan of the Peru Road Urban Renewal Area. Because
redevelopment of the former Flexsteel site is not currently underway, leaving the
property in the existing District could cause several years of its TIF Iifespan to pass
before redevelopment occurs. Establishing a separate urban renewal area would allow
the City to begin capturing tax increment on the property when a redevelopment project
emerges, thereby maximizing the property's future use of TIF.
The 2026 property tax changes also create an urgency to amend the District boundaries
so the former Flexsteel site can be placed in a separate urban renewal area and retain
the ability to capture the School Foundation levy under the applicable statutory
framework.
The Amended and Restated Plan will therefore address three primary items:
• Update the list of urban renewal projects and development agreements;
• Update the Plan's language to reflect current Iowa urban renewal and property
tax laws; and
• Amend the District boundaries to remove the former Flexsteel site for inclusion in
a separate urban renewal area.
A public building analysis will also be required if the Plan includes the use of tax
increment revenues for a public building.
A City Council public hearing on the Amended and Restated Urban Renewal Plan is
scheduled for October 5, 2026. The public notice will be published four to twenty days
before the meeting, allowing time for completion of the Plan, any required public
building analysis, and consultation with the taxing entities.
RECOMMENDATION/ ACTION STEP
I recommend the City Council adopt the attached Resolution of Necessity to begin the
process of amending and restating the Urban Renewal Plan for the Peru Road Urban
Renewal Area, including the changes described above and any other updates
determined to be necessary.
Prepared by Joe Link Economic Development 1300 Main Street Dubuque IA 52001 (563) 589-4393
Return to Adrienne N. Breitfelder, City Clerk, 50 W. 1311 St., Dubuque, IA 52001, (563) 589-4100
RESOLUTION NO. 334-26
A RESOLUTION OF NECESSITY FINDING THAT UPDATES TO THE PERU ROAD
URBAN RENEWAL PLAN ARE NECESSARY AND THAT CERTAIN AREAS IN THE
PERU ROAD URBAN RENEWAL AREA SHOULD BE REMOVED FROM THE AREA,
AND SETTING DATES OF HEARING AND CONSULTATION ON A PROPOSED
AMENDED AND RESTATED URBAN RENEWAL PLAN FOR SAID AREA
WHEREAS, the City Council of the City of Dubuque has heretofore approved the
Urban Renewal Plan for the Peru Road Urban Renewal Area (the "Area") in order to
provide redevelopment opportunities which will further the purposes and objectives of the
foregoing Urban Renewal Plan; and
WHEREAS, City staff has recommended that the Area be reduced by removing
Subarea A and that a proposed Amended and Restated Urban Renewal Plan (the "Plan")
be prepared to remove such area and to update urban renewal project descriptions and
make any other necessary revisions; and
WHEREAS, Chapter 403 of the Iowa Code requires that before urban renewal
authority may be exercised, a City Council must adopt a resolution of necessity finding
that the area in question is a slum, blighted, or economic development area, and that so
designating such area is necessary in the interest of the public health, safety, or welfare
of the residents of the municipality.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the removal of Subarea A from the Peru Road Urban Renewal
Area is necessary and appropriate to facilitate the proper growth and development of the
community in accordance with sound planning and local community objectives.
Section 2. That the City Manager is authorized and directed to prepare an
Amended and Restated Urban Renewal Plan for the Area to accomplish the foregoing
purposes and objectives, to include in such Plan any appropriate project activities and
details, and to determine an appropriate date for and conduct the consultation process
required by law with affected taxing entities concerning the proposed Plan.
Section 3. That the City Council hold a public hearing on the adoption of the
proposed Amended and Restated Urban Renewal Plan for the Peru Road Urban Renewal
Area on October 5, 2026, at 6:30 p.m. in the Historic Federal Building, 350 West 6th
Street, Dubuque, Iowa 52001. The notice of said hearing shall generally identify the areas
covered by the Plan and the general scope of the urban renewal activities planned for
such areas, and said notice shall be published and available to the public not less than
four (4) days nor more than twenty (20) days before the date of said meeting.
Section 4. That the Economic Development Director is directed to send by
ordinary mail a copy of said Amended and Restated Urban Renewal Plan, the notice of
public hearing, a notice of consultation, and, to the extent the Amended and Restated
Urban Renewal Plan includes the use of tax increment revenues for a public building, an
analysis of alternative development and funding options for such public buildings, to the
Dubuque Community School District and the Dubuque County Board of Supervisors, as
the affected taxing entities.
PASSED, APPROVED, and ADOPTED this 8th day of September, 2026.
ATTEST:
Adrienne N. Breitfelder, Itity Clerk
CITY OF DUBUQUE, IOWA
OFFICIAL NOTICE
PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, Iowa, will
hold a public hearing on the 5th day of October, 2026, at 6:30 p.m. in the Historic
Federal Building, City Council Chambers (Second Floor), 350 West 6th Street,
Dubuque, Iowa. At said meeting, the City Council will consider a proposed Amended
and Restated Urban Renewal Plan (the "Plan") for the Peru Road Urban Renewal Area
(the "Area").
The Plan, if approved, would update the list of urban renewal projects to reflect
previously approved development agreements, update language to reflect recent
changes in Iowa urban renewal law, and remove land from the Area to allow it to be
placed in a different Urban Renewal Area. The portion of land to be removed is known
as Subarea A.
The area to be removed, referred to as Subarea A of the Area, includes the properties
described as follows:
Commencing at the intersection of the southerly right of way line of East 32nd
Street and the westerly right of way line of Jackson Street; thence southwesterly
along the southerly right of way line of East 32nd Street to the intersection of the
southerly right of way line of East 32nd Street and the westerly right of way line of
Central Avenue; thence northwesterly along the westerly right of way line of
Central Avenue to the intersection of the northerly right of way line of Aquin
Street and its westerly extension; thence northeasterly along the northerly right of
way line of Aquin Street to the intersection of the northerly right of way line of
Aquin Street and the westerly right of way line of Jackson Street; thence
southeasterly along the westerly right of way line of Jackson Street to the point of
beginning
all in the City of Dubuque, Iowa.
Copies of the proposed Amended and Restated Plan, the current Urban Renewal Plan
for the Area, and any supporting documents for the public hearing are on file in the City
Clerk's Office, 50 W. 13th Street, and may be viewed during normal working hours.
Any visual or hearing -impaired persons needing special assistance or persons with
special accessibility needs should contact the City Clerk's Office at (563) 589-4120 or
TTY (563) 690-6678 at least forty-eight (48) hours prior to the meeting.
Published by order of the City Council given on the 8t" day of September, 2026.
Adrienne N. Breitfelder, City Clerk
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