Urban Renewal Plan Dubuque Industrial CenterDubuque
THE CITY OF
~.,~.
DLTB E ~'-~~;~~~y
Masterpiece on the Mississippi
2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Resolution of Necessity for an Amended and Restated Urban Renewal
Plan for the Dubuque Industrial Center Economic Development District
DATE: February 21, 2008
Economic Development Director Dave Heiar is recommending adoption of a Resolution
of Necessity that begins the process of amending the Urban Renewal Plan for the
Dubuque Industrial Center Economic Development District to expand the district to
include the Rail Site. He further recommends that a public hearing be scheduled for
April 7, 2008.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
~~ ~ !~~
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David J. Heiar, Economic Development Director
T~-C~ CI'T'Y C7F ~~,,,..
~V~
rVrasterpiece ~~ the lUlisss~ip~i
Dubuque
~~
A~-AmericaCity
2007
February 19, 2008
TO: Michael Van Milligen, City Manager
FROM: David J. Heiar, Economic Development Director
SUBJECT: Resolution of Necessity for an Amended and Restated Urban
Renewal Plan for the Dubuque Industrial Center Economic
Development District
Introduction
This memorandum presents for City Council consideration a Resolution of Necessity
that: 1) finds that the amendment of the Urban Renewal Plan for the Dubuque
Industrial Center Economic Development District is both necessary and appropriate;
and 2) sets a public hearing on the proposed amendment for April 7, 2008.
The proposed amendment of this district would expand the district to include an area
known as the Rail Site (See Attached Map).
Background
The Dubuque Industrial Center Economic Development District was created on May 2,
1988. The District is an urban renewal area which allows the City of Dubuque to capture
tax increment revenue from improvements made in the District. The original area
included the Dubuque Industrial Center (known as Subarea A) and was expanded in
November 1997 to include the Dubuque Industrial Center West, the County Farm, the
Bergfeld Farm, and the North Siegert Farm (known as Subarea B). On January 7,
2008, the Urban Renewal Plan was amended to remove the North Siegert Farm and an
area known as the Rail Site.
The Iowa Code places a limit of 20 years on the utilization of TIF revenues from
"economic development" urban renewal areas created after January 1995. As
mentioned, the North Siegert Farm and Rail Site were placed in the District when it was
amended in 1997. Since TIF revenue has not been collected or utilized from this portion
of the District, the City recently removed the North Siegert Farm and Rail Site from the
Urban Renewal District. When these parcels were removed from the District, it was
anticipated that at some future date, the City Council could determine to put all or
portions of these parcels back into the District, or into a new urban renewal area, and
give this new subarea its own 20-year period of tax increment collections to assist in job
creation and new development.
Before a municipality can exercise the authority conferred by Chapter 403 "Urban
Renewal" of the Iowa Code, a Resolution of Necessity must be adopted finding that the
area being considered for urban renewal district designation is either a slum, blighted or
economic development area and that the rehabilitation, conservation, redevelopment,
development, or a combination thereof, of the area is necessary in the interest of the
public health, safety or welfare of the residents of the city.
The Iowa Code defines a blighted area as, "an area of a municipality within which the
local governing body of the municipality determines that the presence of a substantial
number of slum, deteriorated, or deteriorating structures; defective or inadequate street
layout; faulty lot layout in relation to size, adequacy, accessibility, or usefulness;
unsanitary or unsafe conditions; deterioration of site or other improvements; diversity of
ownership, tax or special assessment delinquency exceeding the fair value of the land;
defective or unusual conditions of title; or the existence of conditions which endanger
life or property by fire and other causes; or any combination of these factors;
substantially impairs or arrests the sound growth of a municipality, retards the provision
of housing accommodations, or constitutes an economic or social liability and is a
menace to the public health, safety, or welfare in its present condition and use". An
economic development area is defined as, "an area of a municipality designated by the
local governing body as appropriate for commercial and industrial enterprises or
housing and residential development for low and moderate income families, including
single or multifamily housing." The rail site will be designated as an economic
development area.
Discussion
The proposed amendment to the Urban Renewal Plan will expand the District to include
the Rail Site as a new Subarea D. This amendment will give the area access to the
tools and incentives available to urban renewal district properties, namely tax increment
financing.
I recommend expanding the District and amending the Urban Renewal Plan to include
the Rail Site because Hormel now has decided they want to construct their new
manufacturing facility on this land. Although Hormel Food Corp. does not intend to use
rail service, the Company needs a 40 acre site that is ready for immediate construction.
The Company has informed the City that its initial choice for a site (the North Siegert
Farm) will not be suitable after all, and the City has no other parcel that is "spade ready"
and large enough to accommodate this project. TIF benefits will be a part of the
incentive package to Hormel so the site will need to be in the urban renewal area.
The attached Resolution directs staff to prepare an amendment to the Amended and
Restated Urban Renewal Plan and to forward the amendment to the Long Range
Planning Commission for their review and comment. This is required by Chapter 403
along with a consultation process that involves all affected taxing entities. Those taxing
entities, the County, School Board and Northeast Iowa Community College, have an
opportunity to comment on the proposed amendment prior to the required public
hearing, but they cannot block adoption of the amendment.
City Council public hearing on the amendment to the Amended and Restated Urban
Renewal Plan will be scheduled for April 7, 2008. The public notice will be published
March 21, 2008 to allow for the appropriate reporting requirements. This will allow time
for preparation of the amendment, review and comment period by the Long Range
Planning Commission and the consultation process with the taxing entities.
Recommendation
I recommend the City Council adopt the attached Resolution of Necessity that begins
the process of amending the Urban Renewal Plan for the Dubuque Industrial Center
Economic Development District to expand the District to include the Rail Site.
The amendment will provide additional tools to encourage reinvestment and
redevelopment activities throughout the District and will support the revitalization within
the area.
Action Step
The action step for the City Council is to adopt the Resolution of Necessity attached to
this memorandum.
Attachments
F:\USERSWdejong\Urban Renewal\Dubuque Industrial Center UR District\2008.3 DIC Urban Renewal Plan\20080219 Necessary
Memo.doc
RESOLUTION NO. 76-08
A RESOLUTION OF NECESSITY FINDING THAT CERTAIN AREAS
ADJACENT TO THE DUBUQUE INDUSTRIAL CENTER ECONOMIC
DEVELOPMENT DISTRICT MEET THE DEFINITION OF AN ECONOMIC
DEVELOPMENT AREA UNDER THE URBAN RENEWAL LAW, AND THAT
DEVELOPMENT OF SAID AREAS IS NECESSARY IN THE INTEREST OF
THE RESIDENTS OF THE CITY OF DUBUQUE, IOWA.
Whereas, the City Council of the City of Dubuque has heretofore, by Resolution
No. 15-08 adopted on January 7, 2008, approved the Amended and Restated Urban
Renewal Plan for the Dubuque Industrial Center Economic Development District (the
"District") in order to provide redevelopment opportunities which will further the
purposes and objectives of the foregoing Urban Renewal Plan; and
Whereas, the City Council has found that certain areas adjacent to the District
meet the definition of an economic development area as found in Chapter 403 "Urban
Renewal" of the Iowa Code; 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 following described area, which is proposed to be added to
the Dubuque Industrial Center Economic Development District, is an economic
development area as defined by Chapter 403 of the Iowa Code and is appropriate for
an urban renewal project, to wit:
Lot 4 of Dubuque Industrial Center West 5th Addition, and Lot B
of Dubuque Industrial Center West 5th Addition in the City of
Dubuque, Iowa.
Section 2. That the development of the above-described expansion 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 3. That the City Manager is authorized and directed to prepare an
amendment to the Amended and Restated Urban Renewal Plan for the Dubuque
Industrial Center Economic Development District for the purpose of including the above-
described area in the District, to forward said amendment to the City's Long Range
Planning Commission for review and comment, and to begin the consultation process
required by law with affected taxing entities.
Section 4. That the City Clerk is directed to publish notice of a public hearing on
the adoption of the proposed amendment to the Amended and Restated Urban
Renewal Plan for the Dubuque Industrial Center Economic Development District to be
held on April 7th, 2008 at 6:30 p.m. in the Historic Federal Building, 350 West 6th
Street, Dubuque, Iowa 52001 and that said notice shall generally identify the areas
covered by the Amended and Restated Plan, the areas proposed to be added to the
District, and the general scope of the urban renewal activities planned for such areas,
and that said notice shall be published and available to the public on March 21, 2008.
Section 5. That the City Clerk is further directed to send by ordinary mail a copy
of said notice of public hearing and the proposed amendment to the Dubuque
Community School District, the County Board of Supervisors and the Northeast Iowa
Community College, as the affected taxing entities.
PASSED, APPROVED and ADOPTED this 3rd day of March, 2008.
Roy D. Buol, Mayor
ATTEST:
Jeanne F. Schneider, City Clerk
F:\USERS\Adejong\Urban RenewallDubuque Industrial Center UR District\2008.3 DIC Urban Renewal Plan\20080303 Necessary
Resolution.doc
CITY OF DUBUQUE, IOWA
OFFICIAL NOTICE
NOTICE is hereby given that the Dubuque City Council will conduct a public
hearing on April 7"', 2008 at 6:30 p.m., in the City Council Chambers at the Historic
Federal Building, 350 W. 6th St., Dubuque, Iowa, concerning a proposed amendment to
the Amended and Restated Urban Renewal Plan for the Dubuque Industrial Center
Economic Development District ("District"). The proposed amendment identifies certain
areas which are proposed to be added to the District, and which are expected to be
developed for manufacturing facilities and related uses. The areas to be so included in
the District have been determined by the City Council to be economic development
areas as defined by Chapter 403 of the Iowa Code and appropriate for an urban
renewal project, to wit:
Lot 4 of Dubuque Industrial Center West 5~' Addition, and Lot B
of Dubuque Industrial Center West 5th Addition in the City of
Dubuque, Iowa.
All current provisions of the Amended and Restated Urban Renewal Plan would be
applicable to the expansion area and remain in full force and effect. A copy of the
Amended and Restated Urban Renewal Plan for the Dubuque Industrial Center
Economic Development District is on file in the City Clerk's Office and may be viewed
during normal working hours.
Written comments regarding the above amendment may be submitted to the City
Clerk's Office on or before said time of public hearing.
At said time and place of public hearing all interested citizens and parties will be given
an opportunity to be heard for or against said amendment.
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
TDD (563) 590-6678 at least 48 hours prior to the meeting.
Published by order of the City Council given on the 3~d day of March, 2008.
Jeanne F. Schneider, CMC
City Clerk