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Radford Road Urban Renewal Area - Resolution of Necessity_Initiate Copyrighted September 8, 2020 City of Dubuque Items to be set for Public Hearing # 4. City Council Meeting ITEM TITLE: Radford Road Urban Renewal Area- Resolution of Necessity SUM MARY: City Manager consideration of a resolution that authorizes and directs the City Manager to prepare a proposed Urban Renewal Plan (the "Plan")for the Radford Road Urban Renewal District (the "District")and sets a public hearing on the proposed Urban Renewal Plan for September 28, 2020. RESOLUTION Authorizing and directing the City Manager to prepare an Urban Renewal Plan for the Radford Road Urban Renewal District and setting the date for a public hearing and consultation on the proposed Urban Renewal Plan for said District SUGGESTED Receive and File;Adopt Resolution(s), Set Public Hearing for DISPOSITION: September 28, 2020Suggested Disposition: ATTACHMENTS: Description Type Resolution of Necessity-Radford Road Urban Renewal City Manager Memo Area-MVM Memo Staff Memo Staff Memo Attachment A- area map Supporting Documentation Attachment B - legal of new Urban Renewal Area Supporting Documentation Notice of Hearing Supporting Documentation Resolution Setting Public Hearing Resolutions Dubuque THE CITY OF � ui-Aseria cih DuB E , . � . , � II � Maste iece on tj2e Mississi i zoo�•zoiz•zois YP pp zoi�*zoi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Resolution of Necessity for the Proposed Urban Renewal Plan for the Radford Road Urban Renewal District DATE: September 2, 2020 Economic Development Director Jill Connors is recommending City Council consideration of a resolution that authorizes and directs the City Manager to prepare a proposed Urban Renewal Plan (the "Plan") for the Radford Road Urban Renewal District (the "District") and sets a public hearing on the proposed Urban Renewal Plan for September 28, 2020. I concur with the recommendation and respectfully request Mayor and City Council approval. � Mic ael C. Van Milligen MCVM:sv Attachment cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manager Cori Burbach, Assistant City Manager Jill Connors, Economic Development Director Dubuque Economic Development Department THE CITY OF � 1300 Main Street All•America Eity Dubuque,lowa 52001-4763 �� � "h�N",`��nz�'��:�:��� Office(563)589-4393 1 I ��� TTY(563)690-6678 http://www.cityofd u bu q ue.org zoo�=zoiz*zo�3 Masterpiece on the Mississippi �oi�*Zoi9 TO: Michael C. Van Milligen, City Manager FROM: Jill M. Connors, Economic Development Director SUBJECT: Resolution of Necessity for the Proposed Urban Renewal Plan for the Radford Road Urban Renewal District DATE: August 27, 2020 INTRODUCTION This memorandum presents for City Council consideration a resolution that authorizes and directs the City Manager to prepare a proposed Urban Renewal Plan (the "Plan") for the Radford Road Urban Renewal District (the "District") and sets a public hearing on the proposed Urban Renewal Plan for September 28, 2020. The District would include property adjacent to Radford Road near Wolff Road. A map is attached to show the boundaries. BACKGROUND The Developer, Gardens of Dubuque, LLC, is proposing to build a 50-unit mixed-income housing facility along Radford Road, between Wolff Road and Carver Drive. The building will be three stories with a surface parking lot and a small playground. A mix of one-, two-, and three-bedroom units will be available with a range of affordable rents based on county median income and the affordable housing tax credit program. The property will be purchased by the Developer and has already been zoned to accommodate the multi-residential project. In order to cash flow this project that meets a housing need in Dubuque, the project will take on a private loan at closing, the beginning of the construction period. Multi- residential loans are typically underwritten such that projects must maintain enough income to support the required debt service. The project is also being assisted with Affordable Housing Tax Credits and a permanent mortgage. It is appropriate to consider this property as part of the City of Dubuque's Urban Renewal Program. The current property is vacant and therefore under-utilized. It had been zoned Industrial and had been for sale for many years with no activity. A better use for the property would be for multi-residential use which is commonly proposed as a buffer between institutional uses, such as schools, and higher intensity uses. The property was, therefore, "downzoned" to a more appropriate use for the 50-unit affordable housing development. There will be significant positive impact from the proposed development. The new housing development will provide much needed affordable housing in an area of town where currently none exists. It will also provide a buffer from the industrial uses on properties adjacent to the south and the Eleanor Roosevelt Middle School adjacent to the north. A neighborhood meeting was held in August 2019 where the Developer discussed the development and answered questions the neighbors had. The developer received positive feedback from the neighbors. Without the support of the City of Dubuque, the proposed project would not be financially feasible. DISCUSSION The creation of the Radford Road Urban Renewal District will allow for the necessary incentives for this project to meet its debt service requirements, therefore meeting the need for additional affordable housing on Dubuque's West End. It will also allow for future development in the area, as the District is larger than the project's footprint. The attached resolution directs staff to prepare an Urban Renewal Plan, to include the urban renewal projects that are currently expected to be undertaken in the District, as required by lowa Code Chapter 403, along with a consultation process that provides the Dubuque County Board of Supervisors and Dubuque Community School District Board of Directors an opportunity to comment on the proposed Urban Renewal Plan prior to the required City Council public hearing. A City Council public hearing on the proposed Urban Renewal Plan will be scheduled for September 28, 2020. The public notice will be published the required four-to-twenty days before the meeting which will allow time for preparation of the Urban Renewal Plan and the consultation process with the taxing entities. 2 RECOMMENDATION/ ACTION STEP I recommend the City Council adopt the attached Resolution of Necessity that begins the process of creating an Urban Renewal Plan for the Radford Road Urban Renewal District to include the above-described area and any other applicable projects located in the District, as necessary. 3 Prepared by Jill Connors, Economic Development, 1300 Main St., Dubuque, IA 52001, 563-589-4393 Return to Kevin Firnstahl, City Clerk, 50 W. 13th St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 282-20 AUTHORIZING AND DIRECTING THE CITY MANAGER TO PREPARE AN URBAN RENEWAL PLAN FOR THE RADFORD ROAD URBAN RENEWAL DISTRICT AND SETTING THE DATE FOR A PUBLIC HEARING AND CONSULTATION ON THE PROPOSED URBAN RENEWAL PLAN FOR SAID DISTRICT Whereas, the City Council has determined that the active development of vacant property for low-income and mixed -income housing is a beneficial use that will enhance the City's ongoing economic development efforts; and Whereas, the City Council has determined that the area described in Section 1 below meets the definitions of an economic development area as defined in Chapter 403 "Urban Renewal" of the Iowa Code; and Whereas, a significant need for affordable and mixed -income housing units exists in the community and local resources are needed to advance the development; and Whereas, Iowa Code Chapter 403 requires that before urban renewal authority may be exercised, the 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 THAT: Section 1. The following described area 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 1-1 and Lot 2-1 of Wolff Place No. 2, in the City of Dubuque, Iowa, excepting all that part of the Right of Way of Radford Road lying within said Lot 2-1 All in the City of Dubuque, Iowa, hereinafter called the Radford Road Economic Development District. Section 2. The development of the Radford Road Economic Development District 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. The development of the Radford Road Economic Development District will provide new opportunities for quality housing in the community. Section 4. The City Manager is authorized and directed to prepare an Urban Renewal Plan for the Radford Road Economic Development District, to forward said Plan 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 5. The City Clerk is directed to publish notice of a public hearing on the adoption of an Urban Renewal Plan for the Radford Road Economic Development District to be held on the 28th day of September 2020, at 6:30 p.m. in the form provided. Section 6. The Economic Development Director is directed to send by ordinary mail a copy of the proposed Urban Renewal Plan, the notice of public hearing, a notice of consultation to the Dubuque Community School District Board of Education and Dubuque County Board of Supervisors, as the affected taxing entities. Passed, approved and adopted this 8th day of September 2020. // LA-, Roy D. Buol, Mayor Attest: ( Key1r1 S. 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'r :�: � ; �: � �, `"�'y' c.�� y.C„ :-�.�." �.�,; �� Attachment B Radford Road Economic Development District Dated August 27, 2020 District Boundary Description The District shall include the following described area: Lot 1-1 and Lot 2-1 of Wolff Place No. 2, in the City of Dubuque, lowa, excepting all that part of the Right of Way of Radford Road lying within said Lot 2-1 All in the City of Dubuque, lowa 1 CITY OF DUBUQUE, IOWA OFFICIAL NOTICE PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, lowa, will hold a public hearing on the 28t" day of September, 2020, at 6:30 p.m. Due to the ongoing COVID-19 pandemic, the City Council will meet virtually through GoToMeeting. The official agenda will be posted on Friday, September 25, 2020 and will contain listening, viewing, and public input options. The City Council agenda can be accessed at https://cityofdubuque.novusagenda.com/AgendaPublic/ or by contacting the City Clerk's Office at 563-589-4100, ctyclerk(c�cityofdubuque.orq., At said meeting the City Council will the creation of an Urban Renewal Plan for the Radford Road Urban Renewal District ("District"). The proposed Urban Renewal Plan, if approved, would provide information concerning the urban renewal projects to be undertaken in accordance with the proposed Urban Renewal Plan. The proposed Urban Renewal Plan would create the District. The general scope of urban renewal activities under consideration in the proposed Urban Renewal Plan includes the promotion of economic development. Proposed activities under the proposed Urban Renewal Plan include a proposed agreement to incentivize private development, and the use of tax increment financing to support and incentivize other urban renewal projects described in the Plan. At the above meeting, the City Council will receive oral and written comments from any resident or property owner of said City to the above action. Written comments regarding the proposed Plan may be submitted to the City Clerk's Office by noon on the date of said public hearing. 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 48 hours prior to the meeting. Published by order of the City Council given on the 8t" day of September, 2020. Kevin S. Firnstahl, CMC, City Clerk