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Greater Downtown Urban Renewal District_South Bluff Street Subarea_InitiateMasterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager Dubuque kralli AlwimedcaCity I 2007 SUBJECT: Resolution of Necessity for an Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal District DATE: January 11, 2011 Economic Director David Heiar is recommending a Resolution of Necessity that: 1) finds that the amendment of the Urban Renewal Plan for the Greater Downtown Urban Renewal District is both necessary and appropriate; and 2) set a public hearing on the proposed amendment for March 7, 2011. The proposed amendment of this district would expand the district to include the South Bluff Street Subarea. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM:Iw Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager David Heiar, Economic Development Director MioIIael C. Van Milligen Masterpiece on the Mississippi DATE: January 11, 2011 TO: Michael Van Milligen, City Manager FROM: David J. Heiar, Economic Development Directo Dubuque bfrd All- AmeicaIX 2007 SUBJECT: Resolution of Necessity for an Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal 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 Greater Downtown Urban Renewal District is both necessary and appropriate; and 2) sets a public hearing on the proposed amendment for March 7, 2011. The proposed amendment of this district would expand the district to include the South Bluff Street Subarea (See Attached Map). Background The Downtown Dubuque Urban Renewal District was originally established in 1967. It has been amended and restated on several occasions over the years to expand the boundaries to include the Old Main area, the Iowa Inn property, Dubuque Museum of Art, Historic Federal Building, Locust Street Parking Ramp, the Carnegie -Stout Public Library, the South Main area, the Warehouse District, the South Port area, the Cable Car area and the Bluff Street area. On April 19 2004, the Downtown Dubuque Urban Renewal was merged with the Ice Harbor Urban Renewal District. By combining the two districts, both public and private development efforts have benefited from greater flexibility in the use of tax increment financing in the larger district. 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 Bluff Street Subarea will be designated as a blighted area. Discussion The amendment to the Urban Renewal Plan will expand the district to include the South Bluff Street area. This amendment will give this area access to the tools and incentives available to urban renewal district properties, including tax increment financing, the Downtown Rehabilitation Loan Program, and the Housing Incentive Program. The attached Resolution directs staff to prepare an Amended and Restated Urban Renewal Plan and to forward the Plan 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 community college, have an opportunity to comment on the proposed Plan prior to the required public hearing on the Urban Renewal Plan, but they cannot block adoption of the plan. This expansion will encourage continued investment within the downtown area. A City Council public hearing on the amended and restated Urban Renewal Plan will be scheduled for March 7, 2011. The public notice will be published four to twenty days before the meeting to allow for the appropriate publication requirements. This will allow time for preparation of the plan, 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 Greater Downtown Urban Renewal District to expand the district to include the Bluff Street Subarea. 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. F: \USERS \Eton Dev \Urban Renewal \Greater Downtown UR District\2011.1 Amendment\20110111 Necessary Memo.doc RESOLUTION NO. 21 -11 A RESOLUTION OF NECESSITY FINDING THAT CERTAIN AREAS ADJACENT TO THE GREATER DOWNTOWN URBAN RENEWAL DISTRICT MEET THE DEFINITION OF A BLIGHTED 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. 269 -10 adopted on July 19, 2010, approved the Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal District (a merger of the Downtown Dubuque and Ice Harbor Urban Renewal Districts) (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 a blighted 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 generally described area, which is proposed to be added to the Greater Downtown Urban Renewal District, is a blighted area as defined by Chapter 403 of the Iowa Code and is appropriate for an urban renewal project, to wit: South Bluff Street Subarea Commencing as a point of reference at the intersection of the centerlines of Emmett Street and Bluff Street in the City of Dubuque, Dubuque County, Iowa, said point being the point of beginning; thence southeasterly along the centerline of Bluff Street to a point of intersection with the centerline W. First Street; thence southwesterly along the centerline W. First Street to the centerline of Bluff Street; thence southwesterly along the centerline of Bluff Street to a point of intersection with the centerline Dodge Street; thence southwesterly along the centerline Dodge Street to a point of intersection with the easterly line of Lot 3 of City Lot 694 extended southeasterly; thence northwesterly along the easterly line of said Lot 3 of City Lot 694 and Lot 1 -1 and 2 -1 of City Lot 694 to the southwest corner of Lot 1 -2 of City Lot 694; thence northeasterly along said southerly line of said Lot 1 -2 of City Lot 694 to the southeast corner of said Lot; thence northwesterly along said easterly line of Lot 1 -2 of City Lot 694 to a point of intersection with the southerly line of Lot 12 of Saint Raphael's Addition; thence northeasterly along said southerly line of said Lot 12 and extension thereof to the centerline of St. Mary's Street; thence northwesterly along the centerline of St. Mary's Street to a point of intersection with the centerline of Emmett St.; thence northeasterly along the centerline of Emmett St. to centerline of Bluff Street, said point being point of beginning. 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 Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal District for the purpose of including the above - described areas 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 Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal District to be held on March 7, 2011 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 not less than four days nor more than twenty days before the date of said meeting. A copy of the notice of public hearing shall be sent by ordinary mail to the affected taxing entities. Section 5. That the City Clerk is further directed to send by ordinary mail a copy of said Plan and notice of public hearing to the Dubuque Community School District, the County Board of Supervisors and the Northeast Iowa Community College, as the affected taxing entities. ATT - ST: PASSED, APPROVED and ADOPTED this 18 day of Janu -ry, 2011. anne F. Schneider, City Clerk Roy D. Buol, Mayor F: \USERS \Econ Dev \Urban Renewal \Greater Downtown UR District\2011.1 Amendment\20110118 Necessary Resolution.doc \\ -0 Greater Downtown Urban Renewal District Version 2011.1 " Attachment A /1 inch = 900 feet District Subareas Bluff Street Subarea Cable Car Subarea Ice Harbor Subarea A Ice Harbor Subarea B Ice Harbor Subarea C Old Main Subarea South Bluff Subarea South Main Subarea South Port Subarea Town Clock Subarea Upper Main Subarea Warehouse Subarea A