Lake Ridge Economic Development District Urban Renewal PlanMasterpiece on the Mississippi
Dubuque
All-America City
1 16
'
2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Urban Renewal Plan for the Lake Ridge Economic Development District
DATE: July 23, 2011
Economic Development Director Dave Heiar recommends City Council approval of an
Urban Renewal Plan for the Lake Ridge Economic Development District. This district
would include property along Lake Ridge Drive near Cedar Cross Road. Creation of
this plan would provide these areas access to the tools and incentives available to
urban renewal district properties, including tax increment financing.
Rose Development, controlled by Greg McClenahan, is proposing to build a $9.3 million
70 -unit `affordable assisted living facility' on Lake Ridge Drive. This would be the sixth
Rose development built in Iowa since 2005. The others are located in Ames, Des
Moines, East Des Moines, Waterloo and Council Bluffs.
Residents in these projects must all qualify by income, at 60% or less of area median
income.
There is no other similar facility in Dubuque. The only assisted senior housing is offered
at market rates. In March, the City Council approved an application by The Rose for
IFA financing. The City also committed local match if IFA tax credits were secured.
Recently, IFA has announced an award of tax credits toward this project.
With a total development (less land) cost of $9.3 million, McClenahan requested a
yearly commitment of $19,355 for 10 years. This can be done through Tax Increment
Financing. This commitment would allow the project to borrow $185,000 out of IFA's
Senior Living Loan program, a 1% interest loan program to assist project like the Rose
of Dubuque.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
ichael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David J. Heiar, Economic Development Director
2
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: David J. Heiar, Economic Development Director
SUBJECT: Urban Renewal Plan for the Lake Ridge Economic Development
District
DATE: July 21, 2011
Dubuque
AI- Ammica tdy
2007
Introduction
The purpose of this memorandum is to forward for City Council review and approval of
an Urban Renewal Plan for the Lake Ridge Economic Development District. The
proposed creation this district would include property along Lake Ridge Drive near
Cedar Cross Road. The Plan and Resolution adopting the Plan are attached.
Background
On June 20, 2011, the City Council approved a Resolution of Necessity finding that the
proposed area was an economic development area and appropriate for urban renewal
activities. Staff has prepared an Urban Renewal Plan for the area as per the directive
of the City Council.
A consultation process was conducted with the affected taxing entities as required by
State Law. The required consultation with affected taxing bodies was held on June 12,
2011. No objections were received.
The Plan was reviewed by the Long Range Planning Commission on July 20, 2011.
The Long Range Planning Commission has forwarded its recommendation to the City
Council affirming that the Plan is consistent with the City's Comprehensive Plan for
development.
Discussion
The Urban Renewal Plan will create a district to include property along Lake Ridge
Drive near Cedar Cross Road (see Attachment A of the Urban Renewal Plan for a
map). The plan would provide these areas access to the tools and incentives available
to urban renewal district properties, including tax increment financing.
Rose Development, controlled by Greg McClenahan, is proposing to build a $9.3 million
70 -unit 'affordable assisted living facility' on Lake Ridge Drive. This would be the sixth
Rose development built in Iowa since 2005. The others are located in Ames, Des
Moines, East Des Moines, Waterloo and Council Bluffs. The Police Department
checked and these facilities do not create any policing problems.
The Rose developments have all been assisted by the Iowa Finance Authority through
the Low - Income Housing Tax Credit Program. Award of tax credits reduces the need
for conventional mortgage financing and lowers development costs, allowing lower
rents. McClenahan has additionally used a variety of other assisted financing at his
developments, including urban revitalization tax abatement, enterprise zone credits and
HOME Program grants.
Residents in these projects must all qualify by income, at 60% or Tess of area median
income. Many qualify for Section 8 housing vouchers and Medicaid services. Rents
are capped at no more than 30% of tenant income. The services the resident receives
are provided by a contracted licensed health care provider, such as the VNA. The costs
for those services are paid by Medicaid HCBS waiver programs. With this package of
subsidies, the low- income resident can afford the full spectrum of housing and
supported services that would otherwise approach $3000 per month.
Greg McClenahan provided the Housing Department with documentation outlining the
need for such a facility in Dubuque. He responded that he had reviewed the IFA
market studies performed for the Applewood III (2009) and Dubuque Senior Apartments
(2010) complexes. While these are not assisted facilities, they did document the need
and absorption rates for new affordable senior housing units in Dubuque. Both of these
projects were awarded tax credits by IFA.
McClenahan provided some additional analysis. He stated the existing market rate
Dubuque facilities are beyond the economic means of his target market (under 60%
AMI.) Further, he stated that these facilities do not accept persons using the Medicaid
Waiver — which pays the cost of the supportive services needed by the frail elderly.
Finally, he mentioned that he had conferred with Linda McDonald, Executive Director of
Scenic Valley Agency on Aging, which administers the Medicaid Waiver program
locally. He characterized her position as very supportive of an affordable assisted
facility in Dubuque.
There is no other similar facility in Dubuque. The only assisted senior housing is
offered at market rates. In March, the City Council approved an application by The
Rose for IFA financing. The City also committed local match if IFA tax credits were
secured. Recently, IFA has announced an award of tax credits toward this project.
With a total development (less land) cost of $9.3 million, McClenahan requested a
yearly commitment of $19,355 for 10 years. This can be done through Tax Increment
Financing. This commitment would allow the project to borrow $185,000 out of IFA's
Senior Living Loan program, a 1% interest loan program to assist project like the Rose
of Dubuque.
2
This level of financial assistance in turn allows McClenahan to project 100% of rents
within HUD Fair Market Rent (FMR) guidelines, at $449 /month. This will make 100% of
the units available to our Section 8 seniors, without even needing the higher `exception
rents' we could provide at this location.
And, as mentioned, all units in this facility would then rent at levels affordable to our
Section 8 seniors. That could be a strong inducement for their enrollment in the
Program, increasing their level of participation and further enrolling more Section 8
households at a west side location.
Following the establishment of an Urban Renewal District, the City will negotiate a
development agreement with The Rose to maintain the rent for the units for a 10 year
period at an amount not to exceed the HUD Fair Market Rent with the City providing a
10 year property tax rebate through tax increment financing not to exceed the amount
of taxes allowed to be distributed through TIF based on the assessed valuation or
$19,355 per year, whichever is less.
In return for committing to the annual payment, the City will receive a commitment that
the units in the project are compliant with the HUD Fair Market Rent for the 10 years.
Recommendation
Following the public hearing, I recommend that the attached resolution adopting the
Urban Renewal Plan be approved to support investment efforts in the district.
Action Step
The Action Step for the City Council is to review and approve the resolution to adopt the
Urban Renewal Plan for the Lake Ridge Economic. Development District.
attachments
F: \USERS \Econ Dev \Urban Renewal \Lake Ridge\20110721 Lake Ridge Adopt memo.docx
3
CITY OF DUBUQUE,
IOWA
OFFICIAL NOTICE
NOTICE is hereby
given that the Dubuque
City Council will con -
duct kpublic nearing
on August;��,.," Ui1, at
6:30 prr;,1: City
Council Chambers at
the Historic Federal
Building, 350 W. 6th St.,
to consider adopting
an Urban Renewal Plan
for the Lake Ridge
Economic Development
District. The following
described area, which
is proposed to be
included in the Lake
Ridge Economic Devel-
' opment, Ristri4t, is an
economic development
area as defined by
Chapter 403 of the
Iowa Code and is
' appropriate for an
urban fenewal project,'
to wit:
Lot 2 of Lot :2 of Cedar:
Lake Plaza 3rd Addition
in the City of Dubuque,'
Dubuque County, Iowa.
The City "of Dubuque
reserves the, right to
modify the'boondaries
of the District at some
future date. Any
amendments to the
Plan will be completed
in accordance with
Chapter 403 of the
Iowa Code, Urban
Renewal Law.
A copy of the Lake '
Ridge Economic Devel-
opment District Urban
Renewal Klak is' on file,
in the■ tCit Clerk's
Office :ands niay
viewed- during° °normal
working hours.'
Written comments
regarding the above
amendmeht may be
submitted to the City
Clerk's Office "on or
befor4 said titre of
pubUc 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 need-
ing 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 20th 'day of
June,2011. -
Kevin Firnstahl
Acting City Clerk
it 7/22
STATE OF IOWA {SS:
DUBUQUE COUNTY
CERTIFICATION OF PUBLICATION
I, Kathy Hefel - Goetzinger, a Billing Clerk for Woodward Communications, Inc.,
an Iowa corporation, publisher of the Telegraph Herald,a newspaper of general
circulation published in the City of Dubuque, County of Dubuque and State of
Iowa; hereby certify that the attached notice was published in said newspaper on
the following dates: July 22, 2011, and for which the charge is $23.18.
u
Subscribed to before me, a otary Public in and for Dubuque County, Iowa,
,20 \l .
this day of
y Public in and for Dubuque County, Iowa.
JANET K. PAPE
Commission Number 199659
My Comm. Exp. DEC 11, 2013
RESOLUTION NO. 247 -11
u11111o11xmiuui11111NiiHniixin11111111111111m
Doc ID 007118560018 Type GEN
Kind RESOLUTION
Recorded: 08/04/2011 at 03:20:25 PM
Fee Amt: $92.00 Page 1 of 18
Dubuque County Iowa
Kathy Flynn Thurlow Recorder
F11e2011- 00010946
Prepared By: David Heiar ED Director City of Dubuque 50 W. 13 St. Dubuque, IA 52001 (563) 589 -4393
Return To: David Heiar ED Director City of Dubuque 50 W. 13 St. Dubuque, IA 52001 (563) 589 -4393
A RESOLUTION APPROVING THE URBAN RENEWAL PLAN FOR THE LAKE RIDGE
ECONOMIC DEVELOPMENT DISTRICT.
Whereas, on June 20, 2011, the City Council of the City of Dubuque, Iowa
authorized the preparation of an Urban Renewal Plan (the "Plan ") for the Lake Ridge
Economic Development District (the "District "); and
Whereas, the City of Dubuque's primary objective in adopting this Plan is to
provide opportunities for development and investment in the District; and
Whereas, the Long Range Planning Commission has reviewed the proposed
Plan and has found that said document is consistent with the Comprehensive Plan for
the development of the City of Dubuque as a whole and has transmitted its findings to
the City Council; and
Whereas, a consultation process has been undertaken with affected taxing
entities in accordance with Chapter 403 of the Code of Iowa with no written objections
or recommended changes to the Plan received; and
Whereas, the City Council, in accordance with Chapter 403 of the Code of Iowa,
has held a public hearing on the proposed Plan after public notice thereof.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the Urban Renewal Plan for the Lake Ridge Economic
Development District, attached hereto and made reference to herein, be approved.
Section 2. This Council finds that a feasible method exists for the location of any
families who will be displaced from the District into decent, safe and sanitary dwelling
OPqa 6
G,ty cfEre-K-
Prepared By: David Heiar ED Director City of Dubuque 50 W. 13 St. Dubuque, IA 52001 (563) 589 -4393
Return To: David Heiar ED Director City of Dubuque 50 W. 13 St. Dubuque, IA 52001 (563) 589 -4393
RESOLUTION NO. 247 -11
A RESOLUTION APPROVING THE URBAN RENEWAL PLAN FOR THE LAKE RIDGE
ECONOMIC DEVELOPMENT DISTRICT.
Whereas, on June 20, 2011, the City Council of the City of Dubuque, Iowa
authorized the preparation of an Urban Renewal Plan (the "Plan ") for the Lake Ridge
Economic Development District (the "District "); and
Whereas, the City of Dubuque's primary objective in adopting this Plan is to
provide opportunities for development and investment in the District; and
Whereas, the Long Range Planning Commission has reviewed the proposed
Plan and has found that said document is consistent with the Comprehensive Plan for
the development of the City of Dubuque as a whole and has transmitted its findings to
the City Council; and
Whereas, a consultation process has been undertaken with affected taxing
entities in accordance with Chapter 403 of the Code of Iowa with no written objections
or recommended changes to the Plan received; and
Whereas, the City Council, in accordance with Chapter 403 of the Code of Iowa,
has held a public hearing on the proposed Plan after public notice thereof.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the Urban Renewal Plan for the Lake Ridge Economic
Development District, attached hereto and made reference to herein, be approved.
Section 2. This Council finds that a feasible method exists for the location of any
families who will be displaced from the District into decent, safe and sanitary dwelling
accommodations within their means and without undue hardship to such families. The
Council further finds that the urban renewal plan conforms to the general plan of the
municipality as a whole.
Section 3. That the City Clerk of the City of Dubuque, Iowa is hereby authorized
and directed to file a certified copy of the Resolution and Plan in the office of the
Dubuque County Recorder.
Passed, approved and adopted this 1 day of August, 2011.
Attes
Kevin Firnstahl
Acting City Clerk
,d,Z.,)
Roy D. Buol
Mayor
F: \USERS \Econ Dev \Urban Renewal \Lake Ridge\2011.1 Lake Ridge UR Adopt Resolution.docx
accommodations within their means and without undue hardship to such families. The
Council further finds that the urban renewal plan conforms to the general plan of the
municipality as a whole.
Section 3. That the City Clerk of the City of Dubuque, Iowa is hereby authorized
and directed to file a certified copy of the Resolution and Plan in the office of the
Dubuque County Recorder.
Passed, approved and adopted this 1 day of August, 2011.
Attes
Kevin Firnstahl
Acting City Clerk
Roy D. Buol
Mayor
F: \USERS \Econ Dev \Urban Renewal \Lake Ridge\2011.1 Lake Ridge UR Adopt Resolution.docx
URBAN RENEWAL PLAN
Lake Ridge
Economic Development District
City of Dubuque, Iowa
This Urban Renewal Plan provides for the development of the
Lake Ridge Economic Development District. This plan was
authorized by Resolution 247 -11 of the City Council of the
City of Dubuque, Iowa on August 1, 2011.
Prepared by the Economic Development Department.
Version 2011.1
1
TABLE OF CONTENTS
A. INTRODUCTION 3
B. JUSTIFICATION FOR THE DESIGNATION 3
C. OBJECTIVES OF THE PLAN 3
D. DISTRICT BOUNDARIES 3
E. PUBLIC PURPOSE ACTIVITIES 4
F. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS 4
G. LAND ACQUISITION 5
H. FINANCING ACTIVITIES 5
I. STATE AND LOCAL REQUIREMENTS 7
J. DURATION OF APPROVED URBAN RENEWAL PLAN 7
K. SEVERABILITY 7
L. AMENDMENT OF APPROVED URBAN RENEWAL PLAN 7
M. ATTACHMENTS 8
2
URBAN RENEWAL PLAN
Lake Ridge Economic Development District
City of Dubuque, Iowa
A. INTRODUCTION
This URBAN RENEWAL PLAN (the "Plan ") has been prepared pursuant to Resolution
of the City Council of the City of Dubuque as adopted on August 1, 2011. Its intent
is to encourage economic development within the LAKE RIDGE ECONOMIC
DEVELOPMENT DISTRICT (the "District ") through the commitment of public actions as
specified herein.
To achieve this objective, the City of Dubuque shall undertake the urban renewal actions
specified in this Plan, pursuant to the powers granted to it under Chapter 403 of the Iowa
Code, Urban Renewal Law.
B. JUSTIFICATION FOR THE DESIGNATION
The City Council of the City of Dubuque, Iowa has determined that a need exists for
affordable assisted senior housing within the community to enhance economic
development activities.
The Council has declared by Resolution of Necessity No. 200 -11 on June 20, 2011 that
these factors have impaired the sound growth of the City of Dubuque and of the area
comprising the District.
C. OBJECTIVES OF THE PLAN
The primary objectives of the Plan are the development and redevelopment of the District,
through:
1. The construction of affordable assisted senior living facility in the District;
2. The creation of financial incentives necessary to encourage private
investment in the District;
3. The expansion of the existing property tax base of the District; and
4. Provision of public infrastructure or amenity improvements supportive of full
development of the District.
D. DISTRICT BOUNDARIES
The District is located within the City of Dubuque, County of Dubuque, State of Iowa.
3
The District shall consist of the real property legally described as follows:
Lot 2 of Lot 2 of Cedar Lake Plaza 3rd Addition in the City of Dubuque,
Dubuque County, Iowa
The boundaries of the District are delineated on the URBAN RENEWAL DISTRICT map
(Attachment A).
The City of Dubuque reserves the right to modify the boundaries of the District at some
future date. Any amendments to the Plan will be completed in accordance with Chapter
403 of the Iowa Code, Urban Renewal Law.
E. PUBLIC PURPOSE ACTIVITIES
To meet the OBJECTIVES of this Plan, the City of Dubuque is prepared to initiate and
support development and redevelopment of the District through, among other things, the
following PUBLIC PURPOSE ACTIVITIES:
1. Improvement, installation, construction and reconstruction of streets, utilities
and other improvements and rights -of -ways;
2. Use of tax increment financing, loans, grants and other appropriate financial
tools in support of eligible public and private development and
redevelopment efforts; and
3. Enforcement of applicable local, state and federal laws, codes and
regulations.
Public purpose activities are limited to those areas delineated on the PUBLIC PURPOSE
ACTIVITY AREA map (Attachment B).
All public purpose activities shall be conditioned upon and shall meet the restrictions and
limitations placed upon the District by the Plan.
F. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS
The LAND USE and PLANNING AND DESIGN CRITERIA set forth herein shall apply to
any and all District properties the development and /or the redevelopment of which is
assisted by the City through any of the PUBLIC PURPOSE ACTIVITIES listed above.
1. Land Use
The intent of this Plan is to promote the construction of affordable assisted senior
housing. All uses shall be regulated by the zoning district established for the
property.
4
LAND USE maps (Attachments C1 and C2) identify the existing and the proposed
land uses within the District.
2. Planning and Design Criteria
The planning criteria to be used to guide the physical development of the District are
those standards and guidelines contained within the City of Dubuque's Zoning
Ordinance and other applicable local, state and federal codes and ordinances.
G. LAND ACQUISITION
1 Land Acquisition
The City does not intend to acquire any property within the District. However, the
City reserves the right to acquire, by negotiation or eminent domain, property rights
required for the construction or reconstruction of streets and public utilities, or any
other public facility or improvement.
H. FINANCING ACTIVITIES
To meet the OBJECTIVES of this Plan and to encourage the redevelopment of the District
and private investment therein, the City of Dubuque is prepared to provide financial
assistance to qualified developers through the making of loans or grants under Chapter
15A of the Iowa Code and through the use of tax increment financing under Chapter 403 of
the Iowa Code.
1. Chapter 15A Loan or Grant
The City of Dubuque has determined that the making of loans or grants of public
funds to qualified developers is necessary to aid in the planning, undertaking and
completion of urban renewal projects authorized under this Plan within the meaning
of Section 384.24(3)(q) of the Iowa Code. Accordingly, in furtherance of the
objectives of this Plan, the City of Dubuque may determine to issue bonds or loan
agreements, in reliance upon the authority of Section 384.24A, Section
384.24(3)(q), Section 403.12 (general obligation bonds) or Section 403.9 (tax
increment bonds), for the purpose of making loans or grants of public funds to
qualified developers. Alternatively, the City may determine to use available funds
for the making of such loans or grants. In determining qualifications of recipients
and whether to make any such individual loans or grants, the City of Dubuque shall
consider one or more of the factors set forth in Section 15A.1 of the Iowa Code on a
case -by -case basis.
2. Tax Increment Financing
The City of Dubuque is prepared to utilize tax increment financing as a means of
5
financing eligible costs incurred to implement the Public Purpose Activities identified
in Part E of this Plan. Bonds or loan agreements may be issued by the City under
the authority of Section 403.9 of the Iowa Code (tax increment bonds) or Section
384.24A, Section 384.24(3)(q) and Section 403.12 (general obligation bonds).
The City acknowledges that the use of tax increment revenues delays the ability of
other local taxing bodies to realize immediately the direct tax benefits of new
development in the District. The City believes, however, that the use of tax
increment revenues to finance new development in the District is necessary in the
public interest to achieve the OBJECTIVES of this Plan. Without the use of this
special financing tool, new investment may not otherwise occur or may occur within
another jurisdiction. If new development does not take place in Dubuque, property
values could stagnate and the City, County and School District may receive less
taxes during the duration of this Plan than they would have if this Plan were not
implemented.
Tax increment financing will provide a long -term payback in overall increased tax
base for the City, County and School District. The initial public investment required
to generate new private investment will ultimately increase the taxable value of the
District well beyond its existing base value.
Tax increment reimbursement may be sought for, among other things, the following
costs to the extent they are incurred by the City:
a. Planning and administration of the Plan;
b. Construction of public infrastructure improvements and facilities within the
District;
c. Acquisition, installation, maintenance and replacement of public
investments throughout the District;
d. Loans or grants to qualified developers under Chapter 15A of the Iowa
Code, including debt service payments on any bonds issued to finance
such loans or grants, for purposes of assisting the development of
affordable assisted senior housing projects in the District or activity, or
other qualifying loan programs established in support of the Plan; and
e. Providing the matching share for a variety of local, state and federal
grants and loans.
3. Proposed Amount of Indebtedness
At this time, the extent of improvements and new development within the District
is only generally known. As such, the amount and duration for use of the tax
increment revenues for public improvements and /or private development can
6
only be estimated; however, the actual use and amount of tax increment
revenues to be used by the City for District activities will be determined at the
time specific development is proposed.
It is anticipated that the maximum amount of indebtedness which will qualify for
tax increment revenue reimbursement during the duration of this Plan, including
public improvements and private development assistance, will not exceed
$1,000,000.
At the time of adoption of this Plan, the City of Dubuque's current general
obligation debt is $ 95,918,516 (a list of obligations is found as Attachment D)
and the applicable constitutional debt limit is $174,325,144, for the Fiscal Year
starting July 1, 2011.
I. STATE AND LOCAL REQUIREMENTS
All provisions necessary to conform with state and local laws have been complied with by
the City of Dubuque in the implementation of this Plan and its supporting documents.
J. DURATION OF APPROVED URBAN RENEWAL PLAN
This Plan shall continue in effect until terminated by action of the City Council, but in no
event before the City of Dubuque has received full reimbursement from all incremental
taxes for its advances and principal and interest payable on all Tax Increment Financing or
general obligations issued to carry out the OBJECTIVES of the Plan. Notwithstanding the
foregoing, the City's collection of tax increment revenues from the District shall be limited
as may be required by Chapter 403 of the State Code of Iowa.
The DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS established, or as
amended from time to time by the City of Dubuque Zoning Ordinance, shall remain in effect
in perpetuity.
K. SEVERABILITY
In the event one or more provisions contained in this Plan shall be held for any reason to
be invalid, illegal, unauthorized or unenforceable in any respect, such invalidity, illegality,
unauthorization or unenforceability shall not affect any other provision of this Plan and this
Urban Renewal Plan shall be construed and implemented as if such provision had never
been contained herein.
L. AMENDMENT OF APPROVED URBAN RENEWAL PLAN
This Plan may be amended from time to time to respond to development opportunities.
Any such amendment shall conform to the requirements of Chapter 403 of the Iowa Code.
Any change effecting any property or contractual right can be effectuated only in
accordance with applicable state and local law.
7
M. ATTACHMENTS
A Urban Renewal District Map
B Public Purpose Activity Area Map
C -1 Existing Land Use Map
C -2 Proposed Land Use Map
D List of General Obligations
Lake Ridge
Economic Development District
Version 2011.1
Lake Ridge
Economic Development District
Public Purpose Activity Map
Version 2011.1
Lake Ridge
Economic Development District
Current Land Use Map
Version 2011.1
Lake Ridge
Economic Development District
Future Land Use Map
Version 2011.1
Description
Attachment D
City of Dubuque
Recommended Summary of Bonded Indebtedness - Fiscal Year 2011 -2012
Date Net Amount Principal Principal Interest Principal Year of
of Interest of Outstanding Due Due Outstanding Final
Issue Rate Issue 7/1/11 FY 2012 FY 2012 6/30/12 Payment
General Obligation Bonds
(Essential Corporate Purpose)
1 Main Street Refunding 08 -02 -10 2.4203% 705,000 650,000 55,000 15,731 595,000 2021
2 Water Main and Water Tower 12 -01 -02 3.8187% 3,105,000 1,120,000 170,000 45,570 950,000 2017
3 Stormwater Improvements 09 -15 -03 4.2750% 2,110,000 1,420,000 95,000 60,848 1,325,000 2023
3 Stormwater Improvements 04 -18 -05 4.2421% 1,750,000 1,330,000 80,000 55,348 1,250,000 2024
4 DICW Expansion - Taxable 04 -18 -05 4.9392% 2,995,000 1,590,000 285,000 78,330 1,305,000 2016
4 DICW Expansion -Non Taxable 04 -18 -05 4.1240% 4,270,000 3,590,000 125,000 146,088 3,465,000 2021
5 Refinanced Portions 5th /3rd St Ramps 05 -02 -06 3.9857% 3,360,000 3,025,000 175,000 120,102 2,850,000 2020
5 Refinanced Portions of T- Hangars 05 -02 -06 3.9857% 165,000 165,000 35,000 16,058 130,000 2020 1
6 Parking Ramp Improvements 05 -02 -06 4.0257% 910,000 670,000 55,000 26,908 615,000 2021
3 Stormwater Improvements 05 -02 -06 4.0665% 2,900,000 2,360,000 125,000 95,228 2,235,000 2025
5 Refinanced Portions 5th /3rd St Ramps 12 -01 -07 3.6731% 2,650,000 2,060,000 315,000 77,250 1,745,000 2017
7 Sewer System Improvements & Ext. 12 -01 -07 3.6596% 1,055,000 740,000 115,000 26,418 625,000 2017
10 Port of Dubuque Parking Ramp 10 -16 -07 7.5000% 23,025,000 22,740,000 305,000 1,705,500 22,435,000 2037
3 Stormwater Improvements 11 -04 -08 4.5702% 3,885,000 3,500,000 150,000 153,152 3,350,000 2028
11 Kephart's Building 11 -04 -08 4.2334% 377,055 320,530 21,280 12,997 299,250 2024
12 Library Renovation 11 -04 -08 4.2334% 2,457,945 2,089,470 138,720 84,722 1,950,750 2024
4 DICW Expansion - Taxable 11 -04 -08 5.5369% 2,465,000 2,145,000 120,000 115,625 2,025,000 2018
4 DICW Expansion -Non Taxable 11 -04 -08 4.2334% 455,000 385,000 25,000 15,612 360,000 2023
13 Bricktown Parking Lot 12 -01 -08 5.0000% 400,000 352,109 20,874 17,348 331,235 2023
16 America's River Refunding 11 -05 -09 2.7913% 8,885,000 7,560,000 690,000 274,825 6,870,000 2021
17 Airport Improvements 11 -05 -09 3.2913% 230,000 220,000 10,000 10,090 210,000 2029
18 Fire Truck Replacement 11 -05 -09 3.2913% 1,410,000 1,355,000 60,000 62,140 1,295,000 2029
19 Fiber Optic Paving 11 -05 -09 3.2913% 100,000 95,000 5,000 4,275 90,000 2029
20 Streetlight Replacement 11 -05 -09 3.2913% 40,000 35,000 5,000 1,195 30,000 2018
3 Stormwater Improvements 11 -05 -09 3.2913% 1,155,000 1,110,000 45,000 50,980 1,065,000 2029
21 Downtown Parking Ramp 11 -05 -09 3.2325% 9,310,000 8,935,000 380,000 404,375 8,555,000 2029
22 DICW - North Siegert Improvements 11 -05 -09 3.2325% 1,865,000 1,790,000 75,000 81,056 1,715,000 2029
17 Airport Improvements 08 -02 -10 3.2838% 168,933 168,933 6,621 5,127 162,312 2030
25 Refuse Truck Replacements 08 -02 -10 3.2838% 69,946 69,946 2,787 2,158 67,159 2030
3 Stormwater Improvements 08 -02 -10 3.2838% 1,667,481 1,667,481 66,433 51,444 1,601,048 2030
17 Smart Meters for City Buildings 08 -02 -10 3.2838% 49,602 49,602 1,892 1,465 47,710 2030
19 Public Works Equipment Replacement 08 -02 -10 3.2838% 542,488 542,488 21,613 16,736 520,875 2030
20 Street Improvements 08 -02 -10 3.2838% 295,000 295,000 12,060 9,339 282,940 2030
17 Park Water System Study 08 -02 -10 3.2838% 80,000 80,000 3,074 2,381 76,926 2030
7 Sanitary Improvements 08 -02 -10 3.2838% 891,550 891,550 35,520 27,506 856,030 2030
24 Downtown Housing RFP /40 Main 08 -02 -10 3.2838% 2,675,000 2,675,000 90,000 110,196 2,585,000 2030
24 Millwork District Parking 08 -02 -10 3.2838% 2,825,000 2,825,000 115,000 85,300 2,710,000 2030
26 Tri -State Building Purchase 02 -09 -10 0.0000% 330,000 235,714 47,143 188,571 2016
3 Stormwater Improvements 09 -20 -10 1.4900% 2,850,000 2,288,430 80,298 93,502 2,208,132 2032
7* Sewer System Improvements Planned* 4.5000% 4,720,994 4,720,994 169,776 193,327 4,551,218 2032
6* Parking Ramp Improvements Planned* 4.5000% 59,700 59,700 4,120 5,064 55,580 2032
3* Stormwater Improvements Planned* 4.5000% 1,959,409 1,959,409 70,502 80,201 1,888,907 2032
20* Street Improvements Planned* 4.5000% 1,012,000 1,012,000 36,412 41,423 975,588 2032
25* Refuse Truck Replacements Planned* 4.5000% 36,000 36,000 1,773 1,580 34,227 2032
17* 18th Street Building Renovation Planned* 4.5000% 606,409 606,409 367,829 18,542 238,580 2032
27* Intermodal Facility Planned* 4.5000% 280,000 280,000 10,075 11,461 269,925 2032
28* Airport - New Terminal Planned* 4.5000% 673,000 673,000 24,215 27,547 648,785 2032
23* Fire Station Land from Dbq Initiative Planned* 5.0000% 650,000 650,000 52,815 32,185 597,185 2032
22* DICW - South Siegert Improvements Planned* 6.5000% 2,779,751 2,779,751 87,877 164,495 2,691,874 2032
Total General Obligation Bonds 107,257,263 95,918,516 4,988,709 4,738,750 90,929,807
Attachment D
City of Dubuque
Recommended Summary of Bonded Indebtedness - Fiscal Year 2011 -2012
NOTES:
1 G.O issue for Main Street project backed by Greater Downtown TIF revenue.
2 G.O issue for water main and water tower backed by water revenue.
*3 G.O issues for Stormwater improvements backed by stormwater revenue.
4 G.O Urban Renewal issues for Dubuque Industrial Center West (DICW) expansion backed by DICW TIF revenues.
5 G.O issue refunding bonds. Refinanced portions of the June 2000 and November 2000 bond issues.
*6 G.O issue for Iowa St. Ramp Major Ramp Improvements backed by Greater Downtown TIF revenue in FY 09 and FY 10, then parking user fees.
•7 G.O. issue for Sewer system improvements & extensions backed by sewer revenue
10 TIF bond issue for the Port of Dubuque Parking Ramp backed by Greater Downtown TIF & a minimum assessment agreement
11 TIF bond issue for Kephart's Bldg Renovation backed by Greater Downtown TIF.
12 G.O Urban Renewal issue for Library renovation backed by Greater Downtown TIF revenues.
13 G.O. loan from Dubuque Initiatives for 290 Locust Parking lot (Bricktown) backed by parking revenue.
16 G.O issues for America's River Project Port of Dubuque improvements backed by gaming revenue from DRA lease and DRA taxes and Greater
Downtown TIF revenue .
*17 G.O issues for various City Building improvements backed by Sales Tax (20 %).
18 G.O. issue for fire truck replacement backed by debt service levy.
19 G.O. issue for fiber optic paving and Public Works equipment replacements backed by Road use Tax Funds.
*20 G.O. issue for street light replacement and other street improvements backed by Sales Tax (30 %).
21 G.O. issue downtown parking backed by Greater Downtown TIF revenues.
22 G.O. issue for North and South Siegert improvements backed by Dubuque Industrial Center West (DICW) TIF revenues.
*23 G.O. loan from Dubuque Initiatives for development costs of land off the NW Arterial for Fire Station Expansion /Relocation backed by
gaming revenue from DRA lease.
24 G.O. Urban Renewal issues for Millwork District Parking, Downtown Housing, & 40 Main projects backed by Greater Downtown TIF revenues.
25 G.O. Issue for refuse truck replacements backed by Solid Waste revenue.
26 Land contract for 6 years with 0% interest.
*27 G.O. Urban Renewal issue for Intermodal Facility baced by Greater Downtown TIF revenue.
*28 Airport Passenger Facility Revenue Bonds for the construction of the new terminal backed by Passenger Facility Charges.
Description
Date Net Amount Principal Principal Interest Principal Year of
of Interest of Outstanding Due Due Outstanding Final
Issue Rate Issue 7/1/11 FY 2012 FY 2012 6/30/12 Payment
Revenue Bonds
8 Water - Clear Well Reservoirs 10 -01 -07 3.25% 1,037,000 917,000 42,000 29,802 875,000 2028
9 Water System Improvements & Ext. 11 -04 -08 4.71% 1,195,000 1,055,000 70,000 47,332 985,000 2023
9 Water System Improvements & Ext. 08 -16 -10 3.54% 5,700,000 5,700,000 185,000 190,275 5,515,000 2030
9 Water System Improvements & Ext. Planned* 4.50% 4,248,157 4,248,157 152,853 173,883 4,095,304 2032
14 Water Pollution Control Plant Upgrade 03 -11 -09 3.25% 64,885,000 64,885,000 1,554,283 64,885,000 2035
14 Northfork Catfish Sanitary Improvements 12 -28 -06 3.25% 253,850 219,484 42,105 31,821 177,379 2029
15 Northfork Catfish Stormwater Improv. 12 -28 -06 3.25% 615,354 570,097 23,747 18,337 546,350 2029
15 West 32nd Detention Basin 01 -14 -09 3.25% 1,847,000 1,628,000 73,000 52,910 1,555,000 2028
8 Water Meter Change Out Program 11 -01 -09 3.25% 7,676,000 7,676,000 299,302 228,626 7,376,698 2029
15* Bee Branch Restoration Planned* 3.25% 18,338,102 18,338,102 414,948 544,087 17,923,154 2042
Total Revenue Bonds 105,795,463 105,236,840 1,302,955 2,871,356 103,933,885
Tax Increment
Eagle Window (Otto A, LLC) 02 -15 -00 9.1% 3,168,538 458,700 458,700 31,622 - 2012
Vessel Systems 12 -30 -03 8.0% 140,000 69,357 15,346 5,262 54,011 2015
Adams Company G.0 TIF 02 -13 -04 4.07% 500,000 181,818 45,454 9,250 136,364 2015
Total Tax Increment Bonds 3,808,538 709,875 519,500 46,134 190,375
Lower Main Development, LLC TIF Note 06 -30 -04 8.00% 182,000 108,156 18,409 8,291 89,747 2016
Theisen Supply, Inc. TIF Note 11 -22 -06 8.25% 812,000 628,045 69,593 50,407 558,452 2018
40 Main TIF Note 08 -06 -09 3.00% 300,000 300,000 300,000 5,240 2012
44 Main TIF Note 10 -26 -10 6.00% 337,000 337,000 - 19,653 337,000 2027
Total Tax Increment Notes 1,631,000 1,373,201 388,002 83,591 985,199
Total Tax Increment 5,439,538 2,083,076 907,502 129,725 1,175,574
Attachment b
City of Dubuque
Recommended Summary of Bonded Indebtedness - Fiscal Year 2011 -2012
Other Loans - Revenue Backed
Water Line To Site B 07 -01 -97 Internal Loan 597,945 109,986 53,521 6,049 56,465 2013
Total Other Lns -Rev Backed 597,945 109,986 53,521 6,049 56,465
Total City Indebtedness 219,090,209 203,348,418 7,252,687 7,745,880 196,095,731
NOTES:
8 Revenue Bond State Revolving Loan Fund issue for Water system improvements and extensions backed by water revenue.
9 Revenue Bond issue for Water system improvements and extensions backed by water revenue.
14 Revenue Bond State Revolving Loan Fund issue for sewer improvements backed by sewer revenue.
15 Revenue Bond State Revolving Loan Fund Issue for storm system improvements backed by stormwater revenue
Planning Services Department
City Hall
50 West 13th Street
Dubuque, IA 52001 -4864
(563) 589 -4210 phone
(563) 589-4221 fax
(563) 690 -6678 TDD
planning @cityofdubuque.org
The Honorable Mayor and City Council
City of Dubuque
50 W.13th Street
Dubuque, IA 52001
RE: Lake Ridge Urban Renewal Plan
Dear Mayor and City Council Members:
Masterpiece on the Mississippi
Dubuque
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2007
July 21, 2011
Introduction
On July 20, 2011, the Long Range Planning Advisory Commission reviewed the
proposed Urban Renewal Plan for the Lake Ridge Economic Development District. The
proposal, staff reports, and related materials are enclosed.
Discussion
The plan will provide for a 70 -unit, affordable, assisted housing development at the
property south of Lake Ridge Drive near Cedar Cross Road. The facility will provide
affordable assisted housing and onsite health care services for senior and disabled
residents. No such facility currently exists in Dubuque.
The Commission reviewed the request and discussed the benefits of the proposed
district. The Commission expressed their support for providing affordable assisted
housing and recognized a need for it in Dubuque.
Recommendation
By a vote of 6 to 0, the Long Range Planning Advisory Commission recommends
approval of the Lake Ridge Urban Renewal Plan as the proposed plan is consistent with
the 2008 Dubuque Comprehensive Plan.
Respectfully submitted,
Jim Prochaska, Chairperson
Long Range Planning Advisory Commission
Enclosures
cc: Michael Van Milligen, City Manager
David Heiar, Economic Development Director
Service People Integrity Responsibility Innovation Teamwork
Masterpiece on the Mississippi
TO: Long Range Planning Advisory Commission
FROM: David J. Heiar, Economic Development Director
SUBJECT: Urban Renewal Plan for the Lake Ridge Economic Development
District
DATE: June 30, 2011
Dubuque
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2007
Introduction
The purpose of this memorandum is to forward for Long Range Planning Advisory
Commission review and recommendation of an Urban Renewal Plan for the Lake Ridge
Economic Development District. The proposed creation this district would include
property along Lake Ridge Drive near Cedar Cross Road. The Plan and Resolution
adopting the Plan are attached.
Background
On June 20, 2011, the City Council approved a Resolution of Necessity finding that the
proposed area was an economic development area and appropriate for urban renewal
activities. Staff has prepared an Urban Renewal Plan for the area as per the directive
of the City Council.
A consultation process will be concluded with the affected taxing entities as required by
State Law. The required consultation with affected taxing bodies will be held on June
12, 2011.
State Code requires the the planning commission of a community to review the
proposed Plan and make a recommendation to the City Council.
Discussion
The Urban Renewal Plan will create a district to include property along Lake Ridge
Drive (see Attachment A of the Urban Renewal Plan for a map). The plan would
provide these areas access to the tools and incentives available to urban renewal
district properties, including tax increment financing.
Rose Development, controlled by Greg McClenahan, is proposing to build a $9.3 million
70 -unit `affordable assisted living facility' on Lake Ridge Drive. This would be the sixth
Rose development built in Iowa since 2005. The others are located in Ames, Des
Moines, East Des Moines, Waterloo and Council Bluffs. The Police Department
checked and these facilities do not create any policing problems.
The Rose developments have all been assisted by the Iowa Finance Authority through
the Low - Income Housing Tax Credit Program. Award of tax credits reduces the need
for conventional mortgage financing and lowers development costs, allowing lower
rents. McClenahan has additionally used a variety of other assisted financing at his
developments, including urban revitalization tax abatement, enterprise zone credits and
HOME Program grants.
Residents in these projects must all qualify by income, at 60% or less of area median
income. Many qualify for Section 8 housing vouchers and Medicaid services. Rents
are capped at no more than 30% of tenant income. The services the resident receives
are provided by a contracted licensed health care provider, such as the VNA. The costs
for those services are paid by Medicaid HCBS waiver programs. With this package of
subsidies, the low- income resident can afford the full spectrum of housing and
supported services that would otherwise approach $3000 per month.
Greg McClenahan provided the Housing Department with documentation outlining the
need for such a facility in Dubuque. He responded that he had reviewed the IFA
market studies performed for the Applewood III (2009) and Dubuque Senior Apartments
(2010) complexes. While these are not assisted facilities, they did document the need
and absorption rates for new affordable senior housing units in Dubuque. Both of these
projects were awarded tax credits by IFA.
McClenahan provided some additional analysis. He stated the existing market rate
Dubuque facilities are beyond the economic means of his target market (under 60%
AMI.) Further, he stated that these facilities do not accept persons using the Medicaid
Waiver — which pays the cost of the supportive services needed by the frail elderly.
Finally, he mentioned that he had conferred with Linda McDonald, Executive Director of
Scenic Valley Agency on Aging, which administers the Medicaid Waiver program
locally. He characterized her position as very supportive of an affordable assisted
facility in Dubuque.
There is no other similar facility in Dubuque. The only assisted senior housing is
offered at market rates. In March, the City Council approved an application by The
Rose for IFA financing. The City also committed local match if IFA tax credits were
secured. Recently, IFA has announced an award of tax credits toward this project.
With a total development (less land) cost of $9.3 million, McClenahan requested a
yearly commitment of $19,355 for 10 years. This can be done through Tax Increment
Financing. This commitment would allow the project to borrow $185,000 out of IFA's
Senior Living Loan program, a 1% interest loan program to assist project like the Rose
of Dubuque.
This level of financial assistance in turn allows McClenahan to project 100% of rents
within HUD Fair Market Rent (FMR) guidelines, at $449 /month. This will make 100% of
the units available to our Section 8 seniors, without even needing the higher 'exception
rents' we could provide at this location.
And, as mentioned, all units in this facility would then rent at levels affordable to our
Section 8 seniors. That could be a strong inducement for their enrollment in the
Program, increasing their level of participation and further enrolling more Section 8
households at a west side location.
Following the establishment of an Urban Renewal District, the City will negotiate a
development agreement with The Rose to maintain the rent for the units for a 10 year
period at an amount not to exceed the HUD Fair Market Rent with the City providing a
10 year property tax rebate through tax increment financing not to exceed the amount
of taxes allowed to be distributed through TIF based on the assessed valuation or
$19,355 per year, whichever is less.
In return for committing to the annual payment, the City will receive a commitment that
the units in the project are compliant with the HUD Fair Market Rent for the 10 years.
Recommendation
I recommend that the attached Plan and resolution adopting the Urban Renewal Plan
be recommended for approval to the Dubuque City Council to support reinvestment
efforts in the district
Action Step
The Action Step for the Long Range Planning Advisory Commission is to review and
recommend approval of the Plan and resolution to adopt the Urban Renewal Plan for
the Lake Ridge Economic Development District.
attachments
F: \USERS \Econ Dev \Urban Renewal \Lake Ridge\20110630 Lake Ridge LRPAC memo.docx
URBAN RENEWAL PLAN
Lake Ridge
Economic Development District
City of Dubuque, Iowa
This Urban Renewal Plan provides for the development of the
Lake Ridge Economic Development District. This plan was
authorized by Resolution of the City Council of the
City of Dubuque, Iowa on August 1, 2011.
Prepared by the Economic Development Department.
Version 2011.1
1
TABLE OF CONTENTS
A. INTRODUCTION 3
B. JUSTIFICATION FOR THE DESIGNATION 3
C. OBJECTIVES OF THE PLAN 3
D. DISTRICT BOUNDARIES 3
E. PUBLIC PURPOSE ACTIVITIES 4
F. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS 4
G. LAND ACQUISITION 5
H. FINANCING ACTIVITIES 5
I. STATE AND LOCAL REQUIREMENTS 7
J. DURATION OF APPROVED URBAN RENEWAL PLAN 7
K. SEVERABILITY 7
L. AMENDMENT OF APPROVED URBAN RENEWAL PLAN 7
M. ATTACHMENTS 8
2
URBAN RENEWAL PLAN
Lake Ridge Economic Development District
City of Dubuque, Iowa
A. INTRODUCTION
This URBAN RENEWAL PLAN (the "Plan ") has been prepared pursuant to Resolution
of the City Council of the City of Dubuque as adopted on August 1, 2011. Its intent
is to encourage economic development within the LAKE RIDGE ECONOMIC
DEVELOPMENT DISTRICT (the "District ") through the commitment of public actions as
specified herein.
To achieve this objective, the City of Dubuque shall undertake the urban renewal actions
specified in this Plan, pursuant to the powers granted to it under Chapter 403 of the Iowa
Code, Urban Renewal Law.
B. JUSTIFICATION FOR THE DESIGNATION
The City Council of the City of Dubuque, Iowa has determined that a need exists for
affordable assisted senior housing within the community to enhance economic
development activities.
The Council has declared by Resolution of Necessity No. 200 -11 on June 20, 2011 that
these factors have impaired the sound growth of the City of Dubuque and of the area
comprising the District.
C. OBJECTIVES OF THE PLAN
The primary objectives of the Plan are the development and redevelopment of the District,
through:
1. The construction of affordable assisted senior living facility in the District;
2. The creation of financial incentives necessary to encourage private
investment in the District;
3. The expansion of the existing property tax base of the District; and
4. Provision of public infrastructure or amenity improvements supportive of full
development of the District.
D. DISTRICT BOUNDARIES
The District is located within the City of Dubuque, County of Dubuque, State of Iowa.
3
The District shall consist of the real property legally described as follows:
Lot 2 of Lot 2 of Cedar Lake Plaza 3`d Addition in the City of Dubuque,
Dubuque County, Iowa
The boundaries of the District are delineated on the URBAN RENEWAL DISTRICT map
(Attachment A).
The City of Dubuque reserves the right to modify the boundaries of the District at some
future date. Any amendments to the Plan will be completed in accordance with Chapter
403 of the Iowa Code, Urban Renewal Law.
E. PUBLIC PURPOSE ACTIVITIES
To meet the OBJECTIVES of this Plan, the City of Dubuque is prepared to initiate and
support development and redevelopment of the District through, among other things, the
following PUBLIC PURPOSE ACTIVITIES:
1. Improvement, installation, construction and reconstruction of streets, utilities
and other improvements and rights -of -ways;
2. Use of tax increment financing, loans, grants and other appropriate financial
tools in support of eligible public and private development and
redevelopment efforts; and
3. Enforcement of applicable . local, state and federal laws, codes and
regulations.
Public purpose activities are limited to those areas delineated on the PUBLIC PURPOSE
ACTIVITY AREA map (Attachment B).
All public purpose activities shall be conditioned upon and shall meet the restrictions and
limitations placed upon the District by the Plan.
F. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS
The LAND USE and PLANNING AND DESIGN CRITERIA set forth herein shall apply to
any and all District properties the development and /or the redevelopment of which is
assisted by the City through any of the PUBLIC PURPOSE ACTIVITIES listed above.
1. Land Use
The intent of this Plan is to promote the construction of affordable assisted senior
housing. All uses shall be regulated by the zoning district established for the
property.
4
LAND USE maps (Attachments C1 and C2) identify the existing and the proposed
land uses within the District.
2. Planning and Design Criteria
The planning criteria to be used to guide the physical development of the District are
those standards and guidelines contained within the City of Dubuque's Zoning
Ordinance and other applicable local, state and federal codes and ordinances.
G. LAND ACQUISITION
1. Land Acquisition
The City does not intend to acquire any property within the District. However, the
City reserves the right to acquire, by negotiation or eminent domain, property rights
required for the construction or reconstruction of streets and public utilities, or any
other public facility or improvement.
H. FINANCING ACTIVITIES
To meet the OBJECTIVES of this Plan and to encourage the redevelopment of the District
and private investment therein, the City of Dubuque is prepared to provide financial
assistance to qualified developers through the making of loans or grants under Chapter
15A of the Iowa Code and through the use of tax increment financing under Chapter 403 of
the Iowa Code.
1. Chapter 15A Loan or Grant
The City of Dubuque has determined that the making of loans or grants of public
funds to qualified developers is necessary to aid in the planning, undertaking and
completion of urban renewal projects authorized under this Plan within the meaning
of Section 384.24(3)(q) of the Iowa Code. Accordingly, in furtherance of the
objectives of this Plan, the City of Dubuque may determine to issue bonds or loan
agreements, in reliance upon the authority of Section 384.24A, Section
384.24(3)(q), Section 403.12 (general obligation bonds) or Section 403.9 (tax
increment bonds), for the purpose of making loans or grants of public funds to
qualified developers. Alternatively, the City may determine to use available funds
for the making of such loans or grants. In determining qualifications of recipients
and whether to make any such individual loans or grants, the City of Dubuque shall
consider one or more of the factors set forth in Section 15A.1 of the Iowa Code on a
case -by -case basis.
2. Tax Increment Financing
The City of Dubuque is prepared to utilize tax increment financing as a means of
5
financing eligible costs incurred to implement the Public Purpose Activities identified
in Part E of this Plan. Bonds or loan agreements may be issued by the City under
the authority of Section 403.9 of the Iowa Code (tax increment bonds) or Section
384.24A, Section 384.24(3)(q) and Section 403.12 (general obligation bonds).
The City acknowledges that the use of tax increment revenues delays the ability of
other local taxing bodies to realize immediately the direct tax benefits of new
development in the District. The City believes, however, that the use of tax
increment revenues to finance new development in the District is necessary in the
public interest to achieve the OBJECTIVES of this Plan. Without the use of this
special financing tool, new investment may not otherwise occur or may occur within
another jurisdiction. If new development does not take place in Dubuque, property
values could stagnate and the City, County and School District may receive less
taxes during the duration of this Plan than they would have if this Plan were not
implemented.
Tax increment financing will provide a long -term payback in overall increased tax
base for the City, County and School District. The initial public investment required
to generate new private investment will ultimately increase the taxable value of the
District well beyond its existing base value.
Tax increment reimbursement may be sought for, among other things, the following
costs to the extent they are incurred by the City:
a. Planning and administration of the Plan;
b. Construction of public infrastructure improvements and facilities within the
District;
c. Acquisition, installation, maintenance and replacement of public
investments throughout the District;
d. Loans or grants to qualified developers under Chapter 15A of the Iowa
Code, including debt service payments on any bonds issued to finance
such loans or grants, for purposes of assisting the development of
affordable assisted senior housing projects in the District or activity, or
other qualifying loan programs established in support of the Plan; and
e. Providing the matching share for a variety of local, state and federal
grants and loans.
3. Proposed Amount of Indebtedness
At this time, the extent of improvements and new development within the District
is only generally known. As such, the amount and duration for use of the tax
increment revenues for public improvements and /or private development can
6
only be estimated; however, the actual use and amount of tax increment
revenues to be used by the City for District activities will be determined at the
time specific development is proposed.
It is anticipated that the maximum amount of indebtedness which will qualify for
tax increment revenue reimbursement during the duration of this Plan, including
public improvements and private development assistance, will not exceed
$1,000,000.
At the time of adoption of this Plan, the City of Dubuque's current general
obligation debt is $ 95,918,516 (a list of obligations is found as Attachment D)
and the applicable constitutional debt limit is $174,325,144, for the Fiscal Year
starting July 1, 2011.
I. STATE AND LOCAL REQUIREMENTS
All provisions necessary to conform with state and local laws have been complied with by
the City of Dubuque in the implementation of this Plan and its supporting documents.
J. DURATION OF APPROVED URBAN RENEWAL PLAN
This Plan shall continue in effect until terminated by action of the City Council, but in no
event before the City of Dubuque has received full reimbursement from all incremental
taxes for its advances and principal and interest payable on all Tax Increment Financing or
general obligations issued to carry out the OBJECTIVES of the Plan. Notwithstanding the
foregoing, the City's collection of tax increment revenues from the District shall be limited
as may be required by Chapter 403 of the State Code of Iowa.
The DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS established, or as
amended from time to time by the City of Dubuque Zoning Ordinance, shall remain in effect
in perpetuity.
K. SEVERABILITY
In the event one or more provisions contained in this Plan shall be held for any reason to
be invalid, illegal, unauthorized or unenforceable in any respect, such invalidity, illegality,
unauthorization or unenforceability shall not affect any other provision of this Plan and this
Urban Renewal Plan shall be construed and implemented as if such provision had never
been contained herein.
L. AMENDMENT OF APPROVED URBAN RENEWAL PLAN
This Plan may be amended from time to time to respond to development opportunities.
Any such amendment shall conform to the requirements of Chapter 403 of the Iowa Code.
Any change effecting any property or contractual right can be effectuated only in
accordance with applicable state and local law.
7
M. ATTACHMENTS
A Urban Renewal District Map
B Public Purpose Activity Area Map
C -1 Existing Land Use Map
C -2 Proposed Land Use Map
D List of General Obligations
Lake Ridge
Economic Development District
Version 2011.1
—I A.-
I: 4
KeRIDGEDR
4
f
4.1
Lake Ridge UR Boundary
Prepared By: David Heiar ED Director City of Dubuque 50 W. 13th St. Dubuque, IA 52001 (563) 589 -4393
Return To: David Heiar ED Director City of Dubuque 50 W. 13th St. Dubuque, IA 52001 (563) 589 -4393
RESOLUTION NO.
A RESOLUTION APPROVING THE URBAN RENEWAL PLAN FOR THE LAKE RIDGE
ECONOMIC DEVELOPMENT DISTRICT.
Whereas, on June 20, 2011, the City Council of the City of Dubuque, Iowa
authorized the preparation of an Urban Renewal Plan (the "Plan ") for the Lake Ridge
Economic Development District (the "District "); and
Whereas, the City of Dubuque's primary objective in adopting this Plan is to
provide opportunities for development and investment in the District; and
Whereas, the Long Range Planning Commission has reviewed the proposed
Plan and has found that said document is consistent with the Comprehensive Plan for
the development of the City of Dubuque as a whole and has transmitted its findings to
the City Council; and
Whereas, a consultation process has been undertaken with affected taxing
entities in accordance with Chapter 403 of the Code of Iowa with no written objections
or recommended changes to the Plan received; and
Whereas, the City Council, in accordance with Chapter 403 of the Code of Iowa,
has held a public hearing on the proposed Plan after public notice thereof.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the Urban Renewal Plan for the Lake Ridge Economic
Development District, attached hereto and made reference to herein, be approved.
Section 2. This Council finds that a feasible method exists for the location of any
families who will be displaced from the District into decent, safe and sanitary dwelling
accommodations within their means and without undue hardship to such families. The
Council further finds that the urban renewal plan conforms to the general plan of the
municipality as a whole.
Section 3. That the City Clerk of the City of Dubuque, Iowa is hereby authorized
and directed to file a certified copy of the Resolution and Plan in the office of the
Dubuque County Recorder.
Passed, approved and adopted this 1st day of August, 2011.
Attest:
Kevin Firnstahl
Acting City Clerk
Roy D. Buol
Mayor
F: \USERS \Econ Dev \Urban Renewal \Lake Ridge\2011.1 Lake Ridge UR Adopt Resolution.docx