Loading...
Lange Estate Urban Revitalization Area_Public HearingCopyright 2014 City of Dubuque Public Hearings # 5. ITEM TITLE: Lange Estate Urban Revitalization Area - Horizon, Applewood IV SUMMARY: Proof of publication on notice of public hearing for the Lange Estate Urban Revitalization Plan which establishes an urban revitalization district at 3275 Pennsylvania Avenue and will provide for a ten-year residential abatement on the value of improvements, including new construction, for the proposed senior housing development. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Conduct Public Hearing ATTACHMENTS: Description Lange Estate Urban Revitalization Plan-MVM Memo Staff Memo - Public Hearing Staff Memo - LRPAC Recommendation Staff Review Long Range Planning Advisory Commission Correspondence Lange Estate Urban Revitalization Plan City Fiscal Goals Proof of Publication Lange Estate Urban Revitalization Area Type City Manager Memo Staff Memo Supporting Documentation Supporting Documentation Supporting Documentation Supporting Documentation Supporting Documentation Proof of Publication on Notice of Public Hearing (Clerk) Supporting Documentation Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Public Hearing for Lange Estate Urban Revitalization Area Horizon, Applewood IV DATE: February 25, 2016 Dubuque band AI -America City iiiiir 2007 • 2012 • 2013 Housing & Community Development Director Alvin Nash recommends City Council hold a public hearing on the Lange Estate Urban Revitalization Plan which establishes an urban revitalization district at 3275 Pennsylvania Avenue and will provide for a ten year residential abatement on the value of improvements, including new construction, for the proposed senior housing development. The development plan provides for the construction of a 60-unit planned residential housing development for seniors, Applewood IV. The planned development is the fourth installment in a series of senior housing developments Horizon has provided in the area. Horizon development is proposing a $9.2 million project utilizing private financing, state HOME Funds, Federal Home Loan Bank Des Moines Affordable Housing Program, Tax Credit Equity, and Tax Abatement incentives to finance the project. The urban revitalization tax exemption will show local support for the project, which will strengthen Horizon's Tax Credit application to the Iowa Finance Authority. Under City Code, one of the roles of the Long Range Planning Advisory Commission (LRPAC) is to review each new and amended urban revitalization plan and make a recommendation as to the plan's consistency with the City's Comprehensive Plan. The Commission's review is not required by State law. The proposed Lange Estate Urban Revitalization Plan was reviewed at the February 17, 2016 LRPAC meeting. At that meeting, the LRPAC also reviewed the proposed plans for University Lofts, Paragon Square, and Marquette Hall Urban Revitalization Plans and has forwarded those with a positive recommendation. The LRPAC recommends the Lange Estate Urban Revitalization Area Plan is not entirely in compliance with the City of Dubuque Comprehensive plan, in particular, City Fiscal goals 1.4, 4.0, 4.1, 4.2, 5.2, 5.4, and 7.2. Chapter 404 provides for a public comment period prior to the adoption of an urban revitalization plan. Based upon these requirements, the Council set a public hearing for March 7, 2016 that provided a 30 day comment period on the proposed plan. The property owners were notified as required. Additionally, Chapter 404 requires the City Council hold a second public hearing if, within 30 days of the first hearing, a valid petition is filed requesting a second public hearing. Therefore, the City Council may approve the plan at the April 18, 2016 City Council meeting if no requests for a second hearing are received. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Alvin Nash, Housing & Community Development Director 2 Masterpiece on the Mississippi TO: Michael Van Milligen, City Manager FROM: Alvin Nash, Housing & Community Development Director DATE: February 24, 2016 RE: Public Hearing for Lange Estate Urban Revitalization Area Horizon, Applewood IV Dubuque bitetri All -America City 1 r 2007 • 2012 • 2013 Introduction This memorandum presents information necessary for the March 7th public hearing regarding the proposed Lange Estate Urban Revitalization Area designation. Background The Lange Estate Urban Revitalization plan was provided to City Council on January 19th 2016. At that meeting, the City Council adopted a resolution finding the area eligible for exemption and setting a public hearing for March 7, 2016. The proposed plan will establish an Urban Revitalization District at 3275 Pennsylvania Avenue and provide for a ten year residential abatement on the value of improvements, including new construction, for the proposed senior housing development. The development plan provides for the construction of a 60-unit planned residential housing development for seniors, Applewood IV. The planned development is the fourth installment in a series of senior housing developments Horizon has provided in the area. Horizon development is proposing a $9.2 million dollar project utilizing private financing, state HOME Funds, Federal Home Loan Bank Des Moines AHP, Tax Credit Equity, and Tax Abatement incentives to finance the project. The urban revitalization tax exemption will show local support for the project, which will strengthen Horizon's Tax Credit application to the Iowa Finance Authority. Urban Revitalization Chapter 404 of the Iowa Code (Urban Revitalization Act) authorizes cities to designate areas as urban revitalization areas. Improvements to qualified real estate within these designated areas may receive a total or partial exemption from property taxes for a specified number of years. The exemptions are intended to stimulate private investment by reducing tax increases that usually accompany property improvements. This additional private investment provides a long-term increase or stabilization in the area's tax base, enhances the visibility of revitalization areas and/or supports important city objectives such as historic preservation, economic development and affordable housing development. In order to implement the provisions of Chapter 404, the City must determine the area is eligible for exemption, prepare a revitalization plan for each designated area, and hold at least one public hearing after proper notice. The law mandates specific criteria and procedures must be followed. Discussion Chapter 404 provides for a public comment period prior to the adoption of an urban revitalization plan. Based upon these requirements, the Council set a public hearing for March 7, 2016 that provided a 30 day comment period on the proposed plan. The property owners were notified as required. Additionally, Chapter 404 requires the City Council hold a second public hearing if, within 30 days of the first hearing, a valid petition is filed requesting a second public hearing. Therefore, the City Council may approve the plan at the April 18, 2016 meeting if no requests for a second hearing are received. Under Section 15-2-3 of the City Code, one of the roles of the Long Range Planning Advisory Commission (LRPAC) is to review each new and amended urban revitalization plan and make a recommendation as to the plan's consistency with the City's Comprehensive Plan. The Commission's review is a City Code requirement; it is not required by State law. Consistency with Comprehensive Plan The proposed Lange Estate Urban Revitalization Plan was reviewed at the February 17, 2016 LRPAC meeting. At that meeting, the LRPAC also reviewed the proposed plans for University Lofts, Paragon Square, and Marquette Hall Urban Revitalization Plans. The LRPAC recommends the Lange Estate Urban Revitalization Area Plan is not entirely in compliance with the City of Dubuque Comprehensive plan, in particular, City Fiscal goals 1.4, 4.0, 4.1, 4.2, 5.2, 5.4, and 7.2. The vote was 3 to 1. Attached are the comments of the LRPAC as well as a memorandum from Housing & Community Development Director, Alvin Nash and Planning Services Manager, Laura Carstens. Estimated Property Tax Calculations The current property value, based upon 2015 Beacon data, is $96,740 for land and $83,490 for dwelling for a total taxable value of $180,230. The developer estimates after improvements the assessed value for taxation will be $2,170,883. At the City of Dubuque 2015 tax rate of 0.03301933, the annual property tax increase over existing is estimated to be $71,681. The abatement of $71,681 will be in effect for 10 years for an estimated total of $716,810. After the abatement period expires the property will be taxed based on the assessed value for taxation as determined by the assessor. Recommendation Staff recommends the City support these efforts to promote quality, affordable housing, with attention to the needs of elderly and disabled populations. The Lange Estate Urban Revitalization Plan provides affordable senior housing outside of areas of poverty 2 and racial concentrations and is consistent with the goals of the Voluntary Compliance Agreement with the Department of Housing & Urban Development. Action Requested The Action Step is for the City Council to hold a public hearing on March 7, 2016. Prepared by: Erica Haugen, Community Development Specialist F:\USERS\CDBG\Urban Revite\Applewood 4\Memo to Council.doc 3 Masterpiece on the Mississippi MEMORANDUM TO: Michael C. Van Milligen, City Manager Dubuque kaild All -America City 1 2007 • 2012 • 2013 FROM: Alvin Nash, Housing and Community Development Director Laura Carstens, Planning Services Manager SUBJECT: LRPAC Review of Lange Estate Urban Revitalization Area Plan DATE: February 25, 2016 INTRODUCTION This memorandum provides additional information on the vote of the Long Range Planning Advisory Commission (LRPAC) on the Lange Estate Urban Revitalization Area Plan. This proposed plan is scheduled for a public hearing at the City Council's March 7, 2016 meeting. BACKGROUND Chapter 404 of the Iowa Code authorizes cities to designate urban revitalization areas. Improvements to qualified real estate within these designated areas may receive a total or partial exemption from property taxes for a specified number of years. The City must prepare a revitalization plan for each designated area and hold at least one public hearing after proper notice, following specific criteria and procedures. The exemptions are intended to stimulate private investment by abating tax increases that usually accompany property improvements. This additional private investment provides a long-term increase or stabilization in the area's tax base, enhances the viability of revitalization areas and/or supports important City objectives such as historic preservation, economic development and affordable housing. Under Section 15-2-3 of the City Code, one of the roles of the LRPAC is to review each new and amended urban revitalization plan and make a recommendation as to the plan's consistency with the City's Comprehensive Plan. The Commission's review is a City Code requirement; it is not required by State law. DISCUSSION The Lange Estate Urban Revitalization Area Plan will allow property tax exemption for affordable senior housing at 3275 Pennsylvania Avenue. The plan provides for construction of a 60-unit housing development. It will serve as Phase IV of Applewood Senior Apartments built and managed by Horizon Development Group, Inc. LRPAC Review of Lange Estate Urban Revitalization Area Plan Information provided by the City Assessor's Office indicates that this area contains one single family residence valued at $180,230. The single-family home in the proposed project site is currently vacant and in a state of disrepair. Horizon Development Group, Inc. is proposing a $9.2 million project utilizing private, state and federal financing to fund the project. The development of the property will be funded with Iowa Low Income Housing Tax Credits, permanent mortgage, State HOME Funds, Federal Home Loan Bank Des Moines AHP, deferred development fee, and Tax Credit Equity. The City tax exemption is requested in part to help strengthen an application for housing tax credits with the Iowa Finance Authority. The proposed Lange Estate Urban Revitalization Area Plan was reviewed at the February 17, 2016 LRPAC meeting as the proposed Marquette Hall, University Lofts, and Paragon Square Urban Revitalization Plans. The Commission unanimously recommended the Marquette Hall, University Lofts, and Paragon Square Urban Revitalization Plans as consistent with the City's Comprehensive Plan. At the meeting, City staff reviewed that the senior housing project would not be eligible for tax credits without local support, and that the project would not move forward without urban revitalization designation. City staff also explained that the Lange Estate Urban Revitalization Area Plan will add much needed quality, affordable housing outside areas of high poverty concentration and increase housing choice for this segment of the population. Seven (7) Commissioners serve on the LRPAC. Four (4) Commissioners were present for the meeting. By a vote of 3 to 1, the LRPAC recommended the Lange Estate Urban Revitalization Area Plan is not entirely in compliance with the Comprehensive Plan, in particular, City Fiscal goals 1.4, 4.0, 4.1, 4.2, 5.2, 5.4 and 7.2. CONSISTENCY WITH COMPREHENSIVE PLAN City staff determined that the Lange Estate Urban Revitalization Area Plan supports several goals of the 2012 Comprehensive Plan, as follows: Housing 1.2 Encourage a range of affordable, accessible, and decent rental housing options throughout the community. Economic Development 9.3 Encourage property improvements and revitalization throughout the city. Land Use & Urban Design 1.1 Promote inclusive and economically integrated neighborhoods that allow a diverse mix of residents and housing types. 1.2 Promote providing a range of housing options throughout the community. 7.1 Encourage redevelopment or adaptive reuse of vacant or underutilized buildings and sites. 7.8 Encourage reinvestment in our existing neighborhoods (i.e., smart growth). 2 LRPAC Review of Lange Estate Urban Revitalization Area Plan As noted above, the LRPAC voted 3 to 1 that the Lange Estate Urban Revitalization Area Plan is not entirely in compliance with the Comprehensive Plan, in particular, these goals: City Fiscal 1.4 Identify and evaluate revenue alternatives to City property tax. 4.0 To minimize the impact of economic swings on the City's operating budget. 4.1 Promote economic development efforts to expand and diversify the property tax base and to improve and/or implement "growth" revenues for the City. 4.2 Consider allocating revenue sources sensitive to economic conditions primarily to deferrable capital improvement projects, when possible, to allow the City to maintain a steady revenue stream to fund operating expenses. 5.2 Explore options for alternative revenue sources to property taxes. 5.4 Establish reasonable user fees and charges for services where appropriate, so that those who utilize or directly benefit from a City service activity or facility also help pay for it. 7.2 Identify and forecast impacts, options, and realistic annual and long-term maintenance and operational costs and responsibilities early in the budgeting process for each service request or mandate. ESTIMATED PROPERTY TAX CALCULATIONS The existing property value, based upon City Assessor data, is $96,740 for land and $83,490 for dwelling for a total taxable value of$180,230. Horizon Development Group, Inc. estimates that after improvements the assessed value for taxation will be $2,170,883. Horizon Development estimates the annual property tax increase over existing taxes to be $71,681. The developer further estimates abatement of $71,681 will be in effect for 10 years for a total of $716,810. After the abatement period expires the property will be taxed based on the assessed value for taxation as determined by the City Assessor. RECOMMENDATION In evaluating consistency with the Comprehensive Plan, the staff analysis takes a broad and long-range view of goals supporting the Plan's Housing, Economic Development, and Land Use & Urban Design Elements. This view recognizes the positive community development, affordable housing, and fiscal impacts that urban revitalization areas bring to our city. City staff believes that without the urban revitalization area, the senior housing project will not compete well for the State tax credits. Without these credits, the project will not proceed. Without the project, there will be fewer affordable senior housing units and no increase in the tax base in the long-term. Without the project, there will not be $9.2 million in construction work for local contractors. Staff recommends that the City support these efforts to promote quality, affordable housing throughout Dubuque, with attention to the special needs of elderly and disabled populations. The Lange Estate Urban Revitalization Area Plan will add much needed quality, affordable housing outside areas of high poverty concentration and increasing housing choice for this 3 LRPAC Review of Lange Estate Urban Revitalization Area Plan population. After the ten-year abatement period lapses on the project, the full assessed value of the rehabilitation property will go on the tax rolls to the benefit of the entire community. This project location contributes to the de -concentration of poverty which is in line with the Voluntary Compliance Agreement (VCA) with the U.S. Department of Housing & Urban Development (HUD) and contributes to compliance. REQUESTED ACTION The requested action is for the City Council to support the Lange Estate Urban Revitalization Area Plan, contingent on Horizon Development Group, Inc. receiving their State tax credits. cc: Erica Haugen, Community Development Specialist David Johnson, Assistant Planner PVUSERSVLCARSTEN\WPAHousing TIEVMemo MVM LRPAC Lange Urban Revit. doc 4 Dubuque�`� THE CITY OF kraal DUB E ruff II Masterpiece all t!ze Mississippi 2007. 2012. 2013 The Honorable Mayor and City Council City of Dubuque 50 W.13th Street Dubuque, IA 52001 RE: Lange Estate Urban Revitalization Area Plan Dear Mayor and City Council Members: Planting Services Department City I Iall - 50 West 131' Street Dubuque, IA 52001-4805 (563) 589-4210 phone (563) 589-4221 fax (563) 690-6678 TDD planning@cityofdubuque.org February 22, 2016 Introduction The Long Range Planning Advisory Commission (LRPAC) has reviewed the proposed Lange Estate Urban Revitalization Area Plan. The plan will create an urban revitalization area at 3275 Pennsylvania Avenue to allow property tax exemption for affordable senior housing. Background The plan provides for construction of a 60 unit planned residential housing development for seniors. It will serve as Phase IV of Applewood Senior Apartments built and managed by Horizon Development Group, Inc. The local tax exemption is requested in part to help strengthen an application for housing tax credits with the Iowa Finance Authority. Discussion The role of the LRPAC is to review new and amended urban revitalization plans and make a recommendation as to the plan's consistency with the City of Dubuque Comprehensive Plan. The proposed Lange Estate Urban Revitalization Area Plan was reviewed at the same meeting as the proposed Marquette Hall, University Lofts, and Paragon Square Urban Revitalization Plans. The Commission unanimously recommended the Marquette Hall, University Lofts, and Paragon Square Urban Revitalization Plans as they are consistent with the City of Dubuque Comprehensive Plan. Recommendation Seven (7) Commissioners serve on the LRPAC. Four (4) Commissioners were present for the meeting. By a vote of 3 to 1, the LRPAC recommends the Lange Estate Urban Revitalization Area Plan is not entirely in compliance with the City of Dubuque Comprehensive Plan, in particular, City Fiscal goals 1.4, 4.0, 4.1, 4.2, 5.2, 5.4 and 7.2. The goals are enclosed for City Council's reference. Service People Integrity Responsibility Innovation Teamwork Respectfully submitted, Chad Darter, Chairperson Long Range Planning Advisory Commission Enclosure cc: Michael C. Van Milligan, City Manager Alvin Nash, Housing and Community Development Director Laura Carstens, Planning Services Manager F:\USERS\Djohnson\Council Items\Urban Renewal & Revitilization Districts\Lange Estate Urban Revitalization Area Plan.doc 12 economic prosperity CITY FISCAL GOALS must address the allocation of limited available resources among competing interests, departments, activities, and programs. These goals should develop an acceptable balance of costs and services with respect to quality, quantity, and financing. City fiscal goals should emphasize policy and budget objectives, demands on and accomplishments of City governmental units and alternative funding and service Ievels.The purpose of these City Fiscal goals is to help focus on the major policy decisions of what services City government will provide, who will pay for them and the implications of such decisions in achieving the goals in all elements of the Comprehensive Plan. goal ONE To promote the fiscal soundness and viability of City government operations. 1.1 Consider using nonrecurring revenues only to fund nonrecurring expenditures. 1.2 Maintain and strive to upgrade the City's bond rating. 1.3 Monitor changing conditions, trends and legislation as it impacts the City's fiscal position and promote appropriate fiscal policy and guidelines to maintain the City's sound fiscal condition. 1.4 Identify and evaluate revenue alternatives to City property tax. 1.5 Minimize program costs by using sound purchasing practices. 1.6 Minimize program costs by using sound risk management practices. 1.7 Maintain adequate reserves to positively impact bond rating and provide flexibility to implement projects as opportunities come up. 1.8 Use City Council goals and priorities to guide budgeting process. goal TWO To communicate the City's fiscal management process in language understandable to the general public. 2.1 Continue to refine the Citizens Guide to the Budget. 2.2 Encourage increased public participation throughout the budget process. 2.3 Continue to help citizens understand local government financing, such as the allocation of property tax asking between the City, County and schools. z.4 Strive to meet state and national standards for the City's budget presentation. goal THREE To provide reports and financial data that are accurate, timely, and meaningful and which satisfy the need for sound fiscal policy formulation, efficient City management and full disclosure of City finances. 3.1 Base all financial reports on generally accepted and appropriate accounting principles. 3.2 Continue to meet national standards for the City's annual financial report, set by the Government Finance Officers Association. 3.3 Continue to meet Municipal Treasurers' Association requirements to have the written investment policy certified. goal FOUR To minimize the impact of economic swings on the City's operating budget. 4.1 Promote economic development efforts to expand and diversify the property tax base and to improve and/or implement "growth" revenues for the City. q.z Consider allocating revenue sources sensitive to economic conditions primarily to deferrable capital economic prosperity 13 improvement projects, when possible, to allow the City to maintain a steady revenue stream to fund operating expenses. goal FIVE To emphasize the use of fees and user charges to maintain existing City services and reduce reliance on local property taxes while remaining sensitive to program access, affordability, and availability for those with low or moderate incomes or disabilities. 5.1 Pursue federal, state and private funding to help finance City services and minimize the property tax burden, but avoid service orfunding commitments after such outside funding ends. 5.2 Explore options for alternative revenue sources to property taxes. 5.3 Promote access to and affordability and availability of essential City services to low and moderate income persons and persons with disabilities. 5.4 Establish reasonable user fees and charges for services where appropriate, so that those who utilize or directly benefit from a City service activity or facility also help pay for it. 5.5 Strive to maximize return on City leases. goal SIX To improve City government productivity and service delivery and identify alternative means of service delivery. 6.1. Review all City services and programs for operational efficiencies to improve service levels and delivery, and/or to implement cost containment measures. 6.2 Review all City boards and commissions on a periodic basis to identify possible changes for improved performance. 6.3 Identify additional City government activities where volunteers could supplement City employees, or where services could be "spun off" to non - government groups or sponsors. 6.4 Utilize employee involvement as a means to improve productivity and service delivery. 6.5 Encourage citizen input to help identify productivity and service delivery needs. 6.6 Explore opportunities for cost -saving regional sharing of City services. goal SEVEN To determine the work effort required and the costs to meet increased service delivery requests and/or mandates. 7.1 Support changes in federal and state laws to eliminate or reduce unfunded mandates. 7.2 Identify and forecast impacts, options, and realistic annual and long-term maintenance and operational costs and responsibilities early in the budgeting process for each service request or mandate. 7.3 Consider new City services primarily when either additional revenues or expenditure reductions are demonstrated, or when mandated by state or federal law. 7.4 Focus City policy decisions on what services the City will provide, who will pay for them, and the implications of such decisions. goal EIGHT To make decisions on achieving goals in all elements of the Comprehensive Plan based on competition for and distribution of limited resources. 8.1 Continue to encourage citizen participation in the City's comprehensive plan and budget process. 8.2 Use the community visioning process and the comprehensive planning process to assist the City Council, City administration, and community leaders in setting priorities for implementation. 8.3 Establish a plan for distribution of limited resources based on the City Council's goals and priorities. goal NINE To examine public and private funding sources and alternative means to accomplish goals in all elements of the Comprehensive Plan. 9.1 Collaborate with members of the community to implement City Council goals and priorities. 9.2 Identify public and private funding sources, and altemative means to accomplish goals for which the City government has direct authority and responsibility. 9.3 Encourage other area service providers, private entities and community leaders to identify private funding and other similar means to realize goals within their areas. Lange Estate Urban Revitalization Plan For Public Review until March 7, 2016 Contents Introduction 2 The Area 3 Availability of Funding 4 Revenue Bonds 4 Relocation 4 Qualification of Areas 5 Revitalization Program 5 Application Procedure 7 Conclusion 8 [Type here] LANGE ESTATE URBAN REVITALIZATION PLAN For Public Review Until March 7, 2016 Introduction The following plan describes certain provisions of the Iowa Urban Revitalization Act and proposes the Lange Estate Urban Revitalization area. The State of Iowa, under Iowa Code Chapter 404, allows cities to designate areas as urban revitalization districts. Under this Act, improvements to qualified areas may receive a total or partial exemption from property taxes for a specified number of years. The exemptions are intended to stimulate private investment through the reduction of tax increases related to property improvements. Once an area is deemed to meet the requirements established in Chapter 404, a plan must be established which identifies the district boundaries, property owners, existing conditions, proposed plans and the basic abatement provisions for the revitalization area. Iowa Code Chapter 404.1 lists five reasons for which a city or county may establish urban revitalization plans. These include: 1. The existence of numerous buildings that are dilapidated or deteriorated; 2. The need for preservation and restoration of buildings due to their historic significance; 3. The area is appropriated as an economic development region as defined in Iowa Code 403.17; 4. The need for public improvements related to housing; 5. The encouragement of housing and residential development. The Lange Estate Urban Revitalization Plan will be based upon the need for the encouragement of housing and residential development, as defined in 404.1(5) an area designated as appropriate for public improvements related to housing and residential development, or construction of housing and residential development, including single or multifamily housing. [Type here] The Area Location Exhibit A identifies the location of the Revitalization District. The 2.76 acre site to be included in the Lange Estate Urban Revitalization Area is located at 3275 Pennsylvania Avenue, Dubuque, IA 52001, legally described as: Lot Two of Lange Estate, in the City of Dubuque, IA Zoning Exhibit B shows the existing zoning districts. The existing zoning classification is: Planned Unit Development with a PR Planned Residential designation. The City Council approved a zoning ordinance reclassifying the property located at 3275 Pennsylvania Avenue from R-1 Single -Family Residential district to PUD Planned Unit Development District with a PR Planned Residential District Designation on September 21, 2015 to permit construction of a 60 —unit Senior Apartment Residence, Applewood IV. Existing and Proposed Land Use Exhibit C identifies the existing primary land use for the proposed district. East of the subject parcel there is multi -family development from 3125 to 3225 Pennsylvania Avenue, single family and commercial uses along John F. Kennedy. An unoccupied single family home is located on the parcel. The existing structure will be removed and a 60-unit senior housing community will be developed. The senior housing will provide a range of affordable rents and amenities that include a community room, leasing office, exercise room, and heated underground parking. Assessed Valuations and Owners of Records [Type here] The existing assessed valuation of the real estate in the Revitalization District as of October 26, 2015 is $180,230. $96,740 is the Assessed Land Value, $83,490 is the Assessed Dwelling Value. The 2015 Net Assessed Value is based on a residential classification. City Services There are no current plans to expand or improve City services to this area. Currently the area enjoys the same level of City services as most other areas of the City. Availability of Funding The development of the property will be funded with Iowa Low Income Housing Tax Credits, permanent mortgage, State HOME Funds, Federal Home Loan Bank Des Moines AHP, deferred development fee, and Tax Credit Equity. Revenue Bonds There are no plans to issue revenue bonds for revitalization projects in this area. Relocation No relocation is expected due to rehabilitation since the only structure on the property is currently vacant. Should relocation occur as a result of rehabilitation in the proposed district, the person(s) causing a qualified tenant to be displaced shall pay all of the relocation costs of the tenant as a condition for receiving a tax -exemption under Iowa Code Section 404.3. "Qualified tenant" shall mean the legal occupant of a residential dwelling unit which is located within this designated revitalization area and who has occupied the same dwelling unit continuously since one year prior to the city's adoption of this plan pursuant to Iowa Code Section 404.2. [Type here] Qualification of Areas The Lange Estate Urban Revitalization District Area, for purposes of this initiative, is an area bounded by Pennsylvania Avenue to the south, and is adjacent to the rear lot -lines of single-family residences along Carter Rd to the north. Applewood Senior Housing Projects I, II, and III extend east along Pennsylvania Avenue. To the west, zoning allows commercial property. The proposed development of Applewood Phase IV Senior Housing Project is a Planned Unit Development for a building with 60 residences. The property had previously been used by the Lange Family as an orchard for many years. The property around the Lange property has been developed for single family residential, commercial, and the first three phases of Applewood Senior Apartments. Information provided by the City Assessor's Office indicates that this area contains one single family residence valued at $180,230. The single-family home in the proposed district is currently vacant and in a state of disrepair. Revitalization Program Tax Exemption a) Residential property, assessed as residential or assessed as commercial property, if the commercial property consists of three or more separate living quarters with at least seventy-five percent of the space used for residential purposes, is eligible to receive a one hundred percent exemption from taxation on the actual value added by the improvements. The exemption is for a period of ten years. The property tax exemption will be in accordance with the Code of Iowa, Chapter 404.3(4), providing for a ten-year, 100% exemption of the actual value added by the improvements. b) "Qualified real estate" means real property, other than land, which is located in a designated revitalization area and to which improvements have been added, during the time the area was so designated, which have increased the actual value by at least fifteen percent., or at least ten percent in the case of real property assessed as residential, or which have, in the case of land upon which is located more than one building [Type here] and not assessed as residential property, increased the actual value of the buildings to which the improvements have been made by at least fifteen percent. "Qualified real estate" also means land upon which no structure existed at the start of the new construction, which is located in a designated revitalization area and upon which new construction has been added during the time the area was so designated. c) Property tax exemption shall be available only for new construction within the designated area. "Actual value added by improvements" means the actual value added as of the first year for which the exemption was received. To qualify for exemption, improvements to qualified real estate must increase the value of the property by ten percent for real property assessed as residential property or fifteen percent for land upon which is located more than one building and not assessed as residential property, increase the actual value of the buildings to which the improvements have been made by at least fifteen percent. d) Any improvements that were assessed before the area was officially designated will not be eligible for exemption. Improvements begun prior to one year prior to the area becoming designated will not be eligible for exemption. e) Improvements must result in that structure meeting applicable building, plumbing, mechanical, electrical, and other code requirements of the City of Dubuque. f) The actual value of the improvements must result in an increase in assessed value as stated above in (b). Each year an application is made for tax exemption, the assessed value must have increased in that year by the required percentage. g) The designation of the Lange Estate Urban Revitalization Area will remain in effect for five (5) years from designation. All existing exemptions will continue until their previously established expiration date. Upon repeal of the ordinance establishing this revitalization area, all existing exemptions would continue until their previously established expiration date. [Type here] Application Procedure This area, upon designation, will follow the procedures for application and granting of the property tax exemption within the City of Dubuque. a) The property owner must apply for an exemption by February 1st of the assessment year for which the exemption is first claimed, but not later than the year in which all the improvements included in the project are first assessed for taxation, or the following two assessment years, in which case the exemption is allowed for the total number of years in the exemption schedule. Upon the request of the owner, the governing body of the City may provide by resolution that the owner may file an application no later than February 1 of the tenth assessment year. b) The application must contain, at a minimum, the following: a. The nature of the improvements, b. The cost of the improvements, c. The actual or estimated date of completion, and d. The tenants occupying the property as of the date of the City's resolution adopting this plan. c) The City reviews all applications to determine whether the improvement project conforms to the revitalization plan, is within a designated area, and if the improvements were made during the appropriate time period. If the project meets all three criteria, the City shall forward the application to the assessor by March 1st, with a statement as to which exemption applies. Applications for exemptions for succeeding years on approved projects shall not be required. d) The local assessor shall review each application by making a physical review of the property, to determine if the improvements made increased the actual value of the qualified real estate by at least fifteen percent or ten percent in the case of real property assessed as residential property. If the assessor determines that the actual value of that real estate has increased by at least the requisite percent, the assessor shall certify the property valuation, determined pursuant to the tax exemption schedule, to the County Auditor at the time of transmitting the assessment rolls. The assessor shall notify the applicant of the determination, and the assessor's [Type here] decision may be appealed to the local board of review at the time specified in Iowa Code. The property owner may also refile an application in a subsequent year after additional improvements have been made. e) After the tax exemption is granted, the assessor shall continue to grant the tax exemption, with periodic physical review by the assessor, for the ten- year time period specified in the tax exemption schedule. f) An application for exemption received by February 1 in any year after the year in which the improvement was completed and first assessed for taxation, is a late application. Late application may be made in any year up to the tenth year following completion of the improvement. The exemption period will be the remainder of the ten year period, which began upon completion of the improvement, except the total number of years in the exemption schedule will be allowed if a claim for exemption is filed within two years of the February 1 filing deadline. Conclusion The proposed urban revitalization district will assist the development of affordable housing for vulnerable populations by providing needed housing units for seniors in Dubuque. After the ten-year abatement period lapses on these projects, the full assessed value of the rehabilitation property will go on the tax rolls to the benefit of the entire community. F:\USERS\CDBG\Urban Revite\Petitions for Districts\Applewood IV 2016\Lange Estates Urban Revit Plan.doc Exhibit A: Location of Urban Revitalization District I 1.. 1 F 1on r 1 lY 1- 1-2-2 NE1i4 89N--2E a•,r 1 iE1t4:SE1/4-`t-r_,.- J7,71 '�-4I-E tea AVj:n ao. Q- 1! MEWS ` 4• 1 3336 1575 1871 18E5 6 32130 8 1861 1855 3270 Exhibit 8: Current Zoning 3255 3254 324c UR REN ZQNI G ,fl1 4837 1835 1843 1645 1647 1849 1653 1855 CARTER RO 1836 1838 1840 1842 1844 1846 185s 1 ,.r {f+ • 1 �i II, 1693 =e:� 1;1 • 1 '3 1 :117--i • 14 4 - att1:t-! r. - ..74.:1 en ' 3277 IjasA '1 3 _ $ ,1 9275 PENNSy!VAN1A AVE 3270 3260 3276 3273 3265 1693 657 1861 1E63 1862 1550 1865 1864 60 3153 1867 1856 1871 — - _ — 1694 1695 1694 1671 O 1674 1675 a 5 11)4 .... .e.,..a 1643 W li 1645 W 1621 1626 1ENSINGTON P1. it S_1 pT5 .i/ 3278 3274 1j K 1611 1612 1606 1625 1670 1640 1620 1879 64. 1865 1870 1E6,3 1878 1876 1374 1872 .47 3125 1695 1673 a 0 z 1641 cc 1615 Du t�vE II,v:eT>:i!yn: I 11386 1755 1750 3035 1690 306C 1650 1630 3025 303- 1600 3045 1560 [Type here] Exhibit C: Current Land Use sp 1 SFI j SF SF SF x. SF SF SFCURREI4T LAND USE TVIAP sF SF SF SF SF SF SF SF SF SF SF 'EE:RY OF CG u DU FIIiQ OF i"I `, r:I•iciY 0.11(. Ora Legend Current Land Use Commercial Multiple -Family Office Single -Family Vacant ]3Co-1F,.0car :�:5s_ sg:r. t o DWif.f A 12 economic prosperity CITY FISCAL GOALS must address the allocation of limited available resources among competing interests, departments, activities, and programs. These goals should develop an acceptable balance of costs and services with respect to quality, quantity, and financing. City fiscal goals should emphasize policy and budget objectives, demands on and accomplishments of City governmental units and alternative funding and service Ievels.The purpose of these City Fiscal goals is to help focus on the major policy decisions of what services City government will provide, who will pay for them and the implications of such decisions in achieving the goals in all elements of the Comprehensive Plan. goal ONE To promote the fiscal soundness and viability of City government operations. 1.1 Consider using nonrecurring revenues only to fund nonrecurring expenditures. 1.2 Maintain and strive to upgrade the City's bond rating. 1.3 Monitor changing conditions, trends and legislation as it impacts the City's fiscal position and promote appropriate fiscal policy and guidelines to maintain the City's sound fiscal condition. 1.4 Identify and evaluate revenue alternatives to City property tax. 1.5 Minimize program costs by using sound purchasing practices. 1.6 Minimize program costs by using sound risk management practices. 1.7 Maintain adequate reserves to positively impact bond rating and provide flexibility to implement projects as opportunities come up. 1.8 Use City Council goals and priorities to guide budgeting process. goal TWO To communicate the City's fiscal management process in language understandable to the general public. 2.1 Continue to refine the Citizens Guide to the Budget. 2.2 Encourage increased public participation throughout the budget process. 2.3 Continue to help citizens understand local government financing, such as the allocation of property tax asking between the City, County and schools. z.4 Strive to meet state and national standards for the City's budget presentation. goal THREE To provide reports and financial data that are accurate, timely, and meaningful and which satisfy the need for sound fiscal policy formulation, efficient City management and full disclosure of City finances. 3.1 Base all financial reports on generally accepted and appropriate accounting principles. 3.2 Continue to meet national standards for the City's annual financial report, set by the Government Finance Officers Association. 3.3 Continue to meet Municipal Treasurers' Association requirements to have the written investment policy certified. goal FOUR To minimize the impact of economic swings on the City's operating budget. 4.1 Promote economic development efforts to expand and diversify the property tax base and to improve and/or implement "growth" revenues for the City. q.z Consider allocating revenue sources sensitive to economic conditions primarily to deferrable capital economic prosperity 13 improvement projects, when possible, to allow the City to maintain a steady revenue stream to fund operating expenses. goal FIVE To emphasize the use of fees and user charges to maintain existing City services and reduce reliance on local property taxes while remaining sensitive to program access, affordability, and availability for those with low or moderate incomes or disabilities. 5.1 Pursue federal, state and private funding to help finance City services and minimize the property tax burden, but avoid service orfunding commitments after such outside funding ends. 5.2 Explore options for alternative revenue sources to property taxes. 5.3 Promote access to and affordability and availability of essential City services to low and moderate income persons and persons with disabilities. 5.4 Establish reasonable user fees and charges for services where appropriate, so that those who utilize or directly benefit from a City service activity or facility also help pay for it. 5.5 Strive to maximize return on City leases. goal SIX To improve City government productivity and service delivery and identify alternative means of service delivery. 6.1. Review all City services and programs for operational efficiencies to improve service levels and delivery, and/or to implement cost containment measures. 6.2 Review all City boards and commissions on a periodic basis to identify possible changes for improved performance. 6.3 Identify additional City government activities where volunteers could supplement City employees, or where services could be "spun off" to non - government groups or sponsors. 6.4 Utilize employee involvement as a means to improve productivity and service delivery. 6.5 Encourage citizen input to help identify productivity and service delivery needs. 6.6 Explore opportunities for cost -saving regional sharing of City services. goal SEVEN To determine the work effort required and the costs to meet increased service delivery requests and/or mandates. 7.1 Support changes in federal and state laws to eliminate or reduce unfunded mandates. 7.2 Identify and forecast impacts, options, and realistic annual and long-term maintenance and operational costs and responsibilities early in the budgeting process for each service request or mandate. 7.3 Consider new City services primarily when either additional revenues or expenditure reductions are demonstrated, or when mandated by state or federal law. 7.4 Focus City policy decisions on what services the City will provide, who will pay for them, and the implications of such decisions. goal EIGHT To make decisions on achieving goals in all elements of the Comprehensive Plan based on competition for and distribution of limited resources. 8.1 Continue to encourage citizen participation in the City's comprehensive plan and budget process. 8.2 Use the community visioning process and the comprehensive planning process to assist the City Council, City administration, and community leaders in setting priorities for implementation. 8.3 Establish a plan for distribution of limited resources based on the City Council's goals and priorities. goal NINE To examine public and private funding sources and alternative means to accomplish goals in all elements of the Comprehensive Plan. 9.1 Collaborate with members of the community to implement City Council goals and priorities. 9.2 Identify public and private funding sources, and altemative means to accomplish goals for which the City government has direct authority and responsibility. 9.3 Encourage other area service providers, private entities and community leaders to identify private funding and other similar means to realize goals within their areas. STATE OF IO\\ , A {SS: DUBUQUE COUNTY CERTIFICATION OF PUBLICATION I, Suzanne Pike, 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: February 05, 2016, and for which the charge is $17.22. Subscribed to before me, a Notary Public in and for Dubuque County, Iowa, this day of 20 // . PUBLIC IlEAl/ING Lange Estate Llrbasf Revitalization Area Plan The Dubuque City Council will hold a pub- lic hearing on Monday March 7, 2016 at 6:30 p.m. in the City Council Chambers,2nd Floor, Historic Federal Build- ing, 350 West 6th Street, Dubuque, lowa 52001 to obtain com- ments front citizens relative to the pro- posed Lange Estate Ur- ban Revitalization Area Plan. The Plan will establish the Lange Estate Urban Revitalization Area for the purpose of afforda ble senior; !rousing at 32-75 Pennsylvania Ave- nue, Dubuque, IA 52ualified 001. Improvements, including j new con- struction, to q property within the designated area may receive a total or parti- al exemption from property taxes for a specified number of years. The Large Estate Ur- ban Revitalization Area Plan is available' for public inspection in the office of the City at City Hall, 50 WClerkest 13th Street, Dubuque, Iowa and on City of Dubuquewebsithete www cityofdubuque,orgjurb anrevltalzation. Comments regarding the ro en d Plan may (owa 52041 56� cer - otary Public in and for Dubuque County, Iowa. PbPitt d be 4100 e 1 k«c is 5tl^ 16. fore t e �me o' u public hearing to the pu City Clerk, 50 West ofi" 73th street, Dubuque, It2 bere ml e on or or c y h t" f the d buque.org. bushed th ebruary r0 /5 STATE OF IOWA {SS: DUBUQUE COUNTY CERTIFICATION OF PUBLICATION I, Suzanne Pike, 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: February 19, 2016, and for which the charge is $30.71. Subscribed to before me, a Notary Public in and for Dubuque County, Iowa, this3 day of �r'� , 20 /6 No ary Public in and for Dubuque County, Iowa. n �aslk a; 6: CO iiilTh Numb,^,r 15 88 rr:R. 1 9ro MI CITY OF DUBUQUE, IOWA OFFICIAL NOTICE NOTICE OF PUBLIC HEARING OF THE `I CITY", COUNCIL OF THE CITY OF DUBU- QUE, IOWA, ON THE MATTER OF THE ADOPTION OF A PROPOSED URBAN'', REVITALIZATION PLAN FOR THE LANGE ESTATE URBAN REVI- TALIZATION PLAN Public notice is hereby given' that the Council of the City 6f Dubuque, Iowa, will hold a public hearing on 1 March 7, 2016, at 6:30 p.m., ; in the Historic Federal Build- ing, 350 West .6th Street, Dubuque, Iowa, at which meeting the City Council proposes,', to take action on the adoption of, an urban ' revitalization plan de- signated as the Urban Revitalization 'Plan for. the Lange Estate (the "Plan") under the authority of Chapter 404, Code of Iowa, as amended. The property ;which comprises the 'revital- ization ` area within which the Plan shall be applicable is legally described as tot. Two of Lange Estate in the County of Dubuque, City of Dubuque, Iowa,. according to the recorded plat thereof. i (Applewood IV) Chapter 404, Code of Iowa, as amended, and the Plan authorize the City to make property tax exemptions for property on which improvements "' have been made. Any persons interested may appear at said meeting of the City Council , and pre- sent evidence for or against the adoption of the. Plan. The proposed Plan is on file in the''. office of the City Clerk and available for public inspection or copying during regular office hours. Written comments regarding; the above public hearings may be submitted to the City Clerk's Office on or before said time of ;' public hearing at 50 W. 13th Street, or ctyclerk@cityofdubuqu e.org. At said time and place of public hearings all interested citizens and parties will be given an opportunity to , be heard for or against said proposal. 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) 589-4100 or TDD (563) 690-6678 at least 48 hours prior to the meeting. This notice is given by order of the City Council of the City of Dubuque, Iowa. Dated..tbis,19th February, 2016 R' Kevin Firnstahl:city, Clerk of Dubuque, Iowa '1't 2/19 STATE OF IOWA {SS: DUBUQUE COUNTY CERTIFICATION OF PUBLICATION I, Suzanne Pike, 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: February 19, 2016, and for which the charge is $30.71. Subscribed to before me, a Notary Public in and for Dubuque County, Iowa, this a34.," day of ��y1 , 20 /6 . No`fary Public in and for Dubuque County, Iowa. Y ^o - hump r 151-8E5 CITY OF DUBUQUE, IOWA OFFICIAL NOTICE NOTICE OF PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBU- QUE, IOWA, ON THE MATTER OF THE ADOPTION OF A PROPOSED URBAN REVITALIZATION PLAN FOR THE LANGE ESTATE URBAN REVI- TALIZATION PLAN Public notice is hereby given that the Council of the City bf Dubuque, Iowa, will hold a public hearing on March 7, 2016, at 6:30 p.m., in the Historic Federal Build- ing, 350 West 6th Street, Dubuque, Iowa, at which meeting the City Council proposes to take action on the adoption of an urban revitalization plan de- signated as the Urban Revitalization Plan for the Lange Estate (the "Plan") under the authority of Chapter 404, Code of Iowa, as amended. The property which comprises the revital- ization area within which the Plan shall be applicable is legally described as Lot Two of Lange Estate in the County of Dubuque, City of Dubuque, Iowa, according to the recorded plat thereof. (Applewood IV) Chapter 404, Code of Iowa, as amended, and the Plan authorize the City to make property tax exemptions for property on which improvements have been made. Any persons interested may appear at said meeting of the City Council and pre- sent evidence for or against the adoption of the Plan. The proposed Plan is on file in the office of the City Clerk and available for public inspection or copying during regular office hours. Written comments regarding, the above public hearings may be submitted to the City Clerk's Office on or before said time of public hearing at 50 W. 13th Street, or ctyclerk@cityofdubuqu e.org. At said time and place of public hearings all interested citizens and parties will be given an opportunity to be heard for or against said proposal. 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) 589-4100 or TDD (563) 690-6678 at least 48 hours prior to the meeting. This notice is given by order of the City Council of the City of Dubuque, Iowa. Dated this 19th day:..• February, 2016. Kevin Firnstahl, City Clerk of Dubuque, Iowa 1t 2/19