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HomeMy WebLinkAbout2024-09-03 G03 URA The Quarter Commercial Amendment 1_PHAGENDA ITEM: CITY OF WAUKEE, IOWA CITY COUNCIL MEETING COMMUNICATION MEETING DATE: September 3, 2024 AGENDA ITEM:Public Hearing on proposed Amendment No. 1 to the Quarter Commercial Urban Renewal Plan FORMAT:Public Hearing SYNOPSIS INCLUDING PRO & CON: City Council adopted The Quarter Urban Renewal Plan on December 19, 2022. The proposed Amendment No. 1 includes addition of certain property to the Urban Renewal Area and updates previously approved projects and financial information. FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS: COMMISSION/BOARD/COMMITTEE COMMENT: STAFF REVIEW AND COMMENT: Staff held a consultation meeting with the County and the affected school district on August 12, 2024, at 2 pm. No one attended the meeting. Staff has not received any correspondence related to the proposed amendment. RECOMMENDATION: Hold the Public Hearing ATTACHMENTS: I. Amendment No. 1 Quarter Commercial Urban Renewal Plan II. Public Hearing Notice PREPARED BY:Jennifer Brown REVIEWED BY: PUBLIC NOTICE INFORMATION – NAME OF PUBLICATION: DATE OF PUBLICATION: G3 Final AMENDMENT NO. 1 to THE QUARTER COMMERCIAL URBAN RENEWAL PLAN for THE QUARTER COMMERCIAL URBAN RENEWAL AREA CITY OF WAUKEE, IOWA Original Plan – December 2022 Amendment No. 1 – September 2024 - 2 - Final AMENDMENT NO. 1 TO THE QUARTER COMMERCIAL URBAN RENEWAL PLAN CITY OF WAUKEE, IOWA The Quarter Commercial Urban Renewal Plan ("Plan" or "Urban Renewal Plan") for The Quarter Commercial Urban Renewal Area ("Area" or "Urban Renewal Area") was adopted by Resolution No. 2022-535 on December 19, 2022. The Urban Renewal Plan is now being amended by this Amendment No. 1 to the Plan ("Amendment" or "Amendment No. 1") to update the description of a previously approved urban renewal project to be undertaken within the Urban Renewal Area and to add land to the Urban Renewal Area. Except as modified by this Amendment No. 1, the provisions of the original Plan are hereby ratified, confirmed, and approved and shall remain in full force and effect as provided herein. In case of any conflict or uncertainty, the terms of this Amendment No. 1 shall control. Any subsections not mentioned in this Amendment No. 1 shall continue to apply to the Plan. DESCRIPTION OF URBAN RENEWAL AREA The legal description of the property being added to the Urban Renewal Area is attached hereto as Exhibit “A” and may be referred to as the “Amendment No. 1 Subarea”. A map of The Quarter Commercial Urban Renewal Area, as amended by this Amendment No. 1, is attached hereto as Exhibit “B.” DEVELOPMENT PLAN The City has a general plan for the physical development of the City as a whole outlined in the Waukee Comprehensive Land Use Plan, adopted in 2019. The goals and objectives of the Plan, and the projects outlined in this Amendment, are in conformity with the Waukee Comprehensive Land Use Plan, adopted in 2019. The Plan does not in any way replace or modify the City’s current land use planning or zoning regulation process. The need for improved traffic, public transportation, public utilities, recreational and community facilities, or other public improvements within the Urban Renewal Area, if any, is set forth in the Plan. As the Area develops, the need for public infrastructure extensions and upgrades will be evaluated and planned for by the City. - 3 - Final UPDATE TO PREVIOUSLY APPROVED URBAN RENEWAL PROJECT Numerous urban renewal projects were authorized prior to the date of this Amendment and may be continuing. With the adoption of this Amendment, the City is updating the description of the following previously authorized project: 1. Development Agreement with The Quarter at Waukee, L.L.C.: In the original Plan, the City approved a Development Agreement with the Quarter at Waukee, L.L.C. (“Developer”) as a project in the Urban Renewal Area. Additional changes to the project have now been identified by Developer including improvements to be added to the Amendment No. 1 Subarea. Subject to the terms and conditions set forth in the Agreement, as amended from time to time, the City would provide Developer with Economic Development Grants to incentivize a total of an anticipated seventeen (17) commercial buildings and related site improvements, with a total investment of approximately $112,000,000. The City expects to make Economic Development Grants to Developer in the form of rebates of varying percentages of incremental taxes generated by the separate buildings over a period of twelve (12), sixteen (16) or twenty (20) years, depending on the nature of the specific commercial building as described in the Agreement. The cumulative total of all such grants is not expected to exceed $41,000,000 and will be subject to the terms and conditions of a detailed development agreement. FINANCIAL DATA 1.Current constitutional debt limit:$215,542,750 2.Current outstanding general obligation debt:$164,173,921 3. Proposed amount of indebtedness to be incurred: A specific amount of debt to be incurred for the urban renewal projects described herein has not yet been determined. The estimated project costs in this Amendment are estimates only and will be incurred and spent over a number of years. In no event will the City’s constitutional debt limit be exceeded. The City Council will consider each project proposal on a case-by-case basis to determine if it is in the City’s best interest to participate before approving an urban renewal project or expense. It is further expected that such indebtedness, including interest on the same, may be financed in whole or in part with tax increment revenues from the Urban Renewal Area. Subject to the foregoing, it is estimated that the cost of the Update to Previously Approved Urban Renewal Project (Amendment No. 1) as described above will be approximately as follows: Increase to Previously Approved Urban Renewal Project: $6,000,000 Total for Updated Project: $41,000,000 This total does not include financing costs related to debt issuance, which may be incurred over the life of the Area. - 4 - Final EFFECTIVE PERIOD This Amendment No. 1 will become effective upon its adoption by the City Council. Notwithstanding anything to the contrary in the Plan, any prior amendment, resolution, or document, the Plan, as amended, shall remain in effect until terminated by the City Council. The use of incremental property tax revenues, or the “division of revenue,” as those words are used in Chapter 403 of the Code of Iowa, will be consistent with Chapter 403 of the Iowa Code. Nothing in this Amendment shall alter the duration of the division of revenue as previously explained in the Plan, as previously amended. REPEALER AND SEVERABILITY CLAUSE Any parts of the Plan in conflict with this Amendment are hereby repealed. If any part of this Amendment or the Plan is determined to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity of the Amendment or the Plan as a whole, or any part of the Amendment or the Plan not determined to be invalid or unconstitutional. - 5 - Final EXHIBIT A LAND TO BE ADDED TO THE QUARTER COMMERCIAL URBAN RENEWAL AREA BY AMENDMENT NO. 1 Parcel 1604376004 shown as Outlot V in THE SHOPS AT KETTLESTONE NORTH PLAT 4, an Official Plat, now included in and forming a part of the City of Waukee, Dallas County, Iowa, Except Parcel ‘19-92’ of a part of said Outlot V as shown in Survey filed in Book 2019, Page 16817 and Except Parcel ‘21-94’ of a part of said Outlot V as shown in Survey recorded in Book 2021, Page 28853 - 6 - Final EXHIBIT B MAP OF THE QUARTER COMMERCIAL URBAN RENEWAL AREA, AS AMENDED BY AMENDMENT NO. 1 02379804\21938-349 (One publication required) NOTICE OF PUBLIC HEARING TO CONSIDER APPROVAL OF A PROPOSED AMENDMENT NO. 1 TO THE QUARTER COMMERCIAL URBAN RENEWAL PLAN FOR AN URBAN RENEWAL AREA IN THE CITY OF WAUKEE, STATE OF IOWA The City Council of the City of Waukee, State of Iowa, will hold a public hearing before itself at its meeting which commences at 5:30 P.M. on September 3, 2024 in the Council Chambers, City Hall, 230 West Hickman Road, Waukee, Iowa, to consider adoption of a proposed Amendment No. 1 to The Quarter Commercial Urban Renewal Plan (the "Amendment") concerning an Urban Renewal Area in the City of Waukee, State of Iowa. The Amendment proposes to add certain land to the Urban Renewal Area, legally described as follows: Parcel 1604376004 shown as Outlot V in THE SHOPS AT KETTLESTONE NORTH PLAT 4, an Official Plat, now included in and forming a part of the City of Waukee, Dallas County, Iowa, Except Parcel ‘19-92’ of a part of said Outlot V as shown in Survey filed in Book 2019, Page 16817 and Except Parcel ‘21-94’ of a part of said Outlot V as shown in Survey recorded in Book 2021, Page 28853 A copy of the Amendment is on file for public inspection in the office of the City Clerk, City Hall, City of Waukee, Iowa. The City of Waukee, State of Iowa is the local public agency which, if such Amendment is approved, shall undertake the urban renewal activities described in such Amendment. The general scope of the urban renewal activities under consideration in the Amendment is to promote the growth and retention of qualified industries and businesses in the Urban Renewal Area through various public purpose and special financing activities outlined in the Amendment. To accomplish the objectives of the Amendment, and to encourage the further economic development of the Urban Renewal Area, the Amendment provides that such special financing activities may include, but not be limited to, the making of loans or grants of public funds to private entities under Chapter 15A, Code of Iowa. The City also may reimburse or directly undertake the installation, construction and reconstruction of substantial public improvements, including, but not limited to, street, water, sanitary sewer, storm sewer or other public improvements. The City also may acquire and make land available for development or redevelopment by private enterprise as authorized by law. The Amendment provides that the City may issue bonds or use available funds for purposes allowed by the Plan and that tax increment reimbursement of the costs of urban renewal projects may be sought if and to the extent incurred by the City. The Amendment initially proposes no specific public infrastructure or site improvements to be undertaken by the City, and provides that the Amendment may be amended from time to time. The proposed Amendment No. 1 would update the description of a previously approved urban renewal project to be undertaken within the Urban Renewal Area and add land to the Urban Renewal Area. Other provisions of the Plan not affected by the Amendment would remain in full force and effect. Any person or organization desiring to be heard shall be afforded an opportunity to be heard at such hearing. This notice is given by order of the City Council of the City of Waukee, State of Iowa, as provided by Section 403.5, Code of Iowa. Dated this 5th day of August, 2024. Rebecca D. Schuett City Clerk, City of Waukee, State of Iowa (End of Notice) 02381142\21938-349