HomeMy WebLinkAbout2024-10-07 G01 AP North DA Amend_PHAGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: October 7, 2024
AGENDA ITEM:Public Hearing on a proposal to enter into a First Amendment to the
Agreement for Private Development with AP North, LC.
FORMAT:Public Hearing
SYNOPSIS INCLUDING PRO & CON: The proposed amendment to the development
agreement with AP North, L.C. would adjust the economic development
grants to include tax increment revenue from the Central Iowa Hospital
Corporation (CIHC) commercial improvements. This amendment
proposes up to eleven annual payments, starting in fiscal year 26/27. The
first three years would receive 25% of CIHC tax increment, and the
remaining eight years would receive 50% of CIHC.
AP North, L.C. is developing over 50 acres of land in the Kettlestone
Development. As part of this development, they have constructed a
regional storm water retention pond, which was dedicated to the City as
public improvement.
The economic development grant from the original agreement will
remain unchanged and includes up to twelve annual payments, with 70%
for the first six years and 80% for the remaining six years, with a total
grant cap of $2 million. The agreement will terminate if no tax
increments are collected by fiscal year 35/36.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS:
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT: AP North, L.C. constructed a storm water pond to
benefit the CIHC development (UnityPoint) and the surrounding area.
When the initial agreement was approved, it was assumed that
UnityPoint was tax-exempt, but this turned out to be incorrect. The
developer had planned to use tax increment from the CIHC to cover the
cost of the public improvements. However, due to the unexpected tax
status of UnityPoint, the developer committed to new commercial
development in Kettlestone to help fund the improvements. The
proposed amendment will use CIHC TIF increment to help for public
improvements.
RECOMMENDATION: Hold a public hearing
ATTACHMENTS: I. Public Hearing Notice
G1
II. First Amendment to the Development Agreement
PREPARED BY:Jennifer Brown, Director of Economic Development
REVIEWED BY:
PUBLIC NOTICE INFORMATION –
NAME OF PUBLICATION: Dallas County News
DATE OF PUBLICATION: October 3, 2024
(One publication required)
NOTICE OF PUBLIC HEARING OF THE CITY COUNCIL OF
THE CITY OF WAUKEE IN THE STATE OF IOWA, ON THE
MATTER OF THE PROPOSAL TO ENTER INTO A FIRST
AMENDMENT TO THE AGREEMENT FOR PRIVATE
DEVELOPMENT WITH AP NORTH, L.C., AND THE HEARING
THEREON
PUBLIC NOTICE is hereby given that the Council of the City of Waukee in the State of
Iowa, will hold a public hearing on October 7, 2024, at 5:30 P.M. in the Council Chambers, City
Hall, 230 West Hickman Road, Waukee, Iowa, at which meeting the Council proposes to take
action on the proposal to enter into a First Amendment to the Agreement for Private Development
(the "Amendment") with AP North, L.C. (the "Developer").
The City and the Developer have previously entered into an Agreement for Private
Development dated July 10, 2023 ("Agreement"), pursuant to which, among other things, the
Developer agreed to construct a regional stormwater detention pond ("Public Improvements") on
certain real property located within the Waukee Consolidated Urban Renewal Area, and the City
agreed to provide the Developer with certain Tax Increments derived from Commercial
Improvements in exchange for Developer’s completion of the Public Improvements.
The Public Improvements were intended to benefit, among other things, commercial
development on certain property described in the Agreement as the "Development Property". The
Public Improvements will also benefit an office building ("CIHC Improvements") being
constructed by Central Iowa Hospital Corporation ("CIHC") on a nearby parcel ("CIHC Parcel").
The Amendment would amend the terms of the Agreement to provide Developer with
certain incremental taxes derived from the completion of the CIHC Improvements to expedite the
reimbursement of Developer for the costs of the Public Improvements, pursuant to the terms and
conditions of the Amendment.
A copy of the Amendment is on file for public inspection during regular business hours in
the office of the City Clerk, City Hall, City of Waukee, Iowa.
At the above meeting the Council shall receive oral or written objections from any resident
or property owner of said City, to the proposal to enter into the Amendment with the Developer.
After all objections have been received and considered, the Council will at this meeting or at any
adjournment thereof, take additional action on the proposal or will abandon the proposal to
authorize said Amendment.
This notice is given by order of the City Council of the City of Waukee in the State of
Iowa, as provided by Section 364.6, Code of Iowa.
Dated this 16th day of September, 2024.
Rebecca D. Schuett
City Clerk, City of Waukee in the State of Iowa
(End of Notice)
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