Pocatello commission validates South Fifth urban renewal plan as conforming to comprehensive plan

The Pocatello Planning and Zoning Commission on Oct. 8 validated that the proposed South Fifth Urban Renewal Area conforms to the City of Pocatello's comprehensive plan and authorized execution of Resolution 2025-1, advancing the Pocatello Development Authority's effort to use tax-increment financing to spur redevelopment in a largely underserved area.

Brent McClain, Planning and Development Services director for the City of Pocatello and executive director of the Pocatello Development Authority, told the commission, "We are the urban renewal agency for Pocatello, and we establish urban renewal districts, which are tax increment financing districts." He said the authority studied three candidate areas and selected the South Fifth area as the most ready to move forward because of underbuilt public infrastructure, aged and underused buildings, and developable parcels.

The nut of the proposal is to create a new urban renewal district to finance public infrastructure projects that proponents say would encourage private development. McClain described a project list that emphasizes sewer and water upgrades, street improvements, trail and park work, connectivity, and potential land purchases for future cemetery or park growth. He said revenue projections in the feasibility study show incremental property value growth that could yield about $52,000,000 over the district's 20-year life, and that the addition would keep Pocatello well under the statutory cap that urban renewal areas cannot exceed 10% of the city's assessed valuation (the presentation estimated the new district would represent roughly 3.5% when combined with existing districts).

McClain identified four existing urban renewal districts in the community (an airport district; the North Portniff district near the Hoku site; Northgate; and the Titan Center, the old naval ordnance plant) and said three of those are expected to close within about five years. He also said portions of the proposed South Fifth area now lie in county jurisdiction and that the authority is negotiating an intergovernmental agreement with the county and expects some properties that develop to be annexed into the city.

The presentation noted that some agricultural landowners declined to be included; properties with conservation easements and steep slopes were removed from the proposed boundary. McClain also flagged a recent legislative change allowing fire and EMS districts to opt out of urban renewal districts if they have no outstanding debt; he said the authority was conservative in its feasibility work and did not include very small taxing districts that would generate little increment.

McClain described the procedural next steps: the authority will finalize an intergovernmental agreement with the county, publish two notices in the Idaho State Journal as required, and proceed to a city council public hearing. At the commission meeting, Commissioner Gomez moved "to validate that the urban renewal plan for the South Fifth urban renewal project is in conformity with the city's comprehensive plan and to authorize the vice chair to execute resolution number 2025Dash1," and Commissioner Amy Mendoza seconded the motion. The motion was recorded as approved.

The vote advances the formal adoption process: the commission's validation is a review of conformity with the comprehensive plan, after which the city council and the county (for properties in their jurisdiction) will complete their respective public-notice and hearing steps before any urban renewal district is created or tax-increment financing commitments are made.

Documents included with the presentation: a feasibility study, maps showing draft and revised boundaries with several owner opt-outs, and a project list with phased infrastructure projects. McClain said the authority is aiming to have the district set up and ready to go by the end of the year, subject to the remaining intergovernmental agreements, publications, and council action.