Consultant: downtown area likely qualifies for new TIF district; public hearing set for Dec. 2

Jared, identified in the transcript as representing Iran Economic Development, presented a feasibility study for a proposed downtown tax increment financing (TIF) district and concluded the study area would likely qualify as a combination of a conservation area and a blighted area under the TIF Act.

Jared said the study area generally follows the footprint of the former downtown TIF with minor changes and includes about 405 parcels (446 unique parcel identification numbers). He said 88% of structures in the boundary are at least 35 years old, with a median construction year of 1925, and that many properties exhibit age-related deterioration.

On the undeveloped portion of the project area, Jared reported 132 vacant parcels and said over half of those parcels have unique owners (a "diversity of ownership"), which can complicate land assembly. He added that 64% of undeveloped parcels showed deteriorated surface or site improvements such as sidewalks or adjacent roadways.

Using statutory criteria, Jared said the project area’s equalized assessed value growth lagged the balance of the city and the CPI for four of the last five years, satisfying the property-value factor in the TIF Act. "We concluded that the area would likely qualify for what is called a combination of the conservation area and the blighted area," he told the council.

Staff and consultant outlined the next steps and schedule: place the feasibility study on file, pass an October ordinance to establish a public-hearing date, hold a joint review board meeting, conduct a public hearing scheduled for Dec. 2 at 6 p.m., and — if council chooses to proceed — adopt three ordinances on Dec. 16 to approve the redevelopment plan, the redevelopment project area, and tax-increment financing for the area.

Council members asked about likely programming and projects that could use TIF funds; staff said typical, early programs would include property‑enhancement and façade programs and that cleared sites (for example, the Bayer manufacturing site) are promising candidates for increment-financed redevelopment. Council members also asked whether the existing Locks TIF (with a remaining balance) would be retained or folded into the new district; staff said they would evaluate that question and return recommendations.

Jared said staff would coordinate required notices and mailings to affected taxing districts and that the firm will be present at the public hearing to present the plan and take public comments. No action to establish the TIF was taken at the meeting.