LaSalle committee backs public hearing, council recommendation for River's Edge redevelopment zone application

The LaSalle Economic Development Committee voted to recommend that the City Council set a public hearing and consider an ordinance to submit an application to the Illinois Department of Commerce and Economic Opportunity (DCEO) seeking inclusion of portions of LaSalle in the River's Edge redevelopment zone.

Kirk, a city staff member leading the draft application review, told the committee the process is detailed and that the city engaged the North Central Illinois Council of Governments (NCICG) to support and speed the application. "We will be required as part of the application process to have a public hearing," Kirk said, describing the ordinance and public hearing as necessary steps before submitting materials to the state.

Dwayne Kelbel, representing NCICG, described River's Edge as a redevelopment program similar to an enterprise zone that targets older, challenged riverfront areas for revitalization. "The River's Edge is just a program to help rehabilitate, revitalize challenged areas within the rivers," Kelbel said, and he cited other Illinois cities that have used similar tools.

Kirk and Kelbel told the committee the program allows a jurisdiction to designate up to 12 square miles as part of the River's Edge so long as the contiguous environmentally challenged area is within 1,500 feet of the river; LaSalle's proposed map focuses on commercial and industrial areas and excludes residential areas where possible. Kirk said the city chose outside boundaries of existing TIF districts and specifically included commercial corridors such as 8th Street so those properties could qualify for the program's benefits.

Committee members asked about incentives. Kelbel said the River's Edge does not provide property-tax abatements through this application but does enable state sales-tax exemptions for qualifying building materials and state historic tax benefits; "the only thing that I—m aware of that the city has to do is have a committee or an administrator" to issue material-exemption certificates, he added.

After discussion, a committee member moved to recommend that the City Council set a public hearing and prepare the ordinance necessary to pursue the River's Edge designation. The motion was seconded and approved by roll call; the committee recorded the recommendation to forward to the City Council and noted the target public hearing date discussed with NCICG.