Council approves development agreement for 48 townhomes with local TIF rebate

The Oskaloosa City Council on March 16 voted to approve a development agreement with Oskaloosa Multifamily LLC to build approximately 48 townhomes in the Oskaloosa Urban Renewal Area.

The chair opened the public hearing and, seeing no public comment, closed it before the council moved and seconded the measure. The agreement obligates the developer to construct minimum improvements totaling at least $7,474,104 on the identified property and requires the units to be affordable to low- and moderate-income families, according to the presentation by the chair.

Under the agreement, the city would provide a local match through an economic-development grant rebate consisting of 100% of the tax increment generated by the construction of the minimum improvements for up to 30 consecutive semiannual payments, not to exceed the lesser of $3,120,000 or the amount accrued under the stated formula. The document also sets a minimum assessed value of the improvements at no less than $8,160,000.

Council discussion was brief; the chair noted the developer revised the plan from 50 to 48 townhomes because of site constraints but said “all the other provisions discussed at City Council remain the same.” The motion to approve passed (roll call: 6 yes, 1 abstain).

Next steps: the development agreement is approved and will be executed by the city and developer as presented; no additional public comment was recorded at this meeting.