Perry council approves urban renewal expansion, sets hearings for three development agreements including $10 million JBS proposal

Perry — The Perry City Council voted unanimously to expand the city’s urban renewal area and approved staff to submit a RISE grant application to support infrastructure work in the industrial park, moves intended to enable Tax Increment Financing (TIF) incentives tied to incoming businesses.

Council members passed a resolution declaring the necessity to amend the urban renewal plan under Chapter 403 of the Code of Iowa and later approved a RISE grant submission seeking $3,990,000 with a proposed local match of $1,943,590 (about 20%). City staff said the TIF district will be used to repay bonds after financing and that grant proceeds would fund water, sanitary extensions, sidewalks and intersection improvements to serve new industrial tenants.

Why it matters: The changes add two parcels associated with planned industrial development to the urban renewal area so those properties can participate in TIF-funded infrastructure and incentive packages. The council’s actions clear several procedural steps that, if the agreements proceed, would channel public infrastructure and tax-increment support to private development projects in Perry’s industrial park.

City staff told the council the amendment has a 20-year sunset from the date a development agreement is executed, resetting the taxable valuation base and enabling tax increment capture for public infrastructure and developer incentives. During discussion, staff described traffic-control options the Iowa Department of Transportation recommended for the nearby highway intersection — including offset turn lanes, signals and roundabout alternatives — and emphasized the engineering is at a preliminary stage.

Council also advanced ordinance readings to provide for the division of taxes in the August 2025 addition to the urban renewal area (Code of Iowa §403.19). The ordinance accompanies the plan amendment and allows incremental tax revenue from the added parcels to be allocated as authorized under Iowa law.

The council set Sept. 2, 2025, at 6 p.m. for public hearings on development agreements for three projects: • ADR Axles Inc.: development agreement with annual appropriation TIF payments not to exceed $800,000 (figure under discussion and may be adjusted); • JBS Prepared Foods Inc.: development agreement with annual appropriation TIF payments not to exceed $10,000,000; council noted the JBS agreement includes provisions addressing rendering and odor control; • M&R Properties (EMTT R Properties Iowa LLC): development agreement not to exceed $200,000.

Council members emphasized these resolutions set hearing dates and do not finalize incentive amounts. “We may revisit this” if the company and staff adjust the requested rebate amounts, a staff member said, noting the dollar figures may shift before final approval.

The RISE grant discussion included a map and preliminary cost estimates; staff said design work could begin this fall if the grant is approved and construction may follow in a subsequent year. City Attorney Dwayne Dalon was identified as working on legal descriptions needed to coordinate road and parcel boundaries where county or DOT property intersects city limits.

What’s next: The council scheduled September hearings on the development agreements; any final incentive approvals would require separate council votes after public hearings, site plan approvals and execution of development agreements.