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Council approves urban renewal amendment and purchase agreement tied to Hobo Renewable Diesel
Summary
The council adopted an amendment to the LincolnWay Industrial Rail & Air Park urban renewal plan and approved a purchase, sale and development agreement with Hobo Renewable Diesel LLC that adjusts the abatement schedule and preserves a Dec. 31 purchase deadline; the council also authorized an RFP to farm city land while the option remains in place.
The Clinton City Council adopted an amendment to the Phase 3 LincolnWay Industrial Rail & Air Park Urban Renewal Plan and approved a purchase‑sale and development agreement with Hobo Renewable Diesel LLC, city staff said.
City staff explained the amendment responds to changes in state incentive programs: because the state's high‑quality jobs incentives are no longer available, the urban renewal language and incentive structure for Hobo were revised so the company can proceed under a new abatement schedule and still pursue state incentives later.
"This doesn't change a whole lot," a council member said, noting public infrastructure obligations remain and the deadline for Hobo to purchase the ground remains Dec. 31 of this year. The change allows the developer to buy the land and proceed without first securing state incentives, with the ability to seek those incentives afterward.
Council adopted a resolution designating the area as appropriate for urban renewal projects, then approved the purchase and development agreement by roll call. Council members also approved issuing an RFP to farm 121.13 acres the city holds under option with Hobo so planting can begin; lease proposals are due May 7 at 2:00 p.m., and the council planned to consider award of leases on May 12 so seasonal work can proceed.
The agreement discussion included a note that the updated contract permits the city to solicit bids to farm the ground this year and generate modest revenue if the land is not yet purchased by Hobo.
The council's actions complete the council's current approvals for the urban renewal amendment and the purchase‑sale and development agreement; follow‑up contract details and any state incentive negotiations would happen outside the council meeting record.
