Pella City Council designates 'Imagine More' urban renewal area, places tax ordinance on first reading

Pella City Council voted unanimously July 7 to designate an area of the city as a blighted and economic development area and to adopt the Imagine More Community Urban Renewal Plan.

The council approved Resolution No. 7092 after a public hearing that drew two oral comments and no written submissions. Councilmember Dave Hopkins moved to approve the resolution and Councilmember Calvin Bandstra seconded; the roll call vote was recorded as AYEs: 6, NAYS: none.

On the same agenda the council placed Ordinance No. 1090 on its first reading. The ordinance would require that general property taxes levied on property within the Imagine More urban renewal area be paid into a special fund to cover principal and interest on loans or other indebtedness the city incurs related to the renewal plan (tax increment financing). Councilmember Hopkins moved to place the ordinance on first reading and Councilmember Dr. Spencer Carlstone seconded; the roll call vote was AYEs: 6, NAYS: none.

The resolutions and ordinance language included standard tax-increment financing language directing incremental property tax proceeds to a special fund for repayment of bonds or other indebtedness tied to the urban renewal projects. The council did not adopt the ordinance at final reading; placing it on first reading begins the formal ordination process under city code.

The hearing and actions were taken during the regular city council meeting at the Public Safety Complex. The council will need to complete subsequent ordinance readings and any related procedural steps before tax-increment financing can be implemented for projects in the designated area.