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HomeMy WebLinkAbout4911-9853-6656 v.4 West Highway District Plan Resolution_AgencyRESOLUTION NO. 2026-07 BY THE BOARD OF COMMISSIONERS OF THE URBAN RENEWAL AGENCY OF THE CITY OF REXBURG, IDAHO, AKA REXBURG REDEVELOPMENT AGENCY: A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE URBAN RENEWAL AGENCY OF THE CITY OF REXBURG, IDAHO, ALSO KNOWN AS THE REXBURG REDEVELOPMENT AGENCY, RECOMMENDING AND ADOPTING THE URBAN RENEWAL PLAN FOR THE WEST HIGHWAY URBAN RENEWAL PROJECT, WHICH PLAN INCLUDES REVENUE ALLOCATION — FINANCING PROVISIONS; AUTHORIZING AND DIRECTING THE CHAIR OR ADMINISTRATOR OF THE AGENCY TO TAKE APPROPRIATE ACTION; AUTHORIZING AND DIRECTING THE ADMINISTRATOR AND SECRETARY OF THE AGENCY TO MAKE CERTAIN TECHNICAL CHANGES; PROVIDING FOR THIS RESOLUTION TO BE EFFECTIVE UPON ITS PASSAGE AND APPROVAL; AND PROVIDING AN EFFECTIVE DATE. THIS RESOLUTION, made on the date hereinafter set forth by the Urban Renewal Agency of the City of Rexburg, Idaho, also known as the Rexburg Redevelopment Agency, an independent public body, corporate and politic, authorized under the authority of the Idaho Urban Renewal Law of 1965, Chapter 20, Title 50, Idaho Code, as amended (hereinafter the “Law’”) and the Local Economic Development Act, Chapter 29, Title 50, Idaho Code, as amended (hereinafter the “Act”), a duly created and functioning urban renewal agency for Rexburg, Idaho, hereinafter referred to as the “Agency.” WHEREAS, by Resolution dated November 6, 1991, the City Council (the “City Council’) of the City of Rexburg (the “City”) created an urban renewal agency, pursuant to the Law, authorizing the Agency to transact business and exercise the powers granted by the Law and the Act upon making the findings of necessity required for creating the Agency; WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Downtown District Redevelopment Plan (the “Downtown Plan”); WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 910 on December 17, 2003, approving the Downtown Plan, making certain findings, and establishing the Downtown Plan revenue allocation area (the “Downtown Plan Project Area”); WHEREAS, the City Council, after notice duly published, conducted a public hearing on the University Boulevard-South 12th West Urban Renewal Plan (the “University Boulevard Plan”); RESOLUTION NO. 2026-07 - 1 WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 996 on December 19, 2007, approving the University Boulevard Plan, making certain findings, and establishing the University Boulevard Plan revenue allocation area (the “University Boulevard Plan Project Area’); WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Amended and Restated Downtown District Redevelopment Plan (the “Amended and Restated Downtown Plan”); WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 1035 on December 2, 2009, approving the Amended and Restated Downtown Plan, making certain findings, and establishing the Amended and Restated Downtown Plan revenue allocation area (the “Amended and Restated Downtown Plan Project Area”); WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Second Amended and Restated Downtown District Redevelopment Plan, Downtown Urban Renewal Project (the “Second Amended and Restated Downtown Plan”); WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 1123 on November 5, 2014, approving the Second Amended and Restated Downtown Plan, making certain findings, and establishing the Second Amended and Restated Downtown Plan revenue allocation area (the “Second Amended and Restated Downtown Plan Project Area”); WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Urban Renewal Plan for the North Interchange Urban Renewal Project (the “North Interchange Plan”); WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 1134 on December 2, 2015, approving the North Interchange Plan, making certain findings, and establishing the North Interchange Plan revenue allocation area (the “North Interchange Plan Project Area”); WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Urban Renewal Plan for the North Central Urban Renewal Project (the “North Central Plan”); WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 1242 on December 16, 2020, approving the North Central Plan, making certain findings, and establishing the North Central Plan revenue allocation area (the “North Central Plan Project Area’); WHEREAS, the above referenced urban renewal plans are collectively referred to as the “Existing Urban Renewal Plans,” and their respective existing revenue allocation project areas are collectively referred to as the “Existing Project Areas;” RESOLUTION NO, 2026-07 - 2 WHEREAS, pursuant to Idaho Code Section 50-2008, an urban renewal project may not be planned or initiated unless the local governing body has, by resolution, determined such area to be a deteriorated area or deteriorating area, or combination thereof, and designated such area as appropriate for an urban renewal project; WHEREAS, Idaho Code Section 50-2906, also requires that in order to adopt an urban renewal plan containing a revenue allocation financing provision, the local governing body must make a finding or determination that the area included in such plan is a deteriorated area or deteriorating area; WHEREAS, it has become apparent that additional property, a portion of which is located within the City, and a portion of which is located within the City’s area of operation and within unincorporated Madison County, may be deteriorating or deteriorated and should be examined as to whether such an area is eligible for an urban renewal project; WHEREAS, the Agency engaged the services of Brad Cramer, Perspective Planning & Consulting LLC, to commence an eligibility study and preparation of an eligibility report of an area approximately 840 acres in size. The area is generally bounded by 1000 South on the south, U.S. Highway 20 on the east, 3000 West on the west and 2000 North on north. Collectively this area is referred to as the “West Highway District Study Area;” WHEREAS, the Agency obtained The West Highway District Eligibility Report (the “Eligibility Report”), which examined the West Highway District Study Area, which area also included real property located within unincorporated Madison County, for the purpose of determining whether such area was a deteriorating area and/or a deteriorated area, or a combination of both a deteriorating area and a deteriorated area, as those terms are defined by Idaho Code Sections 50-2018(9) and 50-2903(8); WHEREAS, pursuant to Idaho Code Sections 50-2018(8), (9) and 50-2903(8), which define a deteriorating area and a deteriorated area, many of the qualifying conditions necessary to be present in such an area to be deemed eligible for urban renewal planning purposes are found in the West Highway District Study Area, including; a. predominance of defective or inadequate street layout, b. outmoded street patterns; c. need for correlation of area with other areas of by streets and modern traffic requirements; d. faulty lot layout in relation to size, adequacy, accessibility or usefulness; obsolete platting; insanitary or unsafe conditions; diversity of ownership; existence of conditions which endanger life or property by fire and other causes; substantially impairs or arrests the sound growth of a municipality; conditions which retard development of the area; and results in economic underdevelopment of the area and economic disuse. or br go rh o RESOLUTION NO. 2026-07 - 3 WHEREAS, under the Act, a deteriorated area includes any area which is predominantly open and which, because of obsolete platting, diversity of ownership, deterioration of structures or improvements, or otherwise, results in economic underdevelopment of the area or substantially impairs or arrests the sound growth of a municipality. See, Idaho Code § 50- 2903(8)(c); WHEREAS, the West Highway District Study Area includes a substantial amount of open land or open area; WHEREAS, Idaho Code Sections 50-2018(8), (9), 50-2903(8) and 50-2008(d) list the additional conditions applicable to open land areas, including open land areas to be potentially acquired by the Agency, which are the same or similar to the conditions set forth in the definitions of “deteriorating area” and “deteriorated area;” WHEREAS, the Eligibility Report addresses the necessary findings concerning the eligibility of open land within the West Highway District Study Area as defined in Idaho Code Sections 50-2018(9), 50-2903(8)(c), and 50-2008(d); WHEREAS, the effects of the listed conditions cited in the Eligibility Report result in economic underdevelopment of the area, substantially impairs or arrests the sound growth of a municipality, constitutes an economic or social liability, and is a menace to the public health, safety, morals, or welfare in its present condition or use; WHEREAS, the Agency Board, on October 15, 2025, adopted Resolution No, 2025-03 accepting the Eligibility Report and authorized the Agency Chair and Administrator of the Agency to transmit the Eligibility Report to the City Council requesting its consideration for designation of an urban renewal area and requesting the City Council to direct the Agency to prepare an urban renewal plan for the West Highway District Study Area, which plan may include a revenue allocation provision as allowed by law; WHEREAS, the Agency also authorized the transmittal of the Eligibility Report to the Madison County Board of County Commissioners for purposes of obtaining a resolution determining such areas outside the boundaries of the incorporated City and within unincorporated Madison County to be deteriorated and/or deteriorating and finding the need for an urban renewal project for the proposed West Highway District Study Area; WHEREAS, Idaho Code Section 50-2018(18) provides that an urban renewal agency cannot exercise jurisdiction over any area outside the city limits and within its area of operation without the approval by resolution of the other city or county declaring the need for an urban renewal plan for the proposed area; WHEREAS, a portion of the West Highway District Study Area includes certain real property located within the City’s area of operation and within unincorporated Madison County; WHEREAS, the Agency submitted Agency Resolution No. 2025-03 and the Eligibility Report to the Madison County Board of County Commissioners, and the Madison County Board RESOLUTION NO. 2026-07 - 4 of County Commissioners were asked to adopt a resolution finding the need for an urban renewal project for the proposed West Highway District Study Area; WHEREAS, on October 27, 2025, the Madison County Board of County Commissioners pursuant to Resolution No. 531 found the West Highway District Study Area to be in need of an urban renewal project area; WHEREAS, the City Council, by Resolution No. 2025-12, dated November 18, 2025, declared the West Highway District Study Area described in the Eligibility Report to be a deteriorated area or deteriorating area, or a combination thereof, as defined by Chapters 20 and 29, Title 50, Idaho Code, as amended, that such area is appropriate for an urban renewal project, that the Madison County Board of County Commissioners adopted the necessary resolution and directed the Agency to commence preparation of an urban renewal plan, WHEREAS, the Agency embarked on the planning of an urban renewal project referred to as the Urban Renewal Plan for the West Highway Urban Renewal Project (the “West Highway Plan”) to develop and/or redevelop a portion of the City, and an area within the City’s area of operation, pursuant to the Law and the Act, as amended; WHEREAS, the West Highway Plan proposes to create an urban renewal and revenue allocation area commonly known as the West Highway Project Area, which area is shown on the Boundary Map of Urban Renewal Project Area and Revenue Allocation Area and described in the Description of Urban Renewal Project Area and Revenue Allocation Area, which will be attached to the West Highway Plan as Attachments 1 and 2 respectively. Attachments 1 and 2 are anticipated to be completed and finalized by the surveyor in several weeks; WHEREAS, the area included in the West Highway Project Area is smaller than the area assessed in the Eligibility Report as not all owners of agricultural operations elected to consent to be included within the West Highway Project Area, and the area outside the area of City impact was removed; WHEREAS, in order to implement the provisions of the Act and the Law either the Agency may prepare a plan, or any person, public or private, may submit such plan to the Agency; WHEREAS, the Agency has prepared the proposed West Highway Plan for a portion of the area previously designated as eligible for urban renewal planning; WHEREAS, the Act authorizes the Agency to adopt revenue allocation financing provisions as part of an urban renewal plan; WHEREAS, the West Highway Plan also contains provisions of revenue allocation financing as allowed by the Act; WHEREAS, in order to implement the provisions of the Law and the Act, the Agency shall prepare and adopt the West Highway Plan and submit the West Highway Plan and RESOLUTION NO. 2026-07 - 5 recommendation for approval thereof to the City; WHEREAS, the Agency Board, at several Agency Board meetings in 2025 and 2026, has considered public improvements related to the West Highway Project Area; WHEREAS, as required by the Law and the Act, the Agency has reviewed the information within the West Highway Plan concerning the use of revenue allocation funds at the Agency Board meeting on August 26, 2026, and considered the West Highway Plan for approval at its meeting on September 16, 2026; WHEREAS, the West Highway Plan will be tendered to the Planning and Zoning Commission and. to the City for their consideration and review as required by the Law and the Act; WHEREAS, under the Act, the West Highway Plan shall include with specificity the following: (1) a statement describing the total assessed valuation of the base assessment roll of the revenue allocation area and the total assessed valuation of all taxable property within the municipality; (2) a statement listing the kind, number, and location of all proposed public works or improvements within the revenue allocation area; (3) an economic feasibility study; (4) a detailed list of estimated project costs; (5) a fiscal impact statement showing the impact of the revenue allocation area, both until and after the bonds are repaid, upon all taxing districts levying taxes upon property in the revenue allocation area; and (6) a description of the methods of financing all estimated project costs and the time when related costs or monetary obligations are to be incurred; (7) a termination date for the plan and the revenue allocation area as provided for in Idaho Code § 50-2903(20); and (8) a description of the disposition or retention of any assets of the agency upon the termination date; WHEREAS, it is necessary and in the best interests of the citizens of the City to recommend approval of the West Highway Plan and to adopt, as part of the West Highway Plan, revenue allocation financing provisions that will help finance urban renewal projects to be completed in accordance with the West Highway Plan in order to (1) encourage private development in the urban renewal area; (2) to prevent and arrest decay of the West Highway Project Area due to the inability of existing financing methods to provide needed public improvements; (3) to encourage taxing districts to cooperate in the allocation of future tax revenues arising in the West Highway Project Area in order to facilitate the long-term growth of their common tax base; (4) to encourage the long-term growth of their common tax base; (5) to encourage private investment within the City and (6) to further the public purposes of the Agency; WHEREAS, the Agency Board finds that the equalized assessed valuation of the taxable property in the revenue allocation area described in Attachments 1 and 2 of the West Highway Plan is likely to increase as a result of initiation of urban renewal projects in accordance with the West Highway Plan; WHEREAS, under the Law and Act, any such plan should provide for (1) a feasible method for the location of families who will be displaced from the urban renewal area in decent, RESOLUTION NO. 2026-07 - 6 safe and sanitary dwelling accommodations within their means and without undue hardship to such families; (2) the urban renewal plan should conform to the general plan of the municipality as a whole; (3) the urban renewal plan should give due consideration to the provision of adequate park and recreational areas and facilities that may be desirable for neighborhood improvement, with special consideration for the health, safety and welfare of the children residing in the general vicinity of the site covered by the plan; and (4) the urban renewal plan should afford maximum opportunity, consistent with the sound needs of the municipality as a whole, for the rehabilitation or redevelopment of the urban renewal area by private enterprise; WHEREAS, if the urban renewal area consists of an area of open land to be acquired by the urban renewal agency, such area shall not be so acquired unless (1) if it is to be developed for residential uses, the local governing body shall determine that a shortage of housing of sound standards and design which is decent, safe and sanitary exists in the municipality; that the need for housing accommodations has been or will be increased as a result of the clearance of slums in other areas; that the conditions of blight in the area and the shortage of decent, safe and sanitary housing cause or contribute to an increase in and spread of disease and crime and constitute a menace to the public health, safety, morals, or welfare; and that the acquisition of the area for residential uses is an integral part of and essential to the program of the municipality, or (2) if it is to be developed for nonresidential uses, the local governing body shall determine that such nonresidential uses are necessary and appropriate to facilitate the proper growth and development of the community in accordance with sound planning standards and local community objectives, which acquisition may require the exercise of governmental action, as provided in this act, because of defective or unusual conditions of title, diversity of ownership, tax delinquency, improper subdivisions, outmoded street patterns, deterioration of site, economic disuse, unsuitable topography or faulty lot layouts, the need for the correlation of the area with other areas of a municipality by streets and modern traffic requirements, or any combination of such factors or other conditions which retard development of the area; WHEREAS, under the Law and Act, Idaho Code Sections 50-2018(9) and 50-2903(8)(f), the definition of a deteriorated area and a deteriorating area shall not apply to any agricultural operation, as defined in Idaho Code Section 22-4502(2), absent the consent of the owner of the agricultural operation except for an agricultural operation that has not been used for three (3) consecutive years; WHEREAS, the West Highway Study Area includes parcels subject to such consent and the necessary consents have been obtained or will be obtained (the “Ag Consents”) and are attached to the West Highway Plan as Attachment 6; WHEREAS, in general, and for purposes of the Ag Consents, the Agency is not a taxing district and does not have the authority to impose an ad valorem tax. Further, the Agency does not determine the value of property, which is determined by the Madison County Assessor, or participate in the establishment of any taxing district levies, which is predominantly driven by each individual taxing district’s annual budgeting process; WHEREAS, the base assessment roll of the proposed West Highway Project Area, together with the combined base assessment roll values of the Existing Project Areas, cannot RESOLUTION NO. 2026-07 - 7 exceed ten percent (10%) of the current assessed values of all the taxable property in the City; WHEREAS, Agency staff and consultants recommend the Agency Board accept the West Highway Plan and forward it to the City Council; WHEREAS, the Agency Board finds it in the best interests of the Agency and the public to formally adopt the West Highway Plan, as set forth in Exhibit 1 attached hereto, and to forward it to the Mayor and City Council, and recommend its adoption, subject to certain conditions. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE REXBURG REDEVELOPMENT AGENCY, REXBURG, IDAHO AS FOLLOWS: Section I: That the above statements are true and correct. Section 2. It is hereby found and determined that the West Highway Project Area as defined in the West Highway Plan is a deteriorated area, a deteriorating area, or a combination thereof, as defined in the Law and the Act and qualifies as an eligible urban renewal area under the Law. Section 3. That the Agency specifically adopts the West Highway Plan along with any changes discussed at the September 16, 2026, Agency Board meeting, including but not limited to technical edits to the West Highway Plan, finalization of the Attachments to the West Highway Plan, including but not limited to the boundary map, legal description, land use and zoning maps and the executed agricultural operation consents, confirmation of taxing district levy rates, confirmation of the affected taxing districts, updated list of projects, and any modifications to the economic feasibility study previously prepared by Perspective Planning & Consulting, LLC. It is expected the updated boundary map and legal description will be completed within the next several weeks. Section 4. That the Agency recommends that the West Highway Plan, a copy of which is attached hereto as Exhibit 1, and incorporated herein by reference, be adopted by the City Council, including those modifications to Plan sections, or text, and/or replacement of Attachments as discussed at the September 16, 2026, Agency Board meeting. Section 5. That the required agricultural operation consents have been obtained or will be obtained by the Agency. That in general, and for purposes of the Ag Consents, the Agency is not a taxing district and does not have the authority to impose an ad valorem levy. Further, the Agency does not determine the value of property, which is determined by the Madison County Assessor, or participate in the establishment of any taxing district levies, which is predominantly driven by each individual taxing district’s annual budgeting process. Section 6: That the City and Madison County shall enter into an Intergovernmental Agreement addressing any properties outside the City limits and within unincorporated Madison County as required by the Act. RESOLUTION NO, 2026-07 - 8 Section 7. That Agency staff, if not attached at the time of the Agency Board’s consideration, prior to consideration of the West Highway Plan by the City Council will include final Attachments to the Plan, including but not limited to the boundary map, legal description, properties which may be acquired by the Agency, the map depicting expected land uses and the current zoning map of the project area, the economic feasibility study, and the agricultural operations consents. Section 8. That this Resolution constitutes the necessary action of the Agency under the Act, Idaho Code § 50-2905, recommending approval by the City and that the West Highway Plan includes with specificity the following: (1) a statement describing the total assessed valuation of the base assessment roll of the revenue allocation area and the total assessed valuation of all taxable property within the municipality; (2) a statement listing the kind, number, and location of all proposed public works or improvements within the revenue allocation area; (3) an economic feasibility study; (4) a detailed list of estimated project costs; (5) a fiscal impact statement showing the impact of the revenue allocation area, both until and after the bonds are repaid, upon all taxing districts levying taxes upon property in the revenue allocation area; and (6) a description of the methods of financing all estimated project costs and the time when related costs or monetary obligations are to be incurred; (7) a termination date for the plan and the revenue allocation area as provided for in Idaho Code § 50-2903(20); and (8) a description of the disposition or retention of any assets of the agency upon the termination date. Section 9. It is hereby found and determined that: (a) The West Highway Plan gives due consideration to the provision of adequate park and recreation areas and facilities that may be desirable for neighborhood improvement (recognizing the mixed-use, commercial and residential components of the West Highway Plan and the need for public improvements), and shows consideration for the health, safety, and welfare of any residents or businesses in the general vicinity of the urban renewal area covered by the West Highway Plan. (b) The West Highway Plan affords maximum opportunity consistent with the sound needs of the City as a whole for the rehabilitation, development and redevelopment of the Project Area by private enterprises. (c) To the extent necessary, the West Highway Plan provides a feasible method for relocation of any displaced families residing within the West Highway Project Area. (d) The West Highway Project Area contains open land areas, or areas of agricultural operation, that the Agency may acquire any open land, that the West Highway Project Area is planned to be developed and/or redeveloped in a manner that will include both residential and non- residential uses and that the "open land" criteria set forth in the Law and Act have been met. RESOLUTION NO. 2026-07 - 9 (e) The portion of the West Highway Project Area which is identified for residential uses is necessary and appropriate as the City Council may find there is a shortage of housing of sound standards and design which is decent, safe and sanitary in the City; that the need for housing accommodations has been or will be increased as a result of the clearance of slums in other areas; that the conditions of blight in the area and the shortage of decent, safe and sanitary housing cause or contribute to an increase in and spread of disease and crime and constitute a menace to the public health, safety, morals, or welfare; and that the acquisition of the area of residential uses is an integral part of and essential to the program of the City. (H The portion of the West Highway Project Area which is identified for non- residential uses, the City Council may find is necessary and appropriate to facilitate the proper growth and development standards in accordance with the objectives of the Comprehensive Plan to overcome economic disuse, the need for improved traffic patterns and the need for the correlation of this area with other areas of the City. (g) The projected base assessment.roll of the proposed West Highway Project Area, together with the combined base assessment roll values of the Existing Project Areas, do not exceed ten percent (10%) of the current assessed values of all the taxable property in the City. (h) The West Highway Plan includes a revenue allocation provision and the Agency has determined that the equalized assessed valuation of the revenue allocation area will likely increase as the result of the initiation of an urban renewal project. Section 10. That this Resolution constitutes the necessary action of the Agency under the Law, Section 50-2008, Idaho Code and the Act. Section 11. The Chair or Administrator and the Secretary of the Agency are hereby authorized and directed to take all steps necessary and convenient to submit the proposed West Highway Plan to Madison County for the intergovernmental agreement and the transfer of powers ordinance and to the City for approval by the City Council, including but not limited to the preparation of the notice of public hearing on adoption of the revenue allocation financing provisions by the City and submittal of the West Highway Plan to the various taxing entities as requited by Idaho Code § 50-2906. Section 12. That this Resolution shall be in full force and effect immediately upon its adoption and approval. RESOLUTION NO. 2026-07 - 10 PASSED by the Rexburg Redevelopment Agency of Rexburg, Idaho, on September 16, 2026. Signed by the Chairman of the Board of Commissioners, and attested by the Secretary to the Board of Commissioners, on September 16, 2026. APPROVED: Chair nf Ae ATTEST: on we, , é.. SLIME? E (CIE By = Vice Chair RESOLUTION NO. 2026-07 - 11 EXHIBIT 1 Urban Renewal Plan for the West Highway Urban Renewal Project 4850-1962-1834, v. 1 RESOLUTION NO. 2026-07 - 12