CHAPTER 1. ADMINISTRATIONCHAPTER 1. ADMINISTRATION\Article 15. Special Neighborhood Improvement District

The City recognizes there are areas and structures within the city that suffer from blight and dilapidation, which adversely affect neighboring properties and the community as a whole, they require increased code enforcement efforts, and detract from the city’s image, marketing, and beautification efforts. The Neighborhood Improvement District (NID) is specifically tailored to serve as a mechanism to incentivize property owners and developers who submit redevelopment plans for the removal of blight and dilapidation in designated core and strategic areas of the city, and to enhance redevelopment of those areas.

(Ord. 2447)

Appendix A of this Article 15 (Ordinance No. 2447) is a map depicting the designated areas and boundaries of the NID. The boundaries were strategically designated by the governing body to:

(a)   Exclude areas of the city that historically have not shown propensity for declining property values, deteriorating structures, or economic struggle; and

(b)   Capture core areas of the city, improvement of which it is believed will directly support the goals of the city’s Strategic Plan related to community image, downtown revitalization, marketing, code enforcement, and beautification efforts. These core areas of the city are:

(1)   The city’s Downtown (C-1) District.

(2)   Older, traditional neighborhoods surrounding the core of the city (R-H, Residential Historic District).

(3)   Entry corridors into the inner core of the city, including Lexington Avenue, Kill Creek, and 83rd Street.

(c)   If an applicant believes its Redevelopment Plan meets all the requirements for an NID Incentive but the location of the land is outside the NID boundaries, the applicant may submit its application for consideration by the city governing body (i.e. the city administrator is not authorized to approve the application without a decision from the governing body).    

(Ord. 2447)

To be approved for an NID Incentive, the applicant must conclusively establish to the city administrator that their written and submitted Redevelopment Plan will:

(a)   Remove or decrease “Blight” on land within the NID by demolition or rehabilitation of an existing structure or structures on the land; and

(b)   Make “Substantial Improvements” to: (i) the land by construction of new structures; or (ii) an existing structure or structures on the land; and

(c)   Likely result in a notable increase of the county appraised value of the land once the plan is completed; and

(d)   Demonstrate a significant aesthetic improvement to the exterior of an existing structure or structures, or mitigate an existing property maintenance code violation; and

(e)   For a commercial redevelopment, create additional job opportunities or increase the retail or recreational choices within the city; and

(f)   Be completed within one (1) year of city administrator [or governing body if required by Section 1-1502(c), or upon an appeal] approving the requested NID Incentive for the land.

If an applicant believes it has submitted a compliant Redevelopment Plan meeting all the requirements for an NID Incentive, but the City Administrator has made a final determination that the application for an NID Incentive should not be approved, the applicant may submit a written appeal to the city governing body within thirty (30) days of the final determination.

(Ord. 2447)

For purposes of the NID, the below terms will be defined as follows:

(a)   Blight shall mean one or more of the following situations:

(1)   Unsanitary or unsafe conditions associated with a structure or structures.

(2)   Structures in which it is unsafe or unhealthy for persons to live or work due to dilapidation, deterioration, defective design or physical construction, inadequate utilities, lack of ventilation, light or sanitary facilities, contamination by hazardous substances; or below minimum code.

(3)   Obsolete buildings which hinder the economically viable use or capacity of the property.

(4)   Buildings are such a condition that it is infeasible to rehabilitate.

(5)   The existence of conditions that endanger life or property by fire or other causes.

(6)   Constitutes an economic or social liability or a menace to the public health, safety, morals or welfare.

(7)   Excessive vacancy or abandoned buildings.

(b)   Substantial Improvements mean documented out of pocket expenses for manual labor and/or construction materials which exceed $35,000 and are incurred for rehabilitation of existing structures or construction of new structures on the land, but excludes labor or materials for demolition of existing structures.

(c)   Redevelopment Plan means a written description, plot plan, sketch, or drawing of the intended improvements on the property subject to the NID incentive request in a form and format of sufficient detail and accuracy as to allow for the thorough review of the request against the criteria contained in Section 1-1503.

(Ord. 2447)

If the applicant satisfies the above criteria for an NID Incentive, the City Administrator [or governing body if required by Section 1-1502(c), or upon an appeal] will authorize the following:

(a)   Excise Tax. An exemption from any excise tax that otherwise would be assessed on the redevelopment.

(b)   Building Permit Fees. A percentage reduction of applicable city building permit fees: (i) Seventy-five percent for single-family residential projects; (ii) Fifty percent for multi-family residential projects; and (iii) Twenty-five percent for non-residential projects.

(c)   City Utility Connections. A percentage reduction of applicable fees charged by the city for connection to city water and sewer utilities: (i) Ninety percent for single-family residential projects; (ii) Seventy percent for multi-family residential projects; and (iii) Fifty percent for non-residential projects.

In the event there are other economic incentives available from, or have already been approved by, the City for the land that is the subject of the NID incentive request, the NID Incentives may not be approved such that the total incentives from the City for the property exceed the dollar value of the NID Incentives. No exceptions to this prohibition against “Stacking” incentives shall be considered or approved by the City unless separately approved and voted on by the governing body.

(Ord. 2447)