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Expanded urban renewal area, 2027 TIF rebates, street repairs await Council tonight

Crews installed the foundation layer of hot melt asphalt paving on Saturday morning near the corner of Lisa Drive and Fair Meadow Drive. This layer is both thicker and composed of larger aggregates than the surface layer, which, weather permitting, will be laid today. The project, one of the largest HMA projects ever undertaken by the city, includes upgrades to water, electrical, wastewater and storm water utilities, and new curbs, driveway entrances and sidewalks.

At its October 20 meeting, the City Council of Webster City approved the creation of an

enlarged Urban Renewal district, effectively covering most of the city.

The objective of the larger district is generation of new Tax Increment Finance — TIF — funds to be used for improvements to stimulate economic development.

Although specific uses of funds from a larger district would have to be approved by the Council, there’s a consensus that failing brick buildings downtown would be targeted for priority.

This could include everything from demolition to rehabilitation.

Tonight the Council is expected to begin work to set up the larger district. This entails a declaration of the need for a larger district and approval of an ordinance allowing a “dividing of taxes” — effectively the allocation of money to individual projects in the district.

Webster City’s original urban renewal district, officially the Riverview/Central Business District Urban Renewal Area, was created in 1986 to help finance expansion of WCI Laundry Division’s appliance factory on Des Moines Street. It helped pay for acquisition and demolition of more than 40 homes on the city’s near north side, land which would become parking lots A & B. Parking lot A was next to the plant itself; parking lot B was across Des Moines Street north of the building occupied today by Natural Shrimp.

Like the factory itself, both parking lots are abandoned today.

Also on tonight’s agenda is a list of projected 2027 TIF rebates.

A TIF rebate occurs when the city gives back a portion of increased property taxes to support projects undertaken by developers. Ongoing tax rebates are proposed for Fareway Stores, which expanded its store on Second Street in 2011; Appliance Plus, which acquired the former Shopko Hometown Store; First State Bank, which expanded its bank downtown; People’s Credit Union, which expanded its offices; and Lynx Development, also known as Kenyon Hill Ridge, which is developing new homes in Webster City.

Also tonight, City Finance Director Dodie Wolfgram is expected to ask the Council to accept a fiscal year 2025 street finance report, an annual report to the Iowa Department of Transportation showing how road use taxes are used in the city, and an Urban Renewal Area annual report, due to the Iowa Department of Management by December 1, 2025.

Street Department Supervisor Brandon Bahrenfuss has been working with consultant Snyder & Associates, Ankeny, on a proposed $928,000 Portland cement concrete patching project for 47 sites across Webster City to be completed in 2026. A public hearing will be held on the project tonight, a notice to prospective bidders sent tomorrow, followed by bid opening December 9, 2025, all with the objective of review and approval by Council at its December 9 meeting. If approved, construction is scheduled to begin next April with completion by the end of July.

Starting at $3.46/week.

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