Urban renewal approved for old school, Green Center

The city of Spencer has two new urban renewal areas as a result of council action Monday night.

City Council members voted to establish urban renewal areas for the Green Industrial Center and for the former Spencer Middle School building on East Fourth Street.

"It allows the city to capture city, county and school dollars to put back toward a project as far as when you're paying your taxes," said Spencer City Manager Bob Fagen. "You don't pay any more in taxes, it just allows the city to capture those instead of those going directly to the county, to the city and to the school district."

In order to redirect the tax dollars, the city had to conduct an informational meeting with the other governing entities. The meeting took place May 21 and no objections were received. The urban renewal districts also received support from the city's planning and zoning board.

The council also approved the final plat for the Green Industrial Center. The approval includes protective covenants, which call for energy efficient and environmentally-friendly standards for occupants in the Green Industrial Center.

"They're certainly not necessarily mandates, but I think they are strongly encouraged," said Ward 3 Council member Steve Bomgaars.

The covenants contain some compromises, he continued "because, as pointed out, we're going to market those."

"But they're going to be marketed, I think, to businesses and industries that are looking for that kind of area to develop," he said. "So, hopefully, we're ahead of the curve on this."

Among the highlights, businesses will not be allowed to have livestock kept or maintained in the Green Industrial Center. Guard dogs and guide and assist dogs would be permitted.

The city has the flexibility to impose additional requirements beyond laws already in place for issues such as noise, vibration, smoke, odors, dust or gases. The use of recyclable materials and use of renewable energy resources would be encouraged.

In other discussion, Spencer Parks and Recreation Director Delray Bredehoeft updated council members on a change in lighting on the Grand Avenue boulevards between Eighth Street and 18th Street.

The new light fixtures are part of the overall Grand Avenue Enhancement Project and the upgrades come at a cost of about $577,000. Spencer Municipal Utilities (SMU) has agreed to pay for up to $625,000 of the project, including labor and installation.

"I think it's going to take, probably, two months for those to start coming in," Bredehoeft said. "SMU, I think, is planning on leaving the existing lights in place and then they'll actually come in and get all of that installed."

Fagen also told council members the city will have an estimated $400,000 loan forgiven as part of the federal stimulus package. The money was funneled through the state's revolving loan fund and will be used for upgrades at the city's wastewater treatment plant.