The Jefferson city council at its June 10 meeting approved a pair of resolutions expanding the urban renewal areas in the city. Putting properties into urban renewal districts is the first step toward urban renewal projects.
Added to the city’s urban renewal areas are the property at 203 W. Harrison St (former school) and the entire block south, including The Children’s Center; a portion of E. Lincoln Way from the Greene County fairgrounds east to the municipal cemetery, and areas on the north side of Lincoln Way; and 401 W. Greenewood Road and the surrounding area.
Adding those properties to urban renewal areas allows using tax increment financing for projects within the area. The resolution does not authorize the projects.
The potential projects include:
–Redevelopment of the former school into a multifamily housing complex with a $300,000 economic development forgivable loan to developer 203 W. Harrison LLC;
–Economic development on E. Lincoln Way to support business owners with building improvements and other projects through forgivable loans, not to exceed $1 million over fiscal years 2026-2030; Also on E. Lincoln Way would be acquisition of two residential properties and their demolition to prepare for business development, not to exceed $100,000; and storm water drainage improvements on properties east of Cedar St between Central Ave and Lincoln Way, with a cost not to exceed $500,000;
–Improvements surrounding the Jefferson Municipal Golf Course to include acquiring the Greenewood Center and repurposing it as a club house, at a cost not to exceed $1 million; and
–Acquiring properties at 213 and 215 S. Vine Sts and 214 S. Wilson Ave and constructing a public parking lot, at a cost not to exceed $200,000; and
–Acquiring properties at 203 W. Harrison and 204 W. Madison Sts for the development of green space (proposed as the Three Block Project), at a cost not to exceed $250,000.
The projects listed all comply with the city’s comprehensive plan, city administrator Scott Peterson said. They address the need for additional rental housing; diversify the housing stock; increase market rate housing; and address potentially vacant or abandoned homes.
During the public hearing, questions were asked about payment of forgivable loans if a business doesn’t last 10 years, and the future of the Greenewood Center should that urban renewal project be completed.
Designating those areas as urban renewal areas lays the groundwork for various urban renewal projects by allowing tax increment financing to be put in place. The council voted unanimously to approve the resolution.
A second public hearing was held to create a blight district and authorize collection of TIF from properties within the area.
The blight district includes the old school and gymnasium, and the block to the south, excluding The Children’s Center. The block to the east is also included, with the exception of Jefferson Telecom. It includes the Elks lodge and the vet clinic. The north half of the block bordered by Monroe St on the north and Wilson and Vine on the east and west, is also included.
In response to questions during the public hearing, Peterson explained that “blight” is a derelict, vacant structure. The designation was developed by the state. A past exalted ruler of the Elks lodge questioned the building being in the blight district, should it ever be sold. Peterson answered that the assessor would determine the value of the building, and that it would not be affected by the blight designation.
Dennis Tiffany introduced himself as a retired bank examiner. He said he has seen cases in which a city has given money for a project, the project is completed, and the taxpayers have ended up paying. He said there is an example in Adair, and asked the council to tell both sides of the story. He also asked for cash flow information from the city golf course.
The resolution approves the projects, creates a TIF district, and authorizes the division of taxes. The council next approved the first reading of an ordinance creating the TIF district and authorizing the division of taxes.
The council approved an economic development forgivable loan agreement with 203 Harrison LLC for a $300,000 loan for the middle school project. The loan amount requires that five units in the building be available for low to moderate income renters for at least five years. The council set June 24 for the date of a public hearing to transfer title for 105 N. Walnut St, which is owned by the city, to Region XII Council of Governments for a housing rehabilitation project.
