ACTION REQUESTED:
Title
Communication from the City Manager with a Request to ADOPT an ORDINANCE Amending the PEORIA URBAN ENTERPRISE ZONE to Include the Boundaries of PEORIA STADIUM and Parcels in MACARTHUR CORRIDOR, KNOXVILLE CORRIDOR, WISCONSIN BUSINESS CORRIDOR, and MEDINA PLAINS-ALLEN ROAD BUSINESS PARK.
Body
BACKGROUND: In December 2014, the City of Peoria, Peoria County, Village of Peoria Heights, and the City of West Peoria submitted a joint application to the State of Illinois for a new multi-jurisdictional Enterprise Zone. The new Enterprise Zone, named the Peoria Urban Enterprise Zone (PUEZ), was certified by the State of Illinois in December 2015 and includes a total of 15 square miles. The PUEZ became active on January 1, 2016. On June 14, 2016, City Council approved a proposed amendment to the PUEZ requested by Peoria County to include the Village of Bartonville, Village of Bellevue, and the Village of Mapleton. Subsequently, all participating jurisdictions in the PUEZ and the State of Illinois approved the PUEZ amendment. The City of Peoria PUEZ cap on boundary area is 10 square miles of which 6.076 square miles is currently allocated.
City staff receives ongoing requests to expand the City of Peoria’s existing PUEZ boundaries to include properties scheduled for development and/or in need of additional incentives to attract development. Benefits available on property improvements within the Enterprise Zone include a) the waiver of sales tax on building materials and b) partial property tax abatement for five years. Following are areas with proposed properties to be added to the PUEZ:
|
Area |
# Parcels |
Acres |
SQ. Miles |
District |
|
MacArthur Corridor |
23 |
5.26 |
0.00821 |
1 |
|
Knoxville Corridor |
30 |
8.12 |
0.01268 |
2 & 3 |
|
Wisconsin Business District |
13 |
1.76 |
0.00275 |
3 |
|
Medina Plains |
13 |
338.34 |
0.52865 |
5 |
|
SW Jefferson (Stadium) |
1 |
6.88 |
0.01075 |
1 |
|
Total |
80 |
360.36 |
0.56306 |
|
1. MacArthur Corridor-In December of 2019 the South Village Implementation Featuring the MacArthur Corridor Plan was incorporated into the Comprehensive Plan. Three phases were recommended each with construction projects that could be made more viable and attractive due to its location within an Enterprise Zone.
2. Knoxville Corridor-OSF Cancer Institute ($237M) construction is well underway in the Medical District further expanding Peoria’s leading healthcare position in the region. The inclusion of these parcels in the Knoxville Corridor will encourage their continued private investment.
3. Wisconsin Business Corridor-In 2014 the Comprehensive Plan was amended to include the Wisconsin Avenue Business Corridor Plan in order to direct revitalization of this area. Adding these parcels to the Enterprise Zone will support those efforts.
4. Medina Plains Business Park-Planned 25 years ago with significant investments in sewer lines in anticipation of growth that never occurred. The city is waiting for confirmation of the MEGA grant that would help to fund the Pioneer Parkway expansion and attract additional companies.
5. Peoria Stadium-Minor League Baseball is requiring the Peoria Chief's to upgrade or add several components to the stadium including extended netting, two batting tunnels, new field, new LED lights, clubhouse upgrades, women's coaches and umpire locker rooms.
Adding the proposed properties in the PUEZ increases the City of Peoria’s Enterprise Zone boundaries by 0.56306 square miles to a total of 6.639 square miles allotted. Maps of the proposed parcels to be added are attached. A map of the City of Peoria’s current Enterprise Zone boundary can be found on the Peoria County website <map layers<administrative<Peoria Urban EZ.
FINANCIAL IMPACT: The map amendment for the Peoria Urban Enterprise Zone would add 80 commercial parcels to the Enterprise Zone in which property owners would not pay state sales tax on building materials that are purchased in the State of Illinois. This encourages capital investment resulting in an increase in Equalized Assessed Value and promotes economic growth in those areas. In 2022, thirteen projects were started in Enterprise Zones with over $19 million spent on building materials, $1.7 million in sales tax saved by property owners and over 400 jobs created or retained. The city received approximately $48,000 in Enterprise Zone application fees and must send 10% of the fees to Peoria County for their portion of the administration of the program.
NEIGHBORHOOD CONCERNS:
IMPACT IF APPROVED:
IMPACT IF DENIED:
ALTERNATIVES:
EEO CERTIFICATION NUMBER:
WHICH OF THE GOALS IDENTIFIED IN THE COUNCIL’S 2017 - 2032 STRATEGIC PLAN DOES THIS RECOMMENDATION ADVANCE?
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WHICH CRITICAL SUCCESS FACTOR(S) FROM THE COMPREHENSIVE PLAN DOES THIS RECOMMENDATION IMPLEMENT?
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DEPARTMENT: City Manager's Office