Council Thumbs-Up to Consider Redevelopment Agency
The Grants Pass City Council gave staff a thumbs-up to create a an advisory committee to consider a redevelopment agency and structure the resolutions to institute an agency.
A redevelopment agency identifies specific plans and projects to improve the community using tax increment financing to provide the resources to fund the agency.
Tax increment financing does not increase the tax rate on property and only allows a portion of taxes collected to go to projects within the district. As more projects occur, value is added, providing more revenue to fund projects in the district. At the end of the district’s life taxes from the new property value go where they normally would.
In 1987 Grants Pass voters passed a referendum creating a 20-year redevelopment agency that created the East Grants Pass project that saw Fred Meyer build and the creation of the Spaulding industrial area. Also included is the South Grants Pass area of Ringuette and Ramsey Avenues where the agency provided 46 percent of the funding.
When its mandate closed the value per acre in the agency’s boundary tripled, while in the same time period the rest of the city’s value had doubled.
The final decision belongs to the council but staff has been given the go ahead to consider the process for evaluating a new redevelopment agency.