SUBJECT:
Title
PUBLIC HEARING: A Resolution of the Town Council of the Town of Erie Approving the Erie Town Center Urban Renewal Plan, Finding that the Erie Town Center Urban Renewal Area is a Blighted Area, Designating Such Area as appropriate for an Urban Renewal Project pursuant to the Erie Town Center Urban Renewal Plan, and Finding that the Clearance, Rehabilitation, Conservation, Development, Redevelopment or a Combination thereof of Such Area is Necessary in the Interest of the Public Health, Safety, Morals and Welfare of the Citizens of the Town
Department
DEPARTMENT: Economic Development
Presenter
PRESENTER(S): Julian Jacquin, Director of Economic Development & TOEURA
Malcolm Fleming, Town Manager/TOEURA Executive Director
end
Time
TIME ESTIMATE: 30 minutes
end
Fiscal
FISCAL SUMMARY:
The development program contained in the Erie Town Center Urban Renewal Plan is projected to generate approximately $22.9 million in property tax and sales tax increment over 25 years.
Policy
POLICY ISSUES:
The policy issue is whether to formally approve the new Erie Town Center Urban Renewal Plan. Approval of the Plan means designating this as a new Tax Increment Financing (TIF) area, providing property tax and sales tax increment we expect to be generated by future development in the proposed Erie Town Center Plan Area boundary, to remediate blighting conditions and facilitate the development of this 20-acre Town-owned site at Erie Town Center. Staff anticipate that remediating the blighting conditions (conditions created by historical mining activity in this area, existing irrigation ditch, lack of off-site utilities, and other conditions) will stimulate development, including a new grocer, retail, restaurant, hotel, civic, multi-family and affordable housing opportunities, to happen earlier than would otherwise occur, and in this case happen at all, because until the undermining is mitigated, no development activity can happen. This action makes sense on the premise that “but for” the sharing of TIF through the URA the new development will not happen as quickly as desired or at all, and that TIF will generate property tax and sales tax revenue to produce more positive economic activity than would otherwise occur.
Recommendation
STAFF RECOMMENDATION:
Approve the Resolution approving the Erie Town Center Urban Renewal Plan.
Body
SUMMARY/KEY POINTS
• This Resolution formally approves the new Erie Town Center URA Plan Area, the seventh Plan Area in the Town of Erie Urban Renewal Authority.
• Provides up to $22.9M in property tax and sales tax increment to be generated by proposed development program in the area, to remediate blight and support the development of this key well-located site in Erie Town Center.
• Reduces the financial gap demonstrated by Evergreen Devco, and validated by the Town’s third-party financial feasibility study with Pioneer Development Company.
BACKGROUND OF SUBJECT MATTER:
The proposed Erie Town Center Plan Area includes one 19.41-acre parcel within the Town of Erie, located at the northwest corner of Erie Parkway and E. County Line Road. In total, the Plan Document assumes that development of this area will include 100,000 sq. ft. of commercial space (consisting of a 23,000 sq. ft. specialty grocer, 42,000 sq. ft. of retail/restaurant space, and a 34,500 sq. ft. hotel) and 117 multi-family residential units. These uses will support and stimulate development for the entire Town Center and serve the broader Erie community at the center of Town. Approving the Erie Town Center Plan will allow TOEURA to use tax increment financing (TIF) to remediate blighting conditions to facilitate in the development of this key focus area in the Erie Town Center PD.
On Dec. 5, 2024, Town staff provided mailed notice to the impacted taxing entities within the proposed Erie Town Center Urban Renewal Plan Area (URA) boundary, including the Town of Erie, Boulder County, St. Vrain Valley School District, Mountain View Fire Protection District, High Plains Library District, Northern Colorado Water, and the Mile High Flood District. Per Colorado Urban Renewal Law, this notice initiated a 120-day negotiation period for the Town of Erie Urban Renewal Authority (TOEURA) to agree upon tax increment revenue sharing with each entity, prior to holding public hearings and requesting Town Council adopt the new Plan Area.
Town staff then presented three draft planning documents for the Erie Town Center Plan Area to the TOEURA Board of Commissioners on Dec. 10, 2024, including a Conditions Survey, Plan Document, and Impact Report. TOEURA supported staff’s recommended boundary and strategy and began negotiating with each taxing entity thereafter.
TOEURA has now approved tax increment revenue sharing agreements with all seven impacted taxing entities that impose a mill levy on real property within the proposed Erie Town Center Plan Area, fully executing all seven agreements at its meeting on June 10. Copies of all seven agreements are attached to this agenda item for review at the July 8 Town Council meeting. In total, based on the Erie Town Center Plan and Impact Report, future development in this area could generate up to $22.9 million in property tax and sales tax increment (TIF) over 25 years which may be used to remediate blighting conditions and facilitate development of this 20-acre Town-owned site at Erie Town Center.
The intergovernmental agreements include two primary components:
• Agreement to share a portion of each taxing entity’s property tax mill levy (and sales tax rate for the Town of Erie) with TOEURA for the Erie Town Center Plan Area.
• Consent, required by state statute, for inclusion of agricultural land within the Erie Town Center Plan.
As required by Colorado Urban Renewal Law, Town staff completed the following actions:
• Mailed Notice of Public Hearing to impacted property owners, tenants and business owners within the Erie Town Center Plan Area boundary on June 4, 2025.
• Submitted the Erie Town Center Plan and Impact Report to the Boulder County Board of County Commissioners (by mail and email) on June 4, 2025.
• Published Notice of Public Hearing for the July 8 Town Council meeting in the Colorado Hometown Weekly on June 4, 2025. A copy of the Notice is attached to this agenda item.
• Submitted the Erie Town Center Plan to the Erie Planning Commission (by mail and email) on April 2, 2025, requesting review and written recommendations for conformance to Erie Comprehensive Plan within 30 days. The Erie Planning Commission adopted Resolution P25-04 on April 16, 2025, finding the Erie Town Center Plan conforms to the Erie Comprehensive Plan. A copy of Resolution P25-04 is attached to this agenda item.
Additional information is included in the Staff Presentation and will be reviewed at the July 8 Town Council meeting. Following the Public Hearing, Town staff respectfully request the Town Council approve Resolution 25-125, formally approving the Erie Town Center Plan, finding the Erie Town Center Plan Area is a blighted area, and designating the Erie Town Center Plan Area as appropriate for an Urban Renewal Project.
priorities
TOWN COUNCIL PRIORITY(S) ADDRESSED:
☒ Attractive Community Amenities
☐ Engaged and Diverse Community
☒ Prosperous Economy
☒ Well-Maintained Transportation Infrastructure
☐ Small Town Feel
☐ Safe and Healthy Community
☒ Effective Governance
☐ Environmentally Sustainable
☒ Fiscally Responsible
attachments
ATTACHMENT(S):
1. Resolution 25-125
2. Erie Town Center Conditions Survey 12.4.2024
3. Erie Town Center Urban Renewal Plan 11.25.2024
4. Erie Town Center Impact Report 11.24.2024
5. Notice of Public Hearing - Colorado Hometown Weekly 6.4.2025
6. Erie Planning Commission Resolution 4.16.2025
7. TIF Agreement - Town of Erie
8. TIF Agreement - Boulder County
9. TIF Agreement - St. Vrain Valley School District
10. TIF Agreement - Mountain View Fire Protection District
11. TIF Agreement - High Plains Library District
12. TIF Agreement - Northern Colorado Water Conservancy District
13. TIF Agreement - Mile High Flood District
14. Staff Presentation