Bountiful City Redevelopment 

Strategic redevelopment is essential to encourage private investment in a previously developed, but blighted area. Redevelopment helps preserve or increase property values and facilitates vitality needed to support the local economy and quality of life. Redevelopment has taken many forms throughout Bountiful and the State of Utah; some of these uses include: 

  • Issuing of rehabilitation loans to property owners
  • Expanding parking in a community’s commercial district
  • Assisting with land assemblage so the highest and best use of property can be realized
  • Upgrading of deteriorating public sidewalks and/or initiating street improvements
  • Creating new parks
  • Transitioning areas from outmoded or partially abandoned uses to a "higher or better" use, modern commercial, retail, and residential uses.

Explore more information about RDAs:

What is a Redevelopment Agency (RDA)?

Redevelopment Agencies and associated project areas represent a set of tools provided for under state law, Title 17C of the Utah Code for the purpose of sustaining and improving communities.  RDAs are most often focused on eliminating blight and reconstructing or rehabilitating residential, commercial, industrial, and retail districts.  Cities and counties are authorized to create RDAs to oversee and direct redevelopment

Who Makes Up a Redevelopment Agency?

The RDA is a separate, distinct legal entity from the City. However, the City Council serves as the governing board of the Agency.  The RDA can utilize city staff or hire its own staff.  A benefit of this system is that the RDA is ultimately responsible to the voting public through the elected governing body charged with oversight of the Agency

What Do Redevelopment Agencies Do?

RDAs assist communities in addressing three types of development issues:

  • Redevelopment - Encourage private and public investment in previously developed areas that are blighted.
  • Economic Development - Work with businesses to increase the jobs available in the community and state as a whole.
  • Housing Development – Increase the amount and variety of housing within a community

What is a Redevelopment Project Area?

A Redevelopment Project Area is part of a community, usually 100 acres or less in size, which has been targeted for RDA assistance.  RDAs create a project area by adopting a plan for redevelopment within a certain geographic area.

How Do RDAs Pay for Community Improvements?

In most cases, RDAs pay for only a fraction of the development costs related to the new developments they encourage.  The RDA’s share of development costs are paid through the use of the property tax increment.  It is important to understand that property tax increment is derived solely from the increase in the property taxes generated in a projects area over and above the base taxes (property taxes generated prior to the new development.)  The use of tax increment must be approved by a Taxing Entity Committee (TEC) which is made up of representatives from each of the affected property taxing entities.

How Are the Development Plan and Budget Adapted?

There is a six step process which must be followed to adapt a redevelopment plan and budget:

  1. A blight survey area is identified for study.  This entails gather information on the condition of buildings and improvements, the existence of hazardous materials, social factors, and safety concerns.
  2. The RDA board holds an evidentiary hearing to determine whether or not all or part of the area qualifies as blighted. (“Blight” is a legal term defined in the Redevelopment Agencies Act.)  An area that is deemed blighted is eligible for redevelopment assistance. 
  3. The RDA board prepares a redevelopment plan and project area budget to identify how redevelopment would be encouraged.  The planning process varies in each community.  Typically planning includes formal or informal discussions with property owners, investors, taxing agencies, community planners, and others in order to identify planning objectives, strategies and implementation costs.
  4. The Planning Commission for the community reviews the redevelopment plan to assure it conforms to the community’s master plan.
  5. The RDA board holds one or more public hearings to obtain comments and suggestions on the proposed plan and budget.  The board then adopts, adopts with modifications, or rejects the plan.  Adopting the plan establishes a Redevelopment Project Area.

If the plan includes the use of tax increment and the budget provides for more than $100,000 of increment to be collected annually, the budget must allocate 20% of the taxing increment generated by the project to encourage the development of housing within the community.  If the budget allocates 20% of the tax increment to affordable housing, the RDA board must adopt a housing plan showing how the funds will be used prior to adopting the budget

What Happens After a Redevelopment Plan and Budget are Adopted?

After plan and budget adoption, the RDA implements the plan as funds become available.  The RDA adopts an annual implementation budget for each project area.  In the early years of a redevelopment project area, the tax increment collected is often minimal; therefore RDAs work with the private property owners, developers and others to facilitate redevelopment.

Does Bountiful City Currently Have a RDA Project Area?

Yes, the original 100 acre Redevelopment Project Area project was adopted in the early 1980s.   While this RDA project was set to expire in 2015, the need for redevelopment continued.  Representing the RDA board, the city petitioned taxing entities for a renewal of that RDA project; extending it for 20 years. Unanimous approval was required and given.  This unanimous approval is a confirmation of the viability of the goals of the Redevelopment Agency. 

Bountiful RDA Map 

Bountiful City Current RDA Map

  

  

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