Lewiston Urban Renewal Agency looks at possible tax changes

Phasing out of the Idaho personal property tax on businesses over six years (see story, Page 1A) would leave the Lewiston Urban Renewal Agency enough revenue to "squeak by" in paying for the First and Fifth streets reconstruction project, Community Development Director Laura Von Tersch said Tuesday.

It also would limit future projects to a "pay as you go" basis.

"If the money evaporates, it was a good run while we had it," she told the agency board.

Potential road projects have been identified near the Lewiston-Nez Perce County Regional Airport, where creation of a new revenue allocation area was being considered, but most of the buildings at the airport are classified as personal property because they are on leased land, Von Tersch said. That means there would be little income to pay off bonds.

Opening a new area also would require a change in the plan that governs what the urban renewal agency can do, both in location and types of projects. Any plan changes have to be made by the city council, agency attorney Don L. Roberts said, which may have its own ideas for the future.

A joint meeting of the agency board and the council is tentatively set for May 6.

Von Tersch said she also needs buy-in from the council because all the work associated with a plan change, especially if it involves creation of a new allocation area, would take about 1,000 hours of staff time.

Among the possible new projects - scattered among the three existing revenue allocation areas - would be a new incubator building in North Lewiston, perhaps including a food hub with a commercial kitchen where people could learn about health codes for producing and packaging foods for sale, Von Tersch said.

A connecting road between Nez Perce Drive and Gun Club Road still is on the radar if a financial partnership can be arranged, she said. Reconstruction of Main and D streets downtown may be more than the agency can handle financially, but it might be able to take on some intersection work while streets are torn up for stormwater work being paid for mostly with federal grants.

Also on the high end, Von Tersch said, would be purchasing the downtown Twin City Foods property, which would let some deed restrictions be placed on resale to ensure uses compatible with each other, the waterfront and downtown.

JoAnn Cole-Hansen, attending her first meeting as a board member, said Southgate Plaza in the Lewiston Orchards is dying, and has fire hydrant flow issues. Perhaps that Bryden Avenue area could be considered for utility improvements, she said.

Everything should be on the table when decisions are made, said Mary Hasenoehrl, who represents the Port of Lewiston board.

In other business, the final costs of the First and Fifth streets work are being tallied, and appear to stand at about $2.68 million, Von Tersch said.

No response has been received from Century Link regarding a $42,000 bill for causing a two-week delay in the work for failing to respond quickly when workers encountered a previously unknown clay pipe containing a trunk line, Roberts said.

They had the right to go ahead with work but instead waited for Century Link because a breakage could have interrupted service to a lot of the city, Von Tersch said.

A ribbon cutting on the project was tentatively set for June 8, to coincide with the formal opening of the new city library at 411 D St.

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Lee may be contacted at slee@lmtribune.com or (208) 848-2266.