The Ames council has approved a new tax abatement program to help improve a housing shortage

Editor’s Note: A previous version of this story incorrectly said two-thirds of the country was declining in population. Two-thirds of Iowa Counties are suffering a decline in population.

The City of Ames is moving forward with a property tax abatement program to help increase housing construction.

The Ames City Council approved a Residential Property Tax Abatement Program at its regular meeting on Tuesday, Feb. 27. The program was recommended by the Ames Economic Development Authority (AEDC) Short Term Housing Task Force.

The council first reviewed a request from the housing task force on Dec. 12 to address housing impediments, though no action was taken.

The initiative centers on promoting new housing construction, which would encourage more living opportunities in the area, director of planning and housing for Ames, Kelly Diekmann said.

"It's an incentive option to help facilitate more construction of homes in the city," Diekmann said. “You’re encouraging revitalization of a larger area, not just one person’s property."

Home ownership is goal of new tax abatement

The approved plan focuses on ownership housing − including single-family homes, townhomes, condos and two-family units − with plans to be built from now through 2027. The pilot program will apply city-wide and to the first $500,000 improvement value.

Ward 2 Rep. Tim Gartin favored "swinging the bat hard" with the tax abatement program to create the incentives the city needs.

"If we're doing something and this is a bunt, this is a waste of time," Gartin said. "I want to swing for the fence on this. Just incremental nipping at the edges is not going to create the incentives that we need."

Gartin said trying to resolve local housing issues is a good problem for Ames to have despite two-thirds of Iowa counties facing a declining population.

"I would rather have a problem trying to figure out how to accommodate growth than 'How do we keep the lights on?" Gartin said. "We're in a good place. Trying to balance these different interests is sort of an exciting thing for us."

More: It's time to budget. Here's what Ames is considering as it looks toward the new fiscal year

Research Park rezoning would allow residential use

The Iowa State University Research Park asked to rezone two parcels of land for residential use at Tuesday's council meeting. The properties are located at 3200 and 3300 University Boulevard.

The current zoning for the Research Park does not allow for residential apartments for household living. The zoning district was established in 2015 to support the expansion of the Research Park.

President of the Research Park Rick Sanders spoke to the council, insisting the park is a great and largely unknown resource for Ames.

"It's a blessing that we are growing to the point that we need to explore expanding our allowances," Sanders said. "Currently we have more than 50% of the 2,500 employees of the Research Park that reside outside of Ames. We would like to help to offer some of those amenities."

City staff presented different options to change the properties' zoning from industrial to residential. The first was to start by recommending a change to the land use of the properties and dealing with rezoning later.

The second option is to change the land use and review detailed plans for rezoning with a Planned Unit Development (PUD) Overlay simultaneously.

The third was to have both properties remain residential.

More: Pivot Bio, Iowa State collaborate for new, $14 million ag research and education facility

Council looks toward the future

Gartin was concerned about having more land options for housing than research park facilities.

“I don’t want to look back in 50 years and go, ‘Man, we screwed that up,’” Gartin said. “What we’re doing is fairly consequential.”

He was willing to change the zoning due to the city's previous investments in the Research Park.

"For me, what I found most persuasive is how this is going to benefit the research park as a whole," Gartin said. "I have a very high trust in the leadership at the research park; I don't think this was done in a thoughtless manner."

The Ames City Council voted unanimously to change the land use. They will also review detailed plans for rezoning.

More: "Their working conditions are awful." Ames animal shelter volunteers ask for new facility

Celia Brocker is a government, crime, political and education reporter for the Ames Tribune. She can be reached at CBrocker@gannett.com.

This article originally appeared on Ames Tribune: What to know about Ames' new tax abatement meant to encourage home ownership