The Hastings Economic Development and Redevelopment Authority (HEDRA) recommended Hastings City Council approval of the annual levy on city property that support economic development functions.

The tax levy is set at its maximum level as allowed by law, Community Development Director John Hinzman told HEDRA members at the commission’s meeting Thursday, Sept. 14. It is projected to bring in $510,000 to the HEDRA 2024 budget.

Hinzman said HEDRA also receives general fund dollars from the city’s 2024 budget.

He told the commission last month that HEDRA also hopes for a $500,000 allocation from the city budget in 2024 to continue purchasing property on what’s referred to as block 28, which includes buildings in the 400 block of Vermillion Street from EDS Dental (the former Wells Fargo Bank location) to Spiral Pizza.

In the last couple years, HEDRA purchased other properties on the block and is slating them for redevelopment. The two remaining properties HEDRA would like to purchase are EDS Dental and Spiral Pizza and Hinzman has had dialog with both property owners.

However, with the city still finalizing its 2024 budget, Hinzman told HEDRA commissioners the $500,000 may not be included.

“There might be a situation where there might not be anything left of the budget on that. We might be looking for other sources,” Hinzman said. “We are researching other potential for grants and other funding which may allow us to continue with acquisition of properties.”

HEDRA budget priorities for 2024 include:

• $50,000 for façade improvement grants. Property owners on buildings within downtown and Vermillion Streets can receive grants between $1,000 and $5,000. The funds are matched 2:1 with funds from property owners.
• $100,000 for environment remediation of downtown redevelopment sites, including the 1.5 acres north of the Artspace buildings and the block behind Graphic Design.
• $5,000 for a consultant to investigate the market and costs of operation of a business incubator to assist with new business startups.
• $50,000 for development of a master plan for new annexation areas along Hwy. 55 to Jacob Avenue including “exploration of commercial and residential uses to increase tax capacity and how to pay for future infrastructure improvements.”
• $7,500 for HEDRA’s half of an intern in the Community Development department. The position is shared with the city planning department.
• $10,000 for marketing Hastings development sites.