POST FALLS - Without even noticing it's there, thousands of motorists each day zip past a shining example of how most believe urban renewal districts should work.

The Riverbend Urban Renewal District (URD), which in 2012 became Post Falls' second such district to close, is mostly tucked behind the factory outlets and Greyhound Park and Event Center along Interstate 90.

Behind those businesses are large companies such as Buck Knives and the pharmaceutical firm ALK-Abello, which when it moved to Post Falls, had available infrastructure thanks to the URD.

Bruce Cyr, property manager for the Riverbend Commerce Park which was a part of the URD, told the Panhandle Pachyderm Club on Friday that urban renewal as an economic development tool is too critical to lose.

"The urban renewal district, from a development standpoint, is the reason why the Jacklin family was able to bring the park to a finish (with infrastructure)," Cyr told the group at Red Lion Templin's Hotel. "We need to keep the tool of URDs available for the cities to use."

In most urban renewal districts, a proponent, in this case the Jacklin Land Co., uses its own funds to install public infrastructure.

The incremental taxes that are paid based on the higher assessed values after development are remitted to the urban renewal agency and are, in turn, paid back to the proponent for cost reimbursement for such infrastructure. The intent is to create jobs and jumpstart economic activity in the district.

Cyr said taxpayers and the community now stand to benefit from its investment in the Riverbend URD.

With the Riverbend URD closure, $209,075 in excess increment was rebated to taxing districts. More than 1,500 jobs have been created in the 330-acre district. As farmland, the site's assessed value before urban renewal was $3.8 million. Now the value is $56 million.

And business recruitment to the park is far from finished.

Cyr said he hopes Riverbend can announce its next large employer in four months.

That said, Riverbend has covenants that require certain building styles to ensure uniformity throughout the park.

"We're not everybody's park," Cyr said. "But we think that will bring value to Post Falls long-term and to Riverbend Commerce Park long-term."

When properly used, urban renewal is a win for both developers and taxpayers, Cyr said. Five Post Falls URDs remain open.

"If it's about jobs and commerce, I think you should look at it strongly as helping out," he said. "In Riverbend, we are 100 percent about jobs.

"If it's about residential, you have to be more cautious, but that doesn't necessarily mean you shouldn't use it."

Jeff Tyler, a Pachyderm member, said tax-increment financing has worked well in Post Falls. But the tool has drawn concerns elsewhere around the state, including in districts where subsidized housing is built.

"People like when it has to do with business and jobs," Tyler said.

Post Falls' other URD that closed, West Seltice, which included the area where Kimball Office is, shut down in 2001. It was the first district in the state to close.