SPIRIT LAKE - A proposal to extend the life of Spirit Lake's urban renewal district another 10 years is gaining momentum.

The existing 10-year district, which has funded projects ranging from improvements to Fireside Park and downtown, expires this year.

"We believe the first 10 years have been successful and have provided projects that are favorable to the citizens," said Karl Harmon, urban renewal agency chairman. "We want to continue with what we've been doing."

The current URD is 775 acres throughout the city. The amended district would be 614 acres.

"We've been very careful about changing the proposed boundaries and determining what areas will go and what will be added," said Nancy Mabile, an independent planning consultant hired by the urban renewal agency to propose the plan amendment.

Mabile said residential developments that have been built are being removed from the district, while properties along Highway 41, including the historic Woolen Brown Center, have been added and pegged for improvements.

The 103-year-old Woolen Brown Center is the former elementary school. The 10,000-square-foot brick building between the Spirit Lake Library and the community center has been vacant around 15 years. It is also referred to as the Civic Center. The city acquired the building from the Lakeland Joint School District.

Proponents said urban renewal funding would open the door to finding matching funds for grants to restore the building.

Mabile said the extended and amended URD will also provide funding for water and sewer expansions, pathways, more downtown and park improvements and infrastructure along Highway 41 that supports business development.

"Conservatively, it's estimated that the district can generate $1.9 million over the next 10 years," said Mabile, adding that the number can vary depending on market values and development. "The urban renewal agency is being good stewards of the finances and how the money is spent."

With URDs, 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 to the proponent for cost reimbursement for such infrastructure. The intent is to create jobs and jump-start economic activity in the district.

The URA has approved the district life extension as well the amended district boundaries. The Planning and Zoning Commission has determined that the plan amendment is in conformance with the city's comprehensive plan and planning and zoning requirements.

The next step in the approval process is a public hearing before the city council this spring.

The maximum life for URDs is 20 years.

Mabile and Harmon said they have not heard any opposition to extending the district's life and amending the boundaries.