A development agreement for infrastructure in the new Williams Bend neighborhood was approved by the Fort Dodge City Council on Monday.

But the council postponed final action on a rezoning requested by Misty Harbor, a boat manufacturer, until questions about fencing are resolved.

The development agreement will give Northwest Iowa Building Co. LLC, of Ankeny, up to $1.2 million for building roads and other infrastructure to serve a section of Williams Bend where the company will build 15 duplexes.

That money will come from tax increment financing. That means that a portion of the increased property tax revenue generated by the new homes will be given back to the developer.

The agreement was approved on a 6-1 vote.

Council members Kim Alstott, Neven Conrad, Dave Flattery, Dean Hill, Terry Moehnke and Lydia Schuur voted yes. Councilman Jeff Halter voted no.

“I am not in favor of TIF for new housing development unless it cleans up areas of slum and blight,” Halter said after the council meeting. “I just really feel that is what TIF is trying to target.”

Also on Monday, the council tabled the final reading of a measure that would change the zoning of property along Avenue O West between B and D streets.

That property is the north end of the Misty Harbor site at 228 Kenyon Road West. The company wants the north 150 feet of its lot to be rezoned from single-family residential to light industrial so that its outdoor storage area can be expanded.

On Monday, Hill asked what kind of fencing will be used to surround the outdoor storage area.

Senior City Planner Carissa Harvey said solid fencing is required. But she said she doesn’t yet know what kind of fencing the company will put up.

Hill then proposed tabling the item. The council voted unanimously to table the measure. It’s not known when the item will be considered by the council again.

Also on Monday, the council approved a zoning change that will enable a freight service and logistics business to move into a building at 3018 Seventh Ave. S. now occupied by Castor Construction. The council switched the zoning designation from single-family residential to arterial commercial.