FAIRHOPE, Ala. — The City Council gave its approval Monday for the county’s formation of an “improvement district” for the Fairhope Falls subdivision located near State Highway 104 on Fish River.

The city’s consent is required in order for the county to establish the district, said Chris Gill, a private attorney representing the city in planning and zoning cases.

“The county will appoint the governing body,” he said. “Think of it as a property owner’s association.”

The state law governing improvement districts enables tax-exempt financing of infrastructure costs of subdivisions, according to the Baldwin County Economic Development Alliance’s Web site.

“It helps drive down the costs of roads and sewer,” Gill said. “Once the debt is paid off, the district will dissolve itself.”

Rusty Lomax, representing the developer Olsen and Associates, said the county will establish several districts for the various phases of the project.

“Fairhope Falls is a master planned community with the endearing charm of an old Southern town,” the development’s Web site states. “(T)hese carefully planned residences will weave traditional craftsman architecture into modern home designs, in a community where the amenities extend beyond the boundaries.”

Councilwoman Debbie Quinn recused herself from the vote, leaving the council chambers while it was discussed. At the work session before the meeting, she said that a relative lived near the property. Quinn said the person had expressed concerns about the project as “more sprawl.”

Gill said that the project has already been approved by the city.

In other business, the council:

• Approved the request of the Fairhope Airport Authority for an appropriation to fund the Fairhope Festival of Flight 2008 air show and demonstration in the amount of $51,000 and in-kind services.

“This year we’re going to cut back from two days to one day,” said Charlie Bassett, the authority’s vice chairman. “This should cut back significantly on in-kind costs.”

Bassett said the city spent just over $100,000 on the event last year. Mayor Tim Kant said the cost was not included in the current year’s budget because the airport authority had first thought it would not hold the event again.

Bassett said that a report indicated that the event had an economic impact on the area of $1.7 million.

“We’re going to try and generate some interest among young people this year,” he said, referring to plans of linking the event to Daphne High School’s industrial training program and the aerospace training program at the Okaloosa-Enterprise Community College campus at Brookley Field.

He said the event is scheduled for May 17.

• Heard a presentation by Sherry Sullivan, director of the James P. Nix Senior Center, describing the center and its activities, noting that the center opened 10 years ago in December 1997. She said there will be a special concert in honor of the anniversary on Dec. 13.

• Recognized Harold Jording, 93, retiring as a volunteer at the city’s welcome center. Mayor Kant presented Jording a plaque honoring his service. He has worked at the center since it first opened, Sullivan said.

“You’ve always been a volunteer who took the initiative to get things done,” she said, pointing to his inventory of antique shops in the downtown area by walking and recording them. They are now included in the detailed city guide to the downtown shopping area.

When asked if he had any remarks, Jording smiled and reached inside his jacket pocket.

“I don’t know if this is the occasion to turn in my badge,” he said, showing the name tag.

The audience in the council chambers laughed loudly.

“We would love for you to keep it as a souvenir,” Sullivan said.