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HomeMy WebLinkAboutA005 - Council Action Form dated March 8, 2001 and Summary COUNCIL ACTION S UMMAR Y Meeting Date: 5108101 Agenda Item #: 28 SUBJECT: Fire Station #3 Project ACTION TAKEN: Agreed to proceed immediately with the Fire Station #3 Project bond election for June 26, 2001, and instruct the City Attorney and bond counsel to prepare the necessary resolution for the May 22, 2001, City Council meeting. MOTION BY: Cross SECOND BY: Quirmbach VOTING AYE: Cross, Hoffman, Quirmbach, Wirth VOTING NAY: Campbell, Goodhue ABSENT: None By:� J Diane Voss, City Cleric Copy to: John IQaus Chief Petersen F � Z ITEM# C2 LA a C?j DATE May 8, 2001 COUNCIL ACTION FORM SUBJECT: STATUS OF FIRE STATION #3 PROJECT BACKGROUND: The City Council has been considering three major capital improvement projects: an Aquatics/Recreational Center, Hallett's Quarry Open Space, and Fire Station #3. Last fall the City Council reviewed master plans for all three projects. At that time, the Council instructed the staff to first pursue Vision Iowa grant funds for the Aquatics/ Recreation Center as well as the Hallett's Open Space Project, and to develop a time line for the completion of the third fire station project. The City Council seemed to indicate a desire to pursue a special bond election for the fire station in late spring. However, because of the possibility of a state imposed property limitation, the City Manager cautioned against proceeding with this project unless this onerous legislation was defeated. As the final days of the state legislation session draws to a close and the cities appear to have been removed from the property tax bill, it is now time to obtain direction from the City Council regarding this project. The project involves the construction of a 7,200 square foot facility (similar in size to Fire Station #2) that is estimated to cost approximately $1,033,620. When the site preparation costs, architectural/inspection fees, and furnishings/ equipment are added to the project, the total amount of the bond election will be $1,275,000. In should be remembered that, while not included in the referendum, two new pieces of apparatus will also be purchased for this station (a new ladder truck and a new rescue vehicle) with General Obligation Bonds totaling an additional $945,000. In addition, the annual operating costs to maintain this new station are estimated to be $225,000 (including three new fire fighters) beginning in 2002/03. A new issue has been introduced into the process since the Council last discussed this matter. The Chamber of Commerce and the Daily Tribune have joined forces to conduct a citizen survey to help determine citizens' prioritization for the major projects being contemplated by the School Board as well as the City Council. It appears that the results of this effort will not be available until June 19. This date poses a bit of a problem since proceeding immediately hopefully will allow us to complete the project prior to the winter of 2003 (see attached schedule). It is believed that the construction costs will increase if the project extends into the cold weather months. If we delay until after the results of this survey are known, the project will likely extend into these winter months. It is difficult, however, to quantify the exact expected savings from proceeding immediately to avoid winter construction. Furthermore, the savings realized might be offset by the ill will that is generated from moving ahead prior to reviewing the public survey responses. There is another drawback to proceeding so quickly with the bond election. A June 26 election date would allow for only a five week public education campaign--which is doable, yet minimal. ALTERNATIVES: 1. Agree to proceed immediately with the Fire Station #3 Project bond election for June 26, 2001, and instruct the City Attorney and bond counsel to prepare the necessary resolution for the May 22, 2001, City Council meeting. 2. Agree to proceed immediately with the Fire Station #3 Project bond election for July 17, 2001, and instruct the City Attorney and bond counsel to prepare the necessary resolution for the May 22, 2001, meeting. 3. Delay a final decision on the Fire Station #3 Project bond election until after the results of the Chamber of Commerce/Daily Tribune survey are reported on June 19, 2001. 4. Delay a final decision on the Fire Station #3 Project until after a decision is made in the summer regarding the City's Vision Iowa grant application for the Aquatics/Recreation Center and Hallett's Projects. MANAGER'S RECOMMENDED ACTION: There may be people in the community who will argue that the City should delay any final decision regarding bond issues until the results of the Chamber of Commerce/Daily Tribune survey are known. However, it is important to emphasize that of the three projects being considered by the City, the Fire Station Project represents a different circumstance. Unlike the two recreation-related projects that are intended to increase levels of service currently provided to our citizens, the additional fire station is warranted in order to meet the current stated response time goal for the total community. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #1 and instruct the City Attorney and bond counsel to prepare the necessary resolution for the next Council meeting to authorize a bond referendum on June 29, 2001 for the construction and equipping of a third fire station. This recommendation is contingent upon the State Legislature ending the session by May 22 without adopting a property tax limitation bill that impacts cities. However, if the City Council feels uncomfortable scheduling a bond issue for a new fire station prior to receipt of the Chamber/Daily Tribune survey results or the Vision Iowa Board decision, then Council could opt to delay action on this matter. This June 26 election date is advised for the following reasons: • This date does not fall during the height of the vacation season • This date allows for a five week public education effort • This date should assure that the project will be completed prior to the winter of 2003, and will hopefully allow the construction costs to come in within the estimated project cost. • This date will still allow the citizens the benefit of reviewing the Chamber of Commerce/Dail Tribune survey results prior to making a final decision on how they will vote in this election. The cost of a special election is estimated to be $12,000. Since no funds were budgeted for this election, these costs could appropriately be covered with monies available in your General Fund Contingency Account. Should the Council proceed with this election, staff will come to the May 22 Council meeting prepared to present options and costs of supporting a public information campaign on this referendum. While it is not legal to use City funds to promote a position in support of a bond issue, City funds can be devoted to educating our citizens as to the facts related to the issue at hand. COUNCIL ACTION: M W O w O � � z z F z WCf) � H U a W C7 cn cn cn cn z O N W H W C) N l > ti Eti a ,� .-, �N r-. O 8 p ON N W W O O O O N Cj N �+ N N N M N N W IT W ~ W N � � P W 0 E� w H � W Q p w Q Q I � 0 0 Cn 0 0 H N - © O N O O O ON W w Co N N N N N W