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~Master - January 14, 2020, Regular Meeting of the Ames City Council
AGENDA REGULAR MEETING OF THE AMES CITY COUNCIL COUNCIL CHAMBERS - CITY HALL JANUARY 14, 2020 NOTICE TO THE PUBLIC: The Mayor and City Council welcome comments from the public during discussion. If you wish to speak, please complete an orange card and hand it to the City Clerk. When your name is called, please step to the microphone, state your name for the record, and limit the time used to present your remarks in order that others may be given the opportunity to speak. The normal process on any particular agenda item is that the motion is placed on the floor, input is received from the audience, the Council is given an opportunity to comment on the issue or respond to the audience concerns, and the vote is taken. On ordinances, there is time provided for public input at the time of the first reading. In consideration of all, if you have a cell phone, please turn it off or put it on silent ring. CALL TO ORDER: 6:00 p.m. PROCLAMATION: 1. Proclamation for Slavery and Human Trafficking Prevention and Awareness Week, January 12- 18, 2020 CONSENT AGENDA: All items listed under the consent agenda will be enacted by one motion. There will be no separate discussion of these items unless a request is made prior to the time the Council members vote on the motion. 2. Motion approving payment of claims 3. Motion approving Minutes of Regular Meeting held December 17, 2019, and Special Meeting held December 19, 2019 4.Motion approving Reports of Contract Change Orders for December 1 - 15, 2019, and December 16 - 31, 2019 5. Motion approving certification of Civil Service applicants 6.Motion approving new 5-day Class C Liquor License (January 23 - 27, 2020) - Dublinbay Pub, 123 Airport Road 7. Motion approving new 5-day Class C Liquor License (January 23 - 27, 2020) - Mucky Duck Pub, LLC, Reiman Gardens - Pending Dram Shop 8. Motion approving new 5-day Class C Liquor License (January 25 - 29, 2020) - Gateway Hotel and Conference Center, 2508 Mortensen Road 9. Motion approving new 12-month Class C Liquor License with Sunday Sales - Fuji Japanese Steakhouse, 1614 S Kellogg Avenue - Pending Satisfactory Background Check 10. Motion approving new 12-month Class C Liquor License with Class B Native Wine, Outdoor Service, and Sunday Sales - Mickey’s Irish Pub, 109 Welch Avenue - Pending Dram Shop 11. Motion approving Permanent Transfer of Class E Liquor License with Class B Wine Permit and Class C Beer Permit from the old Fareway Store, 619 Burnett, to the new Fareway Store, 619 Burnett, to be effective January 14, 2020 12. Motion approving renewal of the following Beer Permits, Wine Permits, and Liquor Licenses: a. Class C Liquor License with Outdoor Service and Sunday Sales - Chipotle Mexican Grill, 435 S. Duff Avenue b. Class E Liquor License with Class B Wine, Class C Beer and Sunday Sales - JW Liquor, 4518 Mortensen Rd. Suite #109 c. Class A Liquor License with Sunday Sales - American Legion Post #37, 225 Main d. Class C Liquor License with Catering Privilege, Outdoor Service, and Sunday Sales - West Towne Pub, 4518 Mortensen Rd. Suite 101 e. Class C Liquor License with Catering Privilege, Outdoor Service, and Sunday Sales - Dublin Bay, 320 S 16th f. Class E Liquor License with Class B Wine Permit, Class C Beer Permit (Carry-out Beer), and Sunday Sales - The Filling Station, 2400 University Blvd. g. Class C Liquor License with Outdoor Service and Sunday Sales - The Angry Irishmen, 119 Main Street h. Class C Liquor License with Catering Privilege and Sunday Sales - Hy-Vee Market Café, 3800 Lincoln Way i. Class C Liquor License with Outdoor Service and Sunday Sales - Cy's Roost, 121 Welch Avenue - PENDING DRAM SHOP 13. Requests from Ames Main Street (AMS) for Music Walk on Thursday, April 23, 2020: a. Motion approving blanket Temporary Obstruction Permit and blanket Vending License in Central Business District b. Resolution approving closure of 10 metered parking spaces for food trucks and musicians from 3:00 p.m. to 9:00 p.m. c. Resolution approving waiver of parking meter fees and enforcement, usage and waiver of electrical fees, and waiver of fee for blanket Vending License for Ames Main Street from 3:00 p.m. to 9:00 p.m. 14. Requests from Ames Main Street (AMS) for Art Walk on Thursday, June 4, 2020: a. Motion approving blanket Temporary Obstruction Permit and blanket Vending License in Central Business District b. Resolution approving closure of 10 metered parking spaces for vendors from 3:00 p.m. to 8:30 p.m. c. Resolution approving waiver of parking meter fees and enforcement, usage and waiver of electrical fees, and waiver of fee for blanket Vending license for Ames Main Street from 3:00 p.m. to 8:30 p.m. d. Resolution approving closure of Kellogg Avenue, from Main Street to Fifth Street from 3:00 p.m. to 8:30 p.m. e. Resolution approving usage of Tom Evans Plaza 15. Requests from Ames Main Street for 4th of July activities on July 4, 2020: a. Motion approving blanket Temporary Obstruction Permit and blanket Vending License in Central Business District b. Resolution approving usage and waiver of electrical fees and waiver of fee for blanket Vending License c. Resolution approving closure of portions of Main Street, Northwestern Avenue, Fifth Street, Douglas Avenue, Burnett Avenue, Kellogg Avenue, Clark Avenue, Allan Drive, and Pearle Avenue from 6:00 a.m. until end of parade d. Resolution approving closure of Parking Lot MM, south portion of Lot M, Depot Lots V and TT from 6:00 a.m. to 2:00 p.m. 2 16. Requests from Ames Main Street (AMS) for January Dollar Days event on Thursday, January 23 through Sunday, January 26, 2020: a. Motion approving blanket Temporary Obstruction Permit and blanket Vending License b. Resolution approving waiver of parking meter fees and enforcement in the Downtown District on Saturday, January 25 c. Resolution approving waiver of fee for blanket Vending License 17. Requests from Ames Main Street (AMS) for Summer Sidewalk Sales on Saturday, July 25, 2020: a. Motion approving blanket Temporary Obstruction Permit and blanket Vending License b. Resolution approving suspension of parking regulations and enforcement for the Downtown from 8:00 a.m. to 8:00 p.m. c. Resolution approving waiver of fee for blanket Vending License 18. Resolution approving and adopting Supplement No. 2020-1 to Municipal Code 19. Resolution approving appointment of Council Member Amber Corrieri to the Squaw Creek Watershed Management Authority 20. Resolution approving application for procurement card for Council Member Rachel Junck and setting transaction limits 21. Resolution waiving enforcement of prohibition of motorized carts on trails in Ada Hayden Heritage Park for the Ames Triathlon 22. Resolution approving Pole Attachment Agreement and Underground Utility Locate Letter Agreement with Metro FiberNet, LLC 23. Resolution approving the Iowa Clean Air Attainment Program (ICAAP) Funding Agreement with Iowa Department of Transportation for Grand Avenue Extension project in the amount of $1,800,000 24. 2018/19 Shared Use Path System Expansion - Trail Connection South of Lincoln Way: a. Resolution approving the purchase of easement on 202 Dotson Drive in the amount of $6,090 b. Resolution approving the purchase of easement on 3709 Tripp Street in the amount of $42,700 25. Resolution approving preliminary plans and specifications for Homewood Clubhouse Project; setting February 13, 2020, as bid due date and February 25, 2020, as date of public hearing 26. Resolution approving preliminary plans and specifications for 2019/2020 Traffic Signal Program (Lincoln Way & Beach); setting February 5, 2020 as bid due date and February 11, 2020 as date of public hearing 27. Resolution approving preliminary plans and specifications for Campustown Public Improvements (Welch Avenue); setting February 12, 2020, as bid due date and February 25, 2020, as date of public hearing 28. Resolution approving preliminary plans and specifications for Iowa State University Research Park Phase IV Road and Utility Improvements Project; setting February 12, 2020, as bid due date and February 25, 2020, as date of public hearing 29. Resolution awarding Contract for Supplying Gases and Cylinders to the Power Plant to Airgas USA, LLC, in an amount not to exceed $29,726.82 30. Resolution approving contract and bond for the Water Treatment Plant Maintenance & Storage Building 3 31. Resolution approving contract and bond for 2019-20 Pavement Restoration Program (Slurry Seal) 32. Resolution approving Change Order No. 2 to HTH Companies, Inc., for additional non-asbestos insulation and related services in the amount of $65,000 33. Resolution approving partial completion of public improvements and reducing security for Sunset Ridge Subdivision, 8th Addition 34. Resolution approving partial completion of public improvements and reducing security for Sunset Ridge Subdivision, 9th Addition 35. Resolution approving Plat of Survey for 2810 & 2824 Wakefield Circle 36. Resolution approving Final Plat for West End Center Subdivision (1114 South Dakota Avenue) 37. Resolution accepting completion of Campustown Public Improvements - Water Service Replacement (Lincoln Way from Hayward Avenue to Welch Avenue) 38. Resolution accepting completion of contract for Furnishing 15kV Outdoor Metalclad Switchgear and 69kV Control Panels for Top-O-Hollow Substation Expansion and Breaker Addition 39. Resolution accepting completion of contract for Power Plant Steam Turbine #7 Parts PUBLIC FORUM: This is a time set aside for comments from the public on topics of City business other than those listed on this agenda. Please understand that the Council will not take any action on your comments at this meeting due to requirements of the Open Meetings Law, but may do so at a future meeting. The Mayor and City Council welcome comments from the public; however, at no time is it appropriate to use profane, obscene, or slanderous language. The Mayor may limit each speaker to three minutes. HEARINGS: 40. Hearing on Sale of City-owned property at 1420 Lincoln Way: a. Resolution approving conveyance of property to Metro FiberNet, LLC, in the amount of $21,600 41. Hearing on Sale of 1417 Douglas Avenue: a. Resolution approving conveyance of property to Mainstream Living, Inc., in the amount of $36,012, with stipulations 42. Hearing on Durham Bandshell Lighting & Electrical Upgrades: a. Resolution approving final plans and specifications and awarding contract to Jaspering Electric, Inc., in the amount of $136,500 43. Hearing on HVAC Project for CyRide: a. Motion rejecting all bids and directing staff to re-bid PLANNING & HOUSING: 44. Ames Comprehensive Plan 2040 Preferred Land Use Scenarios a. Motion directing staff on Preferred Growth Areas for a Draft Preferred Land Use Map OR Motion to table 45. Initiation of annexation of Champlin/Lloyd property a. Motion accepting the initiation of Annexation 46. 321 State Avenue: 4 a. Staff Report regarding multi-family housing with Low-Income Housing Tax Credit (LIHTC) b. Resolution awarding contract to Civil Design Advantage, LLC, of Grimes, Iowa, for engineering services in an amount not to exceed $49,600 PUBLIC WORKS: 47. Request from Sigler Companies to purchase Airport property for 3100 S. Riverside Drive: a. Motion directing staff to move forward with an approved conceptual approach to the sale and directing staff to work with the City Attorney and the FAA to complete all necessary documents before reporting back to the Council ORDINANCES: 48. Third passage and adoption of ORDINANCE NO. 4405 regarding stacked driveway parking for single-family and two-family dwellings 49. Third passage and adoption of ORDINANCE NO. 4406 rezoning 808 E. Lincoln Way from Agricultural “A” and Highway-Oriented Commercial (HOC) to General Industrial (GI) COUNCIL COMMENTS: DISPOSITION OF COMMUNICATIONS TO COUNCIL: CLOSED SESSION: 50. Motion to hold Closed Session as provided by Section 21.5(1)c, Code of Iowa, to discuss matters presently in or threatened to be in litigation ADJOURNMENT: 5 MINUTES OF THE REGULAR MEETING OF THE AMES CITY COUNCIL AMES, IOWA DECEMBER 17, 2019 The Regular Meeting of the Ames City Council was called to order by Mayor John Haila at 6:00 p.m. on December 17, 2019, in the City Council Chambers in City Hall, 515 Clark Avenue, pursuant to law. Present were Council Members Bronwyn Beatty-Hansen, Gloria Betcher, Amber Corrieri, Tim Gartin, David Martin, and Chris Nelson. Ex officio Member Devyn Leeson was also in attendance. GOVERNMENT FINANCE OFFICERS ASSOCIATION DISTINGUISHED BUDGET PRESENTATION AWARD: Mayor Haila presented the award to Finance Director Duane Pitcher and Nancy Masteller. The 2019/20 Budget was submitted to the Government Finance Officers Association (GFOA) of the United States and Canada. The award was reviewed by the GFOA professional staff and by outside reviewers. This is the 34th consecutive year that the City of Ames has been honored with the award. Mayor Haila said that approximately 1500 cities, counties, and school districts in the United States and Canada receive this award every year for budgets submitted for the current year. This year, ten cities and three counties in Iowa received the award. CONSENT AGENDA: Council Member Betcher requested to pull Item No. 13: appointment of Council Member-Elect Rachel Junck to the Ames Convention and Visitor’s Bureau; and Council Member Gartin also asked to pull Item No. 20: agreement with Ames Foundation for Tree Planting Project, for further discussion. Moved by Betcher, seconded by Beatty Hansen, to approve the following items on the Consent Agenda: 1. Motion approving payment of claims 2. Motion approving Minutes of Special Meetings held December 4 and December 6, 2019, and Regular Meeting held December 10, 2019 3. Motion approving certification of Civil Service applicants 4. Motion approving Class C Liquor License Ownership Change for Texas Roadhouse, 519 South Duff Avenue 5. Motion approving Class E Liquor License Premise Update - Fareway Stores, Inc., #386, 619 Burnett Avenue - Pending Inspection Approval 6. Motion approving new 5-day (January 11-15) Class C Liquor License - Great Caterers of Iowa, 2321 N Loop Drive 7. RESOLUTION NO. 19-638 approving Encroachment Permit for a sign at 2408 Lincoln Way 8. RESOLUTION NO. 19-639 accepting Abstract of Votes for December 3, 2019, Ward 4 Run-Off Election 9. RESOLUTION NO. 19-640 approving appointment of Council Member Amber Corrieri to the Conference Board’s Mini-Board 10. RESOLUTION NO. 19-641 approving appointment of Council Member Bronwyn Beatty- Hansen to the Ames Transit Agency Board of Trustees 1 11. RESOLUTION NO. 19-642 approving appointment of Council Member David Martin to the Ames Economic Development Committee (AEDC) 12. RESOLUTION NO. 19-644 setting January 28, 2020, as date of public hearing regarding amendment to 2019/20 Annual Action Plan projects for Community Development Block Grant Program 13. RESOLUTION NO. 19-645 setting January 14, 2020, as date of public hearing for conveyance of 1417 Douglas Avenue to Mainstream Living 14. RESOLUTION NO. 19-646 setting January 14, 2020, as date of public hearing regarding conveyance of City property at 1420 Lincoln Way to Metro FiberNet, LLC, in the amount of $21,600 15. RESOLUTION NO. 19-647 approving Comprehensive Annual Finance Report for Period Ending June 30, 2019 16. RESOLUTION NO. 19-648 approving appointment of two representatives to the Story County 911 Service Board 17. RESOLUTION NO. 19-649 approving Commission On The Arts (COTA) Special Grants for Spring 2020 18. Ames Main Street: a. RESOLUTION NO. 19-651 of support for Ames Main Street Program b. RESOLUTION NO. 19-652 approving Ames Main Street and Main Street Iowa Program Agreement 19. RESOLUTION NO. 19-653 approving Construction Observation/Administration Service Agreement regarding 2018/19 Sanitary Sewer Rehabilitation (Siphons) to WHKS of Ames, Iowa, in an amount not to exceed $86,700 20. RESOLUTION NO. 19-654 approving Construction Observation/Administration Service Agreement regarding 2019/20 Sanitary Sewer Rehabilitation (Munn Woods) to WHKS of Ames, Iowa, in an amount not to exceed $147,800 21. RESOLUTION NO. 19-655 approving Police Department’s participation in the Governor’s Traffic Safety Bureau Nighttime Seat Belt Enforcement Grant Program 22. RESOLUTION NO. 19-656 approving partial completion of public improvements and reducing amount of required security for Scenic Valley Subdivision, 4th Addition Roll Call Vote: 6-0. Resolutions/Motions declared adopted/approved unanimously, signed by the Mayor, and hereby made a portion of these Minutes. APPOINTMENT OF COUNCIL MEMBER-ELECT RACHEL JUNCK TO THE AMES CONVENTION AND VISITOR’S BUREAU: Council Member Betcher stated that she requested to pull Item No. 13 because the appointment says it is effective January 1, 2020, but she won’t be sworn in until January 2, 2020. Moved by Betcher, seconded by Martin, to amend the Resolution to read “appointment term effective as of January 2, 2020.” Roll Call Vote: 6-0. Motion declared carried unanimously. Moved by Betcher, seconded by Beatty Hansen, to adopt RESOLUTION NO. 19-643 approving appointment of Council Member-Elect Rachel Junck to the Ames Convention and Visitor’s Bureau, 2 as amended. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. AGREEMENT WITH AMES FOUNDATION FOR TREE PLANTING PROJECT: Council Member Gartin requested to pull Item No. 20 to give Parks and Recreation Director Keith Abraham a chance to talk about the tree planting efforts since there is a broad community interest in it. Parks & Recreation Director Abraham said that the tree planting effort began five years ago with the Sesquicentennial when 150 trees were planted in the park system. In the first five years of the Street Tree Planting Program, 723 trees were planted in the rights-of-way. In addition, 1,000 trees were removed from the right-of-way due to the Emerald Ash Borer situation and they are replanting each tree. Community involvement and volunteers are encouraged to contact the Ames Foundation or City Forester Paul Tauke to get involved with the tree planting and watering. Moved by Gartin, seconded by Beatty-Hansen to adopt RESOLUTION NO. 19-650 approving the Agreement with Ames Foundation for the Tree Planting Project. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. PUBLIC FORUM: Mayor Haila opened Public Forum. Richard Deyo, 505 - 8th Street, #2, Ames, commented that he thought they should know what happened at Bernie Sanders’ Office. Mayor Haila closed Public Forum after no one else came forward to speak. 321 STATE AVENUE AFFORDABLE HOUSING PROJECT: Planning & Housing Director Kelly Diekmann reviewed the outline of the history of this project and the direction already provided by Council. He advised Council that they are again looking for direction from Council on how to proceed. A review of the time line for the current path was requested by Council Member Beatty-Hansen. Mr. Diekmann explained that the process is expected to take four to six months from the time a company is hired and concepts are developed to requesting bids. The goal is to have construction start this summer with infrastructure and lots platted to move forward with building single-family dwellings along Wilmouth. Council Member Gartin asked about the possibility of an indoor pool at this location. Mr. Diekmann responded that one concept for the four acres on the north side of Tripp Street depicted a single–purpose facility for an indoor pool, a parking lot, and a park. The reason City staff is not recommending to use this space for a pool or a park is because there isn’t room for further expansion. 3 Housing Coordinator Vanessa Baker-Latimer said the land was purchased for the use of affordable housing with CDBG funds. Changing the concept would change the use of the land from a neighborhood purpose to a community-wide purpose which would cause the project to no longer be counted as a Low- to Moderate-Income (LMI) project for the neighborhood according to HUD guidelines. She verified for Council Member Betcher that the neighborhood park would be eligible for CDBG funds, but the pool would not be eligible. Ms. Betcher said an indoor playground or a pool was of great interest to residents. Council Member Martin added that discussion was had with the neighborhood in very general terms. Ms. Betcher asked when considerable movement can be expected to be seen for the rest of the property. Ms. Baker-Latimer replied that once the platting is done, housing options would be considered and developed. She added that other additions for the area are also being looked at, including the bike path. Mr. Diekmann said it would be very difficult to do more than three to four houses in a year because of the market and funding. It is expected to be at least a three-year project to build out the site. The subsidy amount was a concern expressed by Mr. Gartin who asked Mr. Diekmann to review options to help bring the amount of subsidy down per unit. Mr. Diekmann advised Council that $80,000 has been the consistent expectation, but lot size and product construction are factors that can change the overall cost. If Council decides to not include basements, staff would need to know first to be able to come back with the cost implications. He reminded Council that in June, the direction was to build single-family homes on Wilmouth, and to look at other housing concepts for the remainder of the parcel. Once a decision has been made regarding platting for a second addition, that will dictate a street layout and utility lines locations. According to Ms. Betcher, there was enthusiasm for small lot development. She said affordable housing needs to be addressed; that is not being addressed very quickly with the current course. Mr. Diekmann commented that the multi-family plan needs at least 40 units to have scale to make the LITEX tax credit valuable. He said three to four acres of land would be needed to get 50 units onto a property in Medium Density unless a higher-density-looking building is built, but that affects the cost too. Mayor Haila advised Council that they need to decide if they want to pursue the indoor pool or not. Moved by Corrieri, seconded by Gartin, to not continue to pursue locating an aquatic center at the State Avenue site. Mr. Martin mentioned that there was a post card sent out inviting the public to come discuss it. Mr. Abraham said the post card was brief and encouraged individuals to review the staff report on previous discussions for Franklin park. Mayor Haila opened public comment. Pat Brown, 3212 West Street, Ames, encouraged Council to get moving on this project and to keep 4 focus on the objective, which is affordable housing and some options on a park. She advised Council to consider the best use of the land and safety issues; she believes affordable housing with a park would be very amenable. Mayor Haila closed public comment. Vote on Motion: 6-0. Motion declared carried unanimously. It was suggested by Mayor Haila that Council include the community in discussion if they want to change from the previously agreed upon single-family housing to include rentals. Mr. Diekmann said the idea of moving Franklin Park to 321 State was to have a more visible and accessible park. Ms. Beatty-Hansen said if the neighborhood is amenable to the swap, she would support the change. Mayor Haila opened public comment on Franklin Park. Jay Adams, 248 Village Drive, Ames, said he thought it had already been decided to save the Park that his grandparents helped build. He said he is against the Park being moved. There already is a lot of green space with the ISU Arboretum. He added that the area is already over-saturated with rentals, so it doesn’t make sense to add more rentals. There is no incentive to stay in the area if issues keep being revisited after being decided on. He urged Council to not move the Park. Linda Adams, 248 Village Drive, Ames, said Jay lives on a street that is close to the Park. She said there are multiple apartment developments; the area is saturated. There are still neighborhoods and single-family homes and young families who would like to start next to the Park, and this green space is what draws them to the area. There are also a lot of families in the apartments who use the Park. It is a neighborhood park meant for this neighborhood. There are no streets that go into the park, but you can park next to it. She pointed out that 321 State doesn’t need more green space because the ISU Arboretum is right next to it with 35 acres and an additional seven acres in the College Creek area that borders the area. She said the Park needs to stay where it is so the neighborhood has green space. Ms. Adams brought up the concern of the area becoming unstable; the potential increase in rentals would destroy the neighborhood, which is why Council had been working on the rental cap for that area. Joanne Pfeiffer, 3318 Morningside Street, Ames, said she agrees with the first two speakers. She said she is very concerned about the increase of rentals and the possible destruction of the neighborhood. Sharon Stewart, 437 Hilltop Road, Ames, said she was at the budget planning meeting to support the arts in this community. This is an example to take artistically minded people to come up with a plan to make Ames “weirder”. One of the things that is great about affordable housing is giving people a chance to grow their equity. She said she is more concerned about building well-built structures to encourage people to get a start. She suggested a tiny house neighborhood allowing people to invest in building equity in the neighborhood through home ownership. Ms. Stewart advised Council to get artistic minds involved to make it an interesting place where people want to 5 live. Mayor Haila closed public comment after no one else came up to speak. Ms. Beatty-Hansen clarified that the rental cap’s purpose was to cap the amount of single-family homes that could be converted to rentals. Apartment style is a different type of building and use and would cut down on the need for people to rent out single-family homes if there were actually affordable apartments. She acknowledged that the apartments that have been built in the area are not affordable. Ms. Corrieri commented that she had consistently voted against the past plans for 321 State and Franklin. She said she will continue to support some sort of affordable housing on one of the two sites. Ex officio Devyn Leeson brought attention to a person who had wanted to comment, but didn’t get a chance before public comment was closed. Awein Majak, 409 Beedle Drive, Ames, discussed issues with affording housing in Ames. Across the state, if low income people are put in the same place, there become problems with drugs and high crime rates. She asked Council to request that landlords subsidize two or three apartments in their complexes instead of putting the low-income people all together in one place and the middle-class people in one place together. She suggested mixing everyone together to make it equal. Moved by Gartin, seconded by Corrieri, to approve Option 1: to develop 321 State Avenue with a mix of market rate and affordable homes (51%), as originally planned, and to include the consideration of multi-family options on 321 State Avenue. Ms. Beatty-Hansen clarified that this motion includes leaving Franklin Park where it is. Mr. Gartin said he has been an adamant supporter of having only single-family housing on 321 State. He said with great reluctance, he agreed that Ms. Corrieri was right in that greater flexibility is the best way to move forward. Mr. Martin commented that he likes this direction, but he is concerned about the amount of outreach that has been done. He said there needs to be more outreach before they can change the course of the discussion since the main concern tonight was about the pool and about moving the Park. Mr. Diekmann suggested Council to direct staff to host an open house to discuss the housing concepts. Vote on Motion: 5-1. Voting aye: Betcher, Gartin, Nelson, Beatty-Hansen, Corrieri. Voting nay: Martin. Motion declared carried. Council Member Martin said he has no objection to staff gathering information and hosting an open house; he just voted no for proceeding with a multi-family solution on that site. 6 AMENDING CAMPUSTOWN MID-BLOCK SETBACK: Director Diekmann advised Council that this request was in response to a referral from the December 10, 2019, City Council meeting. The individual making the request for the change is specifically interested in how the requirement would be applied to Lincoln Way along the 2500 Block. The options presented to Council were reviewed: Option 1: Amend the CSC Zoning requirements to remove the 20-foot mid-block break only along Lincoln Way. Option 2: Clarify the CSC zoning language that the mid-block break is applicable, when necessary, as determined by the Planning Director. Option 3: Comprehensive utility and planned access study within the CSC district. Mr. Gartin said he is leaning towards Option 2, but is concerned about the consistency in which the requests will be analyzed. Mr. Diekmann said the elements that go into the analysis would be consistent, but the judgment would depend on the Director. He said he does not believe breaks are needed on the remaining blocks of Lincoln Way, and the ultimate goal is to remove access from Welch and make a one-way access from Hayward. Mayor Haila opened public comment. Seeing no one who wished to speak, he closed public comment. Moved by Nelson, seconded by Corrieri to approve Option 1 to amend the CSC Zoning requirements to remove the 20-foot mid-block break only along Lincoln Way. Vote on Motion: 6-0. Motion declared carried unanimously. 2019 DOWNTOWN PARKING STUDY: City Traffic Engineer Damion Pregitzer introduced David Garza with Walker Consultants who reviewed the purpose and process of the Parking Study. Mr. Garza said one of the goals was to ensure public access and space availability that support short- term and long-term usage. The findings of the Study were presented to the steering committee who agreed that the results were indicative of typical usage patterns. Mr. Garza recommended to keep collecting data as the occupancy presentation is just a snap shot of a single day of use. Mr. Pregitzer explained that this is not an exhaustive data collection, it’s just a sample to decide if the metric can be used to develop a policy. Mr. Garza continued reviewing the data collected during the Study. Council Member Betcher asked if there was any data collected after parking enforcement hours. Mr. Garza said the data stopped being collected at 6:00 p.m. He advised that the Study showed that the majority of people parking in Downtown tended to follow the posted time limits of 2-hour, 4-hour, and 10-hour, respectively. However, the data also showed a desire for time limits longer than 2- hours in some areas based on the percent of overtime parking observed. Also, throughout the public input process, staff heard from business owners with a wide range of customer needs. The consensus was that customers should also be able to shop at multiple stores without concern of getting a ticket. Mr. Garza also discussed that the Study looked at target occupancy rates for on-street and off-street (parking lots) parking. The Study indicated that 85% occupancy is the "tipping point" for when a parking system becomes over-saturated and customers begin to struggle to find desirable parking near their destinations. The average daily occupancy for the Downtown was 63%, which indicated 7 that there was excess parking supply in the Downtown to meet demand. Therefore, because the data showed the parking supply is below the 85% occupancy target, more spaces can be allocated for the long-term employee parking in the CBD lots. Mr. Garza advised that the Employee Hang-Tag Parking Program appeared to be working well and that the City should consider keeping the Program on a permanent basis. Mayor Haila asked how Ames compared to similar communities in regards to parking fees. Mr. Garza said some communities offered monthly parking programs with lower rates and some offered free parking. One of the recommendations from Walker Consultants was to encourage walking. He commented that free parking should be on the fringe area, not in the core. Mr. Pregitzer advised Council that the cost-per-space in the report, around $40,000, included demolishing the current spaces and is a market-based price. The average noted in the report, around $25,000, is building on an empty space, which does not have the cost for demolition. It was recommended by Mr. Garza that if the City's goal is to create a self-sustaining parking enterprise, it must contemplate increased meter rates over the long term in order to maintain the existing parking infrastructure in a self-sustaining manner. If not, the burden of maintaining the existing system will fall on the General Fund supported by Ames taxpayers. Eventually, rates will need to come up at some point in order to maintain the existing public parking service without creating an undue burden. The Study indicated that the current break-even hourly rate is approximately $1.50/hr based upon charging that rate for the 683 meters. However, it went on to say that if the City considered charging a flat daily-rate for the CBD lot of $3.00/day, the break-even meter rate could drop to approximately $1.22/hr. It was noted that offering free parking would make areas of paid parking more expensive because all parking areas have similar maintenance and enforcement costs. Mr. Garza reviewed the recommendations based on the results of the Study, which are: 1. Implement a short-term and long-term parking strategy that sets on-street time limits to three hours; allocate CBD Lot X for long-term employee hang tag use. 2. Maintain the existing four-hour Employee Parking Hang Tag Program; evaluate the long-term feasibility of rates at lot X, Y, and Z. 3. Promote CBD Lot N, S and Q as long term parking maintaining the status quo arrangement. 4. Maintain existing sidewalks and public realm to promote greater walkability. 5. Increase fine schedule for violators. 6. Consider a phased and incremental five-year meter rate strategy. 7. Evaluate parking occupancies on-street and set target rates for occupancy. 8. Form a Downtown Parking Advisory Committee. Ms. Betcher asked why the advisory committee should only meet once a year. Mr. Garza explained that the once-a-year requirement would be a formal meeting, but communication would happen informally throughout the year. Council Member Beatty-Hansen wanted to know how many bicycle parking spots were currently 8 available. According to Mr. Garza, bicycle parking data was not included in this Study. Mr. Pregitzer said the purpose of the Study was more focused on the financial system. Ms. Beatty- Hansen said she would like to know the number as inadequate bicycle parking affects the use of car parking. Mr. Martin discussed his view on technology and parking meters. He asked at what point it would be recommended to a city to use technology to accept credit and debit cards at the point of sale. Mr. Garza said the mobile pay technology is tied to a credit card, which was a partial solution to the technology question. He said the cost for replacing meter heads with card accepting devices was included in the appendix of the report. Ms. Betcher clarified with the consultant that removing meters from downtown was not considered in this study. She asked what the impact would be to remove meters in the streets and charge for parking in the lots that are now free. Mr. Garza replied that typically the premium space is charged for convenience and to promote turnover. Mr. Pregitzer reiterated that this is not an exhaustive study and that large changes are not well received, so this Study was to do what they can with what they have in incremental changes. The options presented to Council were as follows: 1A. Establish a policy that defines short-term time limits as three hours and a long-term limit as ten hours: convert on-street meters to a three-hour limit, maintain an employee hang-tag system for Downtown at $10/space/month in CBD Lot X only, thereby converting the remaining CBD lots (Y and Z) to three-hour free parking and 24-hour Reserved. 1B. Establish a policy that defines short-term time limits as three hours and a long-term limit as ten hours: convert on-street meters to a three-hour limit, abolish the Employee Hang-Tag Program and establish CBD Lot X as ten-hour free parking; CBD Lots Y and Z would become three-hour free and 24-hour Reserved. 1C. Establish a policy that defines short-term time limits as three hours and a long-term limit as ten hours: convert on-street meters to a three-hour limit, abolish the Employee Hang-Tag Program and establish CBD lots X, Y, and Z as ten-hour free parking on the southern half of the lots and three- hour free parking on the northern half. 2A. Direct staff to adjust all parking rates and fees (maximum 40% increase) on a biannual basis beginning in FY 2022/23. Delay any final decision on whether or not to cover both operational and capital costs from parking fee revenues only until staff develops within the next two years a long-range plan for parking system capital improvements. This plan would cover the needs of the entire parking system. 2B. Direct staff to adjust all parking rates and fees (maximum 40% increase) on a biannual basis beginning in FY 2022/23, such that estimated revenues cover all anticipated operational and capital costs of the parking system. The evaluation for the needs of the parking system would take place in the previous fiscal year. 9 2C. Direct staff to adjust all parking rates and fees (maximum 40% increase) on a biannual basis beginning in FY 2022/23, such that estimated revenues cover all anticipated operational costs only of the parking system. Staff would make recommendations for how to pay for capital costs on a project-by-project basis. The evaluation for the needs of the parking system would take place in the previous fiscal year. 3A. Direct staff to work with the Ames Main Street to establish an ongoing Downtown Parking Advisory Committee (meeting annually). 3B. Maintain the current practice of engaging Downtown on a project-by-project basis. Mayor Haila opened public comment. Sara Spohnheimer, 210 Main Street, Ames, expressed concerns on the communication with the public on the Parking Study. It had been alleged that the parking fund was not self-sustaining, but there hadn’t been as much discussion about covering capital cost, which was a change in the expectations of the fund. The self-sustaining description covered the enforcement of parking, and adding in capital costs and maintenance as another expectation has caused a philosophical shift. She suggested that outreach to the community be pursued by staff. She said that, according to State Code 384.24 and 384.26, the capital improvement funding couldn’t come from the same revenue source as it does for the streets, but according to City Attorney Mark Lambert, the General Purpose Bonds could be used for the capital improvements. She asked for more transparency in the reasons for potential increases. The public perception is that the parking fund had not been self-sustaining, so Walker Consultants recommended to raise the rates. She felt that the Study was for the goal of parking rates to pay for more than parking, rather than reviewing how the parking was working. Eric Abrams, 232 and 233 Main Street, Ames, pointed out that this was Walker’s recommendation report. The steering committee went through the recommendations and would like Council to review the committee’s recommendations. He said Lot W lacks lighting and security, otherwise, they could use that for employee parking. Drew Kamp, 304 Main Street, Ames, Executive Director for Ames Main Street, said Option 1C is the preferred policy recommendation. Option 2C would be ideal, but 2A would be acceptable also. Option 3A is preferred, but he wanted it noted that the committee has a proposed list. Brian Keat, 115 Main Street, Ames, said he supports Alternative 1C. He added that if Alternative 1C is not palatable, he would recommend Alternative 1A, but would like to expand the hang tag to Y and Z as well. The option that won’t work, according to Mr. Keat, is Alternative 1B. Mayor Haila closed public comment. Ms. Beatty Hansen suggested waiting to take an action on Item No. 2. Mayor Haila wanted to know how many people parking downtown are employees and how many are customers. The Parking Study did not fully explore that issue according to Mr. Pregitzer. Mayor 10 Haila said if the majority are employees, it might influence policy decisions compared to if it’s mainly customers. Ms. Betcher explained that the data doesn’t clarify who has the hang-tags, so there is no way to ensure the ten-hour spots are available for employees. She added that if the hang tag system was restricted to Lot X and that lot was full, employees couldn’t park anywhere else. Mr. Pregitzer confirmed that parking in other lots would not be allowed under Option 1A. A time limit on changes to the parking regulations was recommended by Mayor Haila so Council isn’t revisiting this issue every six months. Moved by Beatty-Hansen, seconded by Corrieri, to approve Alternative 1A: establish a policy that defines short-term time limits as three hours and a long-term limit as ten hours: convert on-street meters to a three-hour limit, maintain an employee hang-tag system for Downtown at $10/space/month in CBD Lot X only, thereby converting the remaining CBD lots (Y and Z) to three- hour free parking and 24-hour Reserved. Mr. Nelson asked to add a friendly amendment that Lot W could be in addition to 1A to open up parking for long term parking. Ms. Betcher asked for clarification on what was being added. Mr. Nelson clarified that lighting and grubbing would be added. Mr. Pregitzer suggested Council to ask for an assessment on the cost to clean up Lot W since that hasn’t been fully vetted. Ms. Beatty- Hansen agreed. Council Member Beatty-Hansen explained that approving Option 1A instead of Option 1C is for consistency and to make smaller tweaks to the Parking Plan. Mr. Pregitzer clarified that the three-hour limit is all on-street meters that currently have two-hour and four-hour limits. The lot remains at ten-hours. All of X, Y, and Z (except reserved) are three- hour free. Lot Q would be ten-hour free. The hang tag would only exempt holders from the three- hour limit in Lot X. He also asked that the current policy be maintained until April 1, 2020, to allow for time to change the meters. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Nelson, seconded by Beatty-Hansen, for staff to bring back a memo assessing the cost of lighting and grubbing in Lot W. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Betcher, seconded by Beatty-Hansen, to leave in place the current policy until staff can make the changeover, no later than April 1, 2020. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Beatty-Hansen, seconded by Corrieri, to approve Option 3A: to direct staff to work with the Ames Main Street to establish an ongoing Downtown Parking Advisory Committee with the requirement to meet at least biannually. Vote on Motion: 6-0. Motion declared carried unanimously. 11 Mr. Gartin asked Public Works Director John Joiner to address if Council had been communicating and being honest with the public. Mr. Joiner said the Parking Fund has been self-sustaining for the last few years. In 2017, staff was directed to have revenues that allowed for capital costs along with operational costs. The Parking Fund had been self-sustaining, but not with the capital improvement costs included. Regarding the bonds that were brought up - parking lot maintenance is not an essential corporate purpose, therefore, it cannot be funded with General Obligation Bonds. General Purpose Bonds could be issued to fund up to $700,000 without a special community vote. He added that there is a difference between General Purpose and General Obligation Bonds. City Manager Steve Schainker commented that this is not a philosophical change; the goal is for the Parking Fund to break even and pay for maintenance. It came to the point for the first time to reconstruct lots, which is different than maintaining. Ms. Betcher clarified that this is not just Downtown, it’s all the parking across town. Ms. Corrieri asked if a $700,000 bond can be bonded every year. Mr. Schainker said it is every year, but there are other things that might need to be bonded for besides parking lots. Mr. Nelson commented for clarity that the parking lots behind Main Street have not been reconstructed since they were built 50 years ago. Mayor Haila called for recess at 8:54 and reconvened at 9:01. EAST INDUSTRIAL AREA UTILITY EXTENSION PROJECT: Municipal Engineer Tracy Warner reviewed the parameters of the project changes and advised Council of the process. Mayor Haila opened public comment. Seeing none, he closed public comment. Moved by Corrieri, seconded by Betcher, to adopt RESOLUTION NO. 19-657 approving the Professional Services Agreement Amendment No. 2 to the professional services agreement with Stanley Consultants Inc. for the East Industrial Area Utility Extension Project for an additional amount not to exceed $60,200 (total contract not to exceed $396,570). Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. Moved by Corrieri, seconded by Gartin, to adopt RESOLUTION NO. 19-658 approving the Plat of Survey for the lift station and future elevated water tank site. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. Moved by Nelson, seconded by Corrieri, to adopt RESOLUTION NO. 19-659 approving the Purchase Agreement from Janice S. Schroer Revocable Trust UTA October 30, 1997, for the lift station site in the amount of $73,450. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. Moved by Beatty-Hansen, seconded by Corrieri, to direct staff to initiate the process of rezoning the 12 lift station and future elevated water tank site from Agricultural to Government Airport. Vote on Motion: 6-0. Motion carried unanimously. SOUTH GRAND AVENUE EXTENSION PROJECT: Ms. Warner advised Council that this project is the extension of South Grand Avenue. She detailed the changes and updates to the project. Moved by Betcher, seconded by Beatty-Hansen, to adopt RESOLUTION NO. 19-660 approving Agreement for Professional Services Amendment No. 4 with Shive-Hattery, Inc., of West Des Moines, Iowa, in the amount not to exceed $147,900. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. 2019/20 PAVEMENT RESTORATION - SLURRY SEAL PROGRAM: Mayor Haila opened the public hearing. After no one came forward, he closed the public hearing. Moved by Beatty-Hansen, seconded by Nelson, to adopt RESOLUTION NO. 19-661 approving final plans and specifications and awarding a contract to Fort Dodge Asphalt Company of Fort Dodge, Iowa, in the amount of $240,787.76. Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. ORDINANCE NO. 4404 CHANGING THE COUNCIL MEMBER’S TERM TO BEGIN ON JANUARY 1ST FOR THE AMES TRANSIT BOARD: Moved by Betcher, seconded by Corrieri, to pass on first reading an Ordinance changing the term of office of the City Council member serving on the Ames Transit Agency Board of Trustees to begin on January 1. Mayor Haila opened public input. Since no one wished to speak, he closed the public input. Roll Call Vote: 6-0. Motion declared carried unanimously. Moved by Beatty-Hansen, seconded by Corrieri, to suspend the rules necessary for the adoption of an ordinance. Roll Call Vote: 6-0. Motion declared carried unanimously. Moved by Betcher, seconded by Corrieri, to pass on second reading an Ordinance changing the term of office of the City Council member serving on the Ames Transit Agency Board of Trustees to begin January 1. Roll Call Vote: 6-0. Motion declared carried unanimously. Moved by Betcher, seconded by Corrieri, to pass on third reading and adopt ORDINANCE NO. 4404. Roll Call Vote: 6-0. Ordinance declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. 13 ZONING CODE AMENDMENTS REGARDING STACKED DRIVEWAY PARKING FOR SINGLE-FAMILY AND TWO-FAMILY DWELLINGS: Moved by Corrieri, seconded by Betcher, to pass on second reading an Ordinance amending Zoning Code regarding stacked driveway parking for single-family and two-family dwellings. Roll Call Vote: 6-0. Motion declared carried unanimously. REZONING OF 808 E. LINCOLN WAY FROM AGRICULTURAL “A” AND HIGHWAY- ORIENTED COMMERCIAL (HOC) TO GENERAL INDUSTRIAL (GI): Moved by Betcher, seconded by Corrieri, to pass on second reading an Ordinance rezoning 808 E. Lincoln Way from Agricultural “A” and Highway Oriented Commercial (HOC) to General Industrial (GI). Roll Call Vote: 6-0. Motion declared carried. ORDINANCE NO. 4403 REGULATING MASSAGE ESTABLISHMENTS: Moved by Corrieri, seconded by Martin, to pass on third reading and adopt ORDINANCE NO. 4403 regulating massage establishments. Roll Call Vote: 6-0. Ordinance declared adopted unanimously, signed by the Mayor, and hereby made a portion of these Minutes. BUDGET ISSUES AND GUIDELINES: Assistant City Manager Deb Schildroth reviewed the allocation amounts for ASSET. The current year’s funding was $1,466,202 which was an increase of 3% from the previous year. The City Council’s priorities for human services funding in FY 2020/21 are around housing, mental health and substance abuse services, and youth development services. The total requested by the City for agencies is $1,625,097, which is close to 11% over the current year’s allocation. ASSET administrative services will be increased to include training for agencies in equity inclusion and diversity. Ms. Schildroth continued reviewing the report regarding information that was gathered on clients who were turned away from services due to funding issues or agencies not having the services or the staff available to provide the services. She added that the report does not include those with waiting lists. Finance Director Duane Pitcher advised Council that the predicted increase amount is 5%. Ms. Schildroth added that the Story County Board of Supervisors met and approved a 5% increase. Mr. Martin said the inflation rate for the past year was 2%. He proposed increasing ASSET by 4% and using that extra percent towards COTA funding, as that should satisfy the passion expressed for funding for the arts. Moved by Martin, seconded by Corrieri, to increase ASSET funding by 4%. Mayor Haila asked how United Way is coming with its score card. Ms. Schildroth said that, for the first time, they are able to use some trend lines as a pilot so the volunteers will be able to use that information as they are recommending allocations. Mayor Haila asked if there is a community assessment that shows if the funder’s priorities reflect the actual needs of the community. Ms. Schildroth responded that ISU has developed committees to assess the needs. 14 Vote on Motion: 6-0. Motion declared carried unanimously. Ms. Beatty-Hansen brought up the expiration of the Human Service Agency Capital Funding Pilot. She asked extending the Pilot beyond 2020 would be a separate discussion. Mr. Schainker agreed that it would be a different conversation. Council Member Martin advised Council that the 1% from ASSET funding amounted to almost $15,000, which ended up to be about 9% for COTA funding. Moved by Martin, seconded by Corrieri, to increase COTA funding by $15,000. Mayor Haila asked if there was a way to help offset the costs to promote performing arts to enhance the culture and the community. Ms. Beatty-Hansen said art is one of those things that makes the community fun. Mr. Nelson commented that he is uncomfortable with saying that they didn’t give ASSET a 5% increase because they wanted to take 1% from ASSET to give it to COTA specifically. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Martin, seconded by Nelson, for staff to bring a memo back for non-profit arts events to help make the City Auditorium more affordable. Mr. Gartin asked for a little history in the memo on how the Auditorium funding was done and how it has changed over the years. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Beatty-Hansen, seconded by Martin, to approve a 4% increase overall in Outside Organizations funding. Vote on Motion: 6-0. Motion declared carried unanimously. Council Member Betcher commented that she thought they had removed the resident committee, but the note on Page 12 references staff and the Resident Committee. Mr. Schainker confirmed that the Resident Committee was removed. Ms. Corrieri asked when the request for information for potential projects for the CIP should be brought up. Mr. Schainker said it should be brought up sooner than later. Moved by Corrieri, seconded by Gartin, to see a memo from staff regarding the history on CIP funding for a downtown plaza with funds appropriated to that particular project. Vote on Motion: 6-0. Motion declared carried unanimously. DISPOSITION OF COMMUNICATIONS TO COUNCIL: 1515 Letter from Jean Kresse, dated December 6, 2019, Regarding Update on Human Services Agency Capital Funding Program: Moved by Beatty-Hansen, seconded by Corrieri, for a memo from Jean Kresse regarding the success and future needs for the Program. Vote on Motion: 6-0. Motion declared carried unanimously. Memo from Sara Van Meeteren, Building Official, dated December 13, 2019, Regarding Staff’s Response to AEDC Survey: Mr. Nelson commented that the purpose of surveys is to follow up over time for progress and suggested to follow-up in a couple years. Letter from Gary Reedy, dated December 9, 2019, Regarding Request for a Yield or Stop sign at the Intersection of Hunziker Drive and Roosevelt Avenue: Moved by Gartin, seconded by Martin, to refer to staff for a study on the request. Vote on Motion: 6-0. Motion declared carried unanimously. COUNCIL COMMENTS: Mayor Haila commented that the change in parking behind Main Street from four hours to three hours is going to make it very difficult for employees who will have to move their vehicles more frequently. If anyone is interested in reconsidering that, it can be brought up again on Thursday, December 19, 2020. Mr. Nelson mentioned that this was his last regular City Council meeting. He said serving on Council has been a world view-changing experience. He expressed appreciation for the staff and offices for their hard work and for the support of his family for being understanding for the past six years. He wanted everyone to know that he always did what he thought was best for the community. ADJOURNMENT: Moved by Nelson to adjourn the meeting at 9:50 p.m. ___________________________________ ____________________________________ Rachel E. Knutsen, Deputy City Clerk John A. Haila, Mayor 1616 MINUTES OF THE SPECIAL MEETING OF THE AMES CITY COUNCIL AMES, IOWA DECEMBER 19, 2019 The Special Meeting of the Ames City Council was called to order by Mayor John Haila at 6:00 p.m. on the 19th day of December, 2019, in the City Council Chambers in City Hall, 515 Clark Avenue. Council Members Bronwyn Beatty-Hansen, Gloria Betcher, Amber Corrieri, Tim Gartin, David Martin, and Chris Nelson were present. Ex officio Member Devyn Leeson was also present. Moved by Martin, seconded by Betcher, to reconsider the decision made on December 17, 2019 regarding Downtown parking. Mayor Haila noted Alternative 1A in the Staff Report that was received with the Downtown Parking Study that would convert on-street meters to a 3-hour limit. Traffic Engineer Damion Pregitzer said with that option all on-street meters in the downtown area would have a 3-hour limit. Vote on Motion: 6-0. Motion declared carried unanimously. Moved by Martin, seconded by Betcher, to maintain the Downtown parking system and to convert on-street parking meters to a 3-hour limit. Mr. Gartin asked if this option is what representatives of Main Street desire. City Manager Steve Schainker said this wasn’t their first choice, but is now the preferable option. Council Member Nelson said his only concern is regarding the periphery. Council Member Betcher said the far periphery is still at a 10-hour limit, and lot parking hasn’t changed. Vote on Motion: 6-0. Motion declared carried unanimously. AMES PLAN 2040 UPDATE Review Development Scenarios: Planning and Housing Director Kelly Diekmann told the Council that the additional staff members who have been involved in scenario planning were present for discussion. Mayor Haila told the group public comment would be received on January 7, 2020 at 7:00 p.m. Council Member Gartin asked if school boards and Story County could be invited. Director Diekmann said that following public input the next meeting would involve Council decision-making. Mayor Haila suggested January 14, 2020 for Council direction to be given. Director Diekmann said RDG had prepared four independent directional growth scenarios that could accommodate approximately 15,000 additional people within the City of Ames. He reminded the Council that the initial concepts presented included four scenarios that were geographically located to the west, north, east, and south. RDG Principal Consultant Marty Shukert explained that RDG followed Council’s direction to refine the scenarios and prepare Item No. 3 analyses of infrastructure and services for the areas; and additionally, to identify three or four different “tiers” of growth for each area. It was explained that tiers were created within each scenario to lay out the levels of infrastructure needs (using existing infrastructure, relatively low-cost extensions to infrastructure, and significant infrastructure extensions and new facilities). Costs were reviewed for each growth area (North, East, South and Southwest, and West) and improvements needed for water, sanitary sewer, stormwater, transportation, and public safety services were reviewed by tier. Director Diekmann said estimated costs are total costs in 2019 dollars and do not account for any cos- sharing. Mr. Shukert said the traffic analysis and related projects use the 2040 transportation model. Mr. Gartin asked if lift station costs are included in the estimates. HDR Representative Joe Spradling said if a lift station would be needed for a scenario those costs are included in the estimate. To evaluate the scenarios, serviceability for the needs of water, sanitary sewer, public safety, and transportation were considered, by tier, for all growth directions. Regarding the North Growth Area, Mr. Shukert said a fire station in north Ames would be needed. Council Member Corrieri asked if an additional fire station is needed anyway. Director Diekmann said the City’s goals are being met currently, but if there is full build-out of tier one, a new station will be needed. Mayor Haila asked what the station would cost to staff. City Manager Steve Schainker said over $1 million annually would be needed for staffing. Council Member Martin asked about other operational amounts that are location-dependent. Council Member Corrieri asked if Council should be focusing on tier three. Mr. Shukert said no, but one option is to concentrate all growth in one direction. Ms. Corrieri said she doesn’t want to panic people with discussions on the largest extensions. Council Member Nelson said there are partners for funding. Council Member Betcher said if a major investment is made in tier one or two, it makes sense to consider tier three. Regarding the East Growth Area, Mr. Diekmann said the higher cost of tiers three and four should be considered because of the potential economic development. Mr. Diekmann said in considering transportation, transit wasn’t considered. He said thought should be given toward transit in decision-making, but information is not yet available. Council Member Beatty-Hansen said she’s not enthused with the East option because it’s not bicycle- or pedestrian-friendly since it’s so far from the rest of Ames. Mr. Diekmann noted this growth option has much more commercial than the other options. Mr. Gartin said he thought they discussed lengthening multi- use trails. Mr. Shukert said trails would be connected in the long-term. Mr. Gartin said employers on the east side would benefit from having housing in that area. Mr. Pregitzer noted transportation planning takes into account five years at a time. Regarding the South Growth Area, Mr. Diekmann said the full cost for the solution regarding water is still needed. He said this area doesn’t have a loop system to the rest of the City. Council Member Betcher asked if the velocity is too slow. Mr. Spradling concurred. Ms. Betcher asked about the transportation plans, and when Duff Avenue would need to be extended. Mr. Pregitzer said the three lane improvement that was accelerated was part of the Long Range Transportation Plan. Mr. Diekmann said south of the Southdale area Duff Avenue is two-lane. Mr. Pregitzer said the current Long Range Transportation Plan stopped at Ken Maril Road. Mayor Haila noted tier two contains a significant investment to widen Duff Avenue, and asked if Grand Avenue would also need extended. Mr. Pregitzer said an underpass extension is needed from 16th Street to Airport Road, which would allow this growth area 20% more growth without full extension of the Highway 30 interchange. Mr. Pregitzer said the only federal funds that may be available for the underpass would be Metropolitan Planning Organization (MPO) funds. Council Member Nelson asked about the planned improvements for the Duff Avenue intersection near Hunziker Youth Sports Complex. Mr. Pregitzer said that project is reconfiguring a ramp intersection. Regarding the Southwest Growth Area, Mr. Shukert noted the option would include tier two and tier three options. Mr. Diekmann noted the options should be very familiar as they are from the 1997 LUPP. Regarding the West Growth Area, Director Diekmann said sewer needs make this area different. Mr. Spradling said the northern-most sewer line is at capacity currently, and any tier 2 or tier 3 growth would require a lift station to connect to the southwest growth area trunkline. It was note that this growth area has three different sewer areas serving it. Mr. Spradling said a lift station and trunkline would be needed, which would cost an additional $3-4 million. Mr. Diekmann said none of tier three can be accomplished without that major investment. Council Member Gartin asked if the traffic modeling takes employers into consideration, including ISU Research Park and East Industrial Area employers. Mr. Diekmann said employment growth is in the model. Mr. Gartin asked how traffic modeling accounts for the employment areas being added. Mr. Diekmann explained that for traffic modeling the area is broken up into blocks called Traffic Analysis Zones, and then jobs and housing are assigned to each block to account for travel from one side of Ames to a new destination. Mr. Pregitzer said the growth assumptions assume well-distributed land uses of services, employment, and housing. He said if land uses are not well-distributed, some traffic assumptions and improvements will not be as predicted and will need adjusted. Mayor Haila noted the ISU Research Park’s plan to add several new jobs in the next 20 years and the concentrated amount of jobs in certain areas. Mr. Diekmann said manufacturing or office work nodes are heavily loaded with employment and have been accounted for. He explained that, as traffic capacity is added, it changes travel behavior. Ms. Betcher asked about Vehicle Hours Traveled and delay. Mr. Diekmann said that component isn’t available. Mr. Gartin commented that the daily Vehicle Miles Traveled per person is very close for all areas. Council Member Martin asked for the major takeaway from the traffic modeling comparison of scenarios. Mr. Pregitzer said all growth scenarios have fairly similar potential for a traffic network. Consultant Shukert discussed scenario combination options and corresponding population yields and infrastructure estimates. Mr. Diekmann noted that infill options would mean additional residents beyond the estimated 15,000. It was noted that all combinations involving the North Growth Area include $6 million for an additional fire station. Mayor Haila said property owners may not want to sell land included in the options. Council Member Martin pointed out that that is being estimated with the multiplier being used. Mr. Shukert concurred. Mr. Diekmann noted that the northwest growth option wasn’t evaluated, but has been outlined in the past and can be provided for informational purposes. Council Member Nelson said he wants to understand how flexibility to combine scenarios and creating a “place” can be balanced. Council Member Gartin noted that, in addition to expenses, the revenue side must also be considered. Mr. Diekmann said that wasn’t included because the options contain about the same population and would generate about the same revenue within 10%. He also noted that if Council chooses a preferred vision of all tier ones, there must be policy set for preserving other areas where Council believes Ames can grow into beyond the preferred vison. He said such policy would prevent getting “boxed in” and having sporadic development. Manager Schainker referenced the memo that had been sent to the Council, which outlined possible ways to evaluate the scenarios. Director Diekmann advised that on January 7, 2020, the Council will meet to hear public comments, and at the Regular City Council meeting on January 14, 2020, the City Council will discuss and then provide direction on preferred scenarios. Director Diekmann said that, following Council direction, next discussions will be regarding preparing land use designations in selected area(s) and existing City areas for the draft Future Land Use Map, including housing and commercial development categories, uses, densities, types of homes, infill projects, etc. Mayor Haila asked how a scenario can be successful if some property owners don’t want to sell, and others farther out would sell. Mr. Diekmann advised that, when developing an area, it’s beneficial to get more land rather than less. Mr. Shukert added that the best way is to make sure there’s enough land designated. Other Issues: Mr. Pregitzer said the Long-Range Transportation Plan update is in the planning process and must be adopted in October. He said that he is hopeful the Council’s decisions regarding growth can be considered in the Long-Range Transportation Plan. Mr. Gartin asked if CyRide should come to the January meeting because of its role in transportation. Mr. Diekmann answered that staff could meet with CyRide to discuss details. Mayor Haila said if Council could receive information regarding staff’s meeting with CyRide by January 10, 2020, the Council could consider the information ahead of its meeting on January 14. DISPOSITION OF COMMUNICATIONS TO COUNCIL: Mayor Haila referenced a letter received by Erv Klaas regarding a grant opportunity. Moved by Martin, seconded by Beatty-Hansen, to request a memo from staff regarding the grant opportunity. Vote on Motion: 6-0. Motion declared carried unanimously. COUNCIL COMMENTS: Noting that this was Council Member Nelson’s last meeting, Ex officio Member Leeson thanked him for his service. Council Member Gartin thanked Mr. Nelson for the manner in which he thoughtfully approached serving the residents of 4th Ward and the community. Council Member Beatty-Hansen also thanked Mr. Nelson for his service to the community. Council Member Betcher told Mr. Nelson that she appreciated his insight on codes and small business issues and hopes that he will still provide his perspective in the future. Council Member Martin also thanked Mr. Nelson for his time on Council. Council Member Corrieri said she appreciated serving on the City Council for the past six years with Council Member Nelson. Mayor Haila said he has enjoyed this Council and how it has worked together as a team. He said it’s hard to lose a member, and thanked Mr. Nelson for his positivity. ADJOURNMENT: The meeting was adjourned at 8:28 p.m. ____________________________________ ____________________________________ Diane R. Voss, City Clerk John A. Haila, Mayor ____________________________________ Erin Thompson, Recording Secretary REPORT OF CONTRACT CHANGE ORDERS General Description Change Original Contract Total of Prior Amount this g Contact Public Works 2017/18 Downtown Street Pavement Improvements (Main Street Alleys) Services Facility Rehabilitation Program (Somerset Improvements Design Services Recreation Program Period: Item No. 4a Department General Description Change Original Contract Total of Prior Amount this g Contact Public Works Professional Services for 2018/19 Shared Use Path System Expansion-Trail Connection South of Lincoln Way (Beedle Drive Pollution Control Digester Pumps, Piping, & Valve Replacement 0.00 (Changed Completion Date) Services Overhaul Project Pavement Improvements (Hickory Drive) Pavement Improvements (Hickory Drive) 0.00 (Changed Completion Date) Pollution Control Improvements Phase 2 Improvements-Water Service Replacement Rehab, (Wilson & 15th St) Completion Date) Department General Description Change Original Contract Total of Prior Amount this Change Contact Public Works 2018-19 Water System Improvements (Burnett, Murray) Completion Date) REPORT OF CONTRACT CHANGE ORDERS General Description Change Original Contract Total of Prior Amount this Change Contact Public Works 2017/18 Water System Program Service Transfer (10th & 12th Street, Gray Excavating, Inc. 0.00 (Changed Completion Date) Services for Unit 7 Turbine Generator Overhaul International Services Construction ) Period: Item No. 4b MINUTES OF THE AMES CIVIL SERVICE COMMISSION AMES, IOWA DECEMBER 19, 2019 The Regular Session of the Ames Civil Service Commission was called to order by Chairperson Mike Crum at 8:15 a.m. on December 19, 2019. As it was impractical for the Commission members to attend in person, Commission Chairperson Mike Crum and Commission Members Harold Pike and Charlie Ricketts were brought in telephonically. APPROVAL OF MINUTES OF NOVEMBER 21, 2019, REGULAR MEETING: Moved by Ricketts, seconded by Pike, to approve the Minutes of the November 21, 2019, Regular Civil Service Commission meeting, as written. Vote on Motion: 3-0. Motion declared carried unanimously. CERTIFICATION OF ENTRY-LEVEL APPLICANTS: Moved by Crum, seconded by Pike, to certify the following individuals to the Ames City Council as Entry-Level Applicants: Environmental Engineer I Ashley Geesman 76 Laramie Heuser 72 McKenna Belcher 70 Vote on Motion: 3-0. Motion declared carried unanimously. CERTIFICATION OF PROMOTIONAL-LEVEL APPLICANTS: Moved by Pike, seconded by Crum, to certify the following individuals to the Ames City Council as Promotional-Level Applicants: Senior Meter Reader Benjamin Ingham 77 Brandon Sheeder 75 Alex Clausen 70 Vote on Motion: 3-0. Motion declared carried unanimously. REQUEST TO EXHAUST TREATMENT PLANT MAINTENANCE WORKER ENTRY- LEVEL CERTIFIED LIST: Moved by Crum, seconded by Pike, declaring Treatment Plant Maintenance Worker Entry-Level Certified List exhausted. Vote on Motion: 3-0. Motion declared carried unanimously. COMMENTS: The next Regular Meeting is scheduled for January 23, 2020, at 8:15 a.m. ADJOURNMENT: The meeting adjourned at 8:20 a.m. __________________________________ _______________________________________ Michael R. Crum, Chairman Diane R. Voss, City Clerk Item No. 5 License Application (Applicant Name of Applicant:YeOlde LLC. Name of Business (DBA):Dublinbay Pub Address of Premises:123 Airport Rd. City : Ames Zip:50010 State : IA County:Iowa Business Phone: (515) 451-1167 Mailing Address: 320 S 16th City : Ames Zip:50010 ) Contact Person Name : Don O'Brien Phone:(515) 451-1167 Email Address: dublinbaypub@aol.com Status of Business BusinessType:Limited Liability Company Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Effective Date:01/23/2020 Expiration Date:01/01/1900 Classification : Class C Liquor License (LC) (Commercial) Term:5 days Privileges: Ownership Class C Liquor License (LC) (Commercial) Donald O'Brien First Name:Donald Last Name:O'Brien City:Ames State:Iowa Zip:50014 Position:manager member % of Ownership:39.50%U.S. Citizen: Yes Ken Eichenberger First Name:Ken Last Name:Eichenberger City:Ames State:Iowa Zip:50010 Position:manager member % of Ownership:11.00%U.S. Citizen: Yes Richard Carmer First Name:Richard Last Name:Carmer City:Ames State:Iowa Zip:50014 Position:manager member % of Ownership:39.50%U.S. Citizen: Yes Item No. 6 Insurance Company Information Policy Effective Date:01/23/2020 Policy Expiration Date: 01/28/2020 Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company:Integrity Insurance Justin Kabrick First Name:Justin Last Name:Kabrick City:Ames State:Iowa Zip:50010 Position:manager member % of Ownership:10.00%U.S. Citizen: Yes License Application (Applicant Name of Applicant:Mucky Duck Pub, LLC Name of Business (DBA):Mucky Duck Pub, LLC Address of Premises:Reiman Gardens City : Ames Zip:50011 State : IA County:Story Business Phone: (515) 598-5127 Mailing Address: 3100 S Duff Avenue City : Ames Zip:50010 ) Contact Person Name : Marcus Johnson Phone:(515) 450-0566 Email Address: marcusj@amesbritishfoods.com Status of Business BusinessType:Limited Liability Company Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Insurance Company Information Policy Effective Date:Policy Expiration Date: Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company: Effective Date:01/23/2020 Expiration Date:01/01/1900 Classification : Class C Liquor License (LC) (Commercial) Term:5 days Privileges: Ownership Class C Liquor License (LC) (Commercial) Marcus Johnson First Name:Marcus Last Name:Johnson City:Ames State:Iowa Zip:50010 Position:Owner % of Ownership:100.00%U.S. Citizen: Yes Item No. 7 License Application (Applicant Name of Applicant:Friends of ISU Hotel Holdings, LLC Name of Business (DBA):Gateway Hotel and Conference Center Address of Premises:2508 Mortensen Rd City : Ames Zip:50011 State : IA County:Story Business Phone: (515) 294-4950 Mailing Address: 2100 Green Hills Dr City : Ames Zip:50014 ) Contact Person Name : Brian Osborne Phone:(515) 268-2209 Email Address: briano@gatewayames.com Status of Business BusinessType:Limited Liability Company Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Insurance Company Information Policy Effective Date:01/25/2020 Policy Expiration Date: 01/30/2020 Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company:General Casualty Effective Date:01/25/2020 Expiration Date:01/01/1900 Classification : Class C Liquor License (LC) (Commercial) Term:5 days Privileges: Ownership Class C Liquor License (LC) (Commercial) Doug Drees First Name:Doug Last Name:Drees City:Waukee State:Iowa Zip:50263 Position:Manager % of Ownership:1.00%U.S. Citizen: Yes Item No. 8 License Application (Applicant Name of Applicant:Fuji Steakhouse Ia Inc. Name of Business (DBA):Fuji Japenese Steakhouse Address of Premises:1614 S Kellogg Ave. City : Ames Zip:50010 State : IA County:Story Business Phone: (515) 232-8383 Mailing Address: 1614 S Kellogg Ave. City : Ames Zip:50010 ) Contact Person Name : David Cheng Phone:(515) 232-8383 Email Address: info@fujiames.com Status of Business BusinessType:Privately Held Corporation Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Insurance Company Information Policy Effective Date:01/07/2020 Policy Expiration Date: 01/06/2021 Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company:Illinois Casualty Co Effective Date:01/07/2020 Expiration Date:01/01/1900 Classification : Class C Liquor License (LC) (Commercial) Term:12 months Privileges: Ownership Class C Liquor License (LC) (Commercial) Sunday Sales Jie Lin First Name:Jie Last Name:Lin City:Ames State:Iowa Zip:50010 Position:Owner % of Ownership:100.00%U.S. Citizen: No Item No. 9 License Application (Applicant Name of Applicant:ABM LLC Name of Business (DBA):Mickey's Irish Pub Address of Premises:109 Welch Avenue City : Ames Zip:50014 State : IA County:Story Business Phone: (515) 290-4657 Mailing Address: 109 Welch Avenue City : Ames Zip:50014 ) Contact Person Name : Ravinder Singh Phone:(515) 290-4657 Email Address: ajsliquor@yahoo.com Status of Business BusinessType:Limited Liability Company Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Insurance Company Information Effective Date:01/22/2020 Expiration Date:01/01/1900 Classification : Class C Liquor License (LC) (Commercial) Term:12 months Privileges: Ownership Class B Native Wine Permit Class C Liquor License (LC) (Commercial) Outdoor Service Sunday Sales Ravinder Singh First Name:Ravinder Last Name:Singh City:Ames State:Iowa Zip:50014 Position:Member % of Ownership:50.00%U.S. Citizen: Yes Andrea Singh First Name:Andrea Last Name:Singh City:Ames State:Iowa Zip:50014 Position:Member % of Ownership:50.00%U.S. Citizen: Yes Item No. 10 Insurance Company Information Policy Effective Date:Policy Expiration Date: Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company: License Application (Applicant Name of Applicant:Fareway Stores, Inc. Name of Business (DBA):Fareway Stores, Inc. #386 Address of Premises:619 Burnett Avenue City : Ames Zip:50010 State : IA County:Story Business Phone: (515) 232-3543 Mailing Address: 2300 Industrial Park Road City : Boone Zip:50036 ) Contact Person Name : Tracey Wilson Phone:(515) 433-5336 Email Address: twilson@farewaystores.com Status of Business BusinessType:Privately Held Corporation Corporate ID Number:XXXXXXXXX Federal Employer ID #: XXXXXXXXX Effective Date:01/14/2020 Expiration Date: Classification : Class E Liquor License (LE) Term:12 months Privileges: Ownership Class E Liquor License (LE) Fred E. Vitt Control Trust First Name:Fred E.Last Name:Vitt Control Trust City:Boone State:Iowa Zip:50036 Position:Trust % of Ownership:10.87%U.S. Citizen: Yes Garrett S Piklapp First Name:Garrett S Last Name:Piklapp City:Huxley State:Iowa Zip:50124 Position:Secretary % of Ownership:0.00%U.S. Citizen: Yes Fareway Control Trust First Name:Fareway Last Name:Control Trust City:Boone State:Iowa Zip:50036 Position:Trust % of Ownership:55.88%U.S. Citizen: Yes LE0001533 Item No. 11 Insurance Company Information Policy Effective Date:Policy Expiration Date: Dram Cancel Date: Outdoor Service Effective Date: Outdoor Service Expiration Date: Temp Transfer Effective Date: Temp Transfer Expiration Date: Bond Effective Continuously: Insurance Company:Merchants Bonding Company Various Individuals & Trust each holding less than 5%First Name:Various Individuals & Trust Last Name:each holding less than 5% City:Unknown State:Iowa Zip:55555 Position:Stockholders % of Ownership:33.25%U.S. Citizen: Yes Smart Choice 515.239.5133 non-emergency 515.239.5130 Administration 515.239.5429 fax 515 Clark Ave. P.O. Box 811 Ames, IA 50010 www.CityofAmes.org Police Department MEMO To: Mayor John Haila and Ames City Council Members From: Lieutenant Tom Shelton, Ames Police Department Date: January 4, 2020 Subject: Beer Permits & Liquor License Renewal Reference City Council Agenda The Council agenda for January 14, 2020 includes beer permits and liquor license renewals for: Class C Liquor License with Outdoor Service and Sunday Sales - Chipotle Mexican Grill, 435 S. Duff Avenue Class A Liquor License with Sunday Sales - American Legion Post #37, 225 Main Class C Liquor License with Catering Privilege, Outdoor Service, and Sunday Sales - West Towne Pub, 4518 Mortensen Rd. Suite 101 Class C Liquor License with Catering Privilege, Outdoor Service, and Sunday Sales - Dublin Bay, 320 S 16th Class C Liquor License with Outdoor Service and Sunday Sales - The Angry Irishmen, 119 Main Street Class C Liquor License with Catering Privilege and Sunday Sales - Hy-Vee Market Café, 3800 Lincoln Way Class E Liquor License with Class B Wine Permit, Class C Beer Permit (Carryout Beer), and Sunday Sales - The Filling Station, 2400 University Blvd. Class E Liquor License with Class B Wine, Class C Beer and Sunday Sales - JW Liquor, 4518 Mortensen Rd. Suite #109 A review of police records for the past 12 months found no liquor law violations for any of the above locations. The Ames Police Department recommends renewal of licenses for all the above businesses. Class C Liquor License with Outdoor Service and Sunday Sales - Cy's Roost, 121 Welch Avenue A review of police records for the past 12 months found 1 liquor law violations for the above location. A review of the case report found 1 individual cited and released for “on premises”. Officers were informed the person cited snuck into the establishment. Item No. 12 Records indicate representatives of Cy’s Roost attended the summer 2018 bar meeting but missed the spring 2019 bar meeting. The Police Department will continue to monitor the above location by conducting regular foot patrols, bar checks and by educating the bar staff through trainings and yearly meetings. The Ames Police Department recommends renewal of licenses for the above business. 1 ITEM # 13 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: AMES MAIN STREET REQUESTS FOR MUSIC WALK BACKGROUND: Ames Main Street (AMS) is planning to host its annual Music Walk event on Thursday, April 23 from 8:00 a.m. to 9:00 p.m. In addition to the traditional arrangements for Music Walk, AMS will be working with Downtown food establishments to set up outdoor seating areas inside metered parking stalls adjacent to the establishments. AMS staff has made the following requests of the City Council to help facilitate the Music Walk festivities on April 23: a. Blanket Temporary Obstruction Permit for the Central Business District sidewalks and Blanket Vending License for the Central Business District from 3:00 p.m. to 9:00 p.m. b. Waiver of fee for Blanket Vending License ($50 loss to City Clerk’s Office) c. Use of City-owned electrical outlets and waiver of costs from 3:00 to 9:00 p.m. (approximately $5 loss to Electric Fund) d. Waiver of parking meter fees and enforcement in the Central Business District from 3:00 p.m. to 9:00 p.m. (Loss of $459.75 to Parking Fund) e. Closure of 10 parking spaces in the Central Business District from 3:00 p.m. to 9:00 p.m. No alcohol service or consumption will be permitted in the temporary sidewalk cafes. ALTERNATIVES: 1. Approve the Music Walk requests as submitted by AMS, including a blanket Temporary Obstruction Permit and blanket Vending License for the Central Business District, use of electricity, and closure of parking spaces. 2. Approve the Music Walk requests as submitted by AMS, but require reimbursement for the parking meter fees, Vending License fee, and electricity use fee. 3. Do not approve the requests. 2 CITY MANAGER'S RECOMMENDED ACTION: This event provides Ames residents with another opportunity to enjoy family-oriented outdoor activities. Because of the City Council’s goal of strengthening Downtown, this type of special event should be facilitated. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the Music Walk requests as submitted by Ames Main Street, including the waiver of parking meter fees, Vending License fee, and electricity use fee. 1 ITEM # 14 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: AMES MAIN STREET REQUESTS FOR ART WALK BACKGROUND: Ames Main Street (AMS) is planning to host its annual Art Walk on Thursday, June 4 from 5:00 p.m. to 8:00 p.m. Art Walk showcases Downtown businesses and community artists. In order to facilitate this event, AMS has requested approval for the following: • Waiver of parking meter fees and enforcement in the Downtown from 3:00 p.m. to 8:30 p.m. to provide free parking to participants (Loss of $459.75 to the Parking Fund) • Blanket Temporary Obstruction Permit for the Central Business District from 3:00 p.m. to 8:30 p.m. • Blanket Vending License for the Central Business District from 3:00 p.m. to 8:30 p.m. and waiver of fee ($50 loss to City Clerk’s Office) • Closure of 10 metered parking spaces in the Central Business District • Use of electricity in Tom Evans Plaza and use of the Plaza for live music • Closure of Kellogg Avenue, from Main Street to Fifth Street from 3:00 p.m. to 8:30 p.m. ALTERNATIVES: 1. Approve the Art Walk requests as submitted by AMS for June 4, 2020, including the waiver of fees. 2. Approve the requests as submitted by AMS, but require reimbursement for lost parking revenue and for the blanket Vending License. 3. Deny the requests. CITY MANAGER'S RECOMMENDED ACTION: Art Walk is a popular annual event that adds vitality to the Downtown. The event organizers have experience hosting this event, as well as many other similar events throughout the year. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the requests for Art Walk as submitted by AMS for June 4, 2020, including the waiver of fees. 1 ITEM # 15 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: REQUESTS FOR 4TH OF JULY ACTIVITIES BACKGROUND: The annual Fourth of July celebration involves activities coordinated by two groups: City staff coordinates the Mayor and City Council’s Community Pancake Breakfast, while Ames Main Street (AMS) coordinates the parade and related activities. Pancake Breakfast The 2020 Fourth of July Mayor and City Council Community Pancake Breakfast is moving from City Hall to Bandshell Park, located five blocks east. The change will result in a cost saving, because tents erected in the park will not need to be removed on the holiday and incur extra labor charges. Also, no street closure will be necessary. The Bandshell Park location provides restrooms, shade, a playground, and is near the parade route. The breakfast will start at 8:30 a.m. and conclude at about 10:30 a.m. This will allow participants to attend the parade, which is scheduled to start at 11:00 a.m. Parade AMS is coordinating the community parade. Parade staging will take place on Northwestern Avenue between Wheatsfield Grocery and Main Street, on Allan Drive, on Pearle Avenue, in City Hall Parking Lots M and MM, and in City Depot Lots TT and V. The Bill Riley Talent Search will take place at the intersection of Main Street and Burnett Avenue. To facilitate parade staging and movement, street closures will be needed from 6:00 a.m. until the end of the parade for the following streets: • Main Street, from the east Central Business District (CBD) Lot entrance to the Grand Avenue overpass, continuing on Northwestern Avenue to Sixth Street (Wheatsfield customers will be allowed access at Sixth Street) • Allan Drive • Pearle Avenue • Fifth Street, from Grand Avenue to Douglas Avenue • Clark Avenue, from the south driveway of the CBD Lot to Sixth Street • Burnett Avenue, from Main Street to Fifth Street • Kellogg Avenue, from just south of Main Street to Fifth Street • Douglas Avenue, from Main Street to Fifth Street 2 The following parking lot areas will also need to be closed for parade staging from 6:00 a.m. to approximately 2:00 p.m.: • Lot MM, to the west of City Hall • The south three aisles of Lot M, adjacent to the west door of City Hall (City vehicles and cars of City employees who are on duty will be parked in the north portion of the lot) • Depot Lots V and TT Because July 4th is a City holiday, there will be no lost parking meter revenue from these closures. A blanket Temporary Obstruction Permit for the Central Business District will be required on July 4th. AMS has requested access to City electrical outlets at the intersection of Kellogg and Burnett Avenue for the parade announcer stand. AMS has also requested a blanket Vending License for the entire Central Business District, and a waiver of the license fee. Public Works staff will provide barricades as needed to close the streets and control access to the parking lots. AMS will have volunteers at each barricaded intersection, and the Police Department will assist at the busiest intersections. ALTERNATIVES: 1. Approve the requests for activities on July 4th as requested above, including street and parking lot closures, a blanket Temporary Obstruction Permit, a blanket Vending License, use of City electrical outlets, and waiver of fees. 2. Request further information from event organizers 3. Do not approve the requests for the 4th of July activities. MANAGER’S RECOMMENDED ACTION: The 4th of July Parade provides a great opportunity to bring the citizens of Ames together to celebrate. With the addition of the City Council Community Pancake Breakfast, this event provides the City Council with a way to partner with Ames Main Street to promote “one community” by supporting this worthwhile event. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the requests for activities on July 4th as requested above, including street and parking lot closures, a blanket Temporary Obstruction Permit, a blanket Vending License, use of City electrical outlets, and waiver of fees. 1 COUNCIL ACTION FORM SUBJECT: AMES MAIN STREET REQUESTS FOR JANUARY DOLLAR DAYS BACKGROUND: Ames Main Street (AMS) is planning to host its annual Dollar Days from Thursday, January 23 through Sunday, January 26, and has requested a waiver of parking fees and enforcement in the Downtown on Saturday, January 25. Fulfilling this request and providing free parking for 613 metered parking spaces yields a loss of $1,379.25 to the Parking Fund. A waiver of the fee for a blanket Vending License ($50 loss to the City Clerk’s Office) and a blanket Temporary Obstruction Permit have also been requested for Saturday, January 25. The requests are detailed in the attached letter. ALTERNATIVES: 1. Approve the requests from Ames Main Street for Saturday, January 25, as outlined above, including the waiver of fees for vending and parking. 2. Do not approve the request. CITY MANAGER'S RECOMMENDED ACTION: Ames Main Street’s Dollar Days brings shoppers to the Downtown, which furthers the City Council’s goal to strengthen Downtown. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the request from Ames Main Street to waive parking fees, enforcement, and vending for the Downtown on Saturday, January 25 as described above. ITEM # 16 DATE 01-14-20 1 COUNCIL ACTION FORM SUBJECT: SUMMER SIDEWALK SALES REQUESTS FROM AMES MAIN STREET BACKGROUND: Ames Main Street is again hosting its annual Summer Sidewalk Sales from July 23-26, 2020. At this event, downtown businesses display merchandise on the sidewalks for pedestrians to browse. To facilitate this event, organizers are requesting suspension of parking regulations and enforcement for the Downtown from 8:00 a.m. to 8:00 p.m. on Saturday, July 25, 2020 ($1,379.25 estimated loss to the Parking Fund); a waiver of fees for a blanket Vendor Permit ($50 loss to the City Clerk’s Office); and a blanket Temporary Obstruction Permit. ALTERNATIVES: 1. Approve the request for Sidewalk Sales as requested by Ames Main Street, including the waiver of fees for parking and vending. 2. Approve the request for Sidewalk Sales, but require reimbursement for vending and lost parking meter revenue. 3. Deny the request. CITY MANAGER’S RECOMMENDED ACTION: Sidewalk Sales are successful events held twice each year in the Downtown. These events attract people to the Downtown area and promote shopping locally. These requests further the City Council’s goal to strengthen Downtown. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the request for Sidewalk Sales as requested by Ames Main Street, including the waiver of fees for parking and vending. RESOLUTION NO. _______ RESOLUTION APPROVING AND ADOPTING SUPPLEMENT NO. 2020-1 TO THE AMES MUNICIPAL CODE BE IT RESOLVED, by the City Council for the City of Ames, Iowa, that in accordance with the provisions of Section 380.8 Code of Iowa, a compilation of ordinances and amendments enacted subsequent to the adoption of the Ames Municipal Code shall be and the same is hereby approved and adopted, under date of January 1, 2020, as Supplement No. 2020-1 to the Ames Municipal Code. Adopted this day of , 2020. ___________________________ John A. Haila, Mayor Attest: _______________________________ Diane R. Voss, City Clerk Item No. 18 Caring People Quality Programs Exceptional Service 515.239.5105 main 5142 fax Ave. IA 50010 MEMO Item No. 19 TO: Members of the City Council FROM: John A. Haila, Mayor DATE: January 14, 2020 SUBJECT: Council Appointment to Squaw Creek Watershed Management Authority In order to align the City Council’s appointments to a yearly calendar, Bronwyn Beatty-Hansen’s term of office on the Squaw Creek Watershed Management Authority expired on December 31, 2019. Therefore, it will be necessary to appoint a council member to fill this position. I recommend that the City Council appoint Amber Corrieri to the Squaw Creek Watershed Management Authority with her appointment term effective as of January 1, 2020. JAH/alc ITEM # 20 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: PROCUREMENT CARD FOR NEW COUNCIL MEMBER BACKGROUND: On February 26, 2002, City Council approved a procurement card (p-card) program to facilitate payment for small purchases and travel expenses. Policies and procedures for the program are part of the City Purchasing Policies approved by City Council. All cardholders attend training on the related policies and procedures prior to being issued a card. Procurement card applications for employees are approved by the applicant’s department head. Applications for elected City officials are to be approved by City Council. An application for Council Member Rachel Junck was submitted, and Council Member Junck has attended the required training session on December 9, 2019. The proposed account will have a single purchase limit of $2,000, a daily spend limit of $3,000, and a monthly billing cycle limit of $5,000. ALTERNATIVES: 1. Approve the application for procurement card for City Council Member Rachel Junck and set the spend limit at $2,000 per transaction, $3,000 per day, and $5,000 per monthly billing cycle. 2. Have Council Member Junck use a personal card rather than a procurement card for travel and related expenses, and request reimbursement in accordance with applicable City policies. CITY MANAGER’S RECOMMENDED ACTION: The procurement card program is intended to facilitate payment for small purchases and travel expenses. An application for new Council Member Junck was submitted, and Council Member Junck has attended the required training session. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby approving the application for a procurement card for City Council Member Junck and setting the spend limits as indicated above. ITEM # _ 21 _ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: REQUEST TO WAIVE ENFORCEMENT OF PROHIBITION OF MOTORIZED VEHICLES IN ADA HAYDEN HERITAGE PARK FOR THE AMES TRIATHLON, JUNE 28, 2020. BACKGROUND: In June 2019, Iowa Multisport (IM) hosted the first-ever Ames Triathlon at Ada Hayden Heritage Park. The event consisted of a 500M swim in the north lake, a 12-mile bike ride that started in the park and traveled through north Ames, northwestern portions of Story County and finished in the park, and a 5K run that used the hard surface path in the park. IM is planning on hosting the second annual Ames Triathlon event on June 28, 2020. In reviewing last year’s event with IM one of the concerns they had was the inability to transport volunteers and participants for emergencies throughout the park in a safe and quick manner. For this year’s race, IM is requesting the use of golf carts to transport volunteers, assist participants for any emergencies along the run route, and to haul or transport water station supplies. Since 2016, the Friends of Ada Hayden Heritage Park have utilized golf carts to conduct educational tours of the park for individuals who would otherwise be unable to tour the park on a bike or on foot. The request has been approved by Council each of the last three years. IM is required to provide a Certificate of Liability Insurance for the triathlon event and staff will require that the golf carts be covered under IM’s insurance. The Parks and Recreation Commission reviewed this request at its November 21 meeting and recommended that City Council grant this waiver for the Ames Triathlon on Sunday, June 28, 2020. Additionally, at the November Parks and Recreation Commission meeting, IM presented a check to the City for $1,000 which was collected through participant donations. ALTERNATIVES: 1. Waive enforcement of Section 19.9 of Municipal Code from 4:00 AM to 1:00 PM on Sunday, June 28, to allow Iowa Multisport to utilize two golf carts for the Ames Triathlon at Ada Hayden Heritage Park. 2. Deny IM’s request and do not allow the use of motorized golf carts at the park 3. Refer back to staff. CITY MANAGER’S RECOMMENDED ACTION: The first Ames Triathlon was a successful event that brought 300 participants from around Ames and the Midwest to Ada Hayden Heritage Park. Staff met with representatives from IM multiple times leading up to the event as well as observed all of the activities that took place at the park. Staff reviewed participant feedback and feels IM was successful in ensuring participant safety. This event was organized very well and IM is looking forward to improving upon last year’s event. Having the ability to utilize golf carts will assist in transporting volunteers as well as participants in emergency situations. Therefore, it is the City Manager’s recommendation to approve Alternative #1 as stated above. 1 ITEM # ____22___ DATE 01-14-20 COUNCIL ACTION FORM SUBJECT: POLE ATTACHMENT AND LOCATE AGREEMENTS WITH METRO FIBERNET, LLC BACKGROUND: Metro Fibernet, LLC (MetroNet) is an internet provider that plans to construct its fiber- optic network throughout Ames in 2020. As part of its buildout, MetroNet intends to place its infrastructure overhead on City utility poles where poles exist and underground in rights-of-way and easements. Approximately 1.2 million feet of cable will be installed during this process. To accommodate this, two agreements are necessary: a pole attachment agreement and an underground utility locate agreement. MetroNet has signed and returned both agreements to the City. POLE ATTACHMENT AGREEMENT: The City’s Electric utility maintains several thousand distribution and transmission poles. Other utilities and telecommunications providers routinely attach their cabling to these poles to deploy their infrastructure throughout the City. No new providers have made attachments to these poles for several decades. In a typical year, the existing attachees submit only a handful of requests to attach to poles. Applications are evaluated by the Electric Services Engineering Division, and poles are inspected before and after the attachment is made. City staff recently obtained new pole loading standards from a contractor, which will assist in evaluating proposed attachments. MetroNet has indicated it will attach to approximately 4,000 electric poles in the span of approximately 10 months. Additionally, because of vacancies within the Electric Engineering Division, it will be difficult or impossible for City staff to scrutinize proposed attachments at the pace they will be submitted. Therefore, City staff and MetroNet have worked to negotiate a new pole attachment agreement that will accommodate MetroNet’s planned pace of construction. The pole attachment agreement provides that during the initial network buildout, MetroNet will have professional engineers licensed in the state of Iowa submit the attachment applications. The applications will be reviewed by a contract engineering firm (hired by MetroNet and approved by the City) to ensure they meet the City’s adopted standards. The contracted firm will also verify pole integrity through field inspections and spot check the completed attachments to ensure they were made in accordance with the submitted plans. 2 The initial buildout period provides longer timeframes for the evaluation and approval of proposed attachments. Once the initial buildout is complete, any proposed pole attachments will be reviewed by City staff rather than the outside firm, and the expected timeframes for approval will shorten. Provisions exist for the Utility to require MetroNet to remove its attachments in the event that the City re-routes poles, or converts overhead infrastructure to underground. If the City receives complaints from the public regarding the condition of MetroNet’s fiber on the poles, MetroNet must make repairs within ten days or provide information to the City regarding when the repairs are to be made. In exchange for attaching to the City’s Electric poles, MetroNet will pay the utility attachment fees as provided in the Municipal Code. This fee is currently $13.05 per pole, per year. UNDERGROUND UTILITY LOCATING AGREEMENT: In Ames subdivisions constructed after the mid-1970s, electric service is provided underground. In these areas, MetroNet will put also its infrastructure underground. MetroNet has indicated that at the peak of its initial buildout, it may have as many as ten crews installing underground conduit. Underground installation will require underground utility locates to be performed through the Iowa One Call System. The City has utility locating staff in Electric Services and in Public Works. However, these locators generally stay busy with the typical summer construction demand. City staff has expressed doubts to MetroNet about the City’s ability to locate infrastructure for MetroNet in a timely manner, in addition to keeping up with the typical locating work that will be requested by other customers. Therefore, to keep up with MetroNet’s initial buildout pace, MetroNet has agreed to an underground locating agreement. Through this agreement, the City will hire an outside utility locating firm, which will complete utility locates requested solely for MetroNet and its subcontractors. MetroNet would reimburse the City for the cost of the contractor. Therefore, the City’s locating staff can remain focused on responding to other customers’ locating requests. City staff would retain complete control over the locating contractor’s performance and address any concerns that may arise with the quality of the work. City staff has initiated the process to obtain cost proposals from outside locating contractors and expects to have a contractor selected in February. A separate contract will be awarded through that selection process. 3 ALTERNATIVES: 1. Approve the Pole Attachment Agreement and Underground Locating Letter of Agreement with Metro Fibernet, LLC. 2. Do not approve the agreements. CITY MANAGER’S RECOMMENDED ACTION: A pole attachment agreement is an important component of accommodating MetroNet’s proposed deployment in the community. Such agreements exist with other telecommunications utilities in the City. The proposed agreement includes provisions that will allow MetroNet’s proposed buildout pace to be accommodated without compromising the quality of the review process or causing increased cost to the utility. The proposed underground locate letter of agreement allows the City to hire an outside utility locates firm during MetroNet’s construction process. MetroNet will reimburse the City for the cost of these services. This proposal allows the City’s existing locate employees to continue providing locate services for other contractors and residents doing work in the community. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as described above. 1 AGREEMENT This Agreement is entered into this ___ day of ____________ 201_, by and between METRO FIBERNET, LLC (“LICENSEE”), a limited liability company organized under the laws of the State of Nevada, and operating under a valid certificate of authority within the State of Iowa, and CITY OF AMES, IOWA (“LICENSOR”), a municipal corporation organized and existing pursuant to the laws of the State of Iowa. W I T N E S S E T H: WHEREAS, LICENSEE intends to expand its fiber optic network by developing, constructing, installing and operating one or more fiber optic routes in LICENSOR’S service area; and LICENSEE desires to use certain of LICENSOR’s structures in furtherance of same; WHEREAS, LICENSOR desires to permit LICENSEE to use its structures in consideration of the covenants and agreements of LICENSEE set forth in this Agreement and upon and subject to the terms and conditions provided herein; NOW, THEREFORE, in consideration of the mutual covenants and terms and conditions contained herein, the parties hereto do mutually covenant and agree as follows: I. DEFINITIONS “Agreement” means this Agreement and all extensions and modifications hereof, together with all attachments, exhibits, appendices and schedules. “Applicable Law” means any applicable law, rule, regulation, ordinance, order, code, decree, injunction, decision, or interpretation of any federal, state, or local governmental authority, agency, court, or other governmental body having jurisdiction over the matter in question. “Fiber” means fiber cable and related fiber strands, splices, terminations and associated apparatus to be installed on and between Structures along the Route pursuant to this Agreement. “Initial Network Buildout” means the initial phase of construction during the one year period of time following the date of this Agreement in which Fiber is being newly installed along the Route. The Initial Network Buildout does not include subsequent alterations to Fiber after it has been installed on Structures. “NEC” means National Electrical Code, as amended. “NESC” means National Electrical Safety Code, as amended. 2 “Overlashing” means the practice whereby an entity, whether the LICENSEE or a third party, physically ties or otherwise connects or attaches new wiring or facilities to wiring or to support strands or hardware that already has been affixed to a Structure. “Plans” means general design and construction plans for the Fiber to be installed along the Route. “Route” means the specific route(s) described in an Exhibit A hereto upon which the Fiber will be located. “Service Drop” means cables (including fiber optic), strands, wires, facilities, and associated apparatus installed to extend service from a Structure to an individual customer(s). “Structure” means wood or metal pole or any combination thereof and steel lattice transmission towers and any other related facilities owned and/or controlled by LICENSOR. II. GRANT OF SPECIFIC RIGHTS 1. Grant of License to LICENSEE. In consideration of the pole attachment fee described in paragraph 2 below and the other covenants, terms and conditions contained in this Agreement, LICENSOR, throughout the Term, hereby grants to LICENSEE a royalty- free, non-exclusive license to install, construct, monitor, repair, maintain and operate Fiber on the Structures located along the Route. LICENSOR shall have the right to grant, by contract or otherwise, to others not parties to this Agreement, rights or privileges to use any of the Structures covered by this Agreement provided such rights and privileges granted do not interfere with the rights and privileges granted by LICENSOR to LICENSEE, and LICENSOR shall have the right to continue and extend any such rights or privileges heretofore granted. a. This Agreement shall not affect any existing rights or privileges previously conferred by LICENSOR, by contract or otherwise, to others, not parties to this Agreement, to use any poles covered by this Agreement; and LICENSOR shall have the right to continue and extend such rights or privileges. The attachment privileges herein granted shall at all times be subject to such existing contracts or arrangements. 2. Pole Attachment Fee. In consideration of the license described in paragraph 1 above and the other covenants, terms and conditions contained in this Agreement, LICENSEE agrees to pay an annual pole attachment fee to LICENSOR for each Structure utilized by LICENSEE along the Route as identified in an Exhibit A. LICENSEE may, at any time, remove its attachments from any Structure of LICENSOR, but no refund of any current year rental will be due LICENSEE on account of such removal. The annual per pole fee will be as established in Ames Municipal Code and shall be paid by LICENSEE within 3 thirty (30) days of receipt of an invoice from LICENSOR. Failure to pay the annual per pole fee timely shall be cause for termination as set forth herein. 3. (a) Ownership of LICENSEE Facilities. LICENSEE will retain ownership of the Fiber to be installed along the Route, and LICENSOR shall acquire no right, title or interest in or to the Fiber. (b) Ownership of the Structures. All Structures covered by this Agreement shall be and remain the property of LICENSOR, and LICENSEE shall, except for the rights provided in this Agreement, acquire no right, title or interest in or to the Structures. III. GENERAL TERMS AND CONDITIONS 4. Construction and Installation During Initial Network Buildout. For Fiber installation during the Initial Network Buildout: (a)LICENSEE shall submit pole attachment applications to LICENSOR prior to construction and installation of the attachments along the Route. Each application shall include Plans for each proposed pole attachment, which shall be signed and stamped by a professional engineer licensed in the state of Iowa. Each application shall be accompanied by the application fee set by LICENSOR. The actual application fee charged per pole will be based on the actual costs to perform such review and inspections. (b) LICENSOR shall review the Plans within thirty (30) calendar days of LICENSEE’s submission and will inform LICENSEE within the thirty (30) calendar days of LICENSEE’s submission if the Plans are approved, rejected or LICENSOR needs additional time to conduct its review. In the event LICENSOR needs additional time to conduct its review, LICENSEE and LICENSOR will work together to determine an extension of time reasonably acceptable to both parties. LICENSOR may reject the Plans only if the said Plans (i) fail to comply with reasonable and customary design and construction practices or (ii) fail to comply with the minimum requirements of applicable governmental regulations and codes including the NEC and NESC. Unless otherwise agreed by the parties, LICENSEE will conduct make ready of Structures for use by LICENSEE using contractors that are approved by LICENSOR, which approval shall not be unreasonably withheld, conditioned or delayed. LICENSEE shall pay for all such make ready work. If LICENSOR and LICENSEE agree that make ready work will be performed by LICENSOR, LICENSOR shall complete the make-ready work within thirty (30) days of approval of the Plans or as the parties may mutually agree. In the event LICENSOR has failed to perform the make-ready work within the thirty (30) day period, LICENSEE may perform such work at LICENSEE’s expense using contractors that are approved by LICENSOR; provided however, if LICENSEE has paid LICENSOR make ready fees for such work, LICENSOR shall provide a refund of such make ready fees to LICENSEE within thirty (30) days of LICENSEE notifying LICENSOR that LICENSEE has performed the work. On completion of make ready work, the construction and installation of the Fiber upon the Structures along the Route may begin. 4 (c) The Parties agree that LICENSEE, at its sole cost and expense, will engage a contractor approved by LICENSOR to perform the following tasks of LICENSOR: (i) review of LICENSEE’s pole attachment applications, (ii) evaluation of LICENSEE’s applications through on site reviews, and (iii) visual inspection of LICENSEE’s facilities post attachment. To the extent that work is performed by the approved contractor, LICENSEE shall not be required to pay LICENSOR fees or costs for the such type of work. 5. Construction and Installation After Initial Network Buildout. For Fiber installation after the completion of the Initial Network Buildout: (a) LICENSEE shall submit pole attachment applications to LICENSOR prior to construction and installation of the Structures along the Route. Each application shall include Plans for each proposed pole attachment, which shall be signed and stamped by a professional engineer licensed in the state of Iowa. Each application shall be accompanied by an application fee, which shall not exceed the amount charged to other utilities requesting to attach to LICENSOR’s poles. (b) LICENSOR shall review the Plans within ten (10) business days of LICENSEE’s submission and will inform LICENSEE within the ten (10) business days if the Plans are approved, rejected or LICENSOR needs additional time to conduct its review. In the event LICENSOR needs additional time to conduct its review, LICENSEE and LICENSOR will work together to determine an extension of time reasonably acceptable to both parties. LICENSOR may reject the Plans only if the said Plans (i) fail to comply with reasonable and customary design and construction practices or (ii) fail to comply with the minimum requirements of applicable governmental regulations and codes including the NEC and NESC. Unless otherwise agreed by the parties, LICENSEE will conduct make ready of Structures for use by LICENSEE using qualified contractors that are approved by LICENSOR, which approval shall not be unreasonably withheld, conditioned or delayed. LICENSEE shall pay for all such make ready work. If LICENSOR and LICENSEE agree that make ready work will be performed by LICENSOR, within thirty (30) days of approval of the Plans, LICENSOR shall complete the make-ready work. In the event LICENSOR has failed to perform the make-ready work within the thirty (30) day period, LICENSEE may perform such work at LICENSEE’s expense using contractors that are approved by LICENSOR; provided however, if LICENSEE has paid LICENSOR make ready fees for such work, LICENSOR shall provide a refund of such make ready fees to LICENSEE within thirty (30) days of LICENSEE notifying LICENSOR that LICENSEE has performed the work. On completion of make ready work, the construction and installation of the Fiber upon the Structures along the Route may begin. 6. Construction Standards. All Fiber shall be constructed in accordance with the approved Plans and installed in a manner, which is reasonable and customary in the industry. All such Fiber shall be constructed, installed and at all times maintained by 5 LICENSEE so as to comply at least with the minimum requirements of all applicable governmental regulations and codes including, without limitation, the NEC and NESC. 7. Overlashing and Service Drops. Notwithstanding any other provision of this Agreement, LICENSEE may Overlash and attach Service Drops to Structures without prior submission of Plans or approval of LICENSOR (1) provided that within sixty (60) calendar days from the date of Overlashing or affixing such Service Drops, LICENSEE submits a written notification of such Overlash or Service Drop; and (2) provided that, any such overlashing was modeled for pole loading and clearances in the original attachment application submittal. 8. Removal of Structures. Nothing in this Agreement shall prevent LICENSOR from removing Structures from service from time to time for reasons such as maintenance, reconfiguration of LICENSOR’s transmission and distribution routes, or conversion of overhead infrastructure to underground. In the event LICENSOR desires to remove a Structure from service, LICENSEE will remove its Fiber within thirty (30) calendar days of receipt of notice to do so (or such shorter period reasonable under the circumstances in the case of emergency or such longer period reasonable under the circumstances approved by LICENSOR, which approval shall not be unreasonably withheld, conditioned or delayed). Any Fiber remaining after thirty (30) calendar days (or other period if applicable) may be removed by LICENSOR, and LICENSEE shall be responsible for payment of LICENSOR’s costs in removing said Fiber, upon receipt of an invoice from LICENSOR. No refund of any current year rental will be due LICENSEE upon the removal of Structures from service. 9. Audit. An audit of attachments to LICENSORS poles shall be made once every three years, and LICENSEE shall have a representative present and participating for the duration of the audit. Any unauthorized attachments found during an audit will be billed at a the rate set by LICENSOR for each year for the three years prior to the date of the most recent audit. Unauthorized attachments shall constitute a default of this Agreement, and shall be subject to removal in a reasonable time frame, unless permission for such attachments is granted by LICENSOR and the unauthorized attachments are brought into compliance with the most recent edition of the National Electric Safety Code to the extent consistent with the current regulations of the Utilities Division of the Iowa Department of Commerce, at LICENSEE’s sole expense. 10. Qualified personnel. LICENSEE shall not permit any person to work on LICENSOR’s facilities, or in the area of LICENSOR’s facilities, who are not aware of the dangerous nature of electricity or who are not qualified to work in the vicinity of electric facilities. LICENSEE shall provide workers with adequate equipment and training for working in the vicinity of electric facilities and shall provide adequate supervision of such workers so as to avoid accidental contact with hazardous electric facilities. 11. Forbearance Not Waiver. Failure of LICENSOR to enforce or insist upon compliance with any of the terms or conditions of this Agreement, or to give notice or declare this 6 Agreement or the attachment rights hereunder terminated shall not constitute a general waiver or relinquishment of any of the terms or conditions herein contained, but the same shall be and remain at all times in full force and effect. 12. Maintenance of Facilities. LICENSEE shall, at its own expense, at all times maintain all of the Fiber in a safe condition in thorough repair and in accordance with NESC requirements and any other applicable standards or requirements. LICENSOR shall notify in writing LICENSEE of any Fiber that fails to meet acceptable standards, including reports of complaints LICENSOR receives from the public regarding the condition of the Fiber. LICENSEE shall, within ten (10) business days of receipt of such notification, make or commence repairs to the Fiber or provide LICENSOR a statement indicating when repairs are anticipated to be commenced or completed. If LICENSEE fails to respond to the notification to the reasonable satisfaction of the LICENSOR or fails to make or commence repairs within the ten (10) business day time frame, LICENSOR may make repairs or remove Fiber at its expense and invoice LICENSEE for costs incurred. 13. Term. This Agreement shall become effective upon its execution and shall continue in effect for a term of five (5) years. Thereafter, the Agreement shall automatically renew from year to year. The Agreement may be terminated by either party at the end of the initial term or then current renewal term by providing eighteen (18) months’ notice of termination to the other party. Notwithstanding the foregoing, LICENSOR may terminate this Agreement upon LICENSEE’S failure to pay pole fees due within 30 calendar days of receiving an invoice from LICENSOR, following LICENSOR’s written notice to LICENSEE of such failure and LICENSEE’s failure to cure within ten (10) business days of receipt of such notice. Upon termination of this Agreement by either party, LICENSEE shall remove all Fiber, as defined by this Agreement, at LICENSEE’S sole expense. No refund of any current year rental will be due LICENSEE upon termination. Any Fiber installed by LICENSEE during the term of this Agreement shall be removed by LICENSEE within 180 calendar days of termination, at LICENSEE’S sole expense. Notwithstanding the provisions of Section II(3)(a) herein, any Fiber remaining on LICENSOR’S Structures more than 180 calendar days after termination due to a failure of LICENSEE to remove said Fiber may, at LICENSOR’S sole option, be removed by LICENSOR and LICENSOR may bill the cost of removal to LICENSEE. LICENSEE shall have an obligation to pay the cost of removal to LICENSOR, which shall survive the termination of this Agreement. 14. Insurance. LICENSEE shall, at its sole expense, cause to be issued and maintained during the Term of this Agreement insurance coverages of the types and in the amounts set forth below, as applicable: Type of Insurance Limit General Liability (including General Aggregate $2,000,000 contractual liability) written Prod./Comp. Op. Agg. $1,000,000 7 on an occurrence basis Personal & Adv. Injury $1,000,000 Each Occurrence $1,000,000 Automobile Liability, including Combined Single Limit $1,000,000 any auto, hired auto and non- owned autos Excess Liability, Umbrella Form Each Occurrence $2,000,000 Aggregate $2,000,000 Workers’ Compensation Each Accident $ 500,000 15. Liens. In the event any construction lien or other encumbrance shall be placed on the Structures because of the actions of LICENSEE, LICENSEE shall promptly discharge the lien or release the encumbrance without cost or expense to LICENSOR, and hereby agrees to indemnify and hold harmless LICENSOR for any and all damages that may be suffered or incurred by LICENSOR as a result of the lien, discharging the lien or releasing the encumbrance. In the event any construction lien or other encumbrance shall be placed on the Fiber because of the actions of LICENSOR, LICENSOR shall promptly discharge the lien or release the encumbrance without cost or expense to LICENSEE and hereby agrees to indemnify LICENSEE to the extent allowable by Iowa law for any and all damages that may be suffered or incurred by LICENSEE as a result of the lien, discharging the lien, or releasing the encumbrance. 16. Relationship of Parties and Independent Contractor Status. Neither LICENSOR nor LICENSEE shall be deemed to be a partner, agent or joint venturer with or of the other by reason of this Agreement or the consummation of the transaction contemplated hereby. All parties shall perform their duties under this Agreement as independent contractors, and at their own risk. Neither LICENSOR nor LICENSEE shall at any time hold itself out as being a partner, co-venturer or agent of the other. 17. Successors and Assigns. (a) Generally. This Agreement shall be binding upon, and shall inure to the benefit of and be enforceable by, the parties hereto and their respective successors and permitted assigns. Unless otherwise set forth herein, neither of the parties may assign this Agreement to any other person or entity without the prior written consent of the other party, which consent shall not be unreasonably withheld, conditioned or delayed. (b) Exceptions. Notwithstanding the foregoing, (i) and provided that the proposed Assignee may lawfully transact business in the State of Iowa, the parties may assign this Agreement without the consent of the other party to any affiliate of such party, to the surviving entity into which such party may merge or consolidate, or to any entity to which the party transfers all, or substantially all, of its business and assets; and 8 (ii) LICENSEE shall also have the right, without the consent of LICENSOR, to assign or otherwise transfer this Agreement as collateral to any lender to LICENSEE (or lender to any successor or assign of LICENSEE); provided that the assignee or transferee in any such circumstance shall continue to be subject to all of the provisions of this Agreement, except that any lender shall not incur any obligations under this Agreement, nor shall it be restricted from exercising any right of enforcement or foreclosure with respect to any related security interest or lien, so long as the purchaser in foreclosure is subject to the provisions of this Agreement. (iii) LICENSEE agrees that it will not grant, sell, rent, loan or lease to others the use of all or any part of its assigned space on LICENSOR’s poles. 18. Notices. Except as otherwise expressly provided herein, all notices, requests, demands and other communications required or permitted to be given or made under this Agreement shall be in writing, and shall be deemed to have been duly given (a) on the date of personal delivery, (b) on the date of delivery to a nationally recognized overnight delivery service, or (c) on the date of deposit in the U. S. mails, postage prepaid, by certified mail, return receipt requested, in each case addressed as follows, or to such other addresses as shall be designated from time-to-time by the parties: If to LICENSEE to: If to LICENSOR to: Metro Fibernet, LLC City of Ames, Iowa 3701 Communications Way 515 Clark Avenue Evansville, IN 47715 Ames, IA 50010 Attention: President Attention: Electric Services Director With copy to: With a copy to: Metro Fibernet, LLC City of Ames, Iowa 8837 Bond Street 515 Clark Avenue Overland Park, KS 66214 Ames, IA 50010 Attention: Legal Department Attention: Legal Department 19. Force Majeure. In the event LICENSEE or LICENSOR is delayed in or prevented from performing any of its respective obligations under this Agreement due to acts of God, war, riots, civil insurrection, acts of the public enemy, strikes, lockouts, acts of insurrection, acts of civil or military authority, fires, floods or earthquakes beyond the reasonable control of the party delayed, then such delay or nonperformance shall be excused. If any such delay or nonperformance due to the foregoing causes or events occurs or is anticipated, the party affected shall promptly notify the other party in writing of such event or expected event and the cause and estimated duration of such event. The party affected by such event shall, at no cost to the other party, exercise due diligence to shorten or avoid the delay or 9 nonperformance and shall keep the other party advised as to the continuance of the delay and steps taken to shorten or terminate the delay or nonperformance. 20. Concurrent Obligation. “Concurrent Obligation” means the obligaton of LICENSEE to pay for the cost of a Locate Contractor as may be necessary in the judgment of the City during the Initial Network Buildout. This Concurrent Obligation is evidenced by a letter dated December 20, 2019, from John Greenbank, Executive Vice President of Metro Fibernet LLC, agreed to and accepted by the City, and attached to this Agreement as Exhibit ‘B’. Because of the relationship of this Agreement to the Concurrent Obligation, Licensor and Licensee agree that a breach of any terms or conditions of the Concurrent Obligation shall constitute a breach of this Agreement. 21. Limitation of Liability. NEITHER PARTY SHALL HAVE ANY RESPONSIBILITY, LIABILITY OR OBLIGATION TO THE OTHER OR THE OTHER’S AFFILIATES, DIRECTORS, OFFICERS, AGENTS, EMPLOYEES, REPRESENTATIVES, SUCCESSORS OR PERMITTED ASSIGNS FOR ANY SPECIAL, INCIDENTAL, CONSEQUENTIAL OR PUNITIVE DAMAGES INCLUDING, BUT NOT LIMITED TO, LOSS OF PROFITS, COST OF REPLACEMENT SERVICES, LOSS OF CUSTOMERS OR AGENTS, LOSS OF USE, OR PENALTIES IMPOSED BY OTHERS, REGARDLESS OF ANY ACT OF OMISSION OR COMMISSION IN CONNECTION WITH OR UNDER THIS AGREEMENT. NOTWITHSTANDING THE FOREGOING, THIS PARAGRAPH IS NOT INTENDED TO CONSTITUTE A WAIVER OF DIRECT DAMAGES CAUSED BY THE NEGLIGENCE OF A PARTY. 22. Disclaimer. THERE ARE NO AGREEMENTS, WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, EITHER IN FACT OR BY OPERATION OF LAW, STATUTORY OR OTHERWISE, INCLUDING WARRANTIES OR MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE OR USE, EXCEPT THOSE EXPRESSLY SET FORTH HEREIN. 23. Counterparts; Electronic Signatures. This Agreement may be executed in several counterparts, each of which shall be regarded as an original and all of which together shall constitute one and the same document. In the event that any signature is delivered by facsimile or by email of a “.pdf” format data file, such signature shall create a valid and binding obligation of such party with the same force and effect as if such facsimile or “.pdf” signature page were an original thereof. 24. Expenses. Except as otherwise expressly provided herein or therein, each party shall bear the costs and expenses incurred by it in negotiating, entering into and performing any of its obligations under this Agreement. 25. Headings. The headings of this Agreement are inserted for convenience only and shall not be deemed to be a part hereof. 10 26. Governing Law & Venue. In the event of any matter or dispute arising out of or related to this Agreement, it is agreed between the parties that the law of the State of Iowa will be given the interpretation, validity and effect of this Agreement without regard to the place of execution or place of performance thereof, or any conflicts of law provisions. Venue for any disputes between the parties shall be in Story County, Iowa, or the federal district court for the Southern District of Iowa. 27. Severability. If any one or more of the provisions of this Agreement shall be held to be invalid, illegal or unenforceable, the validity, legality or enforceability of the remaining provisions hereof or thereof shall not in any way be affected or impaired thereby. If any provision or portion of this Agreement is deemed illegal or unenforceable for any reason by an arbitrator, court or other authority of competent jurisdiction, there shall be deemed to be made such minimum change in such provision or portion as is necessary to make it valid and enforceable as so modified. If this Agreement shall be held to be unenforceable against either party, the enforceability of such agreement against the other party hereto shall not in any way be affected or impaired thereby. 28. Binding Agreement. This Agreement, including the attachments, embodies the entire agreement between the parties hereto and supersedes any prior or contemporaneous oral or written agreements between the parties, and once this Agreement has been executed, any amendments hereto must be made in writing and signed by both parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed and to become effective as of the date first written above. LICENSEE: LICENSOR: METRO FIBERNET, LLC CITY OF AMES, IOWA By:_________________________ By:___________________________ Name: ______________________ Name: ________________________ Title: _______________________ Title: _________________________ 11 EXHIBIT A EXHIBIT A – PROJECT DESCRIPTIONS LICENSEE PROJECT DESCRIPTION #___ 1. Project Defined. Fiber: LICENSEE, at its cost, to install one (1) fiber optic cable and related fiber strands, splices, terminations and associated apparatus. Route: ____________________________________________________________ ____________________________________________________________ __________. (___ Structures). Upon completion of any necessary make-ready work, LICENSEE may install its Fiber along the above Route. 2. Basic Agreement. This Project Description is hereby incorporated in its entirety into the Agreement between Metro Fibernet, LLC (“LICENSEE”) and _____________________ (“LICENSOR”), and is hereby executed by the respective parties hereto as of the ____ day of _______________ 201_ LICENSEE: LICENSOR: METRO FIBERNET, LLC ______________________________ By:_________________________ By:___________________________ Name: ______________________ Name: ________________________ Title: _______________________ Title: _________________________ John Greenbank Executive Vice President Direct phone: 812.456.1205 John.Greenbank@metronetinc.com December 20, 2019 VIA E-MAIL to bphillips@city.ames.ia.us Mr. Brian Phillips Assistant City Manager 515 Clark Avenue Ames, Iowa 50010 Re: Locates of City’s Underground Facilities Dear Mr. Phillips: This is to memorialize the understanding between the City and Metro Fibernet, LLC regarding payment of certain locating costs. Metronet is pursuing the installation of fiber optic cables in the City in order to provide cable, internet and phone services to the City’s residents and businesses. Metronet has proposed a schedule for installation that may require the City to engage an independent contractor to perform some of the City’s Iowa One Call locates (the “Locate Contractor”). If, during the Initial Network Buildout (as defined in the pole attachment agreement between the parties), the City reasonably determines it is necessary to engage a Locate Contractor in order to perform locates in connection with the installation of Metronet’s facilities, Metronet will reimburse the City for any fees paid by the City to the Locate Contractor for such work. The parties will agree to the fee to be paid to the Locate Contractor in advance of any work being performed. The City will issue invoices to Metronet for the Locate Contractor’s fees at reasonable intervals and Metronet shall pay such invoices within thirty (30) days of receipt. The City will provide appropriate documentation supporting its invoices. All invoices unpaid as of the due date and not disputed in good faith shall accrue interest at the rate of nine percent (9%) per annum. Please indicate the City’s agreement to this arrangement by signing below. Of course, if you have any questions or concerns, please let me know. Sincerely, John Greenbank, Executive Vice President Metro Fibernet, LLC AGREED AND ACCEPTED BY THE CITY OF AMES: _______________________________ Name: ________________________ Title: ________________________ ITEM#: 23 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: GRAND AVENUE EXTENSION FUNDING AGREEMENT WITH IOWA DEPARTMENT OF TRANSPORTATION BACKGROUND: The City of Ames has been awarded a grant in the amount of $1,800,000 through a competitive application process administered by the Iowa Department of Transportation (Iowa DOT). This agreement is through the Iowa Clean Air Attainment Program (ICAAP) to help fund transportation projects and programs that result in attaining or maintaining the National Ambient Air Quality Standards (NAAQS). The specific project for the grant is the extension of South Grand Avenue approximately 470 feet north of South 16th Street to the new South 5th Street. This agreement has been reviewed and approved by the City of Ames Legal Department. This project will have a bid letting on February 19, 2020, through the Iowa DOT. The South Grand Avenue Extension has been included in the Capital Improvements Plan (CIP) with funding identified from 2013/14 through 2019/20. Funding shown in the CIP for 2017/18, 2018/19 and 2019/20 includes $9,700,000 in G.O. Bonds, $4,300,000 in MPO/STP Funds, and $3,450,000 in Federal/State Grant Funds. ALTERNATIVES: 1. Approve the Iowa DOT ICAAP funding Agreement for the Grand Avenue Extension project in the amount of $1,800,000. 2. Reject the Agreement. MANAGER’S RECOMMENDED ACTION: Approval of this agreement with the Iowa DOT must happen before moving forward with construction of this project in the 2020 construction season. Delay or rejection of this agreement could delay this street reconstruction project and will require additional funding. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as described above. October 2018 IOWA DEPARTMENT OF TRANSPORTATION Addendum to Agreement no. 1-18-STPU-002 Recipient: City of Ames Project No.: STP-U-0155(697)--70-85 Iowa DOT Agreement No.: 1-18-STPU-002A CFDA No. and Title: 20.205 Highway Planning and Construction This Addendum is entered between the City of Ames, Iowa (hereinafter referred to as the Recipient) and the Iowa Department of Transportation (hereinafter referred to as the Department). Iowa Code Sections 306A.7 and 307.44 provide for the Recipient and the Department to enter into agreements with each other for the purpose of financing transportation improvement projects on streets and highways in Iowa with Federal funds. Federal regulations require Federal funds to be administered by the Department. The Department and the Recipient previously entered into the following agreement(s) for the above referenced project: Agreement No. 1-18-STPU-002 for a Federal-aid Agreement for a Surface Transportation Program Project that was executed March 28, 2018. This addendum reflects the current concept of this project which is subject to modification by mutual agreement between the Recipient and the Department; Therefore it is agreed as follows: The Recipient shall receive reimbursement for cost of authorized and approved eligible project activities from ICAAP Funds. This portion of the project costs reimbursed with Iowa Clean Air Attainment Program (ICAAP) funds shall be limited to a maximum of 80 percent of eligible cost or the amount approved by Commission ( $ 1,800,000 on January 9, 2018) whichever is less. The Recipient shall provide a summary report measuring the success of its effect on vehicle emissions to the Department upon completion of the project and prior to requesting final reimbursement of ICAAP funds. The report will include before and after project emissions calculations comparing new data compiled after project completion to the data submitted with the project application. Through a quantitative analysis, the summary must show how many kilograms of pollutants (including CO, VOC, NOx, and if applicable PM) have been reduced. The preparation of this summary may require additional data collection or modeling. These tasks or services are not considered project costs and are not eligible for reimbursement. This Addendum, as well as the unaffected provisions of any previous agreement(s), addendum(s), and/or amendment(s) represents the entire agreement between the Recipient and the Department regarding this project. All previously executed agreements will remain in effect as amended herein. Any subsequent change or modification to the terms of this Agreement will be in the form of a duly executed amendment to this document. Page 2 IN WITNESS WHEREOF, each of the parties hereto has executed this agreement as of the date shown opposite its signature below. City Signature Block (City Projects Only) By_______________________________ Date _____________________________, 20______ _______________________________ Title of city official I,________________________________, certify that I am the City Clerk of Ames, and that______________________________, who signed said Agreement for and on behalf of the city was duly authorized to execute the same by virtue of a formal resolution duly passed and adopted by the city on the _______ day of _____________________________, 20______. Signed_____________________________ Date _____________________________, 20______ City Clerk of Ames, Iowa IOWA DEPARTMENT OF TRANSPORTATION Highway Administration By_________________________________ Date _____________________________, 20______ Brian J. Catus, P.E. Local Systems Field Engineer Central Region 1 ITEM # 24 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: 2018/19 SHARED USE PATH SYSTEM EXPANSION (TRAIL CONNECTION SOUTH OF LINCOLN WAY) – EASEMENTS ALONG 202 DOTSON DRIVE AND 3709 TRIPP STREET BACKGROUND: The City of Ames is acquiring Shared Use Path easements along 202 Dotson Drive and 3709 Tripp Street as part of the 2018/19 Shared Use Path System Expansion (Trail Connection South of Lincoln Way). These easements are necessary to provide a trail connection from Baughman Road to Franklin Park, as shown in the attached map. Negotiations with the property owners were performed in accordance with Iowa DOT requirements by JCG Land Services, Inc. of Nevada, Iowa. The 202 Dotson Drive easement was negotiated for an amount of $6,090 and the easement on 3709 Tripp Street in the amount of $42,700. This project is on schedule for a May 2020 letting through the Iowa DOT. Construction is anticipated to occur in the summer and fall of 2020. ALTERNATIVES: 1. a. Approve the easement on 202 Dotson Drive in the amount of $6,090. b. Approve the easement on 3709 Tripp Street in the amount of $42,700. 2. Do not approve the easement and direct staff to pursue alternative alignments. CITY MANAGER’S RECOMMENDED ACTION : Approval of the easements are necessary and will allow the project to move forward for a May 2020 letting through the Iowa DOT. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 a-b, as described above. LINCOLN WAY TRIPP ST ST A T E A V E DO T S O N D R COY ST BE E D L E D R S W I L M O T H A V E S F R A N K L I N A V E MARIGOLD DR WOOD ST HI L L T O P R D HARRIS ST ARBOR ST APLIN RD STORY ST LETTIE ST SU N F L O W E R D R HI C K O R Y D R COCHRANE PKWY CA M P U S A V E HO W A R D A V E VI L L A G E D R WI L M O T H A V E FR A N K L I N A V E FRONTAGE RD CO L O R A D O A V E MA R S H A L L A V E MORNINGSIDE ST BE L L F L O W E R D R N 1 inch = 500 feet DO T S O N D R ITEM # __25___ DATE 01-14-20 COUNCIL ACTION FORM SUBJECT: HOMEWOOD GOLF COURSE CLUBHOUSE PROJECT PLANS AND SPECIFICATIONS BACKGROUND: The current Homewood Golf Course clubhouse is a converted home that was moved to its current location in 1967. In FY 2017/18 the City Council allocated $50,000 for the design of a new facility and $750,000 in FY 2018/19 for construction. Staff contracted with Design Alliance, which is now the Farnsworth Group, Waukee, Iowa for $50,000 to design the new clubhouse. A rendering of the clubhouse design is shown in Attachment A and the floor plan for the basement and first floor can be seen in Attachment B. The architect/engineer’s initial project cost estimate (35% drawings) was $1,089,462 which included design fees and other soft costs. As a result of this estimate, the City Council approved an additional $250,000 from the General Fund balance for this project. In addition, a $10,000 donation has been received for this project bringing the total funding for the clubhouse project to $1,060,000. When 95% of the construction drawings were prepared, The Farnsworth Group contracted with Stecker-Harmsen, Inc., Ames, Iowa to complete a cost estimate for this project. The estimate is as follows: Architect/Engineer’s Estimate: Amount Base Bid $1,312,255 Alternate #1 (Building Demolition) $ 4,500 Alternate #2 (Standing Seam Metal Roof) $ -9,900 Architect/Engineering Services $ 50,000 Sub-Total $1,356,855 Items in the Estimate to be Removed: Amount Sales Tax $ -26,016 Sidewalk–20th Street to Clubhouse (Separate Funding Source) $ -65,000 Sub-Total $ 91,016 Total Project Estimate $1,265,839 Funding Available $1,060,000 Funding Shortfall $ 205,839 *Please note that if Alternate #2 is not chosen, the funding shortfall will be $215,739. Value engineering on this project has been done to get to the numbers shown above. To reduce costs further, the building size would need to be reduced and staff feels that would compromise the functionality of what the building is to be used and programmed for. Therefore, additional funding needs to be identified. Using funds from the Park Development Fund is an option as was done with the Inis Grove Park and Brookside Park restroom projects. Please note these funds have traditionally been earmarked for the purchase of park land and/or new park features. The Homewood Clubhouse could be considered a new park feature even though it is replacing the current clubhouse. The FY 2019/20 available balance in the Park Development Fund is $570,888. The current timeline for this project is to receive bids and award a contract in February, start construction in late summer, and have the clubhouse operational in April 2021. ALTERNATIVES: 1. Approve Plans and Specifications as proposed for the Homewood Golf Course Clubhouse Project and set the bid due date for February 13, 2020 and February 25, 2020, as the date of hearing and award of the contract. 2. Do not approve the proposed plans and specifications, and decide not pursue the Homewood Golf Course Clubhouse Project at this time. 3. Refer back to staff to make additional revisions to the design in order to reduce the estimated cost to match the current available funding. CITY MANAGER’S RECOMMENDED ACTION: The new Homewood Golf Course Clubhouse will be a great addition to the park system that will not only serve golfers, but also provide a community facility that can be used year round by Ames residents. Staff has worked with the architect to design a building that is functional, attractive, and energy efficient. Geothermal heating and cooling, LED lighting, and a high efficiency water heater are some of the items included in the design to keep the building’s carbon footprint as low as possible. The current cost estimates from the architect indicate that there could be a funding shortfall for this project. However, several contractors have already expressed interest in bidding on this project and staff is hopeful this competition will result in the bids coming in at a reasonable cost. If the low bid exceeds the available funding, the City could allocate funds from the Park Development Fund to make up any shortfall. Therefore, it is the recommendation of the City Manager that the City Council support Alternative #1, which approves the Homewood Golf Course Clubhouse plans and specifications and sets the bid due date and hearing for award of contract. HOMEWOOD GOLF COURSE CLUBHOUSE DATE: 01/10/19 80 SF STORAGE 002 1480 SF CART STORAGE 001 TOTAL: 1,826 SF UNEXCAVATED 96 SF MECH 003 TOTAL: 3,198 SF 761 SF REGISTRATION 102 1191 SF COMMUNITY ROOM 104 130 SF OFFICE 112 77 SF HALL 111 58 SF RESTROOM 109 58 SF RESTROOM 108 29 SF JANITOR 107 125 SF TABLE/CHAIR STORAGE 105 95 SF HALL 106 75 SF STAIR 110 72 SF VESTIBULE 101 227 SF CONCESSIONS 103 TV TV TV TV TV PR O G R E S S P R I N T NO T F O R C O N S T R U C T I O N Design Alliance Inc. 14225 University Suite 110 Waukee, Iowa 50263 TEL 515.225.3469 FAX 515.225.9649 1 2 Copyright: 2019 OWNER TITLE PROJECT NUMBER DATE REVISIONS 01 / 1 4 / 1 9 G: \ P r o j e c t F i l e s \ A m e s - 2 1 8 0 2 8 H o m e w o o d G o l f C o u r s e C l u b H o u s e \ 0 2 - D r a w i n g F i l e s \ 0 1 - P r e l i m i n a r y \ 0 2 - D e s i g n D e v e l o p m e n t \ 2 1 8 02 8 - H o m e w o o d G o l f - R A 1 8 . r v t 1/ 1 4 / 2 0 1 9 9 : 0 7 : 2 1 A M HO M E W O O D G O L F C O U R S E C L U B H O U S E 40 1 E . 2 0 T H S T R E E T - AM E S , I O W A 5 0 0 1 0 FFE.1 218028 FURNITURE, FURNISHINGS & EQUIPMENT PLANS CITY OF AMES N 1/4" = 1'-0"1 FURNITURE FLOOR PLAN - BASEMENT N 1/4" = 1'-0"2 FURNITURE FLOOR PLAN - MAIN FLOOR 1 ITEM # 26 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: 2019/20 TRAFFIC SIGNAL PROGRAM (LINCOLN WAY & BEACH AVE) BACKGROUND: The Traffic Signal Program is the annual program that provides for replacing older traffic signals and constructing new traffic signals in the City, which will result in improved visibility, reliability, and appearance of signals. This program provides upgrading of the traffic signal system technology. In recent years, traffic signal replacements have included radar detection systems instead of in-pavement loop detection systems that had previously been used (frequently a point of vehicle detection failure). Another advantage of the radar detection system is that it detects bicycles in addition to vehicles. This project will install a new signal and new pedestrian ramps at the intersection of Lincoln Way & Beach Avenue. WHKS of Ames, Iowa, developed plans and specifications with an estimated budget as shown below: Revenues Expenses Total $370,750 Total $369,045 Contingency (0.5%) $1,705 ALTERNATIVES: 1. Approve the plans and specifications for the 2019/20 Traffic Signal Program (Lincoln Way & Beach Ave) project and establish February 5, 2020, as the date of letting with February 11, 2020, as the date for report of bids. 2. Do not approve this project. CITY MANAGER’S RECOMMENDED ACTION : By approving these plans and specifications, it will be possible to provide better service for residents using this intersection. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as described above. N 1 inch = 6,612 feet Date: 1/8/2020 2019/20 Traffic Signal Program Lincoln Way & Beach Project Location ITEM # _ 27___ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: CAMPUSTOWN PUBLIC IMPROVEMENTS (WELCH AVENUE) BACKGROUND: The 100 block of Welch Avenue, between Lincoln Way and Chamberlain Avenue, is one of the oldest utility corridors in Ames. The street pavement was most recently rehabilitated in the late 1980s/early 1990s and there exists century-old underground utility infrastructure in need of upgrade and replacement (Lincoln Way to Knapp Street). These utility updates include water main, storm sewer, and sanitary sewer. Reconstruction of this block is included in the FY 2019/20 Capital Improvement Plan. Scheduled improvements to Welch Avenue not only provide the opportunity to update the utilities, but also allow for enhancements to traffic flow and streetscape amenities. During October 9, 2018 City Council meeting, City Council selected the following cross section for design. On January 8, 2019, a professional services agreement contract was approved with WHKS of Ames, Iowa in an amount not to exceed $139,000. WHKS and City staff held multiple project informational meetings with area property owners and businesses. WHKS and City staff also had multiple one-on-one discussions with businesses directly being impacted by the project to gain input on the project timing, staging and design. Comments received were considered with the project design. Outreach will continue throughout the project through the “What the Welch” promotion. Revenues and expenses associated with this project are estimated as follows: Available Revenue Estimated Expenses Water Utility Funds Sewer Utility Funds Electric Utility Funds Road Use Tax IDALS (Grant) Sanitary Sewer Rehabilitation (Sewer Utility Funds) Water System Improvements (Water Utility Funds) $ 425,000 $ 125,000 $ 100,000 $ 100,000 $ 100,000 $ 156,000 $ 190,000 Campustown Public Improvements (Welch Avenue) $ 1,789,035.00 ALTERNATIVES: 1. Approve the plans and specifications for the Campustown Public Improvements project and establish February 12, 2020, as the date of letting and February 25, 2020, as the date for report of bids. 2. Direct staff to revise the project. CITY MANAGER’S RECOMMENDED ACTION: By approving these plans and specifications, it will allow the reconstruction of the 100 block of Welch Avenue including the underground utility updates that are located along Welch Avenue (Lincoln Way to Knapp Street). These updates should result in lower maintenance costs. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as noted above. ITEM # ___28__ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: IOWA STATE UNIVERSITY RESEARCH PARK PHASE IV BACKGROUND: The ISU Research Park Phase IV road and utility improvements project consists of the associated public improvements for this next phase of the Research Park expansion. This infrastructure project includes the paving of approximately 1,570 feet of South Riverside Drive (with shared use path), 1,860 feet of Collaboration Place (with on-street bike lanes), the extension of sanitary sewer/water mains, and the installation of electric service improvements and street lighting. The City’s design consultant, Shive Hattery Inc., has completed plans and specifications for this project with total estimated construction costs of $3,223,599. Engineering and construction administration expenses are estimated at $517,572 and Ames Electric Department labor and materials are estimated at $180,000, bringing the total estimated project cost to $3,921,171. This project is shown in the FY 2019/20 Capital Improvement Plan with $1,743,558 in EDA grant funding, $1,294,354 in RISE grant funding, $314,204 in G.O. bond funding, and $135,000 from the Ames Electric Utility budget. It should be noted that the available RISE grant funding increased by $517,737 because the Iowa DOT authorized a 70% match on this project as opposed to the typical 50% match. The total revised available funding and estimated expenses are shown below: Funding/Expenses Avail. Funding Est. Expenses Iowa DOT (RISE – up to 70%, utilities not eligible) $1,812,091 Department of Commerce (EDA – up to 50%) $1,743,558 G.O. Bonds (TIF Abated) $ 314,204 Ames Electric Budget (for work normally provided to customers) $ 135,000 Engineering/Admin $ 517,572 Construction $3,223,599 TOTAL $4,004,853 $3,741,171 ALTERNATIVES: 1. Approve the plans and specifications for the ISU Research Park Phase IV Road and Utility Improvements Project and establish February 12, 2020 as the date of letting and February 25, 2020 as the date for the report of bids. 2. Do not approve the project. MANAGER'S RECOMMENDED ACTION: The ISU Research Park continues to be an important economic development area for the region. Approval of this project will allow the construction of this next phase of improvements within this development area to be completed. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternate No. 1, as noted above. 1 ITEM # ___29__ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: FURNISHING GASES AND CYLINDERS TO THE POWER PLANT BACKGROUND: This contract is for the purchase of gases and cylinders for the Power Plant as needed. The gases required for Power Plant operations include hydrogen, nitrogen, carbon dioxide, and commercial methane. This contract is to furnish gases and cylinders for the Power Plant for the period from February 1, 2020 through December 31, 2020. The contract includes a provision that would allow the City to renew the contract for up to four additional one-year terms. On December 17, 2019, bid documents were issued to seven companies. The bid was advertised on the Current Bid Opportunities section of the Purchasing webpage. The bid was also sent to one plan room. On January 7, 2020, one bid was received as shown on the attached report. Staff has reviewed the bid and concluded that the bid, submitted by Airgas USA, LLC in the amount of $29,726.82 for the contract period, is acceptable. Council should note that actual cost invoices will be based on the amount of gases and cylinders purchased. The approved FY 2019/20 and Requested FY 20/12 operating budget both include $32,000 this purchase. ALTERNATIVES: 1. Award the contract for supplying gases and cylinders to the Power Plant to Airgas USA, LLC with a total amount not-to-exceed $29,726.82. This contract includes a provision that would allow the City to renew the contract for up to four additional one-year terms at stated rates. 2. Reject the bid and purchase gases and cylinders on an as-needed basis. CITY MANAGER'S RECOMMENDED ACTION: This contract will offer the City flexibility in purchasing gases and cylinders and will maintain standards of performance for gas and cylinder content and delivery. Detailed ordering and delivery procedures will also be part of this contract. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #1 as stated above. Smart Choice MEMO 515.239.5105 main fax Clark Ave. P.O. Box 811 To: Mayor and Members of the City Council From: City Clerk’s Office Date: January 14, 2020 Subject: Contract and Bond Approval There is/are no Council Action Form(s) for Item No(s). 30, and 31. Council approval of the contract and bond for this/these project(s) is simply fulfilling a State Code requirement. /alc 1 ITEM # ___32__ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: NON-ASBESTOS INSULATION AND RELATED SERVICES AND SUPPLY CONTRACT FOR POWER PLANT- CHANGE ORDER #2 BACKGROUND: On June 11, 2019, City Council approved preliminary plans and specifications for Non- Asbestos Insulation and Related Services and Supply Contract for Power Plant. This contract involves the removal, repair, and reinstallation of non-asbestos insulation at the Power Plant. It also includes installation of new insulation systems on pipes, ducts, equipment, vessels, boilers, and accessories throughout the Power Plant; repair and replacement of lagging systems; repair and replacement of jacketing systems and installation of new jacketing systems; fire-stopping insulation; and sound attenuation insulation. On August 13, 2019, the Ames City Council approved a contract with HTH Companies, Inc. in the amount of $80,000 for the non-asbestos insulation and related services and supplies. It is important to note that the contract amount is not for a specific project, but rather the staff’s best estimate of amount of work that might be performed in a given year. Rather than doing a lump sum contract, work is charged to the City based on the actual time and materials used for a specific task. There have been two large capital projects being performed at the Power Plant including Unit 7 Boiler Tube Repair project and Unit 7 Turbine/Generator Overhaul project. In both of these projects, the City of Ames (through the HTH contract) is responsible for removing any asbestos insulation in areas that could be disturbed because of project work and then replacing the asbestos with new insulation. There was a large amount of new insulation required for these two projects because of the amount of asbestos that was needed to be removed. As a result, the amount of funds approved in the contract with HTH has been depleted because of this unanticipated work. PRIOR ACTIONS Change Order No. 1, for $15,000, was approved by staff for additional non-asbestos insulation in order to finish insulating piping that would operate at high temperatures when the unit is online. This action increased the approved contract amount with HTH to $95,000. 2 THIS ACTION To date, $80,000 of the approved contract has been spent on the two capital projects referenced above, with the funding coming from these individual capital improvement project budgets, not from the operating budget. The remaining insulating projects to be performed within the Power Plant are considered plant maintenance and will come from the plant maintenance operating budget. Since the $80,000 of the original contract were spent from the capital improvement budgets, there remains $65,000 in the plant maintenance budget for undesignated insulation projects. Therefore, while the funds remain in the operating budget, the contract with HTH needs to be increased by $65,000 to allow for the original work identified throughout the Power Plant to be completed. This action will bring the total contract amount to $160,000. ALTERNATIVES: 1. Approve Change Order No. 2 to HTH Companies, Inc. in the amount of $65,000 for additional non-asbestos insulation and related services, increasing the total contract amount to $160,000. 2. Do not approve the requested change order. CITY MANAGER'S RECOMMENDED ACTION: Because of the safety risk of hot piping and equipment and the inefficiencies that come from energy loss due to poor or no insulation, it is important to keep non-asbestos insulation maintenance on-going. In addition, the increase in the approved contract amount with HTH will not result in additional costs to the operating budget. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No.1 as stated above. Smart Choice Public Works Department 515.239.5160 main 515 Clark Ave. P.O. Box 811 Engineering 515.239.5404 fax Ames, IA 50010 www.CityofAmes.org Public Works Department 515 Clark Avenue, Ames, Iowa 50010 Phone 515-239-5160 ♦ Fax 515-239-5404 Item No. 33 January 14, 2020 Honorable Mayor and Council Members City of Ames Ames, Iowa 50010 RE: Sunset Ridge 8th Addition Financial Security Reduction #2 Mayor and Council Members: I hereby certify that the asphalt street surface pavement, sidewalk ramps, and COSESCO (erosion control) required as a condition for approval of the final plat of Sunset Ridge 8th Addition have been completed in an acceptable manner by Manatt’s Inc. and TJ’s Landscaping of Ames, Iowa. The above-mentioned improvements have been inspected by the Engineering Division of the Public Works Department of the City of Ames, Iowa, and found to meet City specifications and standards. As a result of this certification, it is recommended that the financial security for public improvements on file with the City for this subdivision be reduced to $63,403.22. The remaining work covered by this financial security includes installation of public sidewalk, street trees, and completion of utility adjustments. Sincerely, John C. Joiner, P.E. Director JJ/nw cc: Finance, Planning & Housing, Subdivision file Sunset Ridge 8th Addition January 14, 2020 Page 2 Smart Choice Public Works Department 515.239.5160 main 515 Clark Ave. P.O. Box 811 Engineering 515.239.5404 fax Ames, IA 50010 www.CityofAmes.org Public Works Department 515 Clark Avenue, Ames, Iowa 50010 Phone 515-239-5160 ♦ Fax 515-239-5404 Item No. 34 January 14, 2020 Honorable Mayor and Council Members City of Ames Ames, Iowa 50010 RE: Sunset Ridge 9th Addition Financial Security Reduction #1 Mayor and Council Members: I hereby certify that the porous pavers, water main, and sanitary sewer required as a condition for approval of the final plat of Sunset Ridge 9th Addition have been completed in an acceptable manner by Con-Sruct Inc. and Ames Trenching of Ames, Iowa. The above- mentioned improvements have been inspected by the Engineering Division of the Public Works Department of the City of Ames, Iowa, and found to meet City specifications and standards. As a result of this certification, it is recommended that the financial security for public improvements on file with the City for this subdivision be reduced to $24,300.00. The remaining work covered by this financial security includes installation of street trees, public sidewalk and ramps, and COSESCO (erosion control). Sincerely, John C. Joiner, P.E. Director JJ/nw cc: Finance, Planning & Housing, Subdivision file Sunset Ridge 9th Addition January 14, 2020 Page 2 1 ITEM # 35 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: PLAT OF SURVEY (BOUNDARY LINE ADJUSTMENT) FOR 2810 & 2824 WAKEFIELD CIRCLE BACKGROUND: The City’s subdivision regulations found in Chapter 23 of the Ames Municipal Code include the process for creating or modifying property boundaries and for determining if any improvements are required in conjunction with the platting of property. The regulations also describe the process for combining existing platted lots or conveyance parcels in order to create a parcel for development purposes. A plat of survey is allowed by Section 23.309 for the consolidation of conveyance parcels and for boundary line adjustments. This proposed plat of survey is for a boundary line adjustment of two existing lots addressed as 2810 and 2824 Wakefield Circle to create two new parcels: Parcel A consists of all of Ames Community Development Park, 5th Addition, Lot 1 and a portion of Lot 2. The remainder of lot 2 will remain a separate parcel. Parcel A is currently developed, as Story Construction Company offices. The remainder of Lot 2 is undeveloped. The lots are zoned General Industrial (GI). The existing lots have been in their current configuration since 2016. These lots were part of a previous subdivision that allowed for sidewalk deferral until the time of building construction. Proposed Parcel A is already developed with a building.. The Subdivision Code does require installation of public improvements, i.e. sidewalks, to extend the entire length of the street frontage if the property frontage is increased through a boundary line adjustment. In this instance approximately 36.12 feet of sidewalk will be required to be installed to meet the Subdivision Code requirement. Given the seasonality of weather at this time, staff supports allowing the developer to provide financial security for the sidewalk prior to the plat being released for recording rather than delaying the plat of survey until the sidewalk is installed. No other public improvements are necessitated with the boundary line adjustment. The proposed parcels comply with all zoning district regulations. Any changes to driveways will occur with future development. Approval of this plat of survey (Attachment C) will allow the applicant to prepare the official plat of survey and submit it to the Planning and Housing Director for review. The Director will sign the plat of survey confirming that it fully conforms to all conditions of approval. This would include submittal of financial security for installation of the sidewalk. The prepared plat of survey may then be signed by the surveyor, who will submit it for recording in the office of the County Recorder. 2 ALTERNATIVES: 1. The City Council can adopt the resolution approving the proposed plat of survey, subject to the condition of receiving financial security prior to the proposed plat of survey being recorded for the construction of approximately 36.12 feet of sidewalk. 2. The City Council can deny the proposed plat of survey if the City Council finds that the requirements for plats of survey as described in Section 23.309 have not been satisfied. 3. The City Council can refer this back to staff and/or the owner for additional information. CITY MANAGER'S RECOMMENDED ACTION: Staff has determined that the proposed plat of survey satisfies all Subdivision Code requirements for a boundary line adjustment of existing parcels and has made a preliminary decision of approval. No conflict exists with the existing GI zoning standards as a result of the boundary line adjustment. The boundary line adjustment will trigger financial security for sidewalk extension. Financial security for the sidewalk is unique to this plat of survey given the seasonality of approval. No other infrastructure requirements are necessary. All future construction on the two sites will be reviewed by staff for compliance. Therefore, it is the recommendation of the City Manager that the City Council accept Alternative #1, thereby adopting the resolution approving the proposed plat of survey. 3 ADDENDUM PLAT OF SURVEY FOR 2810 and 2824 WAKEFIELD CIRCLE Application for a proposed plat of survey has been submitted for: Conveyance parcel (per Section 23.307) Boundary line adjustment (per Section 23.309) Re-plat to correct error (per Section 23.310) Auditor’s plat (per Code of Iowa Section 354.15) The site is located at: Owner: Story Construction Company and Dayton Park, LLC Existing Street Address: 2810 Wakefield Circle 2824 Wakefield Circle Assessor’s Parcel #: 10-07-325-045 10-07-325-025 Legal Description: Survey Description – 2810 Wakefield Circle (Parcel A): A Parcel of land in Lot 2 Ames Community Development, 5th Addition, An official plat, now in and forming a part of the City of Ames, Story County, Iowa more particularly described as follows: Beginning at the northwest corner of said Lot 2; thence S 00°58'42" E, a distance of 260.42 Feet along the west line of said Lot 2; Thence N 89°01'58" E, a distance of 178.32 Feet along the south line of said Lot 2 thence N 89˚01’58”, a distance of 212.89 Feet; thence N 47˚42’34” W, a distance of 40.85’; thence S 89˚01’35” W, a distance of 98.40 FEET; thence N 29˚46’29” W, a distance of 32.39 Feet to the northwest lot line of said Lot 2 to a curve concave northwesterly with a radius of 67.43 FEET; thence along said lot line along said curve, whose chord bears S 74˚51’52” W, with a chord length of 35.69 Feet. A distance of 36.12 Feet to the point-of-beginning. Containing 43,530 Square Feet (0.999 Acres) more or less. Survey Description – 2824 Wakefield Circle: Lot 2, Ames Community Development 5th Addition, except Parcel A, of Lot 2, City of Ames, Story County, Iowa. 4 Public Improvements: The preliminary decision of the Planning Director finds that approval requires all public improvements associated with and required for the proposed plat of survey be: Installed prior to creation and recordation of the official plat of survey and prior to issuance of zoning or building permits. Delayed, subject to an improvement guarantee as described in Section 23.409. Not Applicable. (no additional improvements required) Note: The official plat of survey is not recognized as a binding plat of survey for permitting purposes until a copy of the signed and recorded plat of survey is filed with the Ames City Clerk’s office and a digital image in Adobe PDF format has been submitted to the Planning & Housing Department. 5 Attachment A – Location Map 6 Attachment B – Existing Conditions 7 Attachment C – Plat of Survey ITEM # 36 ___ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: THE WEST END CENTER SUBDIVISION, MINOR FINAL PLAT FOR 1114 SOUTH DAKOTA AVENUE BACKGROUND: The property owners of 1114 South Dakota Avenue, Dickson and LuAnn Jensen are requesting approval of a Final Plat for The West End Center, which is a Minor Subdivision of 4.68 acres. A minor subdivision includes three, or fewer, lots and does not require additional public improvements. A minor subdivision does not require a Preliminary Plat, and may be approved by the City Council as a Final Plat, subject to the applicant completing the necessary requirements. 1114 South Dakota Avenue is located on the northeast corner at the intersection of South Dakota Avenue and Mortensen Road. The proposed Final Plat divides the land into two new buildable lots and is located within the “CCR” (Community Commercial/Residential) Zoning District (w/Master Plan) (see Attachment A – Location & Zoning Map) Lot 1 includes approximately 1.86 acres and will maintain the 1114 South Dakota Avenue address. Lot 2 will be approximately 2.82 acres and addressed off Mortensen Road. Lot 1 and 2 will have shared access off Mortensen Road. A private internal cross access easement (Attachment C) will exist along the shared property line and will run the entire width of the property. At the time of Rezoning and Master Plan approval, there was discussion regarding pedestrian safety and driveway crossings. Given the proximity to the Ames Middle School and the number of residential dwellings in the area it is high bike and pedestrian traffic area. The proposed subdivision does not directly address future driveway locations; however, all future access drive locations and the design of existing driveways will be evaluated and designed to promote pedestrian safety as discussed during the rezoning process. Additionally, a raised median will be required on Mortensen Road to limit access to right in/right out for westbound traffic for any new driveway constructed west of the Coconino Road. The median will be required as part of a Site Development Plan approval. Access to North Dakota will continue for the site with one driveway. Section 23.403(9) of the City’s Subdivision Code limits direct access to any arterial street that does not meet necessary separation distances and the number of drives allowed to promote pedestrian and vehicular safely. Construction of the median will meet the intent of this Code standard along with shared access between the two sites. There is a private shared access easement included with the Plat. Public utilities serve both proposed lots. An eight-foot shared use path exists on both South Dakota Avenue and Mortensen Road. New water, sanitary sewer, and electric easements will be established with this plat. The City Council is being asked to accept and approve two amendments to two easements. Changes to easements are usually processed as an easement vacation and new easements would be approved. However, in this instance an Electric and Shared Use Path Easement, in the southwest corner of the plat, were allowed to be changed as amended easements as the area is only being expanded, not reduced. All land within the existing easements will be within the new easements. The applicant has provided an agreement for the installation of sidewalks. The agreement requires sidewalk installation along all street public frontages Street on each lot as they develop. No financial security is required. The proposed lots and future development are subject to Master Plan requirements approved in April 2019. After reviewing the proposed Final Plat of The West End Center, staff finds that it complies with all relevant and applicable design and improvement standards of the Subdivision Regulations, to the City’s Land Use Policy Plan, to other adopted City plans, ordinances and standards, and to the City’s Zoning Ordinance. ALTERNATIVES: 1. Approve the Final Plat of The West End Subdivision based upon the findings and conclusions stated above, subject to: a. City Council accepting the Amended Electric Easement and the Amended Shared Use Path Easement; and b. Construction of a raised median along Mortensen Road, allowing only right in/right out turning movements, to the specifications of the City of Ames Public Works Director. The median is a requirement of a Minor Site Development Plan approval for relocating or adding an additional driveway along Mortenson Road. 2. Deny the Final Plat of The West End Center and find that the proposed subdivision does not comply with applicable ordinances, standards or plans. 3. Refer this request back to staff or the applicant for additional information. CITY MANAGER’S RECOMMENDED ACTION: City staff has evaluated the proposed Final Plat of The West End Center Subdivision and determined that the proposal is consistent with the requirements of the Municipal Code. The applicant has provided an agreement for the installation of sidewalks and all necessary easement documents. A raised median along Mortensen will be required to be installed with development of the site, along with compliance with the approved Master Plan. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #1 as described above. Attachment A – Location Map Attachment B – Final Plat of The West End Center Attachment C – Private Access Easement Agreement Attachment D – Applicable Laws and Policies Pertaining to Final Plat Approval Adopted laws and policies applicable to this case file include, but are not limited to, the following: Code of Iowa, Chapter 354.8 states in part: A proposed subdivision plat lying within the jurisdiction of a governing body shall be submitted to that governing body for review and approval prior to recording. Governing bodies shall apply reasonable standards and conditions in accordance with applicable statutes and ordinances for the review and approval of subdivisions. The governing body, within sixty days of application for final approval of the subdivision plat, shall determine whether the subdivision conforms to its comprehensive plan and shall give consideration to the possible burden on public improvements and to a balance of interests between the proprietor, future purchasers, and the public interest in the subdivision when reviewing the proposed subdivision and when requiring the installation of public improvements in conjunction with approval of a subdivision. The governing body shall not issue final approval of a subdivision plat unless the subdivision plat conforms to sections 354.6, 354.11, and 355.8. Ames Municipal Code Section 23.303(3) states as follows: (3) City Council Action on Final Plat for Minor Subdivision: (a) All proposed subdivision plats shall be submitted to the City Council for review and approval in accordance with Section 354.8 of the Iowa Code, as amended or superseded. Upon receipt of any Final Plat forwarded to it for review and approval, the City Council shall examine the Application Form, the Final Plat, any comments, recommendations or reports examined or made by the Department of Planning and Housing, and such other information as it deems necessary or reasonable to consider. (b) Based upon such examination, the City Council shall ascertain whether the Final Plat conforms to relevant and applicable design and improvement standards in these Regulations, to other City ordinances and standards, to the City's Land Use Policy Plan and to the City's other duly adopted plans. If the City Council determines that the proposed subdivision will require the installation or upgrade of any public improvements to provide adequate facilities and services to any lot in the proposed subdivision or to maintain adequate facilities and services to any other lot, parcel or tract, the City Council shall deny the Application for Final Plat Approval of a Minor Subdivision and require the Applicant to file a Preliminary Plat for Major Subdivision. 1 ITEM#: 37 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: CAMPUSTOWN PUBLIC IMPROVEMENTS – WATER SERVICE REPLACEMENT (LINCOLN WAY FROM HAYWARD AVENUE TO WELCH AVENUE) BACKGROUND: This project focused on the underground utility updates that are located on Lincoln Way (Hayward Avenue to Welch Avenue). The Century-old underground utility infrastructure beneath the street needed upgrading. Additional utility replacement and street reconstruction on Welch Avenue will take place under separate contract during FY 2019/20. Staff continues to work on a business and citizen outreach strategy to prepare public for the impact of the Welch Avenue portion of the project. On July 9, 2019, City Council awarded this project to Jet Drain Services LLC of Ames, Iowa, in the amount of $172,002.06. Change order No. 1 (balancing) was a deduction to reflect the actual measured quantities completed during construction. Construction was completed in the amount of $169,969.96. Revenues and expenses for the project are summarized below: Available Revenue Estimated Expenses G.O. Bonds Water Utility Funds Sewer Utility Funds Electric Utility Funds 1,000,000 425,000 125,000 100,000 Construction (this project) 169,969.96 ALTERNATIVES: 1. Accept the Campustown Public Improvements – Water Service Replacement (Lincoln Way from Hayward Avenue to Welch Avenue) project as completed by Jet Drain Services LLC of Ames, Iowa, in the amount of $169,969.96. 2. Direct staff to pursue modifications to the project. 2 MANAGER’S RECOMMENDED ACTION: This project was completed in accordance with the approved plans and specifications. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as described above. ITEM # ___38__ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: CONTRACT ACCEPTANCE FOR SWITCHGEAR AND CONTROL PANELS – TOP-O-HOLLOW SUBSTATION EXPANSION AND BREAKER ADDITION BACKGROUND On August 22, 2017, City Council approved preliminary plans and specifications for furnishing 15kV Outdoor Metalclad Switchgear and 69kV Controls Panels for Top-O- Hollow Substation Expansion and Breaker Addition project. On September 27, 2017, three bids were received. Electric Services staff and an engineer from Dewild Grant Reckert & Associates (DGR) Company reviewed the bids and concluded that the apparent low bid submitted by Harold K. Scholz Co, Ralston, NE, in the amount of $615,923.40 (inclusive of Iowa sales tax), was acceptable. The Engineer’s estimate of the cost of this equipment was $675,000. The approved FY 2017/18 CIP for Electric Services includes $1,950,000 for construction under the Top-O-Hollow Substation Expansion and Breaker Addition project. Iowa State University (ISU) will also provide funding for this project. ISU’s share of the project is based on a load-ratio-share at the time of implementation. The ISU load-ratio-share is 7% of the total project cost. On February 15, 2018, Change Order #1 was done to decrease the purchase order by $16,692 (inclusive of Iowa sales tax) for items that were deducted from this contract. The material in the contract has now been delivered, the project engineer has provided a certificate of completion, and the total amount payable is $599,231.40. ALTERNATIVES: 1. Accept completion of the contract for furnishing the 15kV Outdoor Metalclad Switchgear and 69kV Control Panels for Top-O-Hollow Substation Expansion and Breaker Addition project with Harold K. Scholz Co, Ralston, NE, in the amount of $599,231.40 (inclusive of Iowa sales tax), and authorize final payment to the contractor. 2. Delay acceptance of this portion of the project. CITY MANAGER’S RECOMMENDED ACTION: The contractor has delivered all of the equipment specified under the contract, and the City is obligated to make final payment. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as stated above. ITEM # ___39__ DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: 2019-095 POWER PLANT STEAM TURBINE #7 PARTS FOR MECHANICAL DYNAMICS & ANALYSIS LLC - CONTRACT COMPLETION BACKGROUND On May 14, 2019, City Council awarded a contract to Mechanical Dynamics & Analysis LLC, Clifton Park, NY in the amount of $114,613.67 and Argo TurboServe Corporation, Rutherford, NJ GE OEM part supply was awarded a contract in the amount of $265,694.00. There were three change orders to the Mechanical Dynamics & Analysis LLC contract. Change Order #1: On September 27, 2019, was done to increase the purchase order by $4,5841.85 (inclusive of Iowa sales tax) for the purchase of additional parts. Change Order #2: On October 8, 2019, was done to increase the purchase order by $20,487.60 (inclusive of Iowa sales tax) for the purchase of additional parts. Change Order #3: On November 14, 2019, was done to increase the purchase order by $253.30 (inclusive of Iowa sales tax) for the purchase of additional parts. The total contract amount including these four change orders is $139,936.42. The engineer’s estimate for anticipated parts was $515,000. This was based on preliminary quotes received from General Electric, the turbine-generator original equipment manufacturer (OEM). The material in the contract with Mechanical Dynamics & Analysis LLC has now been delivered and accepted. This council action form is to release the 5% retainage that was held per the contract terms and conditions. The contract with Argo is still under review. ALTERNATIVES: 1. Accept completion of the contract for supplying the Power Plant Steam Turbine #7 Parts with Mechanical Dynamics & Analysis LLC. This Council action form is to release the 5% retainage that was held per the contract terms and conditions. 2. Delay acceptance of this project. CITY MANAGER’S RECOMMENDED ACTION: The contractor has delivered all of the equipment specified under the contract, and the City is obligated to make final payment. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as stated above. 1 ITEM # ___40__ DATE: 1-14-20 COUNCIL ACTION FORM SUBJECT: CONVEYANCE OF CITY OWNED PARCEL LOCATED AT 1420 LINCOLN WAY TO METRO FIBERNET, LLC BACKGROUND: Metro Fibernet, LLC (MetroNet) is an internet provider that plans to construct a fiber optic network throughout Ames in 2020. Its network will be arranged in three fiber “rings” in the community, to which individual neighborhoods will be connected. The fiber rings must all converge at one point to connect to switching equipment, housed in a small building referred to as a “hut.” Because the fiber rings reach different parts of the City, the area where they converge must ideally be close to the center of the community. MetroNet also provides a television package over its internet service. Therefore, MetroNet desires to construct an aerial antenna adjacent to the hut to receive over-the-air television channels. City staff has had regular discussions with MetroNet representatives since spring 2019 to discuss various aspects of MetroNet’s internet project. In late summer 2019, MetroNet representatives met with City staff to discuss technical issues related to installing fiber on City utility property east of the Power Plant, as well as MetroNet’s prospective locations for the hut site. Because the hut must be located somewhere along the path where all three fiber rings converge, there are a limited number of potential sites where the hut may be located. City staff noted that MetroNet’s initial proposed location in a commercial area east of South Duff Avenue was in area identified for potential future redevelopment as part of the Ames Plan 2040 process. Since the hut site would have significant amounts of fiber infrastructure associated with it, it would not be feasible to move the hut in the future, making this proposed location undesirable. Another private site was considered, but that property had recently been sold to another owner for potential development and would likely not be able to allow for the installation of the antenna without a variance. MetroNet and City staff then met to discuss whether any City-owned land existed that may be feasible for their needs. Very few potential sites exist that are 1) City-owned, 2) not used for other purposes, and 3) located along the path where MetroNet’s three fiber rings converge. A potential City-owned site east of the Power Plant was discussed, but was in active use for equipment storage and was in too close proximity to electric transmission lines. 2 Ultimately, the property at 1420 Lincoln Way was identified as a potential hut site that was not in active use by the City, would meet the technical requirements for MetroNet’s planned activities, and would be free from interfering with the City’s utility operations. MetroNet representatives viewed the property and submitted a letter of interest to the City Council. On September 24, 2019, the City Council referred the request from MetroNet for staff for a background memo. A memo dated October 20, 2019 was provided by City staff in the October 18th Council packets with further details informing the City Council for the first time that a 79-foot aerial antenna was a part of the proposal. At the October 22, 2019, City Council meeting, the Council directed City staff to negotiate with MetroNet regarding the acquisition of the property. 1420 LINCOLN WAY: This property is approximately 0.5 acres in size. It was acquired in 1924 and was formerly used by the City as a water booster pump station. The pumping station became obsolete in the 1990s with a reconfiguration of the water pressure zones. A number of water mains on the property have been abandoned. The Water and Pollution Control Department anticipates demolishing the structure and the abandoned mains in 2024 at a cost of up to $125,000. The existing building footprint occupies nearly all the area that could be developed on the lot. As part of any sale, City staff proposes that the northern 20 feet of the property would be acquired by the City as right-of-way. At least three-fourths of the property area would need to be maintained in easements for electric, water main, and drainage/bridge infrastructure/surface flowage. These easements, combined with required setbacks, would make it very difficult to demolish the existing structure and place other structure on the property. PROCESS TO SELL CITY PROPERTY: State law requires that a hearing be held prior to the sale of City-owned real property. Notice of the hearing must be published in the newspaper. Except for these basic requirements, the City Council has broad discretion regarding the decision to sell real property. There is no requirement in state or local law to sell property to the highest bidder. The Council may determine to whom the property may be sold and for what amount (as long as the sale price to a private party is reasonably within the range of fair market value and does not constitute a gift). The hearing is the opportunity to hear and consider alternative proposals or to hear reasons why the proposed sale should not occur. The City has a process to establish the value of rights-of-way for sales to adjacent property owners. In sales of City-owned houses, the City typically evaluates individual offers. The 1420 Lincoln Way property is a former utility site, rather than a house or right-of-way. Therefore, following the October 22 direction from City Council to negotiate, City staff requested that MetroNet obtain an appraisal of the property. The 3 appraisal report notes the significant limitations on the property due to the terrain, and ultimately concludes the market value of the property to be $21,600. Once the appraisal was obtained, a report was prepared for the City Council at the December 17, 2019, City Council meeting. At that meeting, the City Council set the date of public hearing regarding the sale for January 14, 2020. Staff contacted the Oak-to- Riverside neighborhood representative on December 13th to alert them to the upcoming potential sale of the property and to pass this information on to the neighborhood. AERIAL ANTENNA: MetroNet submitted an application for a Special Use Permit to place a 79-foot aerial antenna to collect over-the-air television signals. Special Use Permits are required for any new tall structure exceeding 50 feet in height for the purpose of installing wireless communication equipment. MetroNet has indicated that ideally, the antenna is installed on the same property as the hut, since equipment for the antenna can be housed in the same structure. Special Use Permits are reviewed for approval by the Zoning Board of Adjustment (ZBA). ZBA decisions are not reviewable by the City Council. ZBA’s review of the overall project is limited to the proposed tower. Prior to the ZBA meeting, notices were mailed to addresses within 200 feet of the subject property, notice was published in the newspaper, and a sign was placed on the property. Additionally, as mentioned above, the registered neighborhood representative was notified as a courtesy via email about the proposed sale and request for a Special Use Permit. On January 8, ZBA considered MetroNet’s Special Use Permit application. ZBA received a substantial number of comments from residents in the adjacent neighborhood opposing the approval of the antenna. ZBA tabled the consideration of the Special Use Permit and requested further information from MetroNet regarding: 1) whether the tower height is the minimum necessary to function, 2) design alternatives for the pole, such as “stealth” options, 3) alternative locations of the antenna on the 1420 Lincoln Way site, 4) alternative locations for the antenna outside the 1420 Lincoln Way site, and 5) safety and geotechnical analysis of the impact of the antenna installation on the soils and creek. At the ZBA meeting, MetroNet representatives testified that they were willing to proceed with the purchase the property for the hut site, and find an alternative location for the antenna. It is City staff’s understanding that MetroNet could locate its television signal receivers on an existing tall structure located elsewhere, or on a new tower structure in a more compatible location for that use. If the City Council chooses to sell the property (to MetroNet or any other buyer), the Council has the ability to place covenant restrictions on the sale. These 4 restrictions could include prohibiting the co-location of wireless transmission (e.g., cellular) technology, or prohibiting the installation of an antenna of any kind. It is important to note, however, that any covenant restriction is only enforceable for 21 years per Iowa law, but there are legal mechanisms to extend covenants beyond the 21 years. If such a restriction were implemented, there would be no need to further pursue the Special Use Permit request pending before ZBA. ALTERNATIVE PROPOSAL: Following the Council action to set the date of public hearing regarding this sale, the City received an alternative proposal from Kathranne Knight to purchase the property (Attachment 1). Ms. Knight proposes to use the existing building as an art studio, and has expressed that she would establish partnerships with a variety of organizations for best practices for the site. In subsequent discussion with City staff, Ms. Knight indicated she would be willing to pay $21,700 for the property, and would grant the easements and right-of-way proposed by the City. Ms. Knight arranged to view the property with City staff, and has consulted with the Planning and Housing Department staff regarding the proposal to use the property for an art studio. City staff has reported to her that an art studio would not be an allowed use under the current UCRM zoning. Therefore, if Ms. Knight was to acquire the property, she would either have to use it for some other use allowed under UCRM or the property would need to be rezoned to a designation that would allow an art studio. ALTERNATIVES: 1. Approve the sale of City-owned property located at 1420 Lincoln Way to Metro Fibernet, LLC, for $21,600, contingent upon recording a right-of-way acquisition plat and granting easements to the City, and contingent upon a covenant restriction prohibiting the installation of a communication tower as defined by the City’s Zoning Ordinance. 2. Approve the sale of City-owned property located at 1420 Lincoln Way to Metro Fibernet, LLC, for $21,600, contingent upon recording a right-of-way acquisition plat and granting easements to the City, and without any covenant restrictions regarding the installation of a communication tower. 3. Approve the sale of City-owned property located at 1420 Lincoln Way to Kathranne Knight for $21,700, contingent upon recording a right-of-way acquisition plat and granting easements to the City. 4. Do not approve the sale of the property. 5 CITY MANAGER’S RECOMMENDED ACTION: The City Council has made improving internet service in the community an objective of its adopted goals. City staff has been working with MetroNet for the past year to facilitate its plans to provide fiber internet service in Ames. As part of that process, City staff had discussions with MetroNet regarding potential sites for its hut. After evaluating several potential sites, MetroNet believes, and City staff agrees, that 1420 Lincoln Way is a viable site. City staff is not aware of any available alternative sites that are free from more significant shortcomings. The zoning of the proposed site allows the activity MetroNet proposes. MetroNet has obtained an appraisal report that values the property at $21,600 and wishes to purchase the property for that amount. MetroNet will agree to the City’s proposed acquisition of right-of-way and easements as a condition of the sale. While staff has determined that this is a viable site, it must be emphasized that the adjacent neighbors are not supportive of the installation of the antenna. MetroNet has indicated that it remains interested in the purchase of the property, even if the antenna cannot be sited at the same location. The Council has the ability to place covenant restrictions on the sale of the property to prohibit tall structures such as a communication tower for antennas. The City no longer has any use planned for this property, and it is expected to cost a considerable amount to demolish the existing structures and utilities as planned in the next decade. Disposing this property through a sale would be preferred to demolition. Although there is an alternative proposal to purchase the property, and even though the proposed sale amount is slightly higher than MetroNet’s offer, the sale of this property to another party would not advance the City Council’s desire to expand internet options in the community. Although selling this property to any of the potential parties would allow the City to avoid a potential $125,000 in demolition costs, this is a secondary benefit; it is not the primary reason the property is being proposed for sale at this time. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as described above. 6 From:"kathranne knight" <kathrannek@yahoo.com> To:"MayorCouncil@cityofames.org" <MayorCouncil@cityofames.org>, "bphillips@city.ames.ia.us" <bphillips@city.ames.ia.us>, "kathrannek@yahoo.com" <kathrannek@yahoo.com> Date:Monday, December 23, 2019 03:02PM Subject:1420 Lincoln Way and MetroNet Kathranne Knight 123 S. Riverside Dr. Ames, Iowa 50010 413-386-7386 kathrannek@yahoo.com December 23, 2019 Members of the Ames City Council cc: Brian Phillips City Hall 515 Clark Ave Ames, IA 50010 515-239-5101 To: Members of the Ames City Council and Brian Phillips, Assistant City Manager, Subject: 1420 Lincoln Way Ames, Iowa I am writing to announce my intent to purchase city property located at 1420 Lincoln Way, which is currently being investigated as a site for a MetroNet 79’ antenna and storage hut. I propose a use more in keeping with the activity and purpose of the location, and to support the city’s goals of economic desirability, elimination of a sizable expense for the city in the future and stabilization of a viable neighborhood. On the property of 1420 Lincoln Way is an historic booster pumping station, which sits just off the old Lincoln Highway, atop a high bank of Squaw Creek. The property is zoned UCRM and O-E. The O-E designation, “is intended to supplement the city’s flood plain regulations and to protect designated natural resource areas by using the natural resources inventory to identify and preserve natural resources and by establishing parks and open space areas.” Section 29.1103 goes on to say that, “Greenways are included in this district for stream corridors, linear parks and open spaces adjacent to environmentally sensitive areas to create a continuous system throughout the city.” I own property one parcel away from 1420 Lincoln Way, and can see the booster pump station from my backyard. Stuart Smith Park is also visible, with its open green space and bike path, which gets a lot of use from the citizens of Ames. Residents jogging, walking, or biking along that path have a direct line of sight across the creek to the East bank, which has been beautifully landscaped by the city using prairie to help mitigate erosion in the flood zone. It is my intention to purchase the property at 1420 Lincoln Way, maintain the easements the city requires, preserve the historic value of the building, and increase the presence of a well-maintained, aesthetically beautiful “gateway” property. I call it a “gateway” property because it functions as such. Many people park in the Oak-to-Riverside neighborhood to walk to events at Hilton Colosseum, Fisher Theatre, Cy Stevens Auditorium and the Brunnier Gallery. As pedestrians walk toward the University on Lincoln Way, they will either see a fenced-in 79’ transmission tower or an historic building with well- maintained, environmentally sensitive landscaping. This property also signals the beginning of a neighborhood, and we have an opportunity to support the safety of families raising children through thoughtful placement of utility and industry. My proposed use for the building and land is to preserve the historic value. The building would serve as an art studio and I will leverage connections to the College of Design for outreach and education. I will establish partnerships with the Lincoln Highway Association, Prairies Rivers of Iowa, Ames History Museum, Ames Historic Preservation Commission, COTA, and Public Art Commission for best practices for that site. My desire to purchase the property comes from a deep investment in the city of Ames, its history, and its goals to promote a high quality of life for all its citizens. I propose this alternative purpose because to use this particular location for a 79’ transmission tower is problematic for the city, its goals, the environment, and the Oak-Riverside Neighborhood. I very much look forward to working with the city to purchase the property at 1420 Lincoln Way, including recording a right- of-way acquisition plat and granting easements to the City. Sincerely, Kathranne Knight 1 ITEM # 41 DATE: 1-14-20 COUNCIL ACTION FORM SUBJECT: SALE OF CITY-OWNED PROPERTY AT 1417 DOUGLAS AVENUE TO MAINSTREAM LIVING BACKGROUND: At the December 17th City Council meeting, the City Council directed staff to proceed with finalizing the terms and conditions (which will include language for a restrictive convent) for the sale of the City-owned property located at 1417 Douglas Avenue to Mainstream Living in the amount of $36,012. Staff has been working closely with the City Attorney’s Office and with Mainstream Living and has finalized the terms and conditions for the sale of the property. In addition to the $36,012 purchase price, below are some other major provisions of the sale and use of the property: 1. Mainstream Living must construct a five-bedroom wheelchair accessible facility on or before December 31, 2020; 2. The City of Ames will retain ownership of the property until the specified structure is constructed; 3. For a period of twenty-one (21) years, the facility must be utilized for affordable housing for very low and low income adults with intellectual disabilities; 4. The facility cannot be sold, assigned or any interest transferred prior to December 31, 2041, without the written consent of the City. ALTERNATIVES: 1. The City Council can adopt a resolution approving the sale of the city-owned property at located at 1417 Douglas Avenue to Mainstream Living, Inc. based on the attached terms and conditions, which includes language for a twenty-one (21) year restrictive covenant and other provisions. 2. The City Council can adopt a resolution approving the sale of the city-owned property located at 1417 Douglas Avenue to Mainstream Living, Inc. with modifications to the attached terms and conditions. 3. Reject approval of the sale of the city-owned property at located at 1417 Douglas Avenue to Mainstream Living, Inc. and sell the property to another entity. CITY MANAGER'S RECOMMENDED ACTION: The opportunity to purchase deteriorated housing and to stabilize a viable neighborhood is an important priority for the City’s affordable housing program goals and provisions. Additionally, to sell the property to a local area non-profit to provide affordable housing for persons with disabilities is consistent with the City’s 2019 Fair Housing Analysis Impediments Study. The final sales price of $36,012 reflects the City’s direct costs in acquiring the property, demolishing the house, and recouping all additional costs associated with completing the sale of the property. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #1, thereby approving the sale of the city-owned property at located at 1417 Douglas Avenue to Mainstream Living, Inc. based on the attached terms and conditions including language for a twenty-one (21) year restrictive covenant and other provisions. 1 DO NOT WRITE IN THE SPACE ABOVE THIS LINE; RESERVED FOR RECORDER Prepared by: Mark O. Lambert, City of Ames Legal Department, 515 Clark Ave., Ames, IA 50010; 515-239-5146 Return to: Diane R. Voss, Ames City Clerk, Ames City Hall, 515 Clark Ave., Ames, IA 50010; 515-239-5146 AGREEMENT BETWEEN THE CITY OF AMES AND MAINSTREAM LIVING, INC., FOR PURCHASE AND CONSTRUCTION OF PROPERTY AT 1417 DOUGLAS AVENUE, AMES, IOWA THIS AGREEMENT is made and entered into between the City of Ames, Iowa, an Iowa municipal corporation (“City”), and Mainstream Living, Inc. (“Mainstream Living”), an Iowa nonprofit corporation. WHEREAS, the City acquired the property located at 1417 Douglas Avenue due to long term abandonment and deterioration and borrowed funds from the City’s Affordable Housing Plan for the purchase, demolition and clearing of the property which had been determined to be a dangerous building; and WHEREAS, the City Council determined that selling the property to a nonprofit organization with restrictions on the use of the property for affordable housing is a public purpose that advances the goals and objectives the of the City and its Consolidated CDBG Plan; and WHEREAS, the price proposed by Mainstream Living of $36,012.00 is within the range of fair market value for the real property as required by Iowa Code 364.7(3) and fully reimburses the City’s Affordable Housing Program for the funds advanced to acquire and clear the property; NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: I CITY’S OBLIGATIONS A. Purchase of Property. The City owns the property legally described as Lot 4, Block 2, Ames, Story County, Iowa (also known as 1417 Douglas Avenue) (hereinafter “Property”) and will retain ownership of that Property until conveyed to Mainstream Living under the conditions described herein. 2 B. Access to Property. The City agrees to grant Mainstream Living immediate and continuing access to the property for the purpose of constructing an affordable housing structure upon the property. Access shall also be granted to Mainstream Living’s agents. C. Technical Assistance. Upon request, the City will provide technical assistance to Mainstream Living concerning compliance with the terms of this Agreement. D. Performance Monitoring. The City may inspect and monitor the performance of Mainstream Living to determine its compliance regarding the performance standards of this Agreement. Substantial nonperformance, as determined by the City, constitutes noncompliance with this Agreement. In the event this occurs, the City shall notify Mainstream Living of the noncompliance and provide a time limit to correct the noncompliance. E. Property Conveyance. The City shall convey title to the property by a Deed without Warranty (Quit Claim) for and in consideration of Mainstream Living’s completion of new construction on the property as described in this Agreement on or before December 31, 2020, and upon the payment of sums set out in Section II.A(1), herein. The deed conveying title shall be subject to a use restriction as set forth in section II.C(2) below. The City shall provide to Mainstream Living the existing abstract of title to the property in the possession of the City, but the City shall have no responsibility to pay any abstracting expenses. II MAINSTREAM LIVING’S OBLIGATIONS A. Compensation for Purchase. 1. Mainstream Living agrees to pay the City of Ames the sum of $36,012.00 for the Property. Mainstream Living agrees that it shall provide the full amount of the purchase price in the amount of $36,012.00 (100% of the purchase price) for the Property, at the time of the approval of this Agreement, which shall be nonrefundable. This payment shall be made to the City no later than 7 days after the approval of this agreement by the City, and shall be a pre-condition to Mainstream Living being granted access to the Property. Mainstream Living shall pay all transfer and recording expenses, including transfer tax, if any, permit fees and other expenses related to the conveyance of the Property. All abstracting costs shall be the responsibility of Mainstream Living, and the City shall have no responsibility whatsoever for any abstracting expenses. 2. In Kind Compensation. Mainstream Living agrees to provide all materials, labor and services as are necessary to construct the structure to the standards described in section II.B so that it is safe and habitable for residential use. 3 3. Property Improvements. Mainstream Living agrees to complete all construction included on Attachment A by this reference made a part hereof. Mainstream Living shall commence construction upon the property no later than July 1, 2020. All property improvements shall be completed on or before December 31, 2020. Mainstream Living further agrees that if it fails or decides to not to complete the improvements to the Property, the City of Ames will not reimburse Mainstream Living for any cost incurred for any improvements made to the Property. 4. Property Maintenance and Utilities. Mainstream Living shall be responsible for all maintenance for the Property (i.e., lawn care, snow removal, etc.) and shall have all utilities (electric, gas, water, and sewer), if any, transferred into its name within one calendar week from the date of this mutually signed Agreement. 5. Property Taxes. Property taxes until transfer of title to Mainstream Living will be the responsibility of the City of Ames. No property tax proration shall be required of the City at Closing. 6. As-Is Condition. Mainstream Living acknowledges that they have made a sufficient and satisfactory inspection of the Real Property and are purchasing the Real Property in its “as is” condition. If Mainstream Living elects to have a survey done on the property, the City shall have no responsibility to pay for any costs associated with the survey. B. Performance Standards. 1. The Property shall be constructed in compliance with all applicable state and local building codes and regulations, including necessary building permits as required. The development of any architectural designs, if necessary, for the project shall be the responsibility of Mainstream Living, subject to prior approval by the City. Mainstream Living shall submit new construction plans to the Planning and Housing Department and Building Inspections Division for written approval before applying for a building permit. 2. Mainstream Living shall provide certification in a form acceptable to the City that the activities carried out under this Agreement will meet the objective of benefitting low and moderate income persons as defined in 24 CFR 570.208. C. Completion Date and Terms. 1. Mainstream Living shall be permitted to commence construction upon payment to the City of the funds set forth in paragraph IIA(1) above to the City. Mainstream Living shall complete the construction of the Property by December 31, 2020. 2. Mainstream Living shall construct upon the Property a structure that is a five-bedroom, wheelchair accessible Group Home for the sole purpose of providing affordable housing and services for low income adults with intellectual disabilities. The structure 4 shall be occupied by low income adults with intellectual disabilities for a period of twenty-one years after the City transfers title to the property to Mainstream Living, and Mainstream Living shall cooperate with the City, as may be required, and execute a restrictive covenant limiting the use of the property as contemplated by this agreement. 3. Insurance. During the period of this Agreement, effective as of the start date of the project, Mainstream Living shall, at its own expense, procure and maintain all-risk property damage and liability insurance. For the term of this Agreement, Mainstream Living shall list the City as an additional insured on said property insurance. Property damage coverage shall not be less than the current market value of the Property. Liability coverage shall include contractual insurance as well as comprehensive form insurance, and shall provide coverages of not less than $1,000,000 bodily injury per person, $1,000,000 bodily injury per occurrence and $500,000 property damage. Mainstream Living shall furnish the City with a certificate of insurance. The insurance company providing the insurance must be licensed to do business in the state of Iowa and rated as A or better by A.M. Best. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party or reduced in coverage or in limits except after thirty (30) days prior written notice has been given to the City. The contractor shall also give at least thirty (30) days prior notice to the City, by certified mail, return receipt requested, of any coverage to be suspended, voided, canceled by either party or reduced in coverage or in limits. Mainstream Living shall provide Workers’ Compensation insurance coverage, as required by Chapter 85 of the Code of Iowa, for all employees involved in the performance of this Agreement. Mainstream Living shall furnish the City with certificates of insurance for all insurance required under this Agreement, upon request of the Housing Coordinator. D. Audits, Records, and Notices. 1. Prior to the approval of this Agreement by the City, Mainstream Living shall promptly furnish to the City for its review and approval a current audit of its annual financial statements. 2. Mainstream Living shall direct all notices, reports, insurance policies and other communications related to or required by this Agreement to the office of the City of Ames Department of Planning and Housing, Housing Coordinator, 515 Clark Avenue, Room 214, Ames, Iowa, 50010. Notice by both Mainstream Living and the City shall be given by ordinary mail. III NON-PERFORMANCE A. Performance Obligation. Until December 31, 2041, Mainstream Living shall, in a manner satisfactory to the City, fulfill its stated purpose as outlined in section II of this Agreement. B. Limitation on Assignment. 5 1. Mainstream Living shall not sell, assign or transfer any legal or equitable interest in the Property at any time prior to December 31, 2041, without written consent of the City. C. Default. In the event Mainstream Living defaults in the performance or observation of any covenant, agreement or obligation set forth in this Agreement, and if such default remains uncured for a period of thirty (30) calendar days after notice thereof shall have been given by the City to Mainstream Living (or for a period of sixty (60) calendar days after such notice if such default is curable but requires acts to be done or conditions to be remedied which, by their nature, cannot be done or remedied within such 30-day period and thereafter diligently and continuously prosecutes the same to completion within such 60-day period), the City may declare that Mainstream Living is in default hereunder and may take any one or more of the following steps, at its option: 1. By mandamus or other suit, action or proceeding at law or in equity, require Mainstream Living to perform its obligations and covenants hereunder, or enjoin any acts or things which may be unlawful or a violation of the rights of the City hereunder, or obtain damages caused by Mainstream Living by any such default. 2. Have access to and inspect, examine and make copies of all books and records of Mainstream Living which pertain to the project. 3. Take whatever other action at law or in equity which may appear necessary or desirable to enforce the obligations, covenants and restrictions of Mainstream Living hereunder, including a cancellation of this contract. No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right of the City to enforce the same or obtain relief against or recover for the continuation or repetition of such breach or violation, or any similar breach or violation thereof, at any later time or times. D. Events of Default. The following, by way of specification but not limitation, shall constitute events of default of this Agreement between Mainstream Living and the City: 1. The failure of Mainstream Living to comply with any of its obligations required by this Agreement, including a failure to construct and complete the structure required by this Agreement on or before December 31, 2020. 2. Mainstream Living causes or permits the Property to be damaged, in disrepair, the site of a public nuisance or otherwise the site of conditions that unreasonably interfere with the use and enjoyment of other properties in the vicinity, ordinary wear and tear excepted. 3. Mainstream Living causes unauthorized persons to reside in the property without written approval of the City of Ames. Unauthorized persons are persons who are not low income adults who have intellectual disabilities or employees of Mainstream Living who are providing service at the structure. 6 IV TERMINATION OF AGREEMENT FOR CAUSE If Mainstream Living fails to fulfill its obligations under this Agreement in a timely and proper manner, or if Mainstream Living violates any of the terms, agreements or stipulations of this Agreement, the City shall thereupon have the right to terminate this Agreement by giving written notice to Mainstream Living as provided in Iowa Code ch. 656. Mainstream Living shall have no right of reclamation or compensation for money paid or improvements made, if any, which shall be retained by the City as compensation for use of the Real Property, as liquidated damages, or both. Upon completion of forfeiture, the City may treat any person in possession as tenants holding over after the expiration of a lease and may remove them as provided by Iowa Code ch. 648 or any other legal or equitable remedy. V TERMINATION OF AGREEMENT FOR CONVENIENCE This Agreement may be terminated in whole or in part upon the mutual agreement of the parties hereto, in which case the City and Mainstream Living shall agree in writing upon the termination conditions, including the effective date, the disposition of contract amounts and, in the case of partial termination, the portion to be terminated. VI CONFLICT OF INTEREST Mainstream Living covenants that it has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of the services to be undertaken through this Agreement. VII ASSIGNABILITY Mainstream Living shall not assign or transfer any interest in this Agreement without the prior written approval of the City. Any assignment made without such consent shall be void. This Agreement shall be binding upon the parties and shall inure to the benefit of the successors and assigns of the parties hereto. VII HOLD HARMLESS PROVISION Mainstream Living shall indemnify, defend and hold harmless the City, its officers, employees and agents from all liability, loss, cost, damage and expense (including reasonable attorney’s fees and court costs) resulting from or incurred by reason of any actions based upon the negligent acts or omissions of Mainstream Living’s employees or agents during the performance of this Agreement. 7 The City shall indemnify, defend and hold harmless Mainstream Living, its officers, employees and agents from all liability, loss, cost, damage and expense (including reasonable attorney’s fees and court costs) resulting from or incurred by reason of any actions based upon the negligent acts or omissions of the City’s employees or agents during the performance of this Agreement. IX SEVERABILITY CLAUSE If any one or more of the provisions contained in this Agreement are held to be invalid, illegal or unenforceable, this Agreement shall be deemed severable and the remainder of the Agreement shall remain in full force and effect. X LIMITATIONS OF CITY LIABILITY – DISCLAIMER OF RELATIONSHIP The City shall not be liable to Mainstream Living, or to any party, for completion of or failure to complete any improvements, which are parts of the project. Nothing contained in this Agreement, nor any act or omission of the City or Mainstream Living, shall be construed to create any special duty, relationship, third-party beneficiary, respondent superior, limited or general partnership, joint venture or any association by reason of Mainstream Living’s involvement with the City. IN WITNESS OF THIS AGREEMENT the parties have executed this instrument under date of __________________________, 2020. BUYER: MAINSTREAM LIVING, INC. By: By: KATHY SCHNABLE, Board Chair STUART AMBROSE, Treasurer STATE OF IOWA, COUNTY OF STORY, SS.: This instrument was acknowledged before me on ___________________________, 2020, by Kathy Schnable and Stuart Ambrose, as Board Chair and Treasurer, respectively, of Mainstream Living, Inc. NOTARY PUBLIC SELLER: CITY OF AMES, IOWA By: Attest: John A. Haila, Mayor Diane R. Voss, City Clerk STATE OF IOWA, COUNTY OF STORY, SS.: This instrument was acknowledged before me on ________________, 2020, by John A. Haila and Diane R. Voss, as Mayor and City Clerk, respectively, of the City of Ames, Iowa, as authorized by Resolution No. ____________________, adopted on January ______, 2020. NOTARY PUBLIC 1 ITEM # 42 DATE: 01-14-20 COUNCIL ACTION FORM SUBJECT: AWARD CONTRACT FOR THE DURHAM BANDSHELL LIGHTING AND ELECTRICAL UPGRADES PROJECT BACKGROUND: This project is to upgrade the lighting and electrical equipment at the Durham Bandshell, which was built in 1935. MODUS, Des Moines, Iowa was hired to develop plans and specifications, prepare a cost estimate, and provide project management for the lighting and electrical upgrades. The base bid includes upgrading the main electrical service, interior restroom lighting, exterior building lighting, and shell lighting. The specifications include installation of a new 600-amp distribution panelboard and consolidating power. Interior restroom lighting includes upgrading to LED fixtures to reduce the electrical load and simplify future maintenance requirements. These fixtures will also be equipped with dual technology occupancy sensors (infrared and ultra-sonic) to change intensity when occupancy is detected. Existing exterior lighting around the south and east/west entries to the building and restrooms will be upgraded to LED fixtures. Additional lighting fixtures with integral photocells to dim and change intensity when occupancy is detected will be installed in these areas. The shell lighting replaces the existing four-circuit incandescent colored lamp system with new state of the art linear LED products that will have color changing capabilities. The project includes five potential bid alternates: • Alternate #1 is to provide a second 200-Amp Company Switch for hook-ups by outside vendors. • Alternate #2 is to demo original fused switches and recircuit the existing devices. • Alternate #3 provides one empty conduit for various audio/visual needs. • Alternate #4 adds stage lighting. • Alternate #5 upgrades all existing interior lighting (excluding restrooms) to LED fixtures. On November 26, 2019, City Council issued a notice to bidders with three bids opened on January 7, 2020. The base bids and alternates are summarized below. 2 Durham Bandshell Lighting and Electrical Upgrades Project: Bidder Base Bid Alt. #1 Alt. #2 Alt. #3 Alt. #4 Alt. #5 Total Bids with Alt. Electric, Inc., $136,500 $6,400 $4,700 $4,100 $29,200 $12,500 $193,400 Electric Co. $140,960 $7,100 $5,460 $3,780 $28,040 $10,740 $196,080 Electric, Inc., Des Moines, $199,530 $8,695 $8,115 $9,515 $28,785 $13,060 $267,700 The architect’s cost estimate for the base bid and alternates is as follows: Architect/Engineer’s Estimate: Amount Base Bid (shell, exterior, & restroom lighting and electrical) $129,719 Alternate #1 (second 200-Amp Company Switch) $ 7,080 Alternate #2 (demo original fused switches & recircuiting) $ 6,080 Alternate #3 (6” PVC conduit with pull string to Quazite boxes) $ 5,635 Alternate #4 (stage lighting) $ 29,686 Alternate #5 (interior building lighting excluding restrooms) $ 11,510 Contingency 10% $ 18,971 Architect/Engineering Services $ 17,880 Total Project Estimate $226,561 The FY 2015/16 Capital Improvements Plan (CIP) included $50,000 to replace the shell lighting and the FY 2017/18 CIP included $115,000 to upgrade the electrical equipment for a total of $165,000. These projects weren’t implemented in their originally programmed years due to a vacancy of the Auditorium/Bandshell Manager and a lack of staff expertise in these areas. If the base bid is awarded in the amount of $136,500 and the architect’s fees of $17,880 are added, the project total is $154,380, which leaves $10,620 to be used for contingency and/or alternates. Staff would prefer that Alternate #2, to demo original fused switches and re-circuiting the existing devices, be awarded as part of this bid. However, given this type of work, the project engineer is recommending that we maintain a 10% contingency for this project. Therefore, sticking with the base bid only at this time appears to be the most prudent alternative. 3 ALTERNATIVES: 1. Award a contract for the base bid of the Durham Bandshell Lighting and Electrical Upgrades Project to Jaspering Electric, Inc., Ames, Iowa in the amount of $136,500. This Alternative will leave $10,620 available for a 7.8% contingency. 2. Award a contract for the base bid ($136,500) and Alternate #2 ($4,700) of the Durham Bandshell Lighting and Electrical Upgrades Project to Jaspering Electric, Inc., Ames, Iowa in the amount of $141,200. This Alternative will leave $5,920 available for a 4.2% contingency. 3. Accept the report of bids, but do not award a contract at this time and provide direction to staff as to how to proceed. 4. Reject all bids and direct staff to rebid the project at a future date. CITY MANAGER’S RECOMMENDED ACTION: The proposed project will address safety concerns, code issues, and replace outdated lighting with LED fixtures. With the Durham Bandshell being an important entertainment venue in the community since 1935, it is important to update infrastructure to ensure it provides a quality, safe experience for users. Therefore, it is the recommendation of the City Manager that the City Council approve Alternative #1 as stated above. Perhaps after the work on the project has progressed to a point where it is apparent that no contingency will be needed, staff will request a change order to accomplish Alternate #2. ITEM # ___43___ DATE: 1/14/20 COUNCIL ACTION FORM SUBJECT: CYRIDE 2020 HVAC IMPROVEMENTS PROJECT BACKGROUND: The CyRide 2020 HVAC Improvements Project (Bid No. 2020-069) was released on November 26, 2019. Bid plans and specifications called for the replacement of outdated facility heating, ventilation, and air conditioning (HVAC) equipment. Bids were due on January 7, 2020. Two bids for the project were received from area companies. As report of bid documents were being finalized for the governing bodies of CyRide, staff was made aware that only one HVAC controls system was specified and that there was only one supplier for the specified system in the area. This oversight in the project specifications led to an overly restrictive bid. A miscommunication between CyRide staff and a project engineer during the preparation of project documents led to the error. After reviewing the matter with CyRide’s A&E consultant and the Purchasing Agent, it was decided the best course of action would be to reject all bids and rebid the project after specifications were revised. Rebidding the project at a later date with a revised specification would allow for full and open competition for the project. ALTERNATIVES: 1. Reject the final plans and specifications for the CyRide 2020 HVAC Improvements Project and reject all bids for Bid No. 2020-069 due to an overly restrictive project specification. Reissue the project after revisions have made to the specifications. 2. Approve the lowest bid from one of the two companies that submitted bids. CITY MANAGER’S RECOMMENDED ACTION: Alternative No. 1 will allow CyRide to revise the project bid specification to allow for full and open competition. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, thereby rejecting final plans and specifications, and all bids for Bid No. 2020-069, for construction of the 2020 CyRide HVAC Improvement Project. Planning and Housing Department 515.239.5400 main 515 Clark Ave. P.O. Box 811 515.239.5404 fax Ames, IA 50010 www.CityofAmes.org TO: Mayor and City Council FROM: Kelly Diekmann, Planning & Housing Director; Cory Scott and Marty Shukert, RDG DATE: December 17, 2019 SUBJECT: Ames Plan 2040 Scenario Selection City Council directed RDG to prepare four independent directional growth scenarios that could accommodate a population of approximately 15,000 additional people within the City of Ames. RDG presented initial concepts to the City Council at a workshop on July 16th. The scenarios were geographically located to the west, north, east, and south. The scenarios included different land use patterns and highlights of growth opportunities and potential constraints. City Council tasked the Ames Plan 2040 Team to work on refining the scenarios and preparing detailed analysis of infrastructure and service issues for the areas. Additionally, Council asked for the team to look at flexibility of growth areas and identify readily developable areas and other “tiers” of growth that could be supported. The complete evaluation of the growth scenarios and “tiers” will be the topic of discussion for the City Council’s next workshop on December 19th. In preparation for this upcoming meeting, City Council asked for general feedback on what issues or priorities may help the Council evaluate the merits of the individual scenarios. The following is a list reflects considerations that RDG and staff have incorporated into our evaluation of the scenarios. City Council could utilize these same consideration in its evaluation of scenarios and options for the Ames Plan 2040 preferred land use discussion. The following list is in no particular order. Caring People Quality Programs Exceptional Service Item No. 44 Scenario Considerations • Infrastructure capacity and public service costs o Up-front investment costs by City o Long term total investment costs by the City o Is there overall value and desirability, not just a low cost to serve? • Does development cause significant negative externalities to existing areas within the City, such as traffic patterns, sewer capacity utilization, etc. • Would an area have comparatively fewer environmental impacts or have higher preforming sustainability attributes, for example: o Lower vehicle miles travelled (VMT) per person o Natural area buffering/protection o Flood plain risk/protection • Does the planned level of growth create a complete neighborhood or district? o Can it accommodate public facilities, such as a school or parks, commercial development, housing variety? • Would developing a growth area facilitate community improvements or additional amenities that otherwise may not be realized, for example: o Open Space/Recreation Areas o Expanded or commercial opportunities o Upgraded roadways • Does an area identified for growth support a diverse development pattern and compliment the character of Ames? • Does the transportation system support both automobiles and alternative modes of transportation? o Future transit service o Bicycling and walking connections • Market interest and demand o How does an area fit into or serve regional needs and job locations? o Will the planned housing make Ames competitive in attracting new workforce households? o Does it support or reinforce economic development goals for expansion of private industry and business within the City? o Is an area marketable for developers for the identified uses? • Future Expansion and Planning o Can an area be expanded in the future and build upon initial investments; does it support long-term growth to 2050 and 2075? o Preserve future expansion areas that are not initially developed City Council Workshop #7 December 19, 2019 Ames Comprehensive Plan page 1 Agenda 1.Directional Scenario Evaluation a.North Growth b.East Growth c.South Growth d.West & Southwest Growth 2.Tiers Testing a.Review combinations of growth for many areas 3.Discussion and Next Steps for Selecting Preferred Land Use Plan Draft a.Directional or Tiered approach b.Prepare land use designations in selected area(s) and existing city for Draft Future Land Use Map, including housing and commercial development categories, uses, densities page 2 Scenario Evaluation Task 1.Directional Scenario Evaluation a.Presented development concepts in July for 15,000+/-people in four areas i.Initial concepts intended to reflect various housing, environmental, and commercial interests b.Used City models to evaluate serviceability issues related to the direction of growth for specific needs: a.Water b.Sanitary Sewer c.Public Safety (Fire) d.Transportation page 3 Scenario Development Concepts page 4 Concept Refinement page 5 Scenario Evaluation Task 2. Tiers of Development Within Scenarios a.Due to major infrastructure needs, divided areas into readily serviceable “Tiers” b.Provided estimates of needed infrastructure for buildout of the Tiers in total c.No revisions to the initial land use concepts were made to address Tiers at this time 1 page 6 Infill sites surrounded by existing urban development New development areas served by existing infrastructure or relatively low -cost incremental extensions New development areas within urban services area requiring new infrastructure or substantial extensions Guiding Principles: Development Sequencing page 7 Development Tiers Tier 1 Tier 2 Tier 3 Tier 4 page 8 Guiding Principles: Development Tiers TIER 1 •Infrastructure is immediately available or achievable with short, incremental extensions. •Street and trail connections are immediately available. •Market precedents are clearly established and demonstrated. •Job centers and commercial support are immediately accessible. TIER 2 •Infrastructure is available with extensions of existing lines under ½ mile. •Existing street network or spine trails are accessible, but require substantial extensions. •Job centers and commercial support are reasonably accessible, but not directly adjacent. •Market support is demonstrable but some “pioneering” element is required. TIER 3 •Within urban services area, but requires significant pioneer infrastructure. •New street corridors are necessary to provide adequate service. •Regional arterial and interstate routes are available, but require a major facility investment (e.g. interchange) •Currently, relatively remote and not contiguous to existing urban development. •Requires significant reach into a new geographic market. •Consistency with long-term urban development goals. •New community and commercial service centers are required. TIER 4 •Ultimate very long-term development but outside of current urban services area. •Requires major redirection of local land use or ownership patterns. •New community and commercial service centers are required.page 9 Tier Analysis Road Classifications page 10 Tier Analysis Existing Water Distribution page 11 Tier Analysis Existing Sanitary Sewer page 12 Tier Analysis Existing Storm Sewer page 13 Notes For Scenario Tiers: •Analysis and projects identified here are key components needed to serve identified growth areas. •These projects are likely in addition to other necessary infrastructure or transportation system improvements that provide benefits to both existing areas and proposed new development areas. •Growth in these areas may have impacts on the existing developed city, creating a need for other projects within the currently built-up area of Ames. •The projected costs do not indicate that the City of Ames would be responsible for identified costs. The City has certain policies in place regarding development and infrastructure costs that are not addressed as part of this evaluation of service needs. page 14 Notes For Scenario Tiers: Technical Assumptions for modeling o Assumed Industrial growth as a “background” condition, meaning scenario outcomes are on top of growth related to the industrial areas and other general growth in the area o The traffic analysis relied upon the 2040 transportation model used for the current Long Range Transportation Plan by adding in modified growth assumptions for the identified scenarios, and deleting growth in the Northwest Area along North Dakota o Water and Sewer models based on current conditions and growth was added or loaded into the model o Fire response modeling assumed relocation of Station 2 to the west would occur regardless of growth direction per previous discussions, response time standard applied was for 85% of citywide calls as a Fire Department performance goal o Projected costs are in 2019 dollars page 15 Tier Analysis-Transportation Map with Population Estimates Served Notes-highlighted segments indicate road improvements associated with a Tier Tier 1 Tier 2 Tier 3 Tier 4 page 16 North Growth Area Summary Tier 1 Tier 2 Tier 3 Water Distribution mains throughout Tier 1. ($1.0M) Distribution mains throughout Tier 3. ($1.5M) Distribution mains throughout Tier 3. ($4.3M) May require pressure boost to support higher service elevations. Does not have negative impact on existing distribution system. ($4.0M for water tower) Sanitary Collection mains throughout Tier 1. ($2.1M) Collection mains throughout Tier 2. ($2.5M) Collection mains throughout Tier 3. ($7.3M) Reduces available capacity in 36” trunk line on “Access to City Wells” between Lincoln Way and Hwy 30*. The future growth with East and North will have a compounding effect on this area. Note: Green dash lined shown as proposed alternative, not needed to support projected growth * Will discuss implications more in presentation page 17 North Growth Area Summary Tier 1 Tier 2 Tier 3 Storm New storm along GW Carver extension New storm for transportation improvements New storm for transportation improvements Transportation Traffic Calming on Hyde Ave Corridor ($1M) Extend 3-lane GW Carver through growth area ($6M) Extend 4-lane urban widening on Grand / US 69 through growth area ($12M) 3-lane widening: •190th St ($15M) •Riverside (Grand to Dayton) ($15M) •Dayton (Riverside to Lincoln Way) ($18M) Alternate route to Hyde (neighborhood impacts) ($6M) Public Safety Need Fire Station to meet citywide goals $6 million for constructing and equipping station, plus personnel page 18 East Growth Area Tier 1 Tiers 3 and 4 Water Distribution mains throughout Tier 1. ($0.5M) Distribution mains throughout Tiers 3 and 4. ($4.0M) Observed head-loss in transmission lines to new growth area. May require new water tower or pressure boost to support new service elevations. Filling tank in off peak hours may alleviate observed head-loss concerns in existing system. ($4.0M for water tower) Sanitary Collection mains throughout Tier 1. ($2.1M) Collection mains throughout Tiers 3 and 4. ($9.0M) Reduces available capacity in 36” trunk line on “Access to City Wells” between Lincoln Way and Hwy 30. Full build out (depending on industry loading) may require new trunkline south to the treatment plant. ($21.0M) page 19 East Growth Area Tier 1 Tier 3 Tier 4 Storm Extend storm sewer along 13th Street Extend storm sewer along 13th Street Maintain drainage way as flowage easement Transportation Extend 4-lane 13th Street to Tier 1 growth area ($8M) Extend 4-lane 13th Street farther east to Tier 3 growth area ($16M) Reconstruct I-35 / 13th Street interchange ($18M) Widen 13th Street to 6- lane divided from Dayton to east of I-35 interchange ($8M) Consider new Riverside / 200th Street corridor and overpass of I-35 ($9M) Public Safety No station directly required to meet overall city goals. However, most if not all of the area is outside of 5 min. 30 sec. response time page 20 South Growth Area Tier 1 Tiers 2 and 3 Water Distribution mains throughout Tier 1. ($1.1M) Distribution mains throughout Tier 2. ($3.8M) Distribution mains throughout Tier 3. ($1.9M) Full build out creates velocity concerns in the 14” main along S Duff avenue from Airport Rd to the connection point for the future growth area. Larger diameter transmission or redundant connection points would alleviate stress on existing distribution system. Sanitary Collection mains throughout Tier 1. New connection point to existing trunkline. ($3.2M) Collection mains throughout Tier 2. ($2.3M) Collection mains throughout Tier 3. ($3.3M) page 21 South Growth Area Tier 1 Tier 2 Tier 3 Storm New storm sewer with street extensions Maintain drainage way between US 69 and 550th Ave. New storm sewer with street extensions New storm sewer with street extensions Transportation Extend 4-lane divided Duff Avenue to Tier 1 Growth area ($16M) Widen Duff Ave to 6- lanes from S 16th Street to Airport Road ($6M) Reconstruct US 30 / Duff Ave Interchange ($18M) Consider extension of Grand Avenue to Airport Road to relieve Duff Avenue congestion between Airport Road and South 16th St ($16M) Extend 6-lane Duff Ave to approximately Jewel Drive (~1 mile of 6-lane) ($12M) Widen County E57 as 3-lane roadway and extend to 260th Street ($18M) Add I-35 / E57 (260th Street) Interchange Ramps ($4M) Public Safety Good coverage due to existing Station 3 page 22 Southwest Growth Area Tier 2 Tier 3 Water Distribution mains throughout Tier 2. ($2.6M) Distribution mains throughout Tier 3. ($1.8M) Great pressure and service due to proximity to MAC Tank. Sanitary Requires 7,400’ sewer extension into Tier 2 to connect to existing system along Worle Creek. ($2.8M) Collection mains throughout Tier 2. ($6.3M) Collection mains throughout Tier 3. ($4.8M) Does not create capacity concerns. page 23 Southwest Growth Area Tier 2 Tier 3 Storm Maintain Worle Creek drainage way New storm sewers for street conversions Maintain Worle Creek drainage way New storm sewers for street conversions Transportation 3-lane urban conversion of Y Avenue and 240th Street in Tier 2, maintaining existing Highway 30 overpass ($9M) Turn lanes and improved intersection control at US 30/Lincoln Way/X Ave intersections ($3M) 3-lane urban conversion of X Avenue and 240th Street in Tier 3 ($15M) Reconstruct US 30 / Lincoln Way and US 30 / X Ave interchanges ($20M) Public Safety No additional station needed with relocation of Station 2 page 24 West Growth Area Tier 1 Tiers 2 and 3 Water Distribution mains throughout Tier 1. ($1.0M) Distribution mains throughout Tier 2. ($2.1M) Distribution mains throughout Tier 3. ($2.6M) Great pressure and service due to proximity to MAC Tank. Sanitary Collection mains throughout Tier 1. ($4.5M) Current project to address existing I/I concerns in downstream of Munn Woods. Collection mains throughout Tier 2. ($3.4M) Collection mains throughout Tier 3. ($5.4M) Downstream Capacity Concerns with Tier 3 growth. Could require collection main connection to Southwest growth area and lift station at additional cost not yet included. page 25 West Growth Area Tier 1 Tier 2 Tier 3 Storm Maintain drainage way and wetlands east of Y Avenue New storm sewer with street extensions Maintain drainage way between Y Avenue and X Avenue New storm sewer for street widening and extensions Maintain drainage way north of Ontario Street New storm sewer for street widening and extensions Transportation Extend 4-lane divided Lincoln Way west to Tier 1 Growth area ($8M) Extend 3-lane Ontario west to Tier 1 Growth area ($6M) Widen Y Avenue to 3- lanes from Ontario to Tier 2 Growth area south boundary (south of 240th St) ($12M) Widen 240th Street to 3-lanes through Tier 2 Growth Area (~1.5 miles) ($9M) Extend 4-lane divided Lincoln Way west to Tier 2 Growth area ($16M) Extend 4-lane divided Lincoln Way west to Tier 3 Growth area ($2M) Widen X Avenue to 4- lanes through Tier 3 Growth Area ($12M) Reconstruct US 30 / Lincoln Way and US 30 / X Ave interchanges ($20M) Public Safety No additional station needed with relocation of Station 2 page 26 For Comparison: All 2040 Growth in One Center $101.7m $99.6m $105.6m $65.3m $104.0m Tier 1 Tier 2 Tier 3 Tier 4 page 27 Infrastructure Cost Comparison of Scenarios by Infrastructure North East South Southwest West Water $10.8 $8.5 $6.8 $4.4 $5.7 Sanitary $11.9 $32.1 $8.8 $13.9 $13.3 Transportation $73.0 $59.0 $90.0 $47.0 $85.0 Fire Station $6.0 Total $101.7 $99.6 $105.6 $65.3 $104.0 Note: Costs in millions 2019. page 28 Infrastructure Cost Comparison by Tier Note: Costs in millions 2019. Area Tier 2 Tier 3 Tier 4 TOTAL North $ 16.1 $ 4.0 $ 81.6 $ 101.7 East $ 10.6 $ 72.0 $ 17.0 $ 99.6 South $ 20.3 $ 46.1 $ 39.2 $ 105.6 Southwest $ 23.7 $ 41.6 $ 65.3 West $ 19.5 $ 42.5 $ 42.0 $ 104.0 TOTAL $ 66.5 $ 116.3 $ 276.4 $ 17.00 $ 476.2 page 29 Traffic Modeling Outcomes Note: Addresses travel on primary streets that are part of the Transportation Model network, does not include local streets Scenario 4 is a compilation of West and Southwest as one scenario Area North East South West page 30 Public Feedback-Online Commenting Tool East •Comments for and against growth in this area. •Too far away from existing city •Like the village concept. Also heard that it was too suburban. •Good access to interstate. •Concern about environmental impacts. West •Generally favorable responses. •Concern about crossing over to Boone County. •Good access to highway. Southwest •Comments for and against growth in this area. •Concern about proximity to ISU farms. •Concern about crossing over to Boone County. •Good access to highway. North •Concern about traffic congestion and access to highways. •Already growing towards the north. •Like greenway connections. •Concern on influence to watersheds/ wetlands/ erosion/ farmland/ prairie. •Not Ames School District South •Mostly favorable responses. •Positioned well to commute to Des Moines and Ankeny. •Concern about parallel road to Duff and adjacency to greenspace. •Desire to retain nursery. •Concern about proximity to airport. •Concern about connection to interstate and environment. page 31 Tier Options 1.Review different combinations of Tiers a.Based upon modeling analysis of each scenario b.Calculated population served based upon original land use scenarios page 32 Tier Combination Options Population Yield: 15,673 Population Yield: 15,629 Population Yield: 14,796 Population Yield: 15,796 Population Yield: 16,773 Population Yield: 16,254 Tier 1 Tier 2 Tier 3 Tier 4 page 33 Scenario Evaluation. S1: Multi-Directional Tier 1 North (T1) Dist Mains San Collection Mains Hyde Corridor Calming 3-lane GW Carver Subtotal East (T1) Dist Mains San Collection Mains 13th St extension Subtotal South (T1) Water dist mains $ 1.1 San connection mains a nd connection point $ 3.2 Duff 4-lane extension $16.0 Subtotal $28.3 West Water dist mains $ 1.0 San collection mains $ 4.5 4-lane Lincolnway $ 8.0 3 lane ontario $ 6.0 Subtotal $19.5 Additional Fire Station $ 6.0 TotalPopulation Yield: 15,673 Tier 1 Tier 2 Tier 3 Tier 4 page 34 Scenario Evaluation. S1: Multi-Directional Tier 1 with Potential Infill Areas North (T1) Dist Mains San Collection Mains Hyde Corridor Calming 3-lane GW Carver Subtotal East (T1) Dist Mains San Collection Mains 13th St extension Subtotal South (T1) Water dist mains $ 1.1 San connection mains a nd connection point $ 3.2 Duff 4-lane extension $16.0 Subtotal $28.3 West Water dist mains $ 1.0 San collection mains $ 4.5 4-lane Lincolnway $ 8.0 3 lane ontario $ 6.0 Subtotal $19.5 Additional Fire Station $ 6.0 TotalPopulation Yield: 15,673 Tier 1 Tier 2 Tier 3 Tier 4 page 35 Scenario Evaluation. S2: North + West Population Yield: 15,673Population Yield: 15,629 Tier 1 Tier 2 Tier 3 Tier 4 page 36 North (T1) Dist Mains $ 1.0 San Collection Mains $ 2.1 Hyde Corridor Calming $ 1.0 3-lane GW Carver $ 6.0 Subtotal $10.1 West (T1+T2) Dist Mains $ 3.1 San Collection Mains $ 7.9 Lincolnway T1 ext $ 8.0 Ontario $ 6.0 Y Ave $12.0 240th widening $ 9.0 Lincolnway T2 extension $16.0 Subtotal $62.0 North T2 Dist mains $ 1.5 Water tower $ 4.0 San Collection Mains $ 2.5 Subtotal $ 8.0 Additional Fire $ 6.0 Total $ 86.1 Scenario Evaluation. S3: North + West + East Population Yield: 14,796 North (T1) Dist Mains $ San Collection Mains $ Hyde Corridor Calming $ 3-lane GW Carver $ Subtotal $10.1 West (T1) Water dist mains $ San collection mains $ 4-lane Lincolnway $ 3 lane ontario $ Subtotal $19.5 North T2 Dist mains $ Water tower $ San Collection Mains $ Subtotal East Dist Mains $ San Collection Mains $ 13th St extension $ Subtotal $10.6 Additional Fire $ 6.0 Total $ 54.2 Tier 1 Tier 2 Tier 3 Tier 4 page 37 Scenario Evaluation. S4: North + West + South Population Yield: 15,796 North (T1) Dist Mains San Collection Mains Hyde Corridor Calming 3-lane GW Carver Subtotal $10.1 West (T1) Water dist mains San collection mains 4-lane Lincolnway 3 lane ontario Subtotal $19.5 North T2 Dist mains Water tower San Collection Mains Subtotal South Water dist mains $ 1.1 San connection mains and connection point $ 3.2 Duff 4-lane extension $16.0 Subtotal $20.3 Additional Fire Station $ 6.0 Total Tier 1 Tier 2 Tier 3 Tier 4 page 38 Scenario Evaluation. S5: North + Southwest Population Yield: 16,773 North (T1) Dist Mains $ 1.0 San Collection Mains $ 2.1 Hyde Corridor Calming $ 1.0 3-lane GW Carver $ 6.0 Subtotal $ 10.1 West (T1) Water dist mains $ 1.0 San collection mains $ 4.5 4-lane Lincolnway $ 8.0 3 lane ontario $ 6.0 Subtotal $ 19.5 Southwest T2 Dist Mains $ 2.6 Worle Crk San ext $ 2.8 Collection mains $ 6.3 Y Ave conversion $ 15.0 US 30 intersections $ 3.0 Subtotal $ 29.7 Additional Fire Station $ 6.0 Total $65.3 Tier 1 Tier 2 Tier 3 Tier 4 page 39 Scenario Evaluation. S6: North + South Population Yield: 16,254 North (T1) Dist Mains $ San Collection Mains $ Hyde Corridor Calming $ 3-lane GW Carver $ Subtotal North T2 Dist mains $ Water tower $ San Collection Mains $ Subtotal South (T1) Water dist mains $ San connection mains /connection point $ Duff 4-lane extension $ 16.0 Subtotal $ 20.3 South (T2) Water dist mains $ San collection mains $ 6-lane Duff $ Interchange $ 18.0 Subtotal $ 30.1 Additional Fire Station $ 6.0 Total Tier 1 Tier 2 Tier 3 Tier 4 page 40 Recap of Tiers $ 74.5m $ 86.1m $ 54.2m $ 63.9m $ 65.3m $ 74.5m 15,673 15,629 14,796 15,796 16,773 16,254 Tier 1 Tier 2 Tier 3 Tier 4 page 41 Discussion and Next Steps 1.Ames has more than one direction to grow. 2.Include strategies that plan for both short-and long- term growth, including preserving future growth areas that are not selected initially. 3.The lowest cost option may not be the best option for the City’s vision overall. 4.Preferences for individual areas, include regional access, marketability, sustainability, cost to serve, provision for long term growth solutions, infill, etc. 5.Updating the future land use map concept may need to occur to address the balance of housing and commercial needs with selected area. Summary page 42 Discussion and Next Steps •Public Input Session with City Council-January 7, 2020 •Feedback on growth concepts for drafting a Preferred Land Use Map •Land Use/Transportation Principles Feedback (Comments to staff, January 10th) •Determination of Scenario Direction by City Council- January 14, 2020 •Next Discussion Issues: •Future Land Use Map and designations •Housing, Neighborhoods, Sub-Areas-Vision and Principles Next Steps page 43 City Council Workshop December 19, 2019 page 44 APPENDIX A: PUBLIC INPUT D E C E M B E R < < 2 0 1 9 CONTENTS 4 Planning Process 6 Initial Themes Input 22 Engagement Data: In-Person Activities 43 Engagement Data: Online Activities 95 Direct Correspondence PLANNING PROCESS 5 A M E S C O M P R E H E N S I V E P L A N PLANNING PROCESS January 2019 February 5th May 28th April Public Kick-off Meeting Ames Public Library Draft Elements Public Kick-off Meeting ISU Research Park Design Studio Neighborhood Association Event ISU Campus Student Engagement Event Campus Pop-ups (4) Online Questionaire | 500+ Participants July September August 22nd 186 March 7th # June Concepts Concepts Online Mapping Tool Scenario Open House and Subarea Studios October December January February Draft Refined Scenarios November City Completing Infrastructure Models Infrastructure Testing City Council Forum May 2020 6 17 February 21st February 25th 56 February 26th - 28th35 10 ~50 ~50 March 13th March April Mapping ToolParticipants Discussion GroupsPublic Events DISCOVER CONCEPTS PLAN DOCUMENT 6 A M E S C O M P R E H E N S I V E P L A N INITIAL THEMES INPUT 7 A M E S C O M P R E H E N S I V E P L A N ORGANIZATION Prior to the launch of Ames Plan 2040, initial themes were defined by City Council and incorporated into the city’s Request for Proposals. While these initial themes provided guidance to the public and consulting team at the project’s inception, they should not be confused with the plan’s organization or principles. Early input from the community was organized into these themes to frame the future direction for the comprehensive plan. As the process diagram shows, input and feedback relied on the following activities: k City Council Workshops k Open House Kick-off k Discussion Groups k Pop-up Stations (ISU Campus) k Open House Growth Concepts k City Council forums k Online Questionnaires INITIAL THEMES The initial themes for Ames Plan 2040 are the starting point for its ideas, policies, and recommendations. These initial themes reflect the topics that need to be considered to frame the Vision Statements and Principles within each of the plan’s elements. The material in this section was prepared from the early months of input and shared with City Council in Spring 2019. INITIAL THEMES FOR STUDY k Expansion of the City k Opportunities for infill development k Future demand for housing and commercial use k Sustaining neighborhoods k Support of social and cultural connections k Transportation choices k Sustainability k Well-being and healthy living k Subarea planning k Urban fringe management 8 A M E S C O M P R E H E N S I V E P L A N THEME: EXPANSION OF THE CITY Discussions about city expansions fell into three topics: k Growth Strategies. Participants generally agree that growth comes in many forms and is not negative. However, resources in terms of available land, infrastructure, and public services are limited. Growth in all directions is seen as more favorable over growth in one direction. Also, infill development and redevelopment are considered ways to alleviate growth pressure. Growth to the north aligns with growth already occurring within the county, while growth to the south is closer to Highway 30 and convenient for households with commuters. The plan needs to identify locations for growth, density, and ability to sustain itself as a neighborhood. k Proactive Infrastructure Investment. People feel that Ames is prime to grow and has the tools to do so. To meet the needs of the future and grow responsibly, participants feel that public investments in infrastructure need to be proactive, not reactive. Infrastructure improvements ahead of development is perceived to help manage the cost of housing, reduce the risk for development, and help direct growth. k Grow Partnerships. Participants acknowledge that many organizations in Ames will contribute to the city’s growth, and encouraged the planning team to consider these partnerships when developing growth scenarios for the future. Key partnerships with the City and planning team include the University, Story County, and school districts. Survey Excerpts: SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Land Use and the Environment? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Location of new growth and expansion of the City 14%19%30%29%4%5% Locations of new growth and rural subdivisions, near the City (within 2 miles)11%18%31%25%4%11% SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Economic Development? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Prospects for future growth 1%10%19%38%17%15% 9 A M E S C O M P R E H E N S I V E P L A N What make you excited about the future of Ames? “Continued growth of city and redevelopment along Lincoln Way” “City Council and leadership has provided clear direction to better plan for growth and development over the past several years...” “With private sector job growth and available land for housing growth, Ames has a bright future ahead of itself” What challenges do you see for the future of Ames? “Being a thriving community without relying on the “economic growth at any cost” model of development....” “...With the university owning so many large plots of land all over, it makes a balanced approach to growth difficult...” “Thoughtful growth within budget” “Growth. The city was not designed for the growth it has had.” “Some in our community are afraid of change and fear growth which is necessary for a thriving community in today’s world” SURVEY: Do you have an area of the City that you believe would be desirable for new development in the next 20 years? STRONGLY AGREE AGREE NEUTRAL DISAGREE STRONGLY DISAGREE West Ames (HWY 30, Lincoln Way to Union Pacific railroad), including into Boone County 14%32%40%9%5% Southwest Ames (south of HWY 30, South Dakota Avenue)13%34%35%10%9% Northwest Ames (Union Pacific railroad north to Cameron School Road)10%33%36%14%7% North Ames (GW Carver Avenue and 190th Street)10%31%35%17%7% East of I-35, along 13th Street 12%30%34%16%8% East of I- 35, south of Highway 30 7%23%39%19%12% South Ames, along HWY 69 and south of the airport 11%33%34%17%5% Focus on infill/redevelopment options 40%29%24%4%2% Survey Excerpt: 10 A M E S C O M P R E H E N S I V E P L A N SURVEY: What do you believe would enhance the quality of life and the community of Ames over the next 20 years? VERY IMPORTANT IMPORTANT NO OPINION SOMEWHAT IMPORTANT NOT IMPORTANT Additional housing option 32%35%15%10%8% SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Housing? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Housing quality and desirability of single-family homes 6%15%26%41%7%4% Housing quality and desirability of apartment housing 5%10%23%38%15%8% Affordability of housing 24%30%29%12%2%3% Supply of ownership housing 9%25%27%17%3%19% Supply of workforce and market-based rental housing 11%17%23%17%5%27% Supply of student-marketed housing (off-campus)2%6%14%31%31%16% Supply of affordable (low-income) housing 29%22%16%6%2%25% Supply of senior housing 8%13%18%22%7%32% THEME: OPPORTUNITIES FOR INFILL DEVELOPMENT People perceive that growth and infill development are important to create a vibrant community. Both can happen simultaneously to improve the community, provide opportunities for new housing types, and create quality neighborhoods. Participants have a strong desire to see development for the North Grand Mall area and Downtown Gateway area. Survey Excerpts: SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Land Use and the Environment? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Integrating infill and redevelopment projects 11%23%29%17%3%16% SURVEY: Do you have an area of the City that you believe would be desirable for new development in the next 20 years? STRONGLY AGREE AGREE NEUTRAL DISAGREE STRONGLY DISAGREE Focus on infill/redevelopment options 40%29%24%4%2% 11 A M E S C O M P R E H E N S I V E P L A N Commercial Needs Stakeholders indicate that the existing model for commercial uses is changing as consumers increasingly shop online. While additional commercial space will be needed in Ames as growth occurs, less may be needed than projected under old models. Additionally, the 1997 plan has a disconnect between the intended commercial areas and the areas where the market supports commercial uses. Participants want to see a future in Ames where existing commercial spaces are at full occupancy and new commercial opportunities develop where ad how they can be most successful. Some comments suggested that public policies need to support legitimate market forces, and when appropriate, incentivize vibrant and high character developments. Survey Excerpts: SURVEY: Are there existing developed areas of the City that you envision positively changing or redeveloping in the next 20 years? STRONGLY AGREE AGREE NEUTRAL DISAGREE STRONGLY DISAGREE West Lincoln Way, west of Campus 19%42%32%5%2% East Lincoln Way, east of South Duff 20%38%35%7%- Central Ames 19%33%40%7%2% North Grand Mall 31%42%20%5%2% Campustown 24%38%29%9%1% Downtown, north of Union Pacific Railroad 22%32%34%9%2% Downtown Gateway Area, south of Union Pacific Railroad 26%38%29%6%2% Commercial areas along South Duff and Southeast 16th Street 14%40%37%8%1% Industrial areas along Dayton Avenue 13%35%42%9%1% SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Economic Development? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Retail quality and variety 9%22%28%35%6%1% Sample Comments: What make you excited about the future of Ames? (sample comments) “I feel like we’ve escaped an overabundance of big box stores. Online shopping is reducing the need for them here. Smaller, local retail is thriving.” What challenges do you see for the future of Ames? (sample comments) “We’re losing our retail options. We need retail or it’s all going to be Ankeny, Des Moines, and online. We need to attract retail other than big box.” “Too much retail space. Some is attributed to mixed-use requirement of ground floor commercial.” 12 A M E S C O M P R E H E N S I V E P L A N SURVEY: The City needs more of the following types of commercial establishments. (agree or disagree) STRONGLY AGREE AGREE NEUTRAL DISAGREE STRONGLY DISAGREE Furniture 15%40%32%10%2% Home goods/furnishings 19%39%30%11%1% Convenience stores and gas stations 2%12%40%40%7% Sit down national and regional restaurants 12%32%26%24%6% Quick service national and regional restaurants/cafes 5%17%31%39%8% Local restaurants/cafes 45%46%8%1%- Entertainment and sporting facilities 18%36%33%10%2% Bars/brewery/distillery/winery 18%30%33%15%3% Apparel/shoes 15%31%38%14%2% Sporting goods 19%30%36%13%2% Local/boutique/specialty retail 15%41%36%7%1% General Merchandise/warehouse/big box 7%17%36%32%9% Automotive service and repair 2%14%52%25%7% Pharmacy and convenience commercial 1%12%54%28%4% Grocery 6%18%41%32%3% Coffee shops 11%27%42%19%1% Party supplies 2%7%55%27%7% Electronics/technology 5%25%45%21%3% SURVEY: Select up to four of the most important aspects of choosing to live in Ames. If you do not live in Ames currently, why would you live in Ames? Bottom Three Responses % Availability of shopping, dining, and retail services 16% Neighborhood and social ties 13% Housing choices 11% SURVEY: As the City grows and changes over the next 20 years, please indicate which changes you view as advantages to improve the quality of life? (select up to three) Top Three Responses % Additional retail/shopping/dining options 36% Increased employment and economic options 31% Environmental protection of sensitive areas 30% 13 A M E S C O M P R E H E N S I V E P L A N THEME: FUTURE DEMAND FOR HOUSING & COMMERCIAL USES Participants perceive that there will be increased demand for future residential uses and decreased demand for commercial uses. Participants perceive that consumer spending patterns will continue to change and influence the current model for commercial development. Additionally, participants acknowledge Ames’ strong employment base and see it as an asset for the future success of the community. As the employment base and population grow, there will be a logical need to support this growth with commercial uses. SURVEY: As the City grows and changes over the next 20 years, please indicate which changes you view as advantages to improve the quality of life? (select up to three) % Additional retail/shopping/dining options 37% Increased employment and economic options 32% New and more diverse housing choices 29% Support of the school systems 29% Reduced cost of living 28% Environmental protection of sensitive areas 28% Sample Comments: What make you excited about the future of Ames? “New housing developments.” “With private sector job growth and available land for housing growth, Ames has a bright future ahead of itself.” “Redevelopment is a great opportunity to leverage some of the current infrastructure while upgrading or modernizing the facilities and dwellings. Ames has to be open to knocking down buildings and going vertical if it wants to support the economic growth and limit the urban sprawl.” What challenges do you see for the future of Ames? “ I feel it is a difficult challenge to provide affordable owner-occupied or even rental housing for families....” “Affordable housing will also be a challenge to allow workers in Ames to live in Ames. Housing to accommodate all - students, workers & families - affordably & in harmony will continue to be a challenge.” “Enough housing to keep up with the job growth and enough retail to keep people in Ames....” “Balance of infill and expansion of city boundaries. If we are going to protect farmland, we need consensus on how to integrate new development into the existing community. Current residents need to feel secure that infill development will receive adequate design and integration scrutiny.” k More Housing Options. Housing was consistently discussed as a top priority in all public input forums. People perceive that most housing in Ames is unaffordable and lacks variety of options. Because of the lack of choices and higher costs, people perceive that new residents to Ames are choosing to live in Des Moines or Ankeny where they also have more transportation options and more workforce support services, like daycare. Survey Excerpt: 14 A M E S C O M P R E H E N S I V E P L A N THEME: SUSTAINING NEIGHBORHOODS This theme of Sustaining Neighborhoods has some overlap with other themes, including “Future Demand for Housing” and “Infill Development”. The drafting of the comprehensive plan will eventual combine some of these themes and may alter the content altogether. Survey Excerpts: SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Community Image and Values? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Quality of Neighborhoods 0%6%23%53%17%2% SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Housing? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Housing quality and desirability of single-family homes 6%15%26%41%7%4% Housing quality and desirability of apartment housing 5%10%23%38%15%8% Affordability of housing 24%30%29%12%2%3% Supply of ownership housing 9%25%27%17%3%19% Supply of workforce and market-based rental housing 11%17%23%17%5%27% Supply of student-marketed housing (off-campus)2%6%14%31%31%16% Supply of affordable (low-income) housing 28%22%16%6%2%25% Supply of senior housing 8%13%18%22%7%32% Sample Comments: What make you excited about the future of Ames? “The opportunity for growing a compact city that has neighborhoods with amenities near by (walking distance).” What challenges do you see for the future of Ames? “Maintaining older housing stock and thus the attractiveness of long-term neighborhoods.” “We’re not putting enough thought toward the sociological aspects of community in our urban planning/design. For example, the proliferation of these high-rise apartments on previous vacant lots -- they do nothing to enhance the aesthetic of the surrounding neighborhoods....” 15 A M E S C O M P R E H E N S I V E P L A N THEME: SUPPORT OF SOCIAL AND CULTURAL CONNECTIONS The social and cultural connections in Ames make the community unique. Participants perceive that Ames’ current recreational/entertainment amenities contribute significantly to the City’s quality of life. However, these amenities tend to be clustered around the University and Downtown. Residents want to see future amenities placed within walking distance of homes. Additionally, participants want Ames to be a leader in new ideas, practices, and policies that enhance the quality of life and enforce sustainable growth. Survey Excerpts: SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Parks, Recreation, and Culture? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Supporting art in public places -5%19%46%27%3% Opportunities to attend art, music, theater, dance, etc. events, exhibitions, or productions 1%6%16%45%29%2% SURVEY: Select up to four of the most important aspects of choosing to live in Ames. If you do not live in Ames currently, why would you live in Ames? (top 4 responses only) % Proximity to work/employment 53% Quality of schools 44% Affiliation with Iowa State University 41% Cultural, sporting, and recreational opportunities 36% Sample Comments: What make you excited about the future of Ames? “Keep improving and modernizing downtown, build the HLC, and focus on building culture. I like this town and am generally happy with what is done” “Support of the arts and culture, investment in education at all levels,...” “The Research Park and the ability to attract quality employers, the variety and accessibility of parks, the availability of cultural activities, a safe and welcoming environment make me excited about the future of Ames” What challenges do you see for the future of Ames? “Ability to leverage existing resources and assets like the university, social and physical resources...” 16 A M E S C O M P R E H E N S I V E P L A N THEME: TRANSPORTATION CHOICES Transportation was one of the most discussed elements by participants. Comments stressed the impact that transportation systems have on quality of life and community character. Three frequent topics include: Sample Comments: What make you excited about the future of Ames? “A transformation of our transportation grid to be eminently, safely, and conveniently walkable and bikable...” “...I am encouraged by the continued improvement of non-car transportation systems...” What challenges do you see for the future of Ames? “Improvements in north south transportation routes on the east side of Ames particularly improve and reduce traffic on Duff.” “... A more comprehensive plan should include reliable public transportation transit that connects the surrounding counties.” “... Including more transportation outlets to the interstate...” “Transportation. While I understand that local business people are focused on growth, growth, growth--transportation can cut off the future of a city like Ames within a generation.” k Safety. Participants identify many specific locations in Ames where safety can be improved for motorists, bicyclists, and pedestrians. Notable improvements include Duff Avenue and everywhere in the City where travelers use active transportation. k Efficiency & Connectivity. Responses indicate that in Ames more people walk and bike as a choice for transportation compared to other communities in the region. People view the ability to walk and bike as a positive feature of the City’s quality of life. The city should complete critical gaps in the active transportation system. Also, participants want to see more convenient cross-town routes in both north/south and east/west directions, making movements more efficient, purposeful, and safer. k Equality. People envision a transportation system in Ames that supports all age groups, abilities, and mode choice. Streets should connect destinations, and some streets should be transformed into vibrant corridors that accommodate pedestrians, bicyclists, public transit riders, and motorists. 17 A M E S C O M P R E H E N S I V E P L A N SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Transportation? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Ames' overall transportation system 2%7%17%49%24%1% Access to employment centers 3%6%21%32%13%25% Condition of streets 4%11%37%41%8%- Access to Highway 30 2%6%19%51%20%2% North-to-South street connections 12%21%27%32%6%2% East-to-West street connections 8%17%28%37%8%2% Sidewalks and pedestrian paths 4%14%31%40%10%1% Pedestrian friendliness 7%14%31%36%11%1% Bicycle friendliness 10%16%28%32%10%4% Connectivity of trails 8%15%28%29%9%11% Adequacy of railroad crossings 9%14%36%29%6%5% Truck routing 4%8%26%27%4%31% Traffic speeds and safety 5%11%28%42%14%1% Awareness of transit 2%8%28%42%11%10% Signage and directional information 5%6%29%45%13%2% Survey Excerpt 18 A M E S C O M P R E H E N S I V E P L A N THEME: SUSTAINABILITY Sustainability is a part of all themes and does not stand alone. However, in the context of the Ames Plan 2040, the sustainability theme focuses on the uncertain future of climate and its potential impact on economic development, infrastructure, transportation, and quality of life. The environment was one of the most frequent topics shared by participants from a recreational, aesthetic, and hazard standpoint. Many expressed the need to preserve existing natural areas, not expand development into potential hazard areas, and plan for an unpredictable environmental future. Many question the preparedness of Ames, or any community, to address climate change and its impact on quality of life. Two significant topics emerged from the input process: SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Land Use and the Environment? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Incorporating environmental/sustainability principles in planning decisions 12%15%25%27%5%15% Incorporating stormwater management in planning decisions 7%17%23%23%5%25% SURVEY: As the City grows and changes over the next 20 years, please indicate which changes you view as advantages to improve the quality of life? (select up to three) Top Three Responses % Additional retail/shopping/dining options 36% Increased employment and economic options 31% Environmental protection of sensitive areas 30% k Adaptation. Many participants recognized the uncertain future of natural disasters and changes in weather patterns. Incorporating environmental adaptation into all growth strategies is important and was reiterated consistently in all input forums. Survey Excerpts: k Natural Features. Participants recognize the natural features in Ames and feel they increase the quality of life Ames. Finding ways to incorporate greenspace and environmental preservation into all developments is beneficial to the character and sustainability of the community. Ames should continue to preserve natural greenways, using them to connect parks and trails and not allow development in sensitive areas such as floodplains. 19 A M E S C O M P R E H E N S I V E P L A N SURVEY: What do you identify as environmental priorities for the City of Ames? Topic VERY IMPORTANT IMPORTANT NO OPINION SOMEWHAT IMPORTANT NOT IMPORTANT Watershed management 52%29%11%6%1% Managing the flood plain 64%25%5%5%1% Managing stormwater runoff/water quality from development 56%29%7%6%1% Protection of the Ames water/drinking supply 73%23%4%-- Preservation of natural habitat 53%32%8%5%3% Reducing solid waste/trash and diverting from landfills 54%31%7%6%3% Minimizing vehicle miles travel 34%29%18%6%12% Supporting renewable energy initiatives 52%28%8%9%3% Resiliency related to natural events 48%36%11%3%2% Survey Excerpts What make you excited about the future of Ames? “...forward-thinking leaders who prioritize sustainability, resilience, quality of life, diversity, equity, principled community planning and development, and green energy and jobs...” “Focus on sustainability and becoming a leader in sustainability and environmental initiatives....” What challenges do you see for the future of Ames? “...We have very serious climate change and resource over-exploitation occurring in the world and there is a need to integrate resource sustainability into all of our planning and thinking at every level of society, but I see very little of that reflected in the plans or actions of my city.” “Ames should have a climate action plan and be working on ways to reduce waste and emissions. I also think the resource recovery center poses a major challenge for sustainability.” 20 A M E S C O M P R E H E N S I V E P L A N THEME: WELL-BEING AND HEALTHY LIVING Participants perceive that the City has a strong parks and recreation system, and that it is a signature feature for the community. Feedback suggests that the City should build on its strengths, complete gaps, and ensure that growth areas are well-connected to the rest of the City. Also, participants suggest that the City pursue new infrastructure opportunities that are otherwise not in the community, such as increased active transportation initiatives. Survey Excerpts: SURVEY: What do you believe would enhance the quality of life and the community of Ames over the next 20 years? VERY IMPORTANT IMPORTANT NO OPINION SOMEWHAT IMPORTANT NOT IMPORTANT Additional/New active outdoor recreation and park facilities 21%52%11%12%4% Additional/New indoor recreational facilities 33%36%12%14%5% Additional natural and passive open spaces 28%43%15%11%3% Additional walking and biking trails and paths 43%37%9%9%2% Expansion of transportation facilities for bicyclists and pedestrians 37%30%16%12%5% SURVEY: Do you support planning for initiatives that support a healthy lifestyle and enhanced personal well-being? VERY IMPORTANT IMPORTANT NO OPINION SOMEWHAT IMPORTANT NOT IMPORTANT Walkable neighborhoods with sidewalks and connections to trails 60%32%4%2%2% Access to parks or open space within a 10-minute walk.51%36%7%4%2% Support of transportation options in addition to personal automobiles 48%31%9%8%3% Knowing your neighbors and having a sense of belonging 44%42%10%4%- Providing indoor recreation facilities 38%35%14%9%4% Access to food and groceries within one mile of home 27%36%17%14%6% Access to social services during times of need 43%37%13%4%3% Quality and safety of housing 59%33%6%1%- Access to high quality medical care 70%28%1%1%- Events supporting getting outside and being active 42%40%13%4%1% 21 A M E S C O M P R E H E N S I V E P L A N SURVEY: On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Parks, Recreation, and Culture? 1 POOR 2 FAIR 3 AVERAGE 4 GOOD 5 EXCELLENT DON’T KNOW Providing for Parks and Open Spaces overall 2%3%12%43%39%1% Providing for indoor recreation opportunities 12%20%33%24%7%3% Providing for outdoor active recreation (play fields, courts, playgrounds, etc.) opportunities 1%4%19%49%27%- Providing for pedestrian and bicycle paths and connections 7%12%28%34%16%2% THEMES: SUBAREA PLANNING, AND URBAN FRINGE MANAGEMENT Participants are concerned about how Ames will balance urban and rural growth. Also, they agree that Ames needs to set priorities for where to grow and to what density. New development should incorporate higher density development models in both existing neighborhoods and growth areas. Development regulation should support smaller lot sizes, infill for compact mixed- use neighborhoods, and redevelopment of obsolete or future obsolete non-residential sites. Low-density housing options are generally not desired for the subareas or urban fringe. Survey Excerpts: SURVEY: How do you view planning for growth of the City within its 2-miles fringe? Necessary for orderly development and provision of services to meet the needs of growing Ames, without the impediments of existing development.35% No opinion 27% Rural development allows for a different lifestyle choice appropriate for areas abutting Ames despite their limits on future expansion of the City.23% Rural development allows a different lifestyle choice that is typically appropriate for areas outside of the 2-mile fringe planning area of the City.15% Sample Comments: What make you excited about the future of Ames? “... More parks, trails, and shared outdoor spaces in general. When thinking about purchasing a long-term home in Ames my #1 priority is having walkable access to nature trails to enjoy throughout all 4 seasons.” “...We have some great parks.” “The growth of the Research Park” What challenges do you see for the future of Ames? “As our population ages, keeping seniors healthy and happy here is a key...” “Updating whats already here. The side walks, streets, parks, and our infrastructure needs so serious tlc.” “Maintaining older housing stock and thus the attractiveness of long-term neighborhoods.” “Rural vs. urban tensions regarding land use expansion in fringe areas” ENGAGEMENT DATA IN-PERSON ACTIVITIES 23 A M E S C O M P R E H E N S I V E P L A N COUNCIL WORKSHOP #1: KICK OFF The City Council met on December 18, 2018 to kick-off the planning process. The discussion included two parts. The first part included an open discussion for council to respond to prompting questions. The second part included an independent exercise for council members to report their perceived strengths and challenges laid out by topic area. The topic areas were modeled from the city’s Request for Proposals to prepare a Comprehensvie Plan. Below is a summary of responses from the meeting. k Poll – ½ way through the process – has the community heard of it? k A document that does not need multiple changes immediately k The process results in a document that is flexible – not a burden, but a blessing k How many neighborhoods do we reach out to and would like to have more than one contact or meeting available with them k Outreach to high school and youth – must be a part of this k Focus groups – People who work, but don’t live in Ames – we need to talk with them too k Need to capture input 2. What is the number one priority you would like to see this process accomplish? k We aren’t doing this just to have fun, a document that gives certainty for future community leaders and representatives – actually helpful for the future k One mindedness around a common vision for the community – consensus, agreement k Will help future councils move Ames forward k Not just about saying Yes. Document can also allow us to say No. k Internal consistency. Chapters all build and contribute to the same vision. k A document that creates a vision and strategy that keeps Ames - Ames. k Don’t want people to be intimidated by the process. Want them to feel they can approach and give their input and have an impact. k People to feel free to speak for themselves. k Resulting document needs to be interpretable and accessible. k Actionable. k Legal basis we need to have to carry out ordinances. k Do not want LUPP type document – needing modifications immediately. k Casual disregard is an issue with a future document is a problem. Changes might be okay when for the right reasons. k Efficient development of the plan – timeline. k Completing plan in under 2 years. k Priority might be establishing priorities? PART 1: OPEN DISCUSSION 1. How will we know that the process was successful? What are the indicators? k The process happens in a timely fashion k Demonstrated input from a broad base of community organizations k Tailored to Ames, we’re not Minneapolis k Needs to be realistic k Can’t please everyone, generally community embraces it, not driven by or the reflection of a specific group k Reflects the community at-large and our values k Incorporates under-represented populations k Students and all other understand each stage of the process, its transparent, they can follow along and know when their input is needed k Most of the people in Ames know that it is happening and can be a part of the decision making k A response for those who say “we weren’t notified or involved” 24 A M E S C O M P R E H E N S I V E P L A N 3. What concerns do you have about the planning process? k Time: Council, Staff, Community Engagement may fall as it gets drawn out k Micro managing of the process. k Council may slow process – hold us accountable. k Make sure we get all of the input that wants to be given. People should be heard. k Do not want to go too far down a path only to realize it is the wrong one. Process should not have this happen. k Community members might not understand the difference between what we currently have and what we are trying to create. k One particular group, or more, having an outsized influence on the process. k Value RDG Team experience, but don’t want bias. Let Ames be Ames. Help us flourish as a community in total instead of areas. k Don’t want, “You should look like this.” PART 2: STRENGTHS/CHALLENGES Theme #1: Expansion of the City STRENGTHS k Available Land k Land owners willing to annex (esp. in SW recently) k Have locations to consider k Lots of momentum for growth k New East connection development k An economy that supports expansion k Other k Continued anticipated growth in jobs and employers CHALLENGES k Growth Limitations k Impediments to growth in certain directions (geographically (valleys, rivers, etc.), land ownership, railroad tracks, etc.) k Topographic & other growth limits (ISU property, etc.) k ISU owns a lot of potential growth land k Limited amount of land available to grow k Heavily weighted to the north k Infrastructure k Challenge of providing infrastructure k All development costs shifted to developer/ future owners k Cost of extending infrastructure k Other k Artificial development boundaries k More commercial needed k No affordable housing being built k Loss of residents to other communities k Public disagreement Theme #2: Opportunities for Infill Dev’t STRENGTHS k Developer Enthusiasm k Developers do want to come to Ames to develop infill projects k Developers interested in doing infill development k Infill Opportunities k Do have some underutilized areas k Dilapidated Properties k Other k Opportunities to take advantage of CyRide k The East Lincoln Way and Library Corridor k New Zoning encourages infill (Downtown gateway, for example) CHALLENGES k Land Availability k Limited land and much land owned by ISU & other government agencies k Limited large pieces of land k Limited opportunities for infill 25 A M E S C O M P R E H E N S I V E P L A N k Tension k Pushback from neighborhoods k Tension between new infill and existing building stock (potential to encourage demolition) k Other k Expensive k Few candidates that don’t reduces affordable housing Theme #3: Future Demand for Housing and Commercial Uses STRENGTHS k Population and Job Growth k Population growth continues, is stable k Currently have robust private sector job growth should translate to growth in both areas k High demand k Housing Options k Thriving market for rentals k There is demand for variety of housing. People want to live in Ames. k Building tax base CHALLENGES k Housing k Housing that will accommodate those who can afford only to rent at or below market rate, houses in low to mid $100,000 k Affordable housing including in the $150,000 range and $200-$250,000 range, rental for those who are in 30-50% k Challenge to accommodate the right mix of housing and/or commercial at an affordable price k How to address increasing rent? Especially for ISU students and faculty k Need to incentivize conversion of rental housing to owner-occupied k Other k Few local builders – is there capacity? k Declining enrollment (unstable) k More commercial needed Theme #4: Sustaining Neighborhoods STRENGTHS k Involved citizens k Robust neighborhood groups k Good neighborhood associations k Many strong neighborhood organizations k Strong neighborhood associations k Have a number of good neighborhood associations. Build upon that for community conservation CHALLENGES k Rental vs. Owner-Occupied Housing k Balancing student housing (rentals) in near campus neighborhoods – reclassifying or clarifying student vs. “family” neighborhoods k Growth in rentals, Airbnb/Short term rentals displace owner occupied housing k Neighborhood Locations k Recognizing that near-campus neighborhoods face very different challenges from outliers k Automobile oriented outlying neighborhoods k Other k Do we really have a vision for what healthy neighborhoods look like, and their functions and features k How to balance permanent residents needs with the large population that is more temporary 26 A M E S C O M P R E H E N S I V E P L A N k Requires constant outreach & education for new residents k Risk of gentrification Theme #5: Support of Social and Cultural Connections STRENGTHS k Diverse (for Iowa) k Strong human service network k Strong community groups k Reasonable support for the arts and culture CHALLENGES k Communication k How to communicate with citizens in the modern age k Social media and shift in culture k Need to improve communications, acceptance and relationships with all Ames residents k Understanding what “connections” means for Ames k Other k High turnover in residents k Help integrate students into community Theme #6: Transportation Choices STRENGTHS k Alternative Modes of Transportation k New Complete Streets plan k Have options (Transit, expanding trail & bike route network) k Build more bike infrastructure k Developed systems for transit infrastructure that are well-utilized k Other k Ames Electric Utility CHALLENGES k Multimodal Options k Weather makes year-round walking/biking difficult k Limited capacity for CyRide expansion k Gaps in network (missing sidewalks, bus coverage, etc.) k Shifting from automobile orientation to complete streets way of thinking/operating k Other k Creeks & railroad k Mitigating our lack of direct routes through town k Cost Theme #7: Sustainability STRENGTHS k Citizen Awareness k Passionate/knowledgeable citizens & resources nearby (ISU, etc.) k Engaged community k Community groups who are concerned and active k Other k Ames water, sewer, and electric utilities CHALLENGES k Pollution k RDF issues increasing with conversion to Natural Gas k Reduce carbon footprint k CO2 k Other k Mitigating need for parking in downtown with facing environmental challenges, like need for less cars k Money k Need to take a holistic view of our policies so they don’t contradict each other k Need to see historic preservation as part of sustainability 27 A M E S C O M P R E H E N S I V E P L A N Theme #8: Well-being and Healthy Living STRENGTHS k Community Interest k Broad interest in wellness k Community interest in improvement k Other k Many recreational opportunities CHALLENGES k Limited facilities for program expansion k Prioritization and attention given demands at modern life Theme #9 Subareas STRENGTHS k Recognized Subareas k Easily defined subareas, strong identities k Have subarea plans for a few targeted areas k We recognize that subareas exist and know what they are CHALLENGES k Lack defined vision k We don’t plan with a vision – we react and lose sight of the larger picture Theme #10: Urban Fringe Management STRENGTHS k Maintains city standards for future growth k Good relationships with a number of nearby jurisdictions k Existing 28E CHALLENGES k 28E k Requires 28E compliance k 28E agreement has challenges and cooperation k City Limits k Bumping up against 1 or 2 towns in the timeframe of this plan k Artificial limits k Bumping into each other PART 3: WHAT EFFECT COULD OR SHOULD THIS PLAN HAVE FOR THE PEOPLE OF AMES? COUNCIL RESPONSES: k Ownership k Inclusivity k Predictability k Equity k Inspiration k Positive Impact on Quality of Life k Direction for growth PART 4: WHAT DO WE WANT THE EFFECT OF THIS PLAN TO BE ON THE COMMUNITY OF AMES? COUNCIL RESPONSES: k Direction for growth k Strengthening our image k Most people don’t know we have this…Be realistic k An increase in participation for this type of effort k Be involved… k Maintain their passion for Ames k Channel their passion for Ames –Vision makes it clear what they can do with it 28 A M E S C O M P R E H E N S I V E P L A N STAKEHOLDER DISCUSSIONS Stakeholder discussions held during the early stages of the planning process helped the authors of this plan understand the perceived issues and opportunities for the City of Ames. Additional discussions were held throughout the planning process. Below are highlighted notes from the discussions. RESIDENTIAL DEVELOPERS 1997 PLAN PROBLEMS... k Error in the likelihood of development in certain areas. Perception that growth could occur to the southwest. This is all land owned by ISU. In fact, ISU is keeping land. Net usable land from a terrain standpoint is limited. RESIDENTIAL MARKETS... k Something smaller than the 6,000 sf minimum lot size unless there is a PRD. But there is a 40% open space requirement k MF zone needs to be looked at. k Density requirements are out of place, minimums. Densities stand alone in a project. k The village concept is good WHAT TO GET OUT OF THE COMPREHENSIVE PLAN... k Lots will have to get smaller to meet the new need - residential ordinances. k Also, allowing estate residential in certain areas so they do not happen right at the 2-mile fringe where it is allowed and city does not have jurisdiction. k Path of least resistance is north. k SF carriage housing along the prime area along Lincoln Way was a bad recommendation in that plan. k Residential TIF options. k Need to align plan with what the city will actually do. For example, where will the city accept high density residential? k Need a front end financing mechanism for housing development to help developers ISU FACILITIES STAFF COMMENTS... k Current plan is to reinvest in the housing that is already existing k Campus cannot work without CyRide k City/Campus relationship is good k Student housing is starting to be discounted, supply satisfied k Campustown is used mostly by students from a convenience standpoint… k Beef program on the north that the city is willing to sell if they can relocate the operations to the south k Land holdings west of the city are plants based, land south is viewed as animal based operations. k Trade employees do not live in the community, cheaper housing in rural Iowa for them. Housing in close commute is an advantage for the University k Student and employment base are not projected or planned to grow for the University. DESIGN PROFESSIONALS CONCEPTS FOR THE FUTURE... k City to interact with the railroad like Wheaton, Illinois k Some transportation issues with north/south connectivity - no arterials actually go all the way through k Would the city rethink their policies on investing in development - transportation overpasses, etc WHAT TO GET OUT OF THE COMPREHENSIVE PLAN... k Need a dispersion of amenities, not just along Duff k Smaller development is difficult right now in Ames k Continual park expansion k Proactive planning to let businesses and developers know what is happening k The plan needs to be revisited on a regular basis 29 A M E S C O M P R E H E N S I V E P L A N STORY COUNTY WHAT TO GET OUT OF THE COMPREHENSIVE PLAN... k Following the Ames Urban Fringe Plan k Need the plan to constitute orderly development k Will need transportation improvements north toward Gilbert. k Transition for emergency services between Ames and Gilbert, when and how is it funded. k A lot of work needed for trails…north and south segment from Ada Hayden to 190th. East/west connection there really is nothing k Need to be consistent with Gilbert and all working together REAL ESTATE PROFESSIONALS STATE OF THE MARKET... k Some adaptive elementary school redevelopment k Young and old are interested in walkability and amenities….a lot based on where people are coming from MISSING PRODUCTS... k Servicing the aging population is an issue - South Campus area is an area where people would like to move out of, but there are not options. k 45-60 age ranges are served pretty well, but not the other age groups k Currently too much supply of apartment, which could last for some time with stable ISU enrollment k Condos would do well in Ames k Loosing people to Ankeny and DT Des Moines because of the variety k Some people are looking for more rural residential options. Need an intentional plan to include some larger lots k Too much retail space. Some is attributed to mixed-use requirement of ground floor commercial k There is a tolerance for townhomes, one or two stories. k Few recreational facilities - indoor activities k Cannot pick only one area for growth. Need to expand everywhere k The Health Center is in a poor location for additional development. If the city is going to spend money, they need to position projects to spin off other opportunities for private investment k Seeing some people wanting to move because they want to change their lifestyle. NEIGHBORHOOD ASSOCIATIONS BIG IDEA FOR AMES... k Residential downtown - 2nd floors and infill k More low income & affordable k Transit oriented development COMMUNITY POLICY TOP PRIORITIES... k Rental conversions k Environmental issues k Mobility…getting in and out k Neighborhood density – owner occupied k Own housing 30 A M E S C O M P R E H E N S I V E P L A N PUBLIC KICK-OFF EVENT The public kick-off event was held on February 5th and February 25th, 2019. The open house allowed people to talk informally with staff and the project team about the future of Ames. Attendees were encouraged to post their comments on a series of boards related to various planning elements in Ames. Attendees were prompted to post their “big idea” and “concerns” for the future of Ames. Below are the board topics and the comments received. Comments were transcribed with minor editing. k Significantly reduce the gray space of flat surface parking lots and encourage/promote so-called parking structures k Focus on reutilizing inadequate sectors of the city. See Lincoln Center, the North Grand Mall, for example – and bringing in Career jobs there or removing business property located in the flood plains – see South Duff – and transplanting those businesses in the presently inadequate sector k Focus on mixed-use developments & in-fill k More mixed use on Duff (housing, parks, local businesses) k Do not concentrate industrial all out east k I would like to see regenerative grazing of lawns instead of mowing. Use contract grazers to manage with temporary fence & water infrastructure. Entrepreneurs & beginning farmers are willing to manage this. k No developing in flood plain. Skunk River north of 13th St. (No extension of Bloomington Road) k Limit growth of city limits. No increase in present boundaries k Think walkable and bikeable! Not 3 car garages and big parking lots k More affordable housing east of the university k Creating more future land use designations for creative housing options (mixed use) Do more to encourage native-plant landscaping on as much land as possible to help water quality and wildlife, also CO2 sequestration and soil health. Big lawns don’t help! k More neighborhoods k More smaller business, less big stores k No more industrial k Utilize the flood plain for the natural marvel & economic boost. The can be – see the economic benefits the High Trestle Trail has brought to it k Please no more development in flood plains. Please see prairie & native long-rooted species instead of turf. Use pervious pavers instead of concrete where possible. k Decrease medium-high density residential. Enough apartments. k Decrease single-family homes use for multi- family rentals – we have affordable housing but need single families to buy them k Keep hospital medical zone as is to encourage community health sites k Ames needs to expand more to south, southwest, west, & northwest. Growth directly to north is enough with current areas. No ISU. k Consider the future of the mall – future housing? Park? Mixed use? FUTURE LAND USE STATION Concerns: k Allow for increasing density – limit sprawl k Revitalize and redevelop downtown k Allow for accessory dwelling units & triplexes k West Ames need more infrastructure (coffee shops, markets, or parks) k Innovative, resilient & leading efforts to reduce greenhouse gases k R 38/30 interchange overused + somewhat dangerous due to crossing traffic going south from 30 eastbound + north from east bound k No annexation forced on property owners k No annexation of state street property k Remove Southwest II area from growth plan. Save trees, creek, & wildlife k ISU reduction in enrollment k Move away from southwest k County residents were not consulted on fringe plans. No representation. We need to be heard. City controls everything k Move East & Southeast due to new industrial park k Commit to continuous development, not leapfrog k I’d like to see some kind of “growth boundary” from Ames and a commitment to interior or central Ames that is designed & redesigned around density, walkable neighborhoods, & services 31 A M E S C O M P R E H E N S I V E P L A N Big Ideas: k Build sewer/annex north to Gilbert k True student long-term parking. Take a look at University of Iowa. On bus route at 30 min or longer, discourage drive to class syndrome k Expand Ames boundary west into Boone County. k Plan for neighborhood needs k No annexation, no development, protect environment, no paved roads south & west of Worle Creek k Attention to walkability and safe, easy access to services, recreation, parks, and schools. k Avoiding sprawling development that stretches city resources and regular automotive transport. k Stop building huge, expensive apartments! Need more affordable housing & amenities around them k Respect the floodplain k Can we look to future and use land surrounding Ames for energy (solar & wind) and food productions? We can! Will we consider it?? k Past plan did not respect ISU research farms or acreage living. ISU farms need to maintain close proximity to campus k Please consider residential growth to southwest k Continue mixed use & infrastructure in SW k Plan for mixed uses k Expansion of commercial and residential north & east of I-35 & 13th would be ideal area for expansion of commercial k Convert fringe area to growing food for people. Construct a ring of wind turbines and solar farms. Pay farmers to sequester carb (organic matter) k Important to keep Ames “compact” – walkable & bikeable k Infill & allow more multi-family homes & less parking k Annexation of area in Washington would negatively impact revenue for the (something) which would affect safety, road maintenance, and other use of the revenue 32 A M E S C O M P R E H E N S I V E P L A N ENVIRONMENTAL FEATURES STATION Concerns: k Consider hosting a workshop or presentation on what the climate will look like in Ames in 2040 + beyond by Gene Takle, ISU Professor k Use the best science possible to plan for climate change vulnerabilities + impacts + flooding k More incentives for developers to create permeable paved areas – some features of the system right now leave fees that don’t scale according to the amount of paved area k Favor community gardens and food production in town: more accessible fresh food grown by and for citizens! k We should put in food forests – not just community garden plots. Focus on perennial agriculture k More sustainability (compost city-wide, recycling city-wide more access to public transportation) k More green spaces everywhere k More community gardens k Preserve grasslands & nature areas while we still can! k Protect our green spaces and our drinking water aquifer k Need to protect natural/sensitive areas as Ames expands k Encourage/allow homeowners to have driveways that are not exclusively concrete. Allow new housing to use gravel & grass driveways to decrease runoff Big Ideas: k Determine sources of E. Coli, and other bacterial pollution of Squaw Creek and Skunk River k I would like to see Ames be more forward thinking in flood plain management. Large rain events are becoming more frequent. We need to look at how to incorporate more k Keep green spaces in city while growing k I would like to see Ames commit to being 100% renewable energy powered k I would like to see Ames have better electric vehicle charging infrastructure including buses k Keep the Greenway as undeveloped – wild as possible. Urban parks can’t replicate this. k More support for community solar panels k Increase the density of our urban forest k When new housing developments go in, they absolutely should not remove top soil before building. This will create future flood & drought issues – soil is our answer with roots in the ground. k Prioritizing wildlife/biological “corridors” in infrastructure development k We need to be intentional about holding water in place. Put hard money into Squaw Creek Action Plan recommendations k Consider flood plains, slowing development in already flooding areas and keeping wetlands undeveloped and ready to absorb storms k Support for solar panel farms k City compost k Reduce our impact on the climate and use part of the flood plain to grow good. We could use a large part of the land to produce large amounts of free food for the public k Make climate action a central principle. How do all aspects of Ames 2040 address fossil fuel use reduction and resilience enhancement? k A carbon-neutral, pedestrian-centered city with trees and community gardens k Plans for parking if self-driving cars happen k Tiny houses and micro-apartments k Need to address infill k Consider where employment will be in looking at residential development. Stop forcing extended communities 33 A M E S C O M P R E H E N S I V E P L A N PARKS AND RECREATION STATION Concerns: k Has the city done a needs suitability study of recreational offerings to determine unmet needs? (universal playgrounds, trail connectivity to parks, complex for baseball/ softball) k Use floodplain areas as environmental type/rec spaces and don’t allow development k If P&R group sports are added at Emma McCarthy be sure to look at traffic concerns on Ross Road. Large amount use this road for walking & biking – no sidewalks k New developments should be required to have green space, if not already k Support for community gardens – have food, not just flowers k Grow the parks & nature areas along with the city’s growth! Let’s help Ames be an extra attractive place to live, work, & be well! k More green space areas k More open spaces k Update parks k Connect Moore & Reactor. Connect bike trails. Plant trees and hire an urban forester to help reduce greenhouse gases & water pollution k Ada Hayden HP follow the recommendations in the Klaas-Pease Land Management Plan k Increase city support with Somerset Parks (addition of equipment or support) k Access concern – not a bike path or point of access at a controlled intersection on north side of Bloomington to get to Cloya Kartz or Ada Hayden k West Ames needs a park! k Pave the bike trail and install lights and maybe a 911 box k Bike paths need to be interconnected. Dead ends are not helpful for in-town recreational bicyclists k Connect to [ISU] land – [Moore Memorial Park to Reactor Woods]. k And more open space k No to play equipment at Ada Hayden. Keep it natural! k Add outdoor fitness equipment. Add play equipment at Ada Hayden k Where a bike trail crosses a street – need a sign for cars/drivers that this is a bike trail crossing k More neighborhood parks and green space k Healthy Life Center – make it happen. k Watershed management north of Ada Hayden k Extend greenway to west Ames [Daley Park] k Improve Community Garden (safety concerns, fence) k The quarry at southwest corner of I-35 & 30 could eventually be a park k I would love to have greater bike path access from north Ames to Ada Hayden k I am an international student and I was impressed by the green in Ames when I came. I want Ames to keep and improve this beauty and power! k Camping facilities in town – use Carr Pool, building/restrooms k Push button yield at crossing of bike lane at south 16th street – vet med trail k There is an area with no access to parks just south of the North Grand Mall k Parks for aging! k Food forests k Couple with oak savanna reconstruction k Water quality k Bring more attention to the [Tedesco Environmental Learning Corridor] Park. It will be the “Ada Hayden” of South Ames k Manage brush in the woodland understory with contract grazers k Add bat houses to parks to control mosquitos k I love to ride my bike but I have to ride on the streets. I’d love more shared use path connections k Connect to the High Trestle Trail Big ideas: k Build a large new park outside of floodplains k More connected bike trails k More walking trails k More natural parks like Ada Hayden k Trails/bikes as transportation k Add community gardens k Community needs more gathering spaces with indoors and outdoors k We need an indoor community pool for all – not shared with public schools – needs to be accessible during all times k Support for a life center – classes, community space, pool, exercise rooms k Yes to Healthy Lifestyle Center k Bond $20-25 million for Healthy Life Center k Ames has some of the best parks in quality & area per person. Would like to see it maintained k More connected bike trails k More native prairie & woodland preserved/ restored k Add signage to trails. Create a “trail system” feel. k Rethink what outdoor environments are needed for children – playgrounds are not the best option. Trails to walk, run, & ride bikes, wading pools, places to explore nature k Ames water park for boating? Thank you k A need to expand park to corner (referring to western edge of Tedesco Learning Corridor extending to existing roundabout) k I’m in favor! (Healthy Life Center) k Support this big idea! (Healthy Life Center) k Yes! (Healthy Life Center) 34 A M E S C O M P R E H E N S I V E P L A N POPULATION CHANGE STATION Concerns: k Do we have enough low-income housing? k Many new apartment buildings have been constructed, most rental rates are high – can Ames plan for low to median range rental properties? k Is growth always good? k Provide additional financial support for police force to keep up with population growth k Is expansion realistic when student population is expected to shrink in the next 20 years? k Is 85,000 enough? Look at Peer Big 12 & other institutional cities. Is 120,000 too much? k Huge increase in vacant housing 2000-2017 k Not as significant of an increase when you account for student growth! k Story County has the highest rate of food insecurity in the State of Iowa (15.9%) – see feed America, Map the Meal – how is that affected by the large percentage of ISU students in Ames? Big Ideas k Include median household income comparable k 5 year snapshot of age demographics broken down k Include school enrollment data k Population group to be included are those over the age of 65! SOCIAL AND CULTURAL STATION Concerns: k I want Ames to be a welcoming place for all people. Right now that’s not the experience of people of color, international folks, Muslim people…improving this MUST be part of Ames’ growth plan! k No Jewel Park/Kate Mitchell association? (listed on map) When there is a neighborhood meeting such as an IDOT meeting on S. Duff construction, 100-200 people show up Big Ideas: k Expand Old Town Neighborhood to Grand? k So proud of our Ames Public Library k Foster more neighborhood associations k Need a real museum to recognize Ames History k Someone to help regulate race relations. Since 2016, I have been the target of 3 separate racially motivated confrontation. I no longer feel safe as a black person in Ames – A concerned college student k Someone to reach out & assist neighborhoods in organizing associations & helping them to stay active YEAR BUILT STATION Concerns: k I’ve seen so many prairie remnants and woodlands destroyed by Ames growth in the past forty years. It needs to stop. Protect surviving natural areas! k Yes, preservation of at least some strategic natural areas is a must for Ames. Growth without preservation of nature would make Ames an unappealing, unhealthy place. k Sprawl is now, sprawl is real k In the interest of combatting sprawl, make a 20-year expansion that preserves green spaces k Save wildlife and trees on State Street. Stop sprawl k Integrate historic preservation Big Ideas k Preserve Campustown aesthetics – low buildings, brick fronts, small businesses 35 A M E S C O M P R E H E N S I V E P L A N SUB AREAS STATION Concerns: k Downtown commercial /residential development mixed use k Genuine concern for preservation of affordable housing is needed in this city. k Must have more affordable housing in Ames! Otherwise Ames becomes more “elite” and not inclusive, diverse, or healthy k Hate road diets. Need to improve traffic flow on primary roads, Duff, Lincoln Way, University. k I live on South Dakota Ave and just south of Worle Creek. All I can envision being annexed into the City of Ames, my home becoming a money pit. I am not in favor of annexation. k Please do not put Lincoln Way on a road diet east of Hilton Coliseum. Big Ideas: k Cultural Institutions need to grow! New history & art museums in downtown k Urban core & downtown need to strive for revitalization, dense redevelopment, triplexes, in-law additions, affordable housing, & resiliency to stresses of climate change k Affordable housing k More green areas k Improve downtown’s walkability k Add history museum to downtown k Make downtown a destination for families – restaurants, stores, ped mall, farmers market k I like the Lincoln Way road diet! k Yes to Rail Corridor Buffer and Trail! (Lincoln & Grand) k Yes to small lot single family housing k Carriage house units, more! More multifamily ECONOMIC DEVELOPMENT STATION Concerns: k Respect flood plain when building k South Duff is a nightmare. Why have we made the same mistakes as every city? k Respect ag land. It’s not a limitless resource k Preserve/foster local businesses, especially in Campustown area k Food & renewable energy (production processing) (Ames imports what, 90% of our food from outside Iowa? That stat is just a guess.) New commercial regional uses k SW Ames commercial residential (McCay) k Innovative, resilient, & leading efforts to reduce greenhouse gases, as much as possible, as soon as possible k Quality, affordable childcare in highway oriented commercial areas k Public transport in some areas k Stop building in the floodplains. Climate change is causing higher rainfall events k We have a hidden homeless issue. Actually, it’s non-recognition that Ames could have a homeless problem k Make sure businesses here (Prairie View Industrial Center) actually use railroad k Find a strategy to link new economic growth with housing that is affordable for the new employees k Housing & rental costs are too high for people to afford to live, work & play here. (many noted agreeing with this) Big Ideas: k Expand exhibition/meeting space & hotel development at Iowa State Center k No more large commercial building projects in the flood plains! k Convert this to a food hub to serve region. Greenhouses, food processing of local foods, distribution to local stores (pointing to area east of I-35 marked as “regional commercial”) k More outdoor space for restaurants, patios, tables, etc. esp. downtown k Food delivery services in winters for internal students new in ISU k Better online services k Facilitate more centrally located commercial for reducing transportation distances. k More bike lanes k Zone Lincoln Way east of Squaw Creek to Grand Commercial k Tax increment financing for suburban/ residential development k Employer subsidized childcare centers in commercial areas k It would be interesting to see bike facilities/ paths/lanes on a map with commercial. Can everyone get to these areas? k We need more roundabouts k Providing ready access and recognition of results-based code compliance could assist commercial development, especially in city with technical knowledge k Need more restaurants in the research park area! k Progressive green sustainable modern landscaping uses native plants, not massive lawns. The businesses in the research park may be progressive but much of the landscaping is not. We can do much better! 36 A M E S C O M P R E H E N S I V E P L A N TRANSPORTATION STATION #1 Concerns: k Promote public transit that could be within the city itself or among the city and surrounding rural community in Des Moines k Improve sidewalks k Improve sidewalk on Grand k Improve pedestrian street crossing on west Mortenson beyond Kum & Go k We need better sidewalks so people aren’t walking on dirt or side roads when there isn’t a sidewalk in some areas k 1/3 bike/ped, 1/3 car, 1/3 public transit k Incorporate more divided or separate bike lanes and/or transit that connect with each other and main route of the city (complete streets) k Bicycle trails that connect! k Improve snow removal, especially for Lincoln Way beyond Campustown k Improve signage on Greeley Street, as it is very confusing for new people k Pulling onto Stange from US development is a nightmare k 25 seconds to cross 4 lane streets is too short for families, children and seniors k Current signals and ‘flow’ at certain intersections are very frustrating and unsafe at time of the day. Improvements to alleviate these issues would be greatly appreciated k Connectivity k Dayton Rd access to HYSC k Separation of south Ames from Mary Greeley by train tracks on S. Duff is a continuity concern k Planning on S. Duff seems a bit short-sighted – how long after 3 lanes to city limit will we need 4 lanes? k South Duff turning into HYSC backs up and is a high congestion point. Accidents happen weekly during soccer season. Only one point in and out. k 16th St. near Duff need[s] more lanes and better access to businesses k End of day rush hour at Mortensen & State and Stange & 13th is a problem k Exiting left out of Middle School onto Mortenson (from East entrance/exit) is problematic k Need better access from south Ames (Grand Ave extension is welcome and critical) k Lincoln Way traffic is to heavy going east/west from Hilton [coliseum] to North/South Dakota. More ideas to improve traffic. k Hayes Avenue is super busy on school mornings. Can take 10-15 minutes to make it through intersection. k Would like to see more connectivity of major routes. Currently lacking many options for N/S, E/W circulation across town without using I-35 or Hwy 30 k Plan arterial & collector in advance, not per development. Same for trunk sewer & water k Needs traffic control at State & Mortensen. Awful there – roundabout or light? k Grand needs to be extended south to relieve Duff congestion k Hughes & 24th St. add right turn lane from west bound to north bound to reduce queuing and congestion k Extend University Drive north to 24th. k Extend 20th St. west to new University Drive. k New N. Dakota arterial roadways from UP Railroad tracks to Cameron School Rd. k Rear-end crashes SB Duff just south of US30 PM peak hour entering soccer fields Big Ideas: k Light rail to link Ames to Ankeny & Des Moines k Light rail to Des Moines k Rapid Transit on Cultivation Corridor k Connectivity, especially for walker, cyclists, etc. Connectivity needs to be respectful of all kind of mobility & accessibility k Need Grand Ave connection to Airport Rd k Consider a roundabout at Mortenson & State to manage traffic k WB US30 traffic backup during PM peak (4-6) on main line, at S. Dakota Ave k New US 30 interchange @ County Line Rd k Need better N-S connectivity between Stange and Grand Ave k Need another N/S street. Stange gets more & more congested. Very slow. k Southern interstate access k Develop Ames to the south! k Plan major roads with long term goals in mind…not reactive k Need a future focus – let’s not limit on 2040 – provide for future growth k Need more nature/bicycling trails that connect existing county/state trails 37 A M E S C O M P R E H E N S I V E P L A N TRANSPORTATION STATION #2 Concerns: k Extend 190th St. west to R38 and East to I-35 k Love the plan for Bloomington to extend to I-35! We REALLY need this! k Ames invest in more bus services especially for low-income on holidays k More bike paths! More connected bike paths and trails k Mortenson & State roundabout k It would be cool if we had more bike paths like Ankeny, Slater, or Des Moines and walking areas k Bike/pedestrian trails need to have more connections k North Dakota to 24th connection in North Ames k Improved walkability – sidewalks and trails k If we continue to expand east with industrial park, need more CyRide for employees of industrial park use k More parking near campustown & downtown areas with businesses k More trails! More connections. Bridge from Moore [Memorial] Park to Reactor Woods k Improve the State & Mortenson Intersection k State & Mortenson intersection – how will handle feed mill semi traffic k CyRide is amazing! Keep up the good work! k Get rid of bike paths on S. 3rd. Traffic backs up – can’t turn right on red – bus stops in bike lane. k Work for transit between Ames, Ankeny, Des Moines k More places to walk in the woods like Emma McCarthy or east of Skunk River k Separated bike lanes near campus k Slow Lincoln Way down – feels like it should be 45 with a divided street k Implement long term out of the way parking for students to reduce the desire to drive to class – thus reducing traffic on Lincoln Way k Address pedestrian crossing near West HyVee on Lincoln k There are very few safe intersections for cyclists to cross Lincoln Way. Intersections need to be improved to allow for safe crossing. k Connection to I-35 exit 116 from North Ames Big Ideas: k Hyde/Grant Street; major road to Gilbert but outlets to Ames residential area just north of Bloomington. Need to divert traffic around residential. k Commuter train to Ankeny and DSM. k More turn lanes on Lincoln Way k Reduce Congestion on Lincoln Way k Main Street – reinvent the Dinky – from one of to other. Hop on hop off. k Commuter bus/rail to Des Moines would be amazing! k Recommend no grade separated on N. Dakota Street w/ UPRR, instead use existing viaduct at Countyline Road. k CyRide is an amazing resource for Ames. How do we expand service & routes? k Roundabout at State and Mortensen and Hayward and Mortensen k If we are thinking of future, we must think about once a week/twice a week connections to DSM (especially for international students) k Cyride is amazing and functioning very well. However, if there can be buses schedule on selected times to Des Moines or nearest cities will be useful (apart from ISU shuttle) 38 A M E S C O M P R E H E N S I V E P L A N linked together k Complete sidewalk by railroad track on north side of 24th k Continue to focus on E/W and N/S connections k More connected separated from traffic bike lanes/paths k Invest in sidewalks. Ames’ core is not safe for aging in place due to deterioration of sidewalks Big Ideas: k Ames express bus k Signs at trails to local establishments (like Cedar Falls) k More natural bike routes than Clark (Easier crossing @ 13th) k Tell ISU to renovate and expand the Memorial Union parking garage. We’ll need more parking in general k Making Intermodal facility friendlier & cheaper to use k Need a complete bike trail loop for families sooner k Lincoln Way is not a trail. Make distinction between trail vs. just sidewalk k It’s very difficult for high school students who don’t drive to get to school. Why is north Ames not on a bus route that goes to the high school? k Full priority to pedestrians at intersections ACTIVE TRANSPORTATION STATION Concerns: k Sidewalk connectivity in industrial area if not connecting to something k Innovative, resilient, & leading efforts to reduce greenhouse gases as much as possible, as soon as possible k Lots of transit options. k Zip cars k Sidewalks & crosswalks that are narrow k Have yet to read the Complete Streets Plan, but one concern is the off-road/on-street and the extreme mixed message on what is expected of patron of each, and motorists confronting these patrons? k Prioritize trails & connections. Good for public health & climate k There is a complete lack of connectivity between current bike infrastructure or a lack of forward thinking when bike infrastructure is put in. k Improved sidewalks on Lincoln Way…wide paths to accommodate bikes and peds k Electric car infrastructure, solar panel charging covered parking k Why does it say Grand Ave is a part of an existing trail? There are sign that say no bikes on that street! k We need to take on wayfinding Y signage. k Better education outreach for auto-ped-cyclist interactions k Improve crosstown and intertown bicycle trails k Sidewalk along Ross Road @ Emma McCarthy Lee Park. Very busy street, nowhere to walk k Existing roads must become more bicycle & pedestrian inclusive & welcoming! And all new road must have this as part of their plan/ infrastructure. For healthy, inclusivity, and an ideal place to live! k More connections for bike trails. Get these INFRASTRUCTURE STATION Concerns: k Better collaboration with internet service providers in new development areas k Older pipes in Campustown lead to a lot of funky smells. Update size & double check venting in houses & businesses k South neighborhoods such as Jewel Park/ Kate Mitchell can be cut off during flooding including access to hospital k Age of water mains – where do we need to update? k Storm sewer concerns regarding flash flooding k Don’t forget the importance of upgrading infrastructure to maintain & improve quality of life in Ames k Good Ames Water loses quality after flowing through 4” water mains 39 A M E S C O M P R E H E N S I V E P L A N COMMENT CARD STATION Below are the comments submitted on cards . k Make sure the wording [in the survey] makes it so anyone in the Ames area should answer the questions. Not just those who live in city limits. k Create solar power plant k More trees & wildlife k Preserve existing trees & stop developing these areas k Remove southwest from development plan, save water creek, old oak trees & wildlife. Please do not annex. k More development of retail and commercial (professional space). Less apartments along major traffic areas (Lincoln Way). Commercial development without apartments on top. Make Ames attractive enough that we quit hearing about Ankeny/Des Moines. k More support for cultural organizations – Reiman, History Center, Octagon. Arts, history, & culture give an important sense of place to the community! k Would like this plan to be interactive, allowing a resident to overlay multiple layers (similar to maps around room at open house) to determine different suitabilities (or evaluate) these proposed improvements in terms of different (and sometimes conflicting) improvements. k Look for and execute catalytic projects that unlock additional investment. k Rural acreages for Champlian ground 1-5 acre lots, horse farms, hobby farms. Ames needs more beauty! The apartment buildings take away from the natural beauty. k Tiny house villages centered around a community garden, community bathing facilities, solar-powered. k Creative solutions to homelessness: boarding house concept, ease parking requirements on low-income housing to allow for denser development k Thank you for investing your time and energy into our community! I would like to see our waterways protected w/ a diverse ray of plants (reconstructed oak Savanna with agroforestry products e.g. fruits and nut tree crops) that could be used in our schools and food banks. These buffers would also have a perennial understory (think silvopasture). k A recycling facility would be nice and students really want it and it would be heavily utilized. Plus it would create jobs and add another sustainable aspect to Ames. k Recognize true boundaries of Old Town Neighborhood Association PLANNING AND ZONING COMMISSION Below are the comments made at the Planning and Zoning Commission meeting. k Flexibility to allow things in the future that were not in place or a concern when the plan was adopted k Flexibility and ability to respond quickly; the cycle of change is accelerating k More flexibility when looking at some of the uses that come up; A matrix that would help the P&Z determine if there is a need for a certain type of land use or if amendments to the Comp Plan are warranted k Efficient, effective and responsive to the community’s needs k Consideration for urban design k More urban design and transportation planning k Focused development- not willy-nilly across the City k Role of transportation and what it is going to look like in the future; Integrate this into the broader framework of the comprehensive plan k Support for stable neighborhoods and small, local businesses k Green space in the City k More affordable housing 40 A M E S C O M P R E H E N S I V E P L A N ISU ON-CAMPUS EVENTS Members of Iowa State University’s CRP (Community & Regional Planning) Club hosted four pop-up events in Spring 2019 at the following ISU locations: College of Design, Memorial Union, Gerdin Business Building, and Parks Library. While sign-in sheets were not available, reportedly 50 participants contributed the following input. k Increased public transportation, better road maintenance in winter k Roads/sidewalks—potholes/ice k More historic preservation in Campustown area k New bike lanes k Mom & Pop Shops in Central Campus. More parking available. k Loosening of small businesses regulations, make Ames more friendly to startups k More walking and bike paths are a great idea! k More walking paths and less stoplights! k More hiking paths. k Traffic (illegible word) both east to west and north to south. Lincoln sucks, 13 is not zoned well and Duff also sucks. k Better rain or water drainage. I have tennis shoes on days where it suddenly rains/snows and there’s lots of excess water in certain public sidewalks. k Understanding on late rents, not kick me out (I’m a broke college student). Plow the snow. k Plow the roads! k Overuse of Lincoln Way k The road conditions k Ice on walks k Expansion/increased options k More Nerd Stores k Salt the roads k Snow removal and use salt!!! k Plow your roads and salt them! k Flooding k Accessibility k Repair Lincoln Way please and thank you k More bike lanes!! k Want more diverse food restaurants (African, German, Thai, etc.) k What Ames is going to do with the mall when it has no more stores k Less and less affordable housing for students k Issues moving into Nevada, going across city lines. New infrastructure for ISU. k Build a Lincoln Way pedestrian bridge k Train to Des Moines and Chicago k Diverse food options! k More mixed-use in high density residential areas k Redevelop Campustown west of Welch Ave and Welch Ave south of fire station k More biking lanes k I would like more diverse options for things to do in Ames especially closer to Campus! k Creating a sense of place for Campustown k Better quality of restaurants, easier to afford units, more single bedroom housing (so many 3-4 bedroom units!), more pet friendly units k The primary focus of the plan should be the students—for parks/CyRide, etc. k Decreasing/managing urban sprawl k More affordable housing near campus, more local businesses in student housing k Accessibility for students without cars Excited For k The growth of ISU and the Welch Avenue Redevelopment Project k Redrawn flood plain lines/areas k Excited to see more student engagement in city decisions! k Remodeling k Road construction/repair, perhaps more trees in our future? k Continuing sustainability initiatives k Ames has everything that a big city would have, while remaining a very tight-knit community Concerns/Challenges/Interests k Apartments are expensive k More bike paths would be awesome k Growth of ISU/Student community k Changing Campustown to bring more growth and life k Ice Skating k I would like to see road expansion—always busy k Increase CyRide buses, bike lanes, better preparation for heavy snow k More late night food k More renewable energy k More Mexican Food k Bike lanes! 41 A M E S C O M P R E H E N S I V E P L A N k Outdoor space for activities, too many buildings going up k Recycling/sustainable initiatives k Not enough housing and poor roads k Parking, more trees, better prep for floods k Better flow of traffic (main roadways are already congested) k I want the city to support the university/ students k More open areas and parks k Lighting k More bus shelters, heat lamps at bus shelters k Art exhibit in front of the unsightly power plant k Apartment/rented housing surplus and pricing k Salt the road; hang out spaces—local areas, shops; hiking paths k Accessibility—zoning/separation of services k More free parking k East Lincoln Way needs to be redeveloped smart (between Grand and Duff) k Walkability and major roads k Outdoor workout proper equipment and shed Listed below are the responses CRP Club received from the student open house event in the Memorial Union on March 13, 2019. What makes you excited about the future of Ames? k I like the idea of the community health/fitness center (can be very difficult to use the pool at ISU during allotted ‘family’ swim times) + winters require a place for fitness k Remodeling Campustown k New parks k Solar and movement toward being a green city k Great university k Climate change plan!! k Full commitment to reduced waste & renewable energy (reward businesses who participate) k We’re small enough & wealthy enough to be a leader for cutting edge city design k Complete Streets! k A Climate Action Plan that gets us to net-zero carbon emissions k New green spaces like the park planned by west HyVee k New Comprehensive plan! (I am a planner, these things make me excited) k More green space & recycling efforts! k Expansion of CyRide stops k Cutting edge green city k Community greenhouses, gardens, composting, food forest, tiny houses, ecovillage What challenges do you see for the future of Ames? k Continued “sprawl” (large edge of city mcmansions!) k Poor quality construction (apartments mostly) k ·Unsafe streets for anyone not in a car k Expensive services k I feel that much of the recent growth has been for the benefit of a few construction, real estate developers, and chain corporations rather than focusing on the needs of the poor of Ames and the needs of the environment k Climate change k Becoming a carbon-neutral city k Fresh water availability k Outgrowing current emergency service coverage area k Fix drainage on the sidewalks k North Ames emergency Services area stretched thin k Flood! k Better rain sucker distribution k I am afraid that new growth will follow the old model of expansive, car-focused pavement- heavy development instead of being integrated into natural systems k Too much development in flood plain, present but hopefully not future. k Need to get away from car-centric culture. k Addressing climate change k Affordable housing k Controlling sprawl k Unfettered growth and development (residential, large McMansions and sprawling commercial) that takes over green space k Build a larger mall k Too much construction of commercial spaces 42 A M E S C O M P R E H E N S I V E P L A N & not enough businesses coming in to fill them k Loss of cultural amenities k We need more public space in Campustown k Lack of viable recycling options k Increased development in already congested areas (like Duff) k Lack of continuous bike trails What is the best kept secret in Ames? Cross-country skiing trails in Carr pool-North River Valley Park k Ice Cream out in Jewell, Iowa k Great tasting water k Cyclone Cinema k Applied science hiking trails k Morning Bell Coffee k Great nonprofits k Cyclone Cinema k Fuzzy’s Trivia Nights k Vinyl Café k Wheatsfield Co-op k Cross country skiing on ISU’s cross country grounds k The beautiful mixed use path that will be destroyed by South Grand expansion k Pammel Grocery k Akira Karaoke k Outdoor ice rinks k Bike lanes on South Dakota Ave k Ada Hayden & Skunk River Water Trail ENGAGEMENT DATA ONLINE ACTIVITIES 44 A M E S C O M P R E H E N S I V E P L A N ONLINE ENGAGEMENT RESULTS The City of Ames used PublicInput.com as a platform for gathering public input and feedback. Users contributed their responses at stations at public events and remotely (home, office, or other). PART 1: Questionnaire Open/Close: Feb-March 2019 Participants: 525 Comments: 427 PART 2: Mapping Open/Close: Oct-Dec 2019 Participants: 119 Comments: 347 PART 3: Feedback Forum Open/Close: TBD Participants: Comments: 45 A M E S C O M P R E H E N S I V E P L A N PART 1: QUESTIONNAIRE RESULTS Below are results from a community questionnaire administered in February and March 2019. 2.If you live in Ames, how long have you been a resident?(461 respondents) 39% 23% 23% 11% 5% Greater than 20 years 1-5 years 11-20 years 6-10 years Less than 1 year 3.Do you currently Rent or Own your home?(485 respondents) 76% Own 24% Rent 4.Does your household have school-age or younger children?(484 respondents) 66% No 34% Yes 5.Where do you work?(485 respondents) 70% 17% 6% 4% 4% Ames Not Applicable Other Des Moines/Metro Story County 6.Are you currently enrolled as a full time student at a college or university? 87% No 13% Yes 7.What is your age range?(489 respondents) 29% 27% 22% 12% 10% 1% 25-39 40-54 55-69 18-24 Over 69 Under 18 (483 respondents) 46 A M E S C O M P R E H E N S I V E P L A N 8.How would you describe your annual income range? 23% 18% 16% 14% 14% 14% Greater than $124,999 $50,000 to $74,999 Less than $25,000 $75,000 to $99,999 $100,000 to $124,999 $25,000 to $49,999 8a. On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Community Image and Values? 1 Poor 2 Fair 3 Average 4 Good 5 Excellent Don't Know Image of the downtown 1% 1 Poor 7% 2 Fair 18% 3 Average 60% 4 Good 14% 5 Excellent - Don't Know Satisfaction with community direction 4% 1 Poor 13% 2 Fair 31% 3 Average 42% 4 Good 8% 5 Excellent 3% Don't Know Your overall happiness with living in Ames 1% 1 Poor 5% 2 Fair 13% 3 Average 44% 4 Good 34% 5 Excellent 3% Don't Know Quality and satisfaction with community services 2% 1 Poor 4% 2 Fair 19% 3 Average 48% 4 Good 26% 5 Excellent 2% Don't Know Civic involvement and volunteerism 1% 1 Poor 3% 2 Fair 25% 3 Average 40% 4 Good 24% 5 Excellent 7% Don't Know Strengths of community institutions 1% 1 Poor 2% 2 Fair 18% 3 Average 51% 4 Good 23% 5 Excellent 5% Don't Know Ability to attract and retain new residents 5% 1 Poor 12% 2 Fair 26% 3 Average 40% 4 Good 10% 5 Excellent 6% Don't Know Welcoming attitude to new arrivals 4% 1 Poor 10% 2 Fair 28% 3 Average 38% 4 Good 13% 5 Excellent 7% Don't Know Attractiveness to visitors 3% 1 Poor 13% 2 Fair 28% 3 Average 41% 4 Good 12% 5 Excellent 2% Don't Know Quality of Neighborhoods - 1 Poor 5% 2 Fair 22% 3 Average 53% 4 Good 17% 5 Excellent 2% Don't Know Image of the city 1% 1 Poor 5% 2 Fair 22% 3 Average 54% 4 Good 17% 5 Excellent 1% Don't Know (465 respondents) (473 respondents)8b. Do you agree with the statement Ames is a unique city?(455 respondents) 52% 29% 9% 8% 2% Agree Neutral Strongly agree Disagree Strongly disagree 8c. Do you agree that, overall, Ames provides for a high quality of life?(454 respondents) 61% 20% 14% 5% 0% Agree Strongly agree Neutral Disagree Strongly disagree 47 A M E S C O M P R E H E N S I V E P L A N 12.On a scale of 1 to 5 (1 being poor and 5 being excellent) how would your rate Ames in regard to Transportation? 1 Poor 2 Fair 3 Average 4 Good 5 Excellent Don't Know Ames' overall transportation system 2% 1 Poor 7% 2 Fair 18% 3 Average 47% 4 Good 24% 5 Excellent 2% Don't Know Access to employment centers 3% 1 Poor 6% 2 Fair 22% 3 Average 33% 4 Good 12% 5 Excellent 24% Don't Know Condition of streets 4% 1 Poor 12% 2 Fair 37% 3 Average 39% 4 Good 7% 5 Excellent - Don't Know Access to Highway 30 3% 1 Poor 6% 2 Fair 21% 3 Average 50% 4 Good 19% 5 Excellent 1% Don't Know North-to-South street connections 12% 1 Poor 21% 2 Fair 28% 3 Average 31% 4 Good 6% 5 Excellent 2% Don't Know East-to-West street connections 7% 1 Poor 16% 2 Fair 29% 3 Average 38% 4 Good 8% 5 Excellent 2% Don't Know Sidewalks and pedestrian paths 5% 1 Poor 13% 2 Fair 32% 3 Average 39% 4 Good 10% 5 Excellent 1% Don't Know Pedestrian friendliness 7% 1 Poor 13% 2 Fair 31% 3 Average 37% 4 Good 11% 5 Excellent 2% Don't Know Bicycle friendliness 10% 1 Poor 14% 2 Fair 28% 3 Average 33% 4 Good 10% 5 Excellent 5% Don't Know Connectivity of trails 9% 1 Poor 14% 2 Fair 27% 3 Average 29% 4 Good 8% 5 Excellent 13% Don't Know Adequacy of railroad crossings 9% 1 Poor 14% 2 Fair 37% 3 Average 30% 4 Good 5% 5 Excellent 4% Don't Know Truck routing 5% 1 Poor 7% 2 Fair 27% 3 Average 26% 4 Good 4% 5 Excellent 30% Don't Know Traffic speeds and safety 4% 1 Poor 11% 2 Fair 29% 3 Average 42% 4 Good 13% 5 Excellent 1% Don't Know Awareness of transit 2% 1 Poor 8% 2 Fair 29% 3 Average 40% 4 Good 10% 5 Excellent 11% Don't Know Signage and directional information 4% 1 Poor 7% 2 Fair 29% 3 Average 47% 4 Good 11% 5 Excellent 2% Don't Know 4% 1 Poor 4% 2 Fair 29% 3 Average 14% 4 Good 3% 5 Excellent 47% Don't Know (439 respondents) 9.On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Land Use and the Environment? 1 Poor 2 Fair 3 Average 4 Good 5 Excellent Don't Know Location of new growth and expansion of the City 14% 1 Poor 21% 2 Fair 31% 3 Average 27% 4 Good 3% 5 Excellent 5% Don't Know Integrating infill and redevelopment projects 11% 1 Poor 21% 2 Fair 31% 3 Average 16% 4 Good 3% 5 Excellent 18% Don't Know Locations of new growth and rural subdivisions, near the City (within 2 miles) 11% 1 Poor 18% 2 Fair 34% 3 Average 22% 4 Good 3% 5 Excellent 11% Don't Know Management of land use conflicts with zoning and design standards 13% 1 Poor 18% 2 Fair 27% 3 Average 15% 4 Good 2% 5 Excellent 24% Don't Know Incorporating environmental/sustainability principles in planning decisions 12% 1 Poor 16% 2 Fair 26% 3 Average 24% 4 Good 6% 5 Excellent 15% Don't Know Incorporating stormwater management in planning decisions 9% 1 Poor 17% 2 Fair 25% 3 Average 21% 4 Good 5% 5 Excellent 23% Don't Know Visual quality and aesthetics of the City 6% 1 Poor 15% 2 Fair 36% 3 Average 34% 4 Good 6% 5 Excellent 2% Don't Know 10.On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Parks, and Culture? 1 Poor 2 Fair 3 Average 4 Good 5 Excellent Don't Know Providing for Parks and Open Spaces overall 2% 1 Poor 3% 2 Fair 13% 3 Average 44% 4 Good 36% 5 Excellent 1% Don't Know Providing for indoor recreation opportunities 12% 1 Poor 19% 2 Fair 32% 3 Average 27% 4 Good 6% 5 Excellent 4% Don't Know Providing for outdoor active recreation (play fields, courts, playgrounds, etc.) opportunities 1% 1 Poor 3% 2 Fair 20% 3 Average 49% 4 Good 27% 5 Excellent 1% Don't Know Providing for pedestrian and bicycle paths and connections 8% 1 Poor 12% 2 Fair 26% 3 Average 36% 4 Good 16% 5 Excellent 3% Don't Know Supporting art in public places - 1 Poor 5% 2 Fair 19% 3 Average 46% 4 Good 27% 5 Excellent 3% Don't Know Opportunities to attend art, music, theater, dance, etc. events, exhibitions, or productions 1% 1 6% 2 16% 3 44% 4 30% 5 2% Don't (418 respondents) (429 respondents) 48 A M E S C O M P R E H E N S I V E P L A N 13.On a scale of 1 to 5 (1 being poor and 5 being excellent), how would you rate Ames in regard to Housing? 1 Poor 2 Fair 3 Average 4 Good 5 Excellent Don't Know Housing quality and desirability of single-family homes 5% 1 Poor 16% 2 Fair 28% 3 Average 40% 4 Good 7% 5 Excellent 4% Don't Know Housing quality and desirability of apartment housing 5% 1 Poor 10% 2 Fair 23% 3 Average 38% 4 Good 13% 5 Excellent 10% Don't Know Affordability of housing 24% 1 Poor 30% 2 Fair 31% 3 Average 11% 4 Good 2% 5 Excellent 3% Don't Know Supply of ownership housing 9% 1 Poor 26% 2 Fair 28% 3 Average 17% 4 Good 2% 5 Excellent 18% Don't Know Supply of workforce and market-based rental housing 10% 1 Poor 18% 2 Fair 23% 3 Average 17% 4 Good 5% 5 Excellent 26% Don't Know Supply of student-marketed housing (off-campus)2% 1 Poor 6% 2 Fair 15% 3 Average 33% 4 Good 27% 5 Excellent 17% Don't Know Supply of affordable (low-income) housing 28% 1 Poor 23% 2 Fair 15% 3 Average 6% 4 Good 2% 5 Excellent 25% Don't Know Supply of senior housing 7% 1 Poor 15% 2 Fair 19% 3 Average 23% 4 Good 6% 5 Excellent 29% Don't Know (417 respondents) 49 A M E S C O M P R E H E N S I V E P L A N 14.What makes you excited about the future of Ames? Downtown renewal projects; new water system; parks upkeep Knowing that there is a vested interest in the future of the City and a growing cohesive relationship between the city and the University. That we can be more inclusive than we are and have housing for all levels of income. That we allow tiny homes next to homes which means changing several regulations to provide affordable housing for single people. It is still possible to preserve enough of Ames' green spaces that it may remain a place with an above average quality of life. Despite recent development projects being sited in green spaces (track for people with disabilities slated for north Duff Avenue and Wellness Center along Ontario) there yet remain green areas that people can enjoy. If the council were listening to residents, they would know that developing in green spaces is not supported. Projects like Ada Hayden Park and restoring the creek along Airport Road are in line with Ames values, while looking to channelize Squaw Creek and build the aforementioned projects is certainly not. As long as Iowa State continues to succeed in attracting and growing research funds, the future of Ames remains bright. Growing student numbers beyond the current level does NOT have the same positive effect. Research funds attract innovators and entrepreneurs and with that come start-up companies and established companies locating a research lab in Ames (see recent growth of ISU Research Park). This pattern of growth will continue to grow the local economy and tax base. That you are making the effort to update the comprehensive plan. Entertainment and recreational opportunities, opportunities of meeting and becoming friends with new neighbors, community, church, and other volunteers. Possibilities of innovation that can have an impact on whole community such as solar energy farms, new schools, possible new recreational center We have leaders with progressive ideas. It’s hard to get them implemented, however. It would be nice if there was a way to cut down the distance to travel from residential neighborhoods to commercial. Why are all the residential part of Ames where people could walk to shopping without crossing a busy road? Do the student apartments in campustown have to be so tall? Is there cost share to redo a long stretch of sidewalks along an entire street (such as Northwestern)? Thanks for asking for input. The current mayor and city council are as pro-growth as I've seen in my time in Ames. They seem eager to find solutions for growing this city in many ways while remaining fiscally responsible. The growth and development of the local schools. Ames has been a vibrant community with secure employment opportunities with a reasonable expectation of continued growth. the university. I hope they can continue to develop their biking trails and parks. of those differing groups. We are well-positioned for long term success! That we are constantly expanding and growing. 50 A M E S C O M P R E H E N S I V E P L A N I am really excited about the Crawford project and integrating residents of different ages and economic means in the same neighborhood. I am hoping that this project and its residents will help move the redevelopment of Campus Town forward. Ames continues to grow offerings in art and music. Support of the arts and involvement of the community. The growth of the town. Like the new businesses coming to town particularly restaurants and shopping though I do worry about Duff Ave flooding and congestion. Hope the Grand Ave extension to S. 16th can help (getting to Airport Rd would be awesome too). New growth and development, opportunities for young entrepreneurs and businesses I am excited for the potential Healthy Life Center. The ideas I've seen surrounding it would be a great asset to the city. The positive energy of the people of Ames. Ames residents like who they are and have pride in their community. I think that can allow for the necessary growth to make Ames great if they are willing to embrace change. Diversity and culture I gave up on Ames a long time ago. My only hope is that as Ames grows the effect of the horrible 1950s era "planning" will get so bad something will actually be done to solve the problems instead of just kick them down the road. A real city has a grand vision - here it is how many crappy fast food places you can get on one street and how much land you can gobble in single-zoned residential subdivisions and making sure there is oceans of asphalt at the retail destinations this type development demands. I have studied planning and community for over 35 years and the method of making decisions is conspicuous at best. The city's taxpayers subsidize the developments - no one would come here on vacation to enjoy the city - they go to Europe where the cities are planned for people. A quick analysis if existing data would show what types of development are best for the city (and personal health too for that matter) -that study will never happen and little meaningful change will ever occur here. More greasy burger joints,parking lots and unhealthy people. No need for a healthy lifestyle center in a city that is conducive to good health - like Euro cities planned for people. I like the expansion that has been occurring as well as business development. We are doing a good job of attracting companies. I like the discussion (although it happens every 15 years or so) of closing welch. I believe that things may actually happen this time. I am tired of parking meter discussions every ten years. Make a plan for parking and stop revisiting the same issues. If we think proactively we will move in that direction even a little bit at a time. Vision creates this. I would like the bike paths to be connected to the high trestle trail network system and would like to see a progressive approach to living here. Also consolidate the Ames and Holbert School Districts please and thank you. :) I love the parks and trails throughout the city. I'm excited to see the existing parks and trails expanded and maintained. The city does a great job on this end. Addition of more businesses so do not have to go to Des Moines for all shopping Leadership is planning for the future 51 A M E S C O M P R E H E N S I V E P L A N There are more retail amenities (restaurants, shopping) coming to Ames. Having a vibrant downtown with events like Pridefest and other more niche cultural events adds vitally to the city. Support of the arts and culture, investment in education at all levels, forward-thinking leaders who prioritize sustainability, resilience, quality of life, diversity, equity, principled community planning and development, and green energy and jobs. Focus on sustainability and becoming a leader in sustainability and environmental initiatives. Expanding community initiatives that welcome diverse populations and opinions in community conversations and collaborations. Though unaware of specifics, the future of Ames seems bright as long as we work on improving it. The university and many other large employers in the community are on a long-term trend in growth. I believe this points to a healthy economy and diverse employment opportunities. I think that the city listens to its residents and tries its best to respond to them. I know it often does respond the way some people want, but generally I feel the city tries Economic growth that will help local businesses and the potential to bring in additional options for restaurants, stores, entertainment, etc. I'm excited about the unique opportunity Ames has to become a great city to work and live. It's unique because of the University and the sprouting of a tech culture here. Growth and employment opportunities. Can't exactly say I'm excited about the future of Ames. It seems like we've been removing much of why Ames was so attractive in the first place. I've lived here all my life and due the move of the city to bring in more "affordable" housing the overall safeness and desirability of Ames has suffered. Crime rates are steadily rising and if you know the things that are actually happening in the city you just don't feel as safe as you once did. People used to talk about how they wanted to live here because there was so little low income poverty type issues and that's not so much the case now due to the direction of city planning. We'll just be another Ankeny soon, which has suffered in the "hometown" feel also. It's too bad that it's going this way. As long as we continue to have so many international students, faculty, and visitors - and the food and cultural diversity that they bring - I will be excited about living in Ames. We MUST be able to offer a food court or other inexpensive multi-establishment locale where small or new vendors can sell us the ethnic foods of the world, such as west Lincolnway and Campustown used to (before the nightmare occurring there in the last few years eliminated many of the wonderful non-chain eating spots, such as "The Scallion" (Korean) and "Chinese Home Cooking"). Not too much. I feel our City Council and Planning Board have lost sight of the appropriate needs of long term community members in favor of Iowa State and Student needs. We feel the City has pretty much thrown our neighborhood away. We have no way to recover and our life investment is going to be lost as we attempt to sell our house and move to a senior living situation. I also feel there should be more accommodations for seniors who aren't comfortable participating with college students, for example in the gym. That thought is going into planning and the potential to adapt. As Iowa State grows in size and prestige, people from more diverse backgrounds will be drawn to Ames. Showing leadership and example in transition to being a community-oriented, culturally vibrant, and environmentally-friendly city 52 A M E S C O M P R E H E N S I V E P L A N New housing developments. More parks, trails, and shared outdoor spaces in general. When thinking about purchasing a long-term home in Ames my #1 priority is having walkable access to nature trails to enjoy throughout all 4 seasons. Well designed and sustainable This is my home for the foreseeable future. I obviously want to be happy where I live and want my community to grow and prosper. A transformation of our transportation grid to be eminently, safely, and conveniently walkable and bike-able. Integrating all of our development with nature. More green space, much less concrete. Campustown redevelopment and Lincoln way apartment and entertainment complex. Incorporating more sustainable development into the city! Potential growth and attracting young workers, though I don't think we do a good job on this. GROWTH! Ames Mall has really improved and it seems like it is improving. Getting Menards is an asset. Ames continues to be a strong community with engaged citizens, fantastic job market, and plenty of housing options at a range of prices. The university and everything it brings to the town- that relationship is so important and a big part of what made Ames so attractive to us when we moved here 12 years ago. There have been a lot of investments in sprucing up downtown Ames, for individual businesses as well as the new(ish) library. I think the plans for Lincoln and improving its function and aesthetics is exciting. Same for Campustown- lots of effort by the city and ISU to improve that area and I think it is working well. The City seems to be interested in what the ENTIRE community values and open to input from all its citizens. Continued growth of city and redevelopment along Lincoln Way Hard to say, but some discouraging aspects. ie, downtown/Lincolnway corridor City Council and leadership has provided clear direction to better plan for growth and development over the past several years. Previously, an attitude of status quo and maintenance pervaded. Relationships between City and ISU leadership is also better than its been in years which has already resulted in some amazing community projects such as the Ames Airport Terminal Building. With a willingness to move forward with smart growth principles, and with planned efforts with identified partners, the sky's the limit for Ames. Improvements to the ISU campus and athletic facilities Nothing because I didn't move back here to live in a town where it takes me a half hour to get from one side to the other and I don't want to live in a town of 80,000 people with an apartment building on every corner. Ames seeks the input of the residents. That's fantastic if residents educate themselves about the plans and effects and then express their views. 53 A M E S C O M P R E H E N S I V E P L A N Many opportunities in all stages of life. City council have a broad representation of stakeholders for Ames quality of life, policy implementation, and land use regulation The growth of the Research Park The community has a solid foundation - attractive schools, a variety of activity options, attention to park space and trail network, a transit system, employment opportunities, and community members that are positive about the community and wanting to be engaged. The innovation and modernization of south Ames makes me excited! More people living here. Glad we are looking at infrastructure and other updates. Schools are good boundaries. Continued low crime We are an amazing community with the amenities of a larger city with the feel of a smaller community. With private sector job growth and available land for housing growth, Ames has a bright future ahead of itself With crowded coasts and an increased focus on sustainable lifestyles, our central, ag-encircled and university-enriched location is poised to welcome thousands of workers ready to embrace a more harmonious pace of life--where communities build for the long term. It's amazing to me that the city does not have a more robust working relationship with the university on urban planning and design. Because of Iowa State, Ames could be a state and even national leader in sustainable initiatives, responsive design, renewable energy, etc. It seems like we do a lot of either small-ball stuff, or we give a lot of taxpayer dollars/incentives to developers, who are only looking at growth through their lens. Healthy Life Center would be awesome. I live very close to the City Hall gym but it is poor quality and not enough court space to provide for this size of town. I would consider moving closer to the HLC once it is built. I grew up in Huxley and went the to the 3c's almost every day from my pre-teen years all the way into high school. I feel like we've escaped an overabundance of big box stores. Online shopping is reducing the need for them here. Smaller, local retail is thriving. I am encouraged by the continued improvement of non-car transportation systems. I'm also impressed at the resources for aging in place in Ames. The university is providing vitality for incoming industry as well. I love the access to all sorts of things that Ames offers! Ames is unique. Ames has made the lists for great small towns or greatest places to live because IT IS. I would like to see future planning focus on what makes Ames different rather than trying to make it "every other urban revitalization project". Turn railroad track beds - if we can get the RR system out of inner Ames - into trail system The Research Park and the ability to attract quality employers, the variety and accessibility of parks, the availability of cultural activities, a safe and welcoming environment make me excited about the future of Ames 54 A M E S C O M P R E H E N S I V E P L A N I operate a local business, and I am proud to do so in Ames. There is so much potential for a small business in a growing town. I am excited for the opportunity to grow along with the city. The possibility of providing high quality jobs to keep graduates of Iowa State in Ames. I believe the research park and spin-offs from ISU has made our future job growth better but we need to keep striving for more industry like those Plans for downtown development. There is so much potential to make a good main street great, but we have to re-develop! We need more bike paths that are truly connected so bikes have to cross major roads less. I am not concerned as much about "bike to work" options, but more about biking in Ames a recreational activity for families. I think need more branding when it comes to directional signs designating areas in the community and use that branding in with street signs and trail signs. For example, recognizable signs for Downtown, Campustown, Somerset, Research Park, etc. On trails, signs stating x number of miles to Downtown. A fully connected bike trail system is an amenity that families of all ages would use and value. Ames has a lot of potential. It is not a small town that people are moving away from like many other towns in Iowa. It is a destination that I hope people who are leaving rural towns would see as an option for relocation. The new high school and new pool An indoor facility (more bb courts especially, indoor running track, etc.) that is funded with much greater contributions from Iowa State University Combining Gilbert into Ames Community School District; Connecting the I-35 corridor - establishment of light rail between Minneapolis and Des Moines with Ames as a major stop Elimination of the railroads within downtown - both N/S and E/W routes move to E or W of town and S or N of town I like the idea of Ames as a city that may not be quite as big as Des Moines but still has things to do, restaurants to go to, and is easy to get around in, especially without a car. Lots of local businesses, street art, unique buildings, and public "hangout" spaces. Expanding the diversity of our population and the creation of systems and structures to support high quality housing and jobs for a wide-range of people. High quality of living : quality public education, good paying jobs, great family life, low crime rate, quality health care, and a vibrant place for all walks of life including people in their retirement years! Growth. Ames has the capability of adapting to the individuals that live within the community. The economic opportunities in the private sector is amazing, but is going to require the community to realize that if it does not embrace changes that these opportunities are likely going to evaporate and relocate. The city of ames is going to have to embrace changes and allow for non traditional use of land and redevelopment zones to occur. The city is also going to have to get out its checkbook and make investments in infrastructure and amenities that it has historically avoided paying for or tried to push to the private sector. Without these amenities in place the private sector opportunities for growth won't occur. "you don't wait to build an airport until the planes are circling overhead." Having more local, regional and national businesses make Ames their home. 55 A M E S C O M P R E H E N S I V E P L A N We are a vibrant community with great potential to do big things. Potential redevelopment in downtown Ames, expansion of industrial opportunities in east Ames, and the expansion of the ISU Research Park. I hope Ames can be a leader in Iowa and join with other cities across Iowa and the country to prioritize reducing greenhouse gases in the most impactful ways possible. I hope Ames will prepare for and plan to adapt to the challenges of climate change with the best available science. The symbiotic relationship between ISU and the city, along with excellent medical facilities, excellent services, an active volunteer community working at service oriented entities, noteworthy high quality local business and industrial/white collar (ie Research Park, Swine Research, DanFoss) are positive aspects of the Ames area that need to be reinforced and can continue to position Ames as a destination for a high quality of life. I'm excited about the work our local workforce development teams are doing. Clearly they have been able to raise the profile of doing business in Story County, and I believe we have leadership that will maintain good working relationships between entities and continue to make Ames an attractive and viable community to do business. I'm also very excited about the communities continued investment in our schools. The quality of our schools has a direct impact on our communities ability to recruit into the workforce and raise excellent global citizens. Meeting with individuals who work for the city always energizes me about the future of Ames. It's great to talk to people who are passionate about the work they do. I also know a few students who are excited to keep improving Ames, and I'll enjoy seeing their work in the future. Comments Submitted Privately: I hope to see more defined and vibrant campus town, Somerset, and downtown. I also hope for more bike-ability and pedestrian friendly spaces. More cohesiveness overall would be nice The institutional employer base in Ames gives it an advantage in stability during economic cycles, particularly downturns. There is potential, if all stakeholders are included effectively The opportunity for growing a compact city that has neighborhoods with amenities near by (walking distance). That is walking to the park, school, grocery store, coffee shop, etc. Ongoing improvements to bicycle and pedestrian infrastructure. A plan that invites people to stay for longer than just school. School are great but more family oriented opportunities would be great! The main improvement I am hoping for is a N-S route between S. Duff and University Boulevard for those of us who live in SE Ames and would like to go to Main street or N. Ames without getting stuck in the heavy traffic of the Duff commercial area. The prospect of a new comprehensive plan to guide more sustainable and pedestrian-oriented development, as well as the potential for a more robust vision for Campustown that puts student needs and desires first. 56 A M E S C O M P R E H E N S I V E P L A N 15.What challenges do you see for the future of Ames? Propensity for floods is only going to increase with more and more rapid runoff, more upstream farmland being tiled, and climate change. Cannot rely on federal government flood maps, as they don't get updated often and are wildly optimistic. Adding fill to floodplain just moves the problem around. Time to dig out all the fill that has been added in the last 50 years and restore the rivers and creeks. Figuring out how to keep retail dollars within the city. Whether that is through the mall or the growth of small communities within the larger city. Keeping downtown vibrant and using the existing land correctly, we don't need a ton of new apartment buildings. I’m concerned about the 13th street expansion and the empty stores in west ames We have a need affordable housing for lower to middle income earners. The over-build of apartments has a short-term solution but is not quality living habitats for families. Also, it has hurt the rental economy for some of us who own quality rentals. The city council has paved and is paving the way for too many apartment complex developments, and big box apartment/retail spaces in the heart of our commercial districts. These projects are out of line with Ames values and contribute negatively to traffic patterns as well as aesthetically. Small businesses have been pushed out of Campustown significantly and I worry about Main Street if their Lincoln Way corridor plan is realized. We stand to lose the low-slung, distinctive (and with mature pine trees surrounding) building of The Mandarin restaurant on Lincoln Way and will instead be stuck with characterless glassy buildings rising from the sidewalks and blocking out the sun. We are losing our history and its accompanying continuity (The Mandarin, brick buildings in Campustown) and our sense of place. The portion of the Lincoln Way corridor plan that refers to standardizing the quirky housing near Riverside really bothers me since tiny houses and uniqueness are considered very desirable and special by most of us. It is not the city council's business to change/standardize us or make this into a Soviet bloc wonderland. Ames has been a great place, and that needs to be respected. Build the roads first and also parking garages for efficient land use. Ames community planning needs to take place in coordination with Story and Boone counties. I am concerned that there seem to be an awful lot of people who find housing unaffordable or who have difficulty making a living in Ames. Having grown up in Nevada, I am also a bit nostalgic about the days when one could see the beautiful fields outside of Ames. Today it seems the northern part of Ames (outside of the magnificent Ada Hayden area is being gobbled up in development. If the population keeps increasing and areas of rural enjoyment are taken over with housing or other construction, where will people go in the future to enjoy the beauty of nature? It seems to me it's fair to ask if there is some sort of option to continuously paving over the best land in the county. Too many cars. Focus on apartments or big houses and nothing in between. Maintaining a quality environment while still expanding. Ames is large enough as it is and I understand the importance of growth but eventually it will become too big. The amount of murders and crime has been steadily increasing and will only get worse as the city continues to grow. We need to focus on areas that are more important than expansion such as the public schools. Ames desperately needs more north-south auto routes, and at least one more connection to the interstate system. Why nobody has a vision for future traffic solutions is a real shame. Instead of making everyone go through one overloaded intersection at 13th and Grand, why not explore the possibility of extending and widening existing N-S streets to alleviate traffic congestion. Why not hire a real traffic engineer with workable ideas instead of making 13th and Grand into a "super interchange"? Making one intersection carry all the traffic is both short-sighted and dangerous. Heaven forbid any need of emergency vehicles needing that one intersection when it is clogged with everyday traffic. One simple and inexpensive modification would be to wire the E-W traffic lights to alternate, but that seems just way too simple and cheap for anyone to have ever thought of it. Too bad. Traffic is one thing that needs to be worked on pretty much continually. Get somebody who knows what they're doing. The housing market is so tight and cost of living (housing prices and property taxes) that we almost bought a house in Ankeny even though we really wanted to live in Ames. 57 A M E S C O M P R E H E N S I V E P L A N I think Ames needs to be cognizant of the risks associated with fundamental changes in universities and the risk for major enrollment change. City puts to many roadblocks up for luring new business! Example: Olive Garden. Way too many apartment- developers dictate to city. My concern is that we'll just keep doing more of the same, which is turning us into an Ordinary city. Limit student housing "franchises", encourage innovative housing developments (they all look the same), rethink all that lower level retail space requirement, and do not encourage more South Duff development! I agree with the statement below about our potential, but it will be hard work to maintain community character. Having more affordable housing for first time home owners, young families, and residents who are not associated with the university. Urban sprawl clogging roadways, over-development exacerbating flooding by removing water-absorbing plants. Managing to temper growth in a way that benefits Residents and Business Owners as much or more than Developers. Keeping thriving businesses and work in Ames, instead of the Ankeny and Des Moines Metro, things for families to do, lack of opportunity for entertainment that pushes people to the metro Growing congestion of roads though it isn't too bad yet. Connecting the town better since things are fairly spread out. For example, it is sometimes challenging to get to or from Somerset to other parts of town very efficiently. Same for North Grand Mall; may be a bit easier if 30th St was connected to Dayton Ave or at least Stagecoach Rd. Would also be nice to have ramps at State Ave off of highway 30 and a connection from Bloomington to North Dakota. Keeping thriving businesses and work in Ames, instead of the Ankeny and Des Moines metro, things for families to do, lack of opportunity for entertainment that pushes people to the metro Preventing the development of overpriced rental slums caused my the conversion of affordable housing to rentals. Ames residents tend to fear change. Des Moines is moving north and in 10 years, Ames will be north Des Moines. It is time to be part of that metro and encourage businesses to invest here - Costco, additional shopping, Trader Joe's. These are places that will need a home on the north and east side of Des Moines and can definitely be successful here. If Ames continues to let Ankeny take up that flag, it will be left behind as a sleepy, lost community that will not be able to recruit young people to both start their careers here or stay here. Ames does not have to lose it's identity, but it will be trapped in the past if it does not adjust it's vision Too over priced for normal working class to afford. With all the development going up it's skyrocketing the monthly rent prices even in old apt buildings. They are raising rent prices because they can. Not because they're making development changes to these buildings Lack of objectivity - too much vested-interest policy. Rigid orthodoxy relative to planning and development with little incentive for community building. Ames has all the social density of a golf course. Flooding events- making sure the storm sewer system can handle large rainfall without it backing up and flooding roads and houses 58 A M E S C O M P R E H E N S I V E P L A N Everything has a cycle including this planning. We seldom see action steps from community visioning and I find it a waste of time. I also thing every organization asks for funds from the private sector and the city does that as well for fundraising for the animal shelter, pool facilities etc. it makes it seem like the tax base cannot provide amenities that other cities do provide. It makes me want to say if you find it a priority then put tax money towards it. Narrow the focus and don't be everything to every citizen with a concern or opportunity but allow growth of tax base and support the businesses that exist in this community with both the city bid process and the choices made. Focus on impact and not making every idea possible and be honest about this. I get sad that we have long, inefficient council meetings and that individuals do not stay on task. Some people monopolize time and that is not respectful even if what being said is not controversial. We also do a great job of making all decisions controversial. Lets lead in this city and accept that half the population will always have a problem with some initiative. But also avoid pet projects and stay focused on the direction. Don't be afraid of putting in things that make us stand out (allow funky artwork or things not everyone likes. Think if the DOT corner Indian head would be applied to be put in now.). Iconic design is not a bunch of money spent on some light columns. A good entryway is so much more. Lets have some personality in our aesthetics. Attracting larger businesses to take root in the city in order to grow the community. Inclusivity and ensuring that there are things of interest for all Ames residents. I hope there is improved support to new businesses (funding, resources). Homeownership for families and affordable housing for working adults. Lack of collaboration between City of Ames, Iowa State, and School District. Need for more activities for families with young children. Too much focus on Iowa State and not on the working families in Ames 1. Planned changes for Inis Grove Park ignored detrimental environmental effect; i.e., loss of one acre of topsoil from a plot of four acres. 2. Zoning requirement that apartment developments include portions of devoted to retail space seem to be ill-timed, considering national trends of increasing empty retail facilities. 3. Large apartment developments do not appear to be compatible with their surrounding neighborhoods, but, rather, they transform them into higher density housing and parking areas. Is the review process for permits adequate? 1. Attracting and retaining a diverse population. Often, many families of color find Ames to be unwelcoming and unsustainable for a variety of ethnic foods restaurants and shopping, ethnic cosmetics, lack of diversity of faith community and worship spaces. 2. Not enough affordable housing for single-family non-students. 3. The social climate of schools is also challenging for children of color. 4. Need more nightlife and social amenities for adults and non-students. 5. Greater retail options for clothing and apparel to make it more attractive to shop in Ames as opposed to driving to Des Moines, Minneapolis, Kansas City, or ordering online. Lack of affordable one story townhomes with laundry on the main level. Inadequate stock of professional office space, e.g. what could be used for small/solo practices, which are located on bus routes and with handicapped accessibility. Lack of affordable housing and wheelchair-accessible housing. Lack of affordable senior citizen housing. Very high property taxes. Traffic congestion. Inadequate shopping; I still have to go to Ankeny for a lot of my shopping. Getting the city to understand that snow removal on city streets really ISN'T very good, relative to other cities and towns--the city cannot seem to grasp this. Appropriate planning for sustainability and resilience, offering affordable housing and reasonable property taxes, flood and erosion control, protection of parks and green spaces, openness to alternative and progressive educational opportunities, taking care of our children, preventing poverty, promoting walking, biking, and public transit. Traffic controls and walk ability mainly near South Duff. Expansion of a north Ames and movement toward Gilbert instead of all around Ames. How will the City of Ames plan for the risks and hazards of climate change when planning for the next 20 years? How is Ames preparing to address aspects of life in Ames that will be the most vulnerable to the risks and impacts of climate change? Prioritize equity, diversity and inclusion in Ames in all development sectors. 59 A M E S C O M P R E H E N S I V E P L A N We do really need to do something about more shelter and more affordable options as well as working to stop climate change. The city appears to be in conflict about growth. Many of its residents know the city from when it was smaller and appreciate a small town environment. I also appreciate a small town environment but recognize that there is strong momentum for the growth of Ames and the surrounding communities. Ames has to be the central city, due to its existing university and industry. The only question is how will the city grow. My concern is that a general resistance to acknowledging the inevitable growth is leading to piecemeal tactics and frequent revisioning of plans that were supposed to better serve the long-term outlook of the city. We're losing our retail options. We need retail or it's all going to be Ankeny, Des Moines, and online. We need to attract retail other than big box. Decline in single family living desirability and safety issues. That our city cannot rally the needed participation in the SunSmart solar project after more than 2 years really troubles me. While it has not been sold well - such as telling people right up front that they will get some financial benefits back from it and that they can pass those on to others - which are important but not well-known. This indicates to me how non-community-minded and/or transient most of the people of Ames are and it troubles me greatly. We have very serious climate change and resource over-exploitation occurring in the world and there is a need to integrate resource sustainability into all of our planning and thinking at every level of society, but I see very little of that reflected in the plans or actions of my city. Again, I feel it is a difficult challenge to provide affordable owner-occupied or even rental housing for families. All the affordable houses have been chopped up and filled with students so there are no single family houses that are affordable for families. Addressing housing and climate issues regarding the next twenty years of projected growth and changes. There is no child care and the cost of living is high for young families. •The City of Ames should include a Climate Change Vulnerability Study in its Comprehensive Planning process. •Promote a vision and goals for Ames to be resilient and prepared to adapt to the challenges and opportunities of climate change. •Plan and design to minimize future impacts of climate change, such as heat waves and flooding. •Prioritize equity, diversity and inclusion in Ames in all development sectors. •Promote emergency preparedness and safety for all people. There is too much rental housing that is neglected and in bad shape and the price of most apartments, as well as just the sheer number of them, has gotten to be outrageous. Most new residential development is happening at the extreme far north and far west parts of town. With the university owning so many large plots of land all over, it makes a balanced approach to growth difficult. Squaw Creek and Skunk River also present challenges for orderly development. The street network in this town is getting better but is still very bad, made worse by a lack of signal timing and coordination. There is a large population in this town, mainly students but others too, that only stay for a few years and then leave- it's a transient community that brings its own complexities. Adding biking facilities is difficult- I think a lot of people would like to see more but there isn't room on the streets to accommodate it so that is definitely a challenge. There is no assessment of environmental impacts with the comp plan or at an individual development project level which is standard for Iowa but unfortunate. Stormwater planning and water quality get some attention at least so that's good. Thoughtful growth within budget The Iowa State student body seems to be growing faster than the City of Ames can support. Housing is, of course, vital to Iowa State's growth, but it's a little discouraging to see apartment buildings/complexes erected in every available location. Being a thriving community without relying on the "economic growth at any cost" model of development. Switching to renewable energy and recycled natural resources. Minimizing the impact of climate change on people and environment. 60 A M E S C O M P R E H E N S I V E P L A N Ames has a number of amenities contributing to an overall high quality of life for most residents. Identifying limitations in and adjacent to these amenities to strengthen key areas and provide more opportunities for residents, with consideration of future needs will be a challenge; particularly when coordinating with other major community partners like Iowa State. Improvements in north south transportation routes on the east side of Ames particularly improve and reduce traffic on Duff. Overbuilding and having empty apartments, building too many new houses and not being able to sell the older ones, forcing people into annexation, destroying farmland and environment in the name of "progress." Will there be sufficient economic opportunities for all residents? Transportation challenges for those not affiliated with Iowa State. Ames should plan to be a part of a regional development that includes the surrounding counties. A more comprehensive plan should include reliable public transportation transit that connects the surrounding counties. climate change, changes to the structure of higher education Old Town Historic District. There are beautiful homes and it would be nice to live there for the walking proximity to downtown. However, I am extremely hesitant to purchase a home there. With many of the homes nearing 100 years in age, I fear the neighborhood may change dramatically. Many people may not find the homes worth the expense in upkeep and updates which may lead to many of the homes deteriorating without repair or maintenance efforts. I would imagine many people would opt to invest in new developments in the outskirts of town. should attract more people Growth. The city was not designed for the growth it has had. The affordability of housing is only increasing every year, at an exponential amount. Rent shouldn’t go up $200+ dollars a month after one year and no changes where made. Houses are being built in Ames, but nothing first time home buyers (like myself) can afford. If you want to attract young adults to stay, housing has to be affordable. I also see that the development of West Ames is poor. We need a Walmart or a Target or an Aldi to compete with prices of Hy-Vee. There are so many apartments and people living in West Ames, but not much to do, places to shop, or places to eat. Future commercial growth and traffic planning will be critical to maintain quality of life. South duff area as a main entry to the city, IMO is a debacle - unattractive, disorganized & traffic/access poorly handled. Ames can & must do better. N/S travel through Ames is far more of a challenge than E/W. Future development in the vicinity of RR tracks, esp. residential, needs to be carefully planned, both for safety and tenant/owner satisfaction. Affordable housing will also be a challenge to allow workers in Ames to live in Ames. Housing to accommodate all - students, workers & families - affordable & in harmony will continue to be a challenge. Environment is a big issue now and I would like to see Ames implement a climate action plan and use more sustainable environmental ideas in the future "Growth" as it has been happening so far has been hostile to pedestrians and nature, and I am concerned that much of the "growth" conversation is being driven by the wealthy and business community while the culture, health, and environmental needs of the population are unmet. A city which is un-walkable is unhealthy. I also see poverty and homelessness as severe issues. This challenge should be tackled by empowering communities rather than simply "fixing" the obvious problems. Ames should have a climate action plan and be working on ways to reduce waste and emissions. I also think the resource recovery center poses a major challenge for sustainability. Redevelopment of core areas, entertainment and recreation opportunities for active people. 61 A M E S C O M P R E H E N S I V E P L A N An overall scarcity mindset. This is the most conservative college town I've ever lived in, there are a good number of curmudgeons that control the lions share of election votes, and therefore they take up too much intellectual space in our economic development. Since living here for 9 + years I see lots of negative attitude towards growth. People complaining all the time about Duff Ave is silly. (let them move to a place that has real traffic). I have a son who is an Asian American and he thinks Ames is prejudice toward Asians and Blacks. I can not speak to this because I am white but, I thought I would mention his concerns. Not enough meeting space to host events. Rural vs. urban tensions regarding land use expansion in fringe areas Increasing population density without losing green spaces or aesthetic Geography will continue to be a challenge. Urban areas are more attractive to young people. The winter climate is a challenge for older people. Declining enrollment at Iowa State University is inevitable. Our housing stock is skewed toward student housing. We will be challenged to convert suitability of this student-focused housing to suitability for other types of residents. Maintaining older housing stock and thus the attractiveness of long-term neighborhoods. Balance of infill and expansion of city boundaries. If we are going to protect farmland, we need consensus on how to integrate new development into the existing community. Current residents need to feel secure that infill development will receive adequate design and integration scrutiny. Providing adequate income to enable residents to afford housing and needed services. I would like to see our community diversify our housing and commercial options beyond university-age individuals and to expand options to meet the needs and interests of 'senior citizens'. A challenge would be modernizing the off campus housing and other areas that are not included in south Boundaries. We were short sited when north Ames was developing not to make part of the schools. We need to also not just look at high income areas. We desperately need moderate priced and sized homes. Rent is really high. Way too many student apartments and other apartments that were put up quickly and poorly done from having been in some and talking to students. Home rental codes are strong and good. It seems like some apartments don’t have to comply. We need more inside activity places in the downtown/central east side of town. Availability of affordable single family town homes and homes especially those not wanting own. Ridiculous poor planning of sticking everything on Duff. West and North Ames need retail etc. Especially need a "mall" not everyone can afford to shop downtown. Also a YMCA or affordable (not 40-50$ a month) fitness center Some in our community are afraid of change and fear growth which is necessary for a thriving community in today's world Mixed commercial / residential buildings often have little/no businesses in them Balancing the influence of large developers and lower-quality, quick-growth buildings with the reality that revitalizing our character-rich downtown and older buildings is what will make people want to invest and stay in Ames. We need to articulate and commit to a sustainability- and art- focused middle ground that will require initial investments to serve character to our community for decades to come. Getting developers to build small less expensive homes so we can be more inclusive. We're not putting enough thought toward the sociological aspects of community in our urban planning/ design. For example, the proliferation of these high-rise apartments on previous vacant lots -- they do nothing to enhance the aesthetic of the surrounding neighborhoods. They and other construction along L-way are visual clutter and don't invite people to linger there. 62 A M E S C O M P R E H E N S I V E P L A N I think the lack of affordable housing for young families is going to choke off the long-term growth of the area. I'm also concerned that we maintain outdated traffic rules like unrestricted intersections in the Roosevelt neighborhood and high speeds of 35-45 mph on residential streets like 24th and 13th. Oxford has instituted a "20 is plenty" speed limit around the university to prevent pedestrian deaths. I think folks are too quick to rule out more "radical" approaches to managing vehicle traffic. Affordable housing! That seems to be the biggest issue that I see! Some college students cannot afford some of the prices that these apartments demand! The cold weather With the recent zoning changes along Lincoln Way and it's focus of attracting more chain style businesses to Ames, I believe the biggest challenge will be finding the work force to fill those types of "minimum wage" jobs. Slow development in Ames - hard to add new amenities without lots of red tape. Ankeny is quick, Ames is slow Enough housing to keep up with the job growth and enough retail to keep people in Ames. Don't understand paid parking meters downtown if the city wants to encourage people to come to east Ames, Make it free and people will be more willing to come and spend. Retailers and city will make more revenue in the long term! Maintaining the quality of life we currently have as the community grows. Needs more economic and ethnic diversity including food options and entertainment options Ageing areas of both commercial and residential properties that cause the city to appear rundown or unkept. Affordable housing for low to moderate income, seniors and veterans; traffic patterns in this city, particularly the south duff area, are horrific; the Lincolnway renovations around the downtown area are unnecessary; our zoning department is slow to act for existing businesses wanting to renovate or add to their current location; As our population ages, keeping seniors healthy and happy here is a key. The challenges are keeping Ames safe while growing smartly. I see housing as a challenge. We live in Story City but my husband and I both work in Ames. It has been hard to find an affordable house in Ames. In addition, my husband and I are skeptical about the Ames public school district. As it grows larger, keeping it friendly Campustown needs a massive overhaul ... even with new development, still is hair salons and bars ... could use a better vision there. Cross town travel ... need some sort of reliable, environmental-friendly light rail system Traffic Any downsizing of ISU and/or Government facilities (National Animal Disease Labs, etc.) would be a hard hit for Ames We do need to find a way to better incorporate and support locally-owned and operated businesses. We bring a lot of character and opportunity to our community but can be overlooked as both the Chamber and Ames City Council talk about redevelopment. Especially as we operate on Duff Ave and continue to see large businesses take over spots once operated by local owners. Redevelopment doesn't need to be a scary word, but when it consistently seems to be synonymous with higher rents and national chains, it will continue to bring opposition from local businesses. 63 A M E S C O M P R E H E N S I V E P L A N Keeping people here after they graduate university (or attracting them from another university), this can make or break economic growth as well as foster (or hurt!) a culture that values trying out new ideas. Ames is a very white, affluent, educated community and touts this. Much of the community conversation supports the concept of racism and white supremacy. When residents talk about Ames expanding many are afraid of becoming a more "urban" place or bringing in high paying jobs which result in a certain level of education - these exclusive thoughts are not helpful to making Ames a more accessible place to live for folks who are not white, affluent, and educated. This will only allow for a specific type of growth. Running out of space for anyone that is trying to come into Ames. Biggest challenge I see is the split views in the community between those who want Ames to be a small college town without urban sprawl or modern development and those who see the needs of future residents changing and wanting to drive the change to meet these needs. Community leaders have to figure out how to lead, make the hard decision and stop waiting for consensus before making the decision. The community needs to figure out how to unite and prioritize. Do we really need to get distracted on an issue a minority of residents raise? Do we really need to do another study to make a decision? Ames needs to embrace growth and make investments towards growth. Lack of diversity in housing types which leads to young professionals and families living elsewhere even though they work in Ames City's willingness to significantly invest in quality of life amenities. I think that extreme weather events with flooding, extreme rain events, and heat waves will be challenges. I think people will move from the coasts to the Midwest. I think that Ames needs to develop 100% renewable energy and energy efficiency plans and goals. Certainly affordable housing needs to be at the forefront of our community's long-term planning. I also believe the road system, and pedestrian/bicycle access will need to be addressed. Challenges include building while still acknowledging the flood plains, caring for the homeless population, attempt of further extension of roads such as duff will increase congestion High housing costs are a limitation to the ability of the community to increase diversity as it grows. Ability to leverage existing resources and assets like the university, social and physical resources. We have some great parks. Subsidizing economic development too much (e.g. east industrial area). If we give everything away (infrastructure) to create jobs (we already have lowest unemployment in the nation) and get little tax revenue; we then can not afford to create the good things like indoor pools, library services, etc. I think its difficult to own a small business here and afford to rent space for that business. New buildings in campus and potentially on Lincolnway near downtown may make that worse. We need to encourage unique restaurants and businesses. Lack of rental options for working professionals and concentration of new housing on the edges of Ames without good CyRide access.Perhaps maintaining affordable housing options for low-income citizens within reasonable distance to their site of employment and schools. A lack of affordable rental units, a lack of locally owned businesses in the face of new chain developments, a lack of vision-based decision-making. 64 A M E S C O M P R E H E N S I V E P L A N 16. Describe what you believe should be the top focus for the City in the Plan? Need to stop AND REVERSE floodplain development. New Menards and dealerships along Skunk river should not have been built. Promises were made years ago to stop this development, but it continues. Also improve bike trail connectivity Improved policies: Policy for the City of Ames of $15 minimum wage for large corporations. Promotion of public not-for-profit dental and vision care, ideally a stronger promotion of NFP healthcare. We must MUST improve our climate control initiatives on the local level, and recycling should be a greater concern. The library should be supported. WiFi infrastructure and transportation supports for the elderly and for low income families beyond traditional busing. Rental housing for adults that aren't college students and don't want to live in apartments would be a beneficial project. Definitely affordable housing as that is key in all cities right now. Smart growth on Lincoln Way, don't let it lose personality. Focus on renewal not just building new areas on outskirts of town Infrastructure improvements. Get Grand connected to South 16th so there are more expedient North/South options To proceed with the Ames Promise as a compass. If Ames is really for "Those who want the charms and convenience of a small town with the opportunities and amenities that come from a major University.", this means that the city should concentrate on not getting in the way of the charm and convenience, while the University does what it does. This does not mean promoting growth (and the accompanying increases in expenses, requirements, and pressure), urbanization, big city ways - building, programs, parking systems, etc. as the council has been. Ames has been a great place to live and I see changes to this and the heart of Ames not being respected. To proceed with the Ames Promise as a compass. https://www.cityofames.org/government/mayor-and-city- council/vision If Ames is really for "Those who want the charms and convenience of a small town with the opportunities and amenities that come from a major University.", this means that the city should concentrate on not getting in the way of the charm and convenience, while the University does what it does. This does not mean promoting growth (and the accompanying increases in expenses, requirements, and pressure), urbanization, big city ways - building, programs, parking systems, etc. as the council has been. Ames has been a great place to live and I see changes to this and the heart of Ames not being respected. To maintain the strengths of Ames and what Ames residents value as in the Ames Promise. https://www.cityofames.org/government/mayor-and-city-council/vision If Ames is really for "Those who want the charms and convenience of a small town with the opportunities and amenities that come from a major University.", then that means that the council needs to focus on not getting in the way of the small town charms and convenience, while the University does what it does. The Ames Promise does not include urbanizing, big city-style development, or perpetual growth. It is not the city's place to choose winners and losers, much less in favor of winners who do not fit with the Ames Promise and Ames values. Any development of city property certainly should be in alignment with the Ames Promise. Let's respect and care for what we have and not promote messing it up. While Ames has been a great place to live, I see unwanted changes and this being jeopardized. Utilizing existing space and land Ames already has and utilizing it more effectively and efficiently instead of sprawling out of the current boundaries like a number of other college towns have done. We have among the best soils in the world and need to continue to utilize for ag production instead of concreting and asphalting over it like Ankeny is doing. Maintain environment and don't developed in these areas Designing a city that is Climate smart. Natural resource protection. Walk ability and bike ability. More electric charging stations. 65 A M E S C O M P R E H E N S I V E P L A N Getting traffic off the north south streets and roads by adding roads out of town from the north Building better schools & funding for emergency responders. Stay on top of the traffic issues because it will just get worse over time. Encouraging small business and lowering taxes. Better traffic flow! Big city with small town mentally on how to effectively move traffic. Ontario and13th should be 4 lane all across town from I35 to R38. Affordable housing as well as walkable streets and SIDEWALKS and improved bike trails. Careful management balancing progressive building with environmental factors, keeping Ames's character unique charm from morphing into a bland city. Parking and keeping businesses in town. Also need better flow of traffic when leaving town at commute times and more north south roads that people who live in Ankeny, Slater, Huxley can use to get out of town. Combating sprawl. -Side road relate like Clark ave-high traffic side street -Not allowing the high school to let these kids fall through the cracks. A lot of kids are getting left behind. One dept doesn't talk to the other dept about their mutual student. We need more diversity in staff so our students can relate and feel inspired. -Make housing more affordable for the people that live here. Please stop raking up rates to new development housing for all these students Housing management to prevent inner city decay. Public Transportation and high speed access north and west of Ames. As suggested above, the next 20 years will see major changes in our physical environment, impacted dramatically by global warming. The Plan needs to be exceptionally forward looking in making adaptations for situations which we never have had to deal with before: i.e. dramatic weather events; flooding (it's almost beyond belief how little attention has been given to the inevitability of "100 year floods" becoming commonplace in the near future); economic decline due to loss of/damage to production facilities; need for adaptable energy sources due to dramatic rise in cost and availability of traditional energy solutions; education of the populace in regard to changing life style expectations related to these and other changes in the physical and social environment. Events and development near Main Street. This seems to be a great place for the university and general citizenship to unite in location. Keeping dollars inside the community and focused on unity. Providing entertainment and things to do that keep families and young people staying in the area and spending money. I think promoting and recruiting expansion type businesses to Ames that will not only provide jobs but also provide additional quality of living to the area - from a work-life balance standpoint. I understand why research and industrial options seem appealing but if you are hoping for net migration to Ames for jobs alone, my experience has been that is a tough sell to potential young professionals. 66 A M E S C O M P R E H E N S I V E P L A N People first - cars second. The healthy life style renderings shows he entrance surrounded by parking and paving - the parking should go in back and bike wracks in front. Parking is ugly and the placement sends the wrong message - drive to the work out place. The plan is cliche - big windows into a pool area the least appropriate place they could be for example - so Mid West design - I don't want the chill from the glass and I can't see out the windows while I"m swimming anyway. Chlorine and bromine have been linked to all manner of respiratory problems as well. Why can't I swim at Aida Hayden(?) - every reason they tell me it is bad I consider good -under used resources via preconception and group think bureaucratic ineptitude. Mixed use as the norm. Density for the purpose of enhanced experience and lower city infrastructure maintenance costs which is conducive to healthy people and lowered health care costs. 1.Supporting local businesses. Be proactive and not slow the process for new business develooment. Hire good city staff that is trained so there are not surprises late in the orocess that cost time and money. 2.Amenities for citizens. Specifically a path system and fire service and coordination on community asthetics. 3.Finish Grand already 4.Water sewer issues and localized street and neighborhood flooding. Solve this with true engineers and new infrastructure. Taking time to consider environmental and financial impacts on citizens within the community as well as community involvement. Ensuring that the city has the what it needs to be attractive in ways that will sustain and help it grow - attractive spaces, plenty of small shops to frequent, intellectual and cultural opportunities, et. Afforable Housing and Business Support for the mall 1. Transportation and parking in the campus area is a worsening problem. 2. North-south transportation: a. Grand (north of Lincoln Way) Duff (north and south) appear to be at capacity at the busy times. b. extension of Grand going south has been discussed but not completed. c. Going further north, we continue to bus many Ames students to Gilbert ten miles or so per day, which is expensive (in money and time) and unsafe. This archaic arrangement should be publicly reviewed. -The City of Ames should include a Climate Change Vulnerability Study in its Comprehensive Planning process. Prioritize equity, diversity and inclusion in Ames in all development sectors. Sustainability, green energy, resilience, and robust, inclusive community that values all its citizens and promotes and ensures their welfare. Promote a vision and goals for Ames to be resilient and prepared to adapt to the challenges and opportunities of climate change. Prioritize equity, diversity and inclusion in Ames in all development sectors. Support schools, libraries, arts, cultural events, diverse learning and educational opportunities. Encourage Ames to limit further geographic sprawl. Longer distances make cycling harder and less viable. Sprawl causes longer distances that increases cost for services such as school buses, ambulances, city water services, and travel in general. Work more on transportation so that those who don't drive don't have to walk so far in the winter or pay a bundle for an Uber. Also climate change and more affordable housing. Students are having to work 20 hours (the max at ISU) just to be able to afford apartments. Improving the feeling of welcome, diversity, and inclusion within the broader community. The perception is that Ames is a great place to live if you are middle class and Caucasian. Grand Avenue extension to South 16th Street. 67 A M E S C O M P R E H E N S I V E P L A N Stop building apartments! Stop making it so that neighborhoods must include things like apartments and multi occupant dwellings. Neighborhoods should be just that, neighborhoods. They shouldn't be mixed with a bunch of student housing/apartments where people who don't have a long term vested interest in Ames upset actual long term residential peace, quiet and safety. We also need more police for the size of our city and ambulance shouldn't be serving the county before those in the city itself. Sustainable development is most important to me. This means thinking seriously about the generations who will live here after we are all dead and acting with that in mind. There are too many aspects to discuss here, but they easily can be found in libraries an online. We need more trees and shrubs and diversity of plants and incentives for planting and maintaining them. In my neighborhood, several owners have taken out most of their shrubs, good, non-ash trees and ornamental plantings to make maintenance "easy." Most people in Ames put herbicide (and probably insecticide) sprays on their yards, without thinking much about it. We are constantly getting the drift and it damages our garden plants. We need help to have less flooding in our basements now that there seem to be more big rain events and more floods in our future. The design of the Somerset neighborhood seems to be a good model (that I know little about), but it has a mix of commercial space and denser housing, unlike most of Ames and like Asian and European cities and towns that are much more livable than Ames because of this kind of planning. Sustainability Better traffic flow on Duff, South Dakota, and University exits and more incentives for daycares and locally owned businesses. Environmental planning. Iowa State and the City of Ames have a unique opportunity to incorporate environmentally- friendly aspects into their growth and plan for the future of the city. Of particular importance in my opinion is maintaining wildlife corridors throughout the city (green spaces, parks, trails, forests, etc.) to allow safe wildlife dispersal (limit car accidents involving deer or other animals) and residents to enjoy. Becoming a carbon-neutral city by investing in/encouraging wind/solar power generation and carbon-offset projects . City-wide recycling program. Scale and accelerate progress to reduce greenhouse gas emissions as much as possible, in all development sectors. I would probably pick housing for the top focus. The student enrollment at ISU has been leveling off and I think housing needs should reflect that. The city can't keep adding apartment units like they have for the last 10 years. And mixed use with 1st floor reserved for commercial has not worked real well, in my opinion- it seems there is a lot of empty commercial space in the mixed use buildings near Mortensen and South Dakota as well as the one on the south side of Lincoln, between Wilmouth and Franklin Avenue. I believe it is still worth it to the developers to pursue these mixed use buildings because the rent from apartments is so high that the empty commercial space doesn't hurt their investment but it looks bad with so much vacant storefront space. I think there is a good range of single family housing at a wide range of price points but there is a lack of affordable rental units in this town. more independently owned new restaurants and shopping, less chains Environmental sustainability Unfortunately, continued expansion into surrounding areas Reduce continued development in the flood plan along the Skunk River. Reduce the development/construction of apartment buildings built for student housing. 68 A M E S C O M P R E H E N S I V E P L A N You think progress is always a good thing and it isn't. Along with more population comes everything that goes along with it including crime and gang activity. I truly do not believe that you can have 15,000 more people in this town in 20 years and keep the same small town feel. It just isn't possible. I was born and raised here and I've lived in two other states and in cities of hundreds of thousands of people. I moved back here for a reason. I love the small town feel and the campus atmosphere. You keep getting bigger and that feeling will start to fade. It isn't just my opinion; it is fact. We all live here for a reason. If we wanted to live in Ankeny, we would live in Ankeny. There are houses in this town in good neighborhoods that are on the market for years and you want to build more houses?There are people going bankrupt with apartment buildings because they can't fill them and you want to build more? This city is a joke to outsiders because it looks like an Army barracks with all of the apartments. There are more signs for rent on lawns in this town in the last two years than I have EVER seen before because landlords are freaking out they can't get them filled. And you want to build more? What happens if ISU starts requiring freshmen and sophomores to stay in the dorms like they do at U of I? What happens if the government starts paying for people to go to school at community colleges which is a possibility because kids don't want to graduate and owe 70,000 in loans when they get paid 30,000 a year. My cousin is a scientist at the USDA and is the only one with her job in the state. She has 70,000 in student loans from ISU and makes less than I did 15 years ago with no Bachelor's degree. I heard tuition is going up and enrollment went down by a thousand this year yet you want to build more? You are going to turn this town into something that it is not and shouldn't be. And in this plan, stay away from areas where people WANT the area to stay as it is. If people want to stay rural, then LEAVE THEM ALONE! Progress isn't a good thing if no one wants to live here anymore. I've never talked to anyone in this town who has ever said, YAY we have another apartment building going up like that monstrosity on N. Dakota and LW! Or YAY the city wants to bring 15,000 more people in and destroy more farmland and environment. No one says that...EVER...except for the city of Ames and developers because money is the only thing that matters. What is so wrong with keeping it the way it is? Why do you have to try to keep turning us into Des Moines? Managing growth to include the more affordable surrounding areas ((the surrounding counties) Make more walkable through traffic calming, planting street trees, increasing density. Jeff Speck is a great source of info on this. Make public policy/development decisions with an eye to financial resilience. Joe Minicozzi at Urban 3 is a good source for this. Also the StrongTowns organization. State of the art education facilities - this seems to be underway already which is fantastic to see. Improving existing neighborhoods and investing in new neighborhoods. A switch to renewable energy - a solar city would be great. More parks & rec green spaces and trail systems - this really is huge for quality of life in my opinion. Connecting trail systems to the Heart of Iowa Nature Trail and High Trestle Trail without having to dravel on roads/ highways would be incredible. Should attract more people Truly affordable housing for the average Ames resident. We can’t work full time at a decent hourly job and afford a 1 or 2 bedroom home. Don’t expect surrounding towns to be an acceptable alternative to living in Zane’s. Affordability of housing should be a top priority if the City wants to continue to grow. Second would be city development (ie shopping, places to eat) Thoughtful growth and sustainability that maintains the character of the city. More bike lanes and a climate action plan and also perhaps better highlights of parks near Main Street to increase foot traffic there Environmental, sustainable design, walkability, and integrating our community into nature. (More trees, less concrete.) I think that our overarching goal should be a community in which cars and parking lots are not necessary. This means improving public transport, as well as remaking our streets to be pedestrian-centered, not just pedestrian-friendly. Urbanization, become a better planned and pedestrian friendly city. Climate action! 69 A M E S C O M P R E H E N S I V E P L A N Increase housing, build and connect bike trails already planned. More allowance for entertainment. GROWING the community in a sustainable way and in the right way. Including more transportation outlets to the interstate, incentivizing those who create the good opportunities versus making it a hard place to do business with and thinking outside of the box in terms of housing for the millennials. Creating congruency between the idea of growth and what actually needs to occur in order for that to happen: it would seem the community/leadership wants the research park to continue to bring in 100K jobs and then to just let those people live in Des Moines. This is not sustainable, smart, or good for Ames. We need to keep these people here or Ankeny/Waukee/whomever will just steal our model and put a beachhead here. Affordable housing... and not just more and more apartments. Create a better convention/meeting space than Scheman or revamp it to attract outside events and visitors (which will increase revenue for hotels, restaurants, attractions and more). Attracting new residents with affordable, healthy lifestyles Increasing the satisfaction of current city residents - improved transportation flow and increased transportation options, increased community engagement with decisions regarding new construction - both infill and expansion of city boundaries, increased housing options for range of incomes. The top focus should be drawing residents and retaining them after college by modernizing the town. We need to focus on where and how the city can/will grow Affordable housing and increased recreation opportunities Rerouting city infrastructure and culture away from prioritizing single-rider cars. Though this directive may seem simple or anti-car, it's not: This focus will improve our city for everyone, even vehicle-based commuters, so our city develops an updated feel with lots of visible outdoor activity and handsome natural areas integrated into our infrastructure. Simply catering *less* to the needs of cars will allow space (and focus and funds) for attractive broader sidewalks; up-to-date bike paths that put us back in the competition for national rankings (we used to be #6 nationally, but plummeted when we failed to adapt like other cities did); ped-malls that transform our downtown and/or campus town into a local-business-supporting, cultural destination; and walking the talk that Ames truly cares about residents' physical vitality. With our amazing transportation system, CyRide, more people should be leaving their cars in the garage, and they won't if we keep adding lanes and parking spots; rather, let's learn from the famous Iowa-set film and "build it" (i.e., pedestrian- and bike- friendly infrastructure) so "they will come." Creating a sense of true community through walkable streets and neighborhoods, engaging outdoor plazas and spaces, etc. Focus on downtown and Lincolnway. AS part of that, the requirement for housing doesn’t really make sense unless you have things for people to do. I also wouldn’t want to live on Lincolway, too much noise from traffic. I can see some housing in the area especially for seniors. Young people only have bars to do downtown. Let’s have another affordable place like perfect games, bowling etc. Downtown stores need to be open longer in the evening. Who can shop from 9-5? Not most people as they are working. Streets, rain/water drainage and systems need updating. Flood waters in homes are too frequent with inadequate size. 70 A M E S C O M P R E H E N S I V E P L A N Transportation. While I understand that local business people are focused on growth, growth, growth-- transportation can cut off the future of a city like Ames within a generation. Affordable housing! There are much bigger areas such as Des Moines that have just as nice of apartment living, that people not just students can afford! Not everyone has a parent that will write a check! And it pains me to see, kids not only taking full-time credits at college but working full-time as well! And still not being able to make ends meet! Not everyone has a silver spoon Be more pet friendly Growth that will encourage growth with out steamrolling over businesses who have spent generations making Ames the great city it has become. Finding room to grow and planning for affordable individual family housing (not apartments) as well as additional commercial areas should be the focus. I would like to see the city staff and council find ways to encourage local entrepreneurs and current employers to continue to keep that uniqueness in Ames rather than engaging in marketing that focuses on giving away our tax dollars to out of state developers. In all planning, there should be balance. While Ames does have a wonderful transportation system and has focused recently on the pedestrian and bicycle paths...there needs to be a little more focus put back to accommodating vehicle traffic. The majority of Ames residents still rely on vehicle transportation. Zoning standards that set buildings closer to the street and minimize the site distance of a vehicle put pedestrians and bicyclists at greater risk. It does not encourage their safety. Finding ways to accommodate parking in all commercial areas should also be a focus. Ames should invest in those investing in Ames. Ames needs another sheet of indoor ice Making sure that the plan allows for the City to grow as desired by those people that live here... in other words... market driven. Affordable housing; building Grand through to 16th street to alleviate traffic congestion on S. Duff; Health and Wellness center is a key, along with facilitating new industry to come to Ames with Ames Economic Development advice on priorities Keeping stars visible every night. Not joking - this was an attractive feature of Ames 20+ years ago - is disappearing. Increased access to affordable housing, while keeping outdoor amenities at the forefront of the plan. How can we continue to provide best services while keeping expenses, staffing, etc. low? Expand social services, transportation, and green spaces. Also, City owned broadband/fiber internet service. I think a very important focus should be a variety of housing options for all who want to come here. We should try to have available housing for all who work in Ames and wish to live here. Especially critical is having affordable housing. We need to be creative about options and ways to accomplish this. economic and ethnic diversity also infill and walkability Affordable and low-income housing options is one ofvthe city's biggest problems 71 A M E S C O M P R E H E N S I V E P L A N Provide opportunities for owner occupied residential growth. We have enough rental housing for the present. North-South traffic flow is challenging going around the ISU campus and also getting to and away from the Ames High School facilities (only two lane streets available). The top priority for the plan should be how we are going to build a more socially just Ames - an Ames that prioritizes human rights, environmental rights, and expands the ability for all people to see themselves here. An expansion in cultural opportunities like a inter-cultural center in the downtown district that brings folks from all backgrounds together. Keeping the neighborhoods and the individuals living there a part of that plan. Figure out how to unite the community. Wise, strategic, sustainable, optimistic growth. Development of cultural hubs. Amenities. Expand park space, connect Ames trails to central Iowa and Story County trails, attract more nightlife and entertainment options for people of all ages. I think dense core downtown redevelopment and denser housing land-use with connectivity for bikes is important. I think it is important to not develop areas that are at risk for flooding. Parks and trails are better suited to areas that will flood. How will the plan consider the increased risks/hazards/vulnerabilities related to climate change to prepare for the future? Ideas about how to address #15. I'm not sure it should be the top focus, but I think an important point would be getting recycling for the city. Students want it and it would be a worthy investment for Ames. Top focus should be on livability so things such as housing costs and public services and bikability walkability. Things that affect lifestyle of those in Ames Citizen input in plan formation and a successful strategy for post planning implementation. Develop character, create a sense of place , tasteful, sustainable, compact new development. Ensure match between demand and supply for all new development. Efficient growth (no leap frogging). We need to acknowledge the fact of climate change. The plan should both adapt to climate change and produce a zero carbon future. Updating whats already here. The side walks, streets, parks, and our infrastructure needs so serious tlc. Sustainable and environmentally responsible growth Developing character and a sense of place, preserving and allowing for local businesses, environmentally sustainable development, better bike infrastructure. I'm not sure it should be the top focus, but I think an important point would be getting recycling for the city. Students want it and it would be a worthy investment for Ames. 72 A M E S C O M P R E H E N S I V E P L A N 17. Do you agree with the statement that Ames is a thriving community with great potential to expand and grow while maintaining its community character and high quality of life? (393 respondants) 50% 24% 19% 6% 2% Agree Strongly agree Neutral Disagree Strongly disagree 18. Select up to four of the most important aspects of choosing to live in Ames. If you do not live in Ames currently, why would you live in Ames? (329 respondants) 14% 12% 11% 10% 9% 8% 8% 7% 6% 5% 4% 4% 3% Proximity to work/employment Quality of schools Safety Cultural, sporting, and recreational opportunities Diverse people and cultures Family and child friendly Neighborhood and social ties Housing choices 19. As the City grows and changes over the next 20 years, please indicate which changes you view as advantages to improve the quality of life? (Select up to three) (347 respondents) 13% 10% 10% 10% 10% 10% 7% 7% 7% 7% 6% 3% Additional retail/shopping/dining options Support of the school systems Environmental protection of sensitive areas Increased employment and economic options New and more diverse housing choices Reduced cost of living Increased transportation options, including transit Increased diversity of people and cultures Support for additional public amenities Improvement to the character of the community Others 20. The current Plan describes preferences for integrated, compact, walkable neighborhood developments with a mix of housing types and small commercial opportunities labeled as villages. With what you know about villages and neighborhoods, what is your impression on the importance of this type of preference for new development for future planning? (374 respondents) 28% 27% 24% 16% 6% Neutral on having a preference, needs of the community can be met in multiple ways Desirable option to have new compact and diverse neighborhoods Limits options; the market can respond to demand Have no opinion 21. Please identify whether you agree that the City needs more of any of these specific types of housing. (379 respondents) Strongly agree Agree Neutral Disagree Strongly disagree Single-family traditional lots 29% Strongly agree 37% Agree 24% Neutral 7% Disagree 3% Strongly disagree Single-family small lots or attached townhomes 23% Strongly agree 38% Agree 26% Neutral 10% Disagree 3% Strongly disagree Urban condominiums dwellings (ownership)15% Strongly agree 33% Agree 33% Neutral 16% Disagree 4% Strongly disagree Student rental housing (multiple suites, rent by bedroom) (off-campus)4% Strongly agree 5% Agree 26% Neutral 36% Disagree 28% Strongly disagree General rental apartment housing (1 -3 bedroom dwellings)6% Strongly agree 21% Agree 35% Neutral 22% Disagree 16% Strongly disagree Small rental housing buildings (duplex, four-plex, etc.)10% Strongly agree 30% Agree 38% Neutral 14% Disagree 8% Strongly disagree Manufactured home parks 4% Strongly agree 11% Agree 37% Neutral 30% Disagree 19% Strongly disagree Low income rental housing (households earning less than 60% of median income) 23% Strongly agree 39% Agree 22% Neutral 9% Disagree 7% Strongly disagree Senior housing or age restricted communities 11% Strongly agree 42% Agree 37% Neutral 8% Disagree 2% Strongly disagree 379 respondents 73 A M E S C O M P R E H E N S I V E P L A N 22.Do you have an area of the City that you believe would be desirable for new development in the next 20 years? (372 respondents) Strongly agree Agree Neutral Disagree Strongly disagree West Ames (HWY 30, Lincoln Way to Union Pacific railroad), including into Boone County 14% Strongly agree 31% Agree 39% Neutral 10% Disagree 7% Strongly disagree Southwest Ames (south of HWY 30, South Dakota Avenue)14% Strongly agree 32% Agree 34% Neutral 9% Disagree 11% Strongly disagree Northwest Ames (Union Pacific railroad north to Cameron School Road)9% Strongly agree 32% Agree 36% Neutral 16% Disagree 7% Strongly disagree North Ames (GW Carver Avenue and 190th Street)9% Strongly agree 30% Agree 35% Neutral 18% Disagree 7% Strongly disagree East of I-35, along 13th Street 13% Strongly agree 31% Agree 32% Neutral 17% Disagree 7% Strongly disagree East of I- 35, south of Highway 30 9% Strongly agree 26% Agree 37% Neutral 19% Disagree 10% Strongly disagree South Ames, along HWY 69 and south of the airport 10% Strongly agree 34% Agree 34% Neutral 16% Disagree 6% Strongly disagree Focus on infill/redevelopment options 42% Strongly agree 28% Agree 23% Neutral 4% Disagree 2% Strongly disagree 23.Are there existing developed areas of the City that you envision positively changing or redeveloping in the next 20 years? (361 respondents) Agree Neutral Disagree Strongly disagree West Lincoln Way, west of Campus 40% Agree 35% Neutral 6% Disagree 2% Strongly disagree East Lincoln Way, east of South Duff 41% Agree 33% Neutral 7% Disagree 1% Strongly disagree Central Ames 32% Agree 38% Neutral 8% Disagree 2% Strongly disagree North Grand Mall 42% Agree 22% Neutral 4% Disagree 1% Strongly disagree Campustown 37% Agree 31% Neutral 9% Disagree 1% Strongly disagree Downtown, north of Union Pacific Railroad 34% Agree 33% Neutral 9% Disagree 2% Strongly disagree Downtown Gateway Area, south of Union Pacific Railroad 40% Agree 29% Neutral 5% Disagree 2% Strongly disagree Commercial areas along South Duff and Southeast 16th Street 37% Agree 37% Neutral 9% Disagree 3% Strongly disagree Industrial areas along Dayton Avenue 35% Agree 44% Neutral 8% Disagree 1% Strongly disagree 24. How do you view planning for growth of the City within its 2-miles fringe? (359 respondents) 35% 25% 23% 17% Necessary for orderly development and provision of services to meet the needs of growing Ames, without the impediments of existing development. No opinion Rural development allows for a different lifestyle choice appropriate for areas abutting Ames despite their limits on future expansion of the City. Rural development allows a different lifestyle choice that is typically appropriate for areas outside of the 2- mile fringe planning area of the City. 74 A M E S C O M P R E H E N S I V E P L A N 25.What do you believe would enhance the quality of life and the community of Ames over the next 20 years? (361 respondents) Very important Important No opinion Somewhat important Not important Additional/New active outdoor recreation and park facilities 23% Very important 48% Important 12% No opinion 13% Somewhat important 4% Not important Additional/New indoor recreational facilities 33% Very important 36% Important 12% No opinion 13% Somewhat important 5% Not important Additional natural and passive open spaces 27% Very important 43% Important 17% No opinion 10% Somewhat important 3% Not important Additional walking and biking trails and paths 41% Very important 36% Important 10% No opinion 10% Somewhat important 2% Not important New senior center facility 19% Very important 30% Important 34% No opinion 9% Somewhat important 7% Not important Additional housing options 31% Very important 33% Important 18% No opinion 10% Somewhat important 9% Not important Expansion of transportation facilities for bicyclists and pedestrians 36% Very important 30% Important 17% No opinion 12% Somewhat important 5% Not important Expansion of transit services to new development areas 28% Very important 41% Important 18% No opinion 10% Somewhat important 3% Not important Expansion of roadways 28% Very important 32% Important 20% No opinion 11% Somewhat important 8% Not important Improvements to the visual identity of the City (such as signage, gateways, streetscape, public art, etc.) 20% Very important 35% Important 20% No opinion 17% Somewhat important 8% Not important Maintenance and upkeep of existing properties 44% Very important 45% Important 7% No opinion 4% Somewhat important - Not important New shopping and dining opportunities in major retail areas 27% Very important 35% Important 15% No opinion 16% Somewhat important 6% Not important More business opportunities or mix of opportunities within existing neighborhoods 20% Very important 40% Important 23% No opinion 12% Somewhat important 5% Not important New destination regional attraction 18% Very important 21% Important 30% No opinion 11% Somewhat important 21% Not important More local and independent retail and dining opportunities 37% Very important 40% Important 12% No opinion 9% Somewhat important 2% Not important Vibrant local commercial districts, including Downtown, Campustown, Somerset 47% Very important 36% Important 9% No opinion 6% Somewhat important 2% Not important 25.What do you believe would enhance the quality of life and the community of Ames over the next 20 years? (361 respondents) Very important Important No opinion Somewhat important Not important Additional/New active outdoor recreation and park facilities 23% Very important 48% Important 12% No opinion 13% Somewhat important 4% Not important Additional/New indoor recreational facilities 33% Very important 36% Important 12% No opinion 13% Somewhat important 5% Not important Additional natural and passive open spaces 27% Very important 43% Important 17% No opinion 10% Somewhat important 3% Not important Additional walking and biking trails and paths 41% Very important 36% Important 10% No opinion 10% Somewhat important 2% Not important New senior center facility 19% Very important 30% Important 34% No opinion 9% Somewhat important 7% Not important Additional housing options 31% Very important 33% Important 18% No opinion 10% Somewhat important 9% Not important Expansion of transportation facilities for bicyclists and pedestrians 36% Very important 30% Important 17% No opinion 12% Somewhat important 5% Not important Expansion of transit services to new development areas 28% Very important 41% Important 18% No opinion 10% Somewhat important 3% Not important Expansion of roadways 28% Very important 32% Important 20% No opinion 11% Somewhat important 8% Not important Improvements to the visual identity of the City (such as signage, gateways, streetscape, public art, etc.) 20% Very important 35% Important 20% No opinion 17% Somewhat important 8% Not important Maintenance and upkeep of existing properties 44% Very important 45% Important 7% No opinion 4% Somewhat important - Not important New shopping and dining opportunities in major retail areas 27% Very important 35% Important 15% No opinion 16% Somewhat important 6% Not important More business opportunities or mix of opportunities within existing neighborhoods 20% Very important 40% Important 23% No opinion 12% Somewhat important 5% Not important New destination regional attraction 18% Very important 21% Important 30% No opinion 11% Somewhat important 21% Not important More local and independent retail and dining opportunities 37% Very important 40% Important 12% No opinion 9% Somewhat important 2% Not important Vibrant local commercial districts, including Downtown, Campustown, Somerset 47% Very important 36% Important 9% No opinion 6% Somewhat important 2% Not important 75 A M E S C O M P R E H E N S I V E P L A N Very important Important No opinion Somewhat important Not important Additional professional office development opportunities 13% Very important 31% Important 38% No opinion 12% Somewhat important 5% Not important Additional general industrial/manufacturing opportunities 12% Very important 32% Important 38% No opinion 13% Somewhat important 5% Not important Continued expansion of the ISU Research Park 27% Very important 36% Important 24% No opinion 8% Somewhat important 5% Not important Other 16% Very important 8% Important 69% No opinion 3% Somewhat important 5% Not important 26. The City needs more of the following types of commercial establishments. (agree or disagree) (357 respondents) Strongly agree Agree Neutral Disagree Strongly disagree Furniture 16% Strongly agree 41% Agree 30% Neutral 11% Disagree 2% Strongly agree Home goods/furnishings 18% Strongly agree 39% Agree 31% Neutral 11% Disagree 1% Strongly agree Convenience stores and gas stations 2% Strongly agree 11% Agree 37% Neutral 43% Disagree 8% Strongly agree Sit down national and regional restaurants 11% Strongly agree 31% Agree 26% Neutral 25% Disagree 7% Strongly agree Quick service national and regional restaurants/cafes 5% Strongly agree 16% Agree 30% Neutral 39% Disagree 10% Strongly agree Local restaurants/cafes 44% Strongly agree 45% Agree 10% Neutral 1% Disagree - Strongly agree Entertainment and sporting facilities 17% Strongly agree 36% Agree 32% Neutral 12% Disagree 2% Strongly agree Bars/brewery/distillery/winery 14% Strongly agree 29% Agree 34% Neutral 18% Disagree 4% Strongly agree Apparel/shoes 15% Strongly agree 31% Agree 37% Neutral 15% Disagree 2% Strongly agree Sporting goods 17% Strongly agree 31% Agree 36% Neutral 12% Disagree 3% Strongly agree Local/boutique/specialty retail 15% Strongly agree 39% Agree 37% Neutral 7% Disagree 1% Strongly agree General Merchandise/warehouse/big box 6% Strongly agree 16% Agree 35% Neutral 34% Disagree 9% Strongly agree Automotive service and repair 1% Strongly agree 14% Agree 53% Neutral 26% Disagree 6% Strongly agree Pharmacy and convenience commercial 1% Strongly agree 11% Agree 55% Neutral 28% Disagree 5% Strongly agree Grocery 5% Strongly agree 17% Agree 43% Neutral 32% Disagree 4% Strongly agree Coffee shops 10% Strongly agree 27% Agree 43% Neutral 18% Disagree 2% Strongly agree Party supplies 3% Strongly agree 9% Agree 52% Neutral 29% Disagree 7% Strongly agree Electronics/technology 6% Strongly agree 28% Agree 43% Neutral 20% Disagree 3% Strongly agree 76 A M E S C O M P R E H E N S I V E P L A N 27.Do you support planning for initiatives that support a healthy lifestyle and enhanced personal well- being? (361 respondents) Very important Important No opinion Somewhat important Not important Walkable neighborhoods with sidewalks and connections to trails 59% Very important 32% Important 4% No opinion 3% Somewhat important 2% Not important Access to parks or open space within a 10-minute walk.51% Very important 34% Important 9% No opinion 4% Somewhat important 2% Not important Support of transportation options in addition to personal automobiles 48% Very important 31% Important 10% No opinion 7% Somewhat important 4% Not important Knowing your neighbors and having a sense of belonging 43% Very important 41% Important 10% No opinion 4% Somewhat important 1% Not important Providing indoor recreation facilities 36% Very important 37% Important 13% No opinion 10% Somewhat important 5% Not important Access to food and groceries within one mile of home 26% Very important 36% Important 16% No opinion 13% Somewhat important 8% Not important Access to social services during times of need 43% Very important 38% Important 12% No opinion 4% Somewhat important 3% Not important Quality and safety of housing 58% Very important 34% Important 7% No opinion 1% Somewhat important - Not important Access to high quality medical care 70% Very important 26% Important 3% No opinion 1% Somewhat important - Not important Events supporting getting outside and being active 41% Very important 41% Important 13% No opinion 4% Somewhat important 1% Not important 28.What do you identify as environmental priorities for the City of Ames? (360 respondents) Very important Important No opinion Somewhat important Not important Watershed management 53% Very important 31% Important 10% No opinion 5% Somewhat important 1% Not important Managing the flood plain 65% Very important 26% Important 5% No opinion 4% Somewhat important 1% Not important Managing stormwater runoff/water quality from development 57% Very important 30% Important 7% No opinion 6% Somewhat important 1% Not important Protection of the Ames water/drinking supply 73% Very important 23% Important 3% No opinion 1% Somewhat important - Not important Preservation of natural habitat 53% Very important 32% Important 9% No opinion 4% Somewhat important 2% Not important Reducing solid waste/trash and diverting from landfills 55% Very important 30% Important 7% No opinion 5% Somewhat important 3% Not important Minimizing vehicle miles travel 35% Very important 29% Important 19% No opinion 6% Somewhat important 12% Not important Supporting renewable energy initiatives 53% Very important 26% Important 9% No opinion 8% Somewhat important 4% Not important Resiliency related to natural events 51% Very important 35% Important 11% No opinion 2% Somewhat important 1% Not important The city has allowed new development on our floodplains (Stadium View apartments), Wal-Mart on South Duff Avenue, Thiesen's, Deery, and Menard's to name a few. Unconscionably, the city then applied for FEMA grant funding to channelize Squaw Creek to prevent flooding. Far better to prevent flooding by not building on the flood plains. I was pleased to see ball diamonds and other amenities located on the plains instead of development that needs protection. If it is desired to build on the floodplains, the buildings should be on stilts or there should be some other provision made by the property developer (permeable pavement?) to stay true to Ames values and not negatively impact the watershed or imperil their new development. Wouldn't it be attractive and unique to patronize a restaurant built on stilts overlooking the green space behind the former Happy Joe's Pizza and Century Theaters? Nature should be worked with instead of against and Ames is being part of the problem rather than a leader in solutions. 2 months ago The encouragement of bigger buildings and big box stores is reducing the ability of the land to "bounce back" from heavy rains/snow and flooding. Take in point Wal-Mart's parking lot, they built it and then it immediately flooded because it's so close to a flood plain. Now the surrounding developments are building on ground they've raised up, which just makes the water flow faster into flood zones. 2 months ago E-scooters that are taking over southern/western cities. Need to have a plan for those. Amazed at how many were just lying around San Antonio. 2 months ago The health of our whole environment--land, air, water, and citizens--should be our most important priority and should guide all decisions. 77 A M E S C O M P R E H E N S I V E P L A N Specific questions that were asked include: 1. What areas of Ames needs reinvestment? This can be a street, neighborhood, district, or other feature. 2A. We need your feedback for the emerging concept for growth in the East area. What do you like or want to be reconsidered? 2B. We need your feedback for the emerging concept for growth in the West area. What do you like or want to be reconsidered? 2C. We need your feedback for the emerging concept for growth in the North area. What do you like or want to be reconsidered? 2D. We need your feedback for the emerging concept for growth in the South area. What do you like or want to be reconsidered? PART 2: INTERACTIVE MAPPING The future land use scenarios were shared at a public open house meeting and posted online in an interactive mapping tool, PublicInput.com. The open house engaged ~50 participants, while the online tool engaged [ ] participants, for a total of [ ] participants. Most responses to the online mapping tool originated from people within the City of Ames. Comments from the open house were incorporated into the online tool and included in this section. 78 A M E S C O M P R E H E N S I V E P L A N 79 A M E S C O M P R E H E N S I V E P L A N QUESTION 1. WHAT AREA OF AMES NEEDS REINVESTMENT? State are a mess....long waits. k Lots of good space here that could be redeveloped to office commercial.; Area from LW to Storm and Ash to Sheldon should be re-focused to house the core of students in the community. Closer to ISU enhances the student experience and might provide better workforce housing in other currently developed med-hi res areas. A campus core makes sense for our community and for our students. Holding out hope for this to return back to non-student residential is a lost cause.; I wonder how this residential space might benefit from strategic reinvestment - an overlay granting funds for rehab of older homes? k University thru traffic backs up because turn lanes fill up. k Area north of Lincoln way and west of grand ; Lincoln way k North Grand Mall should be prioritized. Maintain it, keep it beautiful, keep businesses here and attract more. Ada Hayden will be an increasingly important area to preserve and maintain as well, as Ames grows. Keep and respect the historic nature of the Lincolnway Highway. Stop building in the flood plane area. We will need even more places to hold water as environmental conditions deteriorate due to climate change. k It may be time to think about helping people who own these older homes keep them in great condition. Tax incentives perhaps or some other low interest loan program. k The city needs to invest more in developing the south corridor of Ames. We need better lighting, sidewalks, and I would like to see them reduce the speed of those coming into Ames from south 69. There needs to be more school signage. k Build the Ames PD a dedicated police department and expand the city cardio and weight facilities into that space.; Turn Old Main into community/educational kitchens that were meant to be part of the Healthy Life Center with a publicly rentable city banquet hall. Lease the brewing space to Alluvial.; Build lap pools and heated indoor pools that were supposed to be part of the Healthy Life Center here, adjacent to Furman Aquatic Center duh. ; Build an open air amphitheatre like red rocks. k Secure canoe and kayak storage areas that can be paid for monthly or annually k The area to the south as part of the Research Park continued development should be a priority both housing and services that employees desire k Neighborhood north of Ontario need some work. Streets / sidewalks are in poor shape. After a storm occurs, it is one of the last neighborhoods to get attention. k feels like a throwaway area, very hardscrabble. it doesn’t have to be an ugly passthrough. could be another “entrance” to Ames, celebrate Lincoln hgwy history, perhaps, be more welcoming for multi-users. ; this part of Ames, south of 30, seems cutoff from the rest k This is a highway that goes through the city and it looks terrible with all the random fast food places and assorted car stuff. It needs a huge face lift. k Downtown k Poorly planned, cul-de-sacs and non-linear streets are bad for pedestrians and cyclists. Most of N of Ames is impossible to navigate w/o a car. k As a complete entity Ames needs to consider ways to reduce its carbon footprint: community-wide reduce/reuse/recycle efforts including composting, more rapid steps to reduce use of fossil fuels for energy, including re-thinking our current system of waste disposal; more investment in fossil-free fuels; changing zoning regulations so that more individual building owners can invest directly in solar panels; invest in more city-sponsored charging stations for electric vehicles; etc. k This has been an underdeveloped section of Ames for far too long. There keep being houses and apartments added, but nothing in the way of support for them. Making an effort for adding grocery stores, drug stores, restaurants, and better public transportation would improve the quality of life in South Ames. k Flood mitigation. Dedicated, non developed areas that can better absorb rain and runoff. k Streets are deteriorating and S.Duff should be a 4-lane road k Howay 30 & Dakota as well as Mortenson & 80 A M E S C O M P R E H E N S I V E P L A N of the community. k This dangerous intersection needs a flashing LED Pedestrian Crossing Signal for better protection of the many students who are walking to and from the CyRide Bus Stop there. Maybe Mortensen Road could be changed to a three-lane street with a center turning lane and bike lanes near the curbs between State Avenue and Welch Road/ Gateway Hills Park Drive. ; This dangerous intersection needs a left turn arrow for westbound traffic on Lincoln Way. Maybe Lincoln Way should be three lanes (with a center turning lane) between Wilmoth Avenue and Hayward Avenue. ; This busy intersection needs a roundabout. k Ames has three main access points to highways (I-35 and 13th, 1-30 and Duff, 1-30 and S. Dakota). South Duff is cramped and poorly designed. South Duff is really a series of patches to make the best of what is there. The other highway interfaces should be future growth for business like the ones on South Duff but better planned.; The lack of a sidewalk here is a tragedy waiting to happen. Because the development on the south side of Lincoln Way faces away from Lincoln Way, no sidewalk was installed. Technically, ‘development’ has not occurred and will likely not occur soon on the north side. People living west of this location regularly walk and bike along this stretch, which is a dangerous mix with traffic that tends to go over the 45 mph speed limit. The city map of bike paths even shows the path to the west and east and this noticeable gap. The city’s policy for sidewalk installation by developers makes sense, but there has to be exceptions. Or somebody let this slip through the cracks when the south side Lincoln Way was developed.; Too much development pressure has been on South Duff. Businesses need some motivation to build in other, easily navigable areas. West Ames seems to be a case where land is repeatedly set aside for business development, then after waiting five years for businesses to come the developer tires of sitting on unused land and then requests the city to rezone to residential. Clearly the environment in west Ames is not enticing to businesses, so either incentives need to be put in place to make the area enticing or we should skip this cycle of wishing businesses will come in the original planning and then having to fall back to a hastily assembled plan B.; Area prime for redevelopment. Seems like it just needs a nudge. k Lots of great work has been done in Ames, and its very nice to see it grow. The student- dominated areas of Campustown obviously have higher pedestrian/multi modal traffic; with growing enrollment, this will only continue. There are very few green spaces/ open spaces for students to gather in during the day and at night, which increases the amount of students walking through streets not in crosswalks or loitering. This can be curbed by lengthening sidewalks. Also, the Firestation on Welch is in a great location to serve the University, but the thriving Welch Ave corridor has changed the community fabric of the area. To increase response time for fire emergency services as well as increase safety of pedestrians on/around Welch, the firestation should be moved. Thank you for updating your comp plan, I look forward to seeing what Ames will do to better serve ALL of its residents!; blvd in poor condition; could be turned into a gathering space with tables, benches etc.; Updated sidewalks and multimodal transportation options needed k Downtown and central Ames. Internet and cellular in downtown availability and level of service don’t help attract business. Also, the neighborhoods between downtown and Mary Greeley need street and sidewalk improvements those areas could be improved and upgraded to rebuild from the inside out - instead of continued sprawl. k Investment of planting of native vegetation for storm-water management/flood prevention.; Investment of planting of native vegetation for storm water management/ flood prevention.; Need of Investment for installation of wetland for storm-water management/flood prevention.; Need of Investment for planting wetland for stormwater management. ; Investment in these properties and this block to ensure density aka use of available land space.; Sale of lease for DG’s Taphouse & Corner Pocket property to ensure density/ use of available property.; Sale of lease for the Old Main property. k Just south of Lincoln Highway, on Welch ave., there are many bars, restaurants and local businesses. This area is highly congested with students and pedestrians at most hours of the day. Closing off the beginning half of this road will allow for safer travel for the patrons of the businesses and allow for a central communal area for the community. Many protest that this will hurt businesses because it prevents the cliental access by car. I think that if you redesign the streets surrounding the area, you can allow for 81 A M E S C O M P R E H E N S I V E P L A N public parking lot in places where building should be condemned. Look to example of the pedestrian mall in Iowa City. This was a complete success and increased the community vitality in their own campustown. k This route has evolved into a major connector due to short sited planning. On street parking should be eliminated; Traffic always backs up at this intersection; improvements would be greatly appreciated by many; This area has significant traffic and should be upgraded to 4 lanes as it is East of this location k This is a busy street with A LOT of foot traffic because of the library. It would be nice to make it more pedestrian friendly and add more handicap spots,,,maybe free parking? We want people to have access to the library! k Along Lincoln between Grand and Dayton has become rundown strip commercial - ugly, largely decrepit and underutilized k Ames has the potential that West Des Moines did in the 1970s, and that Ankeny had in the early 2000s. Pushing TIF funding and other government assistance programs can bring the city into the 21st Century and give our children and grandchildren a bright future here.; This area has huge potential as a commercial and residential corridor, and it should be another priority.; Grand Avenue MUST be made a priority to continue it as an arterial road through the city. The city already owns the golf course, so it should not be as difficult as some other potential routes. k If Healthy Life Center goes through, how is this street ever going to handle the traffic generated??? Think traffic and street management; All of Lincoln Way. Add trees!!!; Traffic management, especially pedestrian crossings to and from bus stop to HyVee. ; Traffic management. Peak hour stacking extends on highway 30. Accident prone; BIG need for traffic management. Peak hour stacking extends half-1 mile; Duff Ave needs to be more than the street long strip center that it is. Slow down traffic, make it more inviting, bring store fronts closer to the street, or make a service road. Traffic there sucks; North Grand mall area. Needs to be thought through politically with a master plan, and not as a strip center. It has the potential to become a hub of active (indoor & outdoor) spaces, restaurants, some stores and maybe even form a community gathering space especially when seen in conjunction with Ada Hayden. Think of it as a corridor/sub area. So much potential that is currently not being taken into account; Lincoln Way east of Duff Ave k More retail k Main street should start near wheatsfield and end on kellogg... investment in buildings infill; Main st investment in mixeduse retail k The former bar The District and the surrounding buildings are currently torn down and make this stretch of Lincoln Way unappealing. I know there was a plan shut down for this vacant lot. But I am interested to see what this 2040 Comp Plan will provide for this lot. k Can we do something to integrate the area east of here with the rest of the city? Feels very separate at the moment; Neighborhood of rundown houses k Create growth boundaries for west Ames, stop creating sprawl development (even if it is medium density sprawl); North Grand Mall needs work as a transit hub and residential area for North Ames; Maintain naturally affordable housing and expand the mixed use nature of the neighborhood; Increased pedestrian access and transit priority on Duff; Increased density and commercial directly West of campus; Downtown needs additional housing, expanded density k Throughout Ames, safe bike and pedestrian routes that are usable in all seasons. k Throughout Ames, safe bicycle and pedestrian ways that are usable in all seasons. k The nearly ubiquitous belief among our elected officials is that addressing the climate crisis must come second to economic growth. This is wrongheaded--both because it underestimates the severity of the climate crisis, and because it presupposes that the old economic “normal” of robust growth can be revived. It can’t. We should be planning for resilience in the coming catastrophe. k Needs connected sidewalk on this side. k What happened to the proposal for mixed use buildings downtown, south of the railroad tracks? I would like to see infrastructure here that encourages a village like setting, drawing people downtown to local businesses, not just to dine but to live--and no chains allowed (unlike in west Ames, where chains like which wich, erbert and herbert’s, etc. makes it feel like you could be in any city). k The area around the old Edwards Elementary school site. 82 A M E S C O M P R E H E N S I V E P L A N k Lincoln Way corridor is a bit of an eyesore k Downtown needs constant attention and upgrades to keep it alive and vibrant. It is very easy for a growing community to forget about downtown and it becomes neglected quickly. k The South Campus neighborhood, particularly west of Ash Ave., is the most walkable and sustainable neighborhood in Ames given its proximity to the area’s largest employer and economic driver. Yet the benefits of South Campus aren’t highlighted. The city should do what it can to work with the university to encourage more faculty and staff to live there. The Crawford School project is a step in the right direction. ADUs for homeowner-occupied properties should also be seriously investigated.; The South Campus neighborhood, particularly west of Ash Ave., is the most walkable and sustainable neighborhood in Ames given its proximity to the area’s largest employer and economic driver. Yet the benefits of South Campus aren’t highlighted. The city should do what it can to work with the university to encourage more faculty and staff to live there. The Crawford School project is a step in the right direction. ADUs for homeowner- occupied properties should also be seriously investigated. k I’m filling this out as representative of our downtown church.; Ames UCC k Need drivethru coffee shop or fast food establishment k Trails along Riverside and Dayton to connect Ada Hayden with McFarland Park and 13th Street would greatly enhance options for recreation and improve safety for those who already try to use those routes. Would require collaboration with Story County.; Dayton Ave to the north of 13th St needs to have a bike path. Bikers and runners are often seen risking their lives on this road with minimal shoulder and no bike path. A beautiful option (that would require some collaboration with Story County) would be to add a bike path all along Dayton Ave up to McFarland Park and along Riverside Ave, connecting Ada Hayden to Dayton Ave and McFarland Park. k If you live in west Ames it is FASTER to go to BOONE than it is to get to Duff and deal with its traffic. Thousands live in west Ames and there is next to nothing for goods and services.; With few exceptions Lincoln way from Squaw Creek to Duff is lined with decrepit old buildings that should have been torn down and redeveloped decades ago. ; A stop light should have been installed here circa 2010. The entire exit ramp can be packed with cars and it is amazing that there hasn’t been a 50-car accident with multiple fatalities...yet. ; During peak commute times there are typically over a hundred cars backed up at this four-way stop sign. It is inexcusable that this intersection was not upgraded many years ago. k Lincoln Way between Grand and Duff looks terrible. k Old town district has need of sidewalk and street renovations. k The biggest concern for the North area is better access to I-35. That would open up more possibilities. k West Lincoln Way has a nice variety of food establishments, but more retail options would be nice in this area. ; I am continually surprised that there seems to be no enforcement for removal of weeds/maintenance of landscaping. Most businesses appear to have rather extensive landscaping with an interesting variety of plantings. I assume this is a result of development standards, however when beds become overgrown with weeds, businesses simply look unkempt.; k It would be nice to see more business development in west Ames, along Lincolnway, not small spaces underneath apartments, but actual buildings devoted to a business. Also I would like to see the mall area developed. Both of these would be preferable to continuing to build in the flood plain surrounding Duff. k The Lincoln Way Corridor between Grand and Duff needs some serious help. k RDG’s presentation indicated the south/ east area near Jewel drive as the most cost effective and most likely to offer the most potential growth for the city. The approximate 1000 acres could be developed in several different styles from single family to townhouses. It can be tied directly with the north east area which can provide a commercial corridor along I 35. The infrastructure needed can benefit both areas. The south east would be entirely in the Ames School district . The SE would be most attractive to developers and offer an alternative route north besides Duff Ave.; RDG’s presentation indicated the south/east area near Jewel drive as the most cost effective and most likely to 83 A M E S C O M P R E H E N S I V E P L A N offer the most potential growth for the city. The approximate 1000 acres could be developed in several different styles from single family to townhouses. It can be tied directly with the north east area which can provide a commercial corridor along I 35. The infrastructure needed can benefit both areas. The south east would be entirely in the Ames School district . The SE would be most attractive to developers and offer an alternative route north besides Duff Ave. k A number of areas in town could use reinvestment. We’re a growing community. That’s what I would expect, and continue to expect. Added pressure from development taxes existing infrastructure. Available funding has us stretching dollars beyond what they should. Available routes have increased pressure on the same roads: Ontario/13th, Lincoln Way, Mortensen/S 16th, Grand, Dakota, Dayton and Duff. All other roads feed into that system but don’t go all the way through the community.; Another intersection where the extra lane stops after the light - cars speed to get around and in front. ; The north lane of the west traffic between Highland and Stange might as well not exist. Since the extra lane ceases at the intersection, everyone speeds to try and leap ahead of traffic and goes out of their way to cause accidents at the light. ; Traffic signal timing always ‘traps’ vehicles in this section. It happens so often I assume its intentional.; This intersection has been an issue for years; back when I was attending ISU in late 90s. High traffic, no space. Congestion during peak commutes; especially when someone who doesn’t realize there is no turn arrow ques behind a vehicle in the wrong lane.; Intersection needs work. Potholes have been patched over the years but are breaking down. The excessive hump added along Lincoln Way for stormwater has become too abrupt to cross traffic where I’ve seen them veer over to avoid the actual intersection when crossing.; This intersection; extending to the ramps to Highway 30 and the drives to Kum & Go and Theisens can quickly become congested.; Surface condition on a portion of this roadway is showing signs of wear and could use an overlay. This will be even more needed once Grand extends to S 16th.; This road backs up after a game/practice at the Hunziker Youth Sports Complex; especially since its the only outlet.; This section of Lincoln Way through campus sees a lot of pedestrian traffic; both at and not at actual crossings. Medians are unsightly and not very welcoming to Ames or the ISU campus.; Can’t see potential cyclists/pedestrians on the new trail because of the retaining wall blocking line of sight from vehicles trying to enter Airport Road from the driveway; without being on the trail.; Shrubs in median obscure east bound traffic from the turn. With no dedicated turn lane and the speeds of the road it could be an issue; High volume of traffic, speed and multiple offset ingress/ egress makes this section extremely volatile. I time trips to Lowes to try and miss peak times - and even then I feel like I’m taking my life in my hands to navigate in and out.; Rough intersection, especially with more pressure from recent and adjacent subdivisions.; This intersection has needed improvement since this became my commuting route 8 years ago. Potholes and reflexive cracking are chronic issues; made worse during winter months. Numerous patches have been placed, but have not addressed the issue.; Realize that this is a shared City/ISU portion of roadway but the surface condition is in need of a facelift. This section has been overlayed numerous times so the curbs are relatively shallow respective to adjacent trail and there are always multiple deep potholes during the winter and spring months. k This comment applies to both reinvestment and to growth in any of the areas: I have felt for some time that people can adjust to various levels of intensity of development...the critical aspect is the design and functionality of the buildings and associated infrastructure. I believe that cheaply designed and constructed apartment buildings, poor parking lot designs, inadequate landscaping, and failing to provide roads and traffic control to manage increased traffic all cause public distaste and distrust when higher density land use is proposed. Any reinvestment incentives or growth plans need to provide insurance for quality design and adequate infrastructure support. ; Opportunities for modernization and infill of commercial properties.; South Duff corridor may be beyond repair. Improving appearance would be nice, but not certain it will make much difference when drivers need to focus on heavy traffic. But...it would be nice to see some reduction in intensity of use. ; Opportunity to make Duff/Lincoln Way intersection more attractive.; Is there any potential to assist development of a small commercial area in this neighborhood for convenience and to provide a neighborhood locus?; This area needs assistance to develop a ‘soul’. It has become a major residential area, with no clear identity.; Is there any way to recover this area from the mis-guided application of the ground floor commercial/ 84 A M E S C O M P R E H E N S I V E P L A N upper residential buildings in a sea of parking lots?; Infill opportunities and updates to old commercial corridor from Marshall Avenue to the west along Lincoln Way.; Update old-style highway oriented commercial look and feel. k It looks old. Unused buildings look trashy. k Run down apartments and homes in this neighborhood k West ames between Franklin & Indian delights seems to have many families with children needing additional support and services. Improve park, do the donuts with police events out there, so many vacant or closing businesses in area, the city seems to forget the families on this side of town ever since old Edward’s closed; Old kmart could be city owned location or service; ; Area needs attention k This area seems to be an eye-sore. Wish it displayed more of a college town/family oriented feel. This area really needs some updating to become more modern. k Newer development here could use more retail options nearby; This intersection is always overflowing and difficult to navigate for nearby residents. ; ; These broken buildings need revamped k Roundabout needed; Roundabout k I think the mall area could be improved and could definitely have more restaurants nearby. k We need a quick way to reach the west with a high way k Lincoln Way Corridor in Downtown Area has much potential: No floodplain and walking distance to downtown k West Ames needs some help attracting quality of life in this area. Right now it is only a section of town that offers living. To build a small neighborhood community here so people can walk to the store or a nearby bar would help sell this area of town as a place to live, work, and play. ; There is very little draw or reason to come to this side of town. I would love to see some great attraction help pull the community here. ; I would love to see the Campustown area develop into a town attraction. Right now very little draws us to that area of town, it’s only bars for students, and we have mediocre parking. To see it develop into a pedestrian mall or something cool, would help sell the amenities we boast about being able to offer for being a college town. k This area is a planning and zoning mess. Boone county doesn’t seem to know how to fix it. They have Ames addresses and phone numbers - but volunteer fire service. Commercial, Industrial and Residential areas next to each other with little thought. Please intervene and fix this! k Entrance to Ames k New private and public developments need to incorporate wide paths or lanes for cycling when they are being built to accommodate the growing population. It cost too much to do it after the fact. k More bars k This is such a waste of potential land. Kum&go needs to sell this plot or utilize it k Some emphasis on increasing density in areas already existing would help with some of the urban sprawl Also a priority should be improving north/south and east/west traffic flow. ; This area needs redevelopment along the line of Campus town. More density for residential and commercial spaces. If taller buildings with apartments and housing for lower income familys and not just students would be constructed it would draw more people into the center of Ames and allow for some of the growth of the city of Ames in the future to me more vertical instead of always outwards. The taller the buildings built in the area the better. Its Ames best area for a more dense vertical growth for it population. k Playground/park; More restaurants/ businesses. k Ames needs a CAP on expanding k Lincoln Way corridor east of Duff and west of Hayward needs to be cleaned up and revitalized. k Additional items not pinpointed: trail signage on bike trails with mileage to downtown, campustown, Jack Trice Stadium, Hunziker Sports Complex, ......... Repair the dangerous bike trails: trail behind Ames High, airport road, S. 16th Pedestrian bridge somewhere in campustown crossing Lincoln Way Connect trail all the way to the HTT. Most Ames families do not want to ride on the current roadside trail.; Assist in relocating Conley Trucking to spur redevelopment of this entryway into Ames as a small strip mall. With 85 A M E S C O M P R E H E N S I V E P L A N East Growth Area . What do you like or want to be reconsidered? 2B. We need your feedback for the emerging concept for growth in the West area. What do you like or want to be reconsidered? 2C. We need your feedback for the emerging concept for growth in the North area. What do you like or want to be reconsidered? 2D. We need your feedback for the emerging concept for growth in the South area. What do you like or want to be reconsidered? QUESTION 2. WE NEED YOUR FEEDBACK FOR THE EMERGING CONCEPT FOR GROWTH IN THE [______] AREA. WHAT DO YOU LIKE OR WANT TO BE RECONSIDERED? 86 A M E S C O M P R E H E N S I V E P L A N EAST GROWTH AREA COMMENTS 1. This new interchange and road is great. It would better server any growth to the east any new growth to the north of Ames. 2. Due to the extent of distance and the nature of the industrial neighborhood, this feels like it is far away, even though it isn’t. 3. Multiple Comments: k The area between the east edge of town, or in fact, even from east side of duff to the proposed development needs to be developed, atleast as a solid corridor, for the east development to work. Otherwise it is going to feel too far removed with no connection. Needs better connectivity. k That area is part of a large greenbelt including several parks and preserves, and a great deal of it is low-lying floodplain not suitable for development. 4. Kettleson Marsh? Is this enough buffer? If the zones around it have similar zoning to areas around Ada Hayden, the marsh should have good buffers to protect it. 5. Multiple comments: k Like the lay out of this new proposed development. Nice mix of the different zoning. The commercial and Office are situated nicely to capitalize on the area being by the interstate. Also the natural areas in the area are being protected and preserved. k Very sorry to have to disagree, but an existing thirty-five-acre wetland-prairie natural area, a sizable resource that provides important wildlife habitat and serves to cleanse water, is NOT being protected or preserved. The map shows that natural area being destroyed and turned into “Mixed Use” and “Urban Family Residential,”, which is a terrible idea. 6. The mixed use seems a bit remote from HI and MI, as well as commercial and office perspectives; at least in being able to serve as a service center for these different uses. I generally applaud the effort to retain natural corridors surrounding what I presume to be existing waterways or natural systems. These would make welcome additions to residential; especially by providing green space and respite adjacent to MI and HI development. 7. Far away from planned and existing schools while lacking one of its own, and poor transit options to the rest of Ames w/o investment into better cycling/walking infrastructure. 8. Growing towards the East makes sense because of access to 30/35. Need access to Lincoln Way. 87 A M E S C O M P R E H E N S I V E P L A N Additional Comments for East Concept: k Too far away. Feels like your living in a separate town. Requires too much driving for residents. Not desirable for most people who wish to live in Ames. k This growth plan feels car-centric and suburban in the network of roads. What can be done to secure easements and rework street networks to ultimately allow for more walkable and bikeable neighborhoods? How can this be included in the substantial greenspaces just on the other side of 35? Is a greenbelt possible for this neighborhood? k Far and away the most costly option in terms of overall infrastructure, raises significant natural resource impacts and is clearly separated from Ames by 35. k Choosing this area for growth would bring some advantages, as noted in other comments. But there would also be challenges. According to the information at the Ames 2040 open house, the East option would require a new 36-inch-diameter sewage line that would need to be built through several miles of mostly-private rural land in order to reach the Ames sewage treatment plant. That would require a lot of money, and even though landowners would presumably be paid, some might be unwilling, A new water tower would also be needed to ensure adequate water pressure, and that would also be costly. The current map also shows housing being built right on top of a beautiful thirty-five-acre prairie/ wetland complex that has a lot of native plant diversity and varied wildlife. The destruction of that complex would not fit with Ames sustainability goals. Also, the nature and size of the Ketelsen Greenwing Marsh buffers would be a concern. Housing close to public conservation areas can bring a variety of problems, including stormwater runoff, blowing litter, and roaming pets k This area can be challenging for non-drivers to access k I would like to see Ames focus on Urban High Intensity as a way to move forward to sustainability. k If growth is going east, there will need to be better east-west roads and more choices for retail, particularly restaurants k This area would a good option area because of the transportation benefits. The village concept would work well here. k Lots of potential for current and future growth. This offer a lot of benefits. k I think an east expansion in this area (village concept) could be a great kickstart for this area. I think that what others view as challenges regarding being cut off- could actually be a benefit and some may want to live in a more village type setting while still being a part of the City of Ames. k Needs to be developed for the survival of the city. Nevada, by 2040, may have grown large enough to decide to annex parts of this area. k If it is possible, I’d love to see a road to between e 13th and east riverside connecting to Dayton. k No k I think growing to the east is a good option. The proposed access to I-35 would be good for households who have folks working in Ankeny/Des Moines; however, the interstate may also function as a barrier making this area feel separate, or removed, from the rest of the community. k I like this option and the access to the interstate. k Overpass? Trains stop here a lot it seems. k Growth to the East is great area to encourage. It will capitalize on the commercial and industrial areas already there. Providing more residential areas out there only encourages more of the commercial areas already zoned as such to develop. Its also Ames best options for more commercial areas in regards to ease of access and visibility. 88 A M E S C O M P R E H E N S I V E P L A N WEST GROWTH AREA COMMENTS 1. I understand the community’s reluctance to address an upgraded railroad crossing at North Dakota - but with the land north of this already for sale to be redeveloped - what is the city’s plan for this area long term? 2. This area is a mess - fix this! 3. This interchange and all major routes will continue to see increased commuting pressure should development proceed similar to this model. To keep pace with this, please ensure that the Comp Plan includes appropriate response with infrastructure investment as as to service these new areas without a determent to the existing community. 4. County line? So this goes 1 1/2 miles into Boone County. United Community schools and rural fire service, or need new fire station? 5. A lot of water sits in this area after raining. 6. Much of the Open Space in this is reasonably connected to stream corridors, but the sections along 30 and rail are not going to be public OS and should not be indicated as if they are all the same. 7. Not enough access across the highway. 8. Would an additional on/off ramp in this locaion better serve the mixed use/commercial/ high-res spaces? 9. This is the second best option after south ames proposed development. Easy access to 30 and 35 makes it very attractive. Considerable traffic and infrastructure issues must be addressed Additional Comments for West Concept: k This area is in heavy use by ISU and will continue the be used by ISU for traditional and experimental agricultural research both plant and animal. ISU already has expressed interest in several farms which may come on the market soon. There is limited land with in Story county available for development in this area The area south of 30 would be best left as a buffer between ISU ag uses and residential areas. Providing city utilities to the area south of 30 would serve a very limited number of develop-able acres for the dollars invested. Most of the develop-able acres are in United Community school district. Best to leave this area to ISU future use. k I would like to see Ames focus more on Urban High Intensity Mixed-Use Growth as a way forward toward sustainability. 89 A M E S C O M P R E H E N S I V E P L A N k I don’t like the idea of crossing into Boone county or the pedestrian bridges over Highway 30. There are also a lot of ISU farms and land south of 30 and it should remain a rural area. k Would like to see on/off ramps at 30th and State to support population density and growth closer to the city center if possible. k I would second the comments about ISU research farms and operations in this area. k Most logical choice. Already have lots of services out that way. Easy connections to 30. k This comment applies to all the growth options. Cost estimates for all the growth areas need to realistically consider the costs for maintenance of the new proposed open space areas so those areas will retain their value for outdoor recreation, water quality, wildlife, etc. There is a common assumption that most kinds of infrastructure (streets, water lines, etc.) will require ongoing funding for maintenance, but that green space will somehow take care of itself. Not true. k It doesn’t seem realistic for Ames to try to grow into Boone County. It is doubtful they would be receptive to this idea. All of the Boone County land is in the United Community School District. It is time to recognize that the area south of Ames is filled with ISU research farms and will continue to be that way because of the close proximity to campus. There is not enough development land in the West that is in Story County and would not a good area for city residential dwellings. The idea of walkways across Highway 30 is not a practical use of taxpayer funds. The area south of Highway 30 would be better suited for acreages and rural development as a gateway to the existing working farms. k The least costly for infrastructure, reasonable balance of development types and proximity to ISU as well as recognizing natural resource protection as an issue. k The development in this area south of Hwy 30 is limited by the ISU research Farms and land owned by ISU. Also the new ISU feed mill to the south of Hwy 30 will increase semi traffic and there fan noise. I don’t think any additional development can be justified with limitation and cost to run sewer/utilities under 30. k Transportation across town is really the major issue. Most of these proposed developments benefit from connecting to one of the major highways. However, the increased population from the is going to put increased pressure on arterial streets. Nobody wants the street they live on to become an arterial street but they have to be somewhere. Good pre- planning is the only way around frustration from homeowners. Going between west Ames and north Ames is too inefficient and has too much interface with areas that people are expecting to be residential. k The western development is certainly important to the university, but the city should only support more growth to the West morally, not financially. k Similar to North Ames, it seems like this area is already growing well as it is. With that said, there seems to be a need for additional retail development. k The far majority if this option is in Boone County and the United School District. k Our family has been wanting the land south of 30 in West Ames to be developed into Urban Low Intensity lots for years. We’d be the first to move out there if this happens! k The east side of Y Ave. from Cameron School Rd. to L. Way might be a great location for a good strip of business and retail to service the west side of Ames along with Boone. That road is already a main artery and gets a lot of traffic and has an opportunity for expansion that could set it up to be some prime retail space going forward. We need to take advantage of some of these heavily traveled existing roads that could be widened to handle large retail and business as Duff is completely overloaded and a growing Ames will need to have business and retail in the north and west areas too. k I like this growth scenario. Expanding to the south of 30 in this area seems like a great area for new residential area. I’ve read that this area would have pedestrian bridges across 30, I think that would be a great and unique feature for this area of development. Also makes a great connection to the rest of Ames, that doesn’t necessarily relied on driving. 90 A M E S C O M P R E H E N S I V E P L A N NORTH GROWTH AREA COMMENTS 1. North Ames needs more commercial anything, really. 2. There is currently no Mixed Use and this is the best type of development for creating walkable, sustainable neighborhoods. Suburbia has been shown time and again to have negative social, economic, and environmental effects. 3. Nice to see the grid coming back, but the lack of less-expensive housing concerns me. Also this area far from existing bus routes will need transit connections. 4. This so-called open space follows the rail and while it would be nice to think that would lend itself to public OS, that is not the case. 5. I am concern with the redevelopment plan being so far away from the main highways. This will cause more traffic congestion on roads that are already experience and not equip to handle such traffic congestion. How will you attract new businesses to this area with such a low population that actually serves a purpose in this area? 6. Like the inclusion of parks and places for future schools in the plan. 7. If this is north of Bloomington, would this school be in the Gilbert School District? 8. New on-ramps and road improvements would need to be made with I-35 to accommodate the traffic in this area. 9. Substantial improvements needed to allow pedestrian/bicycle access North/South along Grand 10. The area north and NW of the PLEX have serious drainage issues and development would likely exacerbate these issues into the surrounding landscape; these areas would be ideal for re-establishment of prairie and wetland. 11. I appreciate the inclusion of a parkway system in North Ames - why not include connections to Ada Hayden and subsequently Grand? 12. Nice plan for the North growth area. Down side to this area is that it further disconnected from any arterial streets. Ideally would be better if the proposed new interchange on I 35 at Riverside Rd materializes as it would allow the nothern side of Ames better access to the interstate which would allow more options for commercial businesses to flourish in the north as well. 13. This is a fairly busy roadway. Not sure how LI will work unless there are fairly large setbacks. Otherwise, a higher density or a mixed use may be more appropriate here - especially with it being fairly close to Gilbert and somewhat remote for amenities readily available from Ames. 14. No Comment Added 91 A M E S C O M P R E H E N S I V E P L A N 15. Potential negative impacts on the Ada Hayden watershed and wetland. 16/17. No Comment Added 18. Will there be any space left to do anything here, or is this just acknowledging the existing railroad? 19. How will negative impacts to the wetland be mitigated? 20. As you round this curve, this is a beautiful use of the retention pond, with the homes backing up to the water. 21. NO do not develop this space! Ada Hayden is some of our precious little green space remaining. Its peace and tranquility should be respected. Retail/restaurant would not be welcome or wanted here in any way. We don’t want the activity, the fluorescent lights, or more importantly, any changes to this area. Reject. Additional Comments for North Concept: k The original Northridge development (area of Bayberry Rd and Ridgetop Rd) resulted in the loss and degradation of rare original prairie areas and seeps, almost destroyed a rare Indian burial mound (resulting in a court case), caused significant erosion issues, and created challenging expensive drainage problems that continued for years. Giving permission for that development on that site was a mistake on the part of the City. Some fragile natural areas should not be developed, no matter how hard some people lobby for development. I hope the City of Ames has learned that lesson and will demonstrate that as this plan moves forward. I would agree with this. We have a responsibility to future generations to guard our natural areas. k This is sprawl in new urbanist clothing. Focus on infill. k Much of this north expansion area isn’t in the existing Ames School District. It would be nice to plan for growth in areas that could also serve as a tax base for our school system rather than a neighboring community’s. Agreed. Ames residents, Ames children, and Ames property taxes should go back to the city of Ames. Not Gilbert. k North Ames seems to be growing fine and the area isn’t low-income. I would like to see more attention given to areas in town where families in need are the focus & the population that would benefit most. k I don’t think the North area needs to be developed further. We already have way too much sprawl in Ames as it is. The demand for housing is not all in MacMansions to the North. k This plan makes Hyde Ave a major throughway for North Ames (In par with Grand Ave). It is a residential street and not designed for this level of traffic! k A local restaurant, focusing on high quality foods with local and sustainable ingredients (suggestion: model after the New Scenic Cafe north of Duluth, Minnesota) would benefit our community and be a nice place for active people to share a meal before or after a stroll around Ada Hayden. It would also draw more people north and thus showcase our lovely heritage park. k In the last two years we have lived here in Ames, I have noticed what appears to me to be a steady increase in vehicle traffic on that street. I have seen one accident on Bloomington already. If there is a lot of additional development on the North side of town how safe will Bloomington be for the people who live on either side of the street, for motorists, for bikers, etc.? k When will people realize that the loss of so much quality farmland every year will be a major problem for future generations. So much of the new housing in Ames changes farmland into lawns that require considerable water, herbicides and mowing. The large single family houses need a huge amount of energy to keep the residents comfortable. 100% agree. Our farmland is precious. We should not treat it as if it were “empty”. The same goes for our precious natural areas. k I would like to see Ames focus on Urban- High Intensity growth as a way forward for sustainability. k Our beautiful city should focus on infill, rather than the interests of the developers and real estate corporations. For the sake of sustainability, we should insist that all new development be completely carbon-neutral. k North Ames is becoming over developed, and could stand to be curbed for a bit. Plus, yes, as another comment points out, the cost to the environment is not worth it. How many retirement homes and mega churches can we deal with? k The open spaces are what distinguishes Ames from other large towns. I’m glad Sqaw Creek has forced Ames to include 92 A M E S C O M P R E H E N S I V E P L A N lots of natural areas. When I heard about the destruction of a burial mound for development, I was disgusted. Iowa’s native heritage should be showcased, not bulldozed over for development. k The City of Ames has an excellent engineer who is an experienced water expert, and I hope her views will carry huge weight when assessing various development scenarios and their potential impacts on erosion, water quality, and flooding. As the City of Ankeny has been learning the (expensive) hard way, it’s a lot smarter to plan ahead to avoid those problems, even if that means some restrictions on development, than try to figure out what to do about major soil and water problems after bad development decisions have already been made and implemented. k Residents living in the North part of Ames should be in an Ames school district, not Gilbert. Children and taxes in those areas should be going to Ames schools, not Gilbert. k North option is one of the more costly in terms of required infrastructure and would have potential for considerable impacts on local streets (incl. Hyde/Grant) as well as flooding/water quality in Ada Hayden and So. Skunk. k This is all within the Gilbert School district. How does Gilbert Community Schools view expansion that will impact their district? k Too far north. Will require too much infrastructure improvement. k Several intersections in this area are being strained by development that has already taken place, and the recent traffic study contains recommendations for improvement. If further development to the north is to be considered, there will be a need to re-visit this study and possibly ramp up the proposed solutions. k If growth is going north, there will need to be better north - south roads and more choices for retail k As is easily apparent, growth West of Grand Avenue is progressing well, but East of Grand should be considered for new development similar to the West side. k The north seems to be growing adequately as it is albeit with a lack of variety in housing stock. I think encouraging growth in other areas would be more appropriate. k What’s the plan for that gray area west of GW Carver and north of 190th? The map shows new roads but not what kind(s) of development the roads would service. k I think that 190th would be an ideal location for expanding business for the north end of Ames, especially the north side of 190th. Gilbert is already almost a part of Ames and the road structure there right now has the opportunity to be a major artery that could allow for retail expansion to service the growing need for retail services in the northern Ames area. k Not a bad design for potential growth to the north. I think ideally growth of the community in other areas than north should be encouraged over directly to the north. 93 A M E S C O M P R E H E N S I V E P L A N South Growth Area Comments: 1. Any way to get Grand under 30? 2. Leave the tree nursery alone. It adds a lot to the city just by being what it is 3. No Comment Added. 4. I don’t like the idea of the state nursery being redeveloped. 5. Extending the shared use path south to the new road by the new interchange? 6. Shouldn’t be afraid to go closer to Ken Maril Road. 7. This actually makes more sense in terms of location and access to both Highway 30 and 35. It needs to create a better sense of place and connectivity to the rest of the town. This side feels too disconnected already. Duff Avenue development sucks. If the corridor is strengthened and made more welcoming and attractive, this proposed area could actually make more sense 8. Why nothing planned for this area directly south of Ken Maril Rd. Is this where the ISU research plots are? 9. 24 hr. gas station 10. Really? Going to put an interchange near junction of So Skunk and what must be a not insignificant creek coming from the west as well as about a mile and a half north of the water treatment plant? 94 A M E S C O M P R E H E N S I V E P L A N Additional Comments for South Concept: k As pointed out by others, there would be pluses to this option. However, the current map shows a big new road being built right through a Story County public park. That would lower the value of the park for outdoor recreation as well as wildlife. And Story County does not have a lot of public parkland. The State Forest Nursery, in addition, provides outdoor space and good bird habitat. Turning it into housing would be another conservation loss. Green space needs to be prioritized now more than ever. Do not sacrifice green space and important wildlife habitat for human housing. k This seems like the best option to serve households with workers split between Ames and Ankeny/Des Moines. The access to I-35 would be convenient as well. It would also benefit the Research Park, particular if a range of housing options are executed. Much of the proposed development also appears to be in the existing Ames School District. k Traffic is a concern in this area. What would happen to the nursery? k Has anyone considered the K-Mart building for the Healthy Life Center? Excellent parking there! k For the most part I really like this plan for growth to the south of Ames. The new roads on the map connecting the area to other roads in Ames make a lot of sense. This would help ease some of the traffic on S. Duff Ave and allow some of the people in South Ames fairly quick access to the interstate. Although I don’t understand why is a gap on this map between new proposed areas and Ken Maril Rd. The state nursery being redeveloped in this plan seems a shame. Hopefully that wouldn’t be encouraged unless it the Nursery permanently closes. k I would like to see Ames focused on Urban High Intensity Mixed-Use as a way forward toward sustainability. k I would like to see Ames focused on Urban High Intensity Mixed-Use as a way forward toward sustainability. k There are several positives for the South area, including the possibility of future easy access to I-35 and better access for commuters to Ankeny and DesMoines. The South Duff fire station is already in place to service this area. Another plus is the fact that most of the land is in the Ames School District and there appear to be many acres of cropland in the area and not so many working farms. It seems there would be more potential for growth over time. k I feel that south is the best option because so many people commute from Des Moines/ Ankeny for work. However, I would be concerned with more traffic needs being placed on S. Duff. k The commercial development happening around I35 and Hwy 30 needs residential and community retail to support it, and to keep it expanding. This is a needed area of development to provide a beautiful new entrance to our city from the South. k This looks like a great option that could give another access point to I35 and solve some traffic congestion on Duff. k Something needs to be done with the old Kmart building! I could see a roller rink going in if it’s not going to be a store. k A housing development under Ames Airport traffic seems ill advised. k Too small an area and high density for most people. k This could work well with the growth of Huxley and Ankeny. 95 A M E S C O M P R E H E N S I V E P L A N DIRECT CORRESPONDENCE 96 A M E S C O M P R E H E N S I V E P L A N 97 A M E S C O M P R E H E N S I V E P L A N 98 A M E S C O M P R E H E N S I V E P L A N 1 ITEM #_ _45__ DATE: 01/14/20 COUNCIL ACTION FORM SUBJECT: INITIATION OF CHAMPLIN LLOYD FARM LLC ANNEXATION ALONG DARTMOOR ROAD BACKGROUND: The City of Ames received an annexation petition from Lynn Champlin Lloyd representing Champlin Lloyd Farm LLC seeking voluntary annexation of a portion of the Champlin Lloyd Farm LLC property equaling 145.03 acres of the approximately 170 acres of family land holdings in the area. The property is located southwest of the corporate limits of the City of Ames immediately adjacent to the current city boundary, along Dartmoor Road, north of Zumwalt Station Road and to the west of 520th Avenue. Worle Creek passes through the property on the north side. The property abuts the city limits along its eastern edge. A location map is included as Attachment A. The property is within the Allowable Growth Area identified in the current Land Use Policy Plan (LUPP) as Southwest II and is eligible for requesting annexation. Although most of the southwest area has growth limitations due to not having access to sanitary sewer, the Champlin property does not have that limitation. It has both sanitary sewer and water connections available at its southeastern border. The site does not have paved road access and would require street improvements at the time of development. The applicant is interested in selling their property, but no buyer has been identified. Therefore, there is no development proposed at this time. If the property is annexed, it would most likely be developed with F-PRD (Residential Planned Development) or FS-RL (Residential Low Density) zoning. The applicant requests that the City Council authorize the requested annexation area, which includes a 50-foot wide strip of land to remain in the county along the north boundary of the property. This strip is considered the minimum allowed by the State to maintain connectivity of county lands to existing peninsula such as the Meadow Glen area. While the applicant is requesting a 100% voluntary annexation, three additional parcels (Johnson, State of Iowa and Coy) would be required to be included in the annexation to avoid creating an island of unincorporated land. Iowa law prohibits the creation of unincorporated islands and allows for nonconsenting properties to be included in a voluntary annexation (80/20 rule). The three parcels total 6.42 acres. Owners of two of these parcels would be consenting due to previous covenants accepting future annexation. 2 According to state law, an annexation may proceed when 80% of the property owners (by acreage) voluntarily apply to be annexed into the City. Given the acreage included within the Champlin Lloyd petition, an additional 30 acres of nonconsenting properties could be included. The 85-acre rural Meadow Glen area would not be able to be included to make more uniform boundaries for the City. Additional territory would be needed in conjunction with the Champlin Lloyd property to accomplish annexation of all of the properties within the peninsula, northeast of the site. This concept was reviewed with Council in a memo on January 8th 2019. The addendum provides additional information concerning the area. Information on all adjacent landowners and parcels is included in Attachments D & E. Staff has notified adjacent fringe property owners to the north and east of the annexation petition area, so that they might indicate their interest or concerns regarding annexation. Staff has not been in contact with property owners (Sevde, Lutz, Tweet, Wright, Hutson) located within the existing unincorporated island. ANNEXATION OPTIONS: A map identifying property owners and property acreages is included in Attachment D and Attachment E and should be referred to for clarity in understanding the three options included below. Each option as identified, would proceed as an 80-20 annexation and would require an initial meeting of the City Development Board, followed a month later by a public hearing of that board. Proceeding with the 80/20 annexation process would be consistent with the LUPP for planned growth of the City, state code for area of territory, and state code for islands. If this annexation were to proceed, the Meadow Glen peninsula of unincorporated land would continue indefinitely in the county assuming that the majority of property owners continue to oppose annexation. Additional annexation interest has not been expressed by any of the adjacent land owners in prior efforts to reach out and identify annexation interests. Option 1. Initiate annexation of the entire requested acreage (145.03 acres) of the Champlin property which lies within the Southwest Growth Area II under an 80/20 annexation. The 6.42-acre unincorporated area to the southeast would be required to be included; otherwise, it would become an unincorporated island, which is prohibited by state law. In total, this annexation would result in only one parcel (1.14 acres) of nonconsenting property owners. Option 2. Initiate annexation of the entire requested acreage (145.03 acres) of the Champlin Lloyd Farm which lies within the Southwest Growth Area II under an 80/20 annexation and include the existing island to east of State Avenue. The 6.42-acre unincorporated area to the southeast would be required to be included because otherwise it would become an unincorporated island, which is prohibited. In addition, in order to eliminate an existing unincorporated island of 9.25 acres, five additional properties would 3 be included. It is assumed that these property owners would be non-consenting. The inclusion of these additional properties would be permitted under an 80/20 annexations as the percentage of non-consenting would be no greater than 6.5%. In total, this annexation would result in six parcels (10.39 acres) of non-consenting property owners. Staff identified this option due to the State possibly requiring annexation of this existing island. ALTERNATIVES: 1. The City Council can initiate an 80-20 voluntary annexation of 151.45 acres which includes 150.31 acres of consenting properties and one non-consenting property of 1.14 acres with the condition that the City will have no obligation to bear any cost of any improved infrastructure to the 151.45 acreage. Note that to finalize the annexation with the proposed 50-foot wide area along the north property line it will likely require approval of a plat of survey to divide the existing parcel along the proposed City boundary line. This will be reviewed with the property owner as part of the annexation process. 2. The City Council can initiate an 80-20 voluntary annexation of 160.70 acres which includes 150.31 acres of consenting properties and six non-consenting properties of 10.39 acres, in order to create more uniform boundaries, with the condition that the City will have no obligation to bear any cost of any improved infrastructure to the 160.70 acreage. Note that to finalize the annexation with the proposed 50-foot wide area along the north property line it will likely require approval of a plat of survey to divide the existing parcel along the proposed City boundary line. This will be reviewed with the property owner as part of the annexation process. 3. The City Council could defer action and request more information. 4. City Council could decline to initiate the annexation process at this time. CITY MANAGER’S RECOMMENDED ACTION: Unlike many of the other areas identified within the Southwest Growth areas, the Champlin property has existing water and sewer available, with lines already stubbed to its eastern property line. Although these lines exist near the site, the developer of the property in the future will need to extend the utilities and complete road improvements along with development. The City is not obligated to financially participate in these improvements, but it may be asked to participate in oversizing or off-site improvements in the future. The proposed annexation petition does not include a request for any pre- annexation agreement to address these issues up front and such a decision on improvements would then be deferred until a rezoning request. 4 Proceeding with annexation of the Champlin property would create an even larger peninsula of unincorporated land extending along the property’s north boundary into Meadow Glen. In order to maintain the peninsula as required, the Champlin’s have not included the northernmost 50’ of their property. This large peninsular would be very difficult to annex in the future without considerable interest in a voluntary annexation due to the large amount of territory in the area. Based upon recent analysis, further annexation south is highly unlikely due to ISU land holdings. Staff believes proceeding with the annexation process as proposed is acceptable with this understanding of the likely outcome. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #2, thereby directing staff to initiate the 80-20 annexation of only 160.7 acres of the Champlin property along with the non-consenting properties located within the island to the southwest and island to the east as described within this report and as included within the Southwest Growth Area II and the Fringe Plan. 5 Addendum Land Use Policy: The Land Use Policy Plan (LUPP) identifies this area and the Champlin Lloyd parcels as part of the “Southwest II Allowable Growth Area” (See Attachment A). The Ames Urban Fringe Plan Land Use Map identifies this property for future growth and designates this property as “Urban Residential.” (See Attachment B). If annexed into the city limits, the Land Use Policy Plan will automatically designate the property as within the Village/Suburban Residential land use designation. This would allow for a rezoning request to one of the floating zones. The "floating" zone concept provides flexibility in determining the style and layout of residential development in newly- annexed areas of the city. However, upon annexation, the land would be automatically zoned as “A- Agriculture” until such time as rezoned by the property owner. Infrastructure: The City will have no obligation to bear any cost of any improved infrastructure. The following information is included to memorialize the existing conditions: Dartmoor Road is an existing unpaved road that bisects the property and connects from South Dakota to State Avenue. Zumalt Station Road runs along the southern perimeter of the property and is a major county unpaved corridor that extends westward from State Avenue. The Champlin Lloyd property is within the City of Ames water territory and would not need a water rights buy-out from Xenia Rural Water. An existing 8-inch water main is stubbed to the property, so no off-site expense is anticipated to bring water to the property. The eventual looping of the water main back to another water main would be desirable and likely would be required at some point in the future for redundancy and reliability of the utility. An existing 15-inch sanitary sewer main is stubbed to the property, so no off-site expense is anticipated. This sanitary main has been studied and is adequate to serve the entire Champlin Lloyd property as well as future City growth to the west. Worle Creek: In the City's 2005 Sanitary Sewer Study, the woodlands on the Lloyd Champlin land were deemed "quality woods" that need to be protected. In the same study, Worle Creek was discovered to be inhabited by two species of threatened/endangered mussels. The study suggests that any prospective developer be cognizant of these species, as the DNR/City may request relocation of the mussels. Future development will be required to leave a 100-foot buffer along Worle Creek. Although Worle Creek meanders through the upper portion of the Champlin Lloyd property, only a small portion of Worle Creek in included within the acreage of the annexation request. The developable areas of the annexation acreage are to the south of the creek. 6 7 ATTACHMENT A: LOCATION & LUPP PRIORITY GROWTH AREAS MAP 8 ATTACHMENT B: AMES URBAN FRINGE PLAN MAP [EXCERPT] 9 ATTACHMENT C: ANNEXATION PLAT 10 ATTACHMENT D: MAP OF ADJACENT PROPERTY OWNERS 11 ATTACHMENT E: TABLE OF ADJACENT PROPERTY OWNERS & ACREAGE OPTION 1: 80-20 Annexation Consenting Owners: Property Address/Legal Description Gross Acres Champlin Lloyd Farm LLC 3737 Dartmoor Road PID 09-17-350-200 PID 09-17-400-310 Total Consenting:(99.2%) 150.31 Non-Consenting Owners: Adjacent to Coy property located at Total Non-Consenting:(0.8%) 1.14 Total Acres (Gross):151.45 OPTION 2: 80-20 Annexation Consenting Owners: Property Address/Legal Description Gross Acres PID 09-17-350-200 PID 09-17-400-310 Total Consenting:(93.5%) 150.31 Non-Consenting Owners: Trust Adjacent to Coy property located at 3328 Dartmoor Ln; PID 09-17-400-410 Total Non-Consenting:(06.5%) 10.39 12 Total Acres (Gross): 160.70 1 Item # __46a_ Staff Report 321 STATE AVENUE MULTI-FAMILY HOUSING DEVELOPMENT WITH LOW INCOME HOUSING TAX CREDITS (LIHTC) January 14, 2020 The development of the property at 321 State Avenue has been discussed with City Council on several occasions since 2016. Most recently, City Council gave direction on December 17th to proceed with creating a development concept plan for affordable single-family homes and affordable multi-family housing on the site. Staff indicated on December 17th that prior to moving forward on a multi-family housing option it would provide information on the Low Income Housing Tax Credit (LIHTC) process. As a separate agenda item, City Council is being asked to approve a contract to hire a consulting civil engineer to proceed with creating the plans for the single- family subdivision portion of the site. LIHTC is an Iowa Finance Authority (IFA) competitive financing program for the annual allocation of income tax credits. The income tax credits assist in the financing of low and very low income housing. Annually there are more requests for tax credits than are available, making the program highly competitive to secure funding. The IFA scoring system includes a diverse set of criteria and points relating to the experience of the housing developer, local jurisdictional support, design, affordability, etc. There is only one application period per year, the deadline for 2020 is March 11th. More information on the program details can be found at: http://www.iowafinanceauthority.gov/Public/Pages/PC116LN11. Staff has identified two timing options for proceeding with a LIHTC project. OPTION 1- Prepare RFP for March 11, 2020 Application period: Staff believes that the land available for multi-family housing at 321 State Avenue is viable for generating interest from affordable housing developers and to score well on the LIHTC evaluation. However, the deadline to apply is very quickly approaching and a number of steps are necessary to proceed with this option in the next eight weeks. Should the City Council choose to proceed with this option, the very ambitious schedule listed below would have to be accomplished in order to the City to meet the March 11th deadline. 1. Prepare an RFP to solicit affordable housing developer interest and project proposal for the site. (Issue RFP by January 21st) 2. Proposals due February 11th 3. Review proposals and interview qualified candidates as needed. (February 12th to 19th) 4. City Council selection of a preferred developer. (City Council meeting February 28th) 5. Complete a development agreement for City Council approval.(City Council meeting March 10th) 6. Submit application to IFA. (March 11th) 7. Notice of Award from IFA. (August 2020) 2 8. Proceed with final development agreement and project plans for construction Spring 2021. OPTION 2- Prepare RFP for the 2021 Application period: This option would include the same basic steps as Option 1, but would allow for more upfront time to define the range of acceptable options for multi-family housing for the Council to consider prior to issuing the RFP as well as a more reasonable timeframe to complete the steps in the application process. 1. Prepare an RFP to solicit affordable housing developer interest and project proposal for the site. (Issue RFP by June 2020) 2. Proposals due July 2020 3. Review proposals and interview qualified candidates as needed. (August 2020) 4. City Council selection of a preferred developer. (September 2020) 5. Refine project concept and complete development agreement (December 2020) 6. Submit IFA application March 2021 (anticipated) 7. Notice of award by IFA, August 2021. 8. Proceed with construction late 2021 or spring 2022. STAFF COMMENTS: Staff has scheduled a neighborhood meeting for January 23rd that will include an opportunity to review information for three upcoming City projects affecting the neighborhood. This will be a joint meeting with Planning and Housing, Public Works, and Fire Departments. Planning and Housing will review the status and plans for development of 321 State Avenue, including the multi-family option on a portion of the site with single- family homes on the remainder of the site. Although there is technically time to proceed with an RFP for selecting an affordable housing developer and applying for LIHTC in March 2020, the timeframe and steps allow for very little public participation in shaping the concept of the project and little time for staff to complete its work. While Staff understands that although Option 2 would cause an additional year of delay in creating multi-family housing, it is believed this option would likely result in a better overall process for development of the site. It should be emphasized that the development of the affordable single-family homes could proceed while working on a multi-family development site, regardless of which timing is chosen by City Council. ITEM #___46b____ DATE:___1-14-20_ COUNCIL ACTION FORM SUBJECT: AWARD OF CONTRACT FOR CIVIL ENGINEERING SERVICES FOR PROPERTY LOCATED AT 321 STATE AVE BACKGROUND: City Council directed staff to proceed with planning for the development of affordable single-family and multi-family housing at its December 17th meeting. One of the key steps in this process is to hire a consulting civil engineer to prepare a preliminary and final subdivision plat and improvements plans related to development of single-family housing. Future development of multi-family housing on a portion of the site would occur through a partnership with a low-income housing developer and is not a primary component of hiring a civil engineer at this time. The civil engineering services for platting are envisioned to take eight months to complete at a cost of $49,600. The City Council has budgeted $50,000 from Community Development Block Grant funds for this project. When hiring an engineering firm using federal dollars, HUD requires utilizing a two- envelope request for qualifications process. As part of this process, the evaluation team determines which firm is the most qualified to perform the work, this includes an initial review of the proposals submitted, clarifications of the proposals, if necessary, and an interview of one or more of the firms. Once the most qualified firm is selected, the City opens their sealed fee proposal only and negotiates a contract. In October, staff developed and solicited a Request for Qualifications (RFQ) to 30 firms for their interest in assisting the City of Ames in preparing subdivision plans for development of an approximate 10-acre parcel of land located at 321 State Avenue as a mixed-income housing subdivision. The RFQ was advertised on the Current Bid Opportunities section of the Purchasing webpage. Three responses were received. An evaluation team comprised of City staff members (representing the Planning and Housing and Public Works Departments) ranked the three proposals using an evaluation matrix identified in the RFQ. Each proposal was evaluated based on a combination of project understanding and approach; past performance with the City and other local, state, or federal government agencies within Iowa; qualifications of design team; organization and clarity of the proposal; and proposed timeline. The next step in the process involved interviews with the evaluation team and the three firms. All three firms were asked to provide a brief presentation demonstrating their understanding of the scope of services. They were also asked to demonstrate their experience as it relates to housing developments, subdivision construction, as well as their experience with communities, cities, and neighborhoods as it relates to residential subdivision development. The scores for each criterion used a scale of 1 to 5 and then assigned a corresponding weight factor. The maximum possible score, combining all four evaluators, for both the initial proposal and the interview was 4,000 points. The combined scores of the written proposals and interviews resulted in the following ranking: Firm Rank After completing the scoring process, Civil Design Advantage received the highest ratings and was selected as the most qualified firm. The Civil Design Advantage proposal provided a number of bold options for the City to consider that had worked well for them in the past with a variety of housing developers. The proposal includes working with staff to generate site layout concepts for City Council selection and includes a meeting with the neighborhood to discuss the proposed subdivision. The team has extensive experience with residential subdivision in other Iowa cities. The Civil Design Advantage fee proposal is $49,600. The scope of work includes a number of steps throughout the development process. A summary of the primary tasks and major deliverables are described in the following table. Each task is defined in greater detail within the scope of work. No. 1: Kick Off Meeting $ 1,200 No. 2: Boundary Verification $ 750 No. 3: Design Meetings $ 1,800 No. 4: Development Concept Preparation $ 2,800 No. 5: Preliminary Plat (Entire Property) $ 9,750 No. 6: Storm Water Management Plan $ 2,450 No. 7: Preliminary Public Improvement Plans $10,750 No. 8: Final Public Improvement Plans $ 5,750 No. 9: SWPP and Grading Permit $ 2,100 No. 10: Bid Process Assistance $ 1,200 No. 11: Pre-Construction Meeting $ 1,100 No. 12: Final Plat (Entire Property) $ 8,500 Estimated Expenses $ 1,500 TOTAL $49,600 With the proposed scope of services, the start of construction of affordable single- family housing can occur in 2020. CDA will prepare development concepts for the site during January and February, with the intent of having City Council select a preferred single-family lot layout before March. Once the lot layout has been selected, CDA can begin to prepare the actual preliminary plat and other associated documents for approval by the City and then complete the improvement plans and final plat documents. The City would potentially be able to have a bid package for the public improvements as early as April and award a contract in June 2020. This would allow for construction to begin in late summer and to have a select number of buildable lots available prior to the end of 2020. Attached is a copy of the contract that has been reviewed by the City Attorney’s Office. ALTERNATIVES: 1. Approve the award of contract with Civil Design Advantage, LLC of Grimes, IA for a Civil Engineering Services for the property located at 321 State Ave in the amount of $49,600. 2. Direct staff to negotiate a contract for Civil Engineering Services for the property located at 321 State Ave with one of the other firms that submitted a proposal to the City. 3. Do not award contract. CITY MANAGER'S RECOMMENDED ACTION: The three firms had varied levels of experience and provided different strategies for creating subdivisions on the property consistent with the RFQ. After evaluating the scope of services and experience of each firm, interviewing the firms, Civil Design Advantage, LLC of Grimes, IA, was identified as the most qualified firm to complete the desired work for the City. The proposed Civil Design Advantage scope of work is consistent with development of the property that would allow the City to work towards its goal of beginning construction of affordable housing in 2020. The proposed approach work by CDA does not address multi-family development, but in conversation with CDA they understand that the scope and the scale of the single-family development may need to be revised for the project. The overall approach and schedule will not be negatively impacted by reserving area for multi-family housing while moving forward on the affordable single-family housing component of the project. Therefore, it is the recommendation of the City Manager that the City Council approve Alternative #1, thereby approving the contract with Civil Design Advantage, LLC of Grimes, IA for a Civil Engineering Services for the property located at 321 State Ave in the amount of $49,600. CONTRACT FOR PROFESSIONAL SERVICES FOR CIVIL ENGINEERING SERVICES FOR PROPERTY LOCATED AT 321 STATE AVENUE FOR CITY OF AMES PLANNING AND HOUSING DEPARTMENT THIS AGREEMENT, made and entered into effective the 14th day of January, 2020, by and between the CITY OF AMES, IOWA, a municipal corporation organized and existing pursuant to the laws of the State of Iowa (hereinafter sometimes called "City") and Civil Design Advantage, LLC (a limited liability corporation, organized and existing pursuant to the laws of the State of Iowa and hereinafter called "Provider"); W I T N E S S E T H T H A T: WHEREAS, the City of Ames has determined that certain services to be provided to the City of Ames and its citizens by Provider, such services and facilities being hereinafter described and set out, should be purchased in accordance with the terms of a written agreement as hereinafter set out; NOW, THEREFORE, the parties hereto have agreed and do agree as follows: I PURPOSE The purpose of this Agreement is to procure for the City of Ames certain services as hereinafter described and set out; to establish the methods, procedures, terms and conditions governing payment by the City of Ames for such services; and, to establish other duties, responsibilities, terms and conditions mutually undertaken and agreed to by the parties hereto in consideration of the services to be performed and monies paid. II SCOPE OF SERVICES Provider shall provide the services set out in the City of Ames, Iowa, per Request for Proposal 2020-047 Professional Services for Civil Engineering Services for the Property Located at 321 State Avenue for City of Ames attached hereto as Exhibit A. The City, without invalidating the Agreement, may direct changes in the project within the general scope of the Agreement, with the authorized payment maximum being adjusted accordingly. Any change in the scope of service by the provider shall be done by written agreement signed by both parties. The added cost or cost reduction to the City resulting from a change in the Agreement shall be determined by mutual acceptance of a lump sum properly itemized and supported by sufficient data to permit evaluation, or by unit prices stated in the Agreement or subsequently agreed upon. It shall be the responsibility of the provider, before proceeding with any change in scope, to verify that the change has been properly authorized on behalf of the City. No additional charges or any other change in the Agreement will be allowed unless previously authorized in writing by the City, with the applicable compensation method and maximum authorized additional sum stated. III METHOD OF PAYMENT A. Payments shall be made by the City of Ames in accordance with the following task schedule: Task Total Amount a. No. 1: Project Kick-off Meeting $ 1,200 b. No. 2: Design Meetings $ 1,800 c. No. 3: Boundary Verification $ 750 d. No. 4: Development Concept Preparation $ 2,800 e. No. 5: Preliminary Plat (Entire Property) $ 9,750 f. No. 6: Storm Water Management Plan $ 2,400 g. No. 7: Preliminary Public Improvement Plans $10,750 h. No. 8: Final Public Improvement Plans $ 5,750 i. No. 9: SWPPP and Grading Permit $ 2,100 j. No. 10: Bid Process Assistance $ 1,200 k. No. 11: Pre-Construction Meeting $ 1,100 l. No. 12: Final Plat (Entire Property) $ 8,500 m. Estimated Expenses $ 1,500 Above fees assume the project is designed in Winter/Spring 2020, bid in Summer 2020 and constructed in 2020. The maximum total amount payable by the City of Ames under this Agreement is $49,600 and no greater amount shall be paid without written amendment. B. Payment will be made upon completion of the work and acceptance by the City of Ames. Provider shall submit an invoice upon completion of the work. The invoice shall include an itemization of the work for which payment is claimed. Invoices referencing the assigned purchase order number shall be sent to the following address: City of Ames, Finance Dept. – Accounts Payable, PO Box 811, Ames, IA 50010 lV FINANCIAL ACCOUNTING AND ADMINISTRATION A. All claims for payment shall be supported by properly executed payrolls, time records, invoices, contracts, vouchers, or other documentation evidencing in proper detail the nature and propriety of the charges. All checks, payrolls, invoices, contracts, vouchers, orders, or other accounting documents pertaining in whole or in part to this Agreement shall be clearly identified as such and readily accessible for examination and audit by the City or its authorized representative. B. All records shall be maintained in accordance with procedures and requirements established by the City Finance Director, and the City Finance Director may, prior to any payment under this Agreement, conduct a pre-audit of record keeping and financial accounting procedures of the Provider for the purpose of determining changes and modifications necessary with respect to accounting for charges made hereunder. All records and documents required by this Agreement shall be maintained for a period of three (3) years following final payment by the City. C. At such time and in such form as the City may require, there shall be furnished to the City such statements, records, reports, data, and information as the City may require with respect to the payments made or claimed under this Agreement. D. At any time during normal business hours, and as often as the City may deem necessary, there shall be made available to the City for examination all records with respect to all matters covered by this Agreement and Provider will permit the City to audit, examine, and make excerpts or transcripts from such records, and to make audits of all contracts, invoices, materials, payrolls, records of personnel, conditions of employment, and other data relating to all matters covered by this Agreement. V INSURANCE A. The provider shall maintain insurance coverage in scope and amounts acceptable to the City’s Risk Manager detailed in the Request for Proposal. B. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City of Ames, its officials, employees, or volunteers. C. Provider shall furnish the City with certificates of insurance and with original endorsements effecting coverage required by this clause. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates and endorsements are to be on standard insurance company forms or forms provided by the City and are to be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. D. Provider shall include all subcontractors as insured under its policies. All coverages for subcontractors shall be subject to all of the requirements stated herein. E. To the fullest extent permitted by law the Provider shall indemnify and hold harmless the City of Ames, their agents, and employees from and against all claims, damages, losses, and expenses, including, but not limited to attorneys’ fees arising out of or resulting from the performance of the work, provided that any such claim, damage, loss, or expense (1) is attributable to bodily injury, sickness, disease, or death, or to injury to or destruction of tangible property (other than the work itself) including the loss of use resulting therefrom; and (2) is caused in whole or in part by any negligent act or omission of the Provider, any Subcontractor, anyone directly or indirectly employed by any of them or any one for whose acts, any of them may be liable. F. In no case will the Provider’s coverage be constructed to provide coverage for acts of negligence alleged to be caused by the sole negligence of employees of the City of Ames. VI PROPRIETARY RIGHTS AND CONFIDENTIAL INFORMATION Provider agrees to hold in trust and confidence any confidential and/or proprietary information or data relating to City business and shall not disseminate or disclose such confidential information to any individual or entity, except Provider’s employees or subcontractors performing services hereunder (who shall be under a duty of confidentiality), and any other individuals specifically permitted in each instance by the City. VII TERMINATION The City of Ames may terminate this Agreement without penalty to the City at any time by giving written notice to the Provider at least fifteen (15) days before the effective date of such termination. In any case where the Provider fails in whole or in part to substantially perform its obligations or has delivered nonconforming services, the City shall provide a Cure notice. If after notice the Provider continues to be in default, the City may terminate this agreement immediately. The City shall only be obligated to compensate the Provider for compliant services performed prior to notice of termination. VIII INDEPENDENT CONTRACTOR STATUS Provider agrees that the relationship between Provider and the City is that of an independent contractor for employment tax purposes. The Provider shall be solely responsible for all taxes relating to payments under this agreement including those of employees. IX LAWS This contract is governed by the law of the State of Iowa with venue in the appropriate state and/or federal court for Story County. X ASSIGNMENT This Agreement may not be assigned or transferred by the Provider without the prior written consent of the City. XI AFFIRMATIVE ACTION Provider shall place on file with the City a statement of nondiscrimination policy in the form of a completed Assurance of Compliance with the City of Ames, Iowa, Affirmative Action Program satisfactory to the Affirmative Action Officer of the City. XII DURATION This Agreement shall be in full force and effect from and after January 14, 2020 until completion of the Work, or, until terminated by the City of Ames, Iowa. IN WITNESS WHEREOF the parties hereto have, by their authorized representatives, set their hand and seal as of the date first above written. CITY OF AMES, IOWA By: By John A. Haila, Mayor Gary L. Reed, Owner Attest by: Diane R. Voss, City Clerk EXHIBIT A PROFESSIONAL SERVICES FOR CIVIL ENGINEERING SERVICES FOR PROPERTY LOCATED AT 321 STATE AVENUE Scope of Work Task 1 - Project Kick-Off Meeting Civil Design Advantage (CDA) will facilitate a project kick-off meeting with the goal being to further understand and clarify Ames’ project expectations and goals. Items and issues to be discussed will include development options, housing product type and mix, site opportunities and constraints, phasing, project timeline, and local, state, and federal guidelines. Task 2 - Boundary Verification CDA understands that the City will provide a full topographic survey and boundary points and the Tripp Street construction as-built drawings. However, CDA will visit the site to verify utility and boundary monuments. Task 3- Design Meetings CDA anticipates attending four (4) design meetings during the course of the design development which includes attendance at neighborhood meetings. Task 4 – Development Concept Preparation Based on the discussion at the kick-off meeting, CDA will prepare a development concept. The concept will illustrate horizontal road alignment, lot sizes and configuration, possible stormwater detention areas, and potential phasing options. CDA will meet to review the concept with City Staff for review and comment. Based on comments received, CDA will refine the concept for presentation to the Development Review Committee for Sketch Plan review. A CDA representative will assist City Staff in presenting the concept at that meeting. Following this meeting, CDA will begin preparation of the Preliminary Plat. Task 5 – Preliminary Plat CDA will prepare one preliminary plat for the entire development for submittal to the City for approval. The preliminary plat shall generally show lot configurations, street alignments, utility corridors, existing/proposed grades, and other information required by the jurisdiction. At least one CDA representative shall be present at the Planning & Zoning and City Council meetings for approval of the preliminary plat document. A Preliminary Opinion of Probable Costs will be prepared at this time. Task 6 – Storm Water Management Plan A Storm Water Management Plan, including storm water calculations, will be prepared in conjunction with the Site Plan drawings and submitted along with the Site Plan submittal package to the City. This proposal includes storm water quality treatment calculations and design and assumes the project will incorporate a bioretention basin (or other) for water quality treatment. CDA assumes that adjacent public storm sewers exist and are sized adequately and deep enough to accept the storm sewer discharge from the site. CDA does not anticipate establishment of separate outfalls for storm drainage. Task 7 – Preliminary Public Improvement Plans CDA shall prepare preliminary Public Improvement Plans for the entire site for the construction of improvements according to SUDAS standards and City of Ames Supplemental Specifications. Public Improvement Plans shall include a title sheet, details, project quantities, estimate reference information, typical sections, grading plan, erosion and sediment control plan, utility plan & profile (sanitary sewer, water, and storm sewer), street plan & profile and intersection details, including sidewalks and ADA compliant pedestrian ramps. CDA will submit the preliminary plans to the City for review. Task 8 – Final Public Improvement Plans Once preliminary plan comments are received from the City, CDA will proceed with final Public Improvement Plans preparation. The plans will be for the entire property, although construction may be done in phases. Final Public Improvement Plans and specifications will be certified and be submitted (hard and electronic copies) to the City. At least one CDA representative shall be present at the City Council meeting for approval of the documents. The preparation and submittal of IDNR water and sanitary sewer permits shall be included. Task 9 – SWPPP and Grading Permit CDA will prepare an initial Storm Water Pollution Prevention Plan (SWPPP) for submittal to the City of Ames and for use during construction. The fee quoted is for a one-time preparation of the SWPPP document (prior to construction). The City will be responsible for monitoring the site and keeping the SWPPP current throughout each phase of construction. CDA will also prepare and publish a “Notice of Intent” in one area newspaper and prepare an Iowa Department of Natural Resources (IDNR) National Pollution Discharge Elimination Service (NPDES) “Notice of Intent” for the City to sign and submit to the Iowa DNR. Included within this task will also be the preparation of the local jurisdiction’s grading permit to be signed by the City which will be submitted with the SWPPP. CDA is not responsible for keeping the SWPPP updated throughout construction or for distribution of the plan to contractors. It will be the duty of the City to see that all contractors receive a copy of the SWPPP and sign the certification statements. It is also the duty of the City to periodically update the SWPPP throughout construction to meet all EPA, IDNR and local governmental agency’s requirements. Task 10 – Bid Process Assistance CDA will provide assistance during the bidding of the project, including answering contractor questions and preparation of addenda if necessary, and attending a Contractor Pre-Bid Meeting. Task 11 – Pre-Construction Meeting CDA will attend one pre-construction meeting with City Staff, Contractors, Subcontractors, Utility Representatives, and other entities prior to the commencement of construction. CDA will draft meeting minutes and transmit to attendees. Task 12 – Final Plat CDA shall prepare one final plat for the entire site. The Final Plat will be prepared in accordance with industry standards and will be suitable for recordation at the county courthouse. The final plat will include known existing and proposed easements related to the site and will include written legal descriptions for proposed easements if required by the City. After recording of the Final Plat, CDA will set necessary property monuments. CDA shall attend the Planning & Zoning Commission and City Council meetings associated with the Final Plat. It shall be the City’s responsibility to record the final plat and associated documents with the county. Additional Services CDA understands that contractual Engineering Services will be generally concluded once the pre-construction meeting has been held, but that the City may require additional services during the construction phase of the project. If so, a separate price/fee proposal will be submitted for those services. Schedule Per revised project development schedule dated January 3, 2020 found on the following page. 11 / 1 1 11 / 1 8 11 / 2 5 12 / 2 12 / 9 12 / 1 6 12 / 2 3 12 / 3 0 1/ 6 1/ 1 3 1/ 2 0 1/ 2 7 2/ 3 2/ 1 0 2/ 1 7 2/ 2 4 3/ 2 3/ 9 3/ 1 6 3/ 2 3 3/ 3 0 4/ 6 4/ 1 3 4/ 2 0 4/ 2 7 5/ 4 5/ 1 1 5/ 1 8 5/ 2 5 6/ 1 6/ 8 6/ 1 5 6/ 2 2 6/ 2 9 7/ 6 7/ 1 3 7/ 2 0 7/ 2 7 8/ 3 8/ 1 0 8/ 1 7 8/ 2 4 8/ 3 1 9/ 7 9/ 1 4 9/ 2 1 9/ 2 8 10 / 5 10 / 1 2 10 / 1 9 10 / 2 6 11 / 2 11 / 9 11 / 1 6 11 / 2 3 11 / 3 0 12 / 7 12 / 1 4 12 / 2 1 12 / 2 8 1/ 4 1/ 1 1 1/ 1 8 1/ 2 5 2/ 1 2/ 8 2/ 1 5 2/ 2 2 3/ 1 3/ 8 3/ 1 5 3/ 2 2 City Council Selection/Award of Contract u 1 Project Kick-Off Meeting u 2 Boundary/Topographic Survey u 3 Design Meetings u u u 4 Concept Development 4A Preliminary Cost Estimate u 5 Preliminary Plat 6 Storm Water Management Plan 7 Preliminary Public Improvement Plans 8 Final Public Improvement plans 9 SWPPP and Grading Permit 10 Bid Process Assistance Construction Letting (TBD)u 11 Pre-Construction Meeting (TBD)u 12 Final Plat Construction (TBD) Jan '21Dec '20Nov '20Oct '20Sept '20Aug '20Jun '20May '20Apr '20Mar '20Jan '20Dec '19Task ID Feb '20 Mar '21Feb '21 Task Name Nov '19 Jul '20 321 State Avenue Project Project Development Schedule Civil Design Advantage 3-Jan-20 ITEM #: 47 DATE: 01/14/20 COUNCIL ACTION FORM SUBJECT: REQUEST FROM SIGLER COMPANIES TO PURCHASE AIRPORT PROPERTY AND BUY OUT REMAINDER OF LEASE/DEVELOPER AGREEMENT FOR 3100 S. RIVERSIDE DRIVE BACKGROUND: On September 20, 2019, Chris Eggert, representing the Sigler Companies, wrote a letter to the Mayor and City Council requesting to buy out the remainder of their lease, purchase the land at 3100 S. Riverside Drive from the Airport, and amend the development agreement for the property that states that the buildings and all improvements on the property revert to City ownership at the conclusion of the lease on June 30, 2047. The letter is attached. The Airport property being leased by Sigler is at 3100 S. Riverside Drive (see attached map) and was originally created as part of a Development Agreement with Vantage Enterprises, LLC, in May of 1997. The agreement had a 50-year lease term beginning on May 27, 1997, which was sublet to VisionAire to build single-engine jet aircraft. Since that time, the lease has changed ownership two times from Vantage Enterprises, LLC to Dayton Park, LLC, in September of 2004 who sublet the building to Clarion Technologies. Finally, it was sold to Mulmac, LLC in April of 2007. Mulmac, LLC, is leasing the space to Sigler Companies, Inc. FAA REQUIREMENTS: When an Airport is considering the sale of high-value property, defined as $1,000,000 or higher, the FAA requires a minimum of two (2) appraisals by certified land appraisal companies and an independent third-party review of the two appraisals. The Airport owner must use the higher valuation of the two as a starting point for the negotiation of the sale. Generally, it is the Airport’s responsibility to justify to FAA that the release of Airport property (a one-time cash sale) is more beneficial than the long-term revenue- generating potential of keeping it as part of the Airport. Therefore, before the purchase can be approved, staff will need to provide the justification to the FAA for its approval. AIRPORT LAND APPRAISALS: The City solicited quotes from multiple land appraisals firms in Iowa that meet FAA’s standards. On November 30, 2018, the first appraisal was completed by Nelsen Appraisal Associates (NAA), Inc. of Urbandale, Iowa. On March 15, 2019, the second appraisal was completed by Commercial Appraisers of Iowa (CAI), Inc. of West Des Moines, Iowa. It should be noted before the final purchase agreement can be approved, a third- party appraisal review must be performed. Below is a summary of the two appraisals: Property Value (Land, Buildings, and Improvements) Commercial Appraisals of Iowa Nelsen Appraisal Associates Property Value (Land Only) The table above shows that the CAI appraisal is the higher of the two evaluations and must be used as the basis for the price negotiation per FAA regulations. FAA will require that the property be sold for no less than highest present value of the two appraisals, which is currently estimated to be $1,420,000. CITY VALUATION OF THE SALE: For the City to be made whole by a potential sale of the leased property at 3100 S. Riverside Drive there are three considerations; 1) the value of the lease and payments to the Airport operating fund, 2) the value of the land, and 3) the value of the improvements made on the land (two buildings and pavement) as part of development agreement. Value of Lease: The buy out of the lease in the appraisal (using CAI’s numbers) assumes a private sector discount rate of 7.25%. However, the City, as a public agency, cannot reinvest the money at that rate. Finance staff indicated that potential interest rates could be invested at approximately 2.28%. A more appropriate method would be to look at the present value of the lease payments using the 2.28% rate, which is shown in the table below: Rent Per Number Total PV of Year Acre of Acres Rent PV Factor Cash Flow FY 2034 $6,750 12.75 $86,063 72.9% $62,769 FY 2035 $6,953 12.75 $88,651 71.3% $63,215 FY 2036 $7,161 12.75 $91,303 69.7% $63,655 FY 2037 $7,376 12.75 $94,044 68.2% $64,105 FY 2038 $7,597 12.75 $96,862 66.6% $64,554 FY 2039 $7,825 12.75 $99,769 65.2% $65,009 FY 2040 $8,060 12.75 $102,765 63.7% $65,468 FY 2041 $8,302 12.75 $105,851 62.3% $65,931 FY 2042 $8,551 12.75 $109,025 60.9% $66,394 FY 2043 $8,808 12.75 $112,302 59.5% $66,865 FY 2044 $9,072 12.75 $115,668 58.2% $67,334 FY 2045 $9,344 12.75 $119,136 56.9% $67,807 FY 2046 $9,624 12.75 $122,706 55.6% $68,282 FY 2047 $9,913 12.75 $126,391 54.4% $68,765 *Partial Year $2,414,300 PV Lease= $1,725,802 Value of Land: Staff agrees with the CAI appraisal of the land at $1 million dollars as shown below: Property Value (Land Only) CAI Appraisal Value of Buildings & Improvements: As stated in the Background section of this report, the buildings (improvements) are set to revert to City (Airport) ownership at the end of the lease term on June 30, 2047. Agreements such as the one that was created with Vantage Enterprise, LLC (VisionAire) are common for Airports. This provision was included in the 1997 agreement because the FAA prohibits general private development on Airport property unless, at some point, it becomes a permanent part of the Airport itself or the Airport is compensated for the use of its property. However, staff would consider it a liability for the Airport if the City would have to take back ownership of the manufacturing/warehouse building (101,447 SF). This structure was designed for manufacturing purposes and not for Airport hangar storage; therefore, it is unlikely the City could get a positive net operating revenue from that building without finding another manufacturing tenant to lease the property. Therefore, the City would consider the warehouse building to have zero value, if not negative, due to the high- risk of potential maintenance and utility costs of a building that size. However, the 15,120 SF airplane hangar building (Sigler is currently using the building for storage) does have long-term value to the Airport. The CAI appraisals show that the current depreciated value of the hangar to be $112,448, and the full replacement value (new) is $675,000. To summarize, the City will need to consider the sale of the property and lease buy out, while ensuring that the Airport can justify to the FAA that the sale is more beneficial than retaining the revenue-generating property in perpetuity. To do this, the estimated Fair Market Value from the appraisals should be reconciled with the City’s actual potential for long-term use and re-investment strategy. A summary of potential purchase price calculations is provided below: Lease Buy Out $1,725,802 $1,725,802 Land Value $1,000,000 $1,000,000 Buildings $112,448 $675,000 $2,838,250 $3,400,802 Under Option 1, using a conservative cash flow estimate, the City could reinvest the total estimated payment amount of $2,838,250 and then pay the Airport operating budget an annual amount equal to the remaining lease payment schedule. At the end of the current lease term on June 30, 2047, it is estimated that there will be a significant amount of the original principle remaining. Staff believes Option 2 is not appropriate since it effectively requires Sigler to pay full new replacement value for a 20 year old hangar building. ALTERNATIVES: 1. Agree that the City is willing to sell the land and buildings (includes the deprecated value of a new 15,000 SF hangar) to Mulmac, LLC, for $2,838,250 and direct staff to work with City Attorney to: a. Draft an amendment to the development agreement. b. Draft an amendment to the land lease (setting an end date). c. Draft an agreement to purchase the property. d. Conduct the third party review of the two appraisals. e. Work with the FAA to obtain approval of the sale. 2. Agree that the City is willing to sell the land and buildings (includes the full value of a new 15,000 SF hangar) to Mulmac, LLC, for $3,400,802 and direct staff to work with City Attorney to: a. Draft an amendment to the development agreement. b. Draft an amendment to the land lease (setting an end date). c. Draft an agreement to purchase the property. d. Conduct the third party review of the two appraisals. e. Work with the FAA to obtain approval of the sale. 3. Reject the request to buy Airport property, thereby directing staff to maintain the current lease and development agreement. CITY MANAGER’S RECOMMENDED ACTION: The leased property on the Airport at 3100 S. Riverside was created over 23 years ago under significantly different financial conditions than what the Airport (and the market) is facing today. The two buildings on the property were originally constructed for the manufacturing a single engineer jet and were not designed to serve Airport users, which is the primary purpose of the Airport itself. There appears to be several benefits from selling the property that will result in a “win/win” situation for the City and Sigler Companies. Risk Avoidance The current agreement designates that the City will have ownership of the buildings once the lease terminates. If vacant, the City would be at risk to find a new tenant who would be willing to pay the projected lease payment along with the property taxes. By selling the building to the Sigler Companies, the City would avoid a future economic risk. Operational Revenue The annual lease payments are currently transferred to the Airport operating budget to help reduce any property tax support for this facility. With the sale that is being proposed, the proceeds can be deposited in a reserve account and annual payments that are equivalent to the current lease schedule can be made to the Airport operating budget. In this way the revenue stream can be maintained. Compatibility With Airport Operations An advantage to owning the property and improvements is the fact that the City can assure that the use does not interfere with the operations of the Airport. This protection can still be achieved with the requirement that an Avigation Easement be place on the property. In addition, it is important to note that the Airport Master Plan has historically shown the lease parcel at 3100 S. Riverside Drive as being a “non-aeronautical use,” meaning it is not needed for the service or operation of aircraft. Therefore, it should not have any negative impacts to the Airport by selling the property. Property Taxes Currently, the City receives tax revenue from the tenant. If the City takes ownership of the property and cannot rent the facilities, no tax revenue would be received. In addition, purchasing the property may facilitate future expansion of Sigler’s operations at this site, resulting in an incremental increase in tax revenue. Sigler has indicated to staff that they support the approach and dollar amount described in Alternative 1. At this time, staff cannot identify all the legal or regulatory steps that might ultimately be needed to complete this transaction. Therefore, the City Manager recommends that the City Council adopt Alternative No. 1, directing staff to move forward with an approved conceptual approach to the sale for $2,838,250, and work with the City Attorney and the FAA to complete all necessary documents before bringing back this issue for final City Council approval. NORTH PON D B POOL ELEV = 8 9 6 . 5 0 100-YR FLO O D E L E V = 9 0 2 . 0 NORTH PON D C POOL ELEV = 8 9 4 . 0 0 100-YR FLO O D E L E V = 8 9 7 . 9 7 NORTH PON D A POOL ELEV = 8 9 7 . 0 0 100-YR FLOO D E L E V = 9 0 2 . 0 5 SOUTH PON D A POOL ELEV = 9 0 0 . 5 0 100-YR FLOO D E L E V = 9 0 2 . 6 0 SOUTH PON D B POOL ELEV = 8 9 8 . 5 0 100-YR FLOO D E L E V = 9 0 0 . 5 5 AIRPORT DE T E N T I O N B A S I N 100-YR FLOO D E L E V = 9 0 8 . 9 1 FUTURE COMMER C I A L U S E 000000000000000000..00.......... WE S T C R Y S T A L S T R E E T WE S T C R Y S T A L S T R E E T WEST CRYSTAL LOOP WES T C R Y S T A L L O O P =======88BBBB88=== D D8 0000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000 OL L OL L OL L OL L OL L LLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL DRY DETEN T I O N B 100-YR FLO O D E L E V = 9 0 6 . 0 3 DRY DETEN T I O N A 100-YR FLO O D E L E V = 9 0 6 . 9 2 FOREBAY 100-YR FLO O D E L E V = 9 0 8 . 9 1 ROW 0.62 ACRES 26842 SQ F T L.OT 1 4.81 ACRES 209464 SQ F T L.OT 2 4.42 ACRES 192714 SQ F T L.OT 3 2.35 ACRES 102235 SQ F T L.OT 6 1.99 ACRES 86484 SQ FT L.OT 4 2.03 ACRES 88289 SQ F T L.OT 7 1.82 ACRES 79353 SQ FT L.OT 8 4.17 ACRES 181768 SQ F T L.OT 5 4.50 ACRES 196093 SQ F T L.OT 13 1.83 ACRES 79835 SQ F T ROW 0.76 ACRES 33080 SQ FT L.OT 11 4.18 ACRES 182012 SQ F T L.OT 10 4.45 ACRES 193792 SQ F T L.OT 9 5.29 ACRES 230369 SQ F T 2730 FORD S T , P . O . AMES, IOWA 5 Phone: (515) 2 3 Email: Ames @ b o l t o www.bolton - m R SOUTH DUF F A SOUTH DU F F A V E AMETHYST A V E PERIDOT A V E AGATE AVE WE S T C R Y S T A L S T R E E T WEST CRYSTAL LOOP CIT R I N E S T R E E T JA D E S T R E E T QUARTZ AV E NORTH PON D A NORTH PON D B CD N O P H T R O N AD N O P H T U O S BD N O P H T U O S DRDRDRDRDY Y Y YY BOBOBOBOOOOBOBOBOOOBBBOTTTTTTTTTTTTTTTTTTTTTTOMOMOMOMOMOMMOMOOOOOOM DEDEDEDEDEDEDDEDTETETETEETETEETTTETNTNTNTNTNTTTTNTIOIOIOIOOIOOIOOOON NN NN NNNNN POPOPOPOOOPOPOOOONDNDNDNDNDNDNDNDDDD DRDRDRDRDRRDY Y Y Y YYY YYY BOBOBOOBOOBOOBOOOOOOOOBOBOBTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTOMOMOMOMMOMOMOMMOOMMOMOMOMOMOMOOOOMOO DEDEDEDEDEDTETETETETETETTENTNTNTNTNTNTNTNTTTTTIOIOIOOOIOIOOIOOON N NNN NNNN NN NNNN POPOPOPOPOPOPOPOPOPOPOPOPOOPOPOPOOPOOPOPONDNDNDNDNDNNDNDDNNDNDNNDNDNNNNDNN Ki t t y H a w k D r Ki t t y H a w k D r SCALE IN FEET 0 800 Aerial Photo: Martinez Geospatial 9-11-18 LEGEND Airport Property Line Ultimate Airport Property Line Short Term Project Intermediate Term Project Long Term Project Controlled Access Gate Runway Protection Zone (RPZ) Pavement to be Removed RPZ Incompatibility Existing Easement Non-Aeronautical Land Use Construct Apron Expansion, Three 100' x 100' Conventional Hangars, and Automobile Parking Acquire Approximately 46.6 Acres (Including the Residential Property) and Relocate Portions of South Riverside Drive and 265th Street Construct 1,299' Runway 1-19/Taxiway A Extension and Hold Bay (Includes Relocation of the PAPI-4 and MALSR) Construct Two 6-Unit Linear Box Hangars, Supporting Pavement, Access Taxiways, and Automobile Access Construct Ultimate Parallel Taxiway B and Connectors and Remove Portions of Existing Taxiways B, B1, and B2 Construct Southwest GA Apron Area and Access Taxiways Construct Two 125' x 200' Conventional Hangars and Automobile Parking and Access Implement Two 12,500 Gallon Fuel Tanks with 100LL and Jet A Self-Service Capability Construct One 125' x 200' Conventional Hangar, Two 100' x 100' Conventional Hangars, and Automobile Parking Construct Eight 12-Unit T-Hangars, Supporting Pavement, Access Taxiway, and Automobile Access Runway 1-19 (5,701’ x 100’)Runway 1-19 (5,701’ x 100’)Ultimate (7,000’ x 100’) Ru n w a y 1 3 - 3 1 ( 3 , 4 9 1 ’ x 7 5 ’ ) Ult i m a t e ( 4 , 1 0 0 ’ x 7 5 ’ ) S Duff A v e S Duff A v e Ai r p o r t R d S Rivers i d e D r 26 5 t h S t 30 69 1,299’ Extension A B B A4A3 B3 A2A1 B1 A B B2 +/- 46.6 acres +/- 0.75 acres 609 ’ E x t e n s i o n SOUTHWEST DEVELOPMENT AREA RELOCATED GA DEVELOPMENT AREA Electrical Vault (NP), Construct Tower for ASOS and PCL Equipment (NP), Runway/Taxiway Lighting (NP), and PAPI-4 Installation Demolition of Old Terminal Building (NP) South Apron Rehabilitation (NP) Construct 50' x 50' Box Hangar Including Supporting Pavement and Automobile Access Hangar Repairs - Replace Doors (NP) Hangar Repairs (NP) South Apron Expansion and Construct Bypass Taxiway Serving Runway 19 Construct 50' x 50' Box Hangar Including Supporting Pavement and Automobile Access Construct Two 100' x 125' Conventional Hangars and Automobile Parking (Includes Demolition of Existing Hangar) Implement REILs Serving Runways 13-31 and 19 Relocate/Construct Four 12-Unit T-Hangars, One 8-Unit T-Hangar, Support- ing Pavement, Access Taxiways, and Automobile Access Construct Two 100' x 100' Conventional Hangars and Automobile Parking Construct Northwest Apron Expansion Relocate Existing Aircraft Maintenance Building, Construct 50' x 50' Airport Maintenance Building, and Construct Automobile Parking and Access Relocate Fuel Farm and Construct Two 15,000 Gallon (One Jet A and One 100LL) Above-Ground Fuel Tanks with Self Service Capability Relocate Airport Beacon Construct Terminal Area Automobile Parking Expansion Acquire Approximately 0.75 Acres in Easement Construct 609' Runway 13-31/Taxiway B Extension and Hold Bay (Includes Relocation of the PAPI-4 and REILs) 9 10 10 10 11 11 12 12 13 14 15 1716 13 14 15 16 17 18 19 1 1 1 1 1 2 3 4 5 6 7 7 748 8 18 20 19 21 20 22 21 23 22 24 25 24 UU 24 23 24 26 27 25 28 26 29 27 28 29 9 NP - Not Pictured SHORT-TERM 125'C i l H d INTERMEDIATE-TERM LONG-TERM PROJECTS 10 NP - Not Pictured AIRPORT MASTER PLAN Exhibit 6B DEVELOPMENT STAGING6-7 | DRAFT Capital Improvement Program Prepared for Damion Pregitzer, P.E. PTOE Traffic Engineer City of Ames 515 Clark Avenue Ames, Iowa An Appraisal of Real Estate Described as follows Real Estate Located at 3100 South Riverside Ames, Iowa Date of Value March 15, 2019 Prepared by Karen C. Olson, MAI Russ G. Manternach, MAI Commercial Appraisers of Iowa, Inc. 3737 Woodland Avenue, Suite 320 West Des Moines, IA 50266 (515) 288-6800 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 COMMERCIAL APPRAISERS OF IOWA, INC. Patrick J. Schulte, MAI Levi H. Freedman, MAI Russ G. Manternach, MAI Karen C. Olson, MAI David J. Fuglsang, MAI Luke Wanninger, MAI March 27, 2019 Damion Pregitzer, P.E. PTOE Traffic Engineer City of Ames 515 Clark Avenue Ames, Iowa Dear Mr. Pregitzer: Re: Appraisal of Real Estate Located at 3100 South Riverside Drive, Ames, Iowa. As you requested, we have on March 15, 2019, inspected and appraised the above-identified property. A legal description is included in the summary of salient data section of the accompa- nying report. The purpose of the appraisal is to estimate the market value of the leased fee estate (City of Ames Interest) in the property as of our date of inspection. The appraisal is to be used for own- ership analysis and to assist in determining a potential sale price. The intended users are the City of Ames and the Federal Aviation Administration (FAA). It is not to be relied upon by any third parties. We are providing an Appraisal Report. The scope of work for this appraisal is described in the Summary of Salient Data Section. The appraisal has been completed in conformance to the most recent Federal regulations (FIRREA), as well as the guidelines of the Uniform Standards of Pro- fessional Appraisal Practice (USPAP), the Appraisal Institute’s Code of Ethics, and in compli- ance with FAA Regulations. - COMMERCIAL APPRAISERS OF IOWA, INC. - Mr. Pregitzer March 27, 2019 Page 2 2 Valuation Conclusions: Based on the data and judgments contained in the following appraisal report, we estimate the market value of the leased fee estate (City of Ames Interest) in the subject property, as of March 15, 2019 to be: $1,420,000. One Million Four Hundred Twenty Thousand Dollars. The estimate of market value upon completion of improvements is contingent upon the fol- lowing extraordinary assumption. The item is defined as “extraordinary” per the defini- tion contained in the Uniform Standards of Professional Appraisal Practice (USPAP) of the Appraisal Institute. The definition of extraordinary assumption is included in this report. Our estimate of market value of the leased fee estate assumes the lease terms will be as described in this report. Our estimate of market value would require review and modification if it were not contin- gent upon the extraordinary assumption. It has been a pleasure providing appraisal services to you. If you should have any questions re- garding the derivation of market value, please feel free to contact us at your convenience. Respectfully submitted, Russ G. Manternach, MAI Karen C. Olson, MAI TABLE OF CONTENTS TITLE PAGE LETTER OF TRANSMITTAL CONTENTS SUMMARY OF SALIENT DATA ....................................................................................... 1 ASSUMPTIONS AND LIMITING CONDITIONS ........................................................... 6 ASSIGNMENT AND METHODOLOGY ........................................................................... 9 AMES AREA AND CITY DATA ...................................................................................... 10 LOCATION MAP ............................................................................................................... 13 AERIAL PHOTOS .............................................................................................................. 14 PLAT MAP ........................................................................................................................... 16 FLOOD MAP ....................................................................................................................... 17 SUBJECT PHOTOGRAPHS ............................................................................................. 19 SITE DESCRIPTION ......................................................................................................... 29 DESCRIPTION OF IMPROVEMENTS .......................................................................... 31 HIGHEST AND BEST USE ............................................................................................... 34 LAND VALUATION........................................................................................................... 36 VALUATION - REVERSION ............................................................................................ 39 COST APPROACH - REVERSION .................................................................................. 39 SALES COMPARISON APPROACH - REVERSION ................................................... 44 INCOME APPROACH - REVERSION ............................................................................ 49 RECONCILIATION REVERSION .................................................................................. 56 DISCOUNTED CASH FLOW – LEASED FEE ESTATE (CITY OF AMES INTEREST) .......................................................................................................................... 57 RECONCILIATION AND FINAL ESTIMATE .............................................................. 62 CERTIFICATIONS ............................................................................................................ 63 ADDENDUM COMPARABLE LAND SALES AND MAP COMPARABLE IMPROVED SALES AND MAP DEFINITIONS APPRAISER STATE CERTIFICATIONS QUALIFICATIONS OF THE APPRAISERS - COMMERCIAL APPRAISERS OF IOWA, INC. - 1 SUMMARY OF SALIENT DATA Property Identification The subject property consists of a 12.75-acre site improved with a 101,447 square foot warehouse building, a 15,120 square foot hangar building and associated site improvements. A legal description for the property per the recorded assignment of the ground lease is as follows: The property addresses is 3100 South Riverside Drive, Ames, Iowa. Ownership and Sales History According to public records, the owners are the City of Ames and Mulmac, LLC. The City of Ames owns the underlying land. According to an Assignment of Tenant’s Interest in Ground Lease recorded in Book 2007, Page 4344 in the Story County Recorder’s Office on April 4, 2007, the lessee of the land transferred from Dayton Park, LLC to Mulmac, LLC. We are unaware of any transfers of ownership within the past three years. The property is not listed for sale. Subject Land Lease Mulmac, LLC leases the entire subject property via a land lease from the City of Ames. The land was originally leased to Vantage Enterprises, LLC via a lease dated May 27, 1997. A copy of the lease has been retained in our files. The lease commenced on July 1, 1997 between The City of Ames (lessor) and Vantage Enterprises, LLC (lessee). The lease was assigned to Mulmac, LLC on April 4, 2007. The initial lease term was for 10 years with 8, 5-year options through June 30, 2047. There are approximately 28 years remaining on the lease, if all of the options are exercised. The - COMMERCIAL APPRAISERS OF IOWA, INC. - 2 land lease will be discussed further in a separate section of this report. A copy of the lease has been retained in our files. Occupancy The subject warehouse is owner-occupied. The storage hanger building is leased to a tenant on a month to month basis. Assessed Valuation and Taxes According to the Ames City Assessor’s Office, the property is identified and assessed as fol- lows: Land $732,000 Building $2,518,000 Total $3,250,000 The assessment, after considering rollbacks, is applied against a millage rate of 31.40424 per $1,000 of assessed value to determine the gross annual tax amount. Iowa assessment law requires County and City Assessors to maintain market value assess- ments. Assessors are required to establish market value assessments as of January 1 for each odd numbered year (e.g., 1999, 2001). Each year the State of Iowa performs sale ratio studies to determine whether assessments are near market value. The State can issue equali- zation orders in odd numbered years in August if the ratio studies indicate average assessed values are more than 5% different than market value. Commercial and industrial properties have a rollback of 90%. There is also a business prop- erty tax credit for commercial and industrial properties. The tax credit increases the rollback of the first approximately $33,000 from 90% to the current residential rollback. Therefore, depending on the total assessed value, the business property tax credit varies. Purpose and Use of the Appraisal The purpose of the appraisal is to estimate the market value of the leased fee estate (City of Ames Interest) in the property as of our date of inspection. The appraisal is to be used for ownership analysis and to assist in determining a potential sale price. The intended users are the City of Ames and the Federal Aviation Administration (FAA). It is not to be relied upon by any third parties. Scope of Work To complete this appraisal assignment, the appraisers Developed an opinion of value for the leased fee estate (City of Ames Interest) in the property as of March 15, 2019; inspected the interior and exterior of the subject property; reviewed assessment records; reviewed the land lease for the subject property; - COMMERCIAL APPRAISERS OF IOWA, INC. - 3 gathered information on comparable land sales, comparable lease data, capitali- zation and yield rates; confirmed all comparable sales with at least one of the parties to the transaction. A portion of the sales were available to us from recent assignments involving similar property types; analyzed the data and applied the land sales comparison approach, a cost ap- proach, sales approach, an income approach and a discounted cash flow. Report Option This report is a Summary Appraisal Report in accordance with Standards Rule 2-2(a) of the Uniform Standards of Professional Appraisal Practice (USPAP). As such, it presents suffi- cient information to enable the client and other intended users, as identified, to understand it properly. Ownership Interest Valued Leased Fee Estate (City of Ames Interest), subject to easements and restrictions of record. Definitions Market Value is defined by the federal financial institutions regulatory agencies as follows: Market Value: “Market Value means the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeable, and assuming the price is not affected by undue stimulus. Implicit in this definition is the con- summation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and acting in what they con- sider their own best interests; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial ar- rangements compatible thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone asso- ciates with the sale.” (Source: Office of the Comptroller of the Currency under 12 CFR, Part 34, subpart C-appraisals, 34.42 Definitions (f).) According to The Appraisal of Real Estate, Twelfth Edition (Appraisal Institute, 2001), the term fee simple estate is defined as follows. Fee Simple Estate: Absolute ownership unencumbered by any other interest or es- tate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat. - COMMERCIAL APPRAISERS OF IOWA, INC. - 4 Leased Fee Estate: An ownership interest held by a landlord with the rights of use and occupancy conveyed by lease to others. The rights of the lessor (the leased fee owner) and the leased fee are specified by contract terms contained within the lease. The definition of other selected terms is included in the addendum. Date of Inspection, Data Collection and Valuation The property was inspected on March 15, 2019 by Karen C. Olson. Russ G. Manternach did not inspect the subject property. The estimate of value is effective as of March 15, 2019. Fixtures and Equipment This appraisal assignment does not consider any fixtures and equipment. Only the real es- tate has been considered. Valuation Conclusion – March 15, 2019 Leased Fee Estate (City of Ames Interest) $ 1,420,000. The estimate of market value upon completion of improvements is contingent upon the following extraordinary assumption. The item is defined as “extraordinary” per the definition contained in the Uniform Standards of Professional Appraisal Practice (US- PAP) of the Appraisal Institute. The definition of extraordinary assumption is inclu d- ed in this report. Our estimate of market value of the leased fee estate assumes the lease terms will be as described in this report. Our estimate of market value would require review and modification if it were not con- tingent upon the extraordinary assumption. Exposure Period Exposure is defined, as the estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; it is a retrospective estimate based upon an analysis of past events assuming a competitive and open market. Exposure time is al- ways presumed to occur prior to the effective date of the appraisal. Based upon comparable sales and our judgment, we estimate an exposure time of 6 to 12 months. Appraiser Competency Karen C. Olson prepared the analysis and valuation conclusions for this appraisal. Russ G. Manternach provided consultation and review assistance. The appraisers are Certified Gen- eral Real Property Appraisers by the State of Iowa and also hold the professional designa- tion of MAI from the Appraisal Institute. Refer to the Qualifications of the Appraisers in the - COMMERCIAL APPRAISERS OF IOWA, INC. - 5 Addendum for additional information. The appraisers have performed numerous appraisals on properties similar to the subject of this report. - COMMERCIAL APPRAISERS OF IOWA, INC. - 6 ASSUMPTIONS AND LIMITING CONDITIONS The estimate of market value upon completion of improvements is contingent upon the following extraordinary assumption. The item is defined as “extraordinary” per the definition contained in the Uniform Standards of Professional Appraisal Practice (US- PAP) of the Appraisal Institute. The definition of extraordinary assumption is includ- ed in this report. Our estimate of market value of the leased fee estate assumes the lease terms will be as described in this report. Our estimate of market value would require review and modification if it were not con- tingent upon the extraordinary assumption. We are appraising the property assuming it does not suffer from soil or groundwater con- tamination. Our estimate of market value, and other findings presented in this report, is con- tingent upon this assumption. The date of value to which the opinions expressed in this report apply is set forth in the letter of transmittal. We assume no responsibility for economic or physical factors occurring at some later date which may affect the opinions stated herein. The Americans with Disabilities Act ("ADA") became effective January 26, 1992. We have not made a specific compliance survey and analysis of this property to determine whether or not it is in conformity with the various detailed requirements of the ADA. It is possible that a compliance survey of the property together with a detailed analysis of the requirements of the ADA, could reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property. Since we have no direct evidence relating to this issue, we did not consider possible noncompliance with the requirements of ADA in estimating the value of the property. No opinion is intended to be expressed for legal matters or that would require specialized investigation or knowledge beyond that ordinarily employed by real estate appraisers, alt- hough such matters may be discussed in the report. No opinion as to title is rendered. Data on ownership and the legal description were ob- tained from sources generally considered reliable. Title is assumed to be marketable and free and clear of all liens and encumbrances, easements, and restrictions except those specif- ically discussed in the report. The property is appraised assuming it to be under responsible ownership and competent management and available for its highest and best use. No engineering survey has been made by the appraiser. Except as specifically stated, data relative to size and areas were taken from sources considered reliable. No encroachment of real property improvements is assumed to exist, unless otherwise stated. - COMMERCIAL APPRAISERS OF IOWA, INC. - 7 The maps, plats, and exhibits included are for illustration only, as an aid in visualizing mat- ters discussed within the report. They should not be considered surveys or relied upon for any other purpose. No opinion is expressed as to the value of subsurface oil, gas, or mineral rights. The proper- ty is not subject to surface entry for the exploration or removal of such materials except as is expressly stated. Because no title report was made available to the appraiser, I assume no responsibility for such items of record not disclosed by our normal investigation. No detailed soil studies covering the subject property were available for my use. Therefore, premises as to soil qualities employed in this report are not conclusive but have been consid- ered consistent with information available. It is assumed that the site would support those improvements that represent the highest and best use. Disclosure of the contents of this appraisal report is governed by the By-Laws and Regula- tions of the Appraisal Institute, the American Society of Appraisers, and the Uniform Stand- ards of Professional Appraisal Practice. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser or the firm with which he is connected, or any reference to the Appraisal Institute or to the MAI or RM designation or the SREA, SRPA or SRA designa- tions, the American Society of Appraisers or their members) shall be disseminated to the public through advertising media, public relations media, news media, sales media, or any other public means of communication without the prior written consent and approval of the undersigned. This consent and approval does not apply to Governmental Agencies who dis- close appraisals and appraised values through their normal business functions. We have inspected the subject property and found no obvious evidence of structural defi- ciencies except as stated in this report. However, no responsibility for hidden defects or conformity to specific governmental requirements, such as fire, building and safety, earth- quake, or occupancy codes can be assumed without provision of specific professional or governmental inspections. Because no termite inspection report was available, we assume no termite damage or infes- tation unless so stated. Because no asbestos inspection report was made available to the appraiser, we assume no responsibility for such materials or like items that would require specialized knowledge or investigation beyond that ordinarily employed by real estate appraisers. Unless stated otherwise, we did not observe and are not aware of the existence of hazardous or toxic materials or wastes at subject property. The existence of such materials may have an affect on the estimate of value. The client should retain an expert in these fields, if de- sired. - COMMERCIAL APPRAISERS OF IOWA, INC. - 8 Testimony or attendance in court or at any other hearing is not required by reason of render- ing this appraisal unless such arrangements are made a reasonable time in advance. It is assumed that all required licenses, certificates of occupancy, consents, and other legisla- tive or administrative authority from any local, state, or national government or private enti- ty or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. It is assumed that the property is in full compliance with all applicable federal, state, and local environmental regulations and laws unless the lack of compliance is stated, described, and considered in the appraisal report. No consideration has been given in this appraisal to personal property located on the prem- ises, or to the cost of moving or relocating such personal property, except noted otherwise. Only the real property has been considered. The appraiser is not an environmental inspector. The appraisal does not guarantee that the property is free of defects or environmental problems. The appraiser performs an inspection of visible and accessible areas only. Mold may be present in areas the appraiser cannot see. A professional environmental inspection is recommended. - COMMERCIAL APPRAISERS OF IOWA, INC. - 9 ASSIGNMENT AND METHODOLOGY Assignment The purpose of the appraisal is to estimate the market value of the leased fee estate (City of Ames Interest) in the property as of our date of inspection. Methodology and Process To complete this appraisal, we inspected the property and researched the market for data. The estimate of market value has been derived after consideration of the cost, sales compari- son and income capitalization approaches. The appraisal procedure is an orderly process in which the data is collected and analyzed to estimate the market value of the subject property. The first step in the appraisal process is to define the appraisal problem, i.e., identification of the real estate, the effective date of the value estimate, the value rights being appraised, and the type of valuation sought. Once this has been accomplished, the property is inspected and data from the market is col- lected and analyzed on factors that affect the market value of the property. These factors include analysis of the regional and city data, neighborhood data, site and improvement data, highest and best use analysis, and application of the three approaches to value, if applicable. The three approaches to value include the cost, sales comparison, and income capitalization approach. Each one is described in more detail prior to its development. After the approaches have been completed, the final step is the reconciliation. In the recon- ciliation process, we will consider the strengths and weaknesses of each approach and con- clude a final estimate of value. - COMMERCIAL APPRAISERS OF IOWA, INC. - 10 AMES AREA AND CITY DATA General Ames is located in Story County in the central portion of the State of Iowa. The city is best known as the home of Iowa State University (ISU). ISU is one of the three main compo- nents of the Iowa university system, which also includes the University of Northern Iowa at Cedar Falls and the University of Iowa at Iowa City. ISU has a student population of ap- proximately 35,500 students. The university has been a stabilizing factor and has allowed growth in Ames during the past few decades. Location Ames is located in the northwest quadrant of the intersection of Interstate #35 and U.S. Highway #30. The City is approximately 35 miles north of Des Moines, 340 miles west of Chicago, 230 miles northeast of Kansas City, 210 miles south of Minneapolis, and 170 miles east of Omaha. Population The table below is a summary of the Ames and Story County populations: Population 1980 1990 2000 2010 City of Ames 45,775 47,198 50,731 58,965 Story County 72,326 74,252 79,981 89,542 Iowa 2,913,808 2,776,831 2,926,324 3,046,355 Population Change 1980 1990 2000 2010 City of Ames 3.1% 7.5% 16.2% Story County 2.7% 7.7% 12.0% Iowa -4.7% 5.4% 4.1% Source: U.S. Census Bureau Both the City of Ames and Story County have shown population increases over each of the last three decades, with the largest percentage increase over the past 10 years. There has been a general population shift in Iowa from rural areas to larger Metropolitan areas and to the main university cities of Ames and Iowa City. - COMMERCIAL APPRAISERS OF IOWA, INC. - 11 Housing Starts The following table is a summary of the housing starts over the past several years. Housing Starts Multi Total Year 1-Family 2-Family Family Units 2005 241 0 561 802 2006 161 0 272 433 2007 127 0 133 260 2008 67 0 201 268 2009 61 0 0 61 2010 58 0 95 153 2011 58 0 19 77 2012 70 0 279 349 2013 126 0 286 412 2014 89 0 446 535 2015 89 0 359 448 2016 105 0 459 564 2017 125 0 625 750 5 year Average 107 0 435 542 10 year Average 85 0 277 362 Source: Ames Building Department & US Census Bureau This data does not include any units constructed by Iowa State University. Employment There are several major employers within the City of Ames. These include Iowa State Uni- versity with approximately 13,000 employees; Mary Greeley Medical Center with approxi- mately 1,400 employees, the Iowa Department of Transportation with approximately 1,200 employees, McFarland Clinic at 850 employees, and the City of Ames has approximately 500 employees. Iowa State University Iowa State University is the main factor that attracts people to the Ames area both for long- term and transient residency. University student population over the past several years is summarized as follows: - COMMERCIAL APPRAISERS OF IOWA, INC. - 12 Enrollment Total # Period of Students % Change Fall 2001 27,823 3.60% Fall 2002 27,898 0.30% Fall 2003 27,380 -1.90% Fall 2004 26,380 -3.70% Fall 2005 25,741 -2.40% Fall 2006 25,462 -1.10% Fall 2007 26,160 2.70% Fall 2008 26,856 2.70% Fall 2009 27,945 4.10% Fall 2010 28,682 2.60% Fall 2011 29,887 4.20% Fall 2012 31,040 3.90% Fall 2013 33,241 7.10% Fall 2014 34,732 4.50% Fall 2015 36,001 3.70% Fall 2016 36,660 1.83% Fall 2017 36,321 -0.01% Fall 2018 35,443 -2.42% Aside from the most recent two years, the University population has been steadily increasing during the past 10 years. There are no current programs or political plans, which would cause general changes to the student populations, and student enrollment should remain rela- tively stable into the long-term future. Conclusion The Ames community has experienced growth in population and in other economic catego- ries during the last two decades. This growth has outpaced most other similar sized Iowa communities. The growth is largely attributable to the stabilizing influences of Iowa State University. The City of Ames should continue to see moderate population growth and expe- rience continued economic growth similar to many of the larger metropolitan areas in the state. - COMMERCIAL APPRAISERS OF IOWA, INC. - 13 LOCATION MAP - COMMERCIAL APPRAISERS OF IOWA, INC. - 14 AERIAL PHOTOS - COMMERCIAL APPRAISERS OF IOWA, INC. - 15 AERIAL PHOTOS – Google Maps - COMMERCIAL APPRAISERS OF IOWA, INC. - 16 PLAT MAP - COMMERCIAL APPRAISERS OF IOWA, INC. - 17 FLOOD MAP - COMMERCIAL APPRAISERS OF IOWA, INC. - 18 ZONING MAP In Vicinity of Subject Property - COMMERCIAL APPRAISERS OF IOWA, INC. - 19 SUBJECT PHOTOGRAPHS Looking Northeast at Subject Property Southeast Building Elevation - Warehouse - COMMERCIAL APPRAISERS OF IOWA, INC. - 20 SUBJECT PHOTOGRAPHS Northwest Building Elevation - Warehouse Southeast Building Elevation – Storage Hangar - COMMERCIAL APPRAISERS OF IOWA, INC. - 21 SUBJECT PHOTOGRAPHS Typical Interior View Typical Interior View - COMMERCIAL APPRAISERS OF IOWA, INC. - 22 SUBJECT PHOTOGRAPHS Typical Interior View Typical Interior View - COMMERCIAL APPRAISERS OF IOWA, INC. - 23 SUBJECT PHOTOGRAPHS Typical Interior View Typical Interior View - COMMERCIAL APPRAISERS OF IOWA, INC. - 24 SUBJECT PHOTOGRAPHS Typical Interior View Typical Interior View - COMMERCIAL APPRAISERS OF IOWA, INC. - 25 STREET SCENES Looking South Along Riverside Drive Looking East Along Access Road - COMMERCIAL APPRAISERS OF IOWA, INC. - 26 SITE PLAN - COMMERCIAL APPRAISERS OF IOWA, INC. - 27 ASSESSOR’S BUILDING SKETCH – Warehouse Building - COMMERCIAL APPRAISERS OF IOWA, INC. - 28 ASSESSOR’S BUILDING SKETCH - Hangar Building - COMMERCIAL APPRAISERS OF IOWA, INC. - 29 SITE DESCRIPTION General The site is an irregular shaped tract of land located east of South Riverside Drive along an east/west access road in Ames, Iowa. The property is located adjacent to the Ames Munici- pal Airport. Size The land area is 12.75 acres. This is based upon public assessment records and a plat map. Frontage/Streets The site has approximately 610 front feet along an access road to South Riverside Drive. South Riverside Drive is a two-way, two-lane paved street aligned in a north/south direction. The street pavement ends just south of the subject site. Boundaries The site is bounded on the north, south, east and west by the Ames Municipal Airport and associated city-owned land. An addition to the Iowa State Research Park is planned to the west of the subject property across Riverside Drive. Flood Hazard Area According to the Flood Insurance Rate Map, the site is not located in a designated 100-year flood hazard area. Topography The site is relatively level and located near street grade. Easements & Encroachments We assume there is an ingress/egress easement located along the access drive which extends from Riverside Drive. The easement allows access to the subject parcel. We are unaware of any other easements that would adversely affect the value of the site. During our inspection, we did not note any encroachments. Utilities All utilities and city services are available to the site. Soils We have performed no soil analysis. It is assumed the site would support those uses deemed to be the highest and best use of the land. Zoning The site is zoned PI, Planned Industrial Zone, by the City of Ames. The PI district is intend- ed to “be applied to those areas where there is a need to provide a desirable industrial envi- - COMMERCIAL APPRAISERS OF IOWA, INC. - 30 ronment. It is also intended to accommodate large-scale industrial uses; promote a clustered and integrated development in a park-like setting, and locate such developments near lim- ited-access highways, air transportation or the Research Park.” - COMMERCIAL APPRAISERS OF IOWA, INC. - 31 DESCRIPTION OF IMPROVEMENTS General The site is improved with a 107,037 square foot warehouse building, a 15,120 square foot storage hangar and associated site improvements. The building areas are summarized in the following table: Gross Building Areas Main Level Finished Gross Percent Whse Year Area (SF) Mezz (SF) Building Area (SF) % Wall Height (Ft) Built Office 6,880 5,590 12,470 12% - 1998 Breakroom/Restroom Finish 4,060 0 4,060 4% Warehouse 90,507 0 90,507 85% 28' 1998 Total Warehouse 101,447 5,590 107,037 100% Storage Hangar 15,120 0 15,120 29' 1999 Total Building Area 116,567 122,157 28'-29' 1998-1999 The front office area is two stories with an open atrium that includes stairs and an elevator. The breakroom, bathrooms and other finished areas are located in the southwest corner of the warehouse area. The finished areas shown in the table above are based on the appraiser’s estimates. The total finished area is 16,530 square feet or approximately 15% of the gross warehouse building area. We did not inspect the interior of the storage hangar building. According to the facilities manager, the building has exposed frame walls and ceiling and does not have any interior finishes. The building is heated. DETAILED DESCRIPTION OF BUILDING - Warehouse Foundation The footings and foundation walls are poured and reinforced concrete. No settle- ment was noted during our inspection. Floor Structure The floor structure consists of poured and reinforced concrete over granular fill. Framing and Exterior Walls The building has a steel frame. The exterior walls are tilt-up concrete panels. The building clear height is approximately 28 feet. Typical interior column spacing is 50’ x 60’. - COMMERCIAL APPRAISERS OF IOWA, INC. - 32 Roof The building has a flat roof that consists of a rubber membrane over rigid insulation and a metal roof deck. Windows and Doors The front entrance doors and windows are insulated double-pane storefront glass in metal frames. The building has six overhead doors and a large overhead airplane hangar door. Interior Finishes The warehouse area consists of sealed concrete floors, painted perimeter walls, and exposed structure ceiling. The building contains approximately 10,940 square feet of demised finished area used for offices, breakrooms, and restrooms. The building also contains approximately 5,600 square feet of office mezzanine area. Plumbing The building has six restrooms. The building has a wet sprinkler system. Mechanical Equipment The office areas are heated and cooled with forced-air HVAC equipment. The warehouse area is heated by radiant heaters and cooled with air-handlers. The building appears to have ample electrical service. The front office area has a two-stop elevator. Floor Plan and Utility The floor plan and utility is functional and typical for industrial and warehouse use. Quality, Age, Condition and Remaining Economic Life The building is an average quality industrial building. It was constructed in 1998, which indicates a chronological age of 21 years. The building is in above average condition for its age and we estimate the effective age to be 15 years. The building has an economic life new, as published by the Marshall Valuation Service, of 45 years. This indicates a remain- ing economic life of 30 years. No significant deferred maintenance was noted during our inspection. - COMMERCIAL APPRAISERS OF IOWA, INC. - 33 Additional Buildings The property also includes a 15,120 square foot storage hangar that according to assessment records was built in 1999. The building has a steel frame with metal walls and roof. The exterior wall height is 29 feet. The building has a large bi-fold airport hangar door and other overhead dock height doors. The building is heated but does not have any interior finish. The building is suitable for additional storage use. Fixtures and Equipment This appraisal assignment does not consider any fixtures and equipment. Only the real es- tate has been considered. Site Improvements The site is improved with approximately 220,000 square feet of concrete pavement for park- ing and drives. - COMMERCIAL APPRAISERS OF IOWA, INC. - 34 HIGHEST AND BEST USE This section seeks to determine the most profitable use of the subject land, as if it were va- cant, as well as the improved property. According to The Dictionary of Real Estate Ap- praisal, Fifth Addition (Appraisal Institute, 2010), highest and best use is defined as fol- lows: The reasonably probable and legal use of vacant land or an improved property that is physically possible, appropriately supported, financially feasible, and that results in the highest value. The four criteria the highest and best use must meet are legal per- missibility, physical possibility, financial feasibility, and maximum productivity. HIGHEST AND BEST USE – VACANT SITE Physically Possible The site area is 12.75 acres. With its topography and access to a paved street, the site has many physically possible uses. Although we have conducted no soil tests, it is assumed the site would support those improvements that represent the highest and best use. It does not appear the physical aspects of the site would significantly prohibit the construction of any improvements, within the confines of its size. Legally Permissible The highest and best use of the site must also be legally permissible. Private deed re- strictions and municipal restrictions of zoning are the most common considerations. To our knowledge, there are no private deed restrictions on this property that negatively affect val- ue. The site is zoned PI, Planned Industrial Zone, by the City of Ames. This zoning is indented for industrial uses. Financially Feasible Of those physically possible and legally permissible uses, we must determine which are fi- nancially feasible. Specifically, which uses are likely to produce an income or return equal to or greater than the amount needed to satisfy operating expenses, financial obligations and capital amortization. All uses that are expected to produce a positive return are regarded as financially feasible. The subject property is located adjacent to the Ames Municipal Airport. The neighborhood is primarily improved with industrial and office properties. Most industrial uses are consid- ered to be financially feasible. - COMMERCIAL APPRAISERS OF IOWA, INC. - 35 Maximally Productive - Highest and Best Use Of the financially feasible uses, the use that provides the highest price or value is the highest and best use. The highest and best use of the site, if vacant, is for industrial use. HIGHEST AND BEST USE - AS IMPROVED The highest and best use of an improved property is that reasonably probable and legally permissible use which is physically possible, appropriately supported, financially feasible, and results in the highest value of the improvements. The site is improved with a 107,037 square foot warehouse building, a 15,120 storage hang- ar and associated site improvements. The buildings have a lengthy remaining life and con- tribute value to the site. The highest and best use is for continued industrial use. - COMMERCIAL APPRAISERS OF IOWA, INC. - 36 LAND VALUATION, ASSUMING VACANT The essence of the land valuation section is to discover what competitive properties have sold for recently in the local market, and after an appropriate adjustment process, to develop indications of what they would have sold for if they possessed all of the physical and eco- nomic characteristics of the subject site. Although the subject property is improved, the land value must be estimated based upon its highest and best use as though vacant and available for development. According to The Ap- praisal of Real Estate, Twelfth Edition (Appraisal Institute, 2001), this is because “land is said to have value, while improvements contribute to value.” We researched the market for sales that could provide good indications of value. Of the sales located, we have analyzed five comparable land sales. The most consistent indicator of value is the sale price per square foot and adjustments have been made on this basis. The sales are summarized in the following table. Detailed information concerning the sales is included in the addendum. Comparable Land Sales Size Sale Price/ Sale Location Sq.Ft. Date Price Sq.Ft. Grantor Grantee 1 1600 Blue Sky Blvd, Huxley 284,882 05/20/17 $ 375,000 $ 1.32 Interstate Land Two Companies 2 1520 Blue Sky Blvd, Huxley 217,800 12/11/15 $ 250,000 $ 1.15 Interstate Land Diamond W Two 3 2825 Wakefield Cir, Ames 288,730 08/24/17 $ 680,721 $ 2.36 Woodruff Constr. Badger Invest 4 707 Airport Rd, Ames 503,906 04/25/13 $1,260,000 $ 2.50 Markey Trust Am Commercial 5 SE Corporate Woods Dr, Ankeny 896,984 11/08/18 $1,450,000 $ 1.62 D. Gallion Ruan Transport Subject 555,400 The Land Sales Comparison Adjustment table follows. It is a presentation of the essential data for each sale and the adjustments we deemed necessary. An adjustment greater than 1.00 indicates that the comparable sale is inferior to the subject property in that regard. Conversely, an adjustment less than 1.00 demonstrates that the sale is superior to the subject. LAND SALES COMPARISON ADJUSTMENT TABLE Rights/ Adjstd Indic. Area Price Cash/ Mrkt Price/ Size/ Togog/ Net Sq.Ft. Sale Date Sq.Ft. /SF Cond. Cond. Sq.Ft. Loc. Size Flood Zone Other Adj. Value 1 05/20/17 284,882 $1.32 1.00 1.04 $1.37 1.40 0.90 1.00 1.00 1.00 1.26 $ 1.73 2 12/11/15 217,800 $1.15 1.00 1.07 $1.23 1.40 0.90 1.00 1.00 1.00 1.26 $ 1.55 3 08/24/17 288,730 $2.36 1.00 1.03 $2.43 1.00 0.90 1.00 1.00 1.00 0.90 $ 2.19 4 04/25/13 503,906 $2.50 1.00 1.12 $2.80 0.80 0.90 1.05 0.90 1.00 0.68 $ 1.91 5 11/08/18 896,984 $1.62 1.02 1.01 $1.67 0.95 1.05 1.00 1.00 1.00 1.00 $ 1.67 Subj. 03/15/19 555,400 - COMMERCIAL APPRAISERS OF IOWA, INC. - 37 Justifications for Adjustments Property Rights Conveyed - The adjustment most often required for property rights conveyed is for the existence of a leasehold position. This adjustment reflects the impact of leases on property value when contract rents differ from market rents. This category can also consider adjustments necessitated if the subject or comparable property is subject to easements that have negative impacts towards value beyond typical boundary related easements, unless separately adjusted in a following catego- ry. Sale #5 was adjusted upward for being encumbered with an overhead powerline easement covering approximately 5% of the site. Cash Equivalency - If a comparable sale occurred under conditions other than cash to the seller, then a cash equivalency adjustment may be necessary. No adjustments were necessary for cash equivalency. Conditions of Sale - This adjustment considers buyer or seller motivation. Condi- tions of sale may include desperation exchanges, tax ramifications, reinvestment or condemnation money, assemblage, non-arm’s length transactions, and other situa- tions. No adjustments were necessary for this category. Market Conditions – Adjustments are made in this category to reflect the increase or decrease in property values between the date of comparable sale and valuation of the subject property. Demand for industrial land has been increasing over the past several years. We have applied an upward adjustment of 2% per year to the comparable sales. Location – This category takes into consideration the location of the comparable sales in relation to the subject property. The major factors considered were access, and visibility from traffic arteries, frontage, the type and quality of development in the area, acceptance for development in that location by the market, and utilities available. Sales #1 and #2 were adjusted upward for their inferior locations in relation to the subject property. Sales #4 and #5 was adjusted downward for their superior loca- tions. Size and Shape – Size adjustments were made to reflect the impact of economies of scale. As a larger tract of land is purchased, its sale price per square foot will typi- cally decrease. An irregular shape generally decreases the utility of a site and lowers the sale price. - COMMERCIAL APPRAISERS OF IOWA, INC. - 38 Sales #1, #2, and #3 were adjusted downward for their substantially smaller sizes and/or superior shape in relation to the subject site. Sale #4 has a shape that is suita- ble to subdivide into three separate lots with cul-de-sac frontage. This sale was ad- justed downward for this factor. Sale #5 was adjusted upward for it larger size in relation to the subject. Topography/ Flood – Sales #4 was adjusted upward for its inferior topography in comparison to the subject property. Zoning – Sale #4 has frontage along Highway 30 and is zoned for commercial uses. This sale was adjusted downward for its superior zoning in relation to the subject property. The zoning of the subject property and the remaining comparable sales allow similar uses; no adjustments were needed for this category. Other Sale Data John Deere purchased a 5.01 acre parcel along the west side of Riverside Drive just south of the subject property on August 2, 2018 for $338,500 or $1.55 per square foot. The land was sold by the Iowa State University Research Park, which is a non-profit associated with Iowa State University. The seller is responsible for extending Collaboration Place along the north side of the property and paving Riverside Drive adjacent to the property. According to a representative for the seller, the relationship between the buyer and seller likely affected the sale price. Due to this factor, the sale was not included in the adjustment table. A data sheet for this sale is included in the addendum (Sale #6). Reconciliation After adjustments, the comparable sales indicate a value range for the subject site from $1.55 to $2.19 per square foot. We have given consideration to all of the sales and reconcile to a land value $1.75 per square foot. The total indicated land value, as if vacant, as of March 15, 2019, is as follows: 555,400 Sq. Ft. x $1.80 Per Sq. Ft. = $999,720 Rounded to $1,000,000. This is equivalent to approximately $78,400 per acre. - COMMERCIAL APPRAISERS OF IOWA, INC. - 39 VALUATION - REVERSION In a later section of this report we will complete a discounted cash flow to estimate the mar- ket value of the leased fee estate. To assist in that analysis, we will estimate the market val- ue of the property at the end of the lease term, which is referred to as the reversion value. In this section we will estimate the reversion value. The subject property is leased to Mulmac, LLC via a ground lease. The original lease term expired in 2017 and the tenant has options to renew the lease agreement until 2047. Given the contributory value of the building and associated site improvements, a typical purchaser of the leased fee estate would assume the tenant would exercise all of the options. There- fore, at the end of the land lease in 2047, the building improvements will be approximately 49 years old. In order to estimate the market value of the subject property at reversion, we have completed a cost approach, sales comparison approach and income approach for the land and im- provements. We have completed the approaches disregarding inflation. After reconciling between the approaches we will apply an inflation factor for the reversion value in year 2047. COST APPROACH - REVERSION The cost approach to value is based on the principle of substitution. This principle affirms that no prudent buyer would pay more for a property than the cost to acquire a similar site and construct improvements of equivalent desirability and utility without undue delay. Of course, the factor of depreciation would be the difference in value between the new and old structures. The cost approach to value is estimated by the summation of the land value and the depreciated cost of the improvements. The accuracy of the cost approach is dependent upon the information available to us in our estimates of land value, replacement cost of the improvements, and the amount of deprecia- tion accrued to the improvements. It is generally most accurate when there is a good indica- tion of land value from recent sales of similar land, and when the land is developed with an improvement that represents the highest and best use. When the improvements are subject to large amounts of accrued depreciation, either physical, functional or external, an accurate estimate of total accrued depreciation becomes increasingly difficult and the cost approach is weakened. REPLACEMENT COST OF THE IMPROVEMENTS Our cost approach will be based on data published by the Marshall Valuation Service. Within the building categories of the Marshall Valuation Service, the building is most simi- lar to an average quality Class “C” light manufacturing structure. The Class “C” rating re- flects a category within the Marshall Valuation Service, and not the typical “A”, “B” or “C” ratings used to judge the quality or rent level of space. - COMMERCIAL APPRAISERS OF IOWA, INC. - 40 The base cost will be adjusted to reflect current and local cost multipliers. In this section, we are estimating the value of the subject property at reversion, or Year 2047. For this ap- proach, we will consider inflation in a later section of this report. Incentive and Soft Costs Entrepreneurial incentive reflects the return required to attract an entrepreneur to invest capital in a project, based on market expectations. It represents the degree of risk and exper- tise associated with the project development. Properties such as the subject are typically constructed by owner/operators for business development and profit. They are rarely con- structed for real estate speculative profits. Therefore, we have not added any entrepreneurial incentive. Soft costs include expenses for financing, bonding, legal issues, appraisal, and lease-up costs to create the first occupancy. The bonding considers the cost to the developer of obtaining a written guarantee that he or she will financially perform under their contractual obligations to the contractor. We have estimated the soft costs to be 2% of the replacement cost new of the improvements. - COMMERCIAL APPRAISERS OF IOWA, INC. - 41 REPLACEMENT COST CALCULATIONS – Warehouse Building Marshall Valuation Service Occupancy Light Industrial Building Class & Quality Class C, Average Exterior Walls Tilt-up Concrete Number of Stories & Avg. Height/Story 1 Story 28 Main Level Gross Floor Area 101,447 Total Building Perimeter 1,359 Age and Condition (Avg. Age) 1998 Average Base Square Foot Cost $52.00 Square Foot Refinements Heating, Cooling, Ventilation 3.35 Sprinkler 2.10 Elevators 0.50 Other 0.00 Sub-total Square Foot Costs 57.95 Height and Size Adjustments Number of Stories Multiplier 1.00 Height per Story Multiplier 1.33 Floor Area Perimeter Multiplier 0.88 Combined Height and Story Multiplier 1.17 FINAL SQUARE FOOT CALCULATIONS Refined Square Foot Costs 67.80 Current Cost Multiplier 1.01 Local Multiplier 0.99 Final Square Foot Cost 67.79 Replacement Cost New of Improvements Main Level 101,447 Sq.Ft. @ $67.79 Per Sq.Ft. is 6,877,092 Upper Level - Office 5,590 Sq.Ft. @ $49.00 Per Sq.Ft. is 273,910 Total Repl. Cost New 107,037 $66.81 7,151,002 Add: Entrepreneurial Incentive 0.0% 0 Add: Soft Costs 2.0% 143,020 Replacement Cost New $7,294,022 - COMMERCIAL APPRAISERS OF IOWA, INC. - 42 REPLACEMENT COST CALCULATIONS – Storage Hangar Marshall Valuation Service Occupancy Storage Hangar Building Class & Quality Class S Average to Low Cost Exterior Walls Metal Panels Number of Stories & Avg. Height/Story 1 Story 29 Main Level Gross Floor Area 15,120 Total Building Perimeter 496 Age and Condition (Avg. Age) 1999 Average Base Square Foot Cost $30.78 Square Foot Refinements Heating, Cooling, Ventilation 2.55 Sprinkler 0.00 Elevators 0.00 Other 0.00 Sub-total Square Foot Costs 33.33 Height and Size Adjustments Number of Stories Multiplier 1.00 Height per Story Multiplier 1.35 Floor Area Perimeter Multiplier 0.97 Combined Height and Story Multiplier 1.31 FINAL SQUARE FOOT CALCULATIONS Refined Square Foot Costs 43.66 Current Cost Multiplier 1.01 Local Multiplier 0.99 Final Square Foot Cost 43.66 Replacement Cost New of Improvements Main Level 15,120 Sq.Ft. @ $43.66 Per Sq.Ft. is 660,139 Add: Entrepreneurial Incen- tive 0.0% 0 Add: Soft Costs 2.0% 13,203 Replacement Cost New $673,342 Depreciation The replacement cost of the buildings will be adjusted to reflect accrued depreciation. At reversion in Year 2047, the buildings will be 48 to 49 years old. The buildings will suffer from physical depreciation due to the passage of time. Physical depreciation has been esti- mated with the straight-line method. We have estimated an effective age of 30 to 35 years for the warehouse building. Therefore, based on an economic life new of 45 years, straight- line depreciation is estimated to be between 67% (30/45) and 78% (35/45) and reconcile to 72%. - COMMERCIAL APPRAISERS OF IOWA, INC. - 43 We have estimated the effective age of the storage hangar to be 25 years versus an economic life new of 30 year. Therefore, the straight-line deprecation is estimated to be 83.3% (25/30). The property does not appear to suffer from measurable functional and/or external obsoles- cence. Site Improvements The site improvements include pavement for drives and parking and other miscellaneous items. Land Value We have previously estimated the market value of the land, assuming vacant as of March 15, 2019, to be $1,000,000. The cost approach calculations are summarized in the following table: COST SUMMARY Item GBA RCN Depr RCNLD Warehouse Building 101,447 SF $7,294,022 72.0% $2,042,326 Storage Hangar 15,120 SF $673,342 83.3% $112,448 Total Replacement Cost New 116,567 SF $7,967,364 73.0% $2,154,774 Pavement 220,000 SF @ $3.50/SF $770,000 70.0% $231,000 Miscellaneous $25,000 Land $1,000,000 Total $3,410,774 Reversion Valuation – Cost Approach The total indicated value from this approach, as of June 30, 2047, prior to considering inflationary factors, is $3,410,000. - COMMERCIAL APPRAISERS OF IOWA, INC. - 44 SALES COMPARISON APPROACH – REVERSION The sales comparison approach is the process in which a market value estimate is derived by analyzing the market for the sale of similar properties and comparing them to the subject property. A major premise of this approach is that the market value of a property is directly related to the price of comparable, competitive properties. The highest and best use of the subject property, as improved, is for industrial use. We researched the market for property sales that would provide a good indication of value for the subject property. Of the sales located, three have been chosen for this analysis. The comparable sales located represent a range of styles, size, age, and location. They are briefly summarized in the Sales Comparison Adjustment Table. Additional information on each is included in the Addendum. An adjustment greater than 1.00 indicates that the comparable sale is inferior to the subject property in that regard. Conversely, an adjustment less than 1.00 demonstrates that the sale is superior to the subject. The table is followed by a discussion of the relevant adjustments. - COM M E R C I A L APP R AI S E R S O F IOW A , I N C . - 45 SA L E S C O M P A R I S O N A D J U S T M E N T T A B L E - AT R E V E R S I O N Su b j e c t Sa l e # 1 Sa l e # 2 Sa l e # 3 31 0 0 S R i v e rsi d e 22 4 5 D e a n A v e 40 6 0 D i x o n 36 0 0 A r m y P o s t R d Am e s , I A De s M o i n e s , I A De s M o i n e s , I A De s M o i n e s , I A Da t a Da t a Ad j . Da t a Ad j . Da t a Ad j . Sa l e P r i c e N/ A $1 , 4 9 0 , 0 0 0 $2 , 2 6 0 , 0 0 0 $1 6 , 2 0 0 , 0 0 0 Pr i c e / S F B u i l d i n g N/ A $2 3 . 3 1 $4 0 . 0 0 $3 9 . 7 1 Pr o p . R i g h t s C o n v e y e d N/ A Fe e Si m p l e Le a s e d F e e Fe e S i m p l e Ca s h E q u i v a l e n c y N/ A Ty p i c a l Ty p i c a l Ty p i c a l Co n d i t i o n s o f S a l e N/ A Ty p i c a l Ty p i c a l Ty p i c a l Ma r k e t C o n d i t i o n s Ma r -19 Ma r -18 1. 0 2 Ap r -18 1. 0 2 Ma y -17 1. 0 4 Ad j u s t e d S a l e P r i c e N/ A $1 , 5 1 9 , 8 0 0 $2 , 3 0 5 , 2 0 0 $1 6 , 8 4 8 , 0 0 0 Ad j u s t e d P r i c e / S F N/ A $2 3 . 7 7 $4 0 . 8 0 $4 1 . 3 0 Lo c a t i o n Am e s Su p e r i o r 0. 9 0 Su p e r i o r 0. 9 0 Su p e r i o r 0. 9 0 Gr o s s B l d g . F l o o r A r e a 10 7 , 0 3 7 63 , 9 2 6 56 , 5 0 0 0. 9 5 40 7 , 9 3 8 1. 1 5 Ag e / ( a v e r a g e ) 19 9 8 19 5 3 19 7 7 20 0 2 Co n d i t i o n Av e r a g e In f e r i o r 1. 1 0 Su p e r i o r 0. 9 0 Su p e r i o r 0. 7 0 Qu a l i t y / D e s i g n Ab o v e A v g . In f e r i o r 1. 0 5 In f e r i o r 1. 0 5 Si m i l a r Pe r c e n t F i n i s h 15 % 3% 1. 1 0 17 % 29 % 0. 9 0 La n d S F 55 5 , 4 0 0 80 , 4 1 0 16 9 , 0 8 0 1, 2 1 8 , 3 7 3 L/ B R a t i o 5. 2 1. 3 1.1 0 3. 0 1. 0 5 3. 0 1. 0 5 Wh s e W a l l H e i g h t ( a v g ) 28 ' 19 -24 1. 0 6 20 1. 0 4 32 0. 9 8 St o r a g e H a n g a r ( S F ) 15 , 1 2 0 0 0 0 Ha n g a r ( % ) 14 % 0% 1. 0 5 0% 1. 0 5 0% 1. 0 5 Ot h e r No n e No n e No n e No n e Ne t A d j u s t m e n t 1. 4 0 0. 9 3 0. 7 0 Ad ju s t e d P r i c e / S F $3 3 . 2 8 $3 7 . 8 0 $2 9 . 1 0 - COMMERCIAL APPRAISERS OF IOWA, INC. - 46 Justification for Adjustments - Reversion Property Rights Conveyed – The adjustment most often required for property rights conveyed is for the existence of a leasehold position. This adjustment reflects the impact of leases on property value when contract rents differ from market rents. The comparable sales were for the fee simple estates or had leases near market levels. No adjustments were needed or this category. Cash Equivalency - If a comparable sale occurred under conditions other than cash to the seller, then a cash equivalency adjustment may be necessary. Each of the sales was sold for cash or with terms similar to market levels. Therefore, no adjustments were needed for this category. Conditions of Sale - This adjustment considers buyer or seller motivation. Condi- tions of sale may include desperation exchanges, tax ramifications, reinvestment or condemnation money, assemblage, non-arm’s length transactions, and other situa- tions. No adjustments were necessary for this category. Market Conditions - This adjustment is based upon the increase or decrease in property values that have occurred in the market between the date of comparable sale and valuation of the subject property. Market conditions may change due to infla- tion, deflation, changes in income tax laws, fluctuations in supply and demand, availability of funds, interest rate levels, changes in investors’ perceptions, and other factors. We have applied an upward market conditions adjustment of 2.0% per year to the comparable sales. In this section, we are estimating the market value of the subject property at reversion at Year 2047. We have disregarded inflation for this analysis, which will be considered in a later section of this report. Therefore, the sales have been adjusted to the date of value, March 15, 2019. Location – The major factors considered in this category were the access and visibility from traffic arteries, type and quality of development in the immediate vicinity, acceptance for development in that location by the market, and utilities available. All of the sales were adjusted downward for their superior locations in relation to the subject property. Building Floor Area – This category considers the square footage of each compara- ble building in relation to the subject building. Typically, as the square footage in- creases the sale price per square foot decreases due to economies of scale. The sub- ject and comparable buildings range from 56,500 to 407,938 square feet. Sale #2 was adjusted downward for its smaller size in relation to the subject. Sale #4 was ad- justed upward for its larger size in relation to the subject property. - COMMERCIAL APPRAISERS OF IOWA, INC. - 47 Age/Condition – This category takes into consideration the age and condition of the comparable sales in relation to the subject improvements. The subject property was constructed in 1997. For this analysis, we are estimating the subject property value at reversion in Year 2047. The building will be 49 years old at the date of reversion. This has been considered in our age/condition adjustments. Sales #2 ad #3 were adjusted d downward for their superior age and/or condition in comparison to the subject property at reversion in Year 2047. Sale #1 was adjusted upward for its inferior age in comparison to the subject at reversion. Quality/Design – This category considers overall construction quality, building fea- tures, and other factors. The subject property has above average construction quality with tilt up concrete walls, good mechanical and electrical. Sales #1 and #2 were ad- justed upward for this factor. Percent Finish– This category takes into consideration the percentage of finished area at the comparable sales in relation to the subject property. Typically, the higher the percentage of finished area, the higher the sale price per square foot. This cate- gory considers the office area including the finished mezzanine area. Sale #1 was adjusted upward for its inferior percentage of finished are in relation to the subject property. Sale #3 was adjusted downward for its larger percentage of fin- ished area. Land to Building Ratio – Land to total floor area ratio adjustments were made to re- flect the differences in land area present at each comparable sale in relation to the building area. In general, as this ratio increases, there is more land available for green space, parking, other amenities and future expansion. Adjustments were made accordingly. Warehouse Wall Height – This category considers that higher exterior wall heights are more desirable due to more flexibility and storage space. The adjustments ac- count for the added cost of the extra wall height and the higher cost of electrical and mechanical features. There is also an added cost for footings and foundations to support a heavier load. The warehouse wall height at the subject property is approx- imately 28 feet. Adjustments were made accordingly. Storage Hangar Building – The subject property also has a 15,120 square foot stor- age hangar building that has no finish and 29 foot exterior wall height. All of the sales were adjusted upward for not having similar additional buildings. - COMMERCIAL APPRAISERS OF IOWA, INC. - 48 Reconciliation of Values - Reversion After adjustments, the comparable sales indicate values from approximately $29.00 to $38.00 per square foot of building area for the subject property. We have given considera- tion to all of the sales and reconcile to a value of $32.00 per square foot. The total indicated value from this approach, as of June 30, 2047, prior to considering inflationary factors, is as follows: Rounded to: $3,430,000 - COMMERCIAL APPRAISERS OF IOWA, INC. - 49 INCOME APPROACH – REVERSION Income-producing real estate has value to potential purchasers because of its capability to produce a future cash flow. This valuation approach reflects the intentions and behaviors of the investor/purchaser in the market. The value of an income-producing property is the pre- sent worth of its anticipated future benefits. One basic investment premise holds that the higher the earning power, the higher the value, provided the amount of risk remains con- stant. The subject is an income-producing property and, therefore, the income approach is applicable. The estimate of value from this approach will result from a direct capitalization procedure. According to The Appraisal of Real Estate, Twelfth Edition (Appraisal Institute, 2001), di- rect capitalization is defined as a method used in the income capitalization approach to con- vert a single year’s income expectancy into a value indication. This conversion is accom- plished in one step, either by dividing the income estimate by an appropriate rate or by mul- tiplying it by an appropriate income factor. The first task is to estimate the potential gross income the property can achieve at 100% oc- cupancy. The gross annual income is estimated by an analysis of the subject’s current rent- als, if applicable, as well as rentals at comparable properties. The next step is to estimate an allowance for vacancies and collection loss that will be deducted from the potential gross income to arrive at an effective gross income. The vacancy and collection loss is based on an analysis of vacancies at the subject property as well as those in competing properties. The next step is to estimate the annual expenses and reserves for replacement to be deducted from the effective gross income in order to arrive at net income before debt service, depreci- ation and income taxes. The expenses will be estimated after analyzing historical and antic- ipated data for the subject property and similar properties. The final step is to capitalize the net operating income into a value estimate using an overall capitalization rate. This overall rate provides for a return on the investment in the land and improvements and a return of the improvements in the form of recapture. Potential Gross Income First, we must estimate the potential gross income. In order to estimate the potential market rent for the property, we have analyzed the leases at the subject and competitive property leases. Subject Lease Data According to a representative for the property owner, the 15,120 square foot storage hangar building is leased to Cycle Force for $3,500 per month on a month-to-month basis. This indicates a rent of $2.78 per square foot. The landlord is responsible for all the expenses including the utilities, real estate taxes, insurance, repairs and maintenance expenses. Using estimated expenses of $1.25 per square foot, the adjusted contract rent on a triple-net basis would be $1.53 per square foot. - COMMERCIAL APPRAISERS OF IOWA, INC. - 50 Comparable Leases The following table summarizes lease and listing data from the subject and comparable properties: Comparable Property Leases Area Building Lease NNN Percent Wall Location (SF) Age Start Rent/SF Finish Height 14955 Truman Street, Ottumwa 352,860 1970-1998 2012 $1.84 0% 14-21 1604 E. Anson, Marshalltown 46,128 1975-90 2012 $2.26 2% 18-22 1401 E. Monroe St, Mt. Pleasant 102,100 1986-97 2007 $2.73 6% 15-28 306 Thorson Ave, Waterloo 28,000 1978-85 2009 $2.75 0% 16 Confidential, Dsm Metro 500,000 1950s R'2017 2017 $2.95 0% 24-34 4377 112th St, Urbandale 80,000 1991 2012 $3.17 10% 30 1701 Broad Street, Story City 405,000 1997-2001 2010 $3.00-3.15 4% 21 4121 Dixon St, Des Moines 177,431 1977 Listing '19 $3.25 0% 22 6000 Linn Aire Ave, Marion 131,952 1998 2010 $3.38 5% 22 Confidential, Dsm Metro 150,000 2013 2013 $3.50 1% 30 4141 Dixon, Des Moines 129,576 1977 2017 $3.50 1% 23 6301 N. Gateway, Marion 90,000 2002 N/A $3.56 8% 20 Confidential, Dsm Metro 50,000 2013 2013 $3.62 1% 28-33 4091 120th St, Urbandale 58,640 1999 2012 $3.65 50% 20 500 Bell Ave, Ames 87,500-150,000 1999 Listing '19 $3.75 0% 33 Confidential, Johnson County 250,000 2006 2009 $3.75 3% 30 2825 E. Lincoln Way, Ames 576,476 1999-2002 Various $3.55-$3.92 1% 36 3110 Prairie Valley, C. Rapids 66,000 2000 2013 $3.95 2% 24 6000 Chavenelle, Dubuque 200,100 2009 2009 $4.04 0% 28 Confidential, Dsm Metro 45,000 2009 2012 $4.08 6% 30 19225 Kapp Dr, Peosta 144,093 1991-2009 2008 $4.12 6% 20-32 1120 N. Finn, Algona 30,022 2000 2012 $4.13 11% 24 775 Kacena Rd, Hiawatha 49,031 2000 2010 $4.20 28% 25 2900 SW Brookside, Grimes 186,321 2013 2013 $4.51 4% 30 5605 NW 100th, Johnston 33,460 2000 N/A $4.65 9% 36 The rents are on a triple net basis with the tenant responsible for most expenses, including insurance, real estate taxes, repairs/maintenance, management, and utilities. Upon the land lease expiration in 2047, the buildings will be approximately 49 years old. The majority of the comparable leases would be adjusted downward for their superior age/condition in relation to the subject property. The leases would also be adjusted for building size and quality, location, percent finish, land-to-building ratio, and other factors. The subject rent is at the low end of the range, which is reasonable due to the building size, land to building ratio, and building age. Market Rent Summary @ Reversion At reversion, the building improvements will be approximately 49 years old. We estimate the market rent for the subject property to be $2.75 per square foot for the warehouse build- ing and $1.25 per square foot for the storage hangar building. - COMMERCIAL APPRAISERS OF IOWA, INC. - 51 The rents are on a triple net basis with the tenant responsible for most expenses, including insurance, real estate taxes, repairs/maintenance, management, and utilities. Vacancy and Collection Loss In order to estimate the vacancy and collection loss, we have talked with local real estate participants in the Ames market. They indicated that the vacancy for industrial and service commercial properties in the area is relatively low, near 5% to 10%. We have also viewed the comparable properties located in the Ames area and we concur with this estimate. For this analysis, we are estimating the market value of the subject property at reversion in Year 2047. At reversion, the building improvements will be approximately 49 years old. There is uncertainty estimating the vacancy and collection loss rate 28 years into the future. We have estimated the stabilized vacancy and collection loss rate for the subject property to be 10.0% of potential gross income. EXPENSES The lessee will be responsible for all costs of building operation with the exception of leas- ing fees, structural repairs and the reserves for replacement. The expenses borne by the les- sor are discussed in the following subsections. The lessor would also be responsible for tax- es and insurance during times of vacancy. Therefore, the landlord will still be responsible for 10% of all relevant expenses. Real Estate Taxes: The current assessment is $3,250,000, which is higher than our estimate of market value at reversion. We assume the assessment would be lowered to a level near market value. We have estimated taxes using an estimated assessment of $2,500,000 and a millage rate of 32.0 per $1,000 of assessed value. The property owner will be responsible for 10% of the estimated expense to reflect stabilized oc- cupancy. Insurance: Insurance covers the cost of a fire and extended coverage policy. This expense at comparable properties has typically ranged from $0.20 to $0.30 per square foot of rentable building area. We have estimated this expense to be $0.20 per square foot. The owner will incur an insurance expense during vacancy and, therefore, this expense has been estimated to be 10% of $0.20 per square foot of building area to reflect normal occupancy. Management: The management fees reflect the cost of a management company who would be responsible for the day-to-day management function. However, in certain instances these services will be provided by the property owner. We have estimated market rent with the tenant being responsible for the management expenses. However, leases often have management cost caps and some management expenses cannot be passed through to the tenants. We have estimated a total man- agement fee of 5% of effective gross income, but assuming the majority of the ex- pense will be passed through to the tenants, we have used a 1% management fee in our reconstructed operating statement. - COMMERCIAL APPRAISERS OF IOWA, INC. - 52 Leasing Commissions: The leasing commission expense reflects the cost to the les- sor of a realtor or other professional to locate and secure tenants. In the local mar- ketplace, that is generally 6% of the revenues to be received over the life of the lease. However, we acknowledge that part of the time the property owner will locate his or her own tenants. Therefore, assuming that 50% of the time the property owner lo- cates his or her own tenants, an effective leasing commission rate of 3% of effective gross income should be adequate. Utilities: The utility expense is the responsibility of the tenant. Repairs and Maintenance: We are estimating market value with triple net leases whereby the tenant is responsible for most repair/maintenance expenses. The land- lord will have to pay for some major maintenance items that are accounted for in the reserves for replacement expense. Therefore, we have not included an additional re- pair and maintenance expense in the reconstructed operating statement. Reserves: The reserves for replacements is a sinking fund established to replace short-lived items. These components typically require replacement prior to the end of the economic life of the real estate. Items included are the pavement, HVAC equipment and roof cover. For this analysis, we have also included a tenant improvement reserve for the office area. Upon expiration of leases, the building may be occupied without significant improvements. However, over a 20-year period the finished areas will typically need new flooring, ceiling tiles, and paint. Therefore, we have estimated a $5.00 per square foot improvement to be incurred every 20 years. For this item, we will use a straight-line multiplier. The reserve for replacements is estimated using a 3% safe rate. In theory, the prop- erty owner would set aside the sums shown annually which would then accrue inter- est at the rate of 3%. Then the funds will be available when the replacement of the component is required. - COMMERCIAL APPRAISERS OF IOWA, INC. - 53 RESERVE FOR REPLACEMENTS CALCULATIONS Life Item (Years) Mult. Reserve Roof 116,567 SF @ $2.00 / SF is $233,134 20 0.037216 8,676 Office HVAC 16,530 SF @ $1.50 / SF is $24,795 20 0.037216 923 Whse HVAC 105,627 SF @ $0.75 / SF is $79,220 20 0.037216 2,948 Pavement 220,000 SF @ $1.50 / SF is $330,000 25 0.027428 9,051 Tenant Improv. 16,530 SF @ $5.00 / SF is $82,650 20 0.050000 4,133 Total Reserve $25,731 Given the previously discussed inputs, the stabilized operating statement follows: RECONSTRUCTED OPERATING STATEMENT – REVERSION Gross Potential Annual Income Warehouse 107,037 Sq. Ft. @ $2.75 /SF is $294,352 Hangar 15,120 Sq. Ft. @ $1.25 /SF is $18,900 Total 122,157 $2.56 /SF Avg is $313,252 Less: Vacancy & Collection Loss 10.0% 31,325 Effective Gross Income 281,927 Less: Operating Expenses Fixed Expenses Taxes 7,200 Insurance 2,443 Total Fixed Expenses 9,643 Variable Expenses Management 2,819 Leasing Fees 8,458 Utilities Tenant Repairs & Maintenance Tenant Reserves 25,731 Total Variable Expenses 37,008 Total Operating Expenses 16.5% 46,651 Net Operating Income 83.5% $235,276 - COMMERCIAL APPRAISERS OF IOWA, INC. - 54 Capitalization Rate The net operating income before depreciation and debt service will be capitalized using an overall capitalization rate. The overall capitalization rate provides for a return on the in- vestment in the land and improvements and a return of the improvements in the form of re- capture. This rate will be estimated by analyzing rates from comparable sales, developing a mortgage/equity analysis and obtaining rates from published surveys. Comparable Sales Analysis The following table includes extracted rates from other comparable properties. Address Year Built Sale Date Sale Price Cap Rate 1635 NE 53rd Ave, Dsm 1992 2/26/15 $5,000,000 6.41% 6806 SE Bellagio Crt, Ank 2016 1/31/18 $1,800,000 6.34% 810 SE Corporate Woods Dr, Ankeny 2015 6/20/17 $14,700,000 6.38% 4131 120th St, Urb 1999 1/6/15 $5,900,000 7.11% 2825 E Lincolnway, Ames 1999-02 7/31/14 $26,250,000 7.29% 4060 Dixon St, Dsm 1977-89 4/30/18 $2,260,000 7.47% 1301 Ohio St, Dsm 1992 1/13/17 $907,200 7.47% Mortgage Equity An alternative method of estimating the overall capitalization rate is through the use of a mortgage equity analysis. This method takes into consideration that most in- come producing properties are purchased with a maximum mortgage. Today’s real estate market is not a cash market, but rather properties are typically financed. A typical purchaser utilizes leverage to maximize projected gains and to minimize loss- es. It appears the subject property could qualify for a mortgage with an interest rate around 5.5%, an amortization period of 25 years and a loan to value ratio of 75%. The mortgage constant for such a loan is 7.37%. It is also necessary to estimate the equity dividend rate (cash on cash) that would be required by a typical purchaser as a return on the equity investment. Five-year treas- ury bonds are yielding around 2.5%. These government investments are considered to be nearly risk-free. However, they do not have the potential for appreciation like real estate. The yield rate for treasury bonds is considered to be a base. The equity dividend rate for the subject property would be higher due to additional risk. Equity dividend rates for comparable investments in the Des Moines area have been around 7% to 10%. For this analysis, we are estimating the value at reversion in year 2047. There is uncertainty estimating a value far into the future and therefore we have chosen a rate near the upper end of the range. We have estimated the equity dividend rate to be 10.0%. An indication of the overall capitalization rate from this method is calculated as fol- lows: - COMMERCIAL APPRAISERS OF IOWA, INC. - 55 75% x 0.07369 Mortgage Constant is 0.05527 25% x 0.09500 Equity Dividend is 0.02375 0.07902 Rounded to: 7.90% Investment Bulletin Another source of capitalization rate information is the American Council of Life In- surance Investment Bulletin. We have reviewed the February 21, 2019 quarterly publication covering the fourth quarter of 2018. This publication reports mortgage interest rates and capitalization rates for national investment type properties from in- formation supplied by 30 large insurance company lenders. Property Type/ Avg. Contract Average Loan Size No. Loans Interest Rate Cap. Rate All Industrial 161 4.45% 5.93% Industrial < $2 Million 37 4.94% 7.40% Industrial, $2MM to $5MM 52 4.77% 7.04% Industrial, $5MM to $15MM 38 4.62% 6.11% Capitalization Rate Summary The separate sources indicated overall capitalization rates from 5.9% to 7.5%. We will es- timate a capitalization rate near the high end of the range for the June 30, 2047 valuation due to the uncertainty related to the future. We estimate the terminal capitalization rate at rever- sion to be 7.5%. Reversion Valuation – Income Approach The total indicated value from this approach, as of June 30, 2047, prior to considering inflationary factors, is as follows: $235,276 Capitalized at 7.5% = $3,137,013. Rounded to: $3,140,000. - COMMERCIAL APPRAISERS OF IOWA, INC. - 56 RECONCILIATION REVERSION Reconciliation – Reversion, Prior to Considering Inflation The cost approach has been developed by estimating the replacement cost new of the im- provements summed with the estimated land value. This approach is generally most reliable when there are good indications of land value and the improvements suffer from minimal accrued depreciation. At reversion, the subject improvements suffer from accrued deprecia- tion, which weakens this approach. This approach will be given secondary consideration. The sales comparison approach has been developed by analyzing sales of comparable indus- trial properties. Reliable sales have been located and analyzed. This approach provides a credible indicator of value and will be given consideration. The income capitalization approach has been developed by estimating the annual net operat- ing income and capitalizing it an overall capitalization rate. This approach is most reliable when there are good indications of market rent, expenses and an overall capitalization rate. Since properties similar to the property being appraised are generally purchased based on their income producing potential, this approach will also be given consideration. Conclusion - Reversion We have given consideration to the approaches and reconcile to a reversion value, as of June 30, 2047, but disregarding inflation of $3,300,000. Our previous estimate of reversion value would require an upward adjustment for inflation. It is expected that land values and construction costs will increase during the next 28.3 years. We have estimated an annual appreciation rate of 1.5%. The calculations are as follows: Reversion Value – June 30, 2047 Reversion Value (March 15, 2019)) $ 3,300,000 Inflation 1.5% / Year Number of Years 28.3 Inflation Factor 1.5240 Reversion Value (June 30, 2047) $5,029,200 Rounded to: $5,030,000 - COMMERCIAL APPRAISERS OF IOWA, INC. - 57 DISCOUNTED CASH FLOW LEASED FEE ESTATE (CITY OF AMES INTEREST) We will complete a discounted cash flow analysis to determine the market value of the leased fee estate held by the City of Ames. The market value of the property is achieved by calculating the present value of the cash flows added to the present value of the reversion, or future sale price, of the property. The present value of these items is estimated by applying a discount rate to the series of cash flows. Land Lease Agreement The land was leased to Vantage Enterprises, LLC. The lease was assigned to Mulmac, LLC according to an Assignment of Tenant’s Interest in Ground Lease recorded in Book 2007, Page 4344 in the Story County Recorder’s Office on April 4, 2007. The original lease agreement was dated May 27, 1997. The land lease is for a fifty (50) year term, which includes all of the option periods. Rent Amount The initial lease term was for 10 years at a rent of $100 per acre per year for the first 5 years then increasing to $2,700 per acre in the 6th year. The scheduled rent is set to increase 3% per year over the life of the lease. The lease agreement states “In the tenth year the Tenant- Developer may call for an appraisal of the per acre market value of the land leased by this lease….The Tenant-Developer may then elect to continue to pay rent at the aforesaid rate, or elect to pay an adjusted annual rent per acre that is equal to 10% of the per acre market value of the land leased by this lease determined by the said appraisal, that adjusted rate to increase in amount by 3% each year thereafter.” The tenant has the right to call for appraisals in years 15, 20, 25, 30, 35 and 40. To our knowledge, no appraisals were completed to adjust the land lease rate. Our appraisal assumes the contract lease rates throughout the remaining lease duration is similar to what is shown in the contract lease. We previously estimated the market value of the land, assuming vacant as of March 15, 2019 to be $1,00,000 or approximately $78,400 per acre. Based a land rent of 10% of the per acre value, this indicates a rent of $7,840 per acre. The current land rent for the subject property beginning July 1, 2018 to June 30, 2019 is $4,333 per acre. This is less than 10% of the per acre market value of the land. Therefore, we assume the rent for the remaining land lease term to be equal to the rent schedule provided in the lease. Landlord Expenses The landlord is not responsible for any property related expenses during the time of the lease. The landlord (City of Ames) will obtain the building improvements at the end of the lease term (June 30, 2047) if the land lease is not extended. The lease does not provide for an option to extend the lease beyond 2047 or provide for an option for the tenant to purchase the property. - COMMERCIAL APPRAISERS OF IOWA, INC. - 58 Income The land lease has approximately 28 years remaining. The tenant does not have the option to renew the lease after the 28 years. The current rent is $4,333 per acre or $55,246 per year. The lease rate is set to increase 3% per year. The 2019 to 2020 rent will be $56,903 per year. We will use the land rent as stated in the Exhibit C Rent Schedule of the land lease through June 30, 2047. At the end of the lease, we assume the land, building and associated site im- provements could be leased at market rent. Reversion Value We previously completed estimated the market value of the subject property at reversion, as of June 30, 2047 to be $5,030,000. Since reversion happens at a point in time in the future, the reversion value must be dis- counted to present value. We have estimated a discount rate of 7.25% for the annual land lease payments as described later in this section. We have estimated a higher discount rate would be appropriate for the building component to consider additional risk. We estimate a discount rate of 8.5% is appropriate for the reversion value. Therefore, the total reversion value adjusted by the present value factor is estimated below: Estimated Market Value as of 2047 Reversion Value $5,030,000 Present Value Factor @ 8.5% 0.10185 Reversion Value Adjusted for Time $512,306 Discount Rate The net cash flow before depreciation and debt service will be discounted to arrive at the present value of the future cash flow benefits. According to The Dictionary of Real Estate Appraisal, Fifth Edition (Appraisal Institute, 2010), the term discount rate is defined as follows: Discount Rate – A yield rate used to convert future payments or receipts into pre- sent value; usually considered to be a synonym for yield rate. See also risk rate; safe rate; yield rate. The selection of the appropriate discount rate is a key factor to determine the value of the leased fee estate. The discount rate can be estimated through several methods including the method of adjusting the capitalization rate for inflation, extractions from comparable sales, and building a rate using mortgage and equity parameters. Following is a discussion of each of these methods of discount rate development. - COMMERCIAL APPRAISERS OF IOWA, INC. - 59 Comparable Sales – Discount Rates There are no sales of comparable land lease rates in rural Iowa towns. We have observed discount rates to primarily range from 7% to 9% for improved commercial properties in the Des Moines metro. Typical land lease discount rates are lower than rates on improved prop- erties due to reduced risk and depreciation factors. We have observed land cap rates and land discount rate over the years. The land capitalization rates have ranged from 5% to 7%. The land discount rates have ranged from 6% to 8%. Capitalization Rate Adjustment One method to estimate a discount rate is to sum the estimated inflation rate to the going-in capitalization rate. We previously estimated the terminal cap rate for the building improve- ments at reversion to be 7.5%. The capitalization rate for the land would be less due to less risk associated with the income stream and the annual 3% rent increase. From the comparable sales and published surveys, we conclude an appropriate going-in capitulation rate for the land lease to be 6.0%. Capitalization Rate Adjustment To develop a discount rate, we must now adjust the capitalization rate for inflation (expected change). We estimate inflation to be approximately 1.0 to 2.0%% per year. Therefore, ac- cording to discount rate theory, we should add 100 to 200 basis points to our estimated capi- talization rate to arrive at a discount rate of 7.0% to 8.0%. However, it is inappropriate to add the full estimated inflation rate. The level income prem- ise states that the yield rate (discount rate) would be the overall change in property value multiplied by the sinking fund factor added to the going-in capitalization rate. However, contract rent is increasing over the lease term. Therefore, the yield rate would be less than 7.0% to 8.0%, or approximately 6.5% to 7.5%. Mortgage Equity Analysis A discount rate can also be derived based on current mortgage and equity requirements. A mortgage would be available for up to 75% of the value at a rate of 5.5% with an amortiza- tion period of 25 years. The mortgage constant for such a loan is 7.37%. In developing a discount rate, the mortgage interest rate is used rather than the mortgage constant since the interest rate is the yield rate that would apply to the mortgage component. The required equity yield that would be necessary to induce equity investment in the proper- ty must also be estimated. The equity yield rate is the internal rate of return to the equity position. It is logical the equity yield rate would be higher than the mortgage rate since the equity position is at greater risk. The yield rate is different than the equity dividend rate since the dividend rate is simply the annual cash return to equity. The required yield rate for this type of investment would likely be near 10% to 15%, and we have reconciled to 11% for the subject property. - COMMERCIAL APPRAISERS OF IOWA, INC. - 60 The following table summarizes the discount rate development. 75% x 0.07369 Mortgage Constant is 0.05527 25% x 0.11000 Equity Dividend is 0.02750 0.08277 Rounded to: 8.30% This method would not accurately indicate a discount rate if the typical investor expects the same rate of return on the equity build-up as on the initial investment. The reason is that if the same rate were expected, this method would understate the yield rate. The equity posi- tion would increase as debt service is paid. Therefore, the loan to value ratio is changing due to amortization of the loan and appreciation in property value. This method is reliable if the investor would accept a return on the equity build-up equal to the interest rate. A typical investor receiving an 11.0% return on the original investment would accept a 5.5% return on the equity build-up. Therefore, the mortgage equity analysis is a reliable indicator of a discount rate. Discount Rate Summary The several indicators indicate a range of discount rates between 6.5% and 8.3%. The sub- ject property consists of guaranteed land rent payments with an annual increase of 3% per year and the landlord obtaining ownership of the building at the end of the land lease. Therefore, we estimate a discount rate closer to the lower end of the range and we estimate 7.25% to be appropriate for the subject property. This discount rate will be used to deter- mine the present value of the cash flows over the 28-year holding period. The present value of the reversion has been previously calculated to be $512,306. Discounted Cash Flow Analysis The following table contains the discounted cash flow calculations. - COMMERCIAL APPRAISERS OF IOWA, INC. - 61 Discounted Cash Flow Contract Vac. & Misc. Net Base Disc. Factor Present Year Rent 0.0% Reserve Income 7.25% Value 1 $56,903 0 0 $56,903 0.93240 53,057 2 $58,612 0 0 $58,612 0.86937 50,955 3 $60,359 0 0 $60,359 0.81060 48,927 4 $62,182 0 0 $62,182 0.75581 46,998 5 $64,043 0 0 $64,043 0.70471 45,132 6 $65,956 0 0 $65,956 0.65708 43,338 7 $67,945 0 0 $67,945 0.61266 41,627 8 $69,985 0 0 $69,985 0.57124 39,978 9 $72,076 0 0 $72,076 0.53263 38,390 10 $74,243 0 0 $74,243 0.49662 36,871 11 $76,462 0 0 $76,462 0.46305 35,406 12 $78,757 0 0 $78,757 0.43175 34,003 13 $81,128 0 0 $81,128 0.40256 32,659 14 $83,564 0 0 $83,564 0.37535 31,366 15 $86,063 0 0 $86,063 0.34998 30,120 16 $88,651 0 0 $88,651 0.32632 28,929 17 $91,303 0 0 $91,303 0.30426 27,780 18 $94,044 0 0 $94,044 0.28369 26,679 19 $96,862 0 0 $96,862 0.26452 25,622 20 $99,769 0 0 $99,769 0.24663 24,606 21 $102,765 0 0 $102,765 0.22996 23,632 22 $105,851 0 0 $105,851 0.21442 22,696 23 $109,025 0 0 $109,025 0.19992 21,796 24 $112,302 0 0 $112,302 0.18641 20,934 25 $115,668 0 0 $115,668 0.17381 20,104 26 $119,136 0 0 $119,136 0.16206 19,307 27 $122,706 0 0 $122,706 0.15110 18,541 28 $126,391 0 0 $126,391 0.14089 17,807 Total $2,442,747 $2,442,747 907,260 Present Value of Cash Flows $907,260 Present Value of Reversion 512,306 Total Present Value $1,419,566 Rounded to $1,420,000 Valuation Conclusion – Leased Fee- City of Ames Interest The market value of the leased fee estate in the subject property (City of Ames Interest), as of March 15, 2019, is $1,420,000. - COMMERCIAL APPRAISERS OF IOWA, INC. - 62 RECONCILIATION AND FINAL ESTIMATE Reconciliation The income approach has been developed by completing a discounted cash flow analysis. The income approach is the most appropriate method to estimate the market value of the leased fee estate held by the City of Ames Interest. As part of the analysis, we estimated the market value the subject property at reversion by completing a cost approach and income approach. The tenant has approximately 28 years remaining on the lease agreement. At the expiration of the lease, the land and improvements will revert back to the landlord. We have complet- ed a discounted cash flow to estimate the net present value of the cash flows and of the re- version. This approach provides a good indication of market value. Final Estimate of Value We estimate the market value of the leased fee estate, (City of Ames Interest) in the subject property, as of March 15, 2019, to be $1,420,000. The estimate of market value upon completion of improvements is contingent upon the following extraordinary assumption. The item is defined as “extraordinary” per the definition contained in the Uniform Standards of Professional Appraisal Practice (US- PAP) of the Appraisal Institute. The definition of extraordinary assumption is includ- ed in this report. Our estimate of market value of the leased fee estate assumes the lease terms will be as described in this report. Our estimate of market value would require review and modification if it were not con- tingent upon the extraordinary assumption. - COMMERCIAL APPRAISERS OF IOWA, INC. - 63 CERTIFICATION I certify that, to the best of my knowledge and belief: The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice. I have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. My engagement in this assignment was not contingent upon developing or reporting predetermined results. My compensation from completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. I did not inspect the subject property. I have performed no services, as an appraiser or in any other capacity, regarding the subject property within the last three years. Karen C. Olson prepared the analysis and valuation conclusions. Russ G. Manternach provided consultation and review assistance. No other person provided significant professional assistance to the persons signing this report. As of the date of this report, Russ G. Manternach has completed the requirements of the continuing education program of the Appraisal Institute. _______________________ Russ G. Manternach, MAI State Certificate # CG01775 - COMMERCIAL APPRAISERS OF IOWA, INC. - 64 CERTIFICATION I certify that, to the best of my knowledge and belief: The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. I have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. My engagement in this assignment was not contingent upon developing or reporting predetermined results. My compensation from completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. I personally inspected the interior of the party barn property and the exterior of the single family homes. I also viewed the subject land parcels. I have performed no services as an appraiser or in any other capacity on the subject property within the last three years. Karen C. Olson prepared the analysis and valuation conclusions. Russ G. Manternach provided consultation and review assistance. No other person provided significant professional assistance to the persons signing this report. As of the date of this report, Karen Olson has completed the requirements of the continuing education program of the Appraisal Institute. _______________________ Karen C. Olson, MAI State Certificate # CG02871 - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 COMPARABLE LAND SALES MAP - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 1 Property Identification Record ID 4782 Property Type Industrial Address 1600 Blue Sky Blvd, Huxley, Story County, Iowa 50124 Sale Data Grantor Interstate Land Properties, LLC Grantee Two Companies, LLC Sale Date May 20, 2017 Deed Book/Page 2017-5192 Property Rights Fee Simple Conditions of Sale Typical Financing Cash Verification Grantor Sale Price $375,000 Land Data Topography Level Utilities All Gross Land Size 6.540 Acres or 284,882 SF Indicators Sale Price/Gross Acre $57,339 Sale Price/Gross SF $1.32 - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 2 Property Identification Record ID 4781 Property Type Industrial Address 1520 Blue Sky Blvd, Huxley, Story County, Iowa 50124 Sale Data Grantor Interstate Land Properties, LLC Grantee Diamond W Two, LLC Sale Date December 11, 2015 Deed Book/Page 2015-12262 Property Rights Fee Simple Conditions of Sale Typical Financing Cash Verification Grantor Sale Price $250,000 Land Data Topography Level Utilities All Gross Land Size 5.000 Acres or 217,800 SF Indicators Sale Price/Gross Acre $50,000 Sale Price/Gross SF $1.15 Remarks Grantee built implement dealer (Ditch Witch) on site. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 3 Property Identification Record ID 4701 Property Type Industrial Address 2825 Wakefield Circle, Ames, Story County, Iowa Sale Data Grantor Woodruff Construction, LLC Grantee Badger Investments, LC Sale Date August 24, 2017 Deed Book/Page 2017-12305 Property Rights Fee Simple Verification Grantee & Public Records Sale Price $680,721 Land Data Zoning GI - General Industrial Topography Level Utilities All Gross Land Size 6.628 Acres or 288,730 SF Indicators Sale Price/Gross Acre $102,699 Sale Price/Gross SF $2.36 Remarks Grantee plans to construct warehouse on the site for owner-occupancy. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 4 Property Identification Record ID 3721 Property Type Commercial Address 707 Airport Road, Ames, Story County, Iowa Sale Data Grantor Kellie M. Markey Revocable Trust Grantee AM Commercial Properties LLC Sale Date April 25, 2013 Deed Book/Page 2013/5687 Property Rights Fee Simple Verification Public Records Sale Price $1,260,000 Land Data Zoning HOC Land Size Information Gross Land Size 11.568 Acres or 503,907 SF Indicators Sale Price/Gross Acre $108,920 Sale Price/Gross SF $2.50 Remarks Listed prior to sale. Grantee owns adjacent building to the southeast. The north portion of the site was low, grantee spent approx. $170k on fill and grading to make the lots 100% buildable. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 5 Property Identification Record ID 5227 Property Type Industrial Address SE Corporate Woods Drive, Ankeny, Polk County, Iowa Sale Data Grantor Deborah L. Gallion Grantee Ruan Transport Corporation Sale Date November 08, 2018 Deed Book/Page 17142-407 Property Rights Fee Simple Conditions of Sale Typical Financing Cash Verification Grantor & Public Records Sale Price $1,450,000 Land Data Zoning PUD Utilities All Near Gross Land Size 20.592 Acres or 896,984 SF Indicators Sale Price/Gross Acre $70,416 Sale Price/Gross SF $1.62 Remarks Grantee plans to construct a $9,000,000 operations and training center. A 100-foot wide overhead power line easement extends through the north portion of the site. Property was not listed prior to sale and grantee approached owner and negotiated a price. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Land Sale No. 6 Property Identification Record ID 5331 Property Type Industrial Address 3525 S Riverside Dr, Ames, Story County, Iowa Sale Data Grantor Iowa State University Research Park Grantee Deere & Company Sale Date August 02, 2018 Deed Book/Page 2018-07400 Property Rights Fee Simple Verification Grantor and Public Records Sale Price $338,500 Land Size Information Gross Land Size 5.008 Acres or 218,149 SF Indicators Sale Price/Gross Acre $67,592 Sale Price/Gross SF $1.55 Remarks Seller is a non-profit research park associated with ISU. The seller stated the sale price is likely below market due to the relationship between ISU and the buyer (John Deere). The sale would require an upward adjustment for conditions of sale. The buyer is building a research test facility on the site. The seller is responsible for paving Riverside Drive and extending Collaboration Place along the north side of the site. The seller stated the street funding will partially be provided by the City of Ames and other grants. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 COMPARABLE IMPROVED SALES MAP - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Improved Sale No. 1 Property Identification Record ID 2973 Property Type Industrial Address 2245 Dean Avenue, Des Moines, Polk County, Iowa 50317 Sale Data Grantor Richard K. Hansen Grantee Franzenburg Commecial Real Estate, LLC Sale Date March 01, 2018 Deed Book/Page 16833-397 Property Rights Leased Fee Verification Broker - Arnold Engman & Public Records Sale Price $1,490,000 Land Size 1.846 Acres or 80,410 SF SF 63,926 Year Built 1953 R '92 Potential Gross Income $182,189 Vacancy $14,575 8% Effective Gross Income $167,614 Expenses $25,142 15% Net Operating Income $142,472 Sale Price/ SF $23.31 Floor Area Ratio 0.80 Land to Building Ratio 1.26:1 Gross Income Multiplier 8.18 Eff. Gross Income Multiplier 8.89 Expenses/Sq. Ft. $0.39 Overall or Cap Rate 9.56% Net Operating Income/Sq. Ft. $2.23 Remarks Grantee was tenant in the building prior to the sale. The broker stated the grantee occupied approximately 45,000 SF of the building at a rate of $2.85/SF, NNN with a remaining lease term of approximately two years. The building has 11 docks, including two interior docks, and 2,056 SF (3%) of office finish. The roof was replaced in 2015. Warehouse area is heated. Wall height ranges between 19 and 24 feet, but interior clear height is 16'. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Improved Sale No. 2 Property Identification Record ID 2974 Property Type Industrial Address 4060 Dixon Street, Des Moines, Polk County, Iowa Sale Data Grantor PAH Family LP Grantee Penta Partners, LLC Sale Date April 30, 2018 Deed Book/Page 16903-454 Property Rights Leased Fee Verification Grantee - Travis Sisson & Public Records Sale Price $2,260,000 Land Size 3.882 Acres or 169,080 SF SF 56,500 Year Built 1977 &1989 Avg 1978 Potential Gross Income $216,000 Vacancy $17,280 8% Effective Gross Income $198,720 Expenses $29,808 15% Net Operating Income $168,912 Sale Price/ SF $40.00 Gross Income Multiplier 10.46 Eff. Gross Income Multiplier 11.37 Expenses/Sq. Ft. $0.53 Overall or Cap Rate 7.47% Net Operating Income/Sq. Ft. $2.99 Remarks Grantee stated the property was in average condition and no major repairs/renovations were necessary or planned. The building has 20' exterior walls and 9,596 SF (17%) of office finish. Grantee stated the building was fully leased to a single tenant at $3.83/SF, NNN for four months and the tenant extended the lease for an additional four months after the sale. Warehouse area is heated. - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 Improved Sale No. 3 Property Identification Record ID 2899 Property Type Industrial Address 3600 Army Post Road, Des Moines, Polk County, Iowa 50321 Sale Data Grantor Lexington TNI Des Moines, LP Grantee IPE 1031 Rev235, LLC (Atlantic Bottling) Sale Date May 22, 2017 Deed Book/Page 16487-19 Property Rights Fee Simple Conditions of Sale Typical Financing Cash Verification Broker (Darin Ferguson) & Public Records Sale Price $16,200,000 Land Size 27.970 Acres or 1,218,373 SF Zoning PUD Utilities All SF 407,938 Sprinklers Wet Floor Height 32 Year Built 2002 Condition Average Sale Price/ SF $39.71 Remarks Atlantic bottling (Coke) the purchaser relocated from facility in Waukee. 80k sf of office & 39,172 sf of quasi-finish "production" space for a total of 119,172 sf (29%) finish/quasi -finish with full hvac. Office is located on two floors. Balance of building is high bay warehouse. Wall height ranges from 24' to 40' and average approximately 32'. As of 6/26/2018, there is 15,667 sf of 2nd floor office listed for leased for $9.00/sf NNN and 128k sf of warehouse listed for lease for $4.25/sf NNN, blended average is $4.77/sf NNN w/ 11% office. - COMMERCIAL APPRAISERS OF IOWA, INC. - DEFINITIONS The following definitions have been taken from The Dictionary Of Real Estate Appraisal, Fifth Edi- tion, published by the Appraisal Institute, as printed in 2010. Easement Non-possessory (incorporeal) interest in landed property conveying use, but not ownership, of a por- tion of that property. Eminent domain The right of government to take private property for public use upon the payment of just compensa- tion. The Fifth Amendment of the U.S. Constitution, also known as the takings clause, guarantees payment of just compensation upon appropriation of private property. Fee simple estate Absolute ownership unencumbered by any other interest or estate, subject only to the limitations im- posed by the governmental powers of taxation, eminent domain, police power, and escheat. Fixture An article that was once personal property, but has since been installed or attached to the land or building in a rather permanent manner so that it is regarded in law as part of the real estate. Grantee A person to whom property is transferred by deed or to whom property rights are granted by a trust instrument or other document. Grantor A person who transfers property by deed or grants property rights through a trust instrument or other document. Lease A contract in which the rights to use and occupy land or structures are transferred by the owner to another for a specified period of time in return for a specified rent. Leased fee interest A freehold (ownership interest) where the possessory interest has been granted to another party by creation of a contractual landlord-tenant relationship (i.e., a lease). Leasehold improvements Improvements or additions to leased property that have been made by the lessee. Leasehold interest The tenant’s possessory interest created by the lease. Lessee One who has the right to occupy and use the property of another for a period of time according to a lease agreement. Lessor One who conveys the rights of occupancy and use to others under a lease agreement. - COMMERCIAL APPRAISERS OF IOWA, INC. - Life Estate Rights of use, occupancy, and control, limited to the lifetime of the designated party, sometimes re- ferred to as the life tenant. Market Rent The most probable rent a property should bring in a competitive and open market reflecting all con- ditions and restrictions of the lease agreement, including permitted uses, use restrictions, expense obligations, term, concessions, renewal and purchase options, and tenant improvements (TIs). Market Value The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is consummation of a sale as of a specified date and passing of title from seller to buyer under conditions whereby: 1. Buyer and seller are typically motivated; 2. Both parties are well-informed or well advised and each acting in what they consider their own best interest; 3. A reasonable time is allowed for exposure in the open market; 4. Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements compara- ble thereto; and 5. The price represents the normal consideration for the property sold unaffected by special or crea- tive financing or sales concessions granted by anyone associated with the sale. Source: Office Of The Controller Of The Currency, effective date August 24, 1990, as amended April 9, 1992 and June 7, 1994. Real Estate An identified parcel or tract of land, including improvements, if any. Real Property The interests, benefits, and rights inherent in the ownership of real estate (USPAP, 2010-2011 ed.) - COMMERCIAL APPRAISERS OF IOWA, INC. - STATE CERTIFICATION - COMMERCIAL APPRAISERS OF IOWA, INC. - QUALIFICATIONS OF THE APPRAISER Russ G. Manternach, MAI Real Estate Appraiser Education Master of Business Administration Creighton University, Omaha, Nebraska December, 1992 Bachelor of Business Administration Iowa State University, Ames, Iowa December, 1989 Experience Professional experience includes over 20 years as a commercial real estate appraiser. Russ co-founded Com- mercial Appraisers of Iowa, Inc. in 2001 after eight years with Iowa Appraisal and Research Corporation. Our company acquired the appraisal firm Carlson, Gunderson & Associates, Inc. during 2010. The following is a partial list of property types appraised and experience: Eminent Domain Projects Industrial Multiple Family Residential Restaurants Conventional and Medical Office Mini-storage Facilities Subdivisions/Vacant Land Churches Automobile Dealerships Special Use Properties Mobile Home Parks Retail Properties Motel/Hotels Air Rights Other Income Producing Properties Expert Witness Testimony Appraisal Coursework Standards of Professional Practice, Part A Business Practices and Ethics Standards of Professional Practice, Part B Current Government Policies Affecting Real Estate Advanced Income Capitalization Real Estate Appraising –Response to Financial Disaster Highest and Best Use and Market Analysis Case Study – Eminent Domain Advanced Sales Comparison and Cost Approaches Ethics and Appraisal Review Report Writing and Valuation Analysis Right of Way Best Practices Advanced Applications Eminent Domain and Condemnation Professional Affiliations Designated MAI - Appraisal Institute Appraisal Institute - Iowa Chapter – Former Board of Director International Right of Way Association State Certification Certified General Real Property Appraiser, State of Iowa. Certificate No. CG01775. - COMMERCIAL APPRAISERS OF IOWA, INC. - STATE CERTIFICATION - COMMERCIAL APPRAISERS OF IOWA, INC. - 3737 Woodland Avenue Suite 320 West Des Moines, Iowa 50266 Phone 515/288-6800 Fax 515/288-6810 QUALIFICATIONS OF THE APPRAISER Karen C. Olson, MAI Real Estate Appraiser Education Bachelor of Business Administration University of Iowa, May 2004 Finance Experience Professional experience includes over 10 years as a commercial real estate appraiser. Karen joined Commercial Appraisers of Iowa, Inc. in 2004 after graduating from the University of Iowa. Professional education includes completing the advanced coursework, experience hours and requirements of the MAI designation in 2017. Appraisal Institute Coursework Advanced Sales Comparison and Cost Approaches USPAP Advanced Income Capitalization Approach Analyzing Distressed Real Estate General Market Analysis and Highest & Best Use Subdivision Valuation Report Writing and Valuation Analysis ARGUS Applications Advanced Applications Business Practices and Ethics General Demonstration of Knowledge Comprehensive Exam Appraisal experience includes all types of commercial, industrial and investment properties including the following: Multi Family, Including HUD Rent Comparability Studies Conventional and Medical Offices Retail Land/ Subdivisions Industrial Properties Mini-Storage Facilities Eminent Domain Projects Special Use Investment Properties Professional Affiliations Designated MAI – Appraisal Institute Appraisal Institute – Iowa Chapter Board of Directors State Certification Certified General Real Property Appraiser, State of Iowa. Certificate No. CG 02871 10580 Justin Drive Urbandale, IA 50322 Nelsen Appraisal Associates, Inc. (Bus) 515-276-0021 (Fax) 515-276-9303 A REAL PROPERTY APPRAISAL IN AN APPRAISAL REPORT OF LOCATED AT CLIENT 10580 Justin Drive Urbandale, IA 50322 Nelsen Appraisal Associates, Inc. (Bus) 515-276-0021 (Fax) 515-276-9303 November 30, 2018 Mr. Damion Pregitzer, P.E. PTOE Traffic Engineer City of Ames City Hall 515 Clark Avenue Ames, Iowa 50010 Dear Mr. Pregitzer, At your request, we have appraised a real property interest for the above real estate. Our objective was to form one or more opinions about the market value for a 100% ownership interest in the subject property's leased fee estate assuming no liens or encumbrances other than normal covenants and restrictions of record. The subject property consists of an irregular, non-corner parcel constituting 12.750 acres. It is improved with a 20-year old, 101,447 square foot heavy manufacturing building, as well as a 19-year old, 15,120 square foot metal hangar. The subject is described in greater detail in the accompanying report. This valuation contains analyses, opinions, and conclusions along with market data and reasoning appropriate for the scope of work detailed later herein. It was prepared solely for the intended use and intended user(s) explicitly identified in the attached report. Unauthorized users do so at their own risk. The appraisal is communicated in the attached appraisal report, and conforms to the version of the Uniform Standards of Professional Appraisal Practice (USPAP) in effect on this report's preparation date of November 30, 2018. This letter is not an appraisal report hence it must not be removed from the attached 82-page report. If this letter is disjoined from the attached appraisal report, then the value opinions set forth in this letter are invalid because the analyses, opinions, and conclusions cannot be properly understood. In general, valuation of the subject property involves no atypical issues. All value opinions are affected by all the information, extraordinary assumptions, hypotheses, general limiting conditions, facts, descriptions, and disclosures stated in the attached appraisal report. After careful consideration of all factors pertaining to and influencing value, the data and analysis thereof firmly supports the following final value opinion(s) for the subject property as of November 27, 2018: Table of Contents Overview ....................................................................................................... 1 Salient Information ........................................................................................................ 1 Noteworthy Issues ......................................................................................................... 1 Scope of Work .............................................................................................. 2 Scope of Work ............................................................................................................... 2 Introduction .............................................................................................................. 2 Assignment Elements ................................................................................................ 2 Relevant Characteristics .......................................................................................... 4 Extent of Services Provided ...................................................................................... 5 Other Intended Use Considerations ......................................................................... 5 Miscellaneous Matters.............................................................................................. 5 Appraisal Development ............................................................................................ 6 Concept Explanations ............................................................................................... 8 Report Reliance & Use Restrictions .............................................................................. 9 Scope of Work Exclusion - Insurable Value ................................................................. 9 Extraordinary Assumptions & Disclosures.................................................................. 10 Hypothetical Conditions .............................................................................................. 11 Personal Property & Intangibles .................................................................................. 11 Definition of Market Value ......................................................................................... 12 Definition of Real Property Estates ............................................................................. 13 Assemblage .................................................................................................................. 13 Contingent and Limiting Conditions ........................................................................... 14 Disclosures .................................................................................................. 21 Professional Standards ................................................................................................. 21 Competency ................................................................................................................. 21 Area Data ................................................................................................... 22 Regional Map .............................................................................................................. 22 Vicinity Map ................................................................................................................ 23 Proximity Map ............................................................................................................. 24 Proximity Features ....................................................................................................... 25 Nearby Land Uses........................................................................................................ 26 Aerial Photo – Nearby Land Uses .......................................................................... 26 Subject Property ........................................................................................ 31 Identification of the Property ....................................................................................... 31 Legal Description......................................................................................................... 31 Building Sketch ........................................................................................................... 35 Building Sketch With Elevations (Excerpt from Lease).............................................. 36 Photographs of Subject ................................................................................................ 37 Photographs of Subject ................................................................................................ 39 Photographs of Subject ................................................................................................ 42 Photographs of Subject ................................................................................................ 44 Photographs of Subject ................................................................................................ 46 Sale History ................................................................................................................. 47 Flood Hazard ............................................................................................................... 47 Flood Map .................................................................................................................... 48 Environmental Risks .................................................................................................... 49 Subject Site .................................................................................................................. 50 Zoning .......................................................................................................................... 53 Sales Comparison Approach ........................................................................................ 58 Introduction ............................................................................................................ 58 Introduction ............................................................................................................ 59 Lease Synopsis – Ground Lease ............................................................................. 59 The rent schedule taken from the Ground Lease is as follows (as noted, the rent is on a per acre basis): ............................................................................................... 60 Discounted Cash Flow Analysis ............................................................................. 61 Value Indication – Discounted Cash Flow ............................................................. 63 Capitalization ......................................................................................................... 64 Reconciliation .............................................................................................................. 67 Exposure & Marketing Time ....................................................................................... 68 Certification ................................................................................................................. 69 Copyright Protection .................................................................................................... 82 End of Report ............................................................................................................... 82 201810-33 Nelsen Appraisal Associates, Inc. Page 1 Overview Salient Information Property Type Real Estate Appraised County Estate Valued Client Client File Number Most Likely Buyer Effective Value Date (point in time that the value applies) Report Date (date the report is transmitted to client) Value Indication(s) Final Value Conclusion(s) Noteworthy Issues The subject property consists of an irregular, non-corner parcel constituting 12.750 acres. It is improved with a 20-year old, 101,447 square foot heavy manufacturing building, as well as a 19-year old, 15,120 square foot metal hangar for a combined 116,567 square feet. The subject is described in greater detail in the accompanying report. This appraisal includes a market value of the income stream associated with the subject’s land, which is received by the ground lessor. Therefore, it is the leased fee interest that is considered. This is described in greater detail in the remainder of this report. No atypical factors significantly affect value. The real estate appraised is generally typical for this type property in this locale. 201810-33 Nelsen Appraisal Associates, Inc. Page 2 Scope of Work Scope of Work Introduction The Uniform Standards of Professional Appraisal Practice (USPAP) defines scope of work as “the type and extent of research and analysis in an assignment". Scope of work includes, but is not limited to: Assignment Elements The purpose of this assignment (the problem to be solved) is to form one or more opinions about value. This purpose necessitates identification of seven assignment elements listed below. 1. 2. 3. To aid 4. ** The client is always an intended user. 201810-33 Nelsen Appraisal Associates, Inc. Page 3 Scope of Work Assignment Elements 5. (point in time the value applies) (date the report was transmitted to the client or the client's agent) 6. 201810-33 Nelsen Appraisal Associates, Inc. Page 4 Scope of Work Relevant Characteristics The seventh assignment element is relevant characteristics about the property appraised. These characteristics are typically categorized as physical, legal, and economic. Physical attributes of the property appraised are presented later in the Subject section of this report. Some characteristics are identified below. Atypical issues are listed in the Noteworthy Issues section and may be further detailed elsewhere herein. Unless specifically stated otherwise, the estate appraised (listed below) assumes no adverse leases, liens or encumbrances other than normal covenants and restrictions of record. 7a. Physical 7b. Legal 7c. Economic 201810-33 Nelsen Appraisal Associates, Inc. Page 5 Scope of Work Extent of Services Provided Number of Final Value Opinions Developed One Value Opinion(s) Reflect The Worth Of the Property Appraised As-Is – Leased Fee Estate Extent Of Report Preparation An Appraisal Report Other Reporting Requirements Not Applicable Extent Of Data Research Extensive Data Sources Public Records At Government Office; Real Estate Sales Agents; Buyers and / or Sellers; Landlords and / or Tenants Documents Considered Ground Lease Data Verification Direct and Indirect Methods Extent Of Subject Observation By One Or More Appraisers Signing Report Adequate Interior & Exterior Observation Specifics of this viewing, if any, are detailed in the Extraordinary Assumptions & Disclosures section of this report. Other Intended Use Considerations Client's Prior Engagement Of Appraisal Services Numerous Loan To Value Ratio Unknown Atypical Issues No Atypical Issues Assignment Complexity Typical Complexity FIRREA Compliance Fully Compliant Insurable Value Insurable Value Is Not An Intended Use Miscellaneous Matters Scope of Work Agreement Agreement in Addenda 201810-33 Nelsen Appraisal Associates, Inc. Page 6 Scope of Work Appraisal Development Appraisal development is the extent of research and analyses that produce one or more credible opinions of value for one or more specifically identified intended users and an explicitly stated intended use. In this context, credible is defined as "worthy of belief". Depending upon the intended use, intended users, and agreements between the appraiser and the client, the appraisal development process may include several, but not necessarily all of the following tasks. In most cases, the core valuation process begins with a highest and best use analysis. This is essential because it establishes a framework for the proper selection of comparable sales. Cited comparable sales should have the same highest and best use as the property appraised. 201810-33 Nelsen Appraisal Associates, Inc. Page 7 Scope of Work Appraisal Development If some property modification like new construction is contemplated, a feasibility analysis may be appropriate. In some cases, feasibility may simply be justified by inferred market evidence like low vacancy or rising rents. According to USPAP, all approaches that are applicable to the interest being appraised and necessary to produce credible results must be developed. The type of highest and best use; extent of feasibility considered; and the relevance of each major approach are listed below. (a more detailed study separate from highest & best use) Quoting "The Appraisal of Real Estate" Fourteenth Edition published by the Appraisal Institute, says "Highest and best use analysis and feasibility analysis are interrelated, but feasibility analysis may involve data and considerations that are not directly related to highest and best use determinations. Such analyses may be more detailed than highest and best use analysis, have a different focus, or require additional research." Applicable and necessary approaches were selected for development after consideration of available market data, intended use, and intended user(s). An approach considered not applicable was omitted because this methodology is not appropriate for the property interest being appraised, or sufficient data to properly develop the approach was not available. Any approach judged not applicable, yet included in this report, was developed solely at our client’s request. Data used to develop an inapplicable but included approach has a low to nil degree of comparability to the subject. Hence, no emphasis was given an approach deemed not applicable but included. Furthermore, no liability or responsibility is assumed for an approach considered not applicable but included at the client's request. 201810-33 Nelsen Appraisal Associates, Inc. Page 8 Scope of Work Concept Explanations Intended use and all intended user(s) should be weighed heavily during the scope of work decision. A single intended user who frequently engages appraisal services is likely very knowledgeable about the appraisal process. For this type user, the appraisal development and reporting for less complex property types might be toward the lower end of the spectrum. By contrast, multiple intended users, especially those with opposing motivations, likely need extensive appraisal development and reporting. Litigation is a prime example when a thorough appraisal development and detailed reporting is warranted. A loan to value ratio reflects risk. For commercial-grade loans, ratios over 75% are generally regarded as risky. If a contemplated loan is viewed as risky, then the extent of appraisal development and the level of report detail should be more comprehensive. Similarly, more complex properties generally warrant more thorough analyses and more extensive report details. Prior engagement of appraisal services by a client implies a level of awareness about the appraisal process. A greater awareness may justify a less thorough level of report detail whereas the opposite is true for an individual who has never engaged an appraisal. A Jurisdictional Exception is an assignment condition, which voids a portion of USPAP that is contrary to law or public policy. When a Jurisdictional Exception applies, only the contrary portion is void. The remainder of USPAP remains in full force and effect. Jurisdiction Exceptions always shrink USPAP, not expand it. Data verification affects reliability. Direct data verification confirms information used in the report with one or more parties who have in-depth knowledge about physical characteristics for the property being appraised, or related financial details. Indirect verification employs information obtained from a secondary source like a data reporting service, a multiple listing service, or another appraiser. Direct verification is generally more time-consuming and costly, but also more reliable. Information from all data sources was examined for accuracy, is believed reliable, and assumed reasonably accurate. However, no guaranties or warranties for the information are expressed or implied. No liability or responsibility is assumed by Nelsen Appraisal Associates, Inc. or the appraiser(s) for any inaccuracy from any seemingly credible information source. 201810-33 Nelsen Appraisal Associates, Inc. Page 9 Scope of Work Concept Explanations A statement about observation of the subject property by the appraiser(s) is listed above. If the subject was observed, this viewing was not as thorough as a professional property inspection. A professional inspector determines the precise physical condition, remaining useful life, and operability of major building components like the structural system, roof cover, electrical system, plumbing, and heating plant. Inspectors typically do not ascertain size of the building, or characteristics of the land. By contrast, an appraiser commonly ascertains both land and building size. Ordinarily, appraisers do not determine operability, or remaining useful life of building systems. An appraiser typically views real estate to determine only general attributes like physical condition of the building as a whole, site topography and access, building size, construction quality, floor plan, and functionality of the property as a whole. For this appraisal, no probes, investigations, or studies were made to discover unapparent, adverse physical features. Highest and best use analyses can be categorized into two groups - inferred and fundamental. A fundamental analysis is quantified from broad demographic and economic data such as population, household size, and income. Supply is inventoried. Subject specific characteristics are considered. Then, the relationship between supply and demand is weighed to determine a specific highest and best use for the subject. An inferred analysis uses local trends and patterns to infer a general highest and best use for the subject. For an inferred analysis, market dynamics that might be considered include prices, market exposure times, rents, vacancy, and listings of similar real estate. Inferred analyses emphasize historical data while fundamental analyses are based on future projections. The kind of highest and best use analysis utilized in this assignment is listed above. Report Reliance & Use Restrictions No liability is assumed, expressed, or implied by Nelsen Appraisal Associates, Inc., or the appraiser(s) for unauthorized use of this report. Only those persons, parties, entities, companies, corporations, partnerships, associations, or groups that are explicitly identified as an intended user on page 2 may rely on, and use this report. There are no implied, suggested, inferred, consequential, or indirect intended users of this report. Unauthorized users should not use, or rely on any portion of this document. Unauthorized users do so at their own risk and peril. Scope of Work Exclusion - Insurable Value The cost approach may or may not have been developed herein. Unless explicitly stated otherwise, the cost approach was developed solely to support the subject's market value. Use of this appraisal, in whole or part, for another purpose is not an expected intended use. Nothing in this appraisal should be used, or relied upon to determine the amount or type of insurance coverage to be placed on the subject property. The signatory / signatories to this report assume no liability for, and do not guarantee that any insurable value inferred from this report will result in the subject property being adequately insured for any loss that may be sustained. Since labor costs, material costs, building codes, construction intervals, and governmental regulations are constantly changing, the cost approach may not be a reliable indication of replacement or reproduction cost for any date other than this report's effective value date. 201810-33 Nelsen Appraisal Associates, Inc. Page 10 Extraordinary Assumptions & Disclosures An extraordinary assumption is defined by the Uniform Standards of Professional Appraisal Practice (USPAP) to be “an assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser’s opinion or conclusions”. Extraordinary assumptions presume as fact otherwise uncertain information. In other words, this type assumption involves uncertainty about an underlying premise. An example is a survey that displays a lot size. If the lot size is later found to be much smaller, then the value conclusion may be negatively affected. USPAP Standard Rule 1-2(f) requires the identification of all extraordinary assumptions that are necessary for credible assignment results. This appraisal employs the following extraordinary assumptions. Features of the subject site such as legal description, dimensions, size, etc. were obtained from Story County records. All information taken therefrom is assumed reasonably correct. Some details of the subject improvements like size and shape were obtained from public records. Other features such as exterior materials were obtained from personal observation and/or measurement. All are assumed reasonably correct. Observation of the subject property included the entire site, some of the roof (as visible from the ground and neighboring sites), most exterior walls (as visible from the ground), most common areas like halls or stairs, and most of the interior. Unseen spaces are assumed to have physical condition and construction quality similar to that in observed spaces. It is further assumed the subject has no hidden defects. The appraiser(s) did not attempt to study, dig, probe, investigate, detect, remove materials, or discover unfavorable physical features. Real estate tax information for the subject was obtained from Story County records. Assumptions and presumptions discussed in the Noteworthy Issues section of this report, if any, are incorporated by way of reference into these Extraordinary Assumptions & Disclosures. A recently issued title policy was not furnished to the appraiser(s). If a value-impairment is identified or suggested in a title policy, another professional report, or some other document, this appraisal does not address issues that are significantly atypical for a valuation of this type property unless specifically identified in the Scope of Work and/or Noteworthy Issues section of this report. The above extraordinary assumptions as well as other assumptions anywhere herein are integral premises upon which the conclusions in this document are based. If any of these assumptions are later found to be materially untrue or inaccurate, then this report’s assignment results may or may not be affected. 201810-33 Nelsen Appraisal Associates, Inc. Page 11 Hypothetical Conditions USPAP defines a hypothetical condition as “a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis." Hypothetical conditions assume conditions that are contrary to known fact. An illustration is the current valuation of a proposed home. For the purpose of a rational analysis, it is assumed the home exists on the effective value date, but it is known the home is nonexistent. Another example is a new zoning classification, that a property does not have today, but the new zoning is assumed for the purpose of a logical current valuation. Uncertainty is not involved with a hypothetical condition. An essential premise underlying the valuation is known not to exist on the effective value date. USPAP Standard Rule 1-2(g) requires the identification of all hypothetical conditions that are necessary for a credible value opinion. This appraisal employs no hypothetical conditions. Personal Property & Intangibles Personal property is movable and not permanently affixed to the real estate. Examples of personal property are freestanding ranges, refrigerators, tables, desks, chairs, beds, linen, silverware, hand tools, and small utensils. An intangible is a nonphysical asset like franchises, trademarks, patents, goodwill, and mineral rights. Personal and intangible property included in this appraisal's value opinion, if any, is considered typical for this type real estate, yet insignificant to the value opinion. Therefore, non-realty is not itemized or valued herein. Moreover, this report’s final value conclusion(s) excludes unaffixed equipment, detached trade fixtures, and chattel unless specifically stated to the contrary. 201810-33 Nelsen Appraisal Associates, Inc. Page 12 Definition of Market Value The definition of market value is used in all federally regulated transactions that exceed a minimum amount. This definition is mandated by Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of 1989. The exact same definition was published in the Federal Register several times by different federal agencies. Some printings are: 12 C.F.R. Part 34.42(g); 55 Federal Register 34696, August 24, 1990, as amended at 57 Federal Register 12202, April 9, 1992; and 59 Federal Register 29499, June 7, 1994.) Federal agencies publishing the exact same definition include the Office of the Comptroller of the Currency (OCC) as 12 CFR 34, subpart C Federal Reserve Board (FRB) as 12 CFR 225, Subpart G Federal Deposit Insurance Corporation (FDIC) as 12 CFR 323.2, Definition (g) in 55 Federal Register, 33,888 August 20, 1990, Effective September 19, 1990. Office of Thrift Supervision (OTS) as 12 CFR 564 National Credit Union Administration (NCUA) as 12 CFR 722 The exact same definition was again published jointly by the OCC, OTS, FRS, and FDIC on page 61 of the “Interagency Appraisal and Evaluation Guidelines". These guidelines were published in the Federal Register on December 10, 2010 as Volume 55, page 77472. All the above citations defined market value as: “the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: buyer and seller are both typically motivated; both parties are well informed or well advised, and acting in what they consider their own best interests; a reasonable time is allowed for exposure in the open market; payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale." Virtually the same definition is also cited in Advisory Opinion 30 in the 2014-2015 version of the Uniform Standards of Professional Appraisal Practice (USPAP), lines 124 to 136. 201810-33 Nelsen Appraisal Associates, Inc. Page 13 Definition of Real Property Estates One or more of the following underlined legal estates or interests are valued in this report. Definitions of these estates are quoted from The Dictionary of Real Estate Appraisal, Fifth Edition; published by the Appraisal Institute, copyright 2010. Fee Simple Estate "Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat." Leased Fee Estate A freehold (ownership interest) where the possessory interest has been granted to another party by creation of a contractual landlord-tenant relationship." Leasehold Estate "The tenant's possessory interest created by a lease" Assemblage USPAP Standard Rule 1-4(e) requires an analysis of the assemblage of various estates or component parts that affect value. In this case, no assemblage is expected so value is not affected. 201810-33 Nelsen Appraisal Associates, Inc. Page 14 Contingent and Limiting Conditions 1. By this notice, all persons, companies, or corporations using or relying on this report in any manner bind themselves to accept these Contingent and Limiting conditions, and all other contingent and limiting conditions contained elsewhere in this report. Do not use any portion of this report unless you fully accept all Contingent and Limiting conditions contained throughout this document. 2. The "Subject" or "Subject Property" refers to the real property that is the subject of this report. An Appraiser is defined as an individual person who is licensed to prepare real estate appraisal-related services in the State of Iowa and affixes his / her signature to this document. 3. Throughout this report, the singular term "Appraiser" also refers to the plural term "Appraisers”. The terms "Appraiser" and “Appraisers” also refer collectively to "Nelsen Appraisal Associates, Inc.", its officers, employees, subcontractors, and affiliates. The masculine terms "he" or "his" also refer to the feminine term "she" or "her”. 4. In these Contingent and Limiting Conditions, the "Parties" refers to all of the following collectively: (a) the Appraiser(s), (b) Nelsen Appraisal Associates, Inc., (c) the client, and (d) all intended users. 5. These Contingent and Limiting Conditions are an integral part of this report along with all certifications, definitions, descriptions, facts, statements, assumptions, disclosures, hypotheses, analyses, and opinions. 6. All contents of this report are prepared solely for the explicitly identified client and other explicitly identified intended users. The liability of the Appraiser is limited solely to the client. There is no accountability, obligation, or liability to any other third party. Other intended users may read but not rely on this report. The Appraiser's maximum liability relating to services rendered under this engagement (regardless of form of action, whether in contract, negligence or otherwise) is limited to the fee paid to Nelsen Appraisal Associates, Inc. for that portion of their services, or work product giving rise to liability. In no event shall the Appraisers be liable for consequential, special, incidental or punitive loss, damages or expense (including without limitation, lost profits, opportunity costs, etc.) even if advised of their possible existence. If this report is placed in the hands of anyone other than the client, the client shall make such party aware of all contingent and limiting conditions, assumptions, and disclosures. Use of this report by third parties shall be solely at the risk of the third party. 7. This document communicates the results of an appraisal assignment. This communication is not an inspection, engineering, construction, legal, or architectural report. It is not an examination or survey of any kind. Expertise in these areas is not implied. The Appraiser is not responsible for any costs incurred to discover, or correct any deficiency in the property. 201810-33 Nelsen Appraisal Associates, Inc. Page 15 Contingent and Limiting Conditions 8. As part of this appraisal, information was gathered and analyzed to form opinion(s) that pertain solely to one or more explicitly identified effective value dates. The effective value date is the only point in time that the value applies. Information about the subject property, neighborhood, comparables, or other topics discussed in this report was obtained from sensible sources. In accordance with the extent of research disclosed in the Scope of Work section, all information cited herein was examined for accuracy, is believed to be reliable, and is assumed reasonably accurate. However, no guaranties or warranties are made for this information. No liability or responsibility is assumed for any inaccuracy which is outside the control of the Appraiser, beyond the scope of work, or outside reasonable due diligence of the Appraiser. 9. Real estate values are affected by many changing factors. Therefore, any value opinion expressed herein is considered credible only on the effective value date. Every day that passes thereafter, the degree of credibility wanes as the subject changes physically, the economy changes, or market conditions change. The Appraiser reserves the right to amend these analyses and/or value opinion(s) contained within this appraisal report if erroneous, or more factual-information is subsequently discovered. No guarantee is made for the accuracy of estimates or opinions furnished by others, and relied upon in this report. 10. In the case of limited partnerships, syndication offerings, or stock offerings in the real estate, the client agrees that in case of lawsuit (brought by the lender, partner, or part owner in any form of ownership, tenant, or any other party), the client will hold Nelsen Appraisal Associates, Inc., its officers, contractors, employees and associate appraisers completely harmless. Acceptance of, and/or use of this report by the client, or any third party is prima facie evidence that the user understands and agrees to all these conditions. 11. For appraisals of multiunit residential, only a portion of all dwellings was observed. A typical ratio of observed dwellings roughly approximates 10% of the total number of units, and this ratio declines as the number of dwellings grows. It is assumed the functionality, physical condition, construction quality, and interior finish of unseen units are similar to the functionality, physical condition, construction quality, and interior finish of observed units. If unobserved dwellings significantly differ from those that were viewed in functionality, physical condition, quality, or finish, the Appraiser reserves the right to amend theses analysis and/or value opinion(s). 12. If the appraised property consists of a physical portion of a larger parcel is subject to the following limitations. The value opinion for the property appraised pertains only to that portion defined as the subject property. This value opinion should not be construed as applying with equal validity to other complementary portions of the same parcel. The value opinion for the physical portion appraised + the value of all other complementary physical portions may or may not equal the value of the whole parcel. 201810-33 Nelsen Appraisal Associates, Inc. Page 16 Contingent and Limiting Conditions 13. Unless specifically stated otherwise herein, the Appraiser is unaware of any engineering study made to determine the bearing capacity of the subject land, or nearby lands. Improvements in the vicinity, if any, appear to be structurally sound. It is assumed soil and subsoil conditions are stable and free from features that cause supernormal costs to arise. It is also assumed existing soil conditions of the subject land have proper load bearing qualities to support the existing improvements, or proposed improvements appropriate for the site. No investigations for potential seismic hazards were made. This appraisal assumes there are no conditions of the site, subsoil, or structures, whether latent, patent, or concealed that would render the subject property less valuable. Unless specifically stated otherwise in this document, no earthquake compliance report, engineering report, flood zone analysis, hazardous substance determination, or analysis of these unfavorable attributes was made, or ordered in conjunction with this appraisal report. The client is strongly urged to retain experts in these fields, if so desired. 14. If this report involves an appraisal that values an interest, which is less than the whole fee simple estate, then the following disclosure applies. The value for any fractional interest appraised + the value of all other complementary fractional interests may or may not equal the value of the entire fee simple estate. 15. If this appraisal values the subject as though construction, repairs, alterations, remodeling, renovation, or rehabilitation will be completed in the future, then it is assumed such work will be completed in a timely fashion, using non-defective materials, and proper workmanship. All previously completed work is assumed completed in substantial conformance with plans, specifications, descriptions, or attachments made or referred to herein. It is also assumed all planned, in-progress, or recently completed construction complies with the zoning ordinance, and all applicable building codes. A prospective value opinion has an effective value date that is beyond or in the future relative to this report's preparation date. If this appraisal includes a prospective valuation, it is understood and agreed the Appraiser is not responsible for an unfavorable value effect caused by unforeseeable events that occur before completion of the project. 16. This valuation may or may not include an observation of the appraised property by an Appraiser. The extent of any observation is disclosed in the Scope of Work section of this report. Any observation by an Appraiser is not a professional property inspection. Viewing of the subject was limited to components that were not concealed, clearly observable, and readily accessible without a ladder on the property observation date. As used herein, readily accessible means within the Appraiser's normal reach without the movement of any man made or natural object. Comments or descriptions about physical condition of the improvements are based solely on a superficial visual observation. These comments are intended to familiarize the reader with the property in a very general fashion. 201810-33 Nelsen Appraisal Associates, Inc. Page 17 Contingent and Limiting Conditions 17. Electric, heating, cooling, plumbing, water supply, sewer or septic, mechanical equipment, and other property systems were not tested. No determination was made regarding the operability, capacity, or remaining physical life of any component in, on, or under the real estate appraised. All building components are assumed adequate and in good working order unless stated otherwise. Private water wells and private septic systems are assumed sufficient to comply with federal, state, or local health safety standards. No liability is assumed for the soundness of structural members since structural elements were not tested or studied to determine their structural integrity. The roof cover for all structures is assumed water tight unless otherwise noted. This document is not an inspection, engineering or architectural report. If the client has any concern regarding structural, mechanical, or protective components of the improvements, or the adequacy or quality of sewer, water or other utilities, the client should hire an expert in the appropriate discipline before relying upon this report. No warranties or guarantees of any kind are expressed or implied regarding the current or future physical condition or operability of any property component. 18. The allocation of value between the subject's land and improvements, if any, represents our judgment only under the existing use of the property. A re-evaluation should be made if the improvements are removed, substantially altered, or the land is utilized for another purpose. 19. The Client and all intended users agree to all the following. (A) This appraisal does not serve as a warranty on the physical condition or operability of the property appraised. (B) All users of this report should take all necessary precautions before making any significant financial commitments to or for the subject. (C) Any estimate for repair or alternations is a non-warranted opinion of the Appraiser. 20. No liability is assumed for matters of legal nature that affect the value of the subject property. Unless a clear statement to the contrary is made in this report, value opinion(s) formed herein are predicated upon the following assumptions. (A) The real property is appraised as though, and assumed free from all value impairments including yet not limited to title defects, liens, encumbrances, title claims, boundary discrepancies, encroachments, adverse easements, environmental hazards, pest infestation, leases, and atypical physical deficiencies. (B) All real estate taxes and assessments, of any type, are assumed fully paid. (C) It is assumed ownership of the property appraised is lawful. (D) It is also assumed the subject property is operated under competent and prudent management. (E) The subject property was appraised as though, and assumed free of indebtedness. (F) The subject real estate is assumed fully compliant with all applicable federal, state, and local environmental regulations and laws. (G) The subject is assumed fully compliant with all applicable zoning ordinances, building codes, use regulations, and restrictions of all types. (H) All licenses, consents, permits, or other documentation required by any relevant legislative or governmental authority, private entity, or organization have been obtained, or can be easily be obtained or renewed for a nominal fee. 201810-33 Nelsen Appraisal Associates, Inc. Page 18 Contingent and Limiting Conditions 21. Any exhibits in the report are intended to assist the reader in visualizing the subject property and its surroundings. The drawings are not surveys unless specifically identified as such. No responsibility is assumed for cartographic accuracy. Drawings are not intended to be exact in size, scale, or detail. 22. Value opinions involve only real estate, and inconsequential personal property. Unless explicitly stated otherwise, value conclusions do not include personal property, unaffixed equipment, trade fixtures, business-good will, chattel, or franchise items of material worth. 23. Conversion of the subject's income into a market value opinion is based upon typical financing terms that were readily available from a disinterested, third party lender on this report’s effective date. Atypical financing terms and conditions do not influence market value, but may affect investment value. 24. All information and comments concerning the location, market area, trends, construction quality, construction costs, value loss, physical condition, rents, or any other data for the subject represent estimates and opinions of the Appraiser. Expenses shown in the Income Approach, if used, are only estimates. They are based on past operating history, if available, and are stabilized as generally typical over a reasonable ownership period. 25. This appraisal was prepared by Nelsen Appraisal Associates, Inc. and consists of trade secrets and commercial or financial information, which is privileged, confidential, and exempt from disclosure under 5 U.S.C. 522 (b) (4). 26. The Appraiser is not required to give testimony or produce documents because of having prepared this report unless arrangements are agreed to in advance. If the Appraiser is subpoenaed pursuant to court order or required to produce documents by judicial command, the client agrees to compensate the Appraiser for his appearance time, preparation time, travel time, and document preparation time at the regular hourly rate then in effect plus expenses and attorney fees. In the event the real property appraised is, or becomes the subject of litigation, a condemnation, or other legal proceeding, it is assumed the Appraiser will be given reasonable advanced notice, and reasonable additional time for court preparation. 27. Effective January 26, 1992, the Americans with Disabilities Act (ADA) - a national law, affects all non-residential real estate or the portion of any property, which is non-residential. The Appraiser has not observed the subject property to determine whether the subject conforms to the requirements of the ADA. It is possible a compliance survey, together with a detailed analysis of ADA requirements, could reveal the subject is not fully compliant. If such a determination was made, the subject's value may or may not be adversely affected. Since the Appraiser has no direct evidence, or knowledge pertaining to the subject's compliance or lack of compliance, this appraisal does not consider possible noncompliance or its effect on the subject's value. 201810-33 Nelsen Appraisal Associates, Inc. Page 19 Contingent and Limiting Conditions 28. Nelsen Appraisal Associates, Inc. and the Appraiser have no expertise in the field of insect, termite, or pest infestation. We are not qualified to detect the presence of these or any other unfavorable infestation. The Appraiser has no knowledge of the existence of any infestation on, under, above, or within the subject real estate. No overt evidence of infestation is apparent to the untrained eye. However, we have not specifically inspected or tested the subject property to determine the presence of any infestation. No effort was made to dismantle or probe the structure. No effort was exerted to observe enclosed, encased, or otherwise concealed evidence of infestation. The presence of any infestation would likely diminish the property's value. All value opinions in this communication assume there is no infestation of any type affecting the subject real estate or the Appraiser is not responsible for any infestation or for any expertise required to discover any infestation. Our client is urged to retain an expert in this field, if desired. 29. All opinions are those of the signatory Appraiser based on the information in this report. No responsibility is assumed by the Appraiser for changes in market conditions, or for the inability of the client, or any other party to achieve their desired results based upon the appraised value. Some of the assumptions or projections made herein can vary depending upon evolving events. We realize some assumptions may never occur and unexpected events or circumstances may occur. Therefore, actual results achieved during the projection period may differ from those set forth in this report. Compensation for appraisal services is dependent solely on the delivery of this report, and no other event or occurrence 30. No warrantees are made by the Appraiser concerning the property's conformance with any applicable government code or property covenant including but not limited to all laws, ordinances, regulations, agreements, declarations, easements, condominium regulations, restrictions, either recorded or unrecorded. The client is urged to engage the services of a licensed attorney to confirm any legal issue affecting the property appraised. No liability or responsibility is assumed by the Appraiser to determine the cost of replacing or curing any supposedly defective physical component. 31. In the event of an alleged claim due to some defective physical component, the client must notify Nelsen Appraisal Associates, Inc. and allow its representatives and experts to examine and test the alleged defective component before any repairs or modifications are made. If any type of repair or modification is made without the knowledge of the Appraisers, the Appraiser is released from all liability, real or alleged. 32. The client and all explicitly identified intended users agree to notify in writing Nelsen Appraisal Associates, Inc., within one year of this report's preparation date, of any claim relating to or arising from this report regardless of any statute of limitations. If Nelsen Appraisal Associates, Inc. does not receive this written notification within the year period defined in the paragraph, then the claimant releases the Appraiser from all claims arising from or related to this report. 201810-33 Nelsen Appraisal Associates, Inc. Page 20 Contingent and Limiting Conditions 33. The client and all explicitly identified intended users acknowledge that any claim relating to this report shall be settled in accordance with the commercial arbitration rules of the American Arbitration Association with the Parties each paying an equal share of all associated costs. 34. Any alleged claim must be filed in the Circuit Court for the County that encompasses most of or all of Urbandale, Iowa 50322 where the Appraiser's business office is located. If a court of law voids any portion of these Contingent and Limiting Conditions, then the remainder remains in full force and effect. The claimants(s) agree not to contest the venue set forth herein and to submit to, and not contest, the exercise of personal jurisdiction over them by the foregoing court. The claimant(s) waive all rights concerning the exercise of personal jurisdiction of them by the foregoing courts and all claims of or concerning forum non-conveniences in the foregoing forum. 35. Superseding all comments to the contrary regardless of date, this report may not be transferred or assigned without the prior written consent of Nelsen Appraisal Associates, Inc.. 36. No part of this report shall be published or disseminated to the public by the use of advertising media, public relations media, news media, sales media, electronic devices, or other media without the prior written consent of Nelsen Appraisal Associates, Inc.. This restriction applies particularly as to analyses, opinions, and conclusions; the identity of the Appraiser; and any reference to the Appraisal Institute or its MAI, SRPA, or SRA designations. Furthermore, no part of this report may be reproduced or incorporated into any information retrieval system without written permission from Nelsen Appraisal Associates, Inc., the copyright holder. 201810-33 Nelsen Appraisal Associates, Inc. Page 21 Disclosures Professional Standards All leading professional appraisal organizations, the U.S. Congress, all state legislatures, and numerous legal jurisdictions recognize the Uniform Standards of Professional Appraisal Practice (USPAP), promulgated by the Appraisal Foundation. Revised biennially to keep it contemporary, these standards set forth ethical practices and proper procedures for a competent appraisal. This appraisal fully complies with all relevant portions of the USPAP version in effect on the date this report was prepared. It also complies with the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA), a federal law. Competency The persons signing this report are licensed to appraise real property in the state the subject is located. They affirm they have the experience, knowledge, and education to value this type property. They have previously appraised similar real estate. 201810-33 Nelsen Appraisal Associates, Inc. Page 22 Area Data Regional Map 201810-33 Nelsen Appraisal Associates, Inc. Page 23 Vicinity Map 201810-33 Nelsen Appraisal Associates, Inc. Page 24 Proximity Map 201810-33 Nelsen Appraisal Associates, Inc. Page 25 Proximity Features {excluding extremes} 201810-33 Nelsen Appraisal Associates, Inc. Page 26 Nearby Land Uses Aerial Photo – Nearby Land Uses 201810-33 Nelsen Appraisal Associates, Inc. Page 27 Regional Data Ames is the largest city in Story County. The population is greatly impacted by Iowa State University, one of three public universities in the State. The county seat is located in Nevada. Population The Ames area had a recorded population of 58,973 people in 2010. The projected population in 2022 is 67,519 indicating projected growth of 14.49% or 1.21% per annum. Households and families also show positive growth during the same time period with 0.94% to 0.76% growth per year, respectively. The following graph projects trends amongst the preceding categories over the next five years. While population growth is positive for Ames, its growth will lag National numbers, but will slightly outpace State numbers. Household growth in Ames will outpace both State and National numbers. The growth of families will outpace State number and essentially mirror National growth rates. Iowa State University greatly impacts the population in the City of Ames. The following graph displays the population distribution by age. Over 25% of the population is between 20 and 24 years old. The age distribution is projected to maintain the same pattern over the next five years. 201810-33 Nelsen Appraisal Associates, Inc. Page 28 Regional Data Employment The Ames area has a diversified employment base supported by manufacturing facilities such as Barilla and research facilities associated with Iowa State University. The following tables display percentage of civilian population that is employed and the distribution of employment by industry. 2017 Civilian Population 16+ in Labor Force Civilian Employed 95.6% Civilian Unemployed 4.5% Income Profile The following graphs display the distribution of households based on income in 2017. Household income is fairly evenly distributed with the exception of households earning $150,000+ per year. Concentrations between $15,000 and $100,000-$150,000 per year range from 7.9% to 17.3%. 201810-33 Nelsen Appraisal Associates, Inc. Page 29 Regional Data The following table displays the estimated and projected per capita income in Ames. Per capita income increased 7.08% from 2010 to 2017. Average household income is projected to increase by roughly 12.05% or roughly 2.41% per annum over the next five years. Per Capita Income 2000 $24,271 2017 $25,989 2022 $29,137 Housing The following table displays the median home value from 2000 to 2010 and the projected median home value in 2015. The median home value increased over 22% over the past ten years or roughly 2% per annum. The median home value is projected to maintain the same rate of increase over the next five years. Median Home Value Year Median Value % Change 2010 $161,494 2017 $192,623 19.28% 2022 $216,298 12.29% Median household income is also showing positive growth, but at a significantly slower rate compared to median home values. Median Household Income Year Median Income % Change 2010 $48,245 2017 $49,762 3.14% 2022 $53,429 7.37% The following table displays the number of housing units per year and the distribution of housing based on occupancy. Renter occupied housing made up over 50% of total housing units over the last ten years. Vacancy rates have remained relatively stable over the last 10 years and are projected to remain stable. 201810-33 Nelsen Appraisal Associates, Inc. Page 30 Regional Data Summary The Ames area has experienced stable rates of growth in population, families, and households. Median income and housing values have increased, but the pace of growth has been highest in housing values. The Ames area is projected to outpace state rates of growth in population, households, and families, but will lag national levels of growth in population. The area will outpace national levels regarding the growth in number of households and will essentially keep pace with national levels for number of families. Moderate growth has been effectively absorbed by the market as indicated by projected stability in housing vacancy. Appraisers also consulted the Iowa Finance Authority’s profile for the City of Ames with reference to the single family residential and multiple-family residential markets. Showing continuing growth in demand and low vacancy rates in both of these commercial real estate markets. Economic conditions are anticipated to remain stable in line with various measures of change such as median per capita and household income and population growth. 201810-33 Nelsen Appraisal Associates, Inc. Page 31 Subject Property Identification of the Property This real estate appraised is situated on the east side of South Riverside Drive in the southwest quadrant of Highway 30 and Highway 69 in the City of Ames, Story County, Iowa. Its common address is 3100 South Riverside Drive, Ames, Story County, Iowa 50010. Legal Description A professional surveyor and / or legal counsel should verify the following legal description before relying upon, or using it as part of any conveyance, or any other document. This legal description was obtained from public records and is assumed accurate. 201810-33 Nelsen Appraisal Associates, Inc. Page 32 Ariel Plat Map with Dimensions 201810-33 Nelsen Appraisal Associates, Inc. Page 33 Site Plan (Excerpt From Lease) 201810-33 Nelsen Appraisal Associates, Inc. Page 34 Plat of Leased Area With Potential Expansion Tracts (Excerpt From Lease) – Subject is outlined in blue and designated with a red arrow 201810-33 Nelsen Appraisal Associates, Inc. Page 35 Building Sketch 201810-33 Nelsen Appraisal Associates, Inc. Page 36 Building Sketch With Elevations (Excerpt from Lease) 201810-33 Nelsen Appraisal Associates, Inc. Page 37 Photographs of Subject (photo page 1) 201810-33 Nelsen Appraisal Associates, Inc. Page 38 Photographs of Subject (photo page 2) 201810-33 Nelsen Appraisal Associates, Inc. Page 39 Photographs of Subject (photo page 1) 201810-33 Nelsen Appraisal Associates, Inc. Page 40 Photographs of Subject (photo page 2) 201810-33 Nelsen Appraisal Associates, Inc. Page 41 Photographs of Subject (photo page 2) 201810-33 Nelsen Appraisal Associates, Inc. Page 42 Photographs of Subject (photo page 1) 201810-33 Nelsen Appraisal Associates, Inc. Page 43 Photographs of Subject (photo page 2) 201810-33 Nelsen Appraisal Associates, Inc. Page 44 Photographs of Subject (photo page 1) 201810-33 Nelsen Appraisal Associates, Inc. Page 45 Photographs of Subject (photo page 2) 201810-33 Nelsen Appraisal Associates, Inc. Page 46 Photographs of Subject (photo page 1) 201810-33 Nelsen Appraisal Associates, Inc. Page 47 Sale History On-line public records and / or a private data-reporting service were used to search for prior sales of the subject real estate. This research discovered no recorded conveyance of the subject during the three-years preceding this report's effective value date. Moreover, the subject was not yet offered "For Sale" in the local MLS or other major data-reporting services during this same period. Currently, the ground lessor, City of Ames, is considering selling their leased fee interest in the land to the building owner. The potential purchase price was not disclosed to the appraisers. This report will provide an estimated sale price for the transaction. Subject’s Current Ownership Leased Fee Owner Information Source Flood Hazard According to the appropriate Federal Emergency Management Agency (FEMA) flood map, which is identified below, the subject property is not located in a zone "A" special flood hazard. Flood Maps published by FEMA are not precise. If anyone desires a precise determination of the subject's flood hazard classification, a professional engineer, licensed surveyor, or local governmental authority should make an exact determination. 201810-33 Nelsen Appraisal Associates, Inc. Page 48 Flood Map 201810-33 Nelsen Appraisal Associates, Inc. Page 49 Environmental Risks Disclosure During the course of this appraisal, the appraiser(s) did not detect or attempt to discover any environmental hazard on, under, above, or within the subject real estate. No overt evidence of any environmental hazard is apparent to the untrained eye. It should be known the appraiser(s) did not view the subject property with the intent of detecting any environmental hazard. It is beyond the expertise of the appraiser(s) to detect or determine the chemical nature of any substance or gas. No effort was made to dismantle or probe any part of the property to discover enclosed, encased, or concealed hazards. No effort was exerted to ascertain the presence of any environmental hazard including but not limited to the following. Asbestos Urea-formaldehyde insulation Underground storage tanks Soil contamination or deficiencies Lead-based paint Toxic mold Radon PCB Chemical spills Fire resistant treated plywood (FRTP) Flood hazards are detailed elsewhere in this report. Except as enumerated herein, the appraiser(s) were not given the results of any environmental testing on or near the property being appraised. Neither observation of the subject property, or research conducted as part of a typical real estate appraisal suggest the presence of any hazardous substance or detrimental environmental condition affecting the subject. Nearby sites were not investigated to determine whether they are contaminated. Public information and other Internet sources were not researched to determine the presence of hazardous substances or detrimental environmental conditions in the subject's vicinity. Federal, State, and local laws concerning any hazardous substance or gas are sometimes contradictory. Therefore, any needed clean up should comply with the most stringent laws. The appraiser(s) are not informed or trained in environmental legalities. It is assumed no hazardous substance or gas adversely affects the subject real estate. If the subject is adversely influenced by a hazardous condition, then the subject's market value would be impaired. Recommendation The presence of any hazardous condition usually diminishes market value. The value opinion formed in this report assumes there is no environmental hazard affecting the subject real estate. No responsibility is assumed by the appraiser(s) or Nelsen Appraisal Associates, Inc. for any hazard, or for any expertise required to discover any environmentally hazardous condition. Our client is urged to retain an expert in this field, if desired. 201810-33 Nelsen Appraisal Associates, Inc. Page 50 Subject Site Address Dimensions Size Easements Alley Encroachments Access Shape Street Paving Curbs & Gutters Sidewalks Topography Gas & Electricity Water & Sewer Overall Features Description of Existing Improvements Subject Unit(s) Foundation Predominant Exterior Materials Predominant Interior Materials **As stated in the noteworthy section of this report, the subject includes a 15,120 square foot hangar building that sits adjacent to the manufacturing building. The hangar building is heated with infrared ceiling-mounted units and contains restrooms. The building is currently used as a storage facility by a third party user. 201810-33 Nelsen Appraisal Associates, Inc. Page 51 Description of Existing Improvements Restrooms HVAC Electrical System Protections On-Site Parking Ceiling Clearance Loading Landscaping Needed Major Repair Recent Replacements Atypical Aspects Functionality Overall Features Effective Age & Life Estimates As Of This Report’s Effective Date Actual Age Effective Age Remaining Economic Life Total Economic Life 201810-33 Nelsen Appraisal Associates, Inc. Page 52 Real Estate Taxes The Iowa property tax is primarily a tax on "real property," which is mostly land, buildings, structures, and other improvements that are constructed on or in the land, attached to the land, or placed upon a foundation. Residential, commercial and industrial real estate is assessed at 100% of market value. State law requires that all real property be assessed every two years in odd-numbered years. County Parcel ID # Tax Year 2018 Assessed Value Total Tax Dollars Mill Levy [2014/15] Taxes are calculated by the County Auditor for fiscal years, July 1 through June 30 using the previous year’s assessment. Property taxes are payable to the County Treasurer in two installments. The first half is delinquent October 1; the second half payment is delinquent April 1. Taxes payable in September, 2018 and March, 2019 will be based on the 2017 assessed value. A structure constructed during 2018 will be first assessed on January 1, 2019. 201810-33 Nelsen Appraisal Associates, Inc. Page 53 Zoning The subject property is zoned "PI" Planned Industrial District by the City of Ames – Story County, Iowa. As now constituted and used, the subject complies with all aspects of the zoning ordinance. Therefore, the subject real estate is considered a legal, conforming usage. Zoning Map 201810-33 Nelsen Appraisal Associates, Inc. Page 54 Analyses & Conclusions Value Introduction For real estate that is predominantly unimproved vacant land, there are six valuation methods. The most frequently used sales comparison approach is employed in this report. 201810-33 Nelsen Appraisal Associates, Inc. Page 55 Highest and Best Use Introduction A highest and best use identifies the most reasonably probable and appropriately supported use of the property appraised. Since market conditions change, a property's highest and best use may change as well. This analysis is an essential step in the determination of market value. Market dynamics determines a property's use and an appraisal values that use. Practically speaking, a highest and best use analysis forms a framework for the proper selection of comparables. There are two types of highest and best use. The first is highest and best use of land as though vacant. If a building already exists, the second variety is highest and best use as though now improved. The later considers whether the existing building should be retained as is, demolished, remodeled, renovated, repaired, enlarged, or converted to an alternate use. Both types require separate analyses. Current usage may or may not be different from the near future highest and best use. There are four main tests in a highest and best use analysis, which are summarized below. Legal permissibility - governmental requirements and limitations like zoning are considered as well as other legal issues like deed restrictions, easements, and leases. Physical attributes like size, design, and physical condition are weighed Financial feasibility is ascertained via either an implied or calculated method Maximum productivity is determined If more than one use survives the first three tests, the use that produces the highest, appropriately supported, positive value with the least risk is the highest and best use. Highest and best use demand analyses can be categorized into two different levels of detail - Inferred and Fundamental. A fundamental analysis forecasts future demand from projections of broad demographic and economic data like population, income, and employment. Existing supply is inventoried. Then, the relationship of supply and demand is weighed to determine net demand. If net demand is positive, more of that property type is needed. Of course, the opposite is also true. An inferred analysis is based on local trends and patterns from which inferences are made. This type analysis presumes that recent past trends will continue for the near future. Sale prices, number of competitive listings, marketing intervals, and / or price changes for other similar properties infer there is adequate demand for the subject at a price level congruous with the available data. An inferred analysis emphasizes historical data while a fundamental analysis is based on expected future occurrences. There are two types of highest and best use - “as though now vacant” and “as though now improved”. The former presumes the land is vacant and available for development. The latter considers whether the building should be retained as is, renovated, remodeled, repaired, enlarged, demolished, or converted to an alternate use. 201810-33 Nelsen Appraisal Associates, Inc. Page 56 Highest and Best Use Buyer Types The most likely buyer type is crucial to highest and best use. Different buyer types have different motivations and different perceptions of risk. The buyer type must be identified to better understand applicable approaches and the selection of cap rates and yield rates. Different buyer types are defined below. Ideal Improvement Identification of the "ideal improvement" is an essential element of highest and best use. If the property appraised is vacant land, the ideal describes what should be built. If the existing improvements (one or more buildings and site improvements) have the same or similar attributes as the ideal, then the existing improvements have no or minimal depreciation. Obviously, the opposite also applies. The described ideal improvement is as specific as market data will allow. This improvement is a new industrial building. This appraisal's highest and best use was based, in part, on an inferred demand analysis. Following below are summary considerations used to form two highest and best use deteminations for the property appraised. Zoning permits general industrial uses or related accessory uses. Nearby lands to the west are compatibly zoned. Nearby lands to the east are zoned for Government/Airport District uses. There are no known deed restrictions, leases, or other legal issues, which preclude or delay the highest and best use. There is no substantial potential for rezoning to a significantly different use. Physical attributes of the property appraised are well suited to serve the use identified below. Usage of the property in this fashion produces a positive reward with acceptable risk. 201810-33 Nelsen Appraisal Associates, Inc. Page 57 Highest and Best Use Timing of Use A crucial component of a highest and best use is timing. If the timing of a use is not now, when is it? When timing for a specific use cannot be identified, then that use is not the best. If the highest use is not within a decade, then the time-value of money usually precludes that use. When the timing of a use is within a few years, what is the interim use? Remaining dormant is a legitimate interim use. Most Likely User The most likely user is another key issue. Users of an age-restricted multiunit residential structure have needs and preferences that are much different from young married couples with small children. These preferences and needs affect value, so the most likely user should be identified to judge the extent that existing or proposed improvements fulfill those needs. Highest & Best As Though Now Vacant Land Highest & Best As Though Now Improved There is little doubt that the subject land “as though now vacant” has a market value that is less than the worth of the land and building together. This proves the improvements positively contribute to value. These improvements were designed to serve its current use; they are compatible with nearby uses. Therefore, the improvements should be retained and used "as is". In light of the foregoing highest and best use determinations, comparables were selected with the same or similar highest and best use. This data is very influential while forming a value opinion for the property appraised. 201810-33 Nelsen Appraisal Associates, Inc. Page 58 Leased Fee Estate Value “As Is” Cost Approach The cost approach is generally regarded as an applicable valuation method for a real property interest like that being appraised. For the subject, this procedure was judged not applicable. Sales Comparison Approach Introduction In an appraisal, the real estate being appraised is referred to as the “subject” or “subject property”. Properties possessing characteristics that are physically and locationally similar to the subject are called “comparables" or “comparable sales”. In this approach, comparables are compared to the subject. Differences are noted. Dissimilarities between the subject and the comparables are categorized into elements of comparison. Adjustments, to compensate for dissimilarities, are next applied the sale prices of the comparable sales. Then, a value opinion for the subject is reconciled from the range in adjusted sale prices established by the comparables. Unless stated otherwise, all cited transactions are "arm's length" conveyances. An “arm’s length” transaction is an agreement between unrelated parties with typical motivations in a competitive market. For the subject, this approach was not performed since this is an appraisal of a series of cash flows and is not based on improved real estate. Therefore, we have not sought out comparables of improved properties for a sales comparison approach analysis. This approach was judged unnecessary to produce credible results. 201810-33 Nelsen Appraisal Associates, Inc. Page 59 Inome Approach Introduction The income approach is based on the premise that value is directly related to income. That is, the greater the income, the greater the value. Capitalization is the process of converting income into a capital sum. Often this is accomplished with direct capitalization where a single year’s net income is translated into a value indication via an overall cap rate. The cap rate is a reflection of risk - the greater the risk, the greater the rate. Implicit within the rate are all investor expectations about all investment aspects including income generation, value growth, taxation, and general market risk. Lease Synopsis – Ground Lease A ground lease currently burdens the subject. The ground lease expires in 2047 and currently has annual lease payments of approximately $55,245.75. A summary of the terms of the ground lease is as follows: Ground Lease may per acreth th mandatory **Renewal options occur automatically with no notice required by ground lessee. Total lease term not to exceed 50 years including both the original 10-year term and all 8 renewal options. 201810-33 Nelsen Appraisal Associates, Inc. Page 60 The rent schedule taken from the Ground Lease is as follows (as noted, the rent is on a per acre basis): 201810-33 Nelsen Appraisal Associates, Inc. Page 61 Income Approach Discounted Cash Flow Analysis For our analysis, we have completed a discounted cash flow due to the fact that the ground lease has a long- term lease with 29 years remaining. According to the lease, the initial lease term was 10 years and there are 8 automatic 5-year renewal options that do not require the tenant to give notice. Therefore, the entire lease term, including the initial 10-year term plus the 8, 5-year renewal options, is 50 years maximum, but 29 years are currently remaining on the lease. The City of Ames, ground lessor, has indicated that they are looking to sell their leased fee interest in the land. A discounted cash flow will allow us to analyze the long-term ground lease and the impact that future rent increases have on overall value. As indicated above, we considered a period of 29 years. For this analysis, it is also necessary to calculate the total value of the land and building at the end of 29 years to establish a reversion value. The building’s value was estimated by considering industrial manufacturing building sales for buildings that were similarly aged as the subject will be at the end of the ground lease in 29 years, the subject’s building will be 49 years old. We searched for sales within the subject’s submarket. However, we found limited results. Therefore, we then searched for sales of heavy industrial/manufacturing buildings throughout the State of Iowa. In order to provide a more suitable number of comparables, it was necessary for us to also include sales of light industrial and warehouse buildings. The following sales throughout the state of Iowa were considered: Address Sale Date County and Book/Page Property Type Building Age and Approximate Effective Age Building Size Sale Price/SF 3001 McKinley Ave, Des Moines 05/15/2014 Polk 15191/669 Heavy Industrial (Concrete Block/Tile) 1973/2012 (30 years effective) 107,666 $18.58 2100 Delaware Ave, Des Moines 03/30/2016 Polk 15944/756 Warehouse (Concrete Block/Tile) 1956/1996 (43 year effective) 88,188 $18.14 2425 Hubbell Ave, Des Moines 03/29/2016 Polk 15944/694 Heavy Industrial (Concrete Block/Tile) 1954/1987 (35 years effective) 130,078 $17.03 2245 Dean Ave, Des Moines 03/01/2018 Polk 16833/397** Warehouse (Concrete Block/Tile) 1953/1992 (40 years effective) 63,926 $23.31 500 57th Street, Marion 02/13/2014 Linn 8906/041 Light Manufacturing (Metal) 1976/1989/2014 (30 years effective) 107,960 $24.08 2188 Highway 86, Milford 08/01/2017 Dickinson 17-04152 Light Manufacturing (Metal) 1977/2002 (30 years effective) 103,056 $19.41 300 E Locust Street, Carter Lake 10/08/2015 Pottawattamie 2015/13316 Warehouse (Steel) 1989 (25 years effective) 62,500 $26.40 *Landlord to Tenant Detailed information sheets regarding each of the comparables in the above table are located in the Addenda of this report. We put the most emphasis on those sales in larger metro areas like the subject with good access to interstate systems, especially those of similar size with a heavy industrial use. The subject is of concrete tilt-up construction, is 100% heated and cooled throughout, and has a land to building ratio of 4.76:1. The subject’s 101,447 square foot building is owner-occupied. The subject also includes a 15,120 square foot hangar building that currently serves as a storage facility for a third party tenant. The 15,120 square foot building is heated with infrared heating units and includes restrooms. The third party tenant pays $2,600 per month on a gross basis for this space. Therefore, the 15,120 square foot building does contribute to the subject’s value overall. 201810-33 Nelsen Appraisal Associates, Inc. Page 62 Based upon our observation of the subject as of this report’s effective date, the subject appears to be well- maintained and in good condition despite the fact that it is currently 20 years old. For these reasons, we estimate that in 29 years at the end of the ground lease, the subject’s effective age will be 40 years, which means the subject will not have reached the end of its total economic life. We put the most weight on 2100 Delaware Avenue and 2245 Dean Avenue in Des Moines, and 300 E Locust Street, Carter Lake, Iowa based on their overall use, design/quality, and/or overall effective age. However, all of these sales are inferior to the subject based on their construction type of concrete block/tile or steel versus the subject’s concrete tilt-up construction. Therefore, all sales would be adjusted upward for this factor. In addition, 2100 Delaware is inferior in terms of its clear height, land to building ratio, and the fact that its warehouse space is not cooled as well as heated. Furthermore, though 2245 Dean Avenue would be adjusted downward for its smaller size, it is also inferior in regards to its land to building ratio and its warehouse that is only heated and not cooled. Therefore, overall, 2100 Delaware Ave and 2245 Dean Ave would be adjusted upward. While 300 E Locust Street would be adjusted downward for its smaller size and lower effective age, it would receive upward adjustments for its construction type as stated above. It would also receive an upward adjustment for the fact that it was a distressed sale. The upward adjustments would outweigh the downward adjustments so ultimately, the overall adjustments would be upward for this sale. As noted on the sale comparables information sheet in the Addenda of this report for 300 E Locust Street, the property had deferred maintenance when it was sold. However, it would not be uncommon for an aged building to have some sort of deferred maintenance. Therefore, we did not adjust for this factor since it’s possible that several of the sales on the table on the previous page may or may not have had the same situation at their time of sale. Based on our analysis, the subject’s land and building value at the end of the ground lease in 29 years is estimated at $30.00 per square foot, which is $3,497,010 (116,567 x $30.00). However, the subject would likely have some deferred maintenance at such time. In addition, it would be necessary to consider a sales commission. These deductions would result in the following reversion value at the end of 29 years: 201810-33 Nelsen Appraisal Associates, Inc. Page 63 The discounted cash flow below was calculated with a discount rate of 7% and a terminal cap rate of 8.00% to arrive at the contributory value of the building. The reversion value was established as discussed in the previous paragraphs. The calculations are shown below (the first year includes only 7 months remaining until 6/30/2019): Year Cash Flow Per Acre Annual Cash Flow Present Value Factor PV of Cash Flow 1 2,528$ 32,232$ 93.5% 30,123$ 2 4,463$ 56,903$ 87.3% 49,702$ 3 4,597$ 58,612$ 81.6% 47,845$ 4 4,734$ 60,359$ 76.3% 46,047$ 5 4,877$ 62,182$ 71.3% 44,335$ 6 5,023$ 64,043$ 66.6% 42,675$ 7 5,173$ 65,956$ 62.3% 41,074$ 8 5,329$ 67,945$ 58.2% 39,544$ 9 5,489$ 69,985$ 54.4% 38,067$ 10 5,653$ 72,076$ 50.8% 36,640$ 11 5,823$ 74,243$ 47.5% 35,272$ 12 5,997$ 76,462$ 44.4% 33,950$ 13 6,177$ 78,757$ 41.5% 32,681$ 14 6,363$ 81,128$ 38.8% 31,463$ 15 6,554$ 83,564$ 36.2% 30,287$ 16 6,750$ 86,063$ 33.9% 29,152$ 17 6,953$ 88,651$ 31.7% 28,065$ 18 7,161$ 91,303$ 29.6% 27,013$ 19 7,376$ 94,044$ 27.7% 26,004$ 20 7,597$ 96,862$ 25.8% 25,031$ 21 7,825$ 99,769$ 24.2% 24,095$ 22 8,060$ 102,765$ 22.6% 23,195$ 23 8,302$ 105,851$ 21.1% 22,329$ 24 8,551$ 109,025$ 19.7% 21,494$ 25 8,808$ 112,302$ 18.4% 20,692$ 26 9,072$ 115,668$ 17.2% 19,918$ 27 9,344$ 119,136$ 16.1% 19,173$ 28 9,624$ 122,706$ 15.0% 18,455$ 29 9,913$ 126,391$ 14.1% 430,206$ Reversion 8.00%$3,050,682 Final Value 1,314,526$ As Rounded 1,315,000$ Value Indication – Discounted Cash Flow In review, risk associated with physical attributes is normal due to proper maintenance of the building. Existing and future leases are written on an absolute net basis, which lessens risk. For the most part, supply and demand are balanced so market conditions now favor neither the property owner nor tenant. Expectations of near future rental and value growth are average. Overall, risk is deemed moderate. All issues necessary to produce a value indication via this approach have been presented and explained. Indicated Market Value – Discount Cash Flow “As Is” Via Income Approach, say 201810-33 Nelsen Appraisal Associates, Inc. Page 64 Capitalization In the appraisal profession, capitalization is the process of converting income into value. One method extracts a capitalization rate (also called a cap rate) from sales of similar property via the following formula. An extracted rate is then divided into the subject’s net operating income (NOI) resulting in a value indication for the real estate being appraised. Net Operating Income / Sale Price = Cap Rate Implicit within a cap rate are all investor expectations about risk, return, and change. This methodology is simple to use, easy to explain, and directly reflects market behavior. Its simplicity is also a weakness because implicit expectations may not be scrutinized. Mortgage-Equity Technique Real estate is customarily acquired with both debt and equity capital. The mortgage-equity technique recognizes this and constructs an overall capitalization rate (Ro). An overall cap rate can be calculated as a weighted average composed of the mortgage ratio (M), blended with the cost of the debt capital (Rm), plus the equity ratio (E) tempered by the return or rate necessary to attract equity capital (Re). The equity cap rate (Re), shown below, is just a first year cash-on-cash return. Four other major ownership benefits - rental growth, equity growth due to loan repayment, income tax benefits, and value growth all escalate total return. When these other factors are explicitly recognized, total return to equity over the entire ownership period, called equity yield (Ye), is usually much higher than the initial or going-in overall cap rate (Ro). Debt capital is now available for real estate like the subject at a fixed interest rate and level monthly payments for an initial multi-year period. Throughout the level payment period, the interest rate is expected to remain stable. Thereafter, the interest rate and payment are both expected to adjust annually. Individual buyers have different purchasing criteria, so a range of reasonable equity returns and an approximate mid- point are illustrated. Current loan terms and first year demands on equity are shown below. 35% (M) x (Rm) = (M) (Rm)65%x 7.92% = 5.15% (E) x (Re) = (E) (Re)35%x 6.00% = 2.10% Summation = Ro Ro = 7.25% Say Ro = 7.00% => => Reasonable First Year Equity Return (Re) Range First Year Equity => Using the above information, the following mortgage-equity technique constructs an overall cap rate (Ro). 7.92%6.00% Interest Rate Mortgage Ratio (M) 5 to 7 20 Initial Fixed Rate Period (Yrs) Amortization Period (Yrs) Loan Constant (Rm) Return (Re), Say Debt Equity 65% 5.00% Equity Ratio (E) 6% to 8% One component of an overall rate, devised via the mortgage-equity technique, is the first year cash-on-cash equity return shown above. Real estate competes with other investments for equity capital. Hence, it is prudent to consider returns offered by alternate investments. 201810-33 Nelsen Appraisal Associates, Inc. Page 65 Alternative Rates of Return Certificates of Deposit (CDs) are shorter term, safer, and more liquid than real estate. On the opposite hand, CDs do not enjoy income tax benefits like depreciation deductions and potential capital gains treatment. On an overall basis, appropriate yields for real estate, similar to the subject, significantly exceed the CD rates exhibited below. Treasury yields are generally regarded as medium to long-term durations like real estate. They too are less risky and more liquid than real estate but enjoy no income tax benefits. A fitting yield for real estate like the subject significantly exceeds the CD rates displayed below. Economic Indicators Bankrate.com Certificate of Deposit - 3 year APY 2.90% Certificate of Deposit - 5 year APY 3.05% Residential Mortgages - 15 year fixed 4.00% Residential Mortgages - 30 year fixed 4.76% CNN.com Treasury Yields - 3 months N/A Treasury Yields - 5 year 2.90% Treasury Yields - 10 year 3.07% Treasury Yields - 30 year 3.32% Recent Dow Jones Industrial Average 25,339 Interest rates for residential mortgage mortgages are easily accessible so many real estate participants have an acute awareness of them. Yield for real estate are customarily several points above those shown. 201810-33 Nelsen Appraisal Associates, Inc. Page 66 Capitalization Investor Surveys Several notable organizations query active real estate participants to determine their investment criteria presuming an acquisition during the next quarter. Survey respondents are typically pension funds, major real estate advisory firms, insurance companies, large banks, and leading developers. It should be known survey responses are expectations, not historical figure. Moreover, these investors only acquire newer, large scale, institutional-grade real estate. Whether the subject possesses similar risk characteristics is a moot issue. Several organizations publish the results of these surveys. The following table exhibits key figures for several property types as published by Real Estate Research Corporation. This particular survey is of market participants in the Midwest Region. 201810-33 Nelsen Appraisal Associates, Inc. Page 67 Rates of return on alternate investments and historical sales are not the only factors affecting overall cap rates. Expectations of the future are equally important. These expectations include but are not limited to inflation, taxation, governmental policy, environmental concerns, and the general relationship between supply & demand. The overall cap rate displayed below for the subject recognizes several aspects. Reconciliation All salient aspects of the subject property have been presented and discussed. Zoning uses, requirements and limitations were considered. If part of the scope of work, the subject's Highest and Best Use was determined. Appropriate valuation techniques were processed. Applicable approaches produced the following results: Value Indications “As Is” The Income Approach is considered fully applicable for this type and size property in this vicinity. Therefore, our final market value opinion for the subject real estate is: 201810-33 Nelsen Appraisal Associates, Inc. Page 68 Exposure & Marketing Time Terminology abounds in the real estate appraisal profession. Two related but different concepts that are often confused are Exposure Time and Marketing Time. USPAP specifically addresses the confusion. Term Definition Explanation “The estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal". “An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value during the period immediately after the effective date of the appraisal". Marketing time and exposure time are both influenced by price. That is, a prudent buyer could be enticed to acquire the property in less time if the price were less. Hence, the time span cited below coincides with the value opinion(s) formed herein. USPAP Standard rule 1-2(c)(iv) requires an opinion of exposure time, not marketing time, when the purpose of the appraisal is to estimate market value. In the recent past, the volume of competitive properties offered for sale, sale prices, and vacancy rates have fluctuated little. Sale concessions have not been prevalent. In light thereof, an estimated exposure time for the subject is 6 to 10 months assuming competitive pricing and prudent marketing efforts. A marketing time estimate is a forecast of a future occurrence. History should be considered as a guide, but anticipation of future events & market circumstances should be the prime determinant. Overall market conditions are expected to remain essentially stable, so a marketing interval between 6 and 10 months is predicted for the subject. 201810-33 Nelsen Appraisal Associates, Inc. Page 69 Certification The appraisers signing this report make the following certifications to the best of their knowledge and belief. The statements of fact contained in this report are true and correct. Reported analyses, opinions, and conclusions are limited only by the assumptions and limiting conditions contained within this report, and are the appraisers' personal, impartial, and unbiased professional analyses, opinions, and conclusions. The appraisers have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. The appraisers have no bias with respect to the property that is the subject of this report, or to the parties involved with this assignment. This engagement is not contingent upon developing or reporting predetermined results. Compensation paid to the appraisers is not contingent upon the development or reporting of a predetermined value, or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of the appraisal. Reported analyses, opinions, and conclusions were developed, and this report was prepared in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP) A statement regarding observation of the subject property by each appraiser is listed below. None of the appraisers is a professional property inspector. Furthermore, none of the appraisers has formal training in the use of tools or instruments as part of a professional property inspection. Observation by one or more of the appraisers was limited to just those physical features and attributes that are not hidden or obscure in any fashion by any object or weather condition. None of the appraisers used any tools or instruments, beyond those typically used by appraisers, to probe, study, investigate, detect, or discover any physical feature or attribute that was not clearly visible on the date the property was observed. Appraisers Observations No one provided significant real property appraisal assistance to the appraiser(s) signing this certification. The appraisers have performed services, as an appraiser or in another capacity, regarding the property that is the subject of this report during the three-year period immediately preceding acceptance of this assignment. 201810-33 Nelsen Appraisal Associates, Inc. Page 70 Certification Use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. As of the date of this report, Gene Nelsen has completed the continuing education program of the Appraisal Institute. As of the date of this report, Jennifer O’Tool has completed the Standards & Ethics education program of the Appraisal Institute for Associate Members. 201810-33 Nelsen Appraisal Associates, Inc. Page 71 Sales Comparables **The building is of concrete block/tile construction, was not sprinklered, had a clear height of 16.5’, and a land to building ratio of 4.056:1. It is zoned for heavy industrial use. This sale did not include an deferred maintenance and it was an owner/user sale. 201810-33 Nelsen Appraisal Associates, Inc. Page 72 Property Identification Property Type Address Tax ID Sale Data Grantor Grantee Sale Date Deed Book/Page Conditions of Sale Verification Sale Price Cash Equivalent Land Data Land Size Zoning General Physical Data Gross Area SF Finished Area SF Year Built Exterior Walls Indicators Sale Price/Gross Area SF Land to Building Ratio Remarks This single-parcel transfer was conveyed via a Warranty Deed and is an arm’s length transaction. Warehouse is heated, but not cooled. Clear height is 16’ and the building has a wet sprinkler system. 201810-33 Nelsen Appraisal Associates, Inc. Page 73 Property Identification Property Type Heavy Industrial Address 2425 Hubbell Ave, Des Moines, Polk County, Iowa 50317 Tax ID 060/06307-001-001, 060/00166-000-000, 060/00167-000 000, 060/00168-000-000, 060/06299-000-000, 060/06300-001-000, 060/07801-000-000, 060/07802-000-000 Sale Data Grantor Marel, Inc. Grantee 2425 Hubbell Ave Inc. Sale Date March 29, 2016 Deed Book/Page 15944-694 Conditions of Sale Arm’s Length Verification Polk County Assessor Sale Price $2,215,000 Cash Equivalent $2,215,000 Land Data Land Size 7.567 Acres or 329,640 SF Zoning PUD, Planned Unit Development General Physical Data Gross Area SF 130,078 Finished Area SF 55,007 Year Built Exterior Walls 1954/1987 Concrete Block/Tile Indicators Sale Price/Gross Area SF $17.03 Land to Building Ratio 2.53:1 Remarks This single-parcel transfer was conveyed via a Warranty Deed and is an arm’s length transaction. The building has a wet sprinkler system, 22’ clear height, and is over 80% heated and cooled. 201810-33 Nelsen Appraisal Associates, Inc. Page 74 Property Identification Property Type Industrial – Warehouse Address 2245 Dean Avenue, Des Moines, Polk County, Iowa 50317 Tax ID 050/04433-001-000 Sale Data Grantor Richard K Hansen Grantee Franzenburg Commercial Real Estate LLC Sale Date March 1, 2018 Deed Book/Page 16833/397 Conditions of Sale Arm’s Length Verification Polk County Assessor Sale Price $1,490,000 Cash Equivalent $1,490,000 Land Data Land Size 1.846 Acres or 80,410 SF Zoning M-1, Light Industrial District General Physical Data Gross Area SF 63,926 Finished Area SF 2,056 Year Built Exterior Walls 1953/1992 Concrete Block/Tile Indicators Sale Price/Gross Area SF $23.31 Land to Building Ratio 1.26:1 Remarks This single-parcel transfer was conveyed via a Warranty Deed and was a sale between landlord and tenant. The building has a dry sprinkler system, 23’ clear height, and the warehouse space is heated, but not cooled. 201810-33 Nelsen Appraisal Associates, Inc. Page 75 **Building has 21’ clear height, is sprinklered, and has a land to building ratio of 8.07:1. The building was sold with deferred maintenance that included a bad roof in need of repairs. Sale type was an owner/user. 201810-33 Nelsen Appraisal Associates, Inc. Page 76 **Building was built in 1977 of metal construction and renovated in 2002. Building is not sprinklered, has 21’-24’ clear height, and a land to building ratio of 4.07:1. Buyer purchased building as an investment. 201810-33 Nelsen Appraisal Associates, Inc. Page 77 **This was a distressed sale. The building had deferred maintenance at the time of the sale. The building is of steel construction, included a wet sprinkler system, 14’-24’ clear height, and 3,000 AMPs of power. The land to building ratio is 3.485:1. Seller owned it as an investment, but buyer was an owner/user. 201810-33 Nelsen Appraisal Associates, Inc. Page 78 Engagement Letter 201810-33 Nelsen Appraisal Associates, Inc. Page 79 201810-33 Nelsen Appraisal Associates, Inc. Page 80 Qualifications Gene F. Nelsen, MAI CCIM President Nelsen Appraisal Associates, Inc. 10580 Justin Drive Urbandale, IA 50322 515-276-0021 Phone 515-276-9303 Fax gene@nelsenappraisal.com Since 1985 Gene has analyzed nearly all real estate types. He is a member of the Appraisal Institute and CCIM Institute and is qualified and experienced in commercial, industrial and residential real estate appraising. His experience includes valuation and consulting for these property types and purposes. Office, Industrial, Retail, and Multi-Family Properties. Senior Assisted/Independent Living and Nursing Facilities. Real estate consulting in valuation, rent analysis, land development and land use evaluation. Eminent Domain valuation. Appraisal review. Expert witness testimony. Education University of Northern Iowa B.A., Science - Environmental Planning, Urban Planning Emphasis Appraisal Institute Designated MAI, 1991 MAI Continuing Education includes the successful completion of courses covering a wide range of appraisal skills and practices. Credit hours earned meet or exceed the Appraisal Institute's requirement of 100 credit hours during each five-year period. CCIM Institute Designated CCIM, 2003 Professional Affiliations MAI Designated Member of Appraisal Institute, 1991 CCIM Designated Member of the CCIM Institute, 2003 President, Appraisal Institute, Iowa Chapter, 1998 Regional Representative Appraisal Institute, Iowa Chapter 1999-2001 Public Relations Chair, Appraisal Institute, Iowa Chapter, 2001-present Chair, University of Northern Iowa Real Estate Education Program Advisory Council – 2004-2005. Currently serving on its Board of Directors. President, CCIM Institute, Iowa Chapter 2010-2011. Board Member since 2004 Iowa Commercial Real Estate Expo, Committee Member since 1996 - Co-Chair 2010 Iowa Commercial Real Estate Association, Board Member Iowa Real Estate Appraiser Examining Board – Board Member 2011-2014 – Chair 2014 - Present State Certification State of Iowa, Certified General Real Property Appraiser State of Nebraska, Certified General Real Property Appraiser 201810-33 Nelsen Appraisal Associates, Inc. Page 81 Jennifer K. O’Tool Associate General Real Property Appraiser Nelsen Appraisal Associates, Inc. 10580 Justin Drive Urbandale, IA 50322 515-276-0021 Phone 515-276-9303 Fax jotool@nelsenappraisal.com Jennifer began her studies to become a Certified General Real Estate Appraiser in 2015 and brings a 20-year background in institutional commercial real estate mortgage lending and community banking. Her professional experience, combined with continuing education, enables her to offer high-quality services under the supervision of Gene Nelsen, MAI CCIM in Industrial and Retail property appraisals with experience in leasehold estates and leased fee estates. Office appraisals Multi-family Residential real estate appraisals. Education Simpson College – Bachelor of Arts – Economics and Finance Appraisal course work, including: Appraisal Principals – 30 hours Appraisal Procedures – 30 hours National USPAP Course – 15 hours Work Experience Principal Real Estate Investors, Des Moines, IA Prepared internal and reviewed external appraisals in conjunction with the procurement of over $1 billion in mortgage loans in core property groups: industrial, retail, multi-family residential, and office Professional Affiliations Appraisal Institute – General Associate Member State Certification Associate Real Estate Appraiser status, working toward General certification. Community Organizations Junior Achievement of Central Iowa 201810-33 Nelsen Appraisal Associates, Inc. Page 82 Copyright Protection © Copyright 2018 Nelsen Appraisal Associates, Inc. Urbandale, Iowa 50322 All Rights Reserved. No part of this document may be reproduced, nor may any portion be incorporated into any information retrieval system without written permission from Nelsen Appraisal Associates, Inc., the copyright holder. The descriptions, analyses, and conclusions stated herein are intended for the exclusive use of our client, City of Ames, and other explicitly identified intended users, solely for the intended use stated in this document. Nelsen Appraisal Associates, Inc. retains all rights, title, and interests in all trademarks, trade names, trade secrets, data, conclusions, opinions, valuations, and other information included in, arising out of, or in any way related to this appraisal. No person or entity shall be entitled to break down, strip out, mine, or disseminate any component or portion of this report, including, but not limited to any valuations, opinions, data compilations, or conclusions. This report and all its contents is a culmination of intellectual and professional experiences, education, personal investigations, and know- how, which shall at all times remain the property of Nelsen Appraisal Associates, Inc., its sole owner. End of Report 10580 Justin Drive Urbandale, IA 50322 Nelsen Appraisal Associates, Inc. (Bus) 515-276-0021 (Fax) 515-276-9303 A REAL PROPERTY APPRAISAL IN AN APPRAISAL REPORT OF Land LOCATED AT 3100 South Riverside Drive Ames, Iowa 50010 CLIENT City of Ames 10580 Justin Drive Urbandale, IA 50322 Nelsen Appraisal Associates, Inc. (Bus) 515-276-0021 (Fax) 515-276-9303 March 14, 2019 Mr. Damion Pregitzer, P.E. PTOE Traffic Engineer City of Ames City Hall 515 Clark Avenue Ames, Iowa 50010 Re: 3100 South Riverside Drive Ames, Iowa 50010 Dear Mr. Pregitzer, At your request, we have appraised a real property interest for the above real estate. Our objective was to form one or more opinions about the market value for a 100% ownership interest in the subject property's fee simple estate assuming no liens or encumbrances other than normal covenants and restrictions of record. The subject property consists of an irregular, non-corner parcel constituting 12.750 acres. The subject is described in greater detail in the accompanying report. This valuation contains analyses, opinions, and conclusions along with market data and reasoning appropriate for the scope of work detailed later herein. It was prepared solely for the intended use and intended user(s) explicitly identified in the attached report. Unauthorized users do so at their own risk. The appraisal is communicated in the attached appraisal report, and conforms to the version of the Uniform Standards of Professional Appraisal Practice (USPAP) in effect on this report's preparation date of March 14, 2019. This letter is not an appraisal report hence it must not be removed from the attached 63-page report. If this letter is disjoined from the attached appraisal report, then the value opinions set forth in this letter are invalid because the analyses, opinions, and conclusions cannot be properly understood. In general, valuation of the subject property involves no atypical issues. All value opinions are affected by all the information, extraordinary assumptions, hypotheses, general limiting conditions, facts, descriptions, and disclosures stated in the attached appraisal report. After careful consideration of all factors pertaining to and influencing value, the data and analysis thereof firmly supports the following final value opinion(s) for the subject property as of March 7, 2019: $889,000 Market Value – Fee Simple Estate “As Vacant” Thank you for your business. Let us know how we may further serve you. Gene F. Nelsen, MAI, CCIM Certified General Real Property Appraiser Iowa License CG01034 License Expiration Date: 6/30/2019 Jennifer K. O’Tool Associate General Real Property Appraiser Iowa License AG03473 License Expiration Date: 6/30/2019 Table of Contents Overview ....................................................................................................... 1 Salient Information ........................................................................................................ 1 Noteworthy Issues ......................................................................................................... 1 Scope of Work .............................................................................................. 2 Scope of Work ............................................................................................................... 2 Introduction .............................................................................................................. 2 Assignment Elements ................................................................................................ 2 Relevant Characteristics .......................................................................................... 4 Extent of Services Provided ...................................................................................... 5 Other Intended Use Considerations ......................................................................... 5 Miscellaneous Matters.............................................................................................. 5 Appraisal Development ............................................................................................ 6 Concept Explanations ............................................................................................... 8 Report Reliance & Use Restrictions .............................................................................. 9 Scope of Work Exclusion - Insurable Value ................................................................. 9 Extraordinary Assumptions & Disclosures.................................................................. 10 Hypothetical Conditions .............................................................................................. 11 Personal Property & Intangibles .................................................................................. 11 Definition of Market Value ......................................................................................... 12 Definition of Real Property Estates ............................................................................. 13 Assemblage .................................................................................................................. 13 Contingent and Limiting Conditions ........................................................................... 14 Disclosures .................................................................................................. 21 Professional Standards ................................................................................................. 21 Competency ................................................................................................................. 21 Area Data ................................................................................................... 22 Regional Map .............................................................................................................. 22 Vicinity Map ................................................................................................................ 23 Proximity Map ............................................................................................................. 24 Proximity Features ....................................................................................................... 25 Nearby Land Uses........................................................................................................ 26 Aerial Photo – Nearby Land Uses .......................................................................... 26 Subject Property ........................................................................................ 31 Identification of the Property ....................................................................................... 31 Legal Description......................................................................................................... 31 Sale History ................................................................................................................. 34 Flood Hazard ............................................................................................................... 34 Flood Map .................................................................................................................... 35 Environmental Risks .................................................................................................... 36 Subject Site .................................................................................................................. 37 Zoning .......................................................................................................................... 39 Land Value .................................................................................................................. 44 Exposure & Marketing Time ....................................................................................... 55 Certification ................................................................................................................. 56 State Licenses .............................................................................................................. 62 Copyright Protection .................................................................................................... 63 End of Report ............................................................................................................... 63 201902-20 Nelsen Appraisal Associates, Inc. Page 1 Overview Salient Information Property Type Land – Fee Simple Estate Real Estate Appraised 3100 South Riverside Drive Ames, Iowa 50010 County Story Estate Valued 100% of the Fee Simple Estate of the Land Client City of Ames Client File Number None Most Likely Buyer Owner-User Effective Value Date (point in time that the value applies) March 7, 2019 Report Date (date the report is transmitted to client) March 14, 2019 Final Value Conclusion(s) $889,000 Market Value – Fee Simple Estate “As Vacant” Noteworthy Issues The subject property consists of an irregular, non-corner parcel constituting 12.750 acres. The subject is described in greater detail in the accompanying report. The subject site is improved with a 20-year old, 101,447 square foot heavy manufacturing building, as well as a 19-year old, 15,120 square foot metal hangar building. In addition, the subject’s land is associated with an income stream received by the ground lessor via a ground lease. However, the Client has requested that the appraisers provide a fee simple market value of the land as vacant. Therefore, it is the fee simple interest of the land as vacant that is considered in this report. No atypical factors significantly affect value. The real estate appraised is generally typical for this type property in this locale. 201902-20 Nelsen Appraisal Associates, Inc. Page 2 Scope of Work Scope of Work Introduction The Uniform Standards of Professional Appraisal Practice (USPAP) defines scope of work as “the type and extent of research and analysis in an assignment". Scope of work includes, but is not limited to: ➢ the extent to which the property is identified; ➢ the extent to which tangible property is observed; ➢ the type and extent of data researched; and ➢ the type and extent of analyses applied to arrive at opinions or conclusions. Assignment Elements The purpose of this assignment (the problem to be solved) is to form one or more opinions about value. This purpose necessitates identification of seven assignment elements listed below. 1. Client Information Client's Name ** Client's Company Name Mr. Damion Pregitzer, P.E. PTOE City of Ames Client's Agent Agent's Company Name Not Applicable Not Applicable Appraiser(s) Engaged By The Client Client's Interest In Property Appraised Owner 2. Other Intended Users None 3. Intended Use Of Report (To aid) Internal Decisions 4. Value Opinion(s) Developed Market value Standard / Definition Of Value Used To Form The Value Opinion(s) Advisory Opinion 30 of USPAP, which is the same definition as the one in FIRREA. ** The client is always an intended user. 201902-20 Nelsen Appraisal Associates, Inc. Page 3 Scope of Work Assignment Elements 5. Key Dates Effective Value Date (point in time the value applies) March 7, 2019 Report Date (date the report was transmitted to the client or the client's agent) March 14, 2019 Date Property Appraised Was Observed By One Or More Appraisers Signing This Report Land & Building Observed March 7, 2019 6. Assignment Conditions Extraordinary Assumptions One Or More Apply, Detailed Later Herein Hypothetical Conditions None Used Jurisdictional Exceptions None Used Expected Public or Private On-Site or Off-Site Improvements Affect Value Not Expected Assemblage of Estates or Component Parts Affects Value Not Expected Other None Used 201902-20 Nelsen Appraisal Associates, Inc. Page 4 Scope of Work Relevant Characteristics The seventh assignment element is relevant characteristics about the property appraised. These characteristics are typically categorized as physical, legal, and economic. Physical attributes of the property appraised are presented later in the Subject section of this report. Some characteristics are identified below. Atypical issues are listed in the Noteworthy Issues section and may be further detailed elsewhere herein. Unless specifically stated otherwise, the estate appraised (listed below) assumes no adverse leases, liens or encumbrances other than normal covenants and restrictions of record. 7a. Physical Existing Property Use Manufacturing Facility Property Use Reflected In One Or More Value Opinions Land “As Vacant” Sources of Information About the Property Appraised Included Interior & Exterior Observation 7b. Legal Category Of Property Appraised Real Property Estate(s) Appraised Fee Simple Legal Issues Considered No Atypical Legal Issues Environmental Concerns No Known Environmental Concerns 7c. Economic Effect Of Lease(s) On Value Effect of Ground Lease Not Considered Cost Information Type of Reconstruction Cost Used Reconstruction Cost Not Considered Source of Reconstruction Cost Information Not Applicable 201902-20 Nelsen Appraisal Associates, Inc. Page 5 Scope of Work Extent of Services Provided Number of Final Value Opinions Developed One Value Opinion(s) Reflect The Worth Of the Property Appraised Fee Simple Estate of Land As Vacant Extent Of Report Preparation An Appraisal Report Other Reporting Requirements Not Applicable Extent Of Data Research Extensive Data Sources Public Records At Government Office; Real Estate Sales Agents; Buyers and / or Sellers; Landlords and / or Tenants Documents Considered None Data Verification Direct and Indirect Methods Extent Of Subject Observation By One Or More Appraisers Signing Report Adequate Interior & Exterior Observation Specifics of this viewing, if any, are detailed in the Extraordinary Assumptions & Disclosures section of this report. Other Intended Use Considerations Client's Prior Engagement Of Appraisal Services Numerous Loan To Value Ratio Unknown Atypical Issues No Atypical Issues Assignment Complexity Typical Complexity FIRREA Compliance Fully Compliant Insurable Value Insurable Value Is Not An Intended Use Miscellaneous Matters Scope of Work Agreement Agreement in Addenda 201902-20 Nelsen Appraisal Associates, Inc. Page 6 Scope of Work Appraisal Development Appraisal development is the extent of research and analyses that produce one or more credible opinions of value for one or more specifically identified intended users and an explicitly stated intended use. In this context, credible is defined as "worthy of belief". Depending upon the intended use, intended users, and agreements between the appraiser and the client, the appraisal development process may include several, but not necessarily all of the following tasks. ➢ observation of the property appraised ➢ research for appropriate market data ➢ data verification ➢ consideration of influential market area, physical, economic, and governmental factors ➢ determination of the subject’s highest and best use(s), if appropriate ➢ development of one or more applicable approaches to value ➢ reconciliation of value indications ➢ preparation of this report In most cases, the core valuation process begins with a highest and best use analysis. This is essential because it establishes a framework for the proper selection of comparable sales. Cited comparable sales should have the same highest and best use as the property appraised. 201902-20 Nelsen Appraisal Associates, Inc. Page 7 Scope of Work Appraisal Development If some property modification like new construction is contemplated, a feasibility analysis may be appropriate. In some cases, feasibility may simply be justified by inferred market evidence like low vacancy or rising rents. According to USPAP, all approaches that are applicable to the interest being appraised and necessary to produce credible results must be developed. The type of highest and best use; extent of feasibility considered; and the relevance of each major approach are listed below. Highest and Best Use An Inferred Demand Analysis Feasibility Analysis (a more detailed study separate from highest & best use) Separate Feasibility Analysis Not Developed Cost Approach Not Applicable And Not Included In Report Sales Comparison Applicable And Included In Report Income Approach Not Applicable And Not Included In Report Quoting "The Appraisal of Real Estate" Fourteenth Edition published by the Appraisal Institute, says "Highest and best use analysis and feasibility analysis are interrelated, but feasibility analysis may involve data and considerations that are not directly related to highest and best use determinations. Such analyses may be more detailed than highest and best use analysis, have a different focus, or require additional research." Applicable and necessary approaches were selected for development after consideration of available market data, intended use, and intended user(s). An approach considered not applicable was omitted because this methodology is not appropriate for the property interest being appraised, or sufficient data to properly develop the approach was not available. Any approach judged not applicable, yet included in this report, was developed solely at our client’s request. Data used to develop an inapplicable but included approach has a low to nil degree of comparability to the subject. Hence, no emphasis was given an approach deemed not applicable but included. Furthermore, no liability or responsibility is assumed for an approach considered not applicable but included at the client's request. 201902-20 Nelsen Appraisal Associates, Inc. Page 8 Scope of Work Concept Explanations Intended use and all intended user(s) should be weighed heavily during the scope of work decision. A single intended user who frequently engages appraisal services is likely very knowledgeable about the appraisal process. For this type user, the appraisal development and reporting for less complex property types might be toward the lower end of the spectrum. By contrast, multiple intended users, especially those with opposing motivations, likely need extensive appraisal development and reporting. Litigation is a prime example when a thorough appraisal development and detailed reporting is warranted. A loan to value ratio reflects risk. For commercial-grade loans, ratios over 75% are generally regarded as risky. If a contemplated loan is viewed as risky, then the extent of appraisal development and the level of report detail should be more comprehensive. Similarly, more complex properties generally warrant more thorough analyses and more extensive report details. Prior engagement of appraisal services by a client implies a level of awareness about the appraisal process. A greater awareness may justify a less thorough level of report detail whereas the opposite is true for an individual who has never engaged an appraisal. A Jurisdictional Exception is an assignment condition, which voids a portion of USPAP that is contrary to law or public policy. When a Jurisdictional Exception applies, only the contrary portion is void. The remainder of USPAP remains in full force and effect. Jurisdiction Exceptions always shrink USPAP, not expand it. Data verification affects reliability. Direct data verification confirms information used in the report with one or more parties who have in-depth knowledge about physical characteristics for the property being appraised, or related financial details. Indirect verification employs information obtained from a secondary source like a data reporting service, a multiple listing service, or another appraiser. Direct verification is generally more time-consuming and costly, but also more reliable. Information from all data sources was examined for accuracy, is believed reliable, and assumed reasonably accurate. However, no guaranties or warranties for the information are expressed or implied. No liability or responsibility is assumed by Nelsen Appraisal Associates, Inc. or the appraiser(s) for any inaccuracy from any seemingly credible information source. 201902-20 Nelsen Appraisal Associates, Inc. Page 9 Scope of Work Concept Explanations A statement about observation of the subject property by the appraiser(s) is listed above. If the subject was observed, this viewing was not as thorough as a professional property inspection. A professional inspector determines the precise physical condition, remaining useful life, and operability of major building components like the structural system, roof cover, electrical system, plumbing, and heating plant. Inspectors typically do not ascertain size of the building, or characteristics of the land. By contrast, an appraiser commonly ascertains both land and building size. Ordinarily, appraisers do not determine operability, or remaining useful life of building systems. An appraiser typically views real estate to determine only general attributes like physical condition of the building as a whole, site topography and access, building size, construction quality, floor plan, and functionality of the property as a whole. For this appraisal, no probes, investigations, or studies were made to discover unapparent, adverse physical features. Highest and best use analyses can be categorized into two groups - inferred and fundamental. A fundamental analysis is quantified from broad demographic and economic data such as population, household size, and income. Supply is inventoried. Subject specific characteristics are considered. Then, the relationship between supply and demand is weighed to determine a specific highest and best use for the subject. An inferred analysis uses local trends and patterns to infer a general highest and best use for the subject. For an inferred analysis, market dynamics that might be considered include prices, market exposure times, rents, vacancy, and listings of similar real estate. Inferred analyses emphasize historical data while fundamental analyses are based on future projections. The kind of highest and best use analysis utilized in this assignment is listed above. Report Reliance & Use Restrictions No liability is assumed, expressed, or implied by Nelsen Appraisal Associates, Inc., or the appraiser(s) for unauthorized use of this report. Only those persons, parties, entities, companies, corporations, partnerships, associations, or groups that are explicitly identified as an intended user on page 2 may rely on, and use this report. There are no implied, suggested, inferred, consequential, or indirect intended users of this report. Unauthorized users should not use, or rely on any portion of this document. Unauthorized users do so at their own risk and peril. Scope of Work Exclusion - Insurable Value The cost approach may or may not have been developed herein. Unless explicitly stated otherwise, the cost approach was developed solely to support the subject's market value. Use of this appraisal, in whole or part, for another purpose is not an expected intended use. Nothing in this appraisal should be used, or relied upon to determine the amount or type of insurance coverage to be placed on the subject property. The signatory / signatories to this report assume no liability for, and do not guarantee that any insurable value inferred from this report will result in the subject property being adequately insured for any loss that may be sustained. Since labor costs, material costs, building codes, construction intervals, and governmental regulations are constantly changing, the cost approach may not be a reliable indication of replacement or reproduction cost for any date other than this report's effective value date. 201902-20 Nelsen Appraisal Associates, Inc. Page 10 Extraordinary Assumptions & Disclosures An extraordinary assumption is defined by the Uniform Standards of Professional Appraisal Practice (USPAP) to be “an assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser’s opinion or conclusions”. Extraordinary assumptions presume as fact otherwise uncertain information. In other words, this type assumption involves uncertainty about an underlying premise. An example is a survey that displays a lot size. If the lot size is later found to be much smaller, then the value conclusion may be negatively affected. USPAP Standard Rule 1-2(f) requires the identification of all extraordinary assumptions that are necessary for credible assignment results. This appraisal employs the following extraordinary assumptions. ➢ Features of the subject site such as legal description, dimensions, size, etc. were obtained from publicly available sources. All information taken therefrom is assumed reasonably correct. ➢ Observation of the subject property was limited to a cursory viewing of the entire site. ➢ Real estate tax information for the subject was obtained from a reputable online source, so it is assumed reasonably correct. All information from any credible source is assumed reasonably correct. Moreover, this information is assumed the most recent that is expeditiously available to the public. Assumptions and presumptions discussed in the Noteworthy Issues section of this report, if any, are incorporated by way of reference into these Extraordinary Assumptions & Disclosures. ➢ A recently issued title policy was not furnished to the appraiser(s). If a value-impairment is identified or suggested in a title policy, another professional report, or some other document, this appraisal does not address issues that are significantly atypical for a valuation of this type property unless specifically identified in the Scope of Work and/or Noteworthy Issues section of this report. ➢ A public water system and public sewer main are connected to the subject structure, or available near the subject's lot lines. This appraisal assumes these systems possess sufficient capacity to serve the intended use of the subject improvements, if any. This appraisal also assumes the water is potable and non-contaminated. If these systems were inadequate to serve the subject's intended use, then the subject's value and marketability would be adversely affected. ➢ Assumptions and presumptions discussed in the Noteworthy Issues section of this report, if any, are incorporated by way of reference into these Extraordinary Assumptions & Disclosures. The above extraordinary assumptions as well as other assumptions anywhere herein are integral premises upon which the conclusions in this document are based. If any of these assumptions are later found to be materially untrue or inaccurate, then this report’s assignment results may or may not be affected. 201902-20 Nelsen Appraisal Associates, Inc. Page 11 Hypothetical Conditions USPAP defines a hypothetical condition as “a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis." Hypothetical conditions assume conditions that are contrary to known fact. An illustration is the current valuation of a proposed home. For the purpose of a rational analysis, it is assumed the home exists on the effective value date, but it is known the home is nonexistent. Another example is a new zoning classification, that a property does not have today, but the new zoning is assumed for the purpose of a logical current valuation. Uncertainty is not involved with a hypothetical condition. An essential premise underlying the valuation is known not to exist on the effective value date. USPAP Standard Rule 1-2(g) requires the identification of all hypothetical conditions that are necessary for a credible value opinion. This appraisal employs no hypothetical conditions. Personal Property & Intangibles Personal property is movable and not permanently affixed to the real estate. Examples of personal property are freestanding ranges, refrigerators, tables, desks, chairs, beds, linen, silverware, hand tools, and small utensils. An intangible is a nonphysical asset like franchises, trademarks, patents, goodwill, and mineral rights. Personal and intangible property included in this appraisal's value opinion, if any, is considered typical for this type real estate, yet insignificant to the value opinion. Therefore, non-realty is not itemized or valued herein. Moreover, this report’s final value conclusion(s) excludes unaffixed equipment, detached trade fixtures, and chattel unless specifically stated to the contrary. 201902-20 Nelsen Appraisal Associates, Inc. Page 12 Definition of Market Value The definition of market value is used in all federally regulated transactions that exceed a minimum amount. This definition is mandated by Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of 1989. The exact same definition was published in the Federal Register several times by different federal agencies. Some printings are: 12 C.F.R. Part 34.42(g); 55 Federal Register 34696, August 24, 1990, as amended at 57 Federal Register 12202, April 9, 1992; and 59 Federal Register 29499, June 7, 1994.) Federal agencies publishing the exact same definition include the • Office of the Comptroller of the Currency (OCC) as 12 CFR 34, subpart C • Federal Reserve Board (FRB) as 12 CFR 225, Subpart G • Federal Deposit Insurance Corporation (FDIC) as 12 CFR 323.2, Definition (g) in 55 Federal Register, 33,888 August 20, 1990, Effective September 19, 1990. • Office of Thrift Supervision (OTS) as 12 CFR 564 • National Credit Union Administration (NCUA) as 12 CFR 722 The exact same definition was again published jointly by the OCC, OTS, FRS, and FDIC on page 61 of the “Interagency Appraisal and Evaluation Guidelines". These guidelines were published in the Federal Register on December 10, 2010 as Volume 55, page 77472. All the above citations defined market value as: “the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: • buyer and seller are both typically motivated; • both parties are well informed or well advised, and acting in what they consider their own best interests; • a reasonable time is allowed for exposure in the open market; • payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and • the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale." Virtually the same definition is also cited in Advisory Opinion 30 in the 2014-2015 version of the Uniform Standards of Professional Appraisal Practice (USPAP), lines 124 to 136. 201902-20 Nelsen Appraisal Associates, Inc. Page 13 Definition of Real Property Estates One or more of the following underlined legal estates or interests are valued in this report. Definitions of these estates are quoted from The Dictionary of Real Estate Appraisal, Fifth Edition; published by the Appraisal Institute, copyright 2010. • Fee Simple Estate "Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat." • Leased Fee Estate A freehold (ownership interest) where the possessory interest has been granted to another party by creation of a contractual landlord-tenant relationship." • Leasehold Estate "The tenant's possessory interest created by a lease" Assemblage USPAP Standard Rule 1-4(e) requires an analysis of the assemblage of various estates or component parts that affect value. In this case, no assemblage is expected so value is not affected. 201902-20 Nelsen Appraisal Associates, Inc. Page 14 Contingent and Limiting Conditions 1. By this notice, all persons, companies, or corporations using or relying on this report in any manner bind themselves to accept these Contingent and Limiting conditions, and all other contingent and limiting conditions contained elsewhere in this report. Do not use any portion of this report unless you fully accept all Contingent and Limiting conditions contained throughout this document. 2. The "Subject" or "Subject Property" refers to the real property that is the subject of this report. An Appraiser is defined as an individual person who is licensed to prepare real estate appraisal-related services in the State of Iowa and affixes his / her signature to this document. 3. Throughout this report, the singular term "Appraiser" also refers to the plural term "Appraisers”. The terms "Appraiser" and “Appraisers” also refer collectively to "Nelsen Appraisal Associates, Inc.", its officers, employees, subcontractors, and affiliates. The masculine terms "he" or "his" also refer to the feminine term "she" or "her”. 4. In these Contingent and Limiting Conditions, the "Parties" refers to all of the following collectively: (a) the Appraiser(s), (b) Nelsen Appraisal Associates, Inc., (c) the client, and (d) all intended users. 5. These Contingent and Limiting Conditions are an integral part of this report along with all certifications, definitions, descriptions, facts, statements, assumptions, disclosures, hypotheses, analyses, and opinions. 6. All contents of this report are prepared solely for the explicitly identified client and other explicitly identified intended users. The liability of the Appraiser is limited solely to the client. There is no accountability, obligation, or liability to any other third party. Other intended users may read but not rely on this report. The Appraiser's maximum liability relating to services rendered under this engagement (regardless of form of action, whether in contract, negligence or otherwise) is limited to the fee paid to Nelsen Appraisal Associates, Inc. for that portion of their services, or work product giving rise to liability. In no event shall the Appraisers be liable for consequential, special, incidental or punitive loss, damages or expense (including without limitation, lost profits, opportunity costs, etc.) even if advised of their possible existence. If this report is placed in the hands of anyone other than the client, the client shall make such party aware of all contingent and limiting conditions, assumptions, and disclosures. Use of this report by third parties shall be solely at the risk of the third party. 7. This document communicates the results of an appraisal assignment. This communication is not an inspection, engineering, construction, legal, or architectural report. It is not an examination or survey of any kind. Expertise in these are As Vacant not implied. The Appraiser is not responsible for any costs incurred to discover, or correct any deficiency in the property. 201902-20 Nelsen Appraisal Associates, Inc. Page 15 Contingent and Limiting Conditions 8. As part of this appraisal, information was gathered and analyzed to form opinion(s) that pertain solely to one or more explicitly identified effective value dates. The effective value date is the only point in time that the value applies. Information about the subject property, neighborhood, comparables, or other topics discussed in this report was obtained from sensible sources. In accordance with the extent of research disclosed in the Scope of Work section, all information cited herein was examined for accuracy, is believed to be reliable, and is assumed reasonably accurate. However, no guaranties or warranties are made for this information. No liability or responsibility is assumed for any inaccuracy which is outside the control of the Appraiser, beyond the scope of work, or outside reasonable due diligence of the Appraiser. 9. Real estate values are affected by many changing factors. Therefore, any value opinion expressed herein is considered credible only on the effective value date. Every day that passes thereafter, the degree of credibility wanes as the subject changes physically, the economy changes, or market conditions change. The Appraiser reserves the right to amend these analyses and/or value opinion(s) contained within this appraisal report if erroneous, or more factual-information is subsequently discovered. No guarantee is made for the accuracy of estimates or opinions furnished by others, and relied upon in this report. 10. In the case of limited partnerships, syndication offerings, or stock offerings in the real estate, the client agrees that in case of lawsuit (brought by the lender, partner, or part owner in any form of ownership, tenant, or any other party), the client will hold Nelsen Appraisal Associates, Inc., its officers, contractors, employees and associate appraisers completely harmless. Acceptance of, and/or use of this report by the client, or any third party is prima facie evidence that the user understands and agrees to all these conditions. 11. For appraisals of multiunit residential, only a portion of all dwellings was observed. A typical ratio of observed dwellings roughly approximates 10% of the total number of units, and this ratio declines as the number of dwellings grows. It is assumed the functionality, physical condition, construction quality, and interior finish of unseen units are similar to the functionality, physical condition, construction quality, and interior finish of observed units. If unobserved dwellings significantly differ from those that were viewed in functionality, physical condition, quality, or finish, the Appraiser reserves the right to amend theses analysis and/or value opinion(s). 12. If the appraised property consists of a physical portion of a larger parcel is subject to the following limitations. The value opinion for the property appraised pertains only to that portion defined as the subject property. This value opinion should not be construed as applying with equal validity to other complementary portions of the same parcel. The value opinion for the physical portion appraised + the value of all other complementary physical portions may or may not equal the value of the whole parcel. 201902-20 Nelsen Appraisal Associates, Inc. Page 16 Contingent and Limiting Conditions 13. Unless specifically stated otherwise herein, the Appraiser is unaware of any engineering study made to determine the bearing capacity of the subject land, or nearby lands. Improvements in the vicinity, if any, appear to be structurally sound. It is assumed soil and subsoil conditions are stable and free from features that cause supernormal costs to arise. It is also assumed existing soil conditions of the subject land have proper load bearing qualities to support the existing improvements, or proposed improvements appropriate for the site. No investigations for potential seismic hazards were made. This appraisal assumes there are no conditions of the site, subsoil, or structures, whether latent, patent, or concealed that would render the subject property less valuable. Unless specifically stated otherwise in this document, no earthquake compliance report, engineering report, flood zone analysis, hazardous substance determination, or analysis of these unfavorable attributes was made, or ordered in conjunction with this appraisal report. The client is strongly urged to retain experts in these fields, if so desired. 14. If this report involves an appraisal that values an interest, which is less than the whole fee simple estate, then the following disclosure applies. The value for any fractional interest appraised + the value of all other complementary fractional interests may or may not equal the value of the entire fee simple estate. 15. If this appraisal values the subject as though construction, repairs, alterations, remodeling, renovation, or rehabilitation will be completed in the future, then it is assumed such work will be completed in a timely fashion, using non-defective materials, and proper workmanship. All previously completed work is assumed completed in substantial conformance with plans, specifications, descriptions, or attachments made or referred to herein. It is also assumed all planned, in-progress, or recently completed construction complies with the zoning ordinance, and all applicable building codes. A prospective value opinion has an effective value date that is beyond or in the future relative to this report's preparation date. If this appraisal includes a prospective valuation, it is understood and agreed the Appraiser is not responsible for an unfavorable value effect caused by unforeseeable events that occur before completion of the project. 16. This valuation may or may not include an observation of the appraised property by an Appraiser. The extent of any observation is disclosed in the Scope of Work section of this report. Any observation by an Appraiser is not a professional property inspection. Viewing of the subject was limited to components that were not concealed, clearly observable, and readily accessible without a ladder on the property observation date. As used herein, readily accessible means within the Appraiser's normal reach without the movement of any man made or natural object. Comments or descriptions about physical condition of the improvements are based solely on a superficial visual observation. These comments are intended to familiarize the reader with the property in a very general fashion. 201902-20 Nelsen Appraisal Associates, Inc. Page 17 Contingent and Limiting Conditions 17. Electric, heating, cooling, plumbing, water supply, sewer or septic, mechanical equipment, and other property systems were not tested. No determination was made regarding the operability, capacity, or remaining physical life of any component in, on, or under the real estate appraised. All building components are assumed adequate and in good working order unless stated otherwise. Private water wells and private septic systems are assumed sufficient to comply with federal, state, or local health safety standards. No liability is assumed for the soundness of structural members since structural elements were not tested or studied to determine their structural integrity. The roof cover for all structures is assumed water tight unless otherwise noted. This document is not an inspection, engineering or architectural report. If the client has any concern regarding structural, mechanical, or protective components of the improvements, or the adequacy or quality of sewer, water or other utilities, the client should hire an expert in the appropriate discipline before relying upon this report. No warranties or guarantees of any kind are expressed or implied regarding the current or future physical condition or operability of any property component. 18. The allocation of value between the subject's land and improvements, if any, represents our judgment only under the existing use of the property. A re-evaluation should be made if the improvements are removed, substantially altered, or the land is utilized for another purpose. 19. The Client and all intended users agree to all the following. (A) This appraisal does not serve as a warranty on the physical condition or operability of the property appraised. (B) All users of this report should take all necessary precautions before making any significant financial commitments to or for the subject. (C) Any estimate for repair or alternations is a non-warranted opinion of the Appraiser. 20. No liability is assumed for matters of legal nature that affect the value of the subject property. Unles s a clear statement to the contrary is made in this report, value opinion(s) formed herein are predicated upon the following assumptions. (A) The real property is appraised as though, and assumed free from all value impairments including yet not limited to title defects, liens, encumbrances, title claims, boundary discrepancies, encroachments, adverse easements, environmental hazards, pest infestation, leases, and atypical physical deficiencies. (B) All real estate taxes and assessments, of any type, are assumed fully paid. (C) It is assumed ownership of the property appraised is lawful. (D) It is also assumed the subject property is operated under competent and prudent management. (E) The subject property was appraised as though, and assumed free of indebtedness. (F) The subject real estate is assumed fully compliant with all applicable federal, state, and local environmental regulations and laws. (G) The subject is assumed fully compliant with all applicable zoning ordinances, building codes, use regulations, and restrictions of all types. (H) All licenses, consents, permits, or other documentation required by any relevant legislative or governmental authority, private entity, or organization have been obtained, or can be easily be obtained or renewed for a nominal fee. 201902-20 Nelsen Appraisal Associates, Inc. Page 18 Contingent and Limiting Conditions 21. Any exhibits in the report are intended to assist the reader in visualizing the subject property and its surroundings. The drawings are not surveys unless specifically identified as such. No responsibility is assumed for cartographic accuracy. Drawings are not intended to be exact in size, scale, or detail. 22. Value opinions involve only real estate, and inconsequential personal property. Unless explicitly stated otherwise, value conclusions do not include personal property, unaffixed equipment, trade fixtures, business-good will, chattel, or franchise items of material worth. 23. Conversion of the subject's income into a market value opinion is based upon typical financing terms that were readily available from a disinterested, third party lender on this report’s effective date. Atypical financing terms and conditions do not influence market value, but may affect investment value. 24. All information and comments concerning the location, market area, trends, construction quality, construction costs, value loss, physical condition, rents, or any other data for the subject represent estimates and opinions of the Appraiser. Expenses shown in the Income Approach, if used, are only estimates. They are based on past operating history, if available, and are stabilized as generally typical over a reasonable ownership period. 25. This appraisal was prepared by Nelsen Appraisal Associates, Inc. and consists of trade secrets and commercial or financial information, which is privileged, confidential, and exempt from disclosure under 5 U.S.C. 522 (b) (4). 26. The Appraiser is not required to give testimony or produce documents because of having prepared this report unless arrangements are agreed to in advance. If the Appraiser is subpoenaed pursuant to court order or required to produce documents by judicial command, the client agrees to compensate the Appraiser for his appearance time, preparation time, travel time, and document preparation time at the regular hourly rate then in effect plus expenses and attorney fees. In the event the real property appraised is, or becomes the subject of litigation, a condemnation, or other legal proceeding, it is assumed the Appraiser will be given reasonable advanced notice, and reasonable additional time for court preparation. 27. Effective January 26, 1992, the Americans with Disabilities Act (ADA) - a national law, affects all non-residential real estate or the portion of any property, which is non-residential. The Appraiser has not observed the subject property to determine whether the subject conforms to the requirements of the ADA. It is possible a compliance survey, together with a detailed analysis of ADA requirements, could reveal the subject is not fully compliant. If such a determination was made, the subject's value may or may not be adversely affected. Since the Appraiser has no direct evidence, or knowledge pertaining to the subject's compliance or lack of compliance, this appraisal does not consider possible noncompliance or its effect on the subject's value. 201902-20 Nelsen Appraisal Associates, Inc. Page 19 Contingent and Limiting Conditions 28. Nelsen Appraisal Associates, Inc. and the Appraiser have no expertise in the field of insect, termite, or pest infestation. We are not qualified to detect the presence of these or any other unfavorable infestation. The Appraiser has no knowledge of the existence of any infestation on, under, above, or within the subject real estate. No overt evidence of infestation is apparent to the untrained eye. However, we have not specifically inspected or tested the subject property to determine the presence of any infestation. No effort was made to dismantle or probe the structure. No effort was exerted to observe enclosed, encased, or otherwise concealed evidence of infestation. The presence of any infestation would likely diminish the property's value. All value opinions in this communication assume there is no infestation of any type affecting the subject real estate or the Appraiser is not responsible for any infestation or for any expertise required to discover any infestation. Our client is urged to retain an expert in this field, if desired. 29. All opinions are those of the signatory Appraiser based on the information in this report. No responsibility is assumed by the Appraiser for changes in market conditions, or for the inability of the client, or any other party to achieve their desired results based upon the appraised value. Some of the assumptions or projections made herein can vary depending upon evolving events. We realize some assumptions may never occur and unexpected events or circumstances may occur. Therefore, actual results achieved during the projection period may differ from those set forth in this report. Compensation for appraisal services is dependent solely on the delivery of this report, and no other event or occurrence 30. No warrantees are made by the Appraiser concerning the property's conformance with any applicable government code or property covenant including but not limited to all laws, ordinances, regulations, agreements, declarations, easements, condominium regulations, restrictions, either recorded or unrecorded. The client is urged to engage the services of a licensed attorney to confirm any legal issue affecting the property appraised. No liability or responsibility is assumed by the Appraiser to determine the cost of replacing or curing any supposedly defective physical component. 31. In the event of an alleged claim due to some defective physical component, the client must notify Nelsen Appraisal Associates, Inc. and allow its representatives and experts to examine and test the alleged defective component before any repairs or modifications are made. If any type of repair or modification is made without the knowledge of the Appraisers, the Appraiser is released from all liability, real or alleged. 32. The client and all explicitly identified intended users agree to notify in writing Nelsen Appraisal Associates, Inc., within one year of this report's preparation date, of any claim relating to or arising from this report regardless of any statute of limitations. If Nelsen Appraisal Associates, Inc. does not receive this written notification within the year period defined in the paragraph, then the claimant releases the Appraiser from all claims arising from or related to this report. 201902-20 Nelsen Appraisal Associates, Inc. Page 20 Contingent and Limiting Conditions 33. The client and all explicitly identified intended users acknowledge that any claim relating to this report shall be settled in accordance with the commercial arbitration rules of the American Arbitration Association with the Parties each paying an equal share of all associated costs. 34. Any alleged claim must be filed in the Circuit Court for the County that encompasses most of or all of Urbandale, Iowa 50322 where the Appraiser's business office is located. If a court of law voids any portion of these Contingent and Limiting Conditions, then the remainder remains in full force and effect. The claimants(s) agree not to contest the venue set forth herein and to submit to, and not contest, the exercise of personal jurisdiction over them by the foregoing court. The claimant(s) waive all rights concerning the exercise of personal jurisdiction of them by the foregoing courts and all claims of or concerning forum non-conveniences in the foregoing forum. 35. Superseding all comments to the contrary regardless of date, this report may not be transferred or assigned without the prior written consent of Nelsen Appraisal Associates, Inc.. 36. No part of this report shall be published or disseminated to the public by the use of advertising media, public relations media, news media, sales media, electronic devices, or other media without the prior written consent of Nelsen Appraisal Associates, Inc.. This restriction applies particularly as to analyses, opinions, and conclusions; the identity of the Appraiser; and any reference to the Appraisal Institute or its MAI, SRPA, or SRA designations. Furthermore, no part of this report may be reproduced or incorporated into any information retrieval system without written permission from Nelsen Appraisal Associates, Inc., the copyright holder. 201902-20 Nelsen Appraisal Associates, Inc. Page 21 Disclosures Professional Standards All leading professional appraisal organizations, the U.S. Congress, all state legislatures, and numerous legal jurisdictions recognize the Uniform Standards of Professional Appraisal Practice (USPAP), promulgated by the Appraisal Foundation. Revised biennially to keep it contemporary, these standards set forth ethical practices and proper procedures for a competent appraisal. This appraisal fully complies with all relevant portions of the USPAP version in effect on the date this report was prepared. It also complies with the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA), a federal law. Competency The persons signing this report are licensed to appraise real property in the state the subject is located. They affirm they have the experience, knowledge, and education to value this type property. They have previously appraised similar real estate. 201902-20 Nelsen Appraisal Associates, Inc. Page 22 Area Data Regional Map 201902-20 Nelsen Appraisal Associates, Inc. Page 23 Vicinity Map 201902-20 Nelsen Appraisal Associates, Inc. Page 24 Proximity Map 201902-20 Nelsen Appraisal Associates, Inc. Page 25 Proximity Features Expected Changes in Economic Base Protection From Adverse Conditions Demand for Real Estate Like Subject Potential Additional Supply Like Subject Building Age Range {excluding extremes} Oversupply of Property Like Subject General Appearance of Properties Location Land Use Change Police & Fire Protection Expressway Access Employment Centers Property Compatibility Appeal to Market None Good Adequate Potential Exists 15 to 50 Years None Average Suburban Not Likely Average Under a mile Under a mile Average Average 201902-20 Nelsen Appraisal Associates, Inc. Page 26 Nearby Land Uses Residential Retail Office Industrial Institutional Vacant Land ---------------- Total 30% 15% 10% 15% 05% 30% ------ 100% Aerial Photo – Nearby Land Uses 201902-20 Nelsen Appraisal Associates, Inc. Page 27 Regional Data Ames is the largest city in Story County. The population is greatly impacted by Iowa State University, one of three public universities in the State. The county seat is located in Nevada. Population The Ames area had a recorded population of 58,973 people in 2010. The projected population in 2022 is 67,519 indicating projected growth of 14.49% or 1.21% per annum. Households and families also show positive growth during the same time period with 0.94% to 0.76% growth per year, respectively. The following graph projects trends amongst the preceding categories over the next five years. While population growth is positive for Ames, its growth will lag National numbers, but will slightly outpace State numbers. Household growth in Ames will outpace both State and National numbers. The growth of families will outpace State number and essentially mirror National growth rates. Iowa State University greatly impacts the population in the City of Ames. The following graph displays the population distribution by age. Over 25% of the population is between 20 and 24 years old. The age distribution is projected to maintain the same pattern over the next five years. 201902-20 Nelsen Appraisal Associates, Inc. Page 28 Regional Data Employment The Ames area has a diversified employment base supported by manufacturing facilities such as Barilla and research facilities associated with Iowa State University. The following tables display percentage of civilian population that is employed and the distribution of employment by industry. 2017 Civilian Population 16+ in Labor Force Civilian Employed 95.6% Civilian Unemployed 4.5% Income Profile The following graphs display the distribution of households based on income in 2017. Household income is fairly evenly distributed with the exception of households earning $150,000+ per year. Concentrations between $15,000 and $100,000-$150,000 per year range from 7.9% to 17.3%. 201902-20 Nelsen Appraisal Associates, Inc. Page 29 Regional Data The following table displays the estimated and projected per capita income in Ames. Per capita income increased 7.08% from 2010 to 2017. Average household income is projected to increase by roughly 12.05% or roughly 2.41% per annum over the next five years. Per Capita Income 2000 $24,271 2017 $25,989 2022 $29,137 Housing The following table displays the median home value from 2000 to 2010 and the projected median home value in 2015. The median home value increased over 22% over the past ten years or roughly 2% per annum. The median home value is projected to maintain the same rate of increase over the next five years. Median Home Value Year Median Value % Change 2010 $161,494 2017 $192,623 19.28% 2022 $216,298 12.29% Median household income is also showing positive growth, but at a significantly slower rate compared to median home values. Median Household Income Year Median Income % Change 2010 $48,245 2017 $49,762 3.14% 2022 $53,429 7.37% The following table displays the number of housing units per year and the distribution of housing based on occupancy. Renter occupied housing made up over 50% of total housing units over the last ten years. Vacancy rates have remained relatively stable over the last 10 years and are projected to remain stable. 201902-20 Nelsen Appraisal Associates, Inc. Page 30 Regional Data Summary The Ames area has experienced stable rates of growth in population, families, and households. Median income and housing values have increased, but the pace of growth has been highest in housing values. The Ames area is projected to outpace state rates of growth in population, households, and families, but will lag national levels of growth in population. The area will outpace national levels regarding the growth in number of households and will essentially keep pace with national levels for number of families. Moderate growth has been effectively absorbed by the market as indicated by projected stability in housing vacancy. Appraisers also consulted the Iowa Finance Authority’s profile for the City of Ames with reference to the single family residential and multiple-family residential markets. Showing continuing growth in demand and low vacancy rates in both of these commercial real estate markets. Economic conditions are anticipated to remain stable in line with various measures of change such as median per capita and household income and population growth. 201902-20 Nelsen Appraisal Associates, Inc. Page 31 Subject Property Identification of the Property This real estate appraised is situated on the east side of South Riverside Drive in the southwest quadrant of Highway 30 and Highway 69 in the City of Ames, Story County, Iowa. Its common address is 3100 South Riverside Drive, Ames, Story County, Iowa 50010. Legal Description A professional surveyor and / or legal counsel should verify the following legal description before relying upon, or using it as part of any conveyance, or any other document. This legal description was obtained from public records and is assumed accurate. 201902-20 Nelsen Appraisal Associates, Inc. Page 32 Ariel Plat Map with Dimensions 201902-20 Nelsen Appraisal Associates, Inc. Page 33 Photographs of Subject – Photos taken November 27, 2018 (photo page 1) View of parking area on south and east sides of building Northeast elevation 201902-20 Nelsen Appraisal Associates, Inc. Page 34 Sale History On-line public records and / or a private data-reporting service were used to search for prior sales of the subject real estate. This research discovered no recorded conveyance of the subject during the three-years preceding this report's effective value date. Moreover, the subject was not yet offered "For Sale" in the local MLS or other major data-reporting services during this same period. Subject’s Current Ownership Leased Fee Owner Information Source City of Ames Story County Assessor Flood Hazard According to the appropriate Federal Emergency Management Agency (FEMA) flood map, which is identified below, the subject property is not located in a zone "A" special flood hazard. Flood Maps published by FEMA are not precise. If anyone desires a precise determination of the subject's flood hazard classification, a professional engineer, licensed surveyor, or local governmental authority should make an exact determination. 201902-20 Nelsen Appraisal Associates, Inc. Page 35 Flood Map 201902-20 Nelsen Appraisal Associates, Inc. Page 36 Environmental Risks Disclosure During the course of this appraisal, the appraiser(s) did not detect or attempt to discover any environmental hazard on, under, above, or within the subject real estate. No overt evidence of any environmental hazard is apparent to the untrained eye. It should be known the appraiser(s) did not view the subject property with the intent of detecting any environmental hazard. It is beyond the expertise of the appraiser(s) to detect or determine the chemical nature of any substance or gas. No effort was made to dismantle or probe any part of the property to discover enclosed, encased, or concealed hazards. No effort was exerted to ascertain the presence of any environmental hazard including but not limited to the following. Asbestos Urea-formaldehyde insulation Underground storage tanks Soil contamination or deficiencies Lead-based paint Toxic mold Radon PCB Chemical spills Fire resistant treated plywood (FRTP) Flood hazards are detailed elsewhere in this report. Except as enumerated herein, the appraiser(s) were not given the results of any environmental testing on or near the property being appraised. Neither observation of the subject property, or research conducted as part of a typical real estate appraisal suggest the presence of any hazardous substance or detrimental environmental condition affecting the subject. Nearby sites were not investigated to determine whether they are contaminated. Public information and other Internet sources were not researched to determine the presence of hazardous substances or detrimental environmental conditions in the subject's vicinity. Federal, State, and local laws concerning any hazardous substance or gas are sometimes contradictory. Therefore, any needed clean up should comply with the most stringent laws. The appraiser(s) are not informed or trained in environmental legalities. It is assumed no hazardous substance or gas adversely affects the subject real estate. If the subject is adversely influenced by a hazardous condition, then the subject's market value would be impaired. Recommendation The presence of any hazardous condition usually diminishes market value. The value opinion formed in this report assumes there is no environmental hazard affecting the subject real estate. No responsibility is assumed by the appraiser(s) or Nelsen Appraisal Associates, Inc. for any hazard, or for any expertise required to discover any environmentally hazardous condition. Our client is urged to retain an expert in this field, if desired. 201902-20 Nelsen Appraisal Associates, Inc. Page 37 Subject Site Address 3100 South Riverside Drive Ames, Iowa 50010 Dimensions See Plat Map Size 12.750 acres (555,400 SF) Easements Typical setbacks and utility easements Alley None Encroachments None known; none assumed Access One point via South Riverside Drive Shape Irregular Street Paving Asphalt paved Curbs & Gutters Concrete curbs, concrete gutters Sidewalks None Topography Generally level Gas & Electricity Public Water & Sewer Public sewer and water Overall Features The land has typical physical features as compared to similar alternatives. Its overall locational attributes are average relative to competitive parcels. 201902-20 Nelsen Appraisal Associates, Inc. Page 38 Real Estate Taxes The Iowa property tax is primarily a tax on "real property," which is mostly land, buildings, structures, and other improvements that are constructed on or in the land, attached to the land, or placed upon a foundation. Residential, commercial and industrial real estate is assessed at 100% of market value. State law requires that all real property be assessed every two years in odd-numbered years. County Story Parcel ID # 09-15-400-005 Tax Year 2018/2019 2018 Assessed Value Land $ 732,000 Building $ 2,518,000 Total $3,250,000 Total Tax Dollars $89,248 Mill Levy [2014/15] 3.140424% Taxes are calculated by the County Auditor for fiscal years, July 1 through June 30 using the previous year’s assessment. Property taxes are payable to the County Treasurer in two installments. The first half is delinquent October 1; the second half payment is delinquent April 1. Taxes payable in September, 2018 and March, 2019 will be based on the 2017 assessed value. A structure constructed during 2018 will be first assessed on January 1, 2019. 201902-20 Nelsen Appraisal Associates, Inc. Page 39 Zoning The subject property is zoned "PI" Planned Industrial District by the City of Ames – Story County, Iowa. As now constituted and used, the subject complies with all aspects of the zoning ordinance. Therefore, the subject real estate is considered a legal, conforming usage. Zoning Map 201902-20 Nelsen Appraisal Associates, Inc. Page 40 Analyses & Conclusions Value Introduction For real estate that is predominantly unimproved vacant land, there are six valuation methods. The most frequently used sales comparison approach is employed in this report. 201902-20 Nelsen Appraisal Associates, Inc. Page 41 Highest and Best Use Introduction A highest and best use identifies the most reasonably probable and appropriately supported use of the property appraised. Since market conditions change, a property's highest and best use may change as well. This analysis is an essential step in the determination of market value. Market dynamics determines a property's use and an appraisal values that use. Practically speaking, a highest and best use analysis forms a framework for the proper selection of comparables. There are two types of highest and best use. The first is highest and best use of land as though vacant. If a building already exists, the second variety is highest and best use as though now improved. The later considers whether the existing building should be retained As Vacant, demolished, remodeled, renovated, repaired, enlarged, or converted to an alternate use. Both types require separate analyses. Current usage may or may not be different from the near future highest and best use. There are four main tests in a highest and best use analysis, which are summarized below. ➢ Legal permissibility - governmental requirements and limitations like zoning are considered as well as other legal issues like deed restrictions, easements, and leases. ➢ Physical attributes like size, design, and physical condition are weighed ➢ Financial feasibility is ascertained via either an implied or calculated method ➢ Maximum productivity is determined If more than one use survives the first three tests, the use that produces the highest, appropriately supported, positive value with the least risk is the highest and best use. Highest and best use demand analyses can be categorized into two different levels of detail - Inferred and Fundamental. A fundamental analysis forecasts future demand from projections of broad demographi c and economic data like population, income, and employment. Existing supply is inventoried. Then, the relationship of supply and demand is weighed to determine net demand. If net demand is positive, more of that property type is needed. Of course, the opposite is also true. An inferred analysis is based on local trends and patterns from which inferences are made. This type analysis presumes that recent past trends will continue for the near future. Sale prices, number of competitive listings, marketing intervals, and / or price changes for other similar properties infer there is adequate demand for the subject at a price level congruous with the available data. An inferred analysis emphasizes historical data while a fundamental analysis is based on expected future occurrences. There are two types of highest and best use - “as though now vacant” and “as though now improved”. The former presumes the land is vacant and available for development. The latter considers whether the building should be retained As Vacant, renovated, remodeled, repaired, enlarged, demolished, or converted to an alternate use. 201902-20 Nelsen Appraisal Associates, Inc. Page 42 Highest and Best Use Buyer Types The most likely buyer type is crucial to highest and best use. Different buyer types have different motivations and different perceptions of risk. The buyer type must be identified to better understand applicable approaches and the selection of cap rates and yield rates. Different buyer types are defined below. Owner-User Acquires real estate mostly for its use; vacancy & investment yield are not primary criteria. Property suitability is the major objective. Passive Investor Seeks an established income stream; usually does not change the property in any meaningful way; generally prefers long-term ownership Developer Acquires real estate to physically or legally change it in some significant fashion; accepts substantial risk so expects major reward; short-to-medium holding period Speculative Investor Buys real estate solely as an investment with most of the reward at termination; property use is not a primary consideration; medium-to-long-term holding period; usually buys during weak market conditions, so accepts huge risk. Mantra: Buy low, sell high. Pure Speculator Buys real estate solely as an investment with most of the reward at termination; property use is usually not a major consideration; buys during conditions of rapidly appreciating prices; short-to-medium ownership period. Ideal Improvement Identification of the "ideal improvement" is an essential element of highest and best use. If the property appraised is vacant land, the ideal describes what should be built. If the existing improvements (one or more buildings and site improvements) have the same or similar attributes as the ideal, then the existing improvements have no or minimal depreciation. Obviously, the opposite also applies. The described ideal improvement is as specific as market data will allow. This improvement is a new industrial building. This appraisal's highest and best use was based, in part, on an inferred demand analysis. Following below are summary considerations used to form two highest and best use deteminations for the property appraised. ➢ Zoning permits general industrial uses or related accessory uses. Nearby lands to the west are compatibly zoned. Nearby lands to the east are zoned for Government/Airport District uses. There are no known deed restrictions, leases, or other legal issues, which preclude or delay the highest and best use. There is no substantial potential for rezoning to a significantly different use. ➢ Physical attributes of the property appraised are well suited to serve the use identified below. Usage of the property in this fashion produces a positive reward with acceptable risk. 201902-20 Nelsen Appraisal Associates, Inc. Page 43 Highest and Best Use Timing of Use A crucial component of a highest and best use is timing. If the timing of a use is not now, when is it? When timing for a specific use cannot be identified, then that use is not the best. If the highest use is not within a decade, then the time-value of money usually precludes that use. When the timing of a use is within a few years, what is the interim use? Remaining dormant is a legitimate interim use. Most Likely User The most likely user is another key issue. Users of an age-restricted multiunit residential structure have needs and preferences that are much different from young married couples with small children. These preferences and needs affect value, so the most likely user should be identified to judge the extent that existing or proposed improvements fulfill those needs. Highest & Best As Though Now Vacant Land Physical Use An industrial use Timing of Physical Use Interim Use Immediately develop with the physical use No Interim Use Market Participants Most Likely Buyer Most Likely User An owner-user The buyer Highest & Best As Though Now Improved Physical Use Its current use Timing of Physical Use Interim Use Immediate No Interim Use Market Participants Most Likely Buyer Most Likely User An owner-user An owner-user There is little doubt that the subject land “as though now vacant” has a market value that is less than the worth of the land and building together. This proves the improvements positively contribute to value. These improvements were designed to serve its current use; they are compatible with nearby uses. Therefore, the improvements should be retained and used "as is". In light of the foregoing highest and best use determinations, comparables were selected with the same or similar highest and best use. This data is very influential while forming a value opinion for the property appraised. 201902-20 Nelsen Appraisal Associates, Inc. Page 44 Land Value – Fee Simple Estate “As Vacant” Land Value The best method of valuing vacant land is the sales comparison approach. Sales of similar sites are gathered and compared to the parcel being appraised. Differences affecting value are noted. Adjustments to compensate for dissimilarities are applied applicable transactions. Adjusted comparables produce an indication of value for the subject parcel. Any factor can affect value. Those considered during this appraisal’s land valuation process included yet are not limited to prominence of location, date of sale, size, shape, availability of utilities, zoning, topography, and access. Numerous sales were reviewed; however, only those deemed most comparable were selected for detailed analysis. All conveyed on an “arm’s length” basis except if specifically noted otherwise. Land sales shown herein are presented on a dollar per square foot as a common denominator. To estimate the value of the land “as is,” we analyzed current listings and recent sales of larger parcels of commercially zoned land. Information pertaining to each of the comparable sales is included on the following pages. Information relating to land that is available for sale is included on the following page. 201902-20 Nelsen Appraisal Associates, Inc. Page 45 Listings Each listed sale above is part of the Ames Community Development park located on the west side of Interstate 35 between the 13th Street exit and the Highway 30 exit. All lots are zoned Commercial-Industrial. Each listing has an asking price of $1.78 per square foot. The sites have excellent access to Interstate 35 and several of the sites have good visibility from Interstate 35. Therefore, all listings above are considered to be superior to the subject in terms of location and would be adjusted downward. 201902-20 Nelsen Appraisal Associates, Inc. Page 46 We searched the market for recent sales of industrial land. However, our search produced limited results. Therefore, we also called the City of Ames Assessor, Mr. Greg Lynch. Mr. Lynch did not have any information pertaining to industrial land sales other than those we had already discovered. We are aware of an industrial development that is currently in progress south of the subject on the west side of South Riverside Drive. At the current time, South Riverside Drive is paved from Airport Road to the subject’s entrance. However, paving stops at the subject’s entrance and South Riverside Drive is gravel as you continue to head south. The land to the south of the subject that is under development is owned by Deere & Company, but had originally been owned by Iowa State University Research Park. We inquired with Mr. Lynch regarding his knowledge of this development and whether or not it involved a recent purchase of the land. Mr. Lynch did not have details on Deere & Company’s acquisition of the land and stated that he historically has had no success in obtaining information from them. Therefore, Mr. Lynch suggested that we contact Mr. Nathan Easter with Iowa State University Research Park. However, after several attempts, we were unable to reach Mr. Easter and did not receive responses to the message we left for him. Information pertaining to each selected comparable sale is included on the following pages. 201902-20 Nelsen Appraisal Associates, Inc. Page 47 Land Sale No. 1 Property Identification Property Type Vacant Land Address Tax ID 2809 & 2825 Wakefield Circle, AMES, Story County, Iowa 10-07-325-010, 10-07-325-020 Sale Data Grantor Woodruff Construction LLC Grantee Badger Investments LC Sale Date December 6, 2017 Deed Book/Page 2017-12305 Sale Price $680,721 Cash Equivalent $680,721 Land Data Zoning Utilities Shape GI, General Industrial District All Public Generally Rectangular Land Size Information Gross Land Size 6.6277 Acres or 288,703 SF Indicators Sale Price/Gross Acre $102,708 Sale Price/Gross SF $2.36 Remarks This site sits on the west side of Interstate 35 with good visibility from and access to the interstate. The site was developed into a 25,272 square foot office/warehouse facility that was built in 2018. 201902-20 Nelsen Appraisal Associates, Inc. Page 48 Improved Sale No. 2 Property Identification Property Type Vacant Land Address 2810 Wakefield Circle, AMES, Story County, Iowa TAX ID 10-07-325-045 Sale Data Grantor REG Ames LLC Grantee Story Construction Co Sale Date October 19, 2016 Deed Book/Page 2016-10549 Sale Price $139,500 Cash Equivalent $139,500 Land Data Zoning Utilities Shape GI, General Industrial District All Public Generally Rectangular Land Size Information Gross Land Size 1.89 Ares or 82,328 SF Indicators Sale Price/Gross Acre $73,810 Sale Price/Gross SF $1.69 Remarks Site is located on the west side of Interstate 35 with good access to the interstate. The site was developed in 2017 with a 12,840 square foot general office building. 201902-20 Nelsen Appraisal Associates, Inc. Page 49 Land Sale No. 3 Property Identification Property Type Vacant Land Address Tax ID 1216 S Bell Avenue, AMES, Story County, Iowa 10-07-375-040 Sale Data Grantor Dayton Park LLC Grantee Ames Community School District Sale Date October 13, 2015 Deed Book/Page 2015-10151 Sale Price $509,000 Cash Equivalent $509,000 Land Data Zoning Utilities Shape GI, General Industrial District All Public Slightly Irregular Land Size Information Gross Land Size 7.80 Acres or 339,768 SF Indicators Sale Price/Gross Acre $65,256 Sale Price/Gross SF $1.50 Remarks This site sits on the west side of Interstate 35 with good visibility from and access to the interstate. The site was developed into a 41,551 square foot a metal office/warehouse building in 2016. 201902-20 Nelsen Appraisal Associates, Inc. Page 50 Improved Sale No. 4 Property Identification Property Type Vacant Land Address 417 S Bell Avenue, AMES, Story County, Iowa TAX ID 10-07-160-020 Sale Data Grantor Dillman Properties Inc. Grantee Beth & Kelly Investments LLC Sale Date May 26, 2016 Deed Book/Page 2016-05062 Sale Price $124,271 Cash Equivalent $124,271 Land Data Zoning Utilities Shape GI, General Industrial District All Public Generally Rectangular Land Size Information Gross Land Size 1.8343 Ares or 79,902 SF Indicators Sale Price/Gross Acre $69,384 Sale Price/Gross SF $1.56 Remarks Site is located on the west side of S Bell Avenue. The site benefits from good access to Interstate 35. 201902-20 Nelsen Appraisal Associates, Inc. Page 51 Land Value Quantitative Adjustment Grid Sale Subject 1 2 3 4 Address 3100 S Riverside Drive 2809 & 2825 Wakefield Circle 2810 Wakefield Circle 1216 S Bell Avenue 417 S Bell Ave City Ames Ames Ames Ames Ames Sale Price (SP) N/A $680,721 $139,500 $509,000 $124,271 Area (Sq Ft) 555,403 288,703 82,328 339,768 79,902 SP/$SF N/A $2.36 $1.69 $1.50 $1.56 Grantor N/A Woodruff Construction LLC REG Ames LLC Dayton Park LLC Dillman Properties Inc. Grantee N/A Badger Investments LC Story Construction Co Ames Community School District Beth & Kelly Investments LLC Attribute Adj Attribute Adj Attribute Adj Attribute Adj Property Rights Conveyed Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Cash Equivalency Typical Typical Typical Typical Typical Conditions of Sale Typical Typical Atypical 1.25 Atypical 1.25 Atypical 1.25 Market Conditions 3/14/2019 10/6/2017 1.03 10/19/2016 1.05 10/13/2015 1.07 5/26/2016 1.06 Adjusted Sale Price N/A $701,143 $183,094 $680,788 $164,659 Adjusted Price / Sq. Ft. N/A $2.43 $2.22 $2.00 $2.06 Other Considerations 1 1 1 1 Location Average Superior 0.90 Superior 0.90 Superior 0.90 Superior 0.90 Size 555,403 288,703 0.90 82,328 0.80 339,768 0.90 79,902 0.80 Shape Irregular Generally Rectangular Generally Rectangular Generally Rectangular Rectangular Utilities All Public Similar Similar Similar Similar Topography Mostly level Similar Similar Similar Similar Zoning PI GI GI GI GI Total Adjustment (Rounded) 0.81 0.72 0.81 0.72 Ind. Value Subject Per Sq Ft $1.97 $1.60 $1.62 $1.48 Analysis & Conclusions The subject and all cited comparable sales share several characteristics. They are all located in Ames and have similar zoning. These commonalities justify inclusion of these transactions in this analysis. Often there are differences between the property appraised ("the subject") and a comparable sale. When the dissimilarity affects value, an adjustment to the sale price of the comparable is necessary. Property Rights Agreements or laws create partial interests in real estate. A deed restriction or life estate usually reduces rights and value. If the subject is not affected by these limitations and a comparable is, then the comparable's sale price needs an upward property rights adjustment. In another situation, unfavorable leases eliminate a landlord's right to collect market rent, so the real estate sells for a below- market price. If the property appraised has no lease adversities and a comparable does have unfavorable leases, then the comparable requires upward adjustment. Unless stated otherwise, property rights are virtually the same for the subject and all cited conveyances. Hence, no adjustments are necessary for this element of comparison. 201902-20 Nelsen Appraisal Associates, Inc. Page 52 Financing Sub-market financing is a common technique used to finance the acquisition of real estate during periods of high interest rates. When non-market financing is used, the financing may be favorable to the buyer so the sale price is inflated. The escalated price can be envisioned as a composite of the worth of real estate plus the value of advantageous financing. Since value created by financing is not real property, the contribution of the advantageous financing must be deducted from total sale price to derive market value for just the realty. On the opposite hand, there are instances where the buyer assumes unfavorable financing, so the sale price is diminished. In the latter case, an upward adjustment must be applied to the sale price of the comparable thusly deriving the market value of the real estate. Unless a statement is made to the contrary, non-market financing was not used to acquire any comparable sale cited in this report. Therefore, no compensations are needed for financing. Conditions of Sale An adjustment for conditions of sale is necessary when a criterion of market value is violated. It could compensate for unusual buyer or seller motivations. For instance, when a seller gives a buyer an atypical rebate, discount, credit, or something of value to induce a conveyance, the sale price is usually inflated. In this case, it is logical to deduct the worth of the giveback from the sale price. Residual sums represent the property's market value. In another scenario, a buyer may pay a premium to facilitate an assemblage. In this instance, the premium must be deducted from the sale price to derive market value for that conveyance. Unless stated otherwise, no adjustments are necessary for conditions of sale. Sales 2, 3, and 4 were adjusted upward for their conditions of sale. According to the appraiser’s discussions with Mr. Greg Lynch of the City of Ames Assessor’s office, at the time these Sales occurred the City of Ames had a TIF in place for this land in an effort to spur development versus risk the land being purchased by an investor and left dormant. The City’s conditions included a restriction on the sale price of the land to make development more feasible. Therefore, these Sales were adjusted upward to account for this. Sale 1 was not adjusted for this reason since the TIF was no longer in place when Sale 1 occurred. Expenditure Post Sale This is a situation when a buyer is compelled to invest additional money into a property immediately after acquisition for some atypical reason. Post-sale invested sums are appropriately added to a comparable’s sale price thereby producing an adjusted sale price. Examples are demolition costs or building-code compliance costs. Unless a contrary statement is made, no adjustments are necessary for post-sale expenditures. Market Conditions Adjustments for market conditions are commonly referred to as time adjustments, but this is misleading. Value does not change due to the passage of time; sometimes it remains stable. Often real estate values fluctuate due to changes in supply and demand, interest rates, employment, or inflation. This type adjustment compensates for change in market conditions between a sale’s transaction date and a later point in time. All cited comparables conveyed between October 2015 and this report’s effective value date. Values rose modestly between these two dates; therefore, upward adjustments were applied to all Sales. Location Each property was rated to the subject for locational aspects such as value growth potential, access, and general desirability. Those transactions with superior locations were adjusted downward and vice versa. The subject is located south of Highway 30 and west of the Ames Municipal Airport near the Iowa State University Research Park. However, the subject does not have visibility from the highway. The subject is on a paved portion of the South Riverside Road, but South Riverside Drive is gravel heading south from the subject. All Sales are superior to the subject in that they have good access to and/or visibility from Interstate 35. Therefore, all Sales were adjusted downward. Physical Attributes A myriad of physical characteristics can affect land value. Some examples are lot size, shape, site orientation, availability of utilities, and soil conditions. Those sales with superior physical qualities warrant downward adjustment and vice versa. 201902-20 Nelsen Appraisal Associates, Inc. Page 53 Property size is typically an influential variable. Often an inverse relationship exists between price and size. That is, the larger the parcel, the lower the price per acre selling price. All Sales were adjusted downward for their smaller size. 201902-20 Nelsen Appraisal Associates, Inc. Page 54 Value Indication This adjusted data varies from $1.48 to $1.97 per square foot. After consideration of all factors pertaining to and influencing land values, the following is selected as the most fitting value indication for the subject parcel as though vacant. Accordingly, Subject Parcel(s) 555,400 SF @ $1.60 Per SF = $888,640 Indicated Market Value – Fee Simple Estate “As Vacant” Via Sales Comparison, Say $889,000 201902-20 Nelsen Appraisal Associates, Inc. Page 55 Exposure & Marketing Time Terminology abounds in the real estate appraisal profession. Two related but different concepts that are often confused are Exposure Time and Marketing Time. USPAP specifically addresses the confusion. Term Definition Explanation Exposure Time (Statement 6) “The estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal". Backward looking, ends on the effective value date. Based on factual, past events Marketing Time (Advisory Opinion 7) “An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value during the period immediately after the effective date of the appraisal". Forward looking, starts on the effective value date. A forecast based on expectancies of future occurrences. Marketing time and exposure time are both influenced by price. That is, a prudent buyer could be enticed to acquire the property in less time if the price were less. Hence, the time span cited below coincides with the value opinion(s) formed herein. USPAP Standard rule 1-2(c)(iv) requires an opinion of exposure time, not marketing time, when the purpose of the appraisal is to estimate market value. In the recent past, the volume of competitive properties offered for sale, sale prices, and vacancy rates have fluctuated little. Sale concessions have not been prevalent. In light thereof, an estimated exposure time for the subject is 6 to 10 months assuming competitive pricing and prudent marketing efforts. A marketing time estimate is a forecast of a future occurrence. History should be considered as a guide, but anticipation of future events & market circumstances should be the prime determinant. Overall market conditions are expected to remain essentially stable, so a marketing interval between 6 and 10 months is predicted for the subject. 201902-20 Nelsen Appraisal Associates, Inc. Page 56 Certification The appraisers signing this report make the following certifications to the best of their knowledge and belief. ➢ The statements of fact contained in this report are true and correct. ➢ Reported analyses, opinions, and conclusions are limited only by the assumptions and limiting conditions contained within this report, and are the appraisers' personal, impartial, and unbiased professional analyses, opinions, and conclusions. ➢ The appraisers have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. ➢ The appraisers have no bias with respect to the property that is the subject of this report, or to the parties involved with this assignment. ➢ This engagement is not contingent upon developing or reporting predetermined results. ➢ Compensation paid to the appraisers is not contingent upon the development or reporting of a predetermined value, or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of the appraisal. ➢ Reported analyses, opinions, and conclusions were developed, and this report was prepared in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP) ➢ A statement regarding observation of the subject property by each appraiser is listed below. None of the appraisers is a professional property inspector. Furthermore, none of the appraisers has formal training in the use of tools or instruments as part of a professional property inspection. Observation by one or more of the appraisers was limited to just those physical features and attributes that are not hidden or obscure in any fashion by any object or weather condition. None of the appraisers used any tools or instruments, beyond those typically used by appraisers, to probe, study, investigate, detect, or discover any physical feature or attribute that was not clearly visible on the date the property was observed. Appraisers Observations Gene F. Nelsen, MAI, CCIM Jennifer K. O’Tool Exterior Exterior ➢ No one provided significant real property appraisal assistance to the appraiser(s) signing this certification. ➢ The appraisers have performed services, as an appraiser or in another capacity, regarding the property that is the subject of this report during the three-year period immediately preceding acceptance of this assignment. An appraisal of the subject’s Land/Leased Fee Estate was completed on November 30, 2018. 201902-20 Nelsen Appraisal Associates, Inc. Page 57 Certification ➢ Use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. ➢ As of the date of this report, Gene Nelsen has completed the continuing education program of the Appraisal Institute. ➢ As of the date of this report, Jennifer O’Tool has completed the Standards & Ethics education program of the Appraisal Institute for Associate Members. Thank you for your business. Let us know how we may further serve you. Gene F. Nelsen, MAI, CCIM Certified General Real Property Appraiser Iowa License CG01034 License Expiration Date: 6/30/2019 Jennifer K. O’Tool Associate General Real Property Appraiser Iowa License AG03473 License Expiration Date: 6/30/2019 201902-20 Nelsen Appraisal Associates, Inc. Page 58 Engagement Letter 201902-20 Nelsen Appraisal Associates, Inc. Page 59 201902-20 Nelsen Appraisal Associates, Inc. Page 60 Qualifications Gene F. Nelsen, MAI CCIM President Nelsen Appraisal Associates, Inc. 10580 Justin Drive Urbandale, IA 50322 515-276-0021 Phone 515-276-9303 Fax gene@nelsenappraisal.com Since 1985 Gene has analyzed nearly all real estate types. He is a member of the Appraisal Institute and CCIM Institute and is qualified and experienced in commercial, industrial and residential real estate appraising. His experience includes valuation and consulting for these property types and purposes. • Office, Industrial, Retail, and Multi-Family Properties. • Senior Assisted/Independent Living and Nursing Facilities. • Real estate consulting in valuation, rent analysis, land development and land use evaluation. • Eminent Domain valuation. • Appraisal review. • Expert witness testimony. Education University of Northern Iowa B.A., Science - Environmental Planning, Urban Planning Emphasis Appraisal Institute Designated MAI, 1991 MAI Continuing Education includes the successful completion of courses covering a wide range of appraisal skills and practices. Credit hours earned meet or exceed the Appraisal Institute's requirement of 100 credit hours during each five-year period. CCIM Institute Designated CCIM, 2003 Professional Affiliations • MAI Designated Member of Appraisal Institute, 1991 • CCIM Designated Member of the CCIM Institute, 2003 • President, Appraisal Institute, Iowa Chapter, 1998 • Regional Representative Appraisal Institute, Iowa Chapter 1999-2001 • Public Relations Chair, Appraisal Institute, Iowa Chapter, 2001-present • Chair, University of Northern Iowa Real Estate Education Program Advisory Council – 2004-2005. Currently serving on its Board of Directors. • President, CCIM Institute, Iowa Chapter 2010-2011. Board Member since 2004 • Iowa Commercial Real Estate Expo, Committee Member since 1996 - Co-Chair 2010 • Iowa Commercial Real Estate Association, Board Member • Iowa Real Estate Appraiser Examining Board – Board Member 2011-2014 – Chair 2014 - Present State Certification State of Iowa, Certified General Real Property Appraiser State of Nebraska, Certified General Real Property Appraiser 201902-20 Nelsen Appraisal Associates, Inc. Page 61 Jennifer K. O’Tool Associate General Real Property Appraiser Nelsen Appraisal Associates, Inc. 10580 Justin Drive Urbandale, IA 50322 515-276-0021 Phone 515-276-9303 Fax jotool@nelsenappraisal.com Jennifer began her studies to become a Certified General Real Estate Appraiser in 2015 and brings a 20-year background in institutional commercial real estate mortgage lending and community banking. Her professional experience, combined with continuing education, enables her to offer high-quality services under the supervision of Gene Nelsen, MAI CCIM in • Industrial and Retail property appraisals with experience in leasehold estates and leased fee estates. • Office appraisals • Multi-family Residential real estate appraisals. Education Simpson College – Bachelor of Arts – Economics and Finance Appraisal course work, including: Appraisal Principals – 30 hours Appraisal Procedures – 30 hours National USPAP Course – 15 hours Work Experience Principal Real Estate Investors, Des Moines, IA Prepared internal and reviewed external appraisals in conjunction with the procurement of over $1 billion in mortgage loans in core property groups: industrial, retail, multi-family residential, and office Professional Affiliations Appraisal Institute – General Associate Member State Certification Associate Real Estate Appraiser status, working toward General certification. Community Organizations Junior Achievement of Central Iowa 201902-20 Nelsen Appraisal Associates, Inc. Page 62 State Licenses 201902-20 Nelsen Appraisal Associates, Inc. Page 63 Copyright Protection © Copyright 2019 Nelsen Appraisal Associates, Inc. Urbandale, Iowa 50322 All Rights Reserved. No part of this document may be reproduced, nor may any portion be incorporated into any information retrieval system without written permission from Nelsen Appraisal Associates, Inc., the copyright holder. The descriptions, analyses, and conclusions stated herein are intended for the exclusive use of our client, City of Ames, and other explicitly identified intended users, solely for the intended use stated in this document. Nelsen Appraisal Associates, Inc. retains all rights, title, and interests in all trademarks, trade names, trade secrets, data, conclusions, opinions, valuations, and other information included in, arising out of, or in any way related to this appraisal. No person or entity shall be entitled to break down, strip out, mine, or disseminate any component or portion of this report, including, but not limited to any valuations, opinions, data compilations, or conclusions. This report and all its contents is a culmination of intellectual and professional experiences, education, personal investigations, and know- how, which shall at all times remain the property of Nelsen Appraisal Associates, Inc., its sole owner. End of Report