HomeMy WebLinkAbout~Master - Special Ames Conference Board Meeting 11/22/2005MINUTES OF THE SPECIAL MEETING OF THE AMES CONFERENCE BOARD
AND REGULAR MEETING OF THE AMES CITY COUNCIL
AMES, IOWA NOVEMBER 22, 2005
SPECIAL AMES CONFERENCE BOARD MEETING
The special meeting of the Ames Conference Board was called to order by Chairman Ted Tedesco
at 6:00 p.m. on November 22, 2005. Present from the Ames City Council were Cross, Goodhue,
Goodman, Mahayni, Vegge, and Wirth. Ex officio Member Borich was also present. Story County
Board of Supervisors present were Clinton, Halliburton, and Toms. Representing the Ames School
Board were Brown and Murray. Gilbert and United School Districts were not represented.
Moved by Toms, seconded by Cross, to approve the minutes of the regular meeting of February 22,
2005, and special meetings of April 8, August 9, August 16, September 13, and November 8, 2005
Vote on Motion: 3-0. Motion declared carried unanimously.
REPORT OF MINI-BOARD: Council Member Cross reported the recommendations of the Mini-
Board pertinent to the operation of the City Assessor’s Office.
Moved by Cross, seconded by Clinton, to increase the salary of the Acting City Assessor,
effective August 16, 2005, by five percent.
Vote on Motion: 3-0. Motion declared carried unanimously.
Moved by Cross, seconded by Toms, to increase the mileage reimbursement rate effective
December 1, 2005, to $0.48/mile, subject to the IRS changing the allowable rate.
Vote on Motion: 3-0. Motion declared carried unanimously.
Moved by Cross, seconded by Clinton, to adjust the respective line items in the current budget
to pay for Assessor recruitment, as follows: (1) Assessor salary line item reduced by $5,800; (2)
Deputy salary line item increased by $1,800 to account for 5% increase paid until new Assessor
appointed by January 1, 2006; (3) Employee insurance reduced by $6,000; and (4) Contingency
increased by $10,000 to accommodate Assessor recruitment costs.
Supervisor Clinton advised that it was not the intent of the Mini-Board that $10,000 be spent on
recruitment costs; however, the Board felt that it was necessary to have that cushion, if needed.
Vote on Motion: 3-0. Motion declared carried unanimously.
Moved by Cross, seconded by Clinton, to enact the flex-benefit plan for employees of the City
Assessor’s Office that the City currently provides for its employees.
Vote on Motion: 3-0. Motion declared carried unanimously.
Mr. Cross advised that the Mini-Board reviewed applications, and phone interviews will be
conducted with five candidates during the week of November 28. Following the conclusion of
those, finalists will be chosen and meetings with the public held. Another Conference Board
meeting will be held on December 20, 2005, to select the City Assessor.
COMMENTS: Moved by Clinton, seconded by Vegge, to formalize the Mini-Board as a
subcommittee of the Conference Board for the express purpose of assisting in the preparation
of the budget and reviewing the position of the City Assessor. This Board shall be comprised
of the City Assessor and one representative of the Ames City Council, Story County Board of
Supervisors, Ames Community School District, Gilbert Community School District, and United
Community School District.
Vote on Motion: 3-0. Motion declared carried unanimously.
ADJOURNMENT: 6:17 p.m.
REGULAR MEETING OF THE AMES CITY COUNCIL
The regular meeting of the Ames City Council was called to order by Mayor Ted Tedesco at 6:22
p.m. on November 22, 2005, in the City Council Chambers in City Hall, 515 Clark Avenue. Present
from the Ames City Council were Cross, Goodhue, Goodman, Mahayni, Vegge, and Wirth. Also
present was Ex officio Member Borich.
Mayor Tedesco brought the Council’s attention to the following documents placed around the dais:
(1) Report from Chuck Cychosz on the National Summit on Preventing Civil Disturbances; (2)
Letter from Jon Chester dated November 22, 2005; (3) Letter from the Economic Development
Commission regarding the Ames Community Investment Fund; and, (4) letter from Sheryl Bottjen
regarding a bike path on Mortensen Drive.
CONSENT AGENDA: Moved by Cross, seconded by Goodhue, to approve the following items
on the Consent Agenda:
1. Motion approving payment of claims
2. Motion approving minutes of the regular meeting of November 8 and special meetings of
November 9 and November 14, 2005
3. Motion approving renewal of the following beer permits and liquor licenses:
a. Class B Liquor - Country Inn & Suites, 2605 SE 16th Street
b. Class C Liquor - Diamond Dave’s, 2801 Grand Avenue
c. Class C Beer & Class B Wine - HyVee Wine & Spirits, 3615 Lincoln Way
d. Class BW Liquor - House of Chen, 2508 Ferndale
e. Class C Liquor - Reign, 2522 Chamberlain
4. Motion approving new Class B Beer Permit for Legions-2-Legends, 2603 Northridge Parkway
5. Motion approving new Class E Liquor License for Village Wine Market, 2613 Northridge
Parkway
6. RESOLUTION NO. 05-458 accepting Abstract of Votes for November 8, 2005, Regular City
Election
7. Motion approving Affirmative Action Annual Analysis
8. Motion directing the City Attorney to prepare an ordinance establishing parking regulations on
Sedwick Drive and Stockbury Street
9. RESOLUTION NO. 05-459 adopting the Statewide Mutual Aid Compact
10. RESOLUTION NO. 05-460 adopting the National Incident Management System
11. RESOLUTION NO. 05-461 approving contract with Heartland Service Services for Dial-A-Ride
services for Transit
12. RESOLUTION NO. 05-462 approving preliminary plans and specifications for Construction of
the Boone Junction Substation Modifications; setting December 21, 2005, as bid due date and
January 10, 2006, as date of public hearing
13. RESOLUTION NO. 05-463 approving preliminary plans and specifications for the construction
of a wastewater flow meter for the City of Kelley; setting December 22, 2005, as bid due date
and January 10, 2006, as date of public hearing
14. RESOLUTION NO. 05-464 waiving the formal bidding requirement and awarding a contract
to Burmeister Electric Co., of Fort Dodge, Iowa, for the purchase of switchgear for additional
electrical service capability for Ball Plastics
15. RESOLUTION NO. 05-465 awarding contract for purchase of Tractor/Loader/Backhoe to Mid-
Land Equipment of Ankeny, Iowa, in the net amount of $47,570.00 for Public Works
Department
16. Electric Distribution Cable and Wire:
a. RESOLUTION NO. 05-466 awarding a contract to Crescent Electric of Fort Dodge, Iowa,
to provide compact copper cable
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b. RESOLUTION NO. 05-467 awarding a contract to WESCO Distribution, Des Moines,
Iowa, to provide copper wire
17. RESOLUTION NO. 05-468 approving Change Order No. 1 and accepting completion of
2005/06 Airport Improvements (Taxiway 01/19 Rehabilitation)
18. RESOLUTION NO. 05-469 accepting completion of 2004/05 Bridge Rehabilitation Program
(13th Street Bridge over Skunk River)
19. RESOLUTION NO. 05-470 accepting completion of 2004/05 Water System Improvements
Program
20. RESOLUTION NO. 05-471 accepting completion of 2005/06 CyRide Route Reconstruction
Program (Welch Avenue)
Roll Call Vote: 6-0. Resolutions declared adopted unanimously, signed by the Mayor, and
hereby made a portion of these minutes.
PUBLIC FORUM: No one spoke during this time.
ORDINANCE ESTABLISHING PARKING REGULATIONS ON STANGE ROAD AND
OXFORD AVENUE: Moved by Goodhue, seconded by Vegge, to pass on first reading an
ordinance establishing parking regulations on Stange Road and Oxford Avenue.
Roll Call Vote: 6-0. Ordinance declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
ORDINANCE REZONING PROPERTY LOCATED NORTHEAST AND SOUTHEAST OF
INTERSTATE 35 AND EAST 13TH STREET INTERCHANGE: Moved by Goodhue,
seconded by Cross, to pass on second reading an ordinance rezoning property located northeast
and southeast of Interstate 35 and East 13th Street Interchange from “A” (Agricultural) and “PI”
(Planned Industrial) to “PRC” (Planned Regional Commercial) and “O-GNE” (Northeast
Gateway Overlay District).
Roll Call Vote: 4-2. Voting aye: Cross, Goodhue, Mahayni, Vegge. Voting nay: Goodman,
Wirth. Motion declared carried.
ORDINANCE REZONING PROPERTY LOCATED AT 534 SOUTH DUFF AVENUE:
Moved by Goodhue, seconded by Vegge, to pass on second reading an ordinance rezoning
property at 534 South Duff Avenue from “A” (Agricultural) to “HOC” (Highway-Oriented
Commercial) [Wal-Mart].
Roll Call Vote: 6-0. Motion declared carried unanimously.
ORDINANCE ESTABLISHING NO-PARKING REGULATIONS ON NORTHWESTERN
AVENUE: Moved by Goodhue, seconded by Wirth, to pass on second reading an ordinance
establishing no-parking regulations along the east side of Northwestern Avenue from 13th Street
to 615 feet north
Roll Call Vote: 6-0. Motion declared carried unanimously.
CHANGE ORDERS FOR WIDE-AREA NETWORK (WAN) PROJECT: Electric Services
Director Merlin Hove stated that the change orders followed the approved labor and expense
rates stipulated by the approved contract.
Moved by Goodhue, seconded by Cross, to adopt RESOLUTION NO. 05-473 approving
engineering services Change Orders #1 and #2 in the total amount of $47,382 for the WAN
Project for Electric Services.
Roll Call Vote: 6-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
HUNZIKER YOUTH SPORTS COMPLEX OPERATIONAL PLAN: This item was pulled
from the Agenda by staff.
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SOUTH LINCOLN URBAN REVITALIZATION AREA PLAN: Moved by Wirth, seconded
by Goodhue, to set the date of public hearing for December 13, 2005, to amend the South
Lincoln Urban Revitalization Plan to add an optional eligibility criteria for projects that provide
commercial space within a “Key Redevelopment Site” and reduce the minimum square footage
required to 1,500 square feet.
Vote on Motion: 6-0. Motion declared carried unanimously.
DOWNTOWN COMMERCIAL REVITALIZATION: City Manager Steve Schainker reminded
the Council that they had asked to review the Downtown Plan, originally presented in 1996,
prior to making a final decision regarding the catalyst project. At the request of Council
Member Goodman, Mr. Schainker reviewed the actions taken by the City Council regarding a
possible overpass over the railroad tracks on Duff Avenue.
Matt Flynn, Director of Planning & Housing, summarized the Ames Downtown Charrette
suggested after the five-day planning session held September 19-23, 2005. The next steps would
be to prepare and broadcast the charrette summary on Channel 12 (in December); to publicize
and conduct a public review (in January) afterwhich the City Council would make a decision
whether to proceed; the funding source(s) would be identified and secured (in February); the
Request for Proposals would be prepared and negotiations would occur with developers; and the
project would be designed and built. He explained that the City felt a developer would be
attracted to this project. Mr. Flynn advised that the Ames Town Square project was selected in
part because the site is City-controlled; no land acquisition would be necessary.
Council Member Wirth felt that studies needed to be performed on traffic flows. She
discouraged the placement of concrete over greenspace on property near the City Hall.
Council Member Cross suggested that a member of the Des Moines City Council, staff, or
developer be invited to come to a City Council meeting in January to explain their East Village
project. He also felt that it was important to determine what would follow this project; a bigger
vision for the area is needed.
Council Member Goodhue suggested that feedback be sought from the Main Street Cultural
District. Council Member Cross felt that the MSCD would provide input during the public
review.
Mayor Tedesco said that it was important to determine what this project would do to the City’s
Capital Improvements Plan (CIP). Ex officio Member Borich recommended that policy issues
be looked at simultaneously with the selection of the catalyst project to further enhance it.
Council Member Mahayni suggested that a city-wide (civic) type of activity locate in the plaza;
it needs to attract people from all over the city.
Moved by Cross, seconded by Goodman, to accept the schedule as proposed, conduct a public
meeting in January, and invite a representative from the City of Des Moines Planning staff to
attend that meeting.
Vote on Motion: 6-0. Motion declared carried unanimously.
Angela Moore, Director of the Ames Main Street Cultural District (MSCD), 526 Main Street,
requested that a joint meeting between the City Council and the MSCD be held prior to the
public meeting in January to discuss the suggested catalyst project. The District does like the
idea of a Town Square; however, they feel that Main Street would be a better location.
Discussion ensued as to the necessity of having a separate meeting with the MSCD. Council
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Members Goodhue and Goodman felt that it was important to meet with the MSCD to discuss
their strategic plan, especially in light of the fact that the City provided funding towards its
operations.
Moved by Goodhue, seconded by Cross, to direct staff to schedule a round-table discussion with
the Main Street Cultural District in late January to discuss the charrette as well as the financing,
strategic plan, etc., for the MSCD.
Vote on Motion: 6-0. Motion declared carried unanimously.
PROCLAMATION FOR ALZHEIMER’S AWARENESS WEEK: Mayor Tedesco proclaimed
November 27 - December 3, 2005, as Alzheimer’s Awareness Week. Accepting the
Proclamation was Morgan Scheppler, representing Ames High School DECA Club.
PRESENTATION BY STORY COUNTY HIV COLLABORATION ON WORLD AIDS
DAY: This item was pulled by at the request of the agency.
PRESENTATION BY BLACK CULTURAL CENTER (BCC) AND REQUEST FOR
FUNDING: Dr. Tom Hill, Vice-President for Student Affairs at Iowa State University, explained
the history and purpose of the Black Cultural Center, which is located on Welch Avenue. It is
a facility that needs to be brought back into good repair. It is an older structure and needs
maintenance and upkeep. Iowa State University has agreed to assume maintenance of the
facility if it can be brought up to Code. The Black Cultural Center is requesting funding in the
amount of $50,000 – $20,000 from ISU; $20,000 from the City; and, $10,000 from the
Government of the Student Body (GSB). Dr. Hill stated that ISU and the GSB have committed
to provide the funding.
Mayor Tedesco pointed out that this Center is a multi-cultural center used by many groups of
the community as a meeting place. There was a plumbing break, and the initial estimate for
repair due to that was approximately $46,000.
Dr. Hill pointed out that the concept of “One Community” is epitomized through the BCC,
where students and community members, faculty, and staff come together to learn and grow; the
goal is to be a resource for the Ames/ISU community as a whole. The Black Cultural
Corporation, comprised of African American students at Iowa State University, owns the
facility. That would remain; however, the University would manage the facility. He requested
$20,000 from the City of Ames to assist in the revitalization and reopening of the Black
Cultural Center.
According to Dr. Hill, the function of a future Multi-Cultural Center is yet to be determined.
The BCC has a history in Ames; the two centers would not be in conflict. The Multi-Cultural
Center would be enhanced by the Black Cultural Center.
Mr. Schainker suggested that this request would fall under the category of community
betterment and could be funded, if the City Council so desired, out of the available balance of
the Local Option Sales Tax fund.
Moved by Wirth, seconded by Mahayni, to adopt RESOLUTION NO. 05-474 granting the
funding request in the amount of $20,000 to be allocated from the available balance of the Local
Option Sales Tax fund, contingent on the other agencies providing funding in the amounts
aforestated.
Council Member Goodman believes that funding this request would set a precedent, and he is
not in favor of funding student groups or providing capital improvements to this type of entity
in this amount of money. Dr. Hill explained that the City funded the BCC in the late 80's with
Community Development Block Grant (CDBG) funds, so a precedent had already been set.
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Council Member Mahayni advised that the BCC currently serves as a multi-cultural center. He
wanted to know which office at Iowa State University would manage the BCC. Dr. Hill advised
that the Multi-Cultural Student Affairs Office in the Dean of Students Office would manage the
facility. He also stated that the Center serves several purposes; it will also house the Iowa State
African American Hall of Fame. Mr. Mahayni suggested that any future Multi-Cultural Center
also be located on Welch Avenue.
Council Member Cross suggested that a fund-raising effort be conducted in the community. He
felt that this would help the community feel a part of the BCC. Dr. Hill stated that fund-raising
efforts have already yielded approximately $30,000 for program funding.
Roll Call Vote: 5-1. Voting aye: Cross, Goodhue, Mahayni, Vegge, Wirth. Voting nay:
Goodman. Resolution declared adopted, signed by the Mayor, and hereby made a portion of
these minutes.
HEARING ON COMBUSTION TURBINE GT 1 CONTROL SYSTEM UPGRADE: Mayor
Tedesco opened the public hearing. There being no one wishing to speak, the hearing was
closed.
Moved by Wirth, seconded by Goodhue, to reject all bids and authorize staff to rebid the project
after January 1, 2006.
Vote on Motion: 6-0. Motion declared carried unanimously.
HEARING ON ADOPTION OF THE 2005 NATIONAL ELECTRIC CODE: The Mayor
opened the public hearing. The Mayor closed the hearing after no one asked to speak.
Moved by Goodhue, seconded by Wirth, to pass on first reading an ordinance adopting the 2005
National Electric Code.
Roll Call Vote: 6-0. Motion declared carried unanimously.
Moved by Goodhue, seconded by Wirth, to suspend the rules necessary for the adoption of an
ordinance.
Roll Call Vote: 6-0. Motion declared carried unanimously.
Moved by Goodhue, seconded by Goodman, to pass on second and third readings and adopt
ORDINANCE NO. 3860 adopting the 2005 National Electric Code.
Roll Call Vote: 6-0. Ordinance declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
HEARING ON URBAN REVITALIZATION PLAN FOR TOWN CENTER WEST URBAN
REVITALIZATION AREA: The Mayor opened the hearing. Mayor Tedesco closed the hearing
after no one came forward to speak.
Moved by Goodhue, seconded by Mahayni, to adopt RESOLUTION NO. 05-472 approving the
Urban Revitalization Plan for the Town Center West Urban Revitalization Area.
Roll Call Vote: 5-1. Voting aye: Cross, Goodhue, Mahayni, Vegge, Wirth. Voting nay:
Goodman. Resolution declared adopted, signed by the Mayor, and hereby made a portion of
these minutes.
Moved by Goodhue, seconded by Wirth, to pass on first reading an ordinance establishing the
Town Center West Urban Revitalization Area.
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Roll Call Vote: 5-1. Voting aye: Cross, Goodhue, Mahayni, Vegge, Wirth. Voting nay:
Goodman. Motion declared carried.
HEARING ON TEXT AMENDMENT TO THE ZONING ORDINANCE TO ALLOW A
DECREASE IN PARKING REQUIREMENTS IN THE INDUSTRIAL WAREHOUSE
DISTRICT: The public hearing was opened by Mayor Tedesco and closed after no one desired to
speak.
Moved by Mahayni, seconded by Vegge, to pass on first reading an ordinance making a zoning
text amendment to allow a decrease in parking requirements in the Industrial Warehouse
District.
Roll Call Vote: 6-0. Motion declared carried unanimously.
HEARING ON TEXT AMENDMENT TO THE ZONING ORDINANCE TO EXEMPT
GARAGES/ACCESSORY BUILDINGS/STRUCTURES FROM THE REQUIREMENT FOR
A SPECIAL USE PERMIT FOR INSTITUTIONAL USES: Mayor Tedesco opened the
public hearing. No one wished to speak, and the hearing was closed.
Moved by Mahayni, seconded by Wirth, to pass on first reading an ordinance making a zoning
text amendment to exempt garages and accessory buildings/structures from the requirement for
a Special Use Permit for institutional uses and to limit the maximum size to 900 gross square
feet.
Roll Call Vote: 6-0. Motion declared carried unanimously.
Moved by Goodhue, seconded by Wirth, to suspend the rules necessary for the adoption of an
ordinance.
Roll Call Vote: 6-0. Motion declared carried unanimously.
Moved by Goodhue, seconded by Wirth, to pass on second and third readings and adopt
ORDINANCE NO. 3861 making a zoning text amendment to exempt garages and accessory
buildings/structures from the requirement for a Special Use Permit for institutional uses and to
limit the maximum size to 900 gross square feet.
Roll Call Vote: 6-0. Ordinance declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
WATER DISTRIBUTION SYSTEM UPDATE STUDY: Public Works Director John Joiner
presented a summary of the Study. He also reviewed the recommended improvements plan and
schedule.
Council Member Wirth left the meeting at 8:30 p.m.
Moved by Goodhue, seconded by Goodman, to approve the Water Distribution System Update
Study as prepared by Stanley Consultants, Inc.
Vote on Motion: 5-0. Motion declared carried unanimously.
PEDESTRIAN WALKWAY CRITERIA: John Joiner presented a chronological review of the
Pedestrian Walkway Program.
Council Member Wirth returned to the meeting at 8:35 p.m.
Municipal Engineer Tracy Warner reviewed the Advisory Committee recommendations,
explaining the project format, basis of financing, and financing options for property owners.
Construction and engineering costs to complete the recommended arterial street locations are
estimated at approximately $4,000,000 in current dollars. Ms. Warner stated that since the time
that the Committee reported back to Council at the roundtable discussion, two important
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developments had occurred relating to establishing designated walking routes to public schools.
Following school boundary revisions by the Ames Community School District (ACSD), City
staff was involved in the process of establishing newly designated walking routes through the
development of “Safe Routes to School” plans. City Manager Schainker explained that
completing missing segments of sidewalks and bike paths in association with the Safe Route
plans had been a high priority for those citizens who provided comments to the City and ASCD.
It is estimated that the cost of the Safe Route to School plan sidewalks is approximately
$500,000. Routes shown on these plans account for approximately $250,000 of the projects
shown in the Shared Use Path System section of the CIP.
Mr. Schainker pointed out that it is estimated that up to a .5 full-time equivalent (FTE) person
would be necessary to track all components of the initial Advisory Committee’s
recommendation. It would also be difficult to establish benefit as far as special assessment
procedures are concerned..
Marie Mayer, 607 River Oak Drive, Ames, explained that the Advisory Committee did set
priorities, one of which was school routes. The Committee delegated the task of determining
funding sources to City staff.
Moved by Cross, seconded by Goodhue, to accept the Ad hoc Pedestrian Walkway Advisory
Committee’s report with modifications to the Program to utilize the Safe Routes to School plans
as an initial priority (priorities to be reported to City Council on December 13, 2005) and
directing staff to outline a funding plan.
Vote on Motion: 6-0. Motion declared carried unanimously.
Council Member Wirth left the meeting at 8:50 p.m.
CROSS-CONNECTION CONTROL PROGRAM: John Dunn presented the history leading to
the necessity of conceptual revisions to the Cross-Connection Control Ordinance. It is being
proposed that appeals for containment requirements be presented to a separate administrative
appeals board.
Moved by Cross, seconded by Goodman, to approve the conceptual revisions to the Cross-
Connection Control Program and direct the City Attorney to prepare a revised ordinance.
Vote on Motion: 5-0. Motion declared carried unanimously.
The meeting recessed at 9:00 p.m. and reconvened at 9:05 p.m.
BUDGET GUIDELINES: Mr. Schainker explained the various avenues for public input regarding
the City’s budget. City staff is now asking for input by the City Council on 2006/07 budget
issues. He introduced Finance Director Duane Pitcher and Budget Officer Carol Collings.
Mr. Pitcher advised that the City of Ames continues to experience good economic conditions
with unemployment remaining under the national average and moderate steady growth.
Increases in the cost of fuel are expected to have a negative impact on the City’s budget due to
the cost for operating motorized equipment and vehicles and heating facilities increasing at
double-digit rates.
Fund balances were discussed, as follows:
General Fund. The General Fund ended FY 2004/05 with a fund balance $600,000 greater
than budgeted. Implementation of the City Health Insurance Team’s recommendations by
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all City employees and bargaining units is expected to reduce health care costs for the
current year, further improving the General Fund balance. Four options for utilizing the
additional fund balance were presented: (1) Eliminate or reduce the budgeted transfer
($301,645) from the Police and Fire Retirement Fund to the General Fund; (2) Purchase
one-time capital items that would have been considered next year in the current year and
fund those items from the General Fund balance; (3) Use City funds to provide one-time
requests to outside agencies; and, (4) Increase the Fund balance.
Road Use Tax Fund. Regarding the Road Use Tax Fund, the revenues, which finance the
majority of the operations and capital costs related to the Public Works Department
services, will impact the budget. Higher gasoline costs are influencing fewer miles being
driven; thereby, less tax receipts will be distributed to cities.
Fire and Police Retirement and IPERS. The City has been notified that its contribution rate
to the Fire and Police Retirement Plan will decrease slightly from 28.21% to 27.75%. This
2% increase is considerably less than costs increases of 25 and 18%, respectively, in the
prior two years. The funding level of the Iowa Public Employees Retirement System
(IPERS) indicates that increases in contribution rates are very likely to be required in the
near future; these rates require action by the State Legislature.
Internal Services. FY 2006/07 combined budgets for the Internal Service activities
increased by 3.8%. Due to cuts in FTEs and other cost-saving measures, the total cost of
Internal Services is expected to be lower in FY 2005/06 than in FY 2004/05.
Health Insurance. For FY 2005/06, the cost of health insurance will be down nearly 10%
from the adopted budget. It is expected that the cost increase for FY 2006/07 will be less
than 1% from FY 2005/06. Additionally, the Health Care Self Insurance Fund balance has
recovered; the City is in a better position to absorb fluctuations in future health care claims
experience.
Rollback. For FY 2006/07, 45.996% of assessed residential value will be taxed, down from
47.9642% in FY 2005/06. This reduction creates a continued shift in the property tax
burden from residential property to commercial and industrial property.
Interest Earnings. The expected improvement in investment income is approximately
$100,000 in the General Fund for FY 2006/07.
Local Option Sales Tax Revenues. It is expected that Local Option Sales Tax receipts will
be $15,000 lower than the adopted budget. For FY 2006/07, growth is predicted at 2.5%
in Local Option Sales Tax revenue from the Adopted Budget.
Human Service and Arts Agencies’ Funding. Requests for funding for the human
service agencies in the City have surpassed normal inflationary increases as their other
funders have reduced their support. In the past, rather than make up for lost revenues
from other governmental agencies, the Council has chosen to allocate monies based on
a reasonable inflationary increase. The funding level for FY 2005/06 is $813,373 for
human service agencies. The funding level for 2005/06 for arts agencies is $94,195.
Three options for funding these agencies were presented: (1) Appropriate an increase to
the agencies based on an anticipated inflationary increase [3.5%]; (2) Provide an
appropriate inflationary increase to the human service agencies plus an amount to make
up for the totals that the Story County Supervisors and GSB fund below an acceptable
inflationary increase. The amount of City funding under this option is $864,843. For
the Commission On The Arts (COTA), the City Council can calculate a new total by
going back to the first year the amount was frozen and calculate an annual inflationary
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increase up to FY 06/07, resulting in a funding level of $104,942; (3) Allocate amounts
equal to the requests from the human service agencies and COTA ($897,904 and
$127,350, respectively).
Transfer to the General Fund. Sixty percent (60%) of Local Option Sales Tax receipts
are transferred to the General Fund for property tax relief. For each of the past three
years, the City Council provided additional property tax relief by transferring $230,000
from the Local Option Sales Tax Fund to the General Fund. An adequate balance will
remain in the Local Option Sales Tax Fund to continue the same level of additional tax
relief in FY 2006/07.
Community Betterment. In addition to financing the human services and the arts, the
City has traditionally used “community betterment” Local Option Sales Tax receipts to
fund capital improvements primarily for public facility improvements, parks and
recreation improvements, and public infrastructure. This strategy has benefited Ames
citizens by allowing the City to accomplish smaller capital improvements by paying cash
rather than the more expensive alternative of borrowing money through G. O. Bond debt
financing.
Hotel/Motel Tax Revenues. Hotel/Motel Tax receipts were slightly higher than expected for FY
2004/05. The Hotel/Motel tax rate was increased from 5 to 7% effective July 1, 2005; the
additional 2% goes to the Ames Convention and Visitors Bureau (ACVB). The ACVB has
indicated that it will use some of the additional funding for community events, some of which
may have been funded by the City in the past.
The City Council concurred with the following allocations for 2006/07:
FACES $ 1,500
Economic Development Projects 50,000
Iowa Games/Special Olympics 7,500
July 4th Fireworks 10,000 (on a dollar-for-dollar match)
Economic Development Dues 24,573
Partner City 3,000
Chamber Dues 1,707
The City Council recommended not funding the West Fest in the amount of $250.
Utility Rates.
Water. An increase in water rates is not anticipated for FY 2006/07 or in the near future.
Sanitary Sewer. Sanitary sewer rates will not be increased in FY 2006/07 or in the very
near future. It is very likely that renovations to the Water Pollution Control Plant will
require rate increases in the next four to five years.
Storm Water. An increase in the storm water utility fee is not anticipated for FY 2006/07;
however, compliance with EPA Phase II Storm Water Regulations may require a significant
increase in later years, depending on federal mandates.
Council Member Goodman asked for justification for this fee to be provided to the Council
again.
Resource Recovery. After a review of the Capital Improvements Plan, the Council may
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want to consider lowering the per capita subsidy or the per ton tipping fee.
Electric. Electric Utility is in the process of completing two large capital improvement
projects that have substantially reduced the fund balance. It has been determined that the
Electric Utility should maintain a cash balance of $10.1 million to meet working capital and
contingency needs, and that balance was drawn down to finance the two major projects to
save customers the cost of debt financing. The City is now at the point where the balance
has dipped below the goal so that a moderate rate increase is warranted beginning in July.
In addition, the upcoming project to replace base load generation for Electric Services will
require substantial rate increases. The City Council voted to consider a series of smaller
rate increases every other year to be adjusted as information about the project is known.
Staff is recommending that the City Council consider a 3.5% to 4% rate increase for FY
2006/07.
Council Member Goodhue is concerned about increasing rates 4%, especially based on the
anticipated increases in natural gas costs. Council Member Cross asked to know what a
3.5% and 4.0% increase would mean to the average user. That information will be provided
during budget time.
CyRide. Fuel costs have a large impact on the CyRide Operating Budget ($150,000 to $200,000
for the current year). Ridership and student enrollment are down slightly in the current year.
The student fee rate will be increased by 8.2% next year. It is anticipated that the CyRide
system will be requesting additional property tax support for FY 2006/07.
Other Funding Requests.
Dinkey study $ 20,000
Black Cultural Center 20,000 (funded at this meeting)
Veteran’s Memorial 80,000
Youth Sports Complex 250,000
Downtown planters 2,000
Public art 20,000 (anticipated request)
GSB - Campustown design studio 1,750
Other than the BCC, no decisions were made on the above requests at this meeting.
Capital Improvements Plan. The following issues relating to capital projects were summarized.
1. Extension of Sanitary Sewer Main to Northwest Growth Priority Area. There has been
intention expressed by a developer to develop land north of the railroad and west of North
Dakota Avenue as a Village. Under the City’s approved Land Use Policy Plan, the City
would assume an obligation to extend sanitary sewer infrastructure to this Growth Priority
Area, which will require a significant outlay of sanitary sewer funds ($1,500,000) and will
also involve extending the line across undeveloped land in the Onion Creek watershed.
2. Neighborhood Water Quality Improvements. Short-term corrective action is urgently
needed to maintain water quality in sections of the water distribution network along South
Maple Avenue and Maxwell Avenue ($300,000).
3. New Improvements and Extensions Projects. The City currently pays for “oversizing”
water and sewer system mains as well as “extra deep and width” roadway costs; these costs
in Utilities and Transportation will be shown in the CIP beginning this year.
4. Dog Park. Major fundraising efforts for this project will begin if this project is approved
by Council in February as a part of the updated CIP. Annual operational costs will be
around $10,000, and a user fee will be recommended to help offset those costs.
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Highlights of several additional personnel needs were given for the Police, Fire, and Electric
Services Departments. Another major reason for increased staffing is directly related to the
expansion of programs provided by the City, e.g., MPO, Pedestrian Walkway Program, and
Section 8 Leased Housing Program.
Downtown Catalyst Project. The City Council will also have to decide what, if any, funding
should be included in the 2006/07 budget. The consultants projected the need for $1.7 million
for the project.
Moved by Goodhue, seconded by Vegge, to increase the allocation to ASSET and the Commission
On The Arts (COTA) by 2.5% for FY 2006/07.
Assistant City Manager Lundt stated that the GSB had indicated their allocation towards ASSET
would be down by approximately $5,000; it is based on student enrollment. It is unknown at this
point what the allocation will be from Story County, but it is unlikely to increase. Fund-raising
efforts for United Way are ongoing, and their numbers are not yet determined. Ms. Lundt asked
what the City Council wanted to do about the predicted shortfall in funding for ASSET agencies.
Council Member Goodhue said he believed that all funders should “step up to the plate.” Council
Member Vegge said that he was not tied to 2.5%, but he was wanted to ensure that Ames was
paying for services for only its citizens. Council Member Cross concurred.
Moved by Mahayni, seconded by Cross, to amend the motion to increase the allocation to ASSET
and COTA by 3.5%, based on an anticipated inflationary increase, for FY 2006/07.
Moved by Goodman to amend the motion to remove COTA from the 3.5% increase.
Motion failed for lack of a second.
Vote on Amendment: 5-0. Motion declared carried unanimously.
Vote on Motion, as Amended: 5-0. Motion declared carried unanimously.
Assistant City Manager Sheila Lundt asked the City Council to decide on their priorities for
ASSET. It was decided that decisions on the priorities would be made at the meeting of
December 13, 2005. Council Member Goodhue asked to know the other funders’ issues. Tony
Borich requested to know what increases the other funders have committed to in prior years.
COMMENTS: Moved by Goodhue, seconded by Mahayni, to refer to staff letters from the AEDC
regarding the Ames Community Investment Fund and Sheryl Bottjen pertaining to a bike path
on Mortensen Drive; and directing staff to place the request from Jon H. Chester on the
December 13 Agenda.
Vote on Motion: 5-0. Motion declared carried unanimously.
ADJOURNMENT: 10:54 p.m.
___________________________________ ____________________________________
Diane R. Voss, City Clerk Ted Tedesco, Mayor
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