HomeMy WebLinkAbout~Master - Special Meeting of the Ames City Council 03/29/1993MINUTES OF THE SPECIAL MEETING
OF THE AMES CITY COUNCIL
AMES, IOWA MARCH 29, 1993
The Ames City Council met in special session at 3:00 p.m. in the City Council Chambers in the City
Hall, 515 Clark Avenue, pursuant to law with Mayor Curtis presiding and the following Council
Members present: Brown, Campbell, Hertz, Parks, and Wirth. Council Member Hoffman was
absent.
REQUEST FROM "A NIGHT ON THE TOWN" (GREEK WEEK '93) CO-CHAIRS: Motion
by Parks, Second by Campbell, to approve the request from the Co-Chairs of "A Night on the Town"
(Greek Week '93) to allow under-age persons on the premises of People's Bar and Grill, the
Coliseum Nightclub, and Hunky Dory's while alcohol is being served on March 31, 1993 from 6:00
p.m. to 2:00 a.m.
Vote on Motion: 4-1. Voting aye: Campbell, Hertz, Parks, and Wirth. Voting Nay: Brown.
Motion declared carried 4:1.
RECONSTITUTION OF PUBLIC ART POLICY AND ACQUISITION COMMITTEE AND
APPOINTMENT OF VOLUNTEERS: Mayor Curtis noted an amendment to the Council Action
Form accompanying this item, regarding the appointment of Betty Toman to replace Sarah Post
under the one year term appointees.
Motion by Campbell, Second by Wirth, to adopt RESOLUTION NO. 93-118 reconstituting the
Public Art Policy and Acquisition Commission, and approving of the appointment of volunteers.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
COMPLETION OF CONTRACT FOR HIGH SERVICE PUMP IMPROVEMENTS FOR
WATER PLANT: Motion by Campbell, Second by Brown, to adopt RESOLUTION NO. 93-119
accepting completion of the contract for High Service Pump Improvements for the Water Plant by
ACI Mechanical Corporation, and authorizing final payment in accordance with the contract
documents.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
COMPLETION OF CONTRACT FOR BLOOMINGTON ROAD WATER TOWER
CONTROL VALVE VAULT: Motion by Parks, Second by Campbell, to adopt RESOLUTION
NO. 93-120 accepting completion of the Bloomington Road water tower control valve vault by ACI
Mechanical Corporation and authorizing final payment in accordance with contract documents, with
stipulations.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
LIME SLUDGE DISPOSAL PROJECT: Motion by Hertz, Second by Wirth, to adopt
RESOLUTION NO. 93-121 approving preliminary plans and specifications for the Lime Sludge
Disposal Project; establishing April 15, 1993 as the bid due date and April 27, 1993 as the date for
final hearing and award of contract.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
PUBLIC RESTROOM FACILITIES AT INIS GROVE PARK PROJECT: Motion by
Campbell, Second by Brown, to adopt RESOLUTION NO. 93-122 approving contract and bond of
R.H. Grabau Construction, Inc. for construction of Public Restroom Facilities at Inis Grove Park.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
UNIT NO. 8 PRECIPITATOR HIGH VOLTAGE WIRE REPLACEMENT PROJECT:
Motion by Campbell, Second by Hertz, to adopt RESOLUTION NO. 93-123 approving contract and
bond of Field Service Associates, Inc. for Unit No. 8 Precipitator High Voltage Wire Replacement
Project.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
1993-94 CDBG PUBLIC IMPROVEMENTS APPLICATION: Mayor Curtis explained this item
met the necessity of having a project application ready for submittal if and when the proposed
federal Economic Stimulus Package is passed by the U.S. Congress. City Manager Steve Schainker
noted that a local match was required for each project, none of which were currently in the budget.
He said most of the projects are in the CIP, but not for this year.
There was discussion regarding how these priorities had been chosen. Housing Coordinator Vanessa
Baker-Latimer said the projects had to meet one of three criteria to be eligible: benefit to low or
moderate income individuals, elimination of slum and blight, or eminent threat to community.
Motion by Hertz, Second by Campbell, to adopt RESOLUTION NO. 93-124 establishing priority
projects recommended by Staff to be considered for submittal to the IDED in connection with the
City's 1993-94 CDBG Public Improvements Application.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
HEARING ON ELECTRIC REVENUE REFUNDING BONDS: Mayor Curtis declared the
hearing open. Wayne Burggraaff, Evensen Dodge, reviewed the results of today's competitive
bidding for the sale of $20,660,000 Electric Revenue Refunding bonds, Series 1993. He said the
low bid of the three bids received was a good market bid based on today's market. However, he
said, the bond market was not as favorable for issuers as when Council first considered conducting
this refunding sale. He reviewed the market conditions of the past few months, saying if Council
had conducted this sale in February, the cumulative savings would have been over $1 million per
year. In comparison, he said, the savings of today's sale would be approximately $772,519.02,
which would result in lower annual debt service costs of around $40,000. He said Council could
either choose to award the bid and capture those savings, reject the bids and consider pursuing this
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issue later when market conditions might improve, or negotiate a competitive sale with the three
bidders.
Mr. Burggraaff noted there was a 2% call premium attached to the call date, which would result in
a cost factor to the City of approximately $390,000. He said 1% of that premium would be removed
in January 1995, and the other in January 1997. He said there was no call premium on the refunding
bonds issue.
There being no one further wishing to testify, the hearing was declared closed.
Mr. Burggraaff said the consultants recommended Council either reject the bids today or negotiate
a competitive bid among the three bidders, indicating a $1 million threshold of savings. He said they
might authorize the City Manager and the Finance Director to continue to monitor the situation with
Evensen Dodge, to complete the transaction when the market improves.
Council Member Parks expressed concern that it was a risk to hope the market would improve
enough for a $1 million threshold of savings, whereas $772,000 in savings were now in hand.
Motion by Brown, Second by Campbell, to reject bids.
Vote on Motion: 3-2. Voting aye: Brown, Campbell, Wirth. Voting Nay: Hertz and Parks.
Motion declared carried 3-2.
Motion by Campbell, Second by Brown, to direct the City Manager and Finance Director to either
advertise the bonds anew or sell them by private sale, but only on terms more favorable to the City
than the best bid received today.
Vote on Motion: 5-0. Motion declared carried unanimously.
SEWER REVENUE REFUNDING BONDS: Motion by Hertz, Second by Parks, to adopt
RESOLUTION NO. 93-126 to fix April 13, 1993 as date of meeting at which it is proposed take
action for the issuance of not to exceed $6,000,000 Sewer Revenue Refunding Bonds, Series 1993,
and authorizing the City Manager and City Finance Director to set the terms and the date for the sale
of such bonds and to provide for the advertisement thereof.
Roll Call Vote: 5-0. Resolution declared adopted unanimously, signed by the Mayor, and hereby
made a portion of these minutes.
Mr. Burggraaff noted the pre-sale showed numbers more optimistic than what the present bond
market conditions report. He said Council's action would procedurally authorize the City Manager
and Finance Director to set a date of sale, facilitating the process when the right time came along.
COMMENTS: There were no comments.
ADJOURNMENT: The meeting was adjourned at 3:40 p.m.
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_______________________________ __________________________________
Sandra L. Ryan, City Clerk Larry R. Curtis, Mayor
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