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HomeMy WebLinkAbout1983-08-08 Info PacketCity of Iowa City MEMORANDUM DATE: August 5, 1983 TO: City Council FROM: City Manager RE: Informal Agendas and Meeting Schedule August 8, 1983 Hondav NO INFORMAL COUNCIL MEETING August 15, 1983 Monday 7:30 - 9:30 P.M. Conference Room 7:30 P.M. - Review zoning matters 7:45 P.M. - Discuss Foster Road east of Prairie du Chien 8:05 P.M. - Discuss Recommendations on downtown parking a:15 P.M. - Discuss commercial use of sidewalks 8:30 P.M. - Discuss water billing procedures 8:45 P.M. - Discuss Transit Fare Subsidy Program 8:55 P.M. - Discuss revisions to peddler's permit requirements 9:10 P.M. - Council agenda, Council time, Council committee reports 9:25 P.H. - Consider appointments to Riverfront Commission, Committee on Community Needs, and United Action for Youth Board August 16, 1983 Tuesday 7:30 P.M. - Regular Council Meeting - Council Chambers PENDING LIST Priority A: Priority B: Priority C: Discuss Council Policy Resolutions Central Junior High, Use of Funds Discuss City Council Majority Voting Requirements Housing Inspection Funding Policy (August 22, 1983) Housing Market Analysis Recommendations MECCA Funding Request Lower Ralston Creek Parcels - Use and Configuration North Dubuque Street Improvements Meet with Broadband Telecommunications Commission Discuss Amendments to Non -Discrimination Ordinance Clear Creek Investment Company Development Discuss Transit Interchange Report Discuss rezoning of 624 South Gilbert (August 22, 1983) Meet with Design Review Committee (October 3, 1983) Traffic Signals - Flashing Mode Mandatory Parkland Dedication (Fall 1983) Shamrock/Arbor Drive Drainage Area (November 1983) Appointments to Committee on Community Needs - August 30, 1983 Appointment to Board of Electrical Examiners and Appeals - September 13, 1983 MICROFILMED BY LN 'JORM MICROLAB i CEDAR RAPIDS -DES MOINES /s6/ a t ■ CITY OF IOWA CITY CIVIC CENTER 410 E. WASHINGTON ST IOWA CITY, IOWA 52240 (319) 3=.0-5000 Iowa State Commerce Commission ISCC Consumers Comment Hearing Lucas Office Building Davenport, Iowa Des Moines, IA 50319 August 4, 1983 File: RPU -83-22 Re: Electricity Rate Increase Proposal by Iowa -Illinois Gas & Electric Company Statement by the City of Iowa City, Iowa David Perret, Mayor Pro Tem Dear Commissioners: The Iowa City City Council, as the representative body for Iowa City, strongly opposes the Iowa -Illinois Gas & Electric Company's electricity rate increase (RPU -83-22) now being reviewed by the Iowa State Commerce Commission. Iowa -Illinois has stated that the rate increase - an average 35.5% or 42% if phased in over several years - is necessary to recapture the cost of constructing the Louisa County generating plant due on line this fall. We disagree. Our opposition rests on the grounds that: f (1) the new rate would be excessive and would have a profoundly negative impact both on Iowa City's municipal budget and on the local economy; (2) it would be excessive with respect to cost recovery and would unfairly burden the consumer with the financial responsibility for the excess generating capacity of the Louisa plant; and (3) no energy conservation programs are offered to help offset the rate increase. The economic impact of the proposed rate increase on Iowa City's municipal budget and on the local area is devastating. The local, municipal economic impact of this rate proposal would be that the City of Iowa City's electrical costs would approach $750,000 for Fiscal Year 1984, $810,000 for FY85, $860,000 for FY86 and $921,000 for FY87. Electrical costs for Fiscal Year 1983 were $630,000, meaning that by FY1987 an additional $291,000 would be spent for electricity even if no increase in consumption occurred. Total additional cost to the City over the four years would be $821,000, again in the absence of increased consumption. This impact virtually eliminates the accomplishments of a municipally- run, aggressive energy conservation program. In order to save costs, for example, the City has reduced its BTU consumption of electrical energy per degree day per square foot by over 55% in its 18 largest municipal buildings over the past four years. The financial pressure on the City budget imposed by the proposed rate increase does not reflect the conscious effort by municipal departments to conserve electricity. To have to inform Iowa City taxpayers that, despite significant conservation in electrical usage, electrical bills will be higher, is grossly wrong. �J~G �r, ) 4, MICROFILMED BY t±j iJORM MICROLAB j CEDAR RAPIDS -DES 170INES- F --------- _) J The financial impact of the proposed rate increase on customers, businesses, industries, and the cost of living should be closely scrutinized by the Commission. We believe that regionally, such an increase will deter general economic recovery. The Iowa City community consumed 386.74 megawatts of electricity in 1982, an increase of only 1.3% from 1981 usage, which, in turn, was only 1.7% more than 1980 usage. Converted to dollars, the 1982 electrical bill was $21.5 million. If the full 42% phased rate increase is approved, the revenues from the same level of electrical consumption will be $25.09 million in 1984, $26.85 II -1985, $28.73 in 1986 and $30.74 in 1987. An additional $9.24 million will leave the Iowa City economy in payment for the same amount of electricity used in 1983. Based on an economic multiplier effect, $1.27 actually leaves the local economy for every $1.00 spent on electricity. The phased -in rate increase of 42% will actually cost the Iowa City economy $11.5 million by FY88 in investment potential. The Iowa State Commerce Commission should carefully scrutinize the equity in cost sharing between Iowa -Illinois and its customers for a level of service which is not presently needed or even questionably needed for several years in the future. We would hope that the Commission would determine the appropriateness of Iowa -Illinois' original decision to build the Louisa generating facility and would analyze the information considered in that decision. Recent studies indicate that Iowa -Illinois presently has the capability to provide in excess of 50% more electricity than its customers are using during peak demand. If this is the case, then present rates are far in excess of what is needed for an equitable return on investment. If and when the Louisa generating plant is on line, Iowa -Illinois will have nearly 81% excess generating capacity over the 1982 peak demand. Implicit in Iowa State Commerce Commission rules allowing utilities to charge customers for new power plants is the assumption that new plants are needed and useful for utility customers. It does not appear that that assumption is correct for the Louisa plant. Customers should not be asked to pay a profit to stockholders on generating capacity which is neither used by them or useful to them. Further, it appears that Iowa -Illinois intends to retire its debt for the Louisa plant in an extremely short period of time. If the revenues from the proposed electric rate increases for Iowa and Illinois residents are used to retire debts for the Louisa generating plant, then, according to Iowa -Illinois financial data, the annual payment for debt retirement will exceed $70.4 million. If Iowa -Illinois retains its 43.7% investment in the Louisa facility, equalling $260.4 million, its investment will be retired within 3.7 years! The electrical revenues of Iowa -Illinois have increased nearly 500% ($41.5 million in 1968 to $207 million in 1982) while increases in peak demand have averaged only 4.7% annually in the same time period. As stated earlier, it appears as if present levels of 4� j MICROFILMED RY '•JORM MICROLAB ` CEDAR RAPIDS -DES I40INES l mom 3 revenue are sufficient to capitalize debt, maintain a fair return on investment, and compensate for inflation. It is to the detriment of its customers that Iowa -Illinois has not yet developed or implemented a strong plan for conservation. Such a plan could have enabled Iowa -Illinois to manage more responsibly the production and delivery of cost-effective service. Unnecessary new generating plants could have been avoided. If the Iowa State Commerce Commission should approve a certain portion of the electrical rate increase, it should require Iowa -Illinois to provide to its customers a comprehensive conservation program. The City of Iowa City is presently negotiating a new electrical franchise with Iowa -Illinois. It is of paramount concern that the new franchise guarantee the most efficient and affordable service possible to Iowa Citians. The proposed rate increase will not promote affordable service. While Iowa City's new franchise is designed to promote local conservation, and provides the City and its residents with opportunities to take advantage of changing utility regulations, court decisions, and new technologies, a state mandated conservation program would make a much larger dent in reducing electrical consumption and in mitigating future rate increases. Attached to this statement, for your information, are graphs showing the electrical usages and costs for the City of Iowa City and the Iowa City area, a copy of the proposed Electrical Franchise and Regulatory Ordinance between the City of Iowa City and Iowa -Illinois Gas & Electric Company, and an earlier letter from Iowa City Mayor Mary Neuhauser, opposing the rate increase. Thank you for giving us the opportunity to present our views to you today. 1.$-4,7, y MICROFILMED BY i1 'JORM MICROLAB f I CEDAR RAPIDS•DES*MOINES r 380 370 350 Megawatts ' ' 11 10 9 8 1.0 .9 .8 .7 S (x 100,000) .6 .5 . .4 . .3J For- Iowa Commerce Commission Ia.-Ill. Gas & Elec. Rate File #83-22 —IOWA .C3.IY ABED TOTAL ELECTRIC USAGE Community Use 78 iunicipal Use 80 82 84 IOWA CITY MUNICIPAL ELECTRIC COST A877,500 �,'"$921,000 1 f. r � r � ' (42%) (35%)i ' �"'-F.Y.84 Budget Level rr 630,000 82 Fiscal Year Ending - •ease,'78 to '83 *) 4 MICROFILMED BY I ;,Nb' �JORM MICROLAB CEDAR RAPIDS•bES.M01M r 86 IN /54Z City of Iowa City MEMORANDUM Date: July 22, 1983 To: Neal Berlin, City Manager From: Larry McGonagle, Transit Manager Re: Project Hard Times: Transit Fare Subsidy As requested by the Council, I worked with Pat Gilroy, Crisis Center, and Tom Bullington, Job Services, to formulate a Transit Fare Subsidy program. Guidelines were developed that will cover the entire program. Additional guidelines were developed covering the individual agencies involved. General Guidelines: 1. Program will operate on a trial basis from August, 1983, through October, 1983. i 2. Eligible participants will be allowed to use the system between 9:00 a.m. and 3:00 p.m. (Council needs to determine if eligible participants will be. allowed to use the system Monday through Friday or if Saturdays will be included.) 3. Department of Public Transit will provide specially marked tickets to Job ` Services and the Crisis Center. We will use the ticket we have on hand. We will purchase a stamp to mark the tickets for easy identification. This will eliminate the cost of printing new tickets. The maximum amount of tickets provided for this trial period will be $500. This will provide a maximum of, 1250 trips. Initially each agency will be a of tickets. This will provide 250 trips. llotted $100 worth 4. Transfers will be issued to complete a trip. 5. Students are not eligible. (Council needs to determine if only full time students will be ineligible or if both part time and full time students are ineligible.) Jobs Services has requested they be allowed to issue tickets to anyone who is unemployed and requests the tickets. Job Services does not want to be responsible for determining eligibility or asking individuals if they wish tickets.They would like us to provide a sign stating the tickets are available to the unemployed, upon request. Each individual will be allowed up to three tickets. This would allow for going to and from an interview and return to Job Services. Pat Gilroy of the Crisis Center stated that County Social Services and HACAP are interested in participating in this program. If the Council decides to allow this, I recommend the tickets be issued to these agencies through the Crisis Center. Pat Gilroy would be responsible for issuing tickets on an as -needed basis.' During the trial period Pat will keep records of who used the tickets and for what purpose. Pat will be responsible for collecting this information from County Social Services and HACAP, if they should participate. I $u 4i. MICRDFILMED BY li ''JORM MICRO_ LAB j CEDAR RAPIDS -DES MOINES r J ---- ----- . =1 J I City of Iowa City MEMORANDUM Date: August 4, 1983 To: City Council From: Frank Farmer, City Engineer Re: Foster Road Right-of-way Acquisition MMS Consultants, Inc., has been retained to provide the necessary surveys, platting, and street alignment for Foster Road, at Dubuque Street and Prairie du Chien Road. When this work is completed, it will be turned over to Planning and Program Development for appraisals and acquisition. bj4/1 MICROFILMED BY I t' WORM MICROLAB I CEDAR RAP Os•DES'MOINE3 �- /SLy� J. r City of Iowa City MEMORANDUM Date: August 5, 1983 To: City Council From: W.O. "Bill" Terry, BTC ChairpersonY"OK, Re: The BTC's recommendation regarding Hawkeye CableVision's rate increase request BTC RECOMMENDATION TO COUNCIL: Moved by Terry, seconded by Ehninger, that the BTC recommend to City Council that Hawkeye CableVision be granted a 95 cent or an 11.9% increase in the basic service rate, based on an average increase in local operational, origination and administration costs to Hawkeye from 1981 to 1982. With four Commissioners present, this motion was unanimously approved. BACKGROUND OF THE RATE INCREASE REQUEST AND THE BTC'S RECOMMENDATION Following is a synopsis and comments of the BTC to Council regarding the recommendation. Further details will be available from the minutes of the meetings. The BTC would like to meet with Council to discuss this recommendation. In this discussion other BTC recommendations, including the required extension policy and suggested ordinance amendments may also be covered. As an advisory commission to City Council, the BTC is charged with the responsibility of making a recommendation to the Council on the matter of Hawkeye CableVision's request for an increase in basic service rates of $2.00. The BTC has 60 days in which to make this recommendation from the time of the request filing, which was June 7, 1983. As per ordinance 78- 2917, section 14-76, Hawkeye has filed their rate increase request and justified their request for arguing their goal, as stated in their original proposal to Iowa City, of reaching an average of 13% to 17% return on investment (ROI) over the first ten years of the franchise will not be reached if an increase of $2.00 is not granted. Hawkeye and ATC project an 11% average RDI for the 15 year franchise without an increase in rates. From the financial information supplied the City, and that requested by the BTC, the BTC finds that the evidence presented by Hawkeye to justify their rate increase request to be inconclusive. This is primarily due to the facts that Hawkeye has: 1) only been in operation for three years, and 100% operational for only 15 months, therefore it was difficult for the BTC to determine a 15 year projection could be made based on the current track record; 2) Hawkeye has continued to -grow in terms of fubscribers and rate of return every year at a rate of 3% to 4%, although this rate of growth has slowed somewhat. v, ... MICROFILMED BY JORM MICROLAB I CEDAR RAPIDS -DES MOINES I a It is still unclear and difficult to attempt to project a leveling off or plateau effect in subscriber levels and thus gross income for the company. Such a plateau effect normally does occur in cable systems, and Hawkeye has argued that effect is starting to occur now; 3) it became clear that Hawkeye's financial status and growth as a company is interwoven with ATC and Time, Inc. Is finances, through the interest payments, management fees and pay channel costs returned to ATC and Time, Inc. The BTC was unable to determine exactly the extent to which this relationship does or should affect Hawkeye's ROI. Therefore, the STC recommends there is not enough of a basis or accumulated information upon which to decide a projected rate of return calculation using traditional ROI procedures. However, it is recognized that: 1) Hawkeye has had to build considerably more cable plant than originally anticipated (at least 60 miles more plant); 2) that construction costs have been higher than anticipated; and, 3) that there have been increased costs on the local level categorized as operational, origination and administration costs. It is upon an average of these local increased costs in C. above from 1981 to 1982, which the Finance Department pointed out to the BTC, that an increase is recommended. This increase would amount to 95 cents per month more in .the basic service rate, or an 11.9% increase. This is not to say more traditional ROI procedures should not be used in the future, or that this method of computing an increase should be used heretofore. This next year should give the City an indication of how close Hawkeye's projections are, so that any futrue rate increase considerations will have more history and a company projection on which to be based. It was noted that if at any point Hawkeye appears to be making more money than the average 13% to 17% ROI, the Comm_ tomn can recommend, and the Ut Council can reduce balic service rates accordin�v. There were several concerns expressed by the BTC during their considera- tions. In the financial area, ATC and Hawkeye's original proposal projected a basic service rate of $8.95 through year ten of the franchise. The requested increase at this time would mean a $9.95 rate at year four of the franchise. Also, that the interest payments to ATC and Time, Inc. will continue to be substantial throughout the life of the franchise, when the original proposal projected a repayment of loans at year eight of the franchise. There was also mention by the BTC of the potential growth in revenue in other areas Hawkeye may become involved in, such as advertising, data services, security services and increases in the pay channel costs. While considering a rate increase request, the City does not have to confine itself to financial analyses only. The City may include in its review, but is not limited to, overall franchise compliance, management efficiency, services provided, and upgrading of the system. In that vein, some Commissioners expressed concerns about the specific amount and uses of the management fees to ATC, and management cooperation of ATC in conjunction with the BTC in the form of a lack of responsiveness on the 45ZS l MICROFILMED BY i '.JORM MICRO_ LAB CEDAR RAPIDS- DES MOINES r 1 part of ATC in providing letters back to the BTC involving the extension Policy, financial information and the provision of requested programming services, such as a foreign language channel and a better weather channel. However,notd that there have beennew proramming services offered onitheaIowa City system such as CNN, SNC and MTV; that cooperation on the local level regarding the resolution of the extension of cable to new areas has been good and that company Support of access related activities has been far above average.. There has been no weighting system devised to evaluate such points in regard to a rate increase request, yet such points can figure in such a determination and were included in the considerations of the BTC. Because of the magnitude of the task of rate regulation, -the bulk of material to be processed, the need to determine precisely the right questions to ask in such a process, the number of ways rate regulation can be approached and the relatively short timeframe within which the BTC must come to a recommendation (60 days), it is suggested that for this process it would have been extremely helpful if: 1) the 87C would have had the assistance of a third party consultant to make such determinations as fair and efficient as possible; 2) the BTC could have had more than the allotted 60 days to make a recommendation, which could be accompl an ordinance amendment; and 3) the Finance ished by staff latitude to make a definite recommendation to thcould have had the e BTC. , If the Council decides to grant Hawkeye CableVision a rate increase, the BTC Chairperson is expressing an interest, which was endorsed by the BTC members, that any more revenues generated to the City be used to give the BTS position and/or office the compensation and/or funds that are more commensurate with the pay scale similar positions receive across the country and with the work that yet needs to be done with cable TV in Iowa City so that: 1) high quality personnel are attracted to and can be kept ain Iowa City; 2) Iowa City continues to progress as a model system and ccesserelated, civic related, re benefits to its �institut institutional uses e interactfuture ive'servi�cas es and potential City funds, savings and/or revenue producing endeavors can be realized. It is recognized that the majority if incurred involving cable will be paid for not all expenses by the franchise fee. The BTC is very grateful for all of the assistance provided by the Finance Department, the City Manager's office, the legal staff and the BTS in this process. bdw/sp � 2 MICROFILMED BY 'JORM MICRO_ LAB 1 CEDAR RAPIDS -DES MOINES CITY OF IOWA CITY CIVIC CENTER 410 E. WASHINGTON ST. IOWA CITY, IOWA 52240 (319) 356-5000 Date: July 26, 1983 To: Council From: BTC Chairman Re: Hawkeye CableVision 1983 construction projects Attached please find the letter from Bill Blough of Hawkeye CableVision in regard to 1'5 areas of construction to be completed in 1983. I received this letter from him in a meeting on July 26, 1983 in which we discussed the concerns of the residents of these areas. Installation of service was the prime concern of these residents and certain residents felt that they had received misinformation from Hawkeye staff. In order to resolve this matter Bill Slough assured me that future questions in relation to construction deadlines will be routed to him. Hopefully this will provide information of greater accuracy to the residents of Iowa City. J i~' MICROFILMED V t� I,JORM MICROLAB I CEDAR RAPIDS -DES MOINES r I. J Hawkeye Cabl¢1TSio July 25, 1983 Bill Terry ( Chairman ) Broadband Telecommunications Commission Iowa City, Iowa 52240 Dear Mr. Terry; I Within the past few weeks, it appears that some concern has surfaced relative ' to the status of Hawkeye CableVision 1983 Construction. Because this is of utmost importance to the company as well as the City of Iowa City, appropriate to address this very issue. I felt it ' As you know, Iowa City is undergoing a tremendous amount of construction throughout the community all in varying degrees of completion. It should be noted that Hawkeye fully intends to provide service to all areas where the status is either completed or under construction at this time. We will complete all such projects during 1983. i Some projects have not been started as yet and are only in the planning stages. In otherwords, no dwellings have been built as yet. These projects stand a good chance of missing our '83 construction schedules. They will be picked up in the Spring of '84. These areas include.a developement on the end of First Avenue and one South of Abor drive, West of Morman Trek. The rest of the projects include the following: 1. Orchard Ct. 60 block 2. Amhurst, Oberlin, Washington 6 Friendship add ons 3. Page (800 block) 4. Spencer Drive ( Completed 7-18-83 ) 5. Mt. Prospect. This area is built but only being activated as demand dictates. 6. Dover ( next to the Moose Lodge) 7. Shamrock Ct- Hud Housing 8. Benton Manor ( We are building as we go ) 9. Waldonwood ( Trunk line extended- one subscriber ) 10. Waldenridge - Cable being laid at this time. 11. Westwind Drive 12. Abor West of Dane's Dairy Southside 13. Melrose 6 Morman Trek ( no street yet 14. Carver arena. 15. Highway 6 d Newton Road P.O. Box 4500 546 Southgate Avenue Iowa City, Iowa 52240 319-351-3984 A subsidiary of American Television & Communications Corp. �h i MICROFILMED BY O ;JORM MICROLAB � CEDAR RAPIDS -DES MOINES_ r i /SzS J rzeemawkeyQeeCabl¢�IIsi Also, there are many smaller projects ( perhaps two dozen seperate apart- ment buildings ) under construction and nearing completion. These are being built behind existing plant and pose no problem. It is my intention to have service available to the following areas by October let by project numbers given above: Numbers 1,2,5,7,9,10,12 and 14. The remaining projects will be completed by November 1st and they are projects � 3,6 8,11,13,15. Of course rain will slow construction considerably but I will do my best to stay as close to these schedules as possible. All of these new projects are ?; underground and are very time consuming. They represent a tremendous amount of planning and engineering on the part of Hawkeye staff and we are looking forward to serving them. i Hawkeye has committed over $200,000 worth of capitol to these projects and has ' allocated an additional 360,000 for 1984. That's over a half million dollars toward the continuing committment to serve our potential subscriber base within the community. Mr. Terry, if some of these new areas represent sensitive problems to you, the commission, or council, please advise all parties interested to contact me personally. I can keep all those concerned briefed as to specifics on each project as well as more defined timetables of completion. Respectfully submitted, � U I r William L. Slough General Manager i WLB/ah P.O. Box 4500 546 Southgate Avenue Iowa City, Iowa 52240 319.351-3984 A subsidiary of American Television & Communications Corp. fdww MICROFILMED By ;1s' !JORM MICROLAB I CEDAR RAPIDS•DES'MOI NES r CALIFORNIA'S NUCLEAtt HALT A Moratorium That Has Paid Its Way 4 CHRLflOPIQ! FuVIN >= the Supnn, cwt an matorltm, the deelgm wan wNdy tnorpented aca The latfm of Sts' rljhm tuM ft r@PWdm and a death knoll for the nuclear hedephy, so the moat reaetlm to. the tha loasr in the twee, the F e Galas rad Hleetrfa Company. which had end to hkaa th moratorl® but cow eay It will have "m drat" m Its 1� nurbw the Sewn yuan It took two aea to each the Mal Comt, Cana, nr'a slntre haveskerd ad[ dhuo- time and pdicler, drwany tdm. mea{ do an= dmtcd nr d age o pool nudlear paver. Of fb night pill an order, or mdw in 19A. wbea the 1=brfda� tine vaed =black m0 new wear tip 'tinm�pnW�rmf mdsw w. drew, Soar ban bum deeded• 77e others an easy =no" but have yet to kuoa'ReaernehtR peer dammaddq.. Ir)dad mSsa deer. ma lie at the Amid the Cpaeeld dded a fol Sym m�Ffcl6d movd, m the rummd L wear W ear ors err• aeons Is do Uaked Stater Ieat Yom caul Wa kz.,nwmm ddftgnaw sw"Whathome baps nodwIn thepmw Mid. two an earlrwmsral oppodclm hadood by the atmrYtrstlr of boa mea GM Named G. Rreee Jr. ha. become =.ommmld ft otn ass. bread h �. amafold" pend.• at qimqW rueewihhegoo w near ea.beftdWsfclllr Slhtl Pard th' sMrgpttro�emte�.at Nedom am Ica brio ser the upr to CaRkal @10 in all The two Sell ieactoc. in south= Caufara that fu IIA were, pn Jetee ' tooer hs the USS mintea are dr m o r Ire r the ma year d a and d arc M hlnfe lletimwNe, unearaoe.asecl. ommourAmto rho d a sry 7o pec -t amod r al a that err with the rda&* how add emlaar fed. a plain baps mw Weald Rmaato parr for an moth ea V este per k 1l hoe. mon than twko the avww cut of aaeracles Califora . electric w2ldw haw dbo to a!mead d their a¢s>ai awet. mad cal tkd up In the dwr pltom n..rlq aee wsdm Undw .tad law, dmstmme do not tbuirrazoatoodItIm plwasmart Sow. 1406 POW, ea the ON— haw home mama m pay mr met oratrfms, at. bstiM their Auck valga. Itarpayare an fearful of the "rain ehoek" that. win reaolt whin the plata do boon It In theaa sat s more than dew heal war poeur �t ( MMU aoserntb noel Accor" to dmumwnm• In abeedy r dd put d Cdlkrda's d OW Oehe believed ML the I atiltld'rw pdkiea an I rum to oimeapaiIwmNoea J an Cebrrtll's "tread ears," a4 d the OMW smnrala Aboaa140 nr wind umcWom Tared at wpb Use aUmm mm ham w at a etpanr - wr1moo. r 11U. w�he hes r haw)dsw the. small 'pa R�ro- um hrdwasm, Is late IM the aurit'.,.q er photovdald ha nae Pool w�6rah by ARCO Scior W j Indeed up to the Southern CaUhnoes Itdrm OW It new swan that by the what form., thse molar forme an tmrwdadbuntbyoma pntwrpa. dinar mmpada. tbd aaemo fha fore aLdevabpfoR oA aeerp .omor a :fora for the rwmme ettvrme W ma banal allWM by Fadael and .umlaw. • The Saprvme Comt'a dedrim NOW that "Caps bea last eat& dot ssthoelq b fha edea to aam the Qerdopmmta wd veer paver to: he abed in etapprld for ado- nomlc nasme .... 7ba pommir of meter poser In nut to be some pl W d m an moat." fahntrda. the mere 11 vwdkt In In. A • ander an nmdr to the =Cie" plate an a to amtert Avenue mw esffile, so thea elms m dbwM 40kw r th mere ot moerala aewp trends and Rmcld ddedidool " Gm• trees with m pvew pretttdas eda1W ft CM mai � d P.GA [ILaaee. s' alae pealdeat u P.O.i 8 • Thea dadopeaema to ralNorda dpd a twheome rwdvd d srbt drdpllr' h'th *mv rtwb'y. Vele =dew peen In mmng the metbt test, renewabla•eoap and id rvwdere R to dem nU tee yea and only lode to CaBrmd on and tow traeds � in a dow so ca�Wtral nn e>rIyd mctimrmrmonthoafad plm.arad by the prseaia on. Its em• ammlemppodRrpinelow anadhd.!<e��o aowbuky and woMlydw�d contrast apmpet�Iimcan be tvnyed to the rat d the notice, Canlersa'tspalmertawW hwao- nmptkeedapew.dnL .. • THE NEW YORK 77MB.% SUNDAY, JULY SI,tiM MICROFILMED BY JORM MICROLAB CEDAR RAPIDS -DES MOINES /c5G6 1 ., WILL J. HAYEK (18964062) JOHN W. HAYEK C. PLTEn HAYEK C.JOOEPH HOLLAND WILLIAM O. WERGER HAYEK, HAYEK, HAYEK & HOLLAND ATTORNEYS AT LAW 110 EAST WASHINGTON STREET IOWA CITY. IOWA 62240.3078 July 27, 1983 City Council of the City of Iowa City Iowa City Civic Center 410 East Washington Street Iowa City, Iowa 52240 Re: Oaknoll Tax Litigation Dear Mayor and Council Members: AREA CODE 319 337.9606 �IR�M AUG 1'1983 MARIAN K. KARR CITY CLERK (3) Pursuant to Section 441.44 of the Code of Iowa I am giving notice on behalf of the Board of Review of the City of Iowa City of a voluntary Court settlement of the assessment appeal in connection with the above case. If you will recall, I previously wrote to you on March 17, 1983, indicating that settlement negotiations had been under way. The parties to this litigation have now reached tentative agreement as to settlement terms. Summarized generally, the settlement terms involve the following. The residential portions of the Oaknoll Retirement Home will be subject to payment• of property taxes. The infirmary portion will be exempt from the requirement of payment of property taxes. The parties have negotiated a percentage allocation of values between the residential and infirmary portions of the facility to ease the allocation of assets between exempt and non- exempt categories. Additionally, the parties have reached agreement as to the valuations to be placed upon these facilities for the years in dispute as well as for January 1, 1983. If you have any questions concerning the proposed settlement or its terms and conditions, please feel free to contact me or Assistant City Attorney David Brown. In addition, City Assessor Dan Hudson pa)a provide you with additional information if needed.' Please provide us with any comments you may have concerning this matter on or before August 15, 1983. Very trul yours, ohn W. Iiuyek JWH:vb l{ j MICROFILMED BY k tai' JORM MICROLAB y CEDAR RAPIDSEDES MOINES' r /s67 N