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HomeMy WebLinkAbout1980-04-29 Info PacketCOLLEGE PLAZA DEVELOPMENT COMPANY and HIGH COUNTRY CORPORATION Attachment to Plans Submitted by College Plaza Development Company and High Country Corporation on April 23, 1980 Project Revisions: Basement: A major portion (31,200 square feet) of the former basement area will be unexcavated under this revised proposal. 10,000 square feet will be ware- house space and the remainder will be hotel support (10,000 square feet) and building services (5,970 square feet-). The cost of the hotel support space is covered in the hotel estimated cost data as pre- viously submitted. The hotel support space may be larger if needed (see plan). First Floor: A major department store will have 29,050 square feet of commercial space on this level .(of a total of G0,000 square feet). Small shop commercial space will use 12,800 square feet (of a total of 30,000 square feet). The hotel entrance lobby and receiving utilizes 3,000 square feet (not included in the cost of the shopping mall, but in the hotel cost data as previously submitted). The remainder of this floor is the central mall, receiving and other common support spaces. Second Floor: A major deparLmont store will have 30,950 square feet of commercial space on this level. Small shop commercial space will use 17,200 square feet of commercial space. The remainder of the second floor is central mall and common support spaces. Hotel.: The hotel proposal remains unchanged. In the unlikely event: that the shopping mall cannot proceed due to economics it is the Developer's intent to build the hotel as shown by itself. Unexcavated basement area: With the City's concurrence it is the Developer's intention to develop some or all of the 31,200 square feet of unexcavated basement area into the following uses: (1) Recreation spaces designed to enhance the hotel utilization during off-peak week -end periods by providing more activities. Possible uses include MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES AP132 4 1980 DBUJ ABBIE STOLFUS CITY CLERK -2- (a) Bowling alley, pool and associated functions; (b) Indoor racket sports, health club and asso- ciated functions. (2) Multiple cinema use and associated functions also designed to enhance the hotel desirability. Either of these uses 'Will depdent upon the economic viability of the specific use. M1CR0FILMED DY JORM MICR�LAB 7 p CEDAR RAPIDS • DES MOINES i. .i 1 F r � " 9r S i ( i -2- (a) Bowling alley, pool and associated functions; (b) Indoor racket sports, health club and asso- ciated functions. (2) Multiple cinema use and associated functions also designed to enhance the hotel desirability. Either of these uses 'Will depdent upon the economic viability of the specific use. M1CR0FILMED DY JORM MICR�LAB 7 p CEDAR RAPIDS • DES MOINES i. .i i -2- (a) Bowling alley, pool and associated functions; (b) Indoor racket sports, health club and asso- ciated functions. (2) Multiple cinema use and associated functions also designed to enhance the hotel desirability. Either of these uses 'Will depdent upon the economic viability of the specific use. M1CR0FILMED DY JORM MICR�LAB 7 p CEDAR RAPIDS • DES MOINES i .i i ("I COLLEGE PLA'Y'A I)XVIi[,0PMI.1NT COMPANY PROJECTED IIAT,ANCI? SIIENT UPON OPENING OF DEVELOPMENT ASSETS Property and equipment, at cost , Land (Note 1) $ 125,000 Building (Note 2) 3,919,400 Architect's fee (Note 3) 250,200 Professional fees (Note 4) 83,400 Contingency (Note 5) 166,800 Construction period interest (Note 6) 500,000 Deferred Development fee (Note 7) 263,600 $5,308,400 Other Assets Bond issuance costs (Note 8) 60,000 $5,368,400 LIABILITIES AND PARTNERS' EQUITY Long term debt 30 years, 10% (Note 9) 4,776,300 PartncrsI Equity 592,100 $5,368,400 MICROFILMED BY JORM MICR�I_AB CEDAR RAPIDS • DES MOINES 3 AP IR R 2 3 19P,p _. ABBIE STOI_FUS CITY CLERIC 0a a , a N 0 T E S I. It is anticipated that 508 of the total land cost would be borne by the hotel portion of the development. 2. Building cost is estimated at $20 per square foot for 15,970 gross square feet of basement and $35 per square foot for 52,000 gross square feet of first floor space and 58,000 gross square feet of second floor space, less a payment of $250,000 by the hotel portion of the development for footings, foundations, stairs,, services and utilities. Building cost does not include an estimated $1,000,000 in leasehold improvements provided by tenants which will become a part of the structure upon installation. 3. Architect's fee is based upon 6% of gross building cost, as out- lined in Note 2, excluding hotel payment. 4. Professional fees are to cover engineering, materials testing, legal and accounting fees and are estimated at 28 of gross building cost as outlined in Note 2. 5. A contingency allowance of 4% of gross building cost, as outlined in Note 2, is provided. 6. Construction period interest equal to 108 of $5,000,000 is estimated 7. Payment of a development fee will be deferred and paid from project cash flow. 8. Bond issuance costs are estimated based upon the amounts set forth in the Prospectus for Industrial Revenue Bonds totaling $4,776,300. 9. Long term debt is based upon 758 of total project cost including an estimated $1,000,000 in leasehold improvements provided by tenants which will become a part of the structure upon installation. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES FItE APR2 3 1950 D ABBIE STOLFUS CITY CLERK I j MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES FItE APR2 3 1950 D ABBIE STOLFUS CITY CLERK I . i �, r i i r, ! i.. COLLEGE PLAZA DEVELOPMENT COMPANY PROJ.IXTI-) MONTHLY CASTI FLOW ;TAT)iMLNT UPON COMPLETION Of" PROJECT Cash Receipts Rental income (Note 1) Cash Disbursements Payments upon Industrial Revenue Bonds (Note 2) Expenses (Note 3) Not cash flow, per month $50,833 41,915 3,918 45,833 5,000 APR2 3 1�0 ASSIE STOLFU;, CITY CLERK �G MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES i �, 0 d N 0 T E, S 1. Rental income is based upon full occupancy at the following monthly rentals: Department store 60,000 square feet at $4.50/sq. ft./year 1 22,500 .Department store warehousing - 10,000 square feet at $4.00/sq. ft./year 3,300 Small shops - 30,000 square feet at $10.00/sq. fL-./year 25,000 No provision is made for additional rentals based upon a percentage of retail sales or for "cost of living" increases in base rentals. It is anticipated ttiat such increases would be provided in all leases. 2. Payments are based upon total indebtedness of $4,776,300 amortized at an interest rate of 10% per annum over a 30 year term. 3. Expenses include management expense, legal and accounting fees for the partnership and the Landlord's portion of building expenses. It is anticipated that virtually all building expenses will be pro- rated among tenants of the project. MICROFILMED BY JORM MICR+LA6 CEDAR RAPIDS • DES MOINES C FstF APR2 3 1980 D ABBIE STOLFUS CITY CLERK M VV�Fk 1 COLLEGE PLAZA DEVELOPMENT COMPANY and HIGH COUNTRY CORPORATION A Joint Venture 500 Plaza Centre One Iowa City, Iowa 52240 April 23, 1980 Mr. Neal G. Berlin City Manager Civic Center Iowa City, IA 52240 RE: College Plaza Development Company Dear Mr. Berlin: We have on this date filed with the City Clerk revised plans showing the utilization of retail space on Urban Renewal Parcel 64-1, along with a pro forma balance sheet and cash flow projections. I believe that the footnotes to the latter two documents will indicate the basis for our construction cost estimates and income and expenses, but if you have any questions with regard to any of these items, please contact me. We have spent a considerable amount of time in evaluating and comparing the various proposals for redevelopment of Urban Renewal Parcel 64-1. Without in any way criticising the proposals submitted by other prospective redevelopers, we would respectfully direct your attention to the following aspects of the proposal of College Plaza Development Company and High Country Corporation: 1. An experienced hotel owner/operator/developer will assume ownership and management of the hotel,restaurant and convention facil- ities in the project. In light of the City of Iowa City placing primary importance on the hotel development we beleive that the inclusion in our proposal of a proven hotel owner and manager is a major advantage. The proposals of other bidders fail to identify any potential hotel managers. In our opinion the selection of High Country Corporation will offer the fol- lowing advantages to the City of Iowa City. a. Accelerate the hotel development since the selection of a hotel owner and manager has been done; MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES FOAPR2i'3 19't�0 ABBIE STOLFU, CITY CLERK page 2 April 23, 1980 b. Allow the City of Iowa City to insure a quality hotel operation by permitting the City of Iowa City to determine the reputability of the hotel owner and manager prior to awarding the bid; C.' Increasing the speed and ease of selection of a hotel franchise since High County Corporation has excellent working relationships with many hotel franchisors and has discussed the possiblity of franchising a hotel in Iowa City with several of them; d. Improving the marketability of bonds since a strong hotel owner and operator is present, as required in the Prospectus. e. Increases the likelihood of success of an early bond issue since the hotel owner and manager is identified, has a strong financial statement and possesses an excellent reputation in hotel management. 2. Ownership of the retail portion of the project will be vested in local indvidivals and firms who have made conditional commitments and the identity of whom is presently known. No public or semi-public offerings would be required to raise equity capital. The proposal of College Plaza Development Company is the only one which clearly identifies the partners and insures that this project will be locally owned and managed. 3. The major contractors on the project and the project architect are locally based, thereby providing maximum employment of local per- sons and maximum local economic impact. In light of current economic conditions, employment of locally based contractors and workers is extremely important to the local economy. 4. The identity of project contractors is known so that their Performance capability can be evaluated. In our opinion, this capability has been demonstrated. 5. The project, as contemplated, provides for close proximity of retail areas to existing downtown retail stores and access to the hotel via a street upon which through vehicular traffic is permitted. 6. The project is designed for high energy efficiency, as indi- cated by the northwest/southeast glass exposure on the hotel portion. 7. Because of the construction and design capabilities of the partners and the commitments obtained for project equity, time for completion of the project may be minimized. This also may have a sig- . i MICROFILMED BY JORM MICR(DLAB CEDAR RAPIDS • DES MOINES I psge 3 April 23, 1980 nificant economic impact upon employment, local retail sales, bank deposits, the property tax base, etc, 8. A current hotel feasability study has already been obtained. In conblusion, College Plaza Development Company and High County Corporation want to be certain that the relationship of Armstrong's to our proposal is clear. During the past several months representa- tives of College Plaza Development Company have had several meetings with Allan Peremsky of Armstrong's. Iie has indicated that Armstrong's would be most willing to negotiate a lease to be the major tenant in the retail area if College Plaza Development Company is the successful bidder. Mr. Peremsky has indicated general acceptance of the plans and proposal of College Plaza Development Company and that this pro- posal will meet the needs of Armstrong's in Iowa City. We think that there is no doubt that Armstrong's is anxious to locate in downtown Iowa City and would be willing to negotiate a lease with the successful bidder, whomever that might be. We will appreciate your careful review of the factors listed above in determining the successful bidder on the hotel project. Thank you for your consideration. r' ruyyo s, RND/aw .. N. uuwner ect Representative MICROFILMED BY JORM MICRfpLAO CEDAR RAPIDS • DES MOINES p9l. M�ta '. MICROFILMED OY DORM MIC R LA 9 CEDAR RAPIDS .DESMOINES .,wd NORTH do'010 77 . I , r 4 wa Z1 efo /4j I 7blaL. kVry. sr rlro. . Ak. 15� i • � �,IYO TO:41� _ • •. , •�•C•bw Ila,• Nul•I ,_- FlRSTFLOOR PLAN 7 .............................. ro.ui. 0 ♦ : Cdtr� ea• , FU'. ^"�aY .. 0.wyn., Cmpu• xOR,. •O 10 q5 MICROFILMED BY JORM MICR+LAO .� �; CEDAR RAPIDS • DES MOINES t MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES F�'EIVVED ' 1 71980 COLLEGE PLAZA DEVELOPMENT COMPANY and HIGH COUNTRY CORPORATION A Joint Venture 500 Plaza Centre One Iowa City, Iowa 52240 April 17, 1980 LD Mr. Neal G. Berlin U APR 1 71980 City Manager City of Iowa City ABBIE STOLFUS Civic Center CITY CLERK 410 East Washington Iowa City, Iowa 52240 RE: College Plaza Development Company and High Country Corporation Proposal - Parcel 64-1 Dear Mr. Berlin: This letter is to confirm the one telephone and two personal conversations which I had with you yesterday with respect to two as- pects of the College Plaza - High Country proposal, as follows: 1. The Redeveloper does not regard 98 per annum as an absolute ceiling on the rate of interest which it would agree to pay on the industrial revenue bonds issued in connection with the project. Al- though the Redeveloper obviously prefers that the rate be as low as possible, a rate as high as 108 per annum would be acceptable. If the rate were above 10%, the Redeveloper would make a conserted effort to make the project financially viable at such rate, but the project would have to be re-evaluated in light of all conditions present. Among the most important of such conditions would be the term of the bonds. 2. If necessary, the Redeveloper would make a capital contribution to the retail phase of the project of up to 258 of the cost of the com- pleted project. In such cost and equity amounts, leasehold and all other permanent improvements to the project would be considered. This commitment is subject to the necessity thereof in order to sell the industrial revenue bonds to finance the project, and also to the finan- cial feasability thereof at the time the level of such contribution would be determined. As was mentioned to you, we feel that a return on equity, as well as the servicing of debt, must be present in this project. As you are aware, several of the College Plaza partners are contractors of substantial size in various phases of building construc- tion. Preservation of a strong cash position is extremely important to them for bonding purposes, and it is therefore our desire to utilize industrial revenue bond financing to the maximum extent reasonably MICADFIL7RL JORM MCEDAR RAPIDS tl r , Neal G. Berlin page 2 April 17, 1980 t Possible. This should certainly not, however, be construed as lack of dedication to the completion of the project. With respect to the hotel phase of the project High Country Cor- poration has indicated that a 258 capital contribution will be made if necessary to sell the bonds. Equity participation at these levels may require one additional nd the partner with High Country Corporation in the hotel phase a admission of an additional investor or investors in College Plaza. However, as indicated previously, it is not envisioned that the basic composition of the joint venture would change significantly. me. If you have further questions at any time, please feel to contact RND/aw f LA- / ( vL.-w��rvu. •I- rk. — -- rt . Downer ect Representative MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES �o�E� APR 1 717!i0 D ABBIr-. STO!_FUS, CITY CLERK i Plaza Towers Associates A Joint Venture of Plaza Retail Associates and Towers Hotel Associates April 23, 1980 Mr. Neal Berlin City Manager City of Iowa City r Civic Center Iowa City, Iowa 52240 Re: Plaza Towers Associates Downtown Hotel Project Dear Mr. Berlin: The preliminary review of Towers Hotel Associates' proposed hotel building by the Central Regional Office of the Federal Aviation Administration in Kansas City will not be completed until some time later today. The regular weekly meeting was to be held yesterday -but had to be changed because of scheduling difficulties. If you wish, we will report to you any information we receive on this meeting. The FAA has explained to us that the only conclusive answer that we could receive as a result of today's meeting would be that the building height is acceptable and that no action is required. If the answer is that the height of . the building should be reduced, it would be several weeks before the formal processing would be completed and the exact reduction determined. Assuming that a reduction in height is recommended by the FAA and the City decides to follow the recommendation, then we are prepared to make the design changes in the building that will result in the desired height reduction. We want to emphasize that we would prefer to build the building as it has been designed. It is a remarkable building by a world renowned architect which is not likely to be overshadowed as a landmark by any of the fine univer- sity buildings, present and future, nor will it be dwarfed by the eleven story elderly housing apartment building on Iowa City Office 319-351-5275 200 Plaza Centre One Iowa City, Iowa 52240 MICROFILMED BY JORM MICRLAB CEDAR RAPIDS • DES MOINES Chicago Office 312.346.5455 205 W. Wacker Drive, Room 202 Chicago, Illinois 60606 I i { 1 I � I Plaza Towers Associates A Joint Venture of Plaza Retail Associates and Towers Hotel Associates April 23, 1980 Mr. Neal Berlin City Manager City of Iowa City r Civic Center Iowa City, Iowa 52240 Re: Plaza Towers Associates Downtown Hotel Project Dear Mr. Berlin: The preliminary review of Towers Hotel Associates' proposed hotel building by the Central Regional Office of the Federal Aviation Administration in Kansas City will not be completed until some time later today. The regular weekly meeting was to be held yesterday -but had to be changed because of scheduling difficulties. If you wish, we will report to you any information we receive on this meeting. The FAA has explained to us that the only conclusive answer that we could receive as a result of today's meeting would be that the building height is acceptable and that no action is required. If the answer is that the height of . the building should be reduced, it would be several weeks before the formal processing would be completed and the exact reduction determined. Assuming that a reduction in height is recommended by the FAA and the City decides to follow the recommendation, then we are prepared to make the design changes in the building that will result in the desired height reduction. We want to emphasize that we would prefer to build the building as it has been designed. It is a remarkable building by a world renowned architect which is not likely to be overshadowed as a landmark by any of the fine univer- sity buildings, present and future, nor will it be dwarfed by the eleven story elderly housing apartment building on Iowa City Office 319-351-5275 200 Plaza Centre One Iowa City, Iowa 52240 MICROFILMED BY JORM MICRLAB CEDAR RAPIDS • DES MOINES Chicago Office 312.346.5455 205 W. Wacker Drive, Room 202 Chicago, Illinois 60606 I aI Mr. Neal Berlin April 23, 1980 Page 2 the old post office site. However, if the City asks us to reduce the height of the building, we have been assured by the architect that a reasonable reduction in height can be accomplished without substantially increasing the mass of the building or changing its triangular shape. Very truly yours, PLAZA TOWERS ASSOCIATES By: Plaza Retail Associates Wilf eda Hieronymus" By: Towers Hotel Associates By: Ja . Oehler MICROFILMED BY JORM MICR+LAB !:� CEDAR RAPIDS . DES MOINES Plaza Towers Associates April 16, 1980 Mr. Neal Berlin City Manager City of Iowa City Civic Center Iowa City, Iowa 52240 Dear Mr. Berlin: A Joint Venture of Plaza Retail Associates and Towers Hotel Associates The equity requirements of the Hotel and Department Store pro- jects as set out in our proposal of April Bth and as explained in our letter of April 15, 1980 will be fully raised and committed by December 31, 1980. Equity funds will come from the invest- ments of limited partners and the principals involved in the projects. Any limited partnership units unsold as of December 31st will be purchased by the principals. We have already begun the process of getting ready for the offering of the limited partnership units as evidenced by the enclosed Certificates of Limited Partnership for City Plaza Limited Partnership and College Towers Limited Partnership. However, the actual offering cannot commence until we have com- piled all of the detailed financial information needed for the preparation of the private placement memorandums for each partnership. This is essentially the same information we enu- merated in our response to your, question la. in our letter of April 15th. We expect to have most of this work done by September 1st so that the sale of the limited partnership units can commence during the month of September, 1980. Very truly yours, PLAZA TOWERS ASSOCIATES By: Plaza Retail Associates By: le ;1peda�Hierinymus By: Towers Hotel Associates By: � — J a4.40ehler Iowa City Office 319.351.5275 200 Plaza Centre One Iowa City, Iowa 52240 MICROFILMED DY JORM MIC R( LA13 CEDAR RAPIDS • DES MOINES Chicago Office 312-348.5455 205 W. Wacker Drive, Room 202 Chicago, Illinois 60808 I D i Plaza Towers Associates April 16, 1980 Mr. Neal Berlin City Manager City of Iowa City Civic Center Iowa City, Iowa 52240 Dear Mr. Berlin: A Joint Venture of Plaza Retail Associates and Towers Hotel Associates The equity requirements of the Hotel and Department Store pro- jects as set out in our proposal of April Bth and as explained in our letter of April 15, 1980 will be fully raised and committed by December 31, 1980. Equity funds will come from the invest- ments of limited partners and the principals involved in the projects. Any limited partnership units unsold as of December 31st will be purchased by the principals. We have already begun the process of getting ready for the offering of the limited partnership units as evidenced by the enclosed Certificates of Limited Partnership for City Plaza Limited Partnership and College Towers Limited Partnership. However, the actual offering cannot commence until we have com- piled all of the detailed financial information needed for the preparation of the private placement memorandums for each partnership. This is essentially the same information we enu- merated in our response to your, question la. in our letter of April 15th. We expect to have most of this work done by September 1st so that the sale of the limited partnership units can commence during the month of September, 1980. Very truly yours, PLAZA TOWERS ASSOCIATES By: Plaza Retail Associates By: le ;1peda�Hierinymus By: Towers Hotel Associates By: � — J a4.40ehler Iowa City Office 319.351.5275 200 Plaza Centre One Iowa City, Iowa 52240 MICROFILMED DY JORM MIC R( LA13 CEDAR RAPIDS • DES MOINES Chicago Office 312-348.5455 205 W. Wacker Drive, Room 202 Chicago, Illinois 60808 I D l IiCERTIFICATE OF LIMITED PARTNERSHIP We, the undersigned partners, namely, Old Capitol Business Center Company, an Iowa Limited Partnership, and Leigh R. Gignilliat IV, having formed a limited partnership pursuant to the laws of the State of Iowa and in accordance with the provisions of Chapter 545 of the Iowa Code do hereby certify and state: 1. The name of the partnership is City Plaza Limited Partnership. 2. The character of the business is, as a limited partnership, for profit, to invest in and as a joint venturer par- ticipate in a real estate development joint venture which shall construct and operate a department store in downtown Iowa City, Iowa, and which shall acquire land as the site for, develop, construct, own for investment, maintain, operate, lease, mortgage or otherwise finance the acquisition and development of the shopping center project, and which shall ultimately exchange, sell, or otherwise transfer or dispose of the department store project. 3. The location of the principal place of business of the partnership shall be in Iowa City, Johnson County, Iowa, and the address of its principal place of business shall be 200 Plaza Centre One, Iowa City, Iowa, 52240. 4. The names and places of residence of the members of the partnership, both general partners and limited partners, are set forth as follows: General Partners: Old Capitol Business Center Company 200 Plaza Centre One Iowa City, Iowa 52240 Limited Partners: Leigh R. Gignilliat IV 428 Brown Street Iowa City, Iowa 52240 8319 r`-6 JOHNSON LU., W',,.. S. The term for which the partnership is to exist commenced as of April 1, 1980, and shall continue until December 31, 2021, unless sooner dissolved upon the occurrence of any one or more of the following events: (a) The General Partner, with the consent of a majority in' interest of the Limited Partners, determine that it is no longer profitable or desirable to continue the business of the partnership; (b) All of the Limited Partners, representing one hundred percent (100%) of the total interests of the Limited Partners, either by a writing or at a meeting called for the purpose, determine that the partnership should be dissolved; (c) The occurrence of any event which makes it unlawful for the partnership business to be continued, unless such event can be and is remedied within a reasonable period of time not to exceed six months after notice thereof; (d) Distribution, sale or abandonment of all or substan- tially all of the properties and assets of the partnership other than in the ordinary course of business; (e) The partnership is dissolved by judicial decree or operation of law; R 3 _ - V ICEDAR RAPIDS • DES MOINES I am I uw,v 0 -2- (f) The bankruptcy or liquidation of a General Partner, unless a substitute General Partner has been or will be substituted as provided in the Partnership Agreement. 6. Each Limited Partner has contributed cash in the amount set forth as follows: Leigh R. Gignilliat IV $500.00 7. None of the limited partners has agreed to make any additional contributions to the partnership. 8. The contribution of the initial limited partner, namely Leigh R. Gignilliat IV, shall be returned to him upon his withdrawal from the partnership at the time of admission of addi- tional limited partners to the partnership. The contribution of each limited partner, other than the initial limited partner, is to be returned -- (a) As a part of distributions of cash flow of the partnership, which distributions shall be made in such amounts and at such times as the General Partner may determine, which distributions shall be made to the partners and their assignees or successors in proportion to the Units of partnership interest owned by them. (b) As a distribution in connection with the winding up and liquidation of the partnership upon dissolution, which distributions shall equal the net credit balance of the partner's capital and income accounts. 9. The share of profits or the other compensation by way of income which each limited partner shall receive by reason of his contribution shall be determined by the partnership profit or partnership loss for each fiscal year which shall be allocated among the partners on the basis of their respective participating percentage as of such date. For this purpose "participating percentage" means as to each partner who is a holder of a Unit or Units, at any particular time, the percentage arrived at by dividing the total number of Units held by such partner or holder by the number of Units of partnership interest outstanding. The profit or loss allocable to any Unit which has been transferred during any year shall be allocated among the persons who were the holders of such Unit during such year in proportion to the number of days during such year that each such holder was recognized as the owner thereof and without regard to the date, amount or reci- pient of any distribution which may have been made with respect to such Unit. 10. The right of a limited partner to substitute an assignee as contributor in his place, and the terms and conditions of the substitution are set forth as follows: (1) Except as expressly provided below, no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer his Unit(s) of partnership interest. (2) Subject to the provisions of paragraphs 3, 8, 9, and 10 below, any Limited Partner shall have the right to sell, transfer, or assign her or her Unit(s) of partnership interest to his or her spouse, to any of his or her lineal descendants, to a trust for the benefit of any such person, or to another Limited Partner. Any transferee of such Unit(s) may become a substitute Limited Partner, subject, however, to all of the terms and provisions of the Partnership Agreement, including restrictions on subsequent transfers. . . . JORM VMICR+LAB CEDAR RAPIDS - DES MOINES 9 A -3- (3) No Limited Partner shall have the right to sell, transfer, or assign his Unit(s) to a minor or other person under legal disability, except through a legally recognized custodian, trustee, or other fiduciary. (4) If any Limited Partner wishes to sell his Unit(s) other than as provided in paragraph 2 above, he shall first deliver to each of the Limited Partners and the General Partners a bona fide written offer, setting forth the name and address of the proposed purchaser(s) and the purchase price and terms of the proposed sale. Each of the Limited Partners shall have an option, exercisable by deliver of written notice within ten (10) days after receipt of such written offer, to purchase such Unit(s) at the price and upon the terms set forth in such written offer. If such option is exercised, the Limited Partner(s) first exercising their option shall be entitled to purchase the Unit(s) and shall conclude the purchase within thirty (30) days thereafter. If none of the Limited Partners exercise such option, the General Partners shall have an option to purchase such Unit(s) at the same price and under the same terms, con- ditions and procedures as afforded the Limited Partners. If neither the Limited Partners nor the General Partners exer- cise their options, the.Limited Partner desiring to sell, may sell his Unit(s) to the proposed purchaser(s) named in such written offer at the price and upon the terms set forth therein. However, if the Limited Partner desiring to sell fails to then conclude the salewithin thirty (30) days after expiration of the option provided to the General Partners, he may not sell his Unit(s) without again complying with the foregoing procedure. (5) A Limited Partner shall not sell, assign, or other- wise transfer any fractional interest in a Unit of part- nership interest unless such Limited Partner thereby sells, assigns and transfers his entire interest in the Partnership. However, upon the death of a Limited Partner, his Unit(s) of partnership interest may pass as part of his estate and be distributed to the beneficiaries entitled to such Unit(s). (6) A purchaser, transferee, or assignee of the Unit(s) of a Limited Partner, in accordance with the foregoing provi- sions, shall not be admitted as a substitute Limited Partner unless such purchaser, transferee or assignee: (a) delivers a written notice of the purchase, transfer or assignment of such Unit(s) to the General Partner and the General Partner thereupon consents in writing to such purchaser, transferee, or assignee becoming a substitute Limited Partner, which consent may be given or withheld in the sole discretion of the General Partner; and (b) executes and acknowledges such other instru- ments as the General Partner may deem necessary or advisable to effect the admission of such purchaser, j transferee, or assignee as a substitute Limited Partner, including, but not limited to, the written acceptance and adoption by such person of the provisions of the Partnership Agreement; and (c) pays a transfer fee to the Partnership which is sufficient to cover all reasonable expenses connected with the admission of such purchaser, transferee, or assignee as a substitute Limited Partner, including, but not limited to, the cost of preparing and the filing of an Amendment to the Certificate of Limited Partnership in accordance with the provisions of the Act; JVIY IY. IV l.rnmLMO CEDAR RAPIDS • DES (MOINES -4 - Upon completion or satisfaction of the foregoing conditions, the Partnership Agreement shall be deemed amended. An appropriate instrument shall then be filed for record in accordance with the provisions of the Act and such person shall thereupon become a substitute Limited Partner. (7) A Limited Partner may hypothecate his Unit(s) of partnership interest to a commercial bank, provided that such bank concurrently furnishes to the Partnership a written undertaking to be bound by the above provisions, including the Limited and General Partners' rights of first refusal pursuant to paragraph (4) above in connection with any sale of the Limited Partnership interest held as collateral. (8) Notwithstanding any other of the above provisions, ! no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer any Unit if: (a) as a result of such transfer, more than ten percent (108) of the Units will have been transferred during the twelve-month period ending on the date of such in the opinion of counsel for the Partnership,osed such transfer would result in the closing of the Partnership taxable year j with respect to all Partners, in the termination of the Partnership within the meaning of Section 708(b) of the Internal Revenue Code, in the termination of its status as a Partnership under the Internal Revenue Code, in the impair- ment of its ability to take advantage of accelerated depre- ciation under the Federal income tax laws, or in the violation of any applicable Federal or State securities law. (9) Notwithstanding any other of the above provisions; no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer any Unit without the Limited Partner first obtaining an opinion of counsel that such transfer will not violate any applicable Federal or state securities statutes, rules, or regulations, including, but not limited to, the Securities Act of 1933. (10) The General Partner may, but shall not be obli- gated to, acquire any number of Units(s) from any Limited Partner or from the Partnership. If with respect to such Unit(s) the General partner becomes a substitute Limited Partner within the meaning of the Act, such General Partner shall, with respect to such Unit(s) enjoy all rights and be subject to all of the obligations and duties of a Limited Partner. 11. The right of the partners to admit additional limited Partners is set forth as follows: The General Partner is authorized to immediately obtain additional Limited Partners for the purchase of Two Hundred (200) Units of partnership interest with a purchase price of $5,000 for each Unit. Upon purchase by additional Limited Partners of Units of partnership interest, the General Partner shall from time to time execute and record an amended Certificate of Limited Partnership as required by law. Additional Units, to the extent needed, may be issued in the future by the Partnership if in the judgment of the General Partner, additional funds are needed to complete or operate the shopping center project or to protect or enhance the value of the Partnership's interest therein. Holders of Units of partnership interest will be given the right to subscribe for any such additional Units and any Units reac- quired by the Partnership so as to preserve their propor- tionate interest in the Partnership, on terms determined by the General Partner. -g6 CEDAR RAPIDS • DES MOINES M i -5- 12. No limited partner shall have any priority over any other limited partner as to contribution or as to compensation by way of income. 13. The right of the remaining General Partner or partners to continue the business on the death, retirement, mental illness, dissolution or bankruptcy of a General Partner is set forth as follows: Upon bankruptcy or liquidation of the General Partner, any one or more of the Limited Partners may promptly after such event give notification thereof to the other Limited Partners, and shall call for a vote of the Limited Partners to continue the business of the Partnership or to wind-up the Partnership. If Partners owning a majority of interest in the Partnership elect affirmatively to continue the business in the Partnership, the business of the Partnership shall be continued by a substitute General Partner. A substitute General Partner shall be elected pursuant to the provision of the Partnership Agreement. 14. No limited partner shall have a right to demand and receive property other than cash in return for his contribution. IN WITNESS WHEREOF, the partners have executed or caused this Certificate of Limited Partnership to be executed this 1st day of April, 1980. GENERAL PARTNER: OLD CAPITOL BUSINESS CENTER COMPANY, An Iowa Limited Partnership 0' By: HIERON, INC., General Partner^ .• BY Presidert� BY L' C L tit Secre ary By: INVESTMENTS INCORPORATED, General Partner N` By OAAA� President ^„• j ry ICEDAR RAPIDS • DES MOINES I I Im STATE OF IOWA ) ) ss. JOHNSON COUNTY ) On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Leigh R. Gignilliat IV, to me known to be the identical person named in and who executed the foregoing instrument, and acknowledged that he executed the same as his voluntary act and . deed. STATE OF IOWA ) ss. JOHNSON COUNTY ) V..�n-wC.�✓� XV.�c�u�2.�,a.J� Notary Public in and for ;the State of Iowa C:••• 4111 On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Wilfreda Hieronymus and Albert N. Hieronymus, to me personally known, who, being by me duly sworn, did say that they are the President and Secretary, respectively, of Hieron, Inc., that the seal affixed thereto is the seal of said corporation; that said instrument was signed and sealed on behalf of said corporation by authority of its Board of Directors; and that the said Wilfred& Hieronymus and Albert N. Hieronymus as such officers, acknowledged the execution of said instrument to be the voluntary act and deed of.said corporation, by it and by them voluntarily executed, and further that the foregoing instrument was executed on behalf of Old Capitol Business Center Company as the voluntbry; act and deed of said Old Capitol Business Center Company. G ruDlic in anc tor State of Iowa STATE OF IOWA ) ) ss. JOHNSON COUNTY ) On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Jay C. Oehler and Glenn Muller, to me personally known, who, being by me duly sworn, did say that they are the President and Secretary, respectively, of Investments Incorporated; that the seal affixed thereto is the seal of said corporation; that said instrument was signed and sealed on behalf of said corporation by authority of its Board of Directors; and that the said Jay C. Oehler and Glenn Muller as such officers, acknowledged the execu— tion of said instrument to be the voluntary act and deed of said corporation, by it and by them voluntarily executed, and further, N/ that the foregoing instrument was executed on behalf of Old `~ Capitol Business Center Company as the voluntary act and deed of said Old Capitol Business Center Company. �✓...tom-rtPLv �CJ.Ct-c�t«t'.,..v 1•�.' . Notary Public in and for the State of Iowa y _........._..T--- 88� CEDAR RAPIDS DES MOINES M ., , S"'al� -, „a� � CERTIFICATE OF LIMITED PARTNERSHIP We, the undersigned partners, namely, Jay C. Oehler, Investments Incorporated, an Iowa corporation, and Teresa L. Stepp, having formed a limited partnership pursuant to the laws of the State of Iowa and in accordance with the provisions of Chapter 545 of the Iowa Code do hereby certify and state: 1. The name of the partnership is College Towers Limited Partnership. 2. The character of the business is, as a limited partnership, for profit, to invest in and as a partner participate in a real estate development joint venture which shall construct and operate a hotel -retail project in Iowa City, Iowa, and which shall acquire land as the site for, develop, construct, own for investment, maintain, operate, lease, mortgage or otherwise finance the acquisition and development of the hotel -retail project, and which shall ultimately exchange, sell, or otherwise transfer or dispose of the hotel -retail project. 3. The location of the principal place of business of the partnership shall be in Iowa City, Johnson County, Iowa, and the address of its principal place of business shall be 200 Plaza Centre One, Iowa City, Iowa, 52240. 4. The names and places of residence of the members of the partnership, both general partners and limited partners, are set forth as follows: General Partners: Jay C. Oehler 2060 Melrose Avenue Iowa City, Iowa 52240 Limited Partners: Teresa L. Stepp 503 Elkhorn Trail, RR 43 Iowa City, Iowa 52240 Investments Incorporated 200 Plaza Centre One Iowa City, Iowa 52240 5. The term for which the partnership is to exist commenced as of April 1, 1980, and shall continue until December 31, 2021, unless sooner dissolved upon the occurrence of any one or more of the following events: (a) The General Partners, with the consent of a majority in interest of the Limited Partners, determine that it is no longer profitable or desirable to continue the business of the partnership; (b) All of the Limited Partners, representing one hundred percent (1008) of the total interests of the Limited Partners, either by a writing or at a meeting called for the purpose, determine that the partnership should be dissolved; (c) The occurrence of any event which makes it unlawful for the partnership business to be continued, unless such event can be and is remedied within a reasonable period of time not to exceed six months after notice thereof; (d) Distribution, sale or abandonment of all or substan- tially all of the properties and assets of the partnership other than in the ordinary course of business; ICEDAR RAPIDS • DES MOINES I �6 n -2- (e) The partnership is dissolved by judicial decree or operation of law; (f) The bankruptcy or liquidation of a General Partner, unless a substitute General Partner has been or will be substituted as provided in the Partnership Agreement. 6. Each Limited Partner has contributed cash in the amount set forth as follows: Teresa L. Stepp $1,000.00 7. None of the Limited Partners has agreed to make any additional contributions to the partnership. 8. The contribution of the initial Limited Partner, namely Teresa L. Stepp, shall be returned to her upon her withdrawal from the partnership at the time of admission of addi- tional limited partners to the partnership. The contribution of each limited partner, other than the initial limited partner, is to be returned -- (a) As a part of distributions of cash flow of the partnership, which distributions shall be made in such amounts and at such times as the General Partners may determine, which distributions shall be made to the partners and their assignees or successors in proportion to the Units of partnership interest owned by them. (b) As a distribution in connection with the winding up and liquidation of the partnership upon dissolution, which distributions shall equal the net credit balance of the partner's capital and income accounts. 9. The share of profits or the other compensation by way of income which each limited partner shall receive by reason of his contribution shall be determined by the partnership profit or partnership loss for each fiscal year which shall be allocated among the partners on the basis of their respective participating percentage as of such date. For this purpose "participating percentage" means as to each partner who is a holder of a Unit or Units, at any particular time, the percentage arrived at by dividing the total number of Units held by such partner or holder by the number of Units of partnership interest outstanding. The profit or loss allocable to any Unit which has been transferred during any year shall be allocated among the persons who were the holders of such Unit during such year in proportion to the number of days during such year that each such holder was recognized as the owner thereof and without regard to the date, amount or reci- pient of any distribution which may have been made with respect to such Unit. 10. The right of a limited partner to substitute an assignee as contributor in his place, and the terms and conditions of the substitution are set forth as follows: (1) Except as expressly provided below, no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer his Unit(s) of partnership interest. (2) Subject to the provisions of paragraphs 3, 8, 9, and 10 below, any Limited Partner shall have the right to sell, transfer, or assign her or her Unit(s) of partnership interest to his or her spouse, to any of his or her lineal descendants, to a trust for the benefit of any such person, or to another Limited Partner. Any transferee of such Unit(s) may become a substitute Limited Partner, subject, _90 n DORM MICR(�LAB CEDAR RAPIDS • DES MOINES �. -3- however, to all of the terms and provisions of the Partnership Agreement, including restrictions on subsequent transfers. (3) No Limited Partner shall have the right to sell, transfer, or assign his Unit(s) to a minor or other person under legal disability, except through a legally recognized custodian, trustee, or other fiduciary. (4) If any Limited Partner wishes to sell his Unit(s) other than as provided in paragraph 2 above, he shall first deliver to each of the Limited Partners and the General Partners a bona fide written offer, setting forth the name and address of the proposed purchaser(s) and the purchase price and terms of the proposed sale. Each of the Limited Partners shall have an option, exercisable by deliver of written notice within ten (10) days after receipt of such written offer, to purchase such Unit(s) at the price and upon the terms set forth in such written offer. If such option is exercised, the Limited Partner(s) first exercising their option shall be entitled to purchase the Unit(s) and shall conclude the purchase within thirty (30) days thereafter. If none of the Limited Partners exercise such option, the General Partners shall have an option to purchase such Unit(s) at the same price and under the same terms, con- ditions and procedures as afforded the Limited Partners. If neither the Limited Partners nor the General Partners exer- cise their options, the Limited Partner desiring to sell, may sell his Unit(s) to the proposed purchaser(s) named in such written offer at the price and upon the terms set forth therein. However, if the Limited Partner desiring to sell fails to then conclude the sale within thirty (30) days after expiration of the option provided to the General Partners, he may not sell his Unit(s) without again complying with the foregoing procedure. (5) A Limited Partner shall not sell, assign, or other- wise transfer any fractional interest in a Unit of part- nership interest unless such Limited Partner thereby sells, assigns and transfers his entire interest in the Partnership. However, upon the death of a Limited Partner, his Unit(s) of partnership interest may pass as part of his estate and be distributed to the beneficiaries entitled to such Unit(s). (6) A purchaser, transferee, or assignee of the Unit(s) of a Limited Partner, in accordance with the foregoing provi- sions, shall not be admitted as a substitute Limited Partner unless such purchaser, transferee or assignee: (a) delivers a written notice of the purchase, transfer or assignment of such Unit(s) to the General Partners and the General Partners thereupon consent in writing to such purchaser, transferee, or assignee becomeing a substitute Limited Partner, which consent may be given or withheld in the sole discretion of the General Partners; and (b) executes and acknowledges such other instru- ments as the General Partners may deem necessary or advisable to effect the admission of such purchaser, transferee, or assignee as a substitute Limited Partner, including, but not limited to, the written acceptance and adoption by such person of the provisions of the Partnership Agreement; and (c) pays a transfer fee to the Partnership which is sufficient to cover all reasonable expenses connected with the admission of such purchaser, transferee, or O� JORM MICR+LAB CEDAR RAPIDS • DES MOINES -4 - assignee as a substitute Limited Partner, including, but not limited to, the cost of preparing and the filing of an Amendment to the Certificate of Limited Partnership in accordance with the provisions of the Act; Upon completion or satisfaction of the foregoing conditions, the Partnership Agreement shall be deemed amended. An appropriate instrument shall then be filed for record in accordance with the provisions of the Act and such person shall thereupon become a substitute Limited Partner. (7) A Limited Partner may hypothecate his Unit(s) of partnership interest to a commercial bank, provided that such bank concurrently furnishes to the Partnership a written undertaking to be bound by the above provisions, including the Limited and General Partners' rights of first refusal pursuant to paragraph (4) above in connection with any sale of the Limited Partnership interest held as collateral. (8) Notwithstanding any other of the above provisions, no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer any Unit if: (a) as a result of such transfer, more than ten percent (109) of the Units will have been transferred during the twelve-month r period ending on the date of such proposed transfer; or (b) ` in the opinion of counsel for the Partnership, such transfer would result in the closing of the Partnership taxable year with respect to all Partners, in the termination of the Partnership within the meaning of Section 708(b) of the Internal Revenue Code, in the termination of its status as a g Partnership under the Internal Revenue Code, in the impair- ment of its ability to take advantage of accelerated depre- ciation under the Federal income tax laws, or in the violation of any applicable Federal or State securities law. - ) (9) Notwithstanding any other of the above provisions, 4 no Limited Partner shall have the right to sell, assign, hypothecate, or otherwise transfer any Unit without the Limited Partner first obtaining an opinion of counsel that such transfer will not violate any applicable Federal or state securities statutes, rules, or regulations, including, but not limited to, the Securities Act of 1933. 11, The right of the partners to admit additional limited partners is set forth as follows: The General Partners are authorized to immediately obtain additional Limited Partners for the purchase of Four Hundred Thirty (430) Units of partnership interest with a purchase price of $5,000 for each Unit. Upon purchase by additional Limited Partners of Units of partnership interest, the General Partners shall from time to time execute and record an amended Certificate of Limited Partnership as required by law. Additional Units, to the extent needed, may be issued in the future by the Partnership if in the judgment of the General Partners, additional funds are needed to i� complete or operate the hotel -retail project or to protect or enhance the value of the Partnership's interest therein. Holders of Units of partnership interest will be given the right to subscribe for any such additional Units and any Units reacquired by the Partnership so as to preserve their proportionate interest in the Partnership, on terms deter- mined by the General Partners. 12. No limited partner shall have any priority over any other limited partner as to contribution or as to compensation by way of income. �2 vUG JORM MICR+LAB CEDAR RAPIDS • DES MOINES i -5- 13. The right of the remaining General Partner or partners to continue the business on the death, retirement, mental illness, dissolution or bankruptcy of a General Partner is set forth as follows: Upon bankruptcy, death, mental illness or dissolution of a General Partner, the other General Partner or any one or more of the Limited Partners may promptly after such event give notification thereof to the other partners, and shall call for a vote of the partners to continue the business of the Partnership or to wind-up the Partnership. If partners owning a majority in interest in the Partnership elect affir- matively to continue the business of the Partnership, the business of the Partnership shall be continued by the remaining General Partner and a substitute elected pursuant to the provisions of the Partnership Agreement, and, if not, then by the remaining General Partner alone. If a General Partner withdraws with the consent of the other Partners or is removed in accordance with the Partnership Agreement, a substitute General Partner shall be elected by the remaining partners. Such election shall be accomplished in the following manner: Any one or more of the partners shall, promptly after the election to continue the business of the Partnership as provided in the Partnership Agreement, nominate a person for election as a substitute General Partner. Such nominee shall not become a General Partner unless the partners owning one hundred percent (1008) of the Units of partnerhip interest consent thereto in writing. In the event that such nominee is not elected, any one or more of the Limited Partners shall, as soon as practicable thereafter, nominate another substitute General Partner and shall continue to do so until a substitute General Partner is elected or the Partnership is dissolved. 14. No limited partner shall have a right to demand and receive property other than cash in return for his contribution. IN WITNESS WHEREOF, the partners have executed or caused this Certificate of Limited Partnership to be executed this 1st day of April, 1980. GENERAL PARTNERS: INVESTMENTS INCORPORATED �C B C. Oehler LIMITED PA President '- GC. v Y ecretary !�Z` `t% PAR :^1J %--0 - �o- Teresa L. Stepp r y JORM MICR(�LAS CEDAR RAPIDS • DES MOINES STATE OF IOWA ) ) ss. JOHNSON COUNTY ) On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Jay C. Oehler, to me known to be the identical person named in and who executed the foregoing instrument, acknowledged that he exe- cuted the same as his voluntary act and deed, and stated that the facts contained therein are true and correct as he verily' believes. Notary Public in and for the State of Iowa STATE OF IOWA JOHNSON COUNTY ) ss. C'. On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Jay C. Oehler and Glenn Muller, to me personally known, who, being by me duly sworn, did say that they are the President and Secretary, respectively, of Investments Incorporated; that the seal affixed thereto is the seal of said corporation; that said instrument was signed and.sealed on behalf of said corporation by authority of its Board of Directors; and that the said Jay C. Oehler and Glenn Muller as such officers, acknowledged the execu- tion of said instrument to be the voluntary act and deed of said corporation, by it and by them voluntarily executed. Notary u lic in and for the `V5 State of Iowa STATE OF IOWA � ss. •'��, I JOHNSON COUNTY ) On this 1st day of April, 1980, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Teresa L. Stepp, to me known to be the identical person named in and who executed the foregoing instrument, acknowledged that she executed the same as her voluntary act and deed, and stated that the facts contained therein are true and correct as she verily believes. • v v Notary Public in and for the State of Iowa ;. DORM MICR41LAB CEDAR RAPIDS • DES MOINES PAUL D. SI -]'PR r ///J G1'XJjt�tu(Z'J, AXIC. • MUNICIPAL FINANCE CONSULTANTS PAUL D.5PEER,PA91I0EN1 ELWOOD 6ARCE RII.IIARD A PAVIA THOMAS E.0000HLAN PAUL D. (PETE) SPEER, JR. OGDEN NNIFFIN,JR. BRENDA N. WAIDZULIS LAWRENCE J. RIMMER WATERLOO IOWA 00703 bl.)235.78ea Mr. Larry Chiat Development Coordinator Civic Center 410 East Washington Street Iowa City, Iowa 52240 Dear Larry: .if (AI1W AREA 312 • 346-0668 �cEl�FOgpR April 23, 1980 I have received the two proposals which you sent to me on the proposed shopping mall and hotel in the redevelopment area. I have not attempted to evaluate the proposals as such. As I explained in my visit there the other day, it it my opinion that this project will depend entirely on the ability of the developer to obtain the necessary fi- nancing for the project. The City has offered to assist them In doing this through the use of the Industrial development revenue bond law or possibly through the same type using a tax exempt mortgage. Whatever It Is, It will be up to the developer to bring In the underwriter who will do the financing. Of course, the City will need after that to watch very carefully the conditions which may be Imposed on the City and the obligations which the City may be undertaking, either direct or collat- erally. We understand that the Plaza Towers people intend to have E.F. Hutton and Company through their Des Moines office and Michael Sparks in that office underwrite their share of the project. We understand that the College Plaza People intend to have the financing carried out by Dain Bosworth Inc. through their Minneapolis office. They do have a representative In Iowa City, Mr. Wayne Hester and, of course, they have a very strong office In Davenport. We have talked to Tom Lohman In the Minneapolis office and he advises that he has not made a commitment or a best effort offer to the developer as to this financing. We have just talked to Sparks at the Hutton office In Des Moines with the same answer. We believe that the City should very promptly advise each of the redevelopment groups that they will require a satisfactory showing of the ability of the redeveloper to finance his project over and above the equity which he puts In. They should request that the developers obtain from their financial contacts who will do the underwriting a ESTABLISHED 1954 An Affiliate of Duff and Phelps, Inc. MICROFILMED BY JORM MIC R+L AB CEDAR RAPIDS • DES MOINES i 1'nui, D. Si,micu & ylLlnNnwl„r%n.i Mr. Larry Chlat April 23, 1980 Development Coordinator Iowa City, Iowa - 2 - commitment on a firm basis insofar as it can be obtained but which will probably be subject to the vagaries of the markets and other matters as to the type of financing. It should indicate interest rates on present market values which they would expect to ask the City to undertake. This letter of intent from the underwriter to the developer should be available to the City and should express as strongly as possible their representations as to their belief in their ability to carry out the financing on the suggested terms. It should also set forth the steps necessary to be taken by the developer and the City prior to the initia- tion of the financing by way of a comfort resolution. Very specifically they should Incorporate some type of schedule relating to other events which would indicate the timing of the financing. When all of this has been obtained, the City will be in a much better position to evaluate the developer which they wish to select for this project. It would appear from the references incorporated that both developers have the ability to carry out the project depending, of course, upon adequate financing. There are certainly other factors involved which will influence the City in making Its selection of a developer and including the sale of the property to that developer. These will be personal knowledge and contacts with the members of the developer group, what their local background is, and what their background Is with the local financial Institutions as well as their ability to generate tenants for the retail area. It seems to me that there should also be some Indication of who will be the likely tenant of the hotel and the operator of it. I believe the next step Is now up to the City to request the developers to furnish these additional details using the names of the underwriters and obtain- ing a letter of intent from them. This letter is off our usual type of service to the City but we are happy to cooperate to see that this project reaches completion. A month ago we would have been very doubtful as to ability to obtain any financing but financial markets have so changed In that period of time that we feel that there will be financing available at the proper time provided conditions are no worse than they are now. PDS:tc cc: Ms. Rosemary Vitosh Mr. Neal G. Berlin E Sincerely yours, PAUL D. SPEER E Associates, Inc. MICROFILMED BY JORM MICR+LA9 CEDAR RAPIDS • DES MOINES Presld t City of Iowa Cl", MEMORANDUM Date: April 22, 1980 To: Block 64 Disposition File From: Larry Chiat, Development Coordinator Re: Discussion with Paul Speer Concerning Industrial Revenue Bond Financing Paul Speer, the City's municipal finance consultant, was it town on Monday afernoon, April 21, 1980, to give a lecture to a class at the University t of Iowa. Mr. Speer briefly stopped by the Civic Center, and Rosemary Vitosh and I had an opportunity to talk to him concerning the utilization Of industrial revenue bond financing for the Block 64 Hotel -Commercial Project. Mr. Speer made the following comments during our discussion: 1• He thought that it would be useful to know whether College Plaza Development Company and Plaza Towers Associates had made contact with or secured commitments from bond underwriting firms. If so, Mr. Speer thought it would be a good idea for him to contact such bond underwriters for further information about the specific project. I stated that I would contact each developer and find out whether any contacts with bond underwriters have been made. 2• the I gave Mr. Speer a brief summary of the redevelopment proposals which Information s now on these proposals was ds Pointed to him by mail. a full set of 3 Mr. redeveeer lopment project ointed out that the economic feasibility of a bonds to fproject and the marketability of industrial revenue contingentupon ethe csame factors. ect reallMr. Speerstated hand-in-hand it was his opinin that a 25% nature in order ttopinsureositionmarketabilitywould b�ofbtheralefbor aondspand eto help obtain the lowest possible interest rate. 4• Mr. Speer stated that the current interest revenue bond financing, irate for industrial -12%, depend f such financing is even available, is in the range of 9ing on the specifics of the particular project. When asked if an interest rate in the neighborhood of 9.5% not Might be attainable later this year, Mr. Speer thought that this was difficultsto mak predictionslat this time.but tioned that it is very 5. Mr. Speer stated that he believes there are many projects which are now waiting in the wings, but which will go into the market in a flurry at such time that the applicable interest rates decline to a more moderate level. cc: Neal Berlin Rosemary Vitosh bj2/3-4 0 01 MICROFILMED BY JORM MICR�LAB CEDAR RAPIDS • DES hIDINES City of Iowa CIS; MEMORANDUM Date: April 16, 1980 To: Record Re: Conversation with Mr. Peremsky, Armstrongs, Inc., Cedar Rapids, April 15, 1980 The purpose of the conversation was to determine from Mr. Peremsky any relationships which may have developed between Plaza Towers Associates and College Plaza Development Company. Mr. Peremsky indicated that they have worked rather extensively with Plaza Towers Associates and have in fact filed a letter of intent with Plaza Towers Associates. Armstrongs is comfortable working with Plaza Towers Associates and feel that they have a legal and moral obligation to proceed with them. However, they have also had some preliminary discussions with College Plaza Development Company. If College Plaza Development Company would be the designated developer, Armstrongs would consider working with them provided a .favorable financial arrangement could be developed. Armstrongs also has had discussions with representatives of Turner Construction Company, but it Is Mr. Peremsky's understanding that Turner Construction Company is not interested in providing the department store. bdw/sp MICROFILMED BY JORM MICRI LAB CEDAR RAPIDS • DES MOINES I� I . APR 2 5 1980 MICROFILMED BY JORM MICR�LAB i� ` ✓! CEDAR RAPIDS • DES MOINES ooe7 1 l i y� r y r-. L c April 22, 1980 i TO: Neal Berlin, City Manager FROM: Linda McGuire, Chair Iowa City Human Rights Commission RB: Special Commission Meeting, April 19, 1980 I thought it would be helpful to summarize the important u outcomes of our discussion withmeeting, you at the above � I Director and Department, and the City's Affirmative Action Program. i ti It was very clear that the full Commission strongly recommends i ment be filled as soon as possible. Personnel functions and K responsibilities of the City as an employer are worthy of a professional, director level position. When federal contract compliance and affirmative action are added, the �f need becomes more apparent. ,3r With respect to affirmative action, the Commission has expressed many times during the last year its deep concern ;I over the need for a strong program within the City. At p too, should lie with the Director, Most distressing was the discovery that the City 0. Council might not have approved the f� 9 anxious to see an updated, comprehensive Affirmative Action i Program for our review as soon as possible. F community intervention in informal complaints resolution. This is an area we have increasingly responded to over the t past year. As per our understanding, we expect to be apprised of your y� r y r-. L c April 22, 1980 i TO: Neal Berlin, City Manager FROM: Linda McGuire, Chair Iowa City Human Rights Commission RB: Special Commission Meeting, April 19, 1980 I thought it would be helpful to summarize the important u outcomes of our discussion withmeeting, you at the above � especially as regards the future of the Human Relations Director and Department, and the City's Affirmative Action Program. i ti It was very clear that the full Commission strongly recommends that the Director's position for the Human Relations Depart- ment be filled as soon as possible. Personnel functions and responsibilities of the City as an employer are worthy of a professional, director level position. When federal contract compliance and affirmative action are added, the need becomes more apparent. ,3r With respect to affirmative action, the Commission has expressed many times during the last year its deep concern ;I over the need for a strong program within the City. At our special meeting, we stated that this responsibility, too, should lie with the Director, Most distressing was the discovery that the City 0. Council might not have approved the f� Affirmative Action Program distributed. We are eager and anxious to see an updated, comprehensive Affirmative Action Program for our review as soon as possible. I hope we were able to inform you of our many efforts at community intervention in informal complaints resolution. This is an area we have increasingly responded to over the 1 past year. As per our understanding, we expect to be apprised of your thoughts on reorganization of the Human Relations Department for input, our before any final decisions are made. I also trust that you will be in attendance at our regular Commission meeting on April 28. The Commissioners will be wanting to hear your latest thoughts. cc: City Council members IC Human Rights Commission members MICROFILMED BY JORM MICR+LA6 I CEDAR RAPIDS • DES MOINES 1 City of Iowa CF` MEMORANDUM Date: April 24, 1980 To: City Manager, City Council From: Rosemary Vitosh, Director of Finance Re: Purchase of Outstanding Water Revenue Bonds I have authorized the purchase of $40,000 of Water Revenue Bonds which were being offered for sale by the bondholder. When the Water Revenue Bond and Interest Reserve Fund has an excess balance, the bond resolution states that the excess may be used to call (purchase) any outstanding bonds. Because an excess balance was projected for this fiscal year, the FY80 Budget for this fund did include an expenditure of $100,000 for the call*of bonds. The bonds are being purchased at a price of $73 and accrued ,interest. This will total $29,200 plus the interest and will represent a savings of $10,800 in principal. A similar purchase of bonds was made in November, 1979, at which time approximately $28,000 was expended from this fund. Therefore, there is still approximately $40,000 available in this year's budget for further purchase of outstanding bonds. By calling these bonds before their maturity date, the City will save $10,800 in principal payments and approximately $16,000 in interest payments (the bonds' maturity date was December 1, 1990). Savings to the City is approximatley $27,000. If the City did not purchase outstanding bonds with the excess fund balance, a bondholder would have the right to come in and force the City to purchase outstanding bonds at par plus accrued interest. It is to the City's advantage to purchase outstanding bonds when they are offered for sale by a bondholder as this enables the City to purchase them at a price less than par value. bdw4/2 MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES 0 City of Iowa CI0-f MEMORANDUM Date: April 22, 1980 To: City Couhc 1 From: Doug Boothro Re: Illumination of the new ACT Facility Located off Old Solon (Dubuque) Road The City Council at an informal meeting on Monday (April 14) discussed a complaint by Mr. Charles L. Eble regarding the illumination of the parking and drive areas in and around the new ACT facility. Please be advised that according to the Zoning Code Section 8.10.18F the following Performance standards shall be observed in ORP zones: F. Glare. Any operation or activity producing glare at night shall be conducted within an enclosed building or with effective screening so that direct and indirect illumination from the source of light shall not cause illumination in excess of one-half foot candle when measured along the lot lines in the CB, M1, IP or ORP zones or from any point along the district boundary line in the M2 zone. Flickering sources of light shall be shielded so as not to cause a nuisance across lot lines. I have brought this matter to the attention of Glenn Siders (Senior Building Inspector). There is difficulty in enforcing this performance standard as the City presently does not have a light meter calibrated to measure one-half foot candle. You should also be informed that the new Zoning Ordinance will include similar performance standards regulating glare. If you have any further questions in regard to this matter, please do not hesitate to contact me. bdw2/5 cc: Neal Berlin✓ Glenn Siders Don Schmeiser MICROFILMED BY JORM MICR+LAO CEDAR RAPIDS • DES MOINES 'City of Iowa Cite, MEMORANDUM DATE: January 19, 1977 // y TO: Neal Berlin, City Manager (�n FROM: Dennis Showalter, Director of Parks & Recreation RE: 100' Easement Along the River 1 �" Dennis Kraft, Dick Plastino and I agree that it is in the best,06) interests of the City to require owners to grant the City a 100' easement as open space and have the owners maintain the easement. This we could do in large scale sub -divisions with little problem. In regular sub -divisions, it could present a problem. If we did proceed on this basis, we might well be challenged in court for requiring open space in absence of a mandatory park dedication ordinance. Even if we weren't challenged, it seems rather heavy-handed of the City to require people to grant us easements for our benefit and make them maintain same. phase II of the River Corridor Study by Stanley Consultants, page 38, recommends a 100' buffer along the river with a contin- uous linear bike and pedestrian trail system. Even if we could Let a 100' continuous easement, I doubt that the trail system would ever be used enough to justify construction and maintenance of it. If any additional money is spent on the 100' strip such as maintenance costs or if we would be forced to purchase some or all of the 100' strip, the proposed trail becomes all the more impractical. With the probability of a "hold the line" budget in the forseeable future, it will be difficult for the Park Division to properly maintain riverfront property and continue to perform their regular duties at the level that you and the Council desire. /of cc: Dick Plastino Dennis Kraft Bob Bowlin PS 0-7 r _ A" -k- 4_v GG MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES A)�/3 i A( City of Iowa CK - MEMORANDUM Date: April 23, 1980 To: City Manager and City Council From: Michael Kucharzak Re: Property Rehabilitation Program The following is a status report regarding property rehabilitation activities for the fifth year Program. of the Community Development Block Grant 312 Loan Activities: Summit Apartment Cooperative - 228 S. Summit Street. Sixteen apartments and one rooming unit. 312 loan approved,by HUD in August 1979 for $140,550. All interior work completed, and caulking of exterior remaining. All work scheduled for only painting completion by June 30, 1980. Iowa Apartments - 108 S. Linn Street. Thirty-two apartments. Tentative 312 loan approval from HUD on February 13, 1980 in the amount of $556,800. Plans and specifications are out for bids with bid opening scheduled for May 2, 1980. Final application due at HUD May 8, 1980. Burkley Apartment Building - 130 E. Jefferson Street. Twenty-eight apartments. Preliminary inspection work completed, including engineering structural study. Consulting contracts to be let for assistance in completing specifications and construction cost estimates. Loan should be submitted to HUD this summer. 1411 Sheridan Avenue Single-family dwelling, owner -occupied. Amount of 312 loan - $27,000. All construction completed in fall of 1979. Case closed. 710 S. Summit Street Single-family dwelling, owner -occupied. Amount of 312 loan - $15,050. Only exterior painting remains to be done and is scheduled to be completed this spring. 839 Roosevelt Street Single-family dwelling, owner -occupied. Amount of loan applied for - $27,000. Final work being completed on application and will be mailed out to HUD on May 2, 1980. MICROFILMED DY JORM MICR�LAO CEDAR RAPIDS • DES MOINES rA 2 630 E. Washington Street Single-family dwelling, owner -occupied. Amount of 312 loan applied for - $20,000. We anticipate completing paperwork and mailing application around May 9, 1980. 937 E. Davenport Street Single-family dwelling, owner -occupied. completed for 312 loan application. Forgivable Loan Program: Preliminary work almost Five cases have been approved for forgivable loans having a total dollar amount of $56,499. Of the five cases one is completed, and construction continues on the remaining four. Two additional cases are presently being prepared by staff and will soon be submitted to the Housing Commission for approval. All monies identified for the forgivable loan program will be encumbered before June 30, 1980. Spouse Abuse Shelter: Rehabilitation staff has worked closely with the principals involved in the Spouse Abuse Shelter both in their real estate search activities and currently in the rehabilitation program development for the Shelter. Inspections have been completed and presently staff is completing the preliminary cost estimate for the rehabilitation. It is expected the shelter will undergo rehabilitation during the summer of 1980. In addition to the above-mentioned cases the staff has assisted the Department of Planning and Program Development in performing field surveys on potential replacement housing sites for persons being relocated in the small cities grant area. Staff proposes to continue to aggressively seek out all 312 loans, both owner -occupied and investor-owned that can be processed according to HUD guidelines. This means that priority must be given both by the City of Iowa City and by HUD to properties that are either owned and occupied by low-income property owners or in the case of renter housing, properties occupied by lower income tenants. To date, our success rate in seeking out these properties have been very good. The staff would like to expand the rehabilitation 312 activities, and is willing to seek additional staff support from Council, however, a greater commitment from HUD regarding the future funding of the 312 program must be given before the staff can consider expanding the program. As soon as information is obtained, the staff will inform the Council and the City Manager. bdw3/1-3 MICROFILMED BY JORM MICR�LAO CEDAR RAPIDS • DES Mo1nES i A City of Iowa Ci^ Date: April 23, 1980 To: Neal Berlin and City Council From: Chuck Schmadeke, City Engineer Re: Guy Wire Located in the Parking Stall at the Pentacrest Garden Apartments The guy wire, which is located in the parking stall at the Pentacrest Garden Apartments, was installed to stabilize the power pole at the northwest corner of Capitol and Burlington Streets. This polesupports power lines that run from Burlington Street to College Street on Capitol Street. These power lines are owned by the.University of Iowa and Iowa - Illinois Gas and Electric. Iowa -Illinois Gas and Electric will remove their lines during the month of June and the University of Iowa will remove their lines in the fall. Once the power lines are removed, the power poles and guy wires will also be removed. In other words, the guy wire will be removed from the parking stall at the Pentacrest Garden Apartments in the fall of 1980. bdw3/8 MICROFILMED BY JORM MICR+LAS CEDAR RAPIDS • DES MOINES x. l t� e! , Fa i I k C 4J i3 , r� X7 jI tt I� y. City of Iowa Ci^ Date: April 23, 1980 To: Neal Berlin and City Council From: Chuck Schmadeke, City Engineer Re: Guy Wire Located in the Parking Stall at the Pentacrest Garden Apartments The guy wire, which is located in the parking stall at the Pentacrest Garden Apartments, was installed to stabilize the power pole at the northwest corner of Capitol and Burlington Streets. This polesupports power lines that run from Burlington Street to College Street on Capitol Street. These power lines are owned by the.University of Iowa and Iowa - Illinois Gas and Electric. Iowa -Illinois Gas and Electric will remove their lines during the month of June and the University of Iowa will remove their lines in the fall. Once the power lines are removed, the power poles and guy wires will also be removed. In other words, the guy wire will be removed from the parking stall at the Pentacrest Garden Apartments in the fall of 1980. bdw3/8 MICROFILMED BY JORM MICR+LAS CEDAR RAPIDS • DES MOINES l :- City of Iowa Cid MEMORANDUM DATE: April 23, 1980 TO: Neal Berlin, City Manager FROM: Harvey D. Miller, Police Chief�l RE: Northside Lighting Project Update " I Several thingshave been completed on the project. 1 I. Carol Worlan, Director of the Eastern Iowa Area Crime Commission was notified verbally of the City's interest in I a grant for project evalua- tion, in early March. 2. Steering Committee for the project formed in late March. 3. Preliminary draft of evaulation outlined during the first week of April. 4. Draft of evaluation outline approved by the Steering Committee on April 22. 5. Meeting between Ms. Worlan and some Steering Committee members scheduled for 9:30 a.m., Wednesday, April 30, to discuss the availability of LEAA funds, and if available, the manner application. of Following the meeting with Carol I shall report to you as to whether evaluation funds are available and if so, the matching funds that would be necessary if a grant application was approved. f Quite frankly, the biggest drawback is designing an evaluation project that really tells us anything is that there is no model around which to design the effort. The evaluation of similar but larger lighting projects in other cities in the nation have proven that better lighting is better lighting, no more and no less. The effects of lighting alone in or combination with aware- ness programs or other measures are not known, nor are the results of these lighting experiments verifiable. We hope to evaluate the attitudes/behaviors and i per- ceptions of residents in the affected areas as well as lumens of light per a given area. These measures Y 3 �y MICROFILMED BY JORM MICR+LA6 CEDAR RAPIDS • DES MOINES Northside Lighting Project Update -2- coupled with time regression analysis; resident exper- ience and the absolute changes in a number of selected crime rates mi ht (although I cannot definitely state that it will) give us some indication that additional lighting in some way affects crime rates. I'll keep you advised of the progress of the Committee and the possibilities of grant monies, if any, for the project. MICROFILMED BY JOgM MIC R(�LA6 iS CEDAR RAPIDS •DES MOINES 1 ' I _ i i f A 4 a i Northside Lighting Project Update -2- coupled with time regression analysis; resident exper- ience and the absolute changes in a number of selected crime rates mi ht (although I cannot definitely state that it will) give us some indication that additional lighting in some way affects crime rates. I'll keep you advised of the progress of the Committee and the possibilities of grant monies, if any, for the project. MICROFILMED BY JOgM MIC R(�LA6 iS CEDAR RAPIDS •DES MOINES 1 ' a i City of Iowa C14 MEMORANDUM WC April 18, 1980 10: Neal Berlin, City Manager FROM: Harvey D. Miller, Police Chief O RE: Attached Report The attached sheets indicate the crime index and crimes per 100,000 population for the major cities in Iowa City,Des Moines excluded. The documents point out that Iowa City is really not crime ridd MICROFILMED DY JORM MICR�LA13 CEDAR RAPIDS • DES MOINES it •: U) • p• rl M ro« U p. 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Recreation Center - Room A Iowa City, IA 52240 �r�i DELEGATES PRESENT: Michael Kattchee, David Perret, David Roberts, Don Sehr, J. Patrick White ALTERNATES PRESENT: Herbert Jordan, Neal Berlin, James Lindberg DELEGATES ABSENT: Casey Mahon, Lynne Cannon OTHERS: JCRPC: Barry Hokanson, Dixie Collins, John Lundell ECICOG: Jim Elza City of Iowa City: Kevin Laverty, Doug Boothroy Others: Karin Franklin Mr. White called the meeting to order. 1. APPROVAL OF MINUTES OF APRIL 10, 1980 ro44�/ It was moved by Mr. Perret, seconded by Mr. Roberts to approve the minutes of April 10, 1980 as distributed. Motion carried. 2. REVIL'11 FORMAT OF SUMVAR'i CHART (Examolc: Transnortation) Mr. Hokanson described the comparison chart for transportation planning which had been recuested by the Committee. He notud that the chart included minimum requirements, current staffing arrant-:^a:lts, and the respective responsibilities of affected governmental agencies. Mr. Berlin said he had previously ucderstnod that JCRPC was orogra.:.mtd to employ an additional transportaticn planner to meet the minimum federal reciuirements. 1 -Ir. Ho.kanson explain,!"' that the acencies of the U.S. Department of Transportation had recently simplified the requirements for this urban area due to the fact that this will be the first year of the federally rund•id plonninq project. He ;aid that the second year, Fiscal Year 1952, would include more stringent roquiremer.ts plus additional federal funds to defray the planning ccsr.s. tie stated that the reduced program deals only with r1,e.^.nit.; t-l=":s to be 'un=ad by th. U::TA Section 8 ^roeras 529, 00 for F7 1^1.. ii.. ...... _., e•�. .. ...... that no deci51c:1 Jl l:::: C...... .lt this '.'"1a:�•'a:'.: ."^C., _.. trans::J:•ta!In,^. -t •'.'1.'.: _: �," _, C11:" .. ... .._ _ ..t:._. on the e.• �9G • MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES I i i 1 I I on the e.• �9G • MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES I � PII IIU C l`J • Page 2 I fir• Berlin sai,, op was as concerned with t ing had been and ted bythisno choices shouldmhe mof the ildc g prepared Jet-staffin I I stoeri.ng committee. a recommendation fir• Ferret said that due to the f for the available ; b,000 federal funding segue ace hat reassis Filing would not precludening �ranC needed to benfilednthi.slication gnment of Planning additional trans month, but steering committee. Priorities which may sortation projects or Mr. Berl' Y be suggested by this Berlin said that the City Council committment to support overall tra of lo,,- C. Cation it stopal y has made a the stepsttohorgpnizelagdderal Planningtgrant wouldPlannbe and it9was runder- s Ile expressed certify the fletro be used to undertake i ! carefully concern that the information Politan Planning y Presented on on the Organization. j so that it not be Into planning grant should be l ' fir• Berlin as the overall i asked when the local c Program, , committments in overnment ace support of specific agencies would be asked Planning Projects. tt make Mr. Ferret said that the committee is curronCl as a way of evalu�lting each Planning would be Y using these Planning charts Prepared as to I cuteyorYI after. which recommendation,, sCzlffing and agency organization. Mr. Sehr noted Joh planningnissuesson thattt the chaarth01, transportial ation Planning seemed to illustrate County does not in the Federal A av since there would only be a small ramount of est in transportation fundsinvolved 1 • opera ti Aid Urban Systems P onal planning concerns the(secondarog��an He that of is not directl said most the i Y a concern of JCRPC. Y Roads Department, and that this I � fir• Kattchee Mr. K said he felt the summary chart helped that the who would be impacted by the establishment of clarify Coralville Cit the choices, FY 1981, and that y Council has determined its bud hetftco He noted anY increase in that support would be qv mmittment for In response to a question very unlikely. ' to meet the from 11r. g� minimum trans 'tttchee, Mr. Nokanson the First year of its transportation punning res said that in order I and that this existence, one requirement for an MPO during salary co..^,t would tr`ansPortation planner would ' $20,000. (ie add pd that for the b^ largely covered be sufficient, - Position would s cond ., the federal grant of would also Probably be needed Yeas, Id 1902, an additional I be available at but that additional transportationfunds I that time to defray salary costs. There was a general discussion the amounts of ^ ''I for FY 1981,currenCly budgeted by 1pwueCit•nt tsses:mpnt levels for �7CRPC, and ! Coralville, and Johnson County, i Concerning the general priorities of program that the City Of Coralville did g categories, t• Priority interest not r Mr. Kattchee said at this time, list human services planning as .1 Mr. t,4utc noted that the for human services County government was not with another Planning, althoughYet convinced of the need .lead agency may be a Posibilial funding assistance in cOOPOration 1 MICROFILMED BY _ JORM MICR+LAB CEDAR RAPIDS • DES MOINES Minutes f v Page 3 .I Mr. Kattchee said that the City of Coralville is interested in the establish- ' went of an MPO for federal transportation grant eligibility, a housing plan for HUD eligibility, and a parks and open space plan for eligibility with the Iowa Conservation Commission grants. fie noted that Coralville would also make use of JCRPC assistance, if available, on the neva City Comprehensive Plan and for miscellaneous graphics work. Mr. Berlin said that Iowa City's priorities are for transportation planning and human services planning. Mr. White noted that the establishment of this steering committee and its assignment had originated with a suggestion from Iowa City that its planning department may be able to be reorganized and in part consolidated with other local planning activities. fie asked whether this objective from Iowa City's viewpoint had changed. Fir. Berlin responded that the current position of the City Council is basically not to pursue that issue, that there may be rn oossibiliCy of some chancre, Lint that there was sentiment against any dismantling of the City's planning structure. MICROFILMED BY JORM MICR+LAE3 CEDAR RAPIDS • DES MOINES Mr. Perret said he believed the issue of planning reorganization was still open and that the steering committee should pursue its assignment and develop a reconmiendation which would be forwarded to the City Council of Iowa City and to other agencies. Ile noted that another version of reorganization could include contracting arrangements which 'would provide certain services from one agency to another. Mr. Berlin added that the ' contracting alternative may be the only one which could receive majority support from the City Council of Iowa City. Mr. White asked for suggestions to the staff for improvements to the summary chart as presented. Mr. Kattchee said that the minimum requirements were presented clearly on the chart. Mr. Perret said that he would like to I see a description of planning costs in the different categories and a summary of planning staff requirements. In response to a question from 14•. Kattchee, tor. Ilokanson clarified that the transportation planning staff requirements of an 1-1110 would be approximately two positions in the second year and heyond. Mr. White noted that the expanded VQCSiell of the summary chart as being discussed would require additional. sta'f time to Prepere and suggestod that a request be forwarded to the JCRPC Executive Board asking for this additional assisLancc. (1-q It was moved by Mr. Berlin, seconded by Mr. Itubnrts Co request additional j. - staff assistance from the JCRI`C I:xecut.ive Board so that Mr.. Ilokanson could - prepare more detailed summary charts including alternative planning level: and alternative cost estimates. ;-lotion carried. t 3. MINTI'Mil RI:O IRESIEPPCS roR PLAElI21G \. -Summary Chart by BCICOG Mr. Blza described a summary chart preparod by ECTCor, to list the Planning requirements at dift'erent governmental levels: ste,tc, area -wide, metropolitan, city, and county. lie discusse<i the individual requirements in four catecories: 1 it - Flo MICROFILMED BY JORM MICR+LAE3 CEDAR RAPIDS • DES MOINES t L- Minutes Page 4 Human Services Environmental Plans Transportation Plans Community Development After further discussion, it was generally agreed that summary charts should be prepared in the following categories: Human Services Solid Waste Local Assistance Land Use Transportation Parks & Open Space There was discussio:: ,i bout the need to consider housing planning, but it was generally agreed that there was insufficient support for reorganizing the housing planning process or setting up a program of that kind on a county -wide level. 4. SELECTION OF AGENDA ITEMS FOR NEXT MEETING_ It was decided that next week's agenda would include a review of the summary charts, with a priority in the following three categories: Transportation Land Use Small Cities Assistance The second item for discussion would be a review of examples of consolidated planning agencies. 5. ADJOURNMENT The meeting adjourned at 6:00 P.M. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES M 414 ■ i i ■ ! � ! county r; it RED johnso n cou y l regional planning commission G`jI i ��p H"t. IN JIXUen 22 sours cA,buque steel, jo:,e cN. ,oam .52240 (319) 3510556 R�tickonson 4/21/80 STEERING COMMITTEE ON PLANNING REORGANI7.ATION Thursday, April 17, 1980 ... 4:00 P.I.I. Recreation Center - Room A i Iowa City, IA 52240 i DELEGATES i i PRESENT: David Perret, David on Sehr, J. Patrick White, i Roberts,, i Casey Mahon, Lynne Cannon j ALTERNATES PRESENT: Herbert Jordan, Neal Berlin, James Cole (Coralville) DELEGATES ABSENT: Michael Kattchee j OTHERS: JCRPC: Barry Ilokanson, John Lundell I _ City of Iowa City: Kevin Laverty, Doug Boothroy 1 s- Mr. White called the meeting to order. APPROVAL OF MINUTES OF APRIL 10, 1980 I It was moved by Mr. Roberts, seconded by Mr. Sehr, to approve the minutes Of April 10, 1980 as distributed. Motion carried, i 2• REVIEW FORMAT OF SUMMARY CHARTS Land Use j Mr. Hokanson distributed and described a chart on land use an administrationplanning, I ` I listing required plans, related pl, and optional planning elements. Mr. Perret said lie thought this information would be helpful to the committee, particularly the cost information, since the committee's work - has now reochal the Point: where enol. comparisons ars_ ;IPpropriaL•e, in _ relation to the perceived benefits and till, financial committments announced to date. i ( , In response to a question from Mr.. Perret, Mr. Sr_hr said that the County did not now anticipate significantly more wort: by JCPPC on its land use program. Mr. Perret asked about examples where City zoning staff had ".� assi„tecl with County zoning matters such is the mobile home zoning near Scott Boulevard. Mr. Sehr said those projects refer to the urban fringe �\ Policies and he rfenerally porceivod those policies to he of benefit to city government, not Johnson County. tor. ,;c�lrc si.d Cha L• thn CounCy':; interest in cotaprehensive planninq would be very li.mi.tod, and noted that tho County's C0l11pr'ehen:,dvo Ilan would I,rob.ilil.y need 111"l.itinq no :sooner than every Gun y0.11•:1. i i MICROFILMED BY d JORM MICR+LAB CEDAR RAPIDS - DES MOINES Paye 2 1. ?-11 Mr. Berlin said that the information in chart form would now be helpful to the Committee in outlining what types of planning "packages" each agency may wish to buy, after which the group should discuss configuration of an organization and thr_ alternatives for providing these services. Mr. Perret said it would be helpful in this same chart form to show cost information for County and City planning staff operations. Transportation Mr. Hokanson distributed and described it supplemental chart on transportation planning alternatives. He noted that in addition to required planning items to be eligible for federal and state assistance, a variety of additional items would be optional in the coming year, Fiscal Year 1981, with some of those items becoming mandatory in the second and succeeding years. Mr. Hokanson explained the alternate cost estimates based on 1, 1S, and 2 transportation planning staff members. Mr. Berlin said that from a financial standpoint, assuming that the first priority of Iowa City is transportation planning, it would be better for the City to employ two transportation planners on the City staff and subcontract a portion of their services to whichever governmental agencies are interested in participating. lie said that this arrangement would greatly reduce the overhead cost associated with a separate agency. Mr. Hokanson explained a table showing calculations of overhead costs, and noted that various central services such as A-95 review and legislative assistance appear to be overhead cost since they are not identified as a program category. Mr. White said it would seem appropriate to add the cateogry of Central Services to those under discussion. Mr. Perret suggested that, in addition to the question of staffing, there remain organizational issues such as a voting policy body and the need for advisory committees, particularly in the field of transportation. Mr. White suggested that discussion be focused on the substantive areas where a planning need is identified, before trying to establish which agencies may be able to carry out which programs. TL' was generally .Mimed that Lr•annhortatiou planni.nl i:: ,t prinrity need, and Lhat the planning royuirenicnt:: need to be met by some organization serving as the required Metropolitan Planning Organ iroLion. Mr. Sehr noted that the small cities do not have much need for transportation planning, and that according to the Summary Chart the County government is not actively involved. He asked whether the County could contract for these limited transportation planning services from the City of Iowa City. Mr. White said that specialized transportation services, such as the SEATS system, are an import, int ingredient in the transportation planning structure, and that the County needs to decide whether the S17hTS system is it rural system or whether it is intended to provide services on a county-wicde basis. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS - DES MOINES u i Page 3 i In response to a question from tis. Mahon, Mr. liokanson said that although the University CAMBUS system is different from other transit agencies in the state which now receive state operating assistance, it is a line haul system open to the general public and it would therefore seem to be eligible for federal operating assistance. his. Mahon said that the University is particularly interested in transportation planning and the establishment of an MPO, Mr. Lundell explained that the recipients of UMTA Section V operating funds are so designated by the Governor. lie added that the staff is currently researching the criteria for such designation. In response to a question from Mr. White, there was a general concensus that the emphasis should be on "first year required items" for the transportation planning program, with the addition of grant preparation as an item which all local agencies consider essential. Mr. White noted that the preliminary budget allowance from the County govern- ment to JCRPC included an approximate figure of $3,000 as an assumed contri- bution for transportation planning. In response to a p question from Mr. Perret about the allocation of $20,000 in the FY 1981 UMTA Section 8 grant, Mr. Mokanson explained that the grant would provide for selected work items, but that it would not fund a specific j planning position. lie added that the proportion for indirect costs, or overhead, are commonly 352 to 452 of salary and fringe costs assigned to a project, lie said that the proportion of overhead costs would depend greatly on the number of program categories served by a central administrative staff, that one or two programs would have high overhead, but that five or six programs sharing central services would be less costly. Mr. Berlin said that from this discussion it would appear that only Iowa City is offering a level of financial committment adequate to support the transportation planning program. Continued Discussion of Land Use Plann!2 Mr. White suggested that an option for land use planning may be to trim the staffing to a half time equivalent because of the fact that it is primarily I it County .interest and that: the County is not prepared to pay for a full time equivalent which is shown on the salary chart at a cost of $31,000 plus overhead. lie so.id the County was also interested in giving some support to the local assistance program of •7CR?C. Mr. Schr suggested that the group may wish to review the amount of money i now budgeted and decide how it should bo nll.oe,ited. Mr. Perlin said that under that arrangement Towa City would ba bayinq substantial overhead in an existing agency, and that it may lin more eFficinnt: to rto srtrh work within the City staff. Mr. Whito nutcd Lhar. the pianninq finc•Lions shown on the I chart would provide Iowa City with additional benefits in such categories i as urban fringe land use planning. Mr. White asked for reaction to the arrangement used in Linn County where, in affect, it shared staff is housrd 'within the city govornmont. Ms. Cannon said that it seomed to her that: Towa City •wa. riot �wi.shinq at this time to reorciani.%o its pl,inni.nn staff ,Ir1ri `tile othnr vlencic:; seem prepared only to buy those: sr.rv.ice: which arc cu:enCi•rl. Lo their own operation, •Ind i none are wil.lina Co conta ihute co ovr�rhoarl r•n••f. or• r•nn t: nil •.,.rvi era. 1: said that under thoso circr.Imscances, Civ., Linn County rx.�mt,iri may L•c chc on LY fuasih.le optir-. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES Page 4 Ms. Mahon said that the University wishes to continue its support of the cooperative planning effort, and that the current committment of approximately $9,000 in services provided by graduate research assistants would probably be committed to whatever agency is responsible for the planning. Mr. Berlin said he thought such assistance could be used in whatever organizational structure is created. In response to a question from Mr. Roberts, Mr. Berlin said that it nay be possible to accommodate some of the present JCRPC staff within City office space such as the third floor of the Davis Building soon to be vacated by ECICOG. Mr. Jordan asked about the feasibility of combining City zoning staff and County zoning staff. Mr. Sehr said that he folt such an option may be feasible, but that it had not been throughly discussed since it appeared that Iowa City was not interested in that kind of reorganization. Mr. Berlin said that it may be feasible to locate similar staff functions physically near to one another, in adjacent office space, but that full staff integration would pose some special problems. Ile noted that Iowa City would not wish to be recognized as being responsible for the county's zoning administration, for example. Mr. Roberts said that a combined zoning staff would not be identified with any one agency, but rather should have a multi -jurisdictional outlook. 3. NEXT WEEK'S AGENDA Mr. White suggested that the next meeting should deal with examples of consolidated planning and the remnininq summary charts: local, assistance, human services, parks and open space, and solid waste. Mr. White also suggested that• the committee members should make a special effort to review the items discussed at this committee meeting with their respective agencies. Ms. Cannon suggested that in view of the limited time remaining for the committee's work, the group should begin to focus on the options which it considers feasible. She asked Mr. llokanson to obtain additional information on the organization of the Linn County Regional Planning Commission. Mr. Lundell distributed copies; of it federal Ralister outlininq thn specific responsibilities of a Metropolitan Planning Organization. A. ADJOURIM•ENT The meeting adjourned at 6:05 P.M. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES 11 u n i i i i Page 4 Ms. Mahon said that the University wishes to continue its support of the cooperative planning effort, and that the current committment of approximately $9,000 in services provided by graduate research assistants would probably be committed to whatever agency is responsible for the planning. Mr. Berlin said he thought such assistance could be used in whatever organizational structure is created. In response to a question from Mr. Roberts, Mr. Berlin said that it nay be possible to accommodate some of the present JCRPC staff within City office space such as the third floor of the Davis Building soon to be vacated by ECICOG. Mr. Jordan asked about the feasibility of combining City zoning staff and County zoning staff. Mr. Sehr said that he folt such an option may be feasible, but that it had not been throughly discussed since it appeared that Iowa City was not interested in that kind of reorganization. Mr. Berlin said that it may be feasible to locate similar staff functions physically near to one another, in adjacent office space, but that full staff integration would pose some special problems. Ile noted that Iowa City would not wish to be recognized as being responsible for the county's zoning administration, for example. Mr. Roberts said that a combined zoning staff would not be identified with any one agency, but rather should have a multi -jurisdictional outlook. 3. NEXT WEEK'S AGENDA Mr. White suggested that the next meeting should deal with examples of consolidated planning and the remnininq summary charts: local, assistance, human services, parks and open space, and solid waste. Mr. White also suggested that• the committee members should make a special effort to review the items discussed at this committee meeting with their respective agencies. Ms. Cannon suggested that in view of the limited time remaining for the committee's work, the group should begin to focus on the options which it considers feasible. She asked Mr. llokanson to obtain additional information on the organization of the Linn County Regional Planning Commission. Mr. Lundell distributed copies; of it federal Ralister outlininq thn specific responsibilities of a Metropolitan Planning Organization. A. ADJOURIM•ENT The meeting adjourned at 6:05 P.M. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES 11 u n The Building Line Volume 31 WINDING STAIR PROBLEMS TAKE A NEW TURN April 1980 Recently the Division of Building Inspection has experienced a number of problems in the construction of winding stairways within single family dwellings, duplexes, and apartment houses. Most commonly these winding stairways are found leading from the first floor to the lower level or basement area of a residence. They are permitted under the Uniform Build- ing Code. The regulation for the winding stairways is found in Section 3305.(d) and reads as follows: In Group R, Division 3 occupancies and in private stairways in Group R, Division 1 occupancies, winders may be used if the required width of run is provided at a point not more than 12" from the side of the stairway where the treads are the narrower, but in no case shall any width of run be less than 6" at any point. The pictorial illustration accompanying this article hopefully will clarify how the City interprets this section of code. As I am sure you are all well aware, the minimum dimension for any stairway is 30" in width. You also know that in single family dwelling stairways the minimum tread width is 9" and the maximum riser height is B". As you see from this illustration, you measure in 12" from the narrowest part of the tread and at that point the tread width must be a minimum of 9" in depth. You will also notice that the narrowest point on any part of the stairway can be no less than 6" Many stairs have been installed incorrectly and had to be ordered rebuilt according to code. Hopefully, this article and illustration will clarify the proper con- struction practices for winding stairways and if there is a need for further clarification, please do not hesitate to contact one of the Building Inspectors at the Division of Building Inspection. wuw' 'L"'"ni JORM MICR�LAS CEDAR RAPIDS OES Id01NES is PUBLIC HOUSING To date 12 persons have acquired Developer's Packets for the proposed 68 units of turnkey public housing. Proposals and completed forms , along with other required information, shall be delivered to the City Clerk of the City of Iowa City, Iowa, on/or before 4:00 p.m. on May 2, 1980. Developer's Packets may be obtained from Lyle G. Seydel, Housing Coor- dinator for the City of Iowa City, Iowa, upon payment of the sum of fifty ($50.00) dollars, or may be reviewed at the Housing Coordinator's Office in the Davis Building, 332 East Washington Street, Iowa City, Iowa between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday. Further information can be obtained by contacting Mr. Seydel personally, or by telephone at 319/354-1800, Extension 304. STATISTICS i MINIMUM HOUSING BUILDING INSPECTION During March, 1980, 70 structures During month March, 19, 24 were inspected containing 372 BuildinghPe mits,06 Mechanica80Permits, dwelling units and 192 rooming 12 Plumbing Permits, and 17 Electrical units. In addition, 108 reinspec- Permits have been issued by the City. tions were conducted. 308 dwelling The total value of all March construc- units and 75 rooming units were found to be in compliance with the tion in Iowa City is $615,910. Minimum Housing Code of Iowa City. HOUSING ASSISTANCE PROGRAM During March, 1980, 12 units were brought into the Section 8 Program. Total units, Section 8 392.' 99I VN 1pwb VM01'A110VM01 0VUS PMol IX413 PMOL QIYd uoj6utysum '3 OIb j 3DV1SOd'S'0 JaluaO otn10 IyTR =a saatAJOS UOL4Dadsul pup 6utsnoH 40 4uawlieda0 A t0 PMol 10 X310 MICROrILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES r j I r i i i. 99I VN 1pwb VM01'A110VM01 0VUS PMol IX413 PMOL QIYd uoj6utysum '3 OIb j 3DV1SOd'S'0 JaluaO otn10 IyTR =a saatAJOS UOL4Dadsul pup 6utsnoH 40 4uawlieda0 A t0 PMol 10 X310 MICROrILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES FJ(Z� APR 2 81980 3406 Arbor Drive Iowa City, Iowa 52240 April 28, 1980 Neal G..Berlin, City Manager City of Iowa City 410 E..Washington Street Iowa City, Iowa 52240 Dear Neal: I am submitting my resignation as Iowa City Public Works Direc- tor effective May 31, 1980. My family and I will be moving to Lakewood, Colorado where I have accepted the position of Public Works Director.. Iowa City has been an enjoyable community to work and live in for the last five and a half years.. We regret leaving, but the position in Lakewood presents an opportunity for significant professional advancement, I do wish you and the staff continued success in completing the many innovative and progressive projects now underway in Iowa City. MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES Sincerely, Richard J. Fastino U /� c04v of Iowa MRE=Ea M0 R AN DATA: April 28, 1980 TO: Honorable Mayor and City Council FROM: Linda McGuire, Chairperson, Iowa City Human Rights Commission RE: Attached Supreme Court Ruling I noted that discussion on pending litigation, perhaps regarding Linda Eaton, is scheduled for this afternoon's informal council session. The attached Supreme Court decision from last week's Des Moines Register on municipalities' liability in violation of their employees' civil rights may or may not have bearing on your discussion. I thought it may be of interest and possible use to you. O/n b�ehallff/of Ms. McGuire, Sophie Zukro k Secretary to the Iowa City Human Rights Commission SMZ/sam Attachment cc: N. Berlin Human Rights Commission Legal MICROFILMED DY JORM MICR�LAB CEDAR RAPIDS • DES MOINES 0 'j i r E Thurs., April 17, 1980 10 12A./ DES MOINES REGISTER c® says ecundes, ci les Suits n®t:i une M TAghts WASHINGTON. D.C. (AP) — The Supreme Court, by a 5-4 vote, ruled Wednesday that the nation's clues and counties enjoy no legal immunity when they violate someone's federal civil rights. Completing a dramatic, two-year turnaround from its rulings that until 1978 gave cities and counties absolute Immunity from such lawsuits, the court stripped away legal protection for even those official acts carried out in "good faith." The justices said cities and counties, unlike their employees, never are entitled to a qualified, "good faith,,, Immunity from a lawsuit charging . that IIndividual rights protected by.the Constitution or federal law were ylolated. . The court's dissenters said the, decision ;'converts municipal gover-. nance into a hazardous slalom through constitutional obstacles that often are unknown and unknowable." Most states give their political sub- divisions at least a qualified immunity from lawsuits based on state law violations. But that Immunity no. longer exists for lawsuits based.'on constitutional or federal law violations. - The court's majority: opinion, written (by;:'�Justice William J., 'J Brennan r.; was based on his Inter:;., pretalionof an 1871 civil rights law'., and, "W considerations :of public. r '"The knowledge lhat'a.munldpal Ity will be liable for all of Its Injurlom. conduct,41lelher commltied:ln'good i faith.!or'noll., should."dreate an jlncentive f for 'officials. who may., t harbor doubts about the lawfulness of 'their intended actions to err on side of protecting citizens' "constitutional fights;' Brennan said...'.,:(.:. . • ., "The threat that damages might be levied against the city may encourage those in a policymaking position to institute internal rules and programs designed to minimize the likelihood of unintentional infringements on con- stitutional rights," he said. Such successful.lawsuits would be awarded damages from a city or county treasury — not the public officials who created or carried out the official policy. Past Supreme Court rulings have 'established such a "good faith" immunity for public officials. Wednesday's decision represented a victory for former Independence. Ilo.; police chief George Owen, who sued the city after his 1972 firing. Owen served as police chief from 1967 until 1972. He was fired after a City Council' member read a ,..statement' described- by' one lower court as "Impugning Owen's honesty and integrity.' The statement alleged that Owen had misappropriated money and that numerous irregularities had occurred within the department. Denied Hearing Owen was denied a hearing to clear his name. The Supreme Court, In a separate controversy decided 10 weeks after Owen's firing, ruled that,' public employees have a constitution- al right to such a hearing. In early 1979, lhe'8th U.S. Circuit Court of Appeals ruled that Owens constitutional rights had been violated. Butit said he was not entitled to the money damages he previously had been awarded by a federal trial court — all the money he would have earned to retiremenL ., In reversing the appeals court ruling,; the. Supreme. Court did not ,make clear, whether. Owen can now CO]leet I( amaam he noughtor. � whether his case Is subject to further litigation. In 1961, the justices ruled that cities and counties enjoyed absolute Immunity from federal civil rights lawsuits. That changed two years ago, when the court reversed Itself and ruled that no such absolute immunity from the 1871 law existed. But until Wednesday, the court had left unanswered whether local gov- ernments are entitled to the same "good faith" Immunity their employees enjoy. Legal Remedy If cities did have a "good faith" Immunity, Brennan's opinion said, many victims of municipal wrongdo- Ing would.be left without any legal remedy. . Brennan , was joined by Justices 'Byron White, Thurgood Marshall, Harry Blacknonan and .. John , Paul Stevens. _ - Justice Lewis Powell' Jr. led the dissenters, who Included Chief Justice Warren Burger and Justices YfiWam Rehnquist and Potter Stewart. "The _ decision: will hamper local governments unnecessarily," Powell said. "Because today's decision will inject constant consideration of liability (under the:1871, law) into local declsion-making, it may restrict the Independenceof: local govern ments and their ability to respond to the needs of their communities." ' PBecause suits based on the 1871 law .!'typically Implicate evolving con- stitutional standards," he said, local governments could be penalized for not anticipating changes In constilu. tionallaw.'.. i MICROFILMED BY JORM MICR+LAB CEDAR RAPIDS • DES MOINES