HomeMy WebLinkAbout1980-03-18 Info PacketCity of Iowa Cit.'
MEMORANDUM
Date: March 13, 1980
To: City Council
From: Ci eager
Re: Human Services Committee
The Johnson County Regional Planning Commission has requested that the
City Council appoint one Councilmember and a City staff member to
positions on the Human Services Advisory Committee.
In :caking these appointments, the City Council should make it clear to the
Regional Planning Commission that this is indeed an advisory committee and
that participation does not commit the City to any long-range financial
commitment to the program. Also, the program will continue to be
negotiated between the Johnson County Regional Planning Commission and
the funding bodies, particularly Iowa City.
It is the manager's recommendation that Bette Meisel be the staff
representative to the committee.
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PERSONNEL POSITIONS CUT FROM
BUDGEI
FY81 BUDGET
(AS OF MARCH 11, 1980)
SALARY +
HEALTH & LIFE
INSURANCE
City Clerk
, Admin. Clerk -Typist
$ 5,257
City Manager
Temporary
6,250
Human Relations
Personnel Assistant
$
12,143
�{
Temporary
3,640
15,783
a
Finance:
r'
Purchasing
k Sr. Clerk -Typist
$
6,759
Treasury
2 Clerk -Typists
24,834
A
Parking
Parking Enforcement Attendant
12,215
43,808
r,
'
Planning & Program Dev.:
r
Administration
Interim Reorganization
Reduced Personnel Costs By
$
12,422
`
Dev. Programs
Planner Prog. Analyst I
8,940
21,362
Public Works:
Administration
Secretary
$
7,141
Engineering
Temporary
1,700
Traffic Engineering
Maintenance Worker I
12,483
1
Overtime
2,600
Streets
Temporary
15,360
Recycling
Maintenance Worker II
14,988
Maintenance Worker I
12,215
66,487
Energy Conservation
Temporary
4,160
Parks & Recreation:
Recreation
Assistant Superintendent
$
18,049
3/5 Rec. Program Supr. I
81890
Temporary
5,810
Parks
Maintenance Worker I
12,604
Overtime
3,334
Temporary
14,626
CBD Maintenance
Temporary
2,981
Cemetery
Overtime
11000
Temporary
3,438
70,732
Police:
Animal Control
2 Animal Control Officers
$
21,371
,.._
Patrol
Patrol Officer
15,034
Captain (6 mos. only)
12,293
Records
� Clerk -Typist
6,824
}
Dispatcher
13,802
;1
Crossing Guards
Temporary
2,500
71,824
Fire:
Senior Clerk -Typist
$
14,315
Training Officer
21,543
35,858
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Housing & Inspection Servs:
Administration : Secretary
$ 7,138
File Clerk
I
Bldg, Inspection Building Inspector 16616 Housing Inspection Housing Inspector 16,070 52,068
I
Library Temporary 22,000
ITOTAL $ 415,589
SUMMARY:
Permanent Positions Funded by General
Fund in Past Years
Permanent Positions Funded by CDBG
Funds in Past Years
Temporary Positions and Overtime
N POSITIONS $
17� 269,376
3 44,392
101,821
2010 1 $ 415,589
NOTE: PERSONNEL REDUCTIONS WERE MADE ONLY IN THE GENERAL FUND;
ENTERPRISE FUNDS WERE NOT SUBJECT TO SUCH REDUCTIONS.
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CITY OF
IOWA C ITY
CIVIC CENTER 410 E. WASHINGTON ST. IOWA CITY IOWA 52240 (319) 354.18030
March 7, 1980
The Honorable Jean Lloyd -Jones
Representative (73rd District)
State House
Des Moines, Iowa 50319
Dear Ms. Lloyd -Jones:
Enclosed please find copies of a request for defense assistance from
the League of Iowa Municipalities regarding an Equal Employment
Opportunity suit in Council Bluffs, my memo to the City Council
regarding that request, and our response to Bob Harpster.
The City Council requested that I forward copies to you for your
information. This is a prime example of the kinds Of costs cities
are made to assume in order to comply with State (or Federal)
mandates. Note that Senate File'.2108 before the legislature would
amend the code and seemingly resolve this issue which has resulted in
the allegation of discriminatory practice in Council Bluffs.
Thank you for your consideration regarding this matter.
Sincerely yours,
Dale E. Helling
Assistant City Manager
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Enclosures
cc: City Council
..........
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Same letter mailed to
Senator Small and Mr.
Dale Hibbs
M
RECE— !'ted"": 1 1. 1980
THE WHITE HOUSE
WA9111NOTON
March 10, 1980
Dear Neal:
N
Thank you very much for your letter of
February 28 regarding transit operating
assistance for Iowa City.
We recognize that the Department of
Labor's designation of transit as a non-
traditional function has created some
problems. Therefore, we have requested
that the Departments of Labor and Trans-
portation work together to remedy this
situation as soon as possible.
Again, thank you for bringing this
problem to my attention.
Sincerely,
w
ack Watson, Jr.
Assi tant to the President
fnr Tn+orenvernmental Affairs
Mr. Neal G. Berlin
City Manager
Civic Center
410 East Washington Street
Iowa City, Iowa 52240
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1980
IOWA CITY COMMUNITY
SCHOOL DISTRICT
David I.. Cronin
fSuperintendent
ad
F
I
1040 William Street
Iowa City, Iowa 52240
319 — 338.3685
12 March 1980
Neal Berlin, City Manager
City of Iowa City
Civic Center
Iowa City, Iowa
Dear Neal:
This is to confirm that the Board of Education at their March 12,
1980, meeting, gave approval to finance 25% of the gross salaries
for the City's adult crossing guard program to a maximum of $10,000
per year, beginning FY1981. Further, the Board urged in its motion
that the City Council use the Districtwide Parent Organization's
Safety Committee in an advisory capacity.
Within the next few days I will be meeting with Don Borchart,
district legal counsel, to discuss the details of an agreement con-
sistent with the Board's motion. Once this agreement is prepared,
it will be forwarded to you for City Council approval.
If you have any questions, please contact me.
Sincerely yours,
AveCronin
cc: Don Borchart, Attorney
Members, Board of Directors
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'• City of toga Cif')
ORANDUM
Date: March 13, 1980
To: City Council
From: Richard J. Plastino, Director of Public Works
Re: Exact Fare
On April 1,Y,
1980, the Iowa City Transit system will raise fares from
254 to 354. On this same date Public Works would like to institute
exact fare. Reasons for this are as follows:
1. Ridership is increasing each month and schedule adherence is
difficult as more people ask for change.
2• The new fare will require two coins; thus the likelihood of
changemaking will be increased as compared to the. quarter fare.
We would propose that a two week transition period from April 1st to
April 11th be used to acquaint riders with exact fare policy. Signs
would be installed in the buses and riders would be encouraged to
have exact fare but drivers would still provide change as needed.
After that date riders without exact change would not be allowed on
buses or they would be required to obtain change from fellow
passengers at the bus stop. Although this sounds difficult, in
reality riders quickly become used to the exact change policy or they
convert to a monthly pass.
Public Works would like to proceed ahead with this change in policy
unless advised otherwise by Council.
cc: Hugh Mose
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"-) city of Iowa CIc,
MEMORANDUM
Date: March 14, 1980
To: Transit Drivers
From: Nealrlin, City Manager
Re: Exact Change
Thank you for your petition concerning the proposal that exact change be
required on City transit routes. For some period of time Mr. Mose has
expressed to me his strong support for this proposal. The Director of
Public Works and the Transit Superintendent have made a recommendation to
the City ,Council for an exact change policy. I do not support this
proposal.. A copy of the proposal is attached.
I believe that with the increased number of passes being used on the bus
that the time involved in making change has, in fact, been reduced and
even the 354 fare does not represent such a problem that this service
should be discontinued. You certainly are welcome to present your views
to the City Council on this matter. I have sent your petition to the City
Council for information.
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To: Hugh Mose, Iowa City Transit Manager
Meal Berlin, Iowa City Manager
ro'1 `—'''EIVED HAi 1 'I 1188
March 4, 1+80
Free: The below signed Iowa City Transit Operators
We, concerned Iowa City bus drivers, feel that the current city policy
of providing change to Iowa City transit patrons is a time consuming nuisance
that adversely affects our transit system. We further feellwith the fare
ping from 250 to 350 and retaining a change making policy, our ability to
maintain a semblance of a reliable schedule will be greatly impaired.
We fully support the adoption of on exact fare policy on Iowa City buses and
that adequate notice of change of policy be given to the public.
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MEMORANDUM
Date: March 14, 1980
To: Neal Berlin and City Council
From: Richard Plastino, Director of Public Works
Re: Discussion of the Spruce Street Drainage Problem
For the last several years there has been a drainage problem behind the
homes on Spruce Street. The drainge problem is caused by the topography
of the land. The residents of the neighborhood have contacted the City
several times in the last few years about this problem.
Approximately a year and a half ago the City built a storm water detention
dam on the site of the Iowa -Illinois property. This dam is not
functioning as intended because water downstream from the dam does not
drain away promptly. In other words, the dam stores water, but because of
poor drainage below the dam a large amount of water is also stored in the
backyards of homes in the area.
Engineering and the residents came up with two accepte.ble solutions. The
two solutions are:
I. Install an 18" underground pipe along the backyards. During heavy
rains the ditch in the backyards will continue to take a majority of
the flow. After the rain subsides the 18" pipe will allow all water
to completely drain out of the area. At the present time water
stands in the low spots.for several days after a rainfall.
2. Install a very large pipe of approximately 36" diameter. Water would
not pond for any.length of time even during a very heavy rainstorm.
The residents have been told that elimination of all ponded water is
difficult to defend. The City has passed a stormwater management
ordinance which deliberately provides for temporary storage of -water -
in many areas of town.
Alternate ##1 will cost approximately $20,000 and alternate #2 will cost
approximately $36,000. $20,000 of HCDA funds are available for this
project.
Last fall the Council toured the area and made a decision to take no
action other than have the City Street Division clean the ditch. The
residents were then to meet with Council in an informal session but due to
an error on my part, the time and date of the meeting place were not
conveyed to the residents. I then asked the City Council to consider
rescheduling this meeting since I made the error but the residents in the
area are -the ones who suffered by not having a chance to meet with
Council.
There is no new information to present in this matter. Based on the
topography of the area, cleaning the ditch will not in any way aid the
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situation. The land in the area has a low spot and portions of the ditch
run uphill. The decision Council has to make is whether to spend HCDA
money to eliminate ponding in backyards or whether the existing situation
is acceptable. There has been little or no flooding of private property,
rather the danger is in insect breeding, danger to children, etc. The
residents will be able to more fully inform the Council about the
specifics of the situation.
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City of Iowa Cif"l
MEMORANDUM
Date: March 14, 1980
To: • City Manager and City Council
From: Hugh Mose, Transit Manager �Jy
Re: FY81 State Transit Grant �0'�
Attached please find a summary of Iowa City's FY81 State transit
assistance grant application. The entire document is not ready far
distribution to the Council at this time.
The grant application includes $169,800 for operating assistance.
At the State's request, the assistance is being sought for particular
projects. These projects consist of services we are already
operating that might have to be curtailed were State funding not
available. The items for which State assistance is sought include
SEATS in -city service, evening transit service, 30 minute headway$
on Saturday, and assistance with rising fuel costs.
State assistance is also requested for several capital projects. The
total amount requested, $20,798, will assist the City in purchasing
one transit coach, a two-way radio system for the buses, and ten more
bus shelters. The State would contribute 10% of the total cost of
these items.
In addition to the request for State funding, this document also
includes Iowa City's application for UMTA Section 18 assistance.
From this source the City is requesting $137,789 in operating costs,
and $71,073 for capital acquisitions.
The complete Planning and Programming Document will be distributed
with next week's Council packet. A public hearing and Council
approval will then be needed before the application can be forwarded
to East Central Iowa Council of Goverments (ECICOG) and the State.
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City of Iowa Cif"l
MEMORANDUM
Date: March 14, 1980
To: • City Manager and City Council
From: Hugh Mose, Transit Manager �Jy
Re: FY81 State Transit Grant �0'�
Attached please find a summary of Iowa City's FY81 State transit
assistance grant application. The entire document is not ready far
distribution to the Council at this time.
The grant application includes $169,800 for operating assistance.
At the State's request, the assistance is being sought for particular
projects. These projects consist of services we are already
operating that might have to be curtailed were State funding not
available. The items for which State assistance is sought include
SEATS in -city service, evening transit service, 30 minute headway$
on Saturday, and assistance with rising fuel costs.
State assistance is also requested for several capital projects. The
total amount requested, $20,798, will assist the City in purchasing
one transit coach, a two-way radio system for the buses, and ten more
bus shelters. The State would contribute 10% of the total cost of
these items.
In addition to the request for State funding, this document also
includes Iowa City's application for UMTA Section 18 assistance.
From this source the City is requesting $137,789 in operating costs,
and $71,073 for capital acquisitions.
The complete Planning and Programming Document will be distributed
with next week's Council packet. A public hearing and Council
approval will then be needed before the application can be forwarded
to East Central Iowa Council of Goverments (ECICOG) and the State.
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1 GRANT APPLICATION SUMMARY
REGION/URBAN AREA CitY Of Iowa City
{ Funds Suggested $144,000
Funds Requested' $190,598
Runding Recommended for Approval
I) (for Iowa DOT use only)
{ Use of Project Funds:
Operating Support $169,800
I
capital Expenditures $20,798
i
OPERATING BUDGET OPERATING SUPPORT
Source Amount
Expenses$1,377,894 Federal Revenue Sharing $277,824
General Fund 1,560
640,750 Trust & Agency Account 131,243
Revenue Section 18 Operating Asst. 137,789
Support, 718,216
TOTAL 548,416
IOWA DOT 169,800
CAPITAL BUDGET CAPITAL SUPPORT
Expenses $ 997.726 Source Amount
capital Items
City Equipment
40' Transit Coach $ 149,726` Replacement
Reserve $22,772
Two-way radio system $ 50,000 UMTA Section 18 71,093
MOT Capital
Assistance from
28.000
Bus Shelters (10) $ Previous Years 1,975
Section 18
$ Assistance from
FY80 appl. 11088
1
$
TOTAL 20� 62 4 !
$ IOWA DOT 20,798
1 " Total cost for one bus; money is needed only to cover inflationary
increases in bus acquisitions programed for FY80. State share = $12,998,
—78—
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SECTION IX
Section 18 Grant Application
I. Grant Application for Federal Funds Under Sectio6 18 of the Urban Mass
Transportation Act of 1964, as amended.
1. Project Description
The following capital and operating funds are hereby requested:
Capital Assistance
One (1) 40' transit coach @ 80% _ $ 8,693*
Two-way radio system (22 bus units,
2 auto units, 1 base station) @ 80% = 40,000
Ten (10) bus stop shelters @ 80% = 22,400
Total = $71,093
Operating Assistance
Ten (10) percent of the City's FY81
transit operating budget = $137,789
n
*The total Section 18 share of one transit coach is $119,781; $111,088 was
requested for this proejct as part of the FY80 RTUP.
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City of Iowa CI,'
MEMORANDUM
Date: March 6, 1980
To: Planning a Z i g Commission
From: Don Schmeiser
f
Re: County Rezoning Application
The West Side Company has filed an application to the
sixteen acre tract of land located in the County north
and east of the proposed location of Highway 518 from
Zone. The rezoning petition presents several concerns
staff i th f
County to rezone a
of Highway 1 West
an RIA Zone to a CH
envisioned by the
n e uture annexation and development of the area.
The major concern is the future location of an elementary school as
projected on the City's Comprehensive Plan Map, serving the
"neighborhood" bounded by Mormon Trek Boulevard, Benton Street, Sunset
Street, and Highway 1 West. Previous staff analyses identified a larger
area bounded on the north by Melrose Avenue, part of which is included in
the Ernest Horn School district. There is little doubt that the larger
area would support two elementary schools -- Ernest Horn and a future
elementary school -- if the area is developed for residential use. With
appropriate residential densities established for the area, the
population of elementary school -aged children sufficient to support the
two elementary schools would result. Alternatively, however, an
insufficient elementary school -aged population would result in the
children located within the area being bused to other schools for
perpetuity. In a period of rising costs for fuel, every attempt should be
made to avoid such expenditures.
Several related factors warrant discussion. Staff analyses have
indicated that the estimated future holding capacity for the area located
east of Sunset Street can be adequately served by the Roosevelt Elementary
School. As growth occurs to the west of Mormon Trek Boulevard, there is
little doubt that another elementary school will b- required to serve that
area (perhaps on the West High School property). It is not anticipated
that any future elementary schools would be necessitated within a 20 -year
timeframe (depending upon the growth rate in these areas). The elementary
school -aged population required to support an elementary school is
estimated to be not more than 600 pupils.
Relocated Mormon Trek Boulevard provides desirable separation in the form
of open space from Highway 518 to residential development to the east.
The alternatives for residential development near the interchange are
limited while commercial development could be located in any of the four
quadrants. Simply stated, the northeast quadrant of the interchange is
more conducive to residential development because of the separation
provided by relocated Mormon Trek Boulevard, than are the other three
quadrants.
M
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There has been a considerable impact on residential development from air
traffic ascending off the northwest -southeast runway of the airport.
Although the east -west runway, which is approximately in line with the
interchange, is proposed to be lengthened 300 feet, there are appreciable
differences between the two runways: (a) -residential development in the
vicinity of the interchange (except in the southeast quadrant) would be
farther from the east -west runway than residential development in line
with the northwest -southeast runway, and (b) land in the northeast
quadrant is at a lower elevation than the residential development off the
northwest -southeast runway. The noise level of aircraft is greatest when
ascending off the end of the runway and diminishes severalfold when
reaching higher altitudes.
Summarily stated, the physical characteristics of the Highway 518
interchange with Highway 1 West, relocated Mormon Trek Boulevard, and land
in the vicinity of the interchange, would suggest that commercial
development occur in the southeast quadrant of the interchange adjacent to
the airport and that residential development occur in the northeast
quadrant where it would be separated from the commercial development and
provide the support necessary for the eventual construction of an elemen-
tary school in the immediate neighborhood.
The attached location map and development plan is included for
illustrative purposes only. The actual densities of residential
development within the area should be carefully determined prior to actual
zoning of the area.
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There has been a considerable impact on residential development from air
traffic ascending off the northwest -southeast runway of the airport.
Although the east -west runway, which is approximately in line with the
interchange, is proposed to be lengthened 300 feet, there are appreciable
differences between the two runways: (a) -residential development in the
vicinity of the interchange (except in the southeast quadrant) would be
farther from the east -west runway than residential development in line
with the northwest -southeast runway, and (b) land in the northeast
quadrant is at a lower elevation than the residential development off the
northwest -southeast runway. The noise level of aircraft is greatest when
ascending off the end of the runway and diminishes severalfold when
reaching higher altitudes.
Summarily stated, the physical characteristics of the Highway 518
interchange with Highway 1 West, relocated Mormon Trek Boulevard, and land
in the vicinity of the interchange, would suggest that commercial
development occur in the southeast quadrant of the interchange adjacent to
the airport and that residential development occur in the northeast
quadrant where it would be separated from the commercial development and
provide the support necessary for the eventual construction of an elemen-
tary school in the immediate neighborhood.
The attached location map and development plan is included for
illustrative purposes only. The actual densities of residential
development within the area should be carefully determined prior to actual
zoning of the area.
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City of Iowa CI
MEMORAND
Date: March 6, 1980
To: Neal Berlin, City Manager
1 From: Larry Chiat, Acting Development Coordinator �'
III atom \ J
� Re: CC//
Tentative Time Schedule for Water Pollution Control Plant Proje
The following is an outline of the tentative time schedule for acquisition of
real property for the Water Pollution Control Plant Project and the related
relocation of mobile home tenants in the project area.
August 1, 1979 Appraisals received from appraiser.
September 10, 1979 Review appraisals received from review appraiser.
November 15, 1979 Preliminary acquisition notices sent to the
respective property owners.
November 20, 1979 City Council adoption of resolution establishing
just compensation for acquisition of the two
project parcels.
November 27, 1979 Initiation of negotiations by sending formal
written purchase offers to the respective
property owners.
December 1979 Preliminary relocation notices sent to the two
tenant farmers, two Lessees, three mobile home
tenants, and one mobile home owner.
January - June, 1980 Conduct negotiation meetings with the respective
Property owners. At said meetings City staff
explains the basis for determination of just
compensation and City acquisition procedures
Pursuant to Federal regulations. Property owners
must be given a reasonable opportunity to present
relevant evidence concerning the value of real
property to be acquired. Each of the two
properan intention to
securettheir own ppraisalrat ed he exact timing of
this negotiation process is hard to predict at
the present time.
February 4, 1980 Ordered Certificates of Title on the two project
parcels.
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February 15, 1980
July -August, 1980
September -October, 1980
2
Relocation of first mobile home tenant completed.
Conclude negotiations and, if possible, finalize
contracts for acquisition of real property.
Otherwise, schedule Compensation Commission
hearings.
Closings on purchase of properties with signed
contracts, or conduct Compensation Commission
hearings. City possession of the two project
parcels is completed. Relocation, if necessary
of the mobile home tenants and the mobile home
owner should also be completed.
Please contact me if you have any questions on the above schedule.
cc: Dick Plastino
Chuck Schmadeke
Linda Woito
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West Side Co.
P. 0. Box 2000
Iowa City, Iowa 52244
Dear Sirs:
1204 E. Washington
Iowa City, Iowa 52240
March 7, 1980
It has come to the attention of the Planning and Zoning Commission that your
company plans to seek voluntary annexation of some property in Johnson County
to Iowa City. The procedure for a thorough review of the annexation request and
subsequent zoning request is for the applicant to file a petition with the
City of Iowa City and then the city's staff can review all aspects of the
petitions and make recommendations.
Since the alignment of Hiway 518 has only recently been determined, the
Comprehensive Plan of Iowa City will have to be revised to consider this
new alignment. At the present time, the area in question is shown as
residential on the Comprehensive Plan; and until any revisions are made,
that is the zone that would be appropriate. A petition for annexation
and zoning to Iowa City would be in our mutual interest so that any
recent construction in the petition area would be in compliance with
city zoning decisions.
The Planning and Zoning Commission would appreciate an early petition for
the annexation and zoning of this property so that a satisfactory resolution
to the questions may be completed at the earliest possible date.
Yours truly,
ane Jakobsen, Chairperson
Iowa City Planning and Zoning Commission
c.c. Planning and Zoning Commissioners
Johnson County Zoning Commission
Iowa City City Council
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IN THE I0WA DISTRICT COURT III AND FOR JOHNSON COUNTY
AMEREX COP.PORATION,
LAURENCE R. SHORT, and
FIRST NATIONAL BANK,
IOWA CITY, IOWA, As
Executor of the Fstate
of Kenneth I. Belle,
Deceased,
Plaintiffs,
VS.
CITY OI' IOWA CITY, IOWA,
EDGAF. CZARNECK.I, J. PATRICK.
SHIITE, C. L. BRANDT, CAROL
dePF.OSSE, and FLORENCE
DA.VIDSEN,
Defendants
Law No. 42541
FINDINGS OF FACT,
CONCLUSIONS OF LAW,
AND DECISION
Trial to the Court of an action by plaintiffs
claiming damages from the city resulting from the city's
delay in carrying out the terms of a Court order of this
court regarding issuance of building permits Lo plaintiffs
for erection of certain buildings on premises owned by
them located in said city and in connection with delay in
Court ordered rezoning. Plaintiffs appear by their
attorneys, William L. Meardon and Thomas D. Hobart.
Defendant, City of Iowa City, appears by its attorneys,
A. Roger Witke, and Assistant City Attorney, Linda Woito
Cook. Evidence was heard, transcripts of certain proceedings
were received together with written briefs and arguments (the
last of which was received on or about the 18th day of January,
1980) and the cause was submitted.
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IN THE I0WA DISTRICT COURT III AND FOR JOHNSON COUNTY
AMEREX COP.PORATION,
LAURENCE R. SHORT, and
FIRST NATIONAL BANK,
IOWA CITY, IOWA, As
Executor of the Fstate
of Kenneth I. Belle,
Deceased,
Plaintiffs,
VS.
CITY OI' IOWA CITY, IOWA,
EDGAF. CZARNECK.I, J. PATRICK.
SHIITE, C. L. BRANDT, CAROL
dePF.OSSE, and FLORENCE
DA.VIDSEN,
Defendants
Law No. 42541
FINDINGS OF FACT,
CONCLUSIONS OF LAW,
AND DECISION
Trial to the Court of an action by plaintiffs
claiming damages from the city resulting from the city's
delay in carrying out the terms of a Court order of this
court regarding issuance of building permits Lo plaintiffs
for erection of certain buildings on premises owned by
them located in said city and in connection with delay in
Court ordered rezoning. Plaintiffs appear by their
attorneys, William L. Meardon and Thomas D. Hobart.
Defendant, City of Iowa City, appears by its attorneys,
A. Roger Witke, and Assistant City Attorney, Linda Woito
Cook. Evidence was heard, transcripts of certain proceedings
were received together with written briefs and arguments (the
last of which was received on or about the 18th day of January,
1980) and the cause was submitted.
CEDAR RAPIDS • DES MOINES
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STATEMENT OF TIIE CASE
This action was originally filed by plaintiffs
aeainst the City of Towa City in<) fiver individual council
members, said action being orir;inally pled in five separate
divisions. At a later stage in the proceedings, all of the
divisions of the petitioner were dismissed as to all of the
defendants except Division III of the petitioner as against
defendant, City of Iowa City, alone. Consequently, only
Division III claiming damages for increased construction,
costs in the amount of $93,000 is presently before the Court.
The claim of plaintiffs against the city appears to be, based -
on the theory of an intentional interference by defendant
with plaintiffs' business opportunity by reason of alleged
delays in defendant's compliance with certain Court orders
requiring defendant to issue certain building permits to
plaintiffs for certain property owned by plaintiff located
in Iowa City, Iowa, and because of certain delays in connection
with defendant's carrying out of Court ordered rezoning regarding
certain premises owned by plaintiff and located in the city of
Iowa City, Iowa.
FINDINGS OF FACT
The Court, having examined the files and records
herein and being fully advised of the premises, finds that it
has jurisdiction of the parties and of the subject matter herein
In order to understand the nature of the proceeding,
it is necessary that a brief review of the historical backarour,d
of this case be had.
Two men, Laurence R. Short and his half-brother,
Kenneth I. Belle, owned a certain tract of real estate near the
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northeast border of Iowa City, Iowa, which contained slightly
more than twenty-six acres. This property was eventually
deeded by them to Amerex Corporation, of which corporation
they were the sole stockholders. The property, lying outside
of the city of Iowa City, was subject to county zoning and
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in 1964 plaintiff, Amerer. Corporation, applied for and received
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a building permit from Johnson County for the construction of.
108 apartment units (9 separate buildinqs with a total of 12
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apartments to each building) on a 7.05 acre
9 part of it>located oh
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a lot south of Interstate 80 and west of North Dubuque � `.
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Plaintiff successfully completed two buildings containing 24
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units and erected footings for three additional units. .--'At. this
point, plaintiffs were unable to obtain the additional financing
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necessary to complete construction of the 36 additional units
for which footings had been erected. In 1965 and before plaintiffs
went further with construction, the city of Iowa City annexed a
large area including all of plaintiff's 26 -acre tract. At that
time the City Code of Iowa City provided that such newly annexed
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real estate was automatically zoned R-lA, the most restrictive
density classification requiring 10,000 square feet per unit
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for construction. The combined result of the annexation and
automatic zoning was to cause plaintiff's buildings to become
non -conforming uses. After a series of unsuccessful attempts
to obtain rezoning, on October 2, 1972, plaintiff filed an
action for a declaratory judgment seeking a holding that the
action by the City in connection with automatically classifying
plaintiff's property as R-lA was illegal and also seeking a
finding that the City's refusal to rezone was arbitrary and
capricious. Trial was had in June, 1973, and on January 24, 1974,
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Judge Clinton E. Shaeffer of this court ruled that the City's
zoning ordinance as applied to the newly annexed property of
these plaintiffs was unconstitutional and therefore invalid,
null, and void. The Court ordered as part of its judgement
"that the plaintiffs have the right to have issued to them
by the city of Iowa City a building permit allowing them to
construct the remaining seven buildings necessary to complete
the complex of 108 apartment units originally planned and
designed for this property, and that defendants immediately,
take whatever action necessary to legally zone the property'
in question so that such use will conform to the zoning,'ordinances
so as not to be a nonconforming use." Thereafter, defendants
asked for clarification of this order in regard to applicability
of the Iowa City Building Code, Plumbing Code, Electrical Code,
Fire Code, and the applicability of the Iowa City Sub -division
Ordinances, specifically the Iowa City Large -Scale Development
Ordinance to these particular premises. Plaintiff responded
to this application by :oncading that it was subject to '=he
Building Code, Fire Code, Plumbing Code, Electrical Code, and
denied only that it was subject to the Large -Scale Residential
Development Ordinance. The motion was heard by the Court on
the 12th day of March, 1974, and the Court orally informed both
plaintiff and defendant from the bench of its decision and then
filed that decision later the same day in writing,and in that
decision the Court clarified its earlier ruling by stating that
the Court's judgment was not intended to subject the plaintiff
to application of a Large -Scale Residential Development Ordinance
for Iowa City. The Court's ruling went on to say "The Court's
judgment simply directs the defendant to issue a building permit
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Judge Clinton E. Shaeffer of this court ruled that the City's
zoning ordinance as applied to the newly annexed property of
these plaintiffs was unconstitutional and therefore invalid,
null, and void. The Court ordered as part of its judgement
"that the plaintiffs have the right to have issued to them
by the city of Iowa City a building permit allowing them to
construct the remaining seven buildings necessary to complete
the complex of 108 apartment units originally planned and
designed for this property, and that defendants immediately,
take whatever action necessary to legally zone the property'
in question so that such use will conform to the zoning,'ordinances
so as not to be a nonconforming use." Thereafter, defendants
asked for clarification of this order in regard to applicability
of the Iowa City Building Code, Plumbing Code, Electrical Code,
Fire Code, and the applicability of the Iowa City Sub -division
Ordinances, specifically the Iowa City Large -Scale Development
Ordinance to these particular premises. Plaintiff responded
to this application by :oncading that it was subject to '=he
Building Code, Fire Code, Plumbing Code, Electrical Code, and
denied only that it was subject to the Large -Scale Residential
Development Ordinance. The motion was heard by the Court on
the 12th day of March, 1974, and the Court orally informed both
plaintiff and defendant from the bench of its decision and then
filed that decision later the same day in writing,and in that
decision the Court clarified its earlier ruling by stating that
the Court's judgment was not intended to subject the plaintiff
to application of a Large -Scale Residential Development Ordinance
for Iowa City. The Court's ruling went on to say "The Court's
judgment simply directs the defendant to issue a building permit
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to permit the, plaintiffs to construct and complete buildings
�ontaininn a total of 108 apartment units as they were
originally planned and designed for this property, and to
the arca having a dimension of 660 feet east and west and 4t5
feet north and south and described as:
North 465 feet of the southeast quarter
of the northeast quarter of the northeast
auarter of Section 4, Township 79 North,
Range 6 West of the 5th p.m., Johnson County,
Iowa,
(Refer to Plaintiff's Exhibit "J" offered, introduced, and
admitted into evidence in this case.) so that it maybe used
for the use zoned by the Johnson County zoning commission and
for which said county.issued a building permit October 2, 1964."
The Court calls attention to the fact in its judoement
filed January 24, 1974, it directed the defendants to 'immediately'
take such action." With this historical background, we can now
examine what subsequently transpired to bring this matter into
court.
After the filing of the Court order dated January 24,
1974, requiring the City to issue building oermits and rezone
and holdinu the City Ordinance unconstitutional, plaintiffs
conferred with their attorney and with the building contractor
who had constructed the original units and who had erected the
three additional footings. An agreement was reached between
that contractor, Wayne Paulson, and plaintiffs sometime in
February for the construction of threr, additional apartment
buildings containing twelve units each located on the presently
erecter] footings at a -)rice of $776,000 orovided construction
could be begun as early as possible in the spring. The
contractor., Wayne Paulson, undated his plans and specifications
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making certain changes that he was certain would be required
to meet the Iowa City Building Codes and then the contractor
proceeded to make inquiry at the proper city department in
February, 1974, regarding the plans so that a building permit
could be issued. No one would look, at the plans and the
contractor was informed that no building permit would issue
until the property was rezoned. It appears undisputed that
neither the contractor nor anyone else on behalf of plaintiff
subsequently presented building plans or made any formal
application for a building permit until sometime in July,1974.
After being informed by the Court from the bench
of the Court's ruling on March 12, 1974, defendant's counsel
did nothing further until sometime in April, 1974, when,
according to counsel, the copy of the Court's written order
was delivered to him. At that time the City Attorney advised
the City Council and also referred the matter to City Planning
and Zoning Commission. Sometime in May, the Planning and Zoning
Commission met and made a recommendation. Thts recommendation
was set for public hearing June 18, 1974. After the public
hearing and still in June, the City Council placed the ordinance
in regard to rezoning the Amerex 7.05 acres from R-lA to R -3A
on its first reading. There was a second reading one week later
in July, 1974. The following week the council deferred action.
One week later, the third and final reading of the ordinance
was had, and the ordinance was adopted July 16, 1974, providing
for rezoning the said tract from R-lA to P. -3A. However, after
adopting the amendment, the council again referred a portion
of the Amerex property to Planning and Zoning for review and
possible rezoning to R-3. The Planning and Zoning Commission
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eventually reported that the property should remain R -3A and
in November, 1974, a motion to take further action on the
rezoning from R -3A to R-3 was defeated. Defendant alleges
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that there was only one written contact made between plaintiffs
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and the City between tlarch 7.4 and July 16, 1974. This may
very well be true although there is eome evidence that thcr,.-
may have been some contact between counsel for the Parties
other than written contacts. In any case, it is clear that
in a letter written July 16, 1974, plaintiff's counsel:called
to the attention of the City that there had been substantial
delay and it did not appear that the City had acted "immediately"
as required by the earlier Court orders. Still later, counsel
for plaintiff pointed out to defendants that their action
in resubmitting the matter to reconsideration for additional
zoning was injurious to his client. However, no final action
in this matter was taken until November, 1974, and by this
time (on October 15, 1974,) plaintiffs had filed their action
in this case against the defendants. It appears to the Court
that plaintiffs would. have proceeded with the construction of
the units as proposed by them if the construction, as
agreed upon between plaintiffs and the contractor,
Wayne.Paulson could have begun in April, 1974. The evidence
is undisputed that the contractor was ready to begin and would
have constructed the units for a price of $776,000 if he could
have started "in the spring." It further appears that the costs
of construction increased between April and July 16, 1974, in an
amount more than $93,000. The question to be determined by the
Court is whether under the circumstances defendant was responsible
for the delay and legally liable to plaintiff as a result thereof.
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The Court notes that once the Court order dated
January 24, 1974, was filed and the decision made by the City
not to appeal therefrom, the City of Iowa City had a legal
duty to carry out the mandate in the Court order. Failure to
carry out the Court order within a reasonable time or within
the time specified by the Court, certainly makes out a prime facie
case of willfulness on the part of the City. In this particular
case, the Court twice directed the City to act "immediately"
ir, connection with providing a specified remedy for plaintiff.
The plain fact is the City did not do so. On the contrary
the City, acting through its council members, behaved in such a
way as to cause its legal counsel to describe its actions on
at least one occasion "as the least evasive" of a number of
possible courses of action that were being discussed, all of
which seemed to have been designed to avoid carrying out the
Court's order to act "immediately."
First of all, it seems to this Court that there
was nothing in the order of the Court dated January 24, 1974,
that would have prevented the immediate issuance of a building
permit after the Court's initial determination of the case.
.Certainly nothing stood in the way of issuing such a permit
after the "clarification" order. The testimony shows that
the City and it's employees were well aware of the structures
plaintiff desired to erect. But if they were not, the Court's
order specifically directed their attention to the building
permit which they were to issue, to wit: "A building permit
allowing them to construct the remaining seven buildings necessary
to complete the complex of 108 apartment units originally planned
and designed for this property." The clarification order later
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entered herein on March 12, 1974, made the buildings to be
_lt under the permit subject to the Building, Plumbing,
Electrical, and Fire Codes of the City of Iowa City. The
Court in that second order particularized the area to be
rezonod and called attention to the fact that it was to be
rezoned "so that it may be used for the use zoned by the
Johnson County Zoning Commission and for which the county
issued a building permit on October 2, 1964. In that same
second order and in a separate paragraph, the Court reminded
the defendants once more that it was to "immediately" take
such action. It is clear the City could have found the earlier
county building permit or could have at least sought to obtain
a copy thereof. However, the City took no action whatsoever
to carry out this part of the Court order. On the contrary,
when the contractor appeared in their offices in February, 1974,
carrying with him an updated set of plans for the construction
of three additional buildings in the complex and seeking
information from the City in respect to design requirements
for compliance with the Iowa City City Building, Fire, Electrical,
Plumbing Codes, no one would even look at said plans nor visit
with the contractor in regard to the same but simply informed
him that no building permits would issue until the premises had
been rezoned.
Did the City have any real doubt as to whether such
a :.uildinc permit could have been issued at any time prior to
actual rezoning? We find the city attorney under cross-examination
in this case stating that it was not his understanding that
the issuance of a building permit would be delayed until the
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rezoning was completed; that normal practice would be to
withhold a building permit until zoning was finished, but in
this case it was known that the City had to grant a permit
to build 108 units on these premises. Also, in a colloquy
between the city attorney, Mr. Ilayok, and Councilman White
on July i6, 1974, where Mr. White asked "Why can't we just go
ahead and issue a building permit?" Mr. Hayek responded,
"We could do that, Mr. white . . It seems clear from the
context of the statements made by the city attorney that it
was certainly not normal practice to issue a building permit
until rezoning had been had, if required. However, this was
not a normal case. This was a case where the Court had twice
instructed the City to act "immediately." This was a case
where relief for the plaintiffs had already been denied for
almost ten years. The City was not acting in a vacuum. The
City was very much aware of all that had taken place over
the past years. It seems quite clear to the Court from the
evidence adduced at trial, including the transcripts of the
various council meetings, that the council proceeded to do what
the Court required the council to do but only very reluctantly,
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slowly, with every intention to limit the relief affo7dbd-the
plaintiff as much as could be done. In proceeding as`l did, -it
appears to the Court that the defendant acted knowir§-I.y, inten-
tionally,
ten-tionally, and willfully and made an effort to comply,:+githcthe
Court's order only marginally. (See Transcript of Tape Recordings
of Council Proceedings including, but not limited to, pages 7, 8,
12, 18, 23, 28, and 32.)
Defendants wish to shift the blame for the dr,•lay
in the rezoning and for the failure to issue a building permit
before rezoning to plaintiffs
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CEDAR RAPIDS • DES MOINES
act strongly enough and did not make sufficient demands on them
fcr the remedial action which the Court had directed defendant
to provide. The difficulty with that posture is that defendant
was required to carry out- the Court's order. It was not
necessary that the plaintiff remind defendant from time to time
that relief was due plaintiff and incesnant.ly and insistently demand
that the City obey the Court orders which defendant had before it; but
even looking at it from defendant's point of view, plaintiff
did make contact with the City through its contractor, Wayne
Paulson, and did attempt to move forward with the work necessary
for the issuance of a building permit but was immediately informed
that no such building permit would issue until zoning had been
completed.
Defendant also urges that all of the rezoning steps
needed to be very carefully followed in connection with rezoning
defendant's property but defendant fails to take into account
that Court ordered rezoning was to be had in this case.
Mr. Hayek, the city attorney who handled this matter for defendant,
admitted in his testimony that it would have been possible to
proceed directly with rezoning by the council without submitting
the matter to Planning and zoning under the circumstances of
this case but that it was felt it would be better not to do
SO. (Sea Transcripts of Tape Recordings of Council Proceedings.)
It is admitted that the Court could have adopted a
zoning ordinance immediately after the public hearing, but
the City urges that it was "not customary" to do so in cases
involving "controversy." As a matter of fact, the defendant
not only did not shorten the time for adopting the order rezoning
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act strongly enough and did not make sufficient demands on them
fcr the remedial action which the Court had directed defendant
to provide. The difficulty with that posture is that defendant
was required to carry out- the Court's order. It was not
necessary that the plaintiff remind defendant from time to time
that relief was due plaintiff and incesnant.ly and insistently demand
that the City obey the Court orders which defendant had before it; but
even looking at it from defendant's point of view, plaintiff
did make contact with the City through its contractor, Wayne
Paulson, and did attempt to move forward with the work necessary
for the issuance of a building permit but was immediately informed
that no such building permit would issue until zoning had been
completed.
Defendant also urges that all of the rezoning steps
needed to be very carefully followed in connection with rezoning
defendant's property but defendant fails to take into account
that Court ordered rezoning was to be had in this case.
Mr. Hayek, the city attorney who handled this matter for defendant,
admitted in his testimony that it would have been possible to
proceed directly with rezoning by the council without submitting
the matter to Planning and zoning under the circumstances of
this case but that it was felt it would be better not to do
SO. (Sea Transcripts of Tape Recordings of Council Proceedings.)
It is admitted that the Court could have adopted a
zoning ordinance immediately after the public hearing, but
the City urges that it was "not customary" to do so in cases
involving "controversy." As a matter of fact, the defendant
not only did not shorten the time for adopting the order rezoning
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ordinance but actually, on one occasion, cleferl acLion until
its next regular meeting and thus extended the time. Here,
again, o -:hat was done must be looked at in light of the
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direct order of the Court to act "immediately."
When the Court looks at the record as a whole,
reviews the testimony of the witnesses as received by the
Court, the Court finds that the delay of defendant in rezoning
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was unnecessary, was done knowingly, intentionally, and
The various counsel members who opposed acting at
willfully.
Fi
once had their own reasons therefor, some of which are expressed
in their testimony. But whatever their reasons, the law to
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be applied to their actions in regard to rezoning was that
set out in the Court's orders dated January 24, 1974, and
March 12, 1974, from neither of which orders did they appeal.
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Based on all the facts in this case, it seems
clear that the defendants could have issued a building permit
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immediately after the Court's order dated January 24, 1974,
or after the contractor, Wayne Paulson, visited with them
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about construction of the units and brought plans to them in
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February of 1974 or after "clarification order" dated March 12,
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1974. The Court finds that the defendant elected not to do so.
The Court also finds that defendant could have
the in
immediately rezoned through the City Council premises
question to R -3A following the filing of the Court's order
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dated January 24, 1974, or after the issuance of the "clarification
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order" dated March 12, 1974, or at the City Council meeting in
iApril,
1974, when the matter was referred by Council action
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to Planning and zoning. The defendant elected not to do so.
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There is not one iota of evidence indicating that
defendant at any time through any of its officers, agents,
or employees, ever acted in any way calculated to assist
plaintiff in obtaining speedy reLief or ever contacted
plaintiff in an attempt to cooperate with plaintiff in
carrying out the Court's orders. In light of the fact
that the Court required "immediate" performance, it
seems clear that the defendant, not the plaintiff, had
the obligation to go forward. The defendant elected not
to do so. The Court notes that even before the plaintiff
brought its action against the City for relief jr, 1972,
plaintiff had made many attempts to obtain changes in the
zoning. The records shows that at one point in these
proceedings, the City Planning and Zoning Commission had
recommended to the City Council that rezoning take place
and that these premises be rezoned R -3A. Considering all
the facts and circumstances and the long history of litigation
in this case, it doesn't seem possible that the City could
now persuasively argue that it had no real notion of the
proper zoning without first referring it to the Commission
again. However, the City elected not to proceed without
making the referral.
The Court finds that there was an agreement between
contractor, Wayne Paulson, and the plaintiffs for the construction
of three additional apartment buildings containing twelve units
each for a price of $776,000 provided such construction could
be begun by April, 1974; that the defendant knew that a business
relationship or business expectancy existed between contractor,
Wayne Paulson, and plaintiff since the contractor called on
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There is not one iota of evidence indicating that
defendant at any time through any of its officers, agents,
or employees, ever acted in any way calculated to assist
plaintiff in obtaining speedy reLief or ever contacted
plaintiff in an attempt to cooperate with plaintiff in
carrying out the Court's orders. In light of the fact
that the Court required "immediate" performance, it
seems clear that the defendant, not the plaintiff, had
the obligation to go forward. The defendant elected not
to do so. The Court notes that even before the plaintiff
brought its action against the City for relief jr, 1972,
plaintiff had made many attempts to obtain changes in the
zoning. The records shows that at one point in these
proceedings, the City Planning and Zoning Commission had
recommended to the City Council that rezoning take place
and that these premises be rezoned R -3A. Considering all
the facts and circumstances and the long history of litigation
in this case, it doesn't seem possible that the City could
now persuasively argue that it had no real notion of the
proper zoning without first referring it to the Commission
again. However, the City elected not to proceed without
making the referral.
The Court finds that there was an agreement between
contractor, Wayne Paulson, and the plaintiffs for the construction
of three additional apartment buildings containing twelve units
each for a price of $776,000 provided such construction could
be begun by April, 1974; that the defendant knew that a business
relationship or business expectancy existed between contractor,
Wayne Paulson, and plaintiff since the contractor called on
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tho city or its agents or employees with plans for the
cr,nstruction of the units; that the defendant by failing to
provide either the building permits or to rezone immediately
and provide building permits immediately, acted in such a
way as to prevent the consummation of the business opportunity
and that defendant's acts were knowing, willful, and in light
,f the Court's order to issue building permits and immediately
rezone, it appears the defendant was acting illegally and in
reckless disregard of another's rights; that as a result of
defendants' interference with plaintiff's business opportunity,
plaintiff sustained damages of at least $93,000.
Accordingly, the Court finds that plaintiff should
have judgment against defendant in the amount of $93,000 as
prayed, together with the costs of this action.
CONCLUSIONS OF LAW
zoning is the exercise of police power in the interest
of.public peace, order, morals, health, safety, comfoi-*.C; ccPVenience
and the genera?. welfare. Arbitrary and unreasonable restrictions
upon use and enjoyment and deprivation of property without
due process will not be permitted. Being an exercise of police
power by a municipality, which power is delegated from the
State, such delegated power must be strictly construed. Granger
v. Board of Adjustment, 44 N.W.2d 399, 402 (Iowa 1950). Minor
changes in comprehensive plan or zoning doesn't require meeting
all the notice and a hearing requirements for adopting a
"comprehensive plan" or a zoning ordinance. Velie Outdoor
Advertising v. City of Souix City, 252 N.w.2d 408 (Iowa 1977).
The right to operate a legitimate business may not be
prohibited, or unreasonably restricted by zoning
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tho city or its agents or employees with plans for the
cr,nstruction of the units; that the defendant by failing to
provide either the building permits or to rezone immediately
and provide building permits immediately, acted in such a
way as to prevent the consummation of the business opportunity
and that defendant's acts were knowing, willful, and in light
,f the Court's order to issue building permits and immediately
rezone, it appears the defendant was acting illegally and in
reckless disregard of another's rights; that as a result of
defendants' interference with plaintiff's business opportunity,
plaintiff sustained damages of at least $93,000.
Accordingly, the Court finds that plaintiff should
have judgment against defendant in the amount of $93,000 as
prayed, together with the costs of this action.
CONCLUSIONS OF LAW
zoning is the exercise of police power in the interest
of.public peace, order, morals, health, safety, comfoi-*.C; ccPVenience
and the genera?. welfare. Arbitrary and unreasonable restrictions
upon use and enjoyment and deprivation of property without
due process will not be permitted. Being an exercise of police
power by a municipality, which power is delegated from the
State, such delegated power must be strictly construed. Granger
v. Board of Adjustment, 44 N.W.2d 399, 402 (Iowa 1950). Minor
changes in comprehensive plan or zoning doesn't require meeting
all the notice and a hearing requirements for adopting a
"comprehensive plan" or a zoning ordinance. Velie Outdoor
Advertising v. City of Souix City, 252 N.w.2d 408 (Iowa 1977).
The right to operate a legitimate business may not be
prohibited, or unreasonably restricted by zoning
-14-
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Zoning
M
669
'
must bc, to protect. puIiIic hcaILh, murals, or general welfare
and must be reasonably required or suited to the purpose. It
cannot disregard Constitutional guarantees. Plaza Recreational
Center v. Sioux City, 111 N.W.2d 758, 764 (Iowa 1961). In connection
with rezoning where one spends substantial sums on improvements in
reliance upon a permit duly issued, a vested interest results
and the permit cannot be arbitrarily revoked. The City cannot
take property or business rights without compensation simply by
enacting a zoning ordinance. Stoner and McCray Svstems v. City
of Des Moines, 78 N.W.2d 843 (Iowa 1956). (In this case it appears
the permits to build granted by Johnson County were prbperly
issued and that Iowa City later attempted to deter construction
by applying to plaintiff an unlawful zoning ordinance.) Irrational
zoning with no real relation to public health, safety, et cetera,
is a violation of due process under the Fourteenth Amendment.
City of Miami v. Woolin, 387 Fed. 2d 893 (5th Circuit, 1968). The
Court must have the power, not only to adjudicate zoning disputes,
but to order action not inconsistent with its adjudication. This
is true even though the Court has no power to order zoning. City
of Richmond v. Randall, 211 S.E.2d 56, 61-62 (Va. 1975). In the
case now before us, defendant might have questioned the Court's
order to rezone as it did but elected not to appeal. See Pascack
Assoc., Ltd., v. Mayor and City Council of Township of Washington,
329 A.2d 89 (N.J. 1974). See also Alcorn V. City of Rochester
Zoning Board of Adjustment, 341 A.2d 269 (N.H. 1975). Megal v.
City of Paoillion, 207 N.W.2d 377 (Nebr. 1973).
Intentional interference with a prospective economic
advantage is a recognized tort in Iowa. Farmers Coop Elev., Inc._,_
at Duncombe v. State Bank, 236 N.W.2d 674 (Iowa 1975); Clark v.
Figge, 181 N.W.2d 211, 213 (Iowa 1970). See also Dunshee v,
Standard Oil Co., 152 Iowa 618, 132 N.W. 371 -- Second appeal 165 Iowa
-15-
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... _. JORM MICR( LAB '
CEDAR RAPIDS • OES MOINES
4
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625, 146 N.W. 830; Boggs v. Duncan -Schell Furniture Company,
_63 Ioo:a 106, 143 N.W. 482. For tortious interference
damage claim, it is required that actual loss or damage
result from defendant's intentional and wrongful interference
with plaintiff's business relationship or business expectancy.
Stoller Fisheries, Inc., v. American Title Insurance Company,
I
258 N.W.2d 336, 340 (Iowa 1977). Interference with the
performance of a contact or conduct causing the breach
thereof gives right to a cause of action. The right to
benefit from a contract is a property right and if it is
illegally destroyed, the injured party has an action for the
damage caused. Iowa Security Company v. Shaeffer, 126 N.W.2d
922, 925 (Iowa 1964). Plaintiff can recover for increased
financing costs and construction costs where delays have been
caused by litigation over zoning. Weiner v. 222 East Chestnut
Street Corporation, 303 Fed.2d 630 634 PCA 1962). Where
zoning regulation damages the value of plaintiff's property
to a point where there is a "taking" of the property, the
zoning authority must pay damages therefor. The imposition of
such zoning which is unreasonable, oppressive, or discriminatory
or is a device to take private property for public use without
paying for it will not be tolerated. Such zoning will be
treated as "inverse condemnation" and damages will be awarded.
Eldridge v. City of Palo Alto, 124 Cal. Rep. 547, 559 (1975).
It is sufficient where a showing of malice is required that
the malice be "legal malice" that is an act committed or
continued with a willful or reckless disregard of another's
rights. Pogge v. Fullerton Lumber Company, 277 td.W.2d 916,
920 (Iowa 1979). Corporations' malice may be inferred from
its illegal acts. It can also be inferred where reasonable
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men could infer that the defendant acted in utter disregard
.r abandonment as to the natural consequences of their acts
and the rights of others. A willful wrong may be committed
without intention to wrong but if wrong follows therefrom, it
is willful and malicious. NorLhrup v. Miles }come, Inc.,
is
204 N.W.2d 850, 861 (Iowa 1873). The Courts have now held
that punitive damages can be recovered against a municipality.
That involves an inference that a municipality may also be
guilty of malice. Young v. City of Des Moines, 262 N.W.2d
612 (Iowa 1978). See also Monell v. Dept. of Social Services,
98 S.Ct. 2018 (1978). In determining the intent of a
municipality, an objective test is to be used. Hart v.
Community School Board of Education, New York School District
No. 21, 512 Fed.2d 37, 50 (2CA 1975). See also Armstrong v.
O'Connell, 451 Fed. Sup. 817, 825 (1978).
DECISION
4
IT IS, THEREFORE, ORDERED, ADJUDGED, AND DECREED
by the Court that the plaintiffs have judgment against the
a(
defendant, City of Iowa City, Iowa, in the amount of Ninety-
three Thousand Dollars ($93,000) together with interest thereon
at the legal rate from the date hereof.
9
8 IT IS FURTHER ORDERED that the Clerk of this
Court assess the costs of this action against defendant, City
4
of Iowa City, Iowa, and judgment be rendered against said
defendant therefor.
Dated this 3rd day of March, 1980.
A A
S'
City. Atty. H OLD J. SWAILES, JUDGE
Wm. Meardon 4ATH JUDICIAL DISTRICT OF IOWA
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City of Iowa Ci
MEMORANDUM
Date: March 14, 1980
To: City Counc4ni
From: Don Schmeiing Director
Dept. of P& Program Development
Re: Foster Road Analysis
The purpose of this memo is to discuss the issues which have been brought up
during the Foster Road analysis, both during the staff study and in discussions
with Planning and Zoning Commission and City Council. Attached to this memo is
a chart, Table 1, which isolates five issues which we have identified. Table 1
contains three columns: the identification of the issue, a description of
impacts associated with the issue, and the impact of each of the three
alternative alignments for Foster Road and First Avenue extended.
These general alternative alignments were identified in the Foster Road report
(Figures 8-10, pages 32-34) and are as follows: Alternative 1, continuous
arterial beltway; Alternative 2, network of collector streets; and Alternative
3, discontinuous collector streets designed for internal neighborhood access
and circulation only.
Also included are the estimates requested by Council for developer and City
costs for the construction of Foster Road.
A discussion of the issues and impacts follows:
Ia. Circulation --community.
The arterial beltway concept will provide for smooth, continuous traffic
flow from the peninsula area around the north and east sides to the Mall.
This beltway would connect with the major traffic facilities and provide
access to important destinations in these areas. It is, however, important
to consider how much circulation improvement Foster Road would actually
provide. Interstate 80 already connects Dodge and Dubuque Streets and
would be the preferable route for much traffic originating north of the
City limits. A question has been raised as to whether it is suitable
practice to utilize the interstate as part of the local street system.
Interstate highways are utilized for local travel safely and efficiently in
other cities in Iowa (including Cedar Rapids, Des Moines, and Davenport),
as well as to some extent already in Iowa City/Coralville. Perhaps most
importantly, Interstate 80 is an existing road with construction and
maintenance costs paid for with no local funds.
lb. Circulation --neighborhood.
Neighborhood circulation for developing areas will be provided equally
well by either alternative 1 or 2, because either one provides direct
connections to adjacent arterial streets. Alternative 3 would provide
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somewhat poorer overall neighborhood circulation, since the area between
Prairie du Chien Road and N. Dodge Street would not have direct access to
Prairie du Chien. The area between N. Dubuque Street and Prairie du Chien
Road would have equivalent neighborhood circulation under each of the three
alternatives.
2a. Neighborhoods --Traffic intrusion into developing areas.
New residential development on the north side will hopefully provide
several attractive neighborhoods for future residents. Heavy traffic
flows of external traffic could create severe neighborhood problems, by
creating excessive noise and pollution, and a virtual barrier running
through these neighborhoods..
2b. Neighborhoods --congestion in older, central areas.
Protection of older residential neighborhoods has been an important past
objective of the City and has continued to be an important consideration in
the analysis of Foster Road. Where others have promoted Foster Road as a
means of relieving traffic in central neighborhoods (e.g. the near north
side) and on narrow residential streets (e.g. Kimball Road, Ridge
Road/Whiting Avenue), our analysis has simply concluded that the relief
would not occur. We feel that if any outer street were to divert traffic,
Interstate 80 would be doing that already.
Traffic from destinations west of the Park Road bridge headed for the
ACT/Westinghouse area presently has three choices as to route:
a. Church Street, which is an arterial street but passes through a
residential area.
b. Interstate 80, which is longer in distance, but is continuous driving
with no stops and may actually be quicker.
C. Kimball Road and Brown Street, which are the quickest, :most direct
routes.
Foster Road is not likely to divert traffic in this situation, or in others
we have looked at.
3. Cost to the public.
Foster Road is intended to be constructed as development of the north side
occurs, rather than appearing as a project in the Capital Improvements
program. For some segments of Foster Road to be built, however, City
expenditure of funds will have to occur. Cost estimates for the three
alternatives are shown on the attached chart, Table 2. The total City
share for alternative 1 is around $950,000; for alternative 2,
approximately $835,000. Alternative 3 would be less expensive because the
segment spanning the ravine east of Prairie du Chien Road would not be
constructed. Alternative 3 would save the City over $300,000 as compared
with a continous arterial beltway.
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4a. Urban form --north corridor development.
Staff has raised the issue of urban form and the possible encouragement of
sprawl development resulting from Foster Road. This issue has been the
subject of much debate and little agreement, since it is not a matter for
precise conclusions. Land use controls --zoning and subdivision --are the
primary means of determining future land use. What staff has attempted to
point out is that the road system has an enormous influence on private
market decisions that are made within the constraints set by legal
controls. In general, it is well established that development tends to
occur in areas that are well -served by an arterial street network.
4b. Urban form --natural areas.
Staff feels that much of the north side area is the type of
environmentally -sensitive area that the comprehensive plan intended to
carefully identify and prioritize before the potential value is lost as the
area develops. Most of the area is likely to develop unless a private or a
public land purchase program is undertaken. Staff recommends that
floodplains, ravines, and the most sensitive areas be protected where
possible. In alternative 3, the street pattern lends itself to enlarging
the contiguous open space areas, specifically the ravine east of Prairie du
Chien Road.
5a. Energy consumption -development in the Foster Road corridor.
Development which occurs in the north side area will be most energy
efficient in terms of gasoline consumption if alternatives 1 or 2 are
chosen. Alternative 3 would cause some longer trip making than necessary
under other alternatives.
5b. Energy consumption --secondary effects.
i
Staff considers the energy savings from alternatives 1 or 2 to be
considerably lessened by secondary effects resulting from the development
of an arterial beltway on the north side. These would include the
encouragement of a further peripheral development, which is likely to
consume a great deal of fuel because of future driving patterns. In
addition, travel patterns that cannot be served by mass transit can be
expected to be established under these conditions.
tp/sp
's
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ISSUE
TABLE 1: . ALTERNATIVES/IMPACT SUMMARY FOR FOSTER ROAD
DESCRIPTION OF IMPACT IMPACT OF ALTERNATIVES
Alternative =1 Alternative #2 Alternative #3
1. CIRCULATION a) improve community circulation + 0 -
b) provide neighborhood circulation + + -
'.`,� comparison of the three alternatives, rather than absolutes
1
f.
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0 +
0 0 0
0 +
0 +
Iowa City Department of Planning and
Program Development March.13, 1980
j
for developing areas
2. NEIGHBORHOODS a) traffic intrusion into
developing areas
b) congestion in older, central areas
3. PUBLIC COST cost of providing Foster Rd.
segments that will not be built
by developers
. URBAN FORM a) encouragement of development
in the north corridor
b) availability of contiguous
natural areas for open space
5. ENERGY . a) fuel consumption by development
in Foster Rd. corridor
b) secondary effects
Note: + positive impact
0 neutral impact
- negative impact
W,
Yt.rSl, These are intended to be used as relative measures, for
'.`,� comparison of the three alternatives, rather than absolutes
1
f.
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0 +
0 0 0
0 +
0 +
Iowa City Department of Planning and
Program Development March.13, 1980
j
IT
TABLE 2: ESTIRATED COSTS COR COMPLETION OF FOSTER ROAD ALTERNATIVES _
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ALTERNATIVE rl
ALTERNATIVE r2 I
ALTERNATIVE el
SEGMENTS
DEVELOPER
CITY i
• DEVELOPER
CITY i
DEVELOPER
I CITY
(see attached rov)
I R.O.R. CONSTRUCTION I
!
' R.O.M. CONSTRUCTIJY I
R.O.M. i CONSTRUCTION
i
I
1. Dubuque St. to Bjaysvillt Lane
i
S 3,850 1 f 52,500 j
•S 3.8501 S 521500
3.850 S 52,500
2. Bjaysville Lane
j
' 99,000
99.000
If
99,000
3. Alberhasty property
I $226,875
20.625
5226,875
j 20,625
1 $226.875
1 j 20,625
4, esiscing faster Road segment
I
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i i •
S. emisting segment to Prairie
160,000 ! 86.250
I
! 70,000; 101,250
j 70,000! 101,250
du Cnien Road
i
6. Prairie du Chun Road to
I
48,275] 89,250 1
!
48,2751
89.250 I
Oases p
property
- 7. Oates property
i 326,562
I 77,188 I
1 326.562j
i
77,188
! 230.312
j 20.938
8. aenneoy vroputy
i
50,000 ! 69.000 I
j
I 50,000 69,000 I
I
I 50.000 69,000
9. X. Dubuque Rood
I
I 195,000 j
j
195,000
i 195,000
Subtotal -- future
^�
subdivisions
557,477
97,817
1 553,477
97,817 1
1 457,187
1 41,563
(se9nents 767)
I
i
Subtotal -- city construction
'I
I.
of nN Segments
0
559,125 I
I 0
444,125 !
0
306,600
(segments 1.5,618)
Subtotal -- all ner construction
~
'
((segments 1,7,5,6.758)
55],4]7
656,978
553.437
541,938
457,187
349,163
Subtotal -- Improvement to
j
-
streets
0
249.000 I
! O
249,000
0
249,000
nsting
(segrents 21))
1
TOTAL
j $553,477
I $950,938 i
;f 55
$875,938 j
f $457,1�6q•163
,
Note: Foster
Road Is assumed to be a 2 -lane
road,
lora City Department
of Planning
33 -feet ride, .Ith a right -of -May
of 66 feet.
and Program Development !larch 13, 1980
Construction cost are Minted at
$150 Per
linear
foot (projected 1981 cost)
City pays for overrldth paving In
future subdivisions
(cost:
$15 per square yard)
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FOSTER ROAD SEGMENTS
(refer to TABLE 2)
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