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HomeMy WebLinkAbout2025-01-23 Info Packet1k 00 ®, Mgo CITY OF IOWA CITY City Council Information Packet January 23, 2025 Council Tentative Meeting Schedule IN. Council Tentative Meeting Schedule Miscellaneous IP2. Memo from Assistant Finance Director: Long-term Debt Disclosure Report IP3. Memo from Budget Management Analyst: Quarterly Financial Summary for Period Ending December 31, 2024 IP4. Media Release: Primary Election for City Council District C Draft Minutes IP5. Library Board of Trustees: December 19 January 23, 2025 City of Iowa City Item Number: IP1. CITY OF IOWA CITY COUNCIL ACTION REPORT January 23, 2025 Council Tentative Meeting Schedule Attachments: Council Tentative Meeting Schedule r City Council Tentative Meeting Schedule �? -•: litt Subject to change wrw•w� CITY OF IOWA CITY January 23, 2025 Date Time Meeting Location Tuesday, February 4, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, February 18, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, March 11, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, April 1, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, April 15, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, April 21, 2025 4:30 PM Joint Entities Meeting Iowa City CommSchool District TBD Tuesday, May 6, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, May 20, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, June 3, 2025 4:00 PM Work session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, June 17, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, July 8, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, July 21, 2025 4:30 PM Joint Entities Meeting City of Coralville TBD Tuesday, August 5, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, August 19, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, September 2, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, September 16, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, October 7, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, October 20, 2025 4:30 PM Joint Entities Meeting City Hall, Emma J. Harvat Hall 410 E. Washington Street Tuesday, October 21, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, November 3, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, November 18, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, December 9, 2025 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Item Number: IP2. a CITY OF IOWA CITY "QF T-4 COUNCIL ACTION REPORT January 23, 2025 Memo from Assistant Finance Director: Long-term Debt Disclosure Report Attachments: Memo from Assistant Finance Director: Long-term Debt Disclosure Report �Ir� CITY OF IOWA CITY vp MEMORANDUM Date: January 21, 2025 To: Geoff Fruin, City Manager From: Jacklyn Fleagle, Assistant Finance Director RE: Long-term Debt Disclosure Report In accordance with the City Council's Debt Management Policy, an annual debt report is to be submitted within 210 days after the fiscal year-end to the City Manager and the City Council. The City's fiscal year 2024 ended on June 30, 2024, and this report is intended to provide information regarding that fiscal year. According to the policy, the annual debt report should include, at a minimum, the following information: • General Long-term Debt Obligations: • Property valuations and trend valuations for total actual and taxable valuations • List of the City's 10 largest taxpayers • Summary of all of the City's direct, long-term debt obligations • Debt per capita (GO Debt and TIF Revenue Debt) • Debt per total assessed value (GO Debt and TIF Revenue Debt) • City's debt versus the legal debt limit • Revenue -Secured Debt Obligations: • Summary of the system • Summary of the system's rates and charges • The historical trend of system's sales and charges ■ Coverage ratios for system ■ Number of system customers, if applicable • List of system's 10 largest users, if applicable According to the policy, the annual debt report should also include a list of any potential upcoming debt issues and a summary of any material events that have occurred in the past year. The report may also include any other relevant information that is significant to the City's debt program or ability to repay its debt obligations. During fiscal year 2024, the City incurred the following significant events regarding its bond obligations and reported them on the Electronic Municipal Market Place (EMMA): • Principal and interest payment delinquencies: None • Non-payment related defaults, if material: None • Unscheduled draws on debt service reserves reflecting financial difficulties: None • Unscheduled draws on credit enhancements relating to the Bonds reflecting financial substitution of credit or liquidity providers, or their failure to perform: None ■ Substitution of credit or liquidity providers, or their failure to perform: None • Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material January 21, 2025 Page 2 notices or determinations with respect to the tax-exempt status of the Series Bonds, or material events affecting the tax-exempt status of the Bonds: None • Modifications to rights of Holders of the Bonds, if material: None Bond calls (excluding sinking fund mandatory redemptions), if material, and tender offers; a Notice of Material Event was timely filed for each of these events: None • Defeasances of the Bonds: None • Release, substitution, or sale of property securing repayment of the Bonds, if material: None • Rating changes on the Bonds: None • Bankruptcy, insolvency, receivership or similar event of the Issuer: None • The consummation of a merger, consolidation, or acquisition involving the Issuer or the sale of all or substantially all of the assets of the Issuer, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material: None • Appointment of a successor or additional trustee or the change of name of a trustee, if material: None • Incurrence of a Financial Obligation of the Issuer, if material, or agreement to covenants events of default, remedies, priority rights, or other similar terms of a Financial Obligation of the Issuer, any of which affect security holders, if material: None • Default, event of acceleration, termination event, modification of terms or similar events under the terms of a Financial Obligation of the Issuer, any of which reflect financial difficulties: None In the next 180 days, we are currently anticipating the following potential bond issues: ■ 2025 General Obligation Bonds — 2024 CIP Program - $14,290,000 Other potential debt issues include: • 2025 Revenue Bonds — Sewer Revenue Bonds - $3,000,000 Attached to this memo are summaries that include the additional financial and debt information mentioned above. This information along with our Fiscal Year 2024 Annual Comprehensive Financial Report (ACFR) will be provided to our bondholders and will be posted on the Electronic Municipal Market Access (EMMA) web site in accordance with Municipal Securities Rulemaking Board (MSRB) rules. This information must be posted by January 26, 2025 in order to comply with the continuing disclosure certificates on our outstanding bonded debt. We are not aware of any material or significant events that will prevent the City from meeting its current outstanding bonded debt obligations. CONTINUING DISCLOSURE SUBMISSION FINANCIAL AND OPERATING REPORT FOR THE FISCAL YEAR JUNE 30, 2024 Relating to I r , CITY OF IOWA CITY Johnson County, Iowa CITY OF IOWA CITY GENERAL OBLIGATION DEBT CUSIP NO. 462308 To the extent not included in the City's Financial Statements, all information the City of Iowa City has agreed to provide in its annual reports, as it relates to its outstanding general obligation debt is included in this report. Attached is additional information as required to be submitted under previous disclosure undertakings of the City. Pursuant to Securities and Exchange Commission Rule 15c2-12 For further information please contact: Nicole Davies Finance Director City of Iowa City 410 E. Washington Street Iowa City, IA 52240 Telephone: (319) 356-5085 January 21, 2025 City oflowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page;2 CITY INDEBTEDNESS DEBT LIMIT/DEBT LIMITATION The amount of general obligation debt a political subdivision of the State can incur is controlled by the constitutional debt limit, which is an amount equal to 5% of the actual value of taxable property within the corporate limits, taken from the last County Tax list. According to and based upon the January 1, 2022 property valuations, for taxes payable in September 2023 and March 2024, the City's debt limit, based upon said valuation, amounts to the following: 2022 100%Actual Valuation of Property ............................... $7,368,329,010 Constitutional Debt Limit ..............................::....................... $ 368,416,451 Outstanding Bonds/Notes Applicable to Debt Limit: Total G.O. Debt Subject to Debt Limit .................................... $ 52,980,000 TIF Revenue Debt ....... .................... ................................ ».... 9,925,000 Subscription Liability............................................................. 405,701 Capitlal Loan Note Payable .................... ....... 4............ I ....... .... 788,425 Other Loans................................•........................... 210,784 Other Legal indebtedness (TIF Rebates) .............................. _ 29,620,496" Total Appitcabie Debt .................. .............. I ............... I............ 93 93Dm06 Remaining Debt Capacity...................................................... $ 274,486,045 **The Iowa Supreme Court has not formally ruled on the question of whether rebate agreements, and also certain lease assets and liabilities previously classified as operating leases, which pursuant to GASB 87 are now required to be recognised as a lease liability and an intangible right -to -use lease asset, constitute an indebtedness of a Cityfor constitutional debt purposes. Though the subscription liabilities and rebate agreements noted herein may not constitute legal indebtedness for constitutional debt limit purposes, amounts reflected above are memorials=ed in the table to conservatively state the City's possible financial exposure. DIRECT DEBT General Obligation Debt Supported by Property Taxes and Tax Increment Date of Original Final Principal Outstanding Issue Amount Issued Purpose Maturity As of 6/30/24 June 2015 $ 7,785,000 Multi -Purpose 6/25 $ 880,000 June 2016 8,795,000 Multi -Purpose 6/26 2,045,000 June 2017 9,765,000 Multi -Purpose 6/27 3,165,000 June 2018 8,895,000 Multi -Purpose 6/28 3,795,000 June 2019 12,535,000 Multi -Purpose 6/29 4,640,000 June 2020 12,145,000 Multi -Purpose 6/30 4,740,000 June 2021 11.325,000 Multi -Purpose 6/31 7,920,000 June 2022 10,255,000 Multi -Purpose 6/32 7,945,000 June 2023 9,105,000 Multi -Purpose 6/33 7,710,000 June 2024 10,140,000 Multi -Purpose 6/34 10,140,000 Total General Obligation Bonds $52,980,000 Summary of General Obligation and Tax Increment Debt(1) (Principal Only) General Obligation: Series 2015......................................................... $ 880,000 Series 2016A....................................................... 2,045,000 Series 2017A... .......... ........_.............. ................... 3,165,000 Series 2018A....................................................... 3,795,000 Series 2019......................................................... 4,640,000 Series 2020......................................................... 4,740,000 Series2021....................:.................................... 7,920,000 Series 2022......................................................... 7,945,000 Series2023......................................................... 7,710,000 Series 2024......................................................... 1 ❑ ?40 000 Total General Obligation .... ...................... ___ $52,980,000 Tax Increment Financing Revenue: Series 2016E....................................................... $ 9,925,000 Total Tax Increment ......................................... $ 9,925,000 Note: (1) Source: the City. ti O O O O O O O O O O O O O O O O O O O O M 0 0 0 0 C 0 0 0 0 0 N (� O O O O CD C O C O 0 0 d) O N N N N N N N N r N M M m m m m T O M B r Hi H3 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O O O O O O O O O O aNCOOLO�u)OCOO u) N m m m m m m T m v W O M M M M M M M M M Cn N r ER 61 O CD O CD CDO O CD CD 0 0 0 0 0 0 0 O 'o r 0 0 0 0 0 0 C O (D N u) CO LO M CO CO O O y N M M M V V M r N Di 0 0 0 0 0 0 0 0 0 0 N O N O O O O O O 0 0 0 0 0 0 O 0 o O m m m m m m U) ER � 0 0 0 0 0 0 0 0 0 0 0 M 0 0 mmm 0 0 0 co O C fj C n O O O O �N CCOOMMM T ((D ER 69 O O O O O O O O O 0000 O O w Q •N a0 C C C 0 M 000 O Il) It 0 co m C n N m m m m 111 fa cn v3 0 0 0 0 0 0 0 0 0 000 0 O (nQooO .cu 0 u) ui 0 ui 2-r0 N CO Co tD N O O O r ER r M 6% 0000000000 00 0 ma0o -10 0 O co N O N CR r to 0CD00000000 y O O 0 0 O (n N co co O fA t% 1 } �M CD 01'-M MOr NM« N N N N N M M M M O � ccoo00000001— W j N N N N N N N N N U- N N lf ODN ON 000CD N h C O N N m 0 0 0 fO Ul r O� Mao N 'tO't a N� 0 CO N O 1- w I� 1- 000 U 47 N �f0 Mr"tI-ONMI,- C C C O N M C D N N O M m t 0 �—� Oc0 ti0M �Mr O CR fi09 C o 0 0 0 0 0 0 0 0 0 O O M W O C D N In In 0 0 `mN6ct7u)NNCOmMO C OM COO M 1-M000 a00 a r CO M f D h W T M m O m a� K m ? oOOOOOOOOO •m.00000ao00o �0000000000 E owuiuiouiouiuioo N COS A'mNM 00 co 7 ECONmCOMOO aD OM U Q O M C D M M,q co O N N 69 � C r N M M It O C O C O C O Co 00000000000 rn o0000000000 00000000000 f0 •� Lo 0 o u) Lo Lo ui o CCUOo O N't cO Mm C)vm vOw �, N❑ CO CD I� CD I' h maO NMm O OI.- Co CO t MNr N C CO vi va CO CD 00000000000 0 0 0 0 0 0 0 0 0 0 0 y'• C 0 C 0 0 C 0 0 0 0 0 NN O CL')CO Mu7 W MO 1000 000a0000o00v N O M M M M M M M M M r N O CA I C:i } C M C O C D 1 l- c O M O r N M «� N N N N N M M C M M C 7 0 O CD O O O O O o 0 0 0 F V C j N N N N N N N N N N N w � IL d U 7 Un d Z ig City oflowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 14 INDIRECT GENERAL OBLIGATION DEBT DEBT RATIOS STATEMENT OF BONDED INDEBTEDNESS(]) CityActual Value, January 1, 2022............................................................................................................................................................. $7,368,329,010 CityTaxable Value, January 1, 2022..................................:.:..».:....:.,:......................_..._........:........:................._....................:................... $4,360,283,037 Per Capita ApsNirahl_e_ Ratio to City Ratio to City (2020 Pop. Total Percent Amount Actual Value Taxable Value 74.828) Direct Bonded Debt.... .......................... . ...... $ 52,980,000 100.00% $ 52,980,000 0.72% 1.22% $ 708.02 TIF Revenue Debt .....................:................... 9,925,000 100.00% 9,925,000 0.13% 0.23% 132.64 Overlapping Debt: Iowa City Community School District ............. $156,815,000 57.65% 90,403,848 1.23% 2.07% 1,208.16 Clear Creek-Amana Community School Dist. 89,794,000 0.03% 26,938 0.00% 0.00% 0.36 Kirkwood Community College(2) ................... 124,495,000 14.12% 17,578,694 0.24% 0.40% 234.92 Johnson County ............................................ 25,502,000 41.87% 10.677.687 0.14% 0.24% 142.70 Total Applicable Overlapping Bonded Debt ........ ........ ....... ... ................ __ $118.687-167 1.61 % 2.71 % 51-596.14. Total Direct and Overlapping Bonded Debt.—__ ......................................$181,592,167 2A6% 4,16%, $2,426.79 PerCapita Actual Value ...------•..................... ............ .............................. .._...... ..... ................................................. ........................ ................. 1.... $98,470.21 PerCapita Taxable Value..............................................................................................................................._........_..._...................................._ $58,270.74 Notes: (1) Source: the City, Audited Financial Statements and Treasurer of the State of Iowa - Outstanding Obligations Report, debt as of June 30, 2024 for the School Districts, Community College and County. (2) Excludes $43,925,000 in Industrial New Jobs Training Certificates, which are expected to be paid by proceeds from anticipated job credits from withholding taxes. Other Obligations Other Debt The City has revenue debt payable solely from the net revenues of the City's Urban Renewal Areas as follows: Date of Original Final Principal Outstanding Issue Amount Issued Pii_ nose Maturity As of f1321Z4 Sept 2016 $12,805,000 Developer Grant 6/36 $%925.000 Total $9,925,000 The City has revenue debt payable solely from the net revenues of the Municipal Water System as follows: Date of Original Final Principal Outstanding Issue Amount Issued Puroose Maturity As of 6/30/24 June 2016 $3,660,000 Water Refunding 7/24 $ 525,000 June 2017 5,910,000 Water Refunding 7/25 1.355.000 Total $1,880,000 Revenue Debt Payable from Net Revenues of the Municipal Water System: Series 2016D.................................................................. $ 525,000 Series 2017C.................................................................. 1-355.000 Total(1)(2)..................................................................... $1,880,000 Notes: (1) Source: the City. (2) After the June 1, 2024 principal payments. City of Iowa City, Johnson County, loiva Fiscal Year 2024 Annual Financial and Operating Disclosure Page15 CITY PROPERTY VALUES IOWA PROPERTY VALUATIONS In compliance with Section 441.21 of the Code of Iowa, as amended, the State Director of Revenue annually directs all county auditors to apply prescribed statutory percentages to the assessments of certain categories of real property. The final values, called Actual Valuation, are then adjusted by the County Auditor. Assessed or Taxable Valuation subject to tax levy is then determined by the application of State determined rollback percentages, principally to residential property and commercial property. Beginning in 1978, the State required a reduction in Actual Valuation to reduce the impact of inflation on its residents. The resulting value is defined as the Assessed or Taxable Valuation. Such rollback percentages may be changed in future years. Certain historical rollback percentages for residential, multi -residential, agricultural and commercial valuations are as follows: Percentages for Taxable Valuation After Rollbacks(1) Building Permits Multi- Ag Land Commercial Fiscal Year Residential Residenliak 2 & Buildings & Industrial 2016/17................ 55.62 999/6 86.2500% 46.1068% 90.0000% 2017/18................ 56.9391 % 82.5000% 47.4996% 90.0000% 2018/19................ 55.6209% 78.7500% 54.4480% 90.0000% 2019/20................ 56.9180% 75.0000% 56.1324% 90.0000% 2020/21................ 55.0743% 71.2500% 81.4832% 90.0000% 2021/22................ 56.4094% 67.5000% 84.0305% 90.0000% 2022/23................ 54.1302% 63.7500% 89.0412% 90.0000% 2023/24................ 54.6501 % n/a 91.6430% 90.0000% 2024/25................ 46.3428% n/a 71.8370% 90.0000% Notes: (1) Source: the Iowa Department of Revenue. (2) In assessment year 2023 (applicable to fiscal year 2024/25 valuations), the taxable value rollback rate is 46.3428% of actual value for residential property; 71.8370% of actual value for agricultural property and 100.0000% of the actual value of utility property. The residential taxable rollback rate of 46.3428% applies to the value of each property unit of commercial, industrial and railroad property that exceeds zero dollars ($0), but does not exceed one hundred fifty thousand dollars ($150,000), with a taxable value rollback rate of 90.0000% to the value that exceeds one hundred fifty thousand dollars ($150,000). City Building Permits(1) (Excludes the Value of Land) Calendar Year: 2020 New Construction No. of New Permits .................................... 120 Valuation: ....... .......................................... $51,863,761 Remodeling Repair and Additions: No. of New Permits: ................................... 430 Valuation: ........................ ........ ................ $35.438.412 Total Permits ............................................. 550 Total Valuations ......................................... $87,302,173 Note: (1) Source: the City, 2021 2022 2023 2024 159 122 86 140 $ 96,466,791 $117,011,149 $214,121,385 $ 87,982,355 421 421 407 471 5 39.023-795 $ 35,704,172 61,280189 $. 42,462,451 580 543 493 611 $135,490,586 $152,715,321 $275,401,574 $130,444,806 City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 16 PROPERTY VALUATIONS Property Valuations and Trend of Valuations Actual (100%) Valuations for the City(1)(2) Fiscal Year: 2020/21 2021/22 2022/23 2023/24 2024/25 P:Qperty Class Levy Year: 2019 2020 2021 2022 2023 Residential......._ .......... ........................ »....... :.... $4,995,816,750 $5,140,954,110 $5,365,850,652 $6,006,505,164 $7,206,202,564 Agricultural........................................................ 1,748,000 1,727,980 1,574,220 1,650.370 1,789,188 Commercial....................................................... 1,104,820,749 1,115,028,021 1,107,017,980 1,116,138,451 1,248,152,812 Industrial .......... ................ ...:.................... ......... 80,669,700 80,001,410 79,499,810 79,655,130 87,930,360 Multi-residential(3)............................................. 548,053,873 549,444,612 554,767,665 0 0 Railroads........................................................... 4,488,469 4,072,190 4,380,355 4,628,817 5,041,874 Utilities without Gas and Electric ........................ 6,152,547 4,339,508 2,779,716 269,478 276,868 Gas and Electric Utility ...................................... 118,583,613 126,171,274 134,787,151 161,652,144 173,705,884 Less: Military Exemption ................................... (2,435,380) (2392.784) 2( ,261 29?j (2,170,544) (1.6,743,6781 Total................................................................ $6,857,898,321 $7,019,346,321 $7,248,396,257 $7,368,329,010 $8,707,355,872 Percent Change+(-) ........................................ 11.81%(4) 2.35% 3.26% 1.65% 18.17% Notes: (1) Source: Iowa Department of Management. (2) Includes tax increment finance (fIF) valuations. (3) Included in Residential Property Class starting with January 1, 2022 valuations. (4) Based on 2018 Actual Valuation of $6,133,570,208. Trend Of Valuations Property Valuations and Trend of Valuations Taxable ("Rollback") Valuations for the City(1)(2) For the January 1, 2023 levy year, the City's Taxable Valuation was comprised of approximately 74% residential, 24% commercial, 2% industrial, 1 % utilities and less than 1 % agriculture, railroad and military exemption. Fiscal Year: 2020/21 2021/22 2022/23 2023/24 2024/25 Property Class Levy Year: 2019 2020 2021 2022 2023 Residential........................................................ $2,751,410,912 $2,899,981,623 $2,904,545,542 $3,282,561,510 $3,339,555,748 Agricultural............. .......................... ............... 1,424,328 1,452,029 1,401,705 1,512,444 1,285,294 Commercial_ --------- __._ ................................. 994,338,692 1,003,525,240 996,316,203 959,563,607 1,067,462.656 Industrial .... ......... .............................................. 72,602,730 72,001,269 71,549,829 70,894,250 78,155,039 Multi-residential(3)............................................. 390,488,458 370,875,229 353,664,442 0 0 Railroads.... .... ........ . . ...................................... 4,039,622 3,664,971 3,942,320 4,150,574 4,518,715 Utilities without Gas and Electric ........................ 6,152,547 4,276,538 2,779,716 269,478 276,868 Gas and Electric Utility ...................................... 40,156,239 40,595.608 44,017,962 43,501,718 41,986,461 Less: Military Exemption ............................. :....... (2,435,380) (2.392.784) (2261,292) (2,170,544) (15.743.678) Total ........... ..................................... ..:.............. $4,258,178,148 $4,393,979,723 $4,375,956,427 $4,360,283,037 $4,517,497,103 Percent Change +(-) ........................................ 8.54%(4) 3.19% (0.41 %) (0.36%) 3.61 % Notes: (1) Source: Iowa Department of Management. (2) Includes tax increment finance (TIF) valuations. (3) Included in Residential Property Class starting with January 1, 2022 valuations. (4) Based on 2018 Taxable Valuation of $3,923,114,214. The remainder of this page was left blank intentionally. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 17 Levies and Tax Collections(]) (Amounts Expressed in Thousands) The following shows the trend in the City's tax extensions and collections. Levy Fiscal Amount Amount Percent Year Year Levied Coilected 2 Collected 2013................. 2014-15......... ....... $51,609 $51,295 99.39% 2014................. 2015-16................ 52,034 52,074 100.08% 2015......... :....... 2016-17................ 55,330 55,331 100.00% 2016..... ............ 2017-18....... --- 56,458 56,347 99.80% 2017.... ............ 2018-19................ 59,174 59,254 100.14% 2018 ................. 2019-20 ................ 60,297 58,972 97.80% 2019................. 2020-21........ ........ 65,849 66,714 101.31 % 2020............. .... 2021-22................ 66,912 67,104 100.29% 2021.... ............. 2022-23................ 66,474 66,262 99.68% 2022 ................. 2023-24 ................ 66,313 66,083 99.65% Notes: (1) Source: the State of Iowa Department of Management and the City. Does not include Levies or Collections for Utility Replacement. Does not include levies and collections for the City's tax increment finance district. (2) Includes delinquent taxes. Larger Taxpayers(]) (amounts expressed in thousands) Levy Year 2024 Taxoaver Name Business/Service Taxable Valuation(2) Rise at Riverfront Crossings, LLC..........................................Apartments _................................... $ 68,695 Tailwind Iowa City, LLC......................................................... Real Estate Development .................................... 57,607 BBCS-Hawkeye Housing LLC , ............................................. Real Estate Management/Apartments.......,.......... 50,041 1201 Gilbert, LLC....... ::............................... ........:............. .... Residential Property .... 45,412 MidAmerican Energy............................................................. Utility ........... ..... --- •...................................... 32,055 Hollingsworth Capital Partners Iowa LLC...............................Real Estate Developer......................................... 31,989 Webber- Iowa LLC...............................................................Real Estate .................... --- ........... ;::..:.............. 31,810 Augusta Place LLC......:.........................................................Real Estate Management..................................... 29,355 Vesper Iowa City LLC...........................................................Real Estate Management..................................... 28,000 Michael T. McLaughlin........................................................... Real Estate Management & Development............ 25,787 Total........................................................................................... ........................................................ $400,751 Ten Larger Taxpayers as Percent of City's 2023 Taxable Valuation($4,517,497,103)...................................... 9.19% Notes: (1) Source: the City. (2) Every effort has been made to seek out and report the larger taxpayers. However, many of the taxpayers listed contain multiple parcels and it is possible that some parcels and their valuations have been overlooked. The remainder of this page was left blank intentionally. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 18 Levy Limits Normal municipal operations and maintenance costs are generally funded through the corporate property tax levy. Iowa State Code does not allow the municipal general fund to be taxed above $8.10 per thousand dollars of taxable value in any one year. In addition to the General Fund, there are several other tax funds that the City can create and use for specific purposes. Tax Rates Levy Years 2018 - 2022(1)(2) (Per $1,000 Actual Valuation) Fiscal Year: 2019/20 2020/21 2021/22 2022/23 2023/24 Levy Year: 2018 2019 2020 2021 2022 City: General Fund.......... ........................................... $ 8.10000 $ 8.10000 $ 8,10000 $ 8.10000 $ 8.10000 Emergency Levy ................................................. 0.00000 0.24000 0.24000 0.20000 0.20000 Debt Service Fund .............................................. 2.97846 2.57846 2.47846 2.47846 2.47846 Employee Benefits ............................................. 3.24415 3.34415 3.34415 3.34415 3.34415 Capital Improvement .......................................... 0.00000 0.00000 0.00000 0.00000 0.00000 Other.... ........................... . ..... . . ... . ................... 1.51044 1.51044 1.51044 1.51044 1.51044 Total City........................... I ............................. $15.83305 $15.77305 $15.67305 $15.63305 $15.63305 Johnson County ............................................... $ 6.49278 $ 6.34581 $ 6.16774 $ 6.04075 $ 6.06180 Iowa City School District ..................................... 14.79097 14.83935 14.85066 14.93382 16.26830 Kirkwood Community College ............................. 1.21331 1.25730 1.31195 1.34462 1.39550 Other.................................................................. 0.27066 0.33110 0.32744 0.30673 0.30194 Total Tax Rate(3)............................................. $38.60077 $38.54661 $38.33084 $38.25897 $39.66059 Notes: (1) Source: Iowa Department of Management. (2) Does not include the tax rate for agriculture. (3) Taxpayers in the Iowa City Community School District area. PROPERTY TAX LEGISLATION RECENT PROPERTY TAX LEGISLATION Legislation Over time, the Iowa Legislature has modified the process and calculation of taxable valuations for various classifications of property. For example, in 2013 maximum annual taxable value growth due to revaluation of residential and agricultural property was reduced from 4% to 3%, rollback calculations were modified, a new multi -residential classification was created, and an appropriation made to replace some lost tax revenue due to rollbacks. In 2019, the process for hearings on total maximum property tax dollars under certain levies in the City's budget was modified and a super - majority vote required to raise taxes above a prescribed formula. In 2021, the multi -residential classification was removed, and a phase out of the appropriation for rollback initiated. In 2023, SF 181 was signed into law by the Governor on February 20, 2023, effective upon enactment. SF 181 reduced the residential rollback for the 2022 assessment year (affecting Fiscal Year 2023/24) from 56.4919% to 54.6501 %. This resulted in a reduction in taxable valuation in the residential, commercial, industrial and railroad property classes upon which the City levies property taxes for Fiscal Year 2023/24. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 19 On May 4, 2023, the Governor signed House File 718 ("HF 718"), a property tax reform law aimed at reducing property tax growth in Iowa. Among other things, HF 718 permanently consolidates several existing city property tax levies and creates a new adjusted city general fund levy ("ACGFL"). To control the growth of property taxes, the new ACGFL is subject to potential limitation or reduction by constraining growth by 2% or 3% each year depending on if certain growth triggers are met or exceeded during the prior year. The levy limitation is only applicable Fiscal Year 2024/25 through Fiscal Year 2027/28 and will be specific to each city. For Fiscal Year 2023/24, the City will calculate the new ACGFL as the baseline rate and the first annual ACGFL adjustment will begin Fiscal Year 2024/25. The ACGFL rates for Fiscal Years 2024/25 through 2027/28 are based on growth in city taxed value and the previous year's city tax rate. Beginning in Fiscal Year 2028/29, all cities go to a $8.10 ACGFL maximum and the levy limitation calculation ceases. Certain levies like debt service, pensions, employee benefits and capital improvement reserve fund are not included in the new ACGFL limitation. The City's recent property valuation growth has, on occasion, exceeded the new legislative caps. Assuming the City exceeds the legislative caps in the future, the City's general fund levies will lag its relative valuation growth. For Fiscal Year 2024/25, the City's non TIF tax valuation growth was 3.66% causing the City's ACGFL growth to be mitigated to 1.62%. The City's Budget for Fiscal Year 2024/25 will accommodate this reduced tax revenue relative to its non TIF tax valuation growth. CITY FUNDS ON HAND (Cash and Investments as of June 30, 2024, in thousands) City Operating Funds $240,197 City Restricted Funds 51,565 Total $291,762 The remainder of this page was left blank intentionally. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 110 Statement of Net Position Governmental Activities(]) (Amounts Expressed in Thousands) Audited as of June 30 2020 2021 2022 2023 2024 Assets: Equity in Pooled Cash and Investments ......... ........ .... ............. $113,883 $130,934 $147,916 $149,259 $155,713 Receivables: Property Tax........................................,.,....,...:....................:... 66,479 67,644 66,659 66,779 69,847 Accounts and Unbilled Usage .................................................. 707 1,002 904 829 595 Interest..... ......................................... ...................... ...._........ 547 76 60 560 1,148 Notes ............. .............................. ....... ........,............................. 5,300 5,141 4,793 5,331 5,237 Internal Balances....................................................................... (22,551) (24,229) (25,980) (27,097) (28,722) Lease Receivable,_. .......... .......... _ .... __ .......... _._ ........... _.. 0 0 98 56 184 Due from Other Governments.... ................... _ ........... .......... 7,125 5,651 7,486 7,270 5,380 Prepaids and Other Assets........................................................ 13 0 0 0 0 Inventories................................................................................. 793 786 935 900 944 Assets Held for Resale.............................................................. 480 400 1.820 2,058 6,335 Restricted Assets: Equity in Pooled Cash and Investments ................................... 19,743 25,056 30.330 32,632 29,706 Capital Assets: Land and Construction in Progress .......................................... 41,160 38,054 42,344 52,348 58,725 Other Capital Assets (Net of Accumulated Depreciation and Amortization)................................................................. 232,717 240,561 234.48 232,647 231,537 Total Assets ............................................................ .............. $466.396 49$ 1.0 $511.853 523 572 $536.629 Deferred Outflows of Resources: Pension Related Deferred Outflows.......:::. ..... .:._::............. I....... $ 10,119 $ 12,833 $ 6,941 $ 7,164 $ 11,734 OPEB Related Deferred Outflows .............................................. 1,302 1,628 1,381 1,155 1,326 Total Deferred Outflows of Resources ................................... $ 11,421 $ 14,461 $ 8,322 $ 8,319 $ 13,060 Liabilities: Accounts Payable .............. :...:....:.............:.....::..._..."**"............ $ 3,494 $ 2,913 $ 3,619 $ 2,933 $ 3,081 Contracts Payable-_ 1.4 ...... .......... ­­ .... ­ ....... .... ­­ ............... 3,725 2,840 4,131 3,993 3,998 Accrued Liabilities.................................................................4... 5,558 5,958 5,803 3,902 3,521 Interest Payable ....................................... :.......... ........ ........ ...... 158 163 172 180 189 Deposits...........................................................................4.4...... 1,222 1,124 1,136 1,381 1,421 Advances from Grantors....... ... _ .............. _ ........ . ............ 4 ....... 3 9,470 16,830 14,293 3,091 Due to Other Governments....-................................................ 38 45 34 35 42 Noncurrent Liabilities: Due Within One Year: Employee Vested Benefits .... ....................... ........................._, 1,525 1,546 1,461 1,483 1,487 Subscription Liability...................................................4........... 0 0 0 135 145 Bonds Payable....................................................................... 11,119 11,536 11,463 11,512 12,007 Due in More Than One Year: Employee Vested Benefits........................................4............. 1,206 1,204 1,127 1,146 1,139 Subscription Liability....... - _ ............... ................................ 0 0 0 182 110 Net Pension Liability, ........ ........... 4 ........ 4 .......... _'_ ............... 39,796 47,299 8,291 29,470 34,767 Other Post Employment Benefits Liability ............................... 6,253 7,030 5,796 6,228 6,736 Notes Payable........................................................................ 211 211 211 211 211 Bonds Payable... ..... 4 ............................................................ 58,653 57,931 57,180 55,587 54,375 Total Liabilities ... ................................................................ .,.. $132,961 $149,270 $117,254 13$ 2,671 11a1329 Deferred Inflows of Resources: Pension Related Deferred Inflows... ........... ............ $ 3,045 $ 1,253 $ 27,830 $ 2,919 $ 1,036 OPEB Related Deferred Inflows ......... .....:..........:..........:... ...... 560 492 1,828 1,696 1,715 Lease Related Deferred Inflows.. . ................ ............. 0 0 98 56 184 Succeeding Year Property Taxes .... ............. 4...... 4............ ....... 65,850 66,912 66,475 66,312 68,820 Total Deferred Inflows of Resources ...................................... S 69_455 6S 8,657 96,231 75 0,983 71,755 (continued on following page) City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 111 Statement of Net Position Governmental Activities(1) (Amounts Expressed in Thousands) (continued from previous page) Net Position: Net Investment in Capital Assets ............................................... Restricted for or by: Employee Benefits .................... ............. ...:............................... Capital Projects: Expendable(2)........................................................................ Nonexpendable(2)................................. ......... ........................ DebtService............................................................................ Police----- --------....................................................................... Other Purposes Expendable............................................................................ Nonexpendable...................................................................... Grant Agreement.........................................................:........... Unrestricted.. ........................... ........... - ................. ................. Total Net Position ................. ........................ ............ ......... .... Audited as of June 30 2020 2021 2022 2023 2024 $220,004 $228,418 $230,285 $235,218 $238,351 3,875 3,973 4,446 4,655 3,953 11,464 12,266 13,180 15,019 18,750 278 218 243 269 274 9,590 7,388 7,190 7,246 7,419 294 271 285 260 237 4,552 6,300 8,473 9,217 10,363 69 69 69 69 69 3,456 3,179 3,014 3,313 3,251 21,819 $275,401 25,528 $287,610 39,505 $306,690 52,971 $328,237 68,947 $351.614 Notes: (1) Source: Audited financial statements of the City for the fiscal years ended June 30, 2020 through 2024. (2) For fiscal year 2019 amount is classified as expendable. Statement of Activities Governmental Activities(1) (Amounts Expressed in Thousands) Audited for the Year Ended June 30 2020 2021 2022 2023 2024 Function/Programs: Governmental Activities: Public Safety ................................. ................. .......... :..:.:......... $ (22,728) $ (25,853) $ (18,337) $ (21,081) $ (23,620) Public Works........................................................................... (4,737) (2,958) (3,039) (6,012) (4,330) Culture and Recreation............................................................ (15,451) (15,442) (15,902) (16,892) (17,896) Community and Economic Development. ................................ (7,760) (4,792) (4,275) (6,551) 420 General Government ........ ........ ........................ ............._......... (6,137) (8,757) (5,677) (6,907) (8,641) Interest on Long -Term Debt ................ ............ ......................... (1.452) (1,561) (1,553) (1,622) (1.624) Total Governmental Activities ................................................ 5$ { 8.265) 5 159.363] 5 (48.783) 5 (59.065) 5$ ( 5,691) General Revenues: Property Taxes, Levied for General Purposes ............... $ 62,846 $ 69,482 $ 70,678 $ 70,824 $ 70,578 Hotel/Motel Tax...................................................................... 1,135 938 1,708 1,885 2,043 Gas and Electric Tax ................ ................ ............................... 677 644 684 784 748 Utility Franchise Tax.... ........ ............... - ------ ...... - ...... - ... 884 994 1,149 1,117 983 Grants and Contributions Not Restricted to Specific Purposes. 1,513 1,587 1,555 1,244 1,675 Earnings (lass) on Investments ................................................ 2,585 841 (544) 4,325 8,894 Gain on Disposal of Capital Assets..... ..................................... 111 213 257 1,242 418 Miscellaneous.......................................................................... 3,331 3,030 3,524 3,984 3,903 Transfers................................................................................... (6.387) (6,157) 11148 (4,876) 10174 Total General Revenues and Transfers .................................. � 66,695 71,572 65 7.863 8$ 0 52g S 79.06B Changes in Net Position............................................................ $ 8,430 $ 12,209 $ 19,080 $ 21,464 $ 23,377 Net Position Beginning of Year ............ :..................................... 266,971 275,401 287.610 306,773 328,237 Net Position End of Year............................................................. $275.401 s2"Lm $306,690 $E Note: (1) Source: Audited financial statements of the City for the fiscal years ended June 30, 2020 through 2024 The remainder of this page was left blank intentionally. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 112 Balance Sheet General Fund(]) (Amounts Expressed in Thousands) _Audited as of June 30 2020 2021 2022 2023 2024 Assets: Equity in Pooled Cash and Investments .................................... $42,371 $51,870 $ 57,398 $ 57,640 $ 64,686 Receivables: Property Taxes........................................................................ 40,081 40,959 40,442 40,444 42,704 Accounts and Unbilled Usage........ .......................................... 355 508 508 534 154 Interest...... - -- ........... ........... ............... -- ............... - ........ 163 24 14 183 408 Notes ...... ........ .................... ....... .......... ........ .................. .......... 1,252 1,073 976 1,288 1,330 Due from Other Funds..... ................................... .................... 299 174 0 214 211 Lease Receivable .............. �....................................................... 0 0 39 16 164 Due from Other Governments.................................................... 3,661 2,080 2,764 2,716 2,618 Prepaid Item.............................................................................. 13 0 0 0 0 Assets Held for Resale.............................................................. 480 400 1,820 2,058 6,335 Restricted Assets: Equity in Pooled Cash and Investments ................... ...-......... 2,209 2,134 2,928 3,348 3,433 Total Assets.................................................................... $90,884 $99,222 $106,889 $108,441 $122.043 Liabilities, Deferred Inflows of Resources and Fund Balance: Liabilities: Accounts Payable ...................................... ............... .... ......._.. $ 1.356 $ 1.672 $ 2,217 $ 1.796 $ 1.774 Accrued Liabilities.................................................................... 1,673 1.957 2,187 738 997 Due to Other Governments...................................................... 38 38 34 35 42 Liabilities Payable from Restricted Assets: Deposits...............................................................:................. 1,217 1,115 1,126 1,371 1,411 Advances from Grantors ......................................................... 0 19 19 19 19 Total Liabilities....................................................................... $ 4�284 5 4,801 $ 5,583 $ 3.959 4,243 Deferred Inflows of Resources: Unavailable Revenues: Succeeding Year Properly Taxes ........................................... $39,720 $40.568 $ 40.340 $ 40.187 $ 42,127 Lease related deferred inflows ...............:................................ 0 0 39 16 164 Grants.......................................................................... 1,791 4 328 304 1 Other.. ..................... ... --- ........ ................ ......... ..... ............. 1,716 1,628 1,769 1,939 2,063 Total Deferred Inflows of Resources ...................................... $43,227 S42 200 $ 42 476 S 42 446 44,355 Fund Balance: Nonspendable.................. .......... .............. ....._........................_ $ 549 $ 469 $ 1,889 $ 2,127 $ 6,404 Restricted................................................................................ 1,747 1,455 2,015 2,310 2,455 Assigned ........................ :................. .... ....-I ... ......................... 5,708 9,883 14,852 19,622 18,437 Unassigned .......................................... ..._..................... ._......... 35,369 40,414 40,074 37,977 46,149 Total Fund Balance ...... .................... . ..... .................. ......... $43,373 5$ 2,221 $ 58 830 65 2.036 73,445 Total Liabilities, Deferred Inflows of Resources and Fund Balance ---- ---- ................................ .................... $90_884. $99 222 $10-6i 882 $108.441 $122 M Note: (1) Source: Audited financial statements of the City for the fiscal years ended June 30, 2020 through 2024. The remainder of this page was left blank intentionally. City oflowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 113 Statement of Revenues, Expenditures and Changes in Fund Balance General Fund(]) (Amounts Expressed in Thousands) Audited Fiscal Year Ended June 30 2020 2021 2022 2023 2024 Revenues: Taxes .................................................... :......:......................... .. $38,087 $42,635 $43,691 $43,989 $43,649 Licenses and Permits............................................................... 2,352 2,541 2,786 2,854 3,036 Intergovernmental.................................................................... 4,009 5,924 4,046 3,918 4,750 Charges for Service.................................................................. 1,113 808 1,711 1,352 1,201 Fines and Forfeits ....... .................................. ......... :................. 609 375 434 372 392 Use of Money and Property...................................................... 1,102 456 33 1,591 2,997 Miscellaneous........................................................................... 2,031 1,688 1,694 2,163 2,260 Total Revenues..................................................................... S49.303 $54,427 $54,395 $56,239 5$8,285 Expenditures: Current: Public Safety .... :::...:...:.................. ......................................... $24,611 $24,764 $25,783 $26,923 $27,819 Public Works........................................................................... 2,219 2.076 2,527 2,700 2,844 Cultural and Recreation........................................................... 13,146 12.407 14,722 15,317 15,888 Community and Economic Development . .............. ,....,........... 3,678 3.487 3,325 3,556 4,605 General Government............................................................... 6,336 6,676 7,310 7,777 8,921 Debt Service: Principal.................................................................................. 0 0 0 0 95 Interest... .... .......... ......... ....................................... ............... 0 0 0 0 6 Capital Outlay .............. .................. ............................................. 2,088 1,828 1,291 1,436 1,835 Total Expenditures.................................................................... $52.078 5$ 1,238 5$4,958 $57,709 6$ 2,013 Excess (Deficiency) of Revenues Over (Under) Expenditures... 2 775 $ 3,189 (563) (1,470) (3,728) Other Financing Sources (Uses): Issuance of Debt .......................................... ......................... $ 0 $ 0 $ 0 $ 0 $ 90 Sale of Capital Assets.............................................................. ill 233 255 129 211 Transfers In.............................................................................. 12,578 12,567 14,167 13,034 23,252 Transfers Out........ ..................... --- ..... ... --.- ........... 7159 (7,141) 7250 7) -(8416) Total Other Financing Sources and (Uses).. ................. 5,530 $ 5,659 7,172 4,676 1$ 5,137 Net Change in Fund Balance ........... ....... ............. :........... :......... $ 2,755 $ 8,848 $ 6,609 $ 3,206 $11,409 Fund Balance, Beginning .... .................. ............. _..................... 40,618 43,373 52,221 58,830 62,036 Fund Balance, Ending............................................................... $43,373 $52,221 $58,830 $62,036 $73.445 Note: (1) Source: Audited financial statements of the City for the fiscal years ended June 30, 2020 through 2024 PENSIONS Pension and OPEB Benefits The City participates in two public pension systems, Iowa Public Employee's Retirement System (IPERS) and Municipal Fire and Police Retirement System of Iowa (MFPRSI). In fiscal year 2024, pursuant to the IPERS' required rate, the City's Regular employees (members) contributed 6.29% of covered payroll and the City contributed 9.44% of covered payroll, for a total rate of 15.73%. The City's contributions to IPERS for the year ended June 30, 2024 were $3,497,329. The City's share of the contributions, payable from the applicable funds of the City, is provided by a statutorily authorized annual levy of taxes without limit or restriction as to rate or amount. The City has always made its full required contributions to IPERS. At June 30, 2024, the City reported a liability of $19,005,162 for its proportionate share of the IPERS net pension liability. The net pension liability was measured as of June 30, 2023 and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The discount rate used to measure the total pension liability was 7%. The City's proportion of the net pension liability was based on the City's share of contributions to the pension plan relative to the contributions of all IPERS participating employers. While the City's contributions to IPERS are controlled by state law, there can be no assurance the City will not be required by changes in State law to increase its contribution requirement in the future, which may have the effect of negatively impacting the finances of the City. City of lows City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 114 In fiscal year 2024, pursuant to the MFPRSI's required rate, the City's employees (members) contributed 9.40% of earnable compensation and the City contributed 22.98% of eamable compensation, for a total rate of 32.38%. The City's contribution to MFPRSI for year ended June 30, 2024 was $2,958,187. The City's share of the contributions, payable from the applicable funds of the City, is provided by a statutorily authorized annual levy of taxes without limit or restriction as to rate or amount. The City has always made its full required contributions to MFPRSI. At June 30, 2024, the City reported a liability of $22,064,192 for its proportionate share of the MFPRSI net pension liability. The net pension liability was measured as of June 30, 2023 and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The discount rate used to measure the total pension liability was 7.5%. The City's proportion of the net pension liability was based on the City's share of contributions to the pension plan relative to the contributions of all MFPRSI participating employers. While the City's contributions to MFPRSI are controlled by state law, there can be no assurance the City will not be required by changes in State law to increase its contribution requirement in the future, which may have the effect of negatively impacting the finances of the City. Other Post -Employment Benefits (OPEB) The City operates a single -employer self -funded medical and dental plan for all employees, which is offered to current and retired employees and their dependents. Group insurance benefits are established under Iowa Code Chapter 509A.13. No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75. The following table shows the City's total OPEB liability: Total OPEB Liability Beginning of Year................:................... ............... $8,730,093 Changes for the year ServiceCost.......................................................................... 636,191 Interest.................................................................................. 378,025 Difference Between Expected and Actual Experience ........... (418,135) Changes in Assumptions....................................................... 627,644 Benefit Payments.................................................................. (430,651) NetChanges .... .................................................................................. :... 793,074 Total OPEB Liability End of Year.........................................:................. $9.523.167 The remainder of this page was left blank intentionally. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 115 FINANCIAL AND OPERATING REPORT FOR THE FISCAL YEAR JUNE 30, 2024 Relating to CITY OF IOWA CITY Johnson County, Iowa WATER SYSTEM REVENUE BASE CUSIP NO.462380 To the extent not included in the City's Financial Statements, all information the City of Iowa City has agreed to provide in its annual reports, as it relates to its outstanding water revenue, sewer revenue and urban renewal revenue debt is included in this report. Attached is additional information as required to be submitted under previous disclosure undertakings of the City. Pursuant to Securities and Exchange Commission Rule 15c2-12 City oflowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page116 WATER SYSTEM The Water Division is comprised of five parts: Administration, Treatment Plant, Customer Service, Distribution, and Public Information/Education. There are a total of 32 (FTE) employees who work in the Water Division. This division serves about 75,000 people and has over 28,000 customer water accounts. The average daily use for fiscal year 2024 was approximately 6.0 million gallons per day (MGD). A peak daily flow of 9.0 MGD was experienced in 2020. Water Sources: The primary source of water for the City is the alluvial aquifer collector wells along the Iowa River. Four collector wells can provide approximately 10 MGD. Additional sources include one Jordan aquifer wells which can provide 0.75 MGD; three Silurian aquifer wells which can provide 0.75 MGD; a sand pit that can provide 0.5 MGD; a river intake that can provide 3.8 MGD; for a total of approximately 15.3 MGD maximum available production and 16.7 MGD design maximum. Water Treatment Processes: The facilities include one treatment plant (constructed in 2003) located at 80 Stephen Atkins Drive. The plant is a surface water plant design that includes aeration, lime softening (coagulation/flocculation/sedimentation), and granular activated carbon filtration processes with fluoridation and free chlorination. The Grade IV Water Treatment Facility houses an operations team that performs over 230 water quality tests per day in-house and collects regulatory samples for testing at the State Hygienic Laboratory. This testing ensures that Iowa City's drinking water meets all IDNR and EPA Safe Drinking Water Act Standards. Distribution System: The water flows through approximately 285 miles of water mains and includes—28,000 service connections. The distribution piping consists of cast iron, ductile iron and plastic main that ranges in size from 2" to 30". The treatment plant site has effective water storage capacity of 2.0 million gallons of water; in addition, there are four remote ground storage reservoirs (with pumping stations) that add up to remote effective storage capacity of 7.0 million gallons of water. The water system also provides for fire protection with approximately 3,800 public and private hydrants located throughout the community. Billing and Collections: Customers are billed monthly on a combined utility statement which includes charges for sewer, water, solid waste, and curbside recycling. Under present City policy and City ordinances, utility bills are due when received but contain a delinquency date which provides 15 days for payment. If payment is not made in full within 22 days, a notice is mailed which allows 25 calendar days before service is disconnected. The City's bad debt write-offs have been less than 0.2% of gross revenues for the past three years. Water System Rates And Charges The following rates and charges were effective July 1, 2023. Water Service Charge Minimums(1) (Includes up to the first 100 cubic feet (c.f.)) Meter Size Meter Size Inches Charge Inches Charge 5/8" ...............:..... $ 8.52 2..................... $ 29.39 3/4" ..................... 9.31 3..................... 54.32 1"_ ....... ............ 10.96 4 ..................... 94.73 1 1 /2".................... 21.85 6..................... 190.62 Note: (1) Source: the City. Monthly Usage in excess of 100 Cubic Feet (c.f.)(1) 101 c.f. - 3,000 c.f...................$3.97 per 100 c.f. 3,001 c.f. and over..................$2.85 per 100 c.f. Note: (1) Source: the City City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page117 Single Purpose Meter Charges(]) First 100 c.f. .............. — ...... --- ... ...... Minimum Monthly Charge Usage in excess of 100 c.f.................. $3.97 per 100 c.f. Note: (1) Source: the City. Changes in water rates over the last ten fiscal years: Water Rate Changes(]) Fiscal Rate Year Change 2015 .................. ..... ...... ° 2016.......................... ° 2017.................................................... 0% 2018................................................... 0% 2019.................................................... 0% 2020 .................................................... 5 % 2021.................................................... 0% 2022............................................ 5% 2023. ................................................... 0% 2024 ..................... ............... .... ....... 4% Note: (1) Source: the City. SALES HISTORY AND WATER SYSTEM CHARGES(]) Fiscal Water Sales Water System Year Cubic Feet Sold(2) Charges 2015................................... 240,423,612.............................. $ 8,161,522 2016................................... 255, 524, 943 .............................. 8,758,683 2017........ ...... .........:....:.. 267,511,531 .............................. 9,156,005 2018................................... 293, 046, 636 .............................. 9,953,510 2019................................... 289, 055, 329 .............................. 10,139, 587 2020......:............................ 285,102,926 .............................. 10,705,168 2021- ......................_...._..... 237,035,139 .............................. 9,459, 987 2022................................... 237,722,261 .............................. 10,209, 841 2023................................... 249,812,176 .............................. 11,172,513 2024 .............................. . 246, 654, 877 .............................. 10, 739, 382 Notes: (1) Source: the City. (2) Beginning in March 2015 the amounts include unbilled usage. Water System Customers By Classification(])(2) Classification FY2021 FY2022 FY2023 FY2024 FY2025 Residential ............................. 27,266 28,029 27,521 27,521 25,750 Commercial ........................... 1,489 1,573 1,498 1,498 1,483 Industrial ................................ 15 17 15 15 16 Other(3)................................. 195 205 203 203 156 Irrigation Meters ..................... 0 0 0 0 2,405 Total Meters.... ..................... 28,965 29,824 29,237 29,237 29,810 Notes: (1) Source: the City. (2) Meter information above represents the number of meters customers billed as of December 31". (3) Other meters consist of schools, government, churches, and City meters. City of Iowa City, Johnson County, Iowa Fiscal Year 2024 Annual Financial and Operating Disclosure Page 118 Larger Water System Customers(]) Customer Name Proctor & Gamble .................................................... Veterans Administration Medical Center .................. Tailwind Iowa City LLC............................................ Graduate Hotel ...... :................................................. MercyHospital......................................................... Campus Apartments ................................................ Dominium JIT Sry ............................................ Rise at Riverfront Crossing....... ............. ................ Seville Apartments ................................................... Oaknoll Retirement Residence ................................. Total...................................................................... Total Water System Charges Note: (1) Source: the City Fiscal Year 2024 Charges Rank Percentage $ 697,783 1 6.50% 189,497 2 1.76% 88,513 3 0.82% 82,527 4 0.77% 79,859 5 0.74% 78,756 6 0.73% 62,832 7 0.59% 50,735 8 0.47% 46,396 9 0.43% 45,679 10 0.43% $ 1,422,577 13.24% $10.739,382 The remainder of this page was left blank intentionally. Item Number: IP3. a CITY OF IOWA CITY "QR T-4 COUNCIL ACTION REPORT January 23, 2025 Memo from Budget Management Analyst: Quarterly Financial Summary for Period Ending December 31, 2024 Attachments: Memo from Budget Management Analyst: Quarterly Financial Summary for Period Ending December 31, 2024.pdf CITY OF IOWA CITY ,��� MEMORANDUM Date: January 21,2025 To: City Manager, City Council From: Angie Ogden, Budget Management Analyst Re: Quarterly Financial Summary for Period Ending December 31, 2024 Introduction Attached to this memorandum are the City's quarterly financial reports as of December 31, 2024. The quarterly financial reports include combined summaries of all fund balances, revenues, and expenditures for fiscal year 2025 through the end of the second quarter, which is 50% of the way through the fiscal year. Below are some of the highlights from this quarter's financial activity. Revenue Analysis This revenue analysis pertains to the revenue reports, Revenues by Fund and Revenues by Type, on pages 4-6. In these two reports, the actual revenues would ideally be near 50% of budget since we have completed one-half of the fiscal year; however, due to accruals back to the previous year and quarter, many of these percentages are below 50%. Funds with budget anomalies on page 4 worth noting: ■ CDBG fund has actual revenues at 35.3% and HOME 7.7% due to timing of grant receipts. • Other Shared Revenue at 9.7% due timing of grant receipts. • Transit fund has actual revenues at 17.0% due to the timing of receipt for the federal operating grant. • Risk Management fund has actual revenues at 145.2% due to the entries made for loss reserve payments to intra-city charges. • Governmental Projects fund has revenues of 8.9% and Enterprise Projects fund has revenues of 2.5% due to timing of funding for CIP projects through grants and bond sales. On page 5, an example of revenue that is below the 50% mark due to accruals include Utility Franchise Taxes at 27.0% under Other City Taxes. This revenue source is received quarterly and had the first receipt during the fiscal year accrued back to last fiscal year. The report appears as if this revenue is behind budget projections; however, this revenue source is in line with last year. Other revenues on page 5 that are either above or below the 50% mark due to the timing of grants, 28E agreements or contributions receipts include Federal Intergovernmental Revenue at 13.2%, State 28E Agreements at 84.6%, Operating Grants at 121.5%, Other State Grants at 14.5% and Local 28E Agreements at 65.0%. Additionally, other revenues above or below 50% of budget include: • Interest Revenues at 319.8% due to higher interest allocations than expected. • Transit Fees at 0.0% due to fare free riding. The combined total actual revenues for all budgetary funds through December are $92,423,864 or 34.5% of budget. Overall, the City's revenues are not substantially different than projected, and the anomalies and budget variances can be explained. Expenditure Analysis This expenditure analysis pertains to the expenditure reports, Expenditures by Fund and Expenditures by Fund by Department on pages 7-9. The analysis of the City's expenditures for fiscal year 2025 through December is similar to the analysis for the City's revenues. We generally expect the actual expenditure levels to be around 50% of budget at this time of year. Some of the funds have expenditure activity through the second quarter that differs significantly from the 50% mark. The following funds have a significant expenditure variance above or below 50%: • Emergency Levy funds are at .1 % due to timing of grant payments. • Tax Increment Financing funds are at 8.0% due to the timing of rebate payments. • Debt Service Fund expenditures are at 8.8%, because the general obligation bond principal payments are not due until June 1. Housing Authority fund is at 60.6% due to an increase in landlord rents. • Governmental Projects expenditures are at 14.0% and Enterprise Projects expenditures are at 6.5% because many of the capital projects are scheduled for construction this spring. • Equipment fund is at 35.1 % due to the timing of equipment purchases and replacements. Overall, the combined total actual expenditures for all budgetary funds through December are $93,909,480 or 26.1% of budget. Overall, the City's expenditures through the second quarter have a few major anomalies; however, these can be explained and are not unusual. Conclusion Generally, there are no major concerns to report with the City's fund balances at December 31. There are a few funds presented (on page 3) with a negative fund balance, CDBG fund at -$156,866 and HOME at-$673,068. These negative fund balances should reverse following the receipt of grant proceeds. The other fund balances appear healthy. Additional information is available from the Finance Department upon request. City of Iowa City Fund Summary Fiscal Year 2025 through December 31, 2024 Beginning Ending Restricted, Unassigned Fund Year -to -Date Transfers Year -to -Date Transfers Fund Committed, Fund Balance Revenues In Expenditures Out Balance Assigned Balance BudgetarV Funds General Fund 10** General Fund $ 66,253,379 $ 33,927,329 $ 6,898,240 $ 35,068,376 $ 3,063,405 $ 68,947,167 $ 25,044,597 $ 43,902,570 Special Revenue Funds 2100 Community Dev Block Grant 332 439,583 - 476,256 120,425 (156,766) - (156,766) 2110 HOME (526) 236,226 - 908,768 - (673,068) - (673,068) 2200 Road Use Tax Fund 6,740,530 4,588,351 348,550 3,707,481 1,607,881 6,362.069 - 6,362,069 2300 Other Shared Revenue 3,545,052 69,441 - 2,757,739 - 856,754 - 856,754 2350 Metro Planning Org of J.C. 633,511 204,694 197,300 525,395 - 510,110 - 510,110 2400 Employee Benefits 3,577,051 8,112,115 - 832,051 7,112,100 3,745,016 - 3,745,016 2450 Emergency Levy Fund 1,192,635 3,852 - 250 - 1,196,237 - 1,196,237 2500 Affordable Housing Fund 7,372,091 186,205 515,000 553,310 - 7,519,986 - 7,519,986 2510 Peninsula Apartments 408,086 140,600 - 76,014 - 472,672 - 472,672 26** Tax Increment Financing 867,240 2.365,188 216,872 1,584,838 1,430,718 - 1,430,718 2820 SSMID-Downtown District - 363,856 - 321,146 - 42,710 - 42,710 Debt Service Fund 5*** Debt Service 7,487,853 6,419,723 1,542,059 1,208,883 - 14,240,753 - 14,240,753 Enterprise Funds 710* Parking 2,115,697 3,795,968 750,000 2,433,370 1,397,420 2,830,875 703,285 2,127,589 715* Mass Transit 13,531,551 1,350,09E 2,123,600 4,244,567 12,500 12,748,182 12,513,105 235,078 720* Wastewater 22,125,720 6,278,130 750,960 4,226,947 1,000,062 23,927,801 2,405,006 21,522,795 730* Water 15,771,221 5,943,200 1,184,772 5,752,763 1,431,126 15,715,303 6,031,240 9,684,063 7400 Refuse Collection 2,790,929 2,330.756 3,193 2,178,045 - 2,946,833 - 2,946,833 750* Landfill 22,508,794 4,319,197 507,993 2,945,211 263,085 24,127,688 19,728,040 4,399,648 7600 Airport 195,212 201,563 50,000 214,409 (3,536) 235,902 137,162 98,740 7700 Storm Water 1,677,134 858,962 550,431 274,134 670,000 2,142,394 1,023,215 1,119,178 79** Housing Authority 7,129,228 6,749,999 - 7,580,034 15,350 6,283,844 - 6,283,844 Capital Project Funds Governmental Projects 31,810,109 1,954,122 1,998,734 11,071,275 - 24,691,690 - 24,691,690 Enterprise Projects 21,723,840 1,584.704 853,823 6,336,184 - 17,826,183 - 17,826,183 Total Budgetary Funds $239,456,669 $ 92,423,863 $18,274,656 $ 93,909,480 $18.274,656 $237,971,053 $ 67,585.651 $170,385,402 Non -Budgetary Funds Internal Service Funds 810* Equipment $ 23,192,318 $ 4,379,068 $ - $ 3,433,884 $ - $ 24,137,503 $ 21,185,880 $ 2,951,623 8200 Risk Management 4,021,093 1,635,420 - 667,641 - 4,988,872 4,988,872 830* Information Technology 4,070,589 1,101,972 50,000 1,969,644 50,000 3,202,917 1,839,670 1,363,247 8400 Central Services 933,947 91,485 - 76,028 - 949,403 - 949,403 8500 Health Insurance Reserves 19,414,739 7,181,035 - 5,496,125 - 21,099,648 9,523,167 11,576,481 8600 Dental Insurance Reserves 597,941 234,738 - 194,904 - 637,776 - 637,776 Total Non -Budgetary Funds $ 52,230,627 $ 14,623,717 $ 50,000 $ 11,838,226 $ 50,000 $ 55,016,118 $ 32,548,717 $ 22,467,402 Total All Funds $291,687,296 $ 107,047,581 $18,324,656 $ 105,747,706 $18,324,656 $292,987,171 $100,134,367 $192,852,804 3 City of Iowa City Revenues by Fund Fiscal Year 2025 through December 31, 2024 2024 2025 2025 Actual Budget 2025 Revised Actual Variance Percent Budgetary Fund Revenues General Fund 10** General Fund $ 63,144,267 $ 62,533,285 $ 62,533,285 $ 33,927,329 $ (28,605,956) 54.3% Special Revenue Funds 2100 Community Dev Block Grant 928,673 886,567 1,244,400 439,583 (804,817) 35.3% 2110 HOME 455,291 721,492 3,061,650 236,226 (2,825,424) 7.7% 2200 Road Use Tax Fund 11,039,422 10,649,900 10,649,900 4,588.351 (6,061,549) 43.1% 2300 Other Shared Revenue 653,948 30,000 715,955 69,441 (646,514) 9.7% 2350 Metro Planning Org of Johnson Co 574,367 468,000 468,000 204,694 (263,306) 43.7% 2400 Employee Benefits 14,864,849 15,335,900 15,335,900 8,112,115 (7,223,785) 52.9% 2450 Emergency Levy Fund 874,504 9,200 9,200 3,852 (5,348) 41.9% 2500 Affordable Housing Fund 372,575 - - 186,205 186,205 0.0% 2510 Iowa City Property Management 252,224 226,575 226,575 140,600 (85,975) 62.1% 26** Tax Increment Financing 4,417,348 4,388,100 4,388,100 2,365,188 (2,022,912) 53.9% 2820 SSMIDs 661,438 677,000 677,000 363,856 (313,144) 53.7% Debt Service Fund 5*** Debt Service 11,716,728 11,988,600 11,988,600 6,419,723 (5,568,877) 53.5% Enterprise Funds 710* Parking 5,601,351 8,963,815 8,963,815 3,795,968 (5,167,847) 42.3% 715* Mass Transit 7,198,324 7,928,300 7,928,300 1,350,098 (6,578,202) 17.0% 720* Wastewater 13,901,646 13,353,500 13,353,500 6,278,130 (7,075,370) 47.0% 730* Water 12,734,762 12,250,200 12,250,200 5,943,200 (6,307,000) 48.5% 7400 Refuse Collection 5,167,200 5,142,300 5,142,300 2,330,756 (2,811,544) 45.3% 750* Landfill B,795,022 7,964,900 7,964,900 4,319,197 (3,645,703) 54.2% 7600 Airport 450,040 440,500 440,500 201,563 (238,937) 45.8% 7700 Storm Water 1,950,216 1,916,800 1,916,800 858,962 (1,057.838) 44.8% 79** Housing Authority 14,147,197 12,892,728 12,892,728 6,749,999 (6,142,729) 52.4% Capital Project Funds Governmental Projects 14,097,960 16,535,200 21,988,990 1,954,122 (20,034,868) 8.9% Enterprise Projects 2,335,250 28,650,000 63,759.935 1,584,704 (62,175,231) 2.5% Total Budgetary Revenues $ 196,334,603 $ 223,952,862 $ 267,900,533 $ 92,423,863 $ (175,476,670) 34.5% Non -Budgetary Fund Revenues Internal Service Funds 810* Equipment $ 8,814,965 $ 8,654,600 5 8,654,600 $ 4,379,068 $ (4,275,532) 50.6% 8200 Risk Management 1,803,542 $ 1,126,200 $ 1,126,200 $ 1,635,420 509,220 145.2% 830* Information Technology 3,020,650 $ 2,768,201 5 2,768,201 $ 1.101,972 (1,666,229) 39.8% 8400 Central Services 226,162 $ 143,800 $ 143,800 $ 91,485 (52,315) 63.6% 8500 Health Insurance Reserves 13,615,421 $ 14,353,600 5 14,353,600 $ 7.181,035 (7,172,565) 50.0% 8600 Dental Insurance Reserves 467,770 $ 463,100 5 463,100 $ 234,738 (228,362) 50.7% Total Non -Budgetary Revenues $ 27,948,510 $ 27,509,501 $ 27,509,501 $ 14,623,717 $ (12,885,784) 53.2% Total Revenues - All Funds $224,283,113 $251,462,363 $ 295,410,034 $107,047,581 $(188,362,453) 36.2% 4 City of Iowa City Revenues by Type Fiscal Year 2025 through December 31, 2024 2024 2025 2025 Actual Budget 2025 Revised Actual Variance Percent Budgetary Fund Revenues Property Taxes $ 66,225,551 $ 68,821,500 $ 68,821,500 $ 35,942,141 $ (32,879,359) 52.2% Other City Taxes: TIF Revenues 4,304,866 4,388,100 4,388,100 2,325,308 (2,062,792) 53.0% Gas/Electric Excise Taxes 748,119 656,400 656,400 362,846 (293,554) 55.3% Mobile Home Taxes 47,992 52,800 52,800 32,080 (20,720) 60.8% Hotel/Motel Taxes 2,043,186 1,750,400 1,750,400 1,047,177 (703,223) 59.8% Utility Franchise Tax 982,969 1,116.700 1,116,700 301.989 814,711 27.0% Subtotal 8,127,132 7,964,400 7,964,400 4,069,400 (3,895,000) 51.1% Licenses, Permits, & Fees: General Use Permits 99,282 107,080 107,080 14,783 (92,297) 13.8% Food & Liquor Licenses 126,923 116,700 116,700 59,510 (57,190) 51.0% Professional License 2,275 2,000 2,000 1,125 (875) 56.3% Franchise Fees 593,710 470,000 470,000 108,133 (361,867) 23.0% Construction Permits & Insp Fees 2,166,574 1,836,100 1,836,100 1,017,531 (818,569) 55.4% Misc Lic & Permits 55.391 61,000 61,000 27.587 33.413 45.2% Subtotal 3,044,155 2,592,880 2,592,880 1,228,669 (1,364,211) 47.4% Intergovernmental: Fed Intergovernmental Revenue 21,891,003 48,997,706 56,476,157 7,452,275 (49,023,882) 13.2% Property Tax Credits 1,674,917 1,404,500 1,404,500 310,924 (1,093,576) 22.1% Road Use Tax 10,560,120 10,500,000 10,500,000 4,563,542 (5,936,458) 43.5% State 28E Agreements 2,408,480 2,508,500 3,033,500 2,566,419 (467,081) 84.6% Operating Grants 68,697 54,000 54,000 65,627 11,627 121.5% Disaster Assistance 71,309 - - - - 0.0% Other State Grants 1,037,961 685,800 2,586,720 373,931 (2,212,789) 14.5% Local 28E Agreements 1,428.012 1.418.105 1,418 105 921,720 496,385 65.0% Subtotal 39,160,500 65,568,611 75.472,982 16,254,438 (59,218,544) 21.5% Charges For Fees And Services: Building & Development 663,935 478,850 478,850 205,323 (273,527) 42.9% Police Services 100,897 80,000 80,000 80,831 831 101.0% Animal Care Services 10,204 12,800 12,800 7,859 (4,941) 61.4% Fire Services 13,380 9,100 9,100 4,500 (4,600) 49.5% Transit Fees 64,504 - - - - #DIV/01 Culture & Recreation 659,725 644,100 644,100 308,650 (335,450) 47.9% Misc Charges For Services 75,150 67,500 67,500 29,896 (37,604) 44.3% Water Charges 11,003,126 11,084,600 11,084,600 5,090,017 (5,994,583) 45,9% Wastewater Charges 12,794,159 13,207,400 13,207,400 5,739,212 (7,468,188) 43.5% Refuse Charges 5,563,940 5,759,100 5,759,100 2,545,866 (3,213,234) 44.2% Landfill Charges 7,144,380 6,900,000 6,900,000 3,537,994 (3,362,006) 51.3% Storm Water Charges 1,885,926 1,900,000 1.900,000 821,250 (1,078,750) 43.2% Parking Charges 5,723.759 9,372,135 9,372 135 3 966,572 5,405,563 42.3% Subtotal 45,703,085 49,515,585 49,515,585 22,337,971 (27,177,614) 45.1% Miscellaneous: Code Enforcement 149,237 161,700 161,700 91,254 (70,446) 56.4% Parking Fines 684,633 817,000 817,000 458,089 (358,911) 56.1% Library Fines & Fees 780 1,000 1,000 259 (741) 25.9% Contributions & Donations 582,187 322,800 322,800 186,899 (135,901) 57.9% Printed Materials 21,173 17,300 17,300 11,803 (5,497) 68.2% Animal Adoption 61,514 60,500 60,500 34,120 (26,380) 56.4% Misc Merchandise 22,319 21,400 21,400 5,956 (15,444) 27.8% Intra-City Charges 6,215,701 6,782,100 6,782,100 3,360,278 (3,421,822) 49.5% Other Misc Revenue 1,317,856 866,801 2,645,411 727,828 (1,917,583) 27.5% Special Assessments 753 2,000 2.000 20 (1,980) 1.0% Subtotal $ 9,056,152 $ 9,052,601 $ 10,831,211 $ 4,876,505 $ (5,954,706) 45.0% 5 City of Iowa City Revenues by Type Fiscal Year 2025 through December 31, 2024 2024 2025 2025 Actual Budget 2025 Revised Actual Variance Percent Use Of Money And Property: Interest Revenues $ 10,128,915 $ 1,642,310 $ 1,642,310 $ 5,251,883 $ 3,609,573 319.8% Rents 1,603,520 1,529,075 1,529,075 726,395 (802,680) 47.5% Royalties & Commissions 107.306 121,000 121.000 69.920 51,080 57.8% Subtotal 11,839,741 3,292,385 3,292,385 6,048,197 2,755,812 183.7% Other Financial Sources: Debt Sales 11,616,402 16,350,000 48,614,690 905,087 (47,709,603) 1.9% Sale Of Assets 1,042,543 420,900 420,900 72,137 (348,763) 17.1% Loans 519,342 374,000 374,000 689,319 315,319 184.3% Subtotal 13,178,287 17,144,900 49,409,590 1,666,543 (47,743,047) 3.4% Total Budgetary Revenues $196,334,604 $ 223,952,862 $267,900,533 $ 92,423,864 (175,476,669) 34.5% Non -Budgetary Fund Revenues Internal Service Funds $ 27,948,510 $ 27,509,501 $ 27,509,501 $ 14,623,717 $ (12,885,784) 53.2% Total Non -Budgetary Revenues $ 27,948,510 $ 27,509,501 $ 27,509,501 $ 14,623,717 $ (12,885,784) 53.2% Total Revenues - All Funds $224,283,113 $ 251,462,363 $295,410.034 $107,047,581 $(188,362.453) 36.2% 6 City of Iowa City Expenditures by Fund Fiscal Year 2025 through December 31, 2024 Budgetary Fund Expenditures General Fund 10** General Fund Special Revenue Funds 2100 Community Dev Block Grant 2110 HOME 2200 Road Use Tax Fund 2300 Other Shared Revenue 2350 Metro Planning Org of Johnson Co. 2400 Employee Benefits 2450 Emergency Levy Fund 2500 Affordable Housing Fund 2510 Iowa City Property Management 26- Tax Increment Financing 2820 SSMIDs Debt Service Fund 5*** Debt Service Enterprise Funds 710* Parking 715* Mass Transit 720* Wastewater 730* Water 7400 Refuse Collection 750* Landfill 7600 Airport 7700 Storm Water 79** Housing Authority Capital Project Funds Governmental Projects Enterprise Projects Total Budgetary Expenditures Non -Budgetary Funds Expenditures Internal Service Funds 810* Equipment 8200 Risk Management 830* Information Technology 8400 Central Services 8500 Health Insurance Reserves 8600 Dental Insurance Reserves Total Non -Budgetary Expenditures Total Expenditures - All Funds 2024 2025 2025 2025 Actual Budget Revised Actual Variance Percent $ 71,436,486 $ 71,092,899 $ 80,698,298 $ 35,068,376 $ 45,629,922 43.5% 928,736 801,106 1,158,939 476,256 682,683 41.1% 455,862 588,371 2,928,529 908,768 2,019,761 31.0% 7,448,448 7,965,300 7,965,300 3,707,481 4,257,819 46.5% 970,786 123,700 4,288,607 2,757,739 1,530,868 64.3% 902,800 862,600 980,710 525,395 455,315 53.6% 1,739,908 1,146,925 1,146,925 832,051 314,874 72.5% 514,078 125,000 179,773 250 179,523 0.1% 1,400,194 1,030,000 1,030,000 553,310 476,690 53.7% 189,624 172,775 297,775 76,014 221,761 25.5% 2,161,320 2,727,000 2,727,000 216,872 2,510,128 8.0% 661,438 677,000 677,000 321,146 355,854 47.4% 13,189,955 13,787,740 13,787,740 1,208,883 12,578,857 8.8% 4,141,962 5,162,374 5,162,374 2,433,370 2,729,004 47.1% 9,882,655 11,955,550 12,077,550 4,244,567 7,832,983 35.1% 8,271,541 12,714,600 12,814,600 4,226,947 8,587,653 33.0% 10,590,605 10,356,952 10,770,053 5,752,763 5,017,290 53.4% 4,368,350 4,731,500 4,806,500 2,178,045 2,628,455 45.3% 6,085,972 6,079,450 6,134,503 2,945,211 3,189,292 48.0% 489,950 436,550 436,550 214,409 222,141 49.1% 623,916 681,900 681,900 274,134 407,766 40.2% 13,129,901 12,469,766 12,514,766 7,580,034 4,934,732 60.6% 20,533,547 41,047,794 79,353,654 11,071,275 68,282,379 14.0% 14,032,510 34,970,500 97,829,886 6,336,184 91,493,702 6.5% $194,150,542 $ 241,707,352 $360,448,932 $ 93,909,480 $266,539,452 26.1% $ 6,700,574 $ 7,894,700 $ 9,780,142 $ 3,433,884 $ 6,346,258 35.1% 2,043,847 1,320,700 1,320,700 667,641 653,059 50.6% 3,231,658 3,175,188 3,379,416 1,969,644 1,409,772 58.3% 170,690 218,900 237,452 76,028 161,424 32.0% 10,601,094 12,258,500 12,258,500 5,496,125 6,762.375 44.8% 399,145 410,200 410,200 194,904 215,296 47.5% $ 23,147,008 $ 25,278,188 $ 27,386,410 $ 11,838,226 $ 15,548,184 43.2% $217,297,550 $ 266,985.540 $387.835,342 $ 105,747,706 $ 282,087.636 27.3% 7 City of Iowa City Expenditures by Fund by Department Fiscal Year 2025 through December 31, 2024 2024 2025 2025 2025 Actual Budget Revised Actual Variance Percent Budgetary Funds Expenditures General Fund 10** General Fund City Council $ 181,634 $ 192,500 $ 192,500 $ 87,924 $ 104,576 45.7% City Clerk 633,423 636,705 636,705 271,013 365,692 42.6% City Attorney 942,326 965,048 1,015,048 465,710 549,338 45.9% City Manager 9,910,047 6,156,340 6,988,387 2,729,369 4,259,018 39.1% Finance 4,577,205 5,529,700 5,529,700 2,894,641 2,645,059 52.2% Police 16,522,474 17,809,695 18,172,854 8,082,116 10.090,738 44.5% Fire 9,879,949 11,178,075 11,180,088 5,134,731 6,045,357 45.9% Parks & Recreation 10,243,118 10,639,040 10,651,410 4,930,337 5,721,073 46.3% Library 7,561,093 7,887,900 7,887,900 3,782,986 4,104,914 48.0% Senior Center 1,067,416 1,147,250 1,165,750 505,850 659,900 43.4% Neighborhood & Development Services 6,013,348 4,868,346 13,172,656 4,408,468 8,764,188 33.5% Public Works 3,264,174 3,668,600 3,691,600 1,581,914 2,109,686 42.9% Transportation & Resource Management 6d0.280 413,700 413,700 203,316 210,384 49.1% Total General Fund 71,436,486 71,092,899 80,698,298 35,068,376 45,629,922 43.5% Special Revenue Funds 2100 Community Dev Block Grant Neighborhood & Development Services 928,736 801,106 1,158,939 476,256 682,683 41.1% 2110 HOME Neighborhood & Development Services 455,862 588,371 2,928,529 908,768 2,019,761 31.0% 2200 Road Use Tax Fund Public Works 7,448,448 7,965,300 7,965,300 3,707,481 4,257,819 46.5% 2300 Other Shared Revenue Neighborhood & Development Services 970,786 123,700 4,288,607 2,757,739 1,530,868 64.3% 2350 Metro Planning Org of Johnson Cc Neighborhood & Development Services 902,800 862,600 980,710 525,395 455.315 53.6% 2400 Employee Benefits Finance 1,739,908 1,146,925 1,146,925 832,051 314,874 72.5% 2450 Emergency Levy Fund City Manager 514,078 125,000 179,773 250 179,523 0.1% 2500 Affordable Housing Fund Neighborhood & Development Services 1,400,194 1,030,000 1,030,000 553,310 476,690 53.7% 2510 Iowa City Property Management Neighborhood & Development Services 189,624 172,775 297,775 76,014 221,761 25.5% 26** Tax Increment Financing Finance 2,161,320 2.727,000 2,727,000 216,872 2,510,128 8.0% 2820 SSMIDs Finance 661,438 677,000 677,000 321,146 355,854 47.4% Total Special Revenue Funds 17,373,193 16,219,777 23,380,558 10,375,282 13,005,276 44.4% Debt Service Fund 5*** Debt Service Finance 13.189.955 13.787.740 13,787,740 1.208.883 12.578,857 8.8% Total Debt Service Fund 13,189,955 13,787,740 13,787,740 1,208,883 12,578,857 8.8% 8 City of Iowa City Expenditures by Fund by Department Fiscal Year 2025 through December 31, 2024 2024 2025 2025 2025 Actual Budget Revised Actual Variance Percent Enterprise Funds 710* Parking Transportation & Resource Management $ 4,141,962 $ 5,162,374 $ 5,162,374 $ 2,433,370 $ 2,729,004 47.1% 715* Mass Transit Transportation & Resource Management 9,882,655 11,955,550 12,077,550 4,244,567 7,832,983 35.1% 720* Wastewater Public Works 8,271,541 12,714,600 12,814,600 4,226,947 8.587,653 33.0% 730* Water Public Works 10,590,605 10,356,952 10,770,053 5,752,763 5,017,290 53.4% 7400 Refuse Collection Transportation & Resource Management 4,368,350 4,731,500 4,806,500 2,178,045 2,628,455 45.3% 750* Landfill Transportation & Resource Management 6,085,972 6,079,450 6,134,503 2,945,211 3.189,292 48.0% 7600 Airport Airport Operations 489,950 436,550 436,550 214,409 222,141 49.1% 7700 Storm Water Public Works 623,916 681,900 681,900 274,134 407,766 40.2% 79** Housing Authority Neighborhood & Development Services 13,129,901 12,469,766 12,514,766 7.580,034 4,934.732 60.6% Total Enterprise Funds 57,584,852 64,588,642 65,398,796 29,849,480 35,549,316 45.6% Capital Project Funds Governmental Projects 20,533,547 41,047,794 79,353,654 11,071,275 68,282,379 14.0% Enterprise Projects 14,032,510 34,970,500 97,829,886 6,336,184 91,493,702 6.5% Total Capital Project Funds 34,566,057 76,018.294 177,183,540 17,407,459 159,776,081 9.8% Total Budgetary Expenditures $194,150,542 $241,707,352 $360,448,932 $ 93,909,480 $ 266,539,452 26.1% Nan -Budgetary Funds Expenditures Internal Service Funds 810* Equipment Public Works $ 6,700,574 S 7,894,700 S 9,780,142 $ 3,433,884 $ 6,346,258 35.1% 8200 Risk Management Finance 2,043,847 1,320,700 1,320,700 667,641 653,059 50.6% 830* Information Technology Finance 3,231,658 3,175,188 3,379,416 1,969,644 1.409,772 58.3% 8400 Central Services Finance 170,690 218,900 237,452 76,028 161,424 32.0% 8500 Health Insurance Reserves Finance 10,601,094 12,258,500 12,258,500 5,496,125 6,762,375 44.8% 8600 Dental Insurance Reserves Finance 399,145 410,200 410,200 194,904 215,296 47.5% Total Internal Service Funds 23,147,008 25,278,188 27,386,410 11,838,226 15.548,184 43.2% Total Non -Budgetary Expenditures $ 23,147,008 $ 25,278,188 $ 27,386.410 $ 11,838.226 $ 15.548.184 43.2% Total Expenditures - All Funds $217,297,550 $ 266,985,540 $387,835,342 $ 105,747,706 $ 282,087,636 27.3% 9 Item Number: IP4. a CITY OF IOWA CITY "QF T-4 COUNCIL ACTION REPORT January 23, 2025 Media Release: Primary Election for City Council District C Attachments: Media Release: Primary Election for City Council District C Kellie Grace From: City of Iowa City: Do Not Reply<CityoflowaCity@public.govdelivery.com> Sent: Wednesday, January 22, 2025 11:02 AM To: Kellie Grace Subject: Primary election for City Council District C coming Feb. 4, 2025 SHRRE Having trouble viewing this email? View it as a Web pace . cty°� 10WACITY FOR IMMEDIATE RELEASE Date: 01 /22/2025 Contact: Kellie Grace, City Clerk Phone: 319-356-5041 Primary election for City Council District C coming Feb. 4, 2025 A primary will be held Tuesday, Feb. 4, 2025, for the District C vacancy on City Council. Only residents who reside in District C will be able to vote. Three candidates are seeking to complete the term of former Council Member Andrew Dunn, who resigned in December 2024. The two candidates receiving the most votes will face each other in a special election on Tuesday, March 4, 2025. The candidate elected will serve the remainder of Councilor Dunn's term, through the end of 2027. To learn more about the candidates, visit the Johnson Cou_nty_Auditor's website. Only District C residents will be able to vote in the primary. To see a high -resolution map of the Council District, visit our online rap. Precincts that will be open are: 3, 4, 5, 11, 19, 20, 21, 22, 25. To enter your address and find your precinct, visit, visit the Auditor's website. All Iowa City voters will be able to vote in the March 4 special election for the vacant council seat. For any questions about voting, please contact the Johnson County Auditor's Office at 319-356- 6004. �r L Questions? Contact Us CITY OF 10WA CITY uh4SCOCITYWtIT(Il STAY CONNECTED: x SUBSCRIBER SERVICES: Manage Preferences I Unsubscribe I Help This email was sent to kgrace@iowa-city org using GovDelivery Communications Cloud on behalf of: City of lip Iowa City 410 E Washington Street Iowa City, IA 52240 90VDELIVERY Item Number: IP5. a CITY OF IOWA CITY "QR T-4 COUNCIL ACTION REPORT January 23, 2025 Library Board of Trustees: December 19 Attachments: Library Board of Trustees: December 19 Iowa City Public Library Board of Trustees Meeting Minutes December 19, 2024 2nd Floor — Boardroom Regular Meeting - 5:00 PM Tom Rocklin - President Bonnie Boothroy Robin Paetzold DJ Johnk — Vice President Joseph Massa John Raeburn Hannah Shultz -Secretary Claire Matthews Dan Stevenson Members Present: Bonnie Boothroy, Joseph Massa, John Raeburn, Tom Rocklin, Hannah Shultz, Dan Stevenson. Members Absent: DJ Johnk, Claire Matthews, Robin Paetzold. Staff Present: Elsworth Carman, Sam Helmick, Anne Mangano, Brent Palmer, Jason Paulios, Angie Pilkington, Katie Roche, Jen Royer. Guests Present: None. Call Meeting to Order. Rocklin called the meeting to order at 5:03 PM. A quorum was present. Approval of December 19, 2024 Board Meeting Agenda. Shultz made a motion to approve the December 19, 2024 Board Meeting Agenda. Boothroy seconded. Motion passed 6/0. Public Discussion. None. Items to be Discussed. Policy Review: 501 Authority for Administration of Personnel Policies for Library Employees. Rocklin said this policy helps explain the relationship between the Library and the City. Massa made a motion to approve Policy 501: Authority for Administration of Personnel Policies for Library Employees. Raeburn seconded. Motion passed 6/0. Policy Review: 103 Membership in Professional Organizations. Carman noted that Rocklin identified Greater Iowa City should have "Inc.". Shultz noted the library pays for half of memberships and asked if it was a budget decision. Royer said it was tied to budget and policy history. Carman said depending on the year staff could outpace the budget. There was discussion about how the University of Iowa pays for professional memberships. Massa made a motion to approve the proposed changes to Policy 103 Membership in Professional Organizations. Shultz seconded. Motion passed 6/0. If you will need disability -related accommodations in order to participate in this meeting, please contact Jen Royer, Iowa City Public Library, at 319-887-6003 or Jennifer-roger@icpLorg. Early requests are strongly encouraged to allow sufficient time to meet your access needs. Review: FY25 Holiday Calendar. Rocklin noted the request to close early on February 20, 2025. Carman said this would be an opportunity for training with other corridor library staff. The training begins with a keynote presentation in the morning and breakout sessions in the afternoon for staff collaboration that do similar work. Carman said the Iowa Library Association (ILA) conference is the only time these groups regularly get together. Carman said there is cross -over in regional library work, and it would be nice to get the different groups together. All participating libraries will contribute financially to the event and Cedar Rapids Public Library will provide the facility. Carman said staff who attend the training will be offsite all day and asked to close the library early at 6 pm so public service point shifts can be consolidated. Rocklin asked how many staff members would attend. Carman said 20-23. Carman noted ICPL is the only library in the corridor not closing for the day; Carman felt keeping some service in the region available was important. Carman polled staff for their interest in attending the optional training and there were a number who preferred to work at ICPL. Stevenson thought this was great and would love to have a similar opportunity in his own profession. Carman said depending on how it goes he may ask again next year. Raeburn asked if other libraries are closed for President's Day and noted ICPL does not. Mangano said it was an AFSCME change. The library used to have holiday hours on President's Day and when Juneteenth was adopted, they opted to not have them. Boothroy said regional collaboration is a great idea and she liked the solution to keep the library open for part of the day. Boothroy shared she supported it. Stevenson made a motion to approve the FY25 Holiday Calendar. Shultz seconded. Motion passed 6/0. Staff Reports. Director's Report. Carman shared InService Day was a positive and successful event. Carman thanked the trustees who attended and noted staff did a great job staying engaged. Carman said it is a meaningful opportunity to learn together. Carman noted his report highlighted post -holiday tech help and mentioned that the library does tech support all the time, and library staff are tremendously patient and knowledgeable in the Digital Media Lab, and all service points. Carman noted the Public Libraries of Johnson County Legislator Reception went well. The legislators who came are supporters of libraries and were curious to learn more. Carman said it is always a good experience to share library work being done and is good practice in engaging with legislators. Carman shared next year it will be hosted by the Iowa City Public Library. Boothroy asked if legislators identified any issues they anticipate coming up in regards to library services or libraries. Carman shared this was discussed and there was assumption that some of the failed legislation from the last session will be brought back. Carman said that tax reform is on everyone's mind and the impact it will have on municipal budgets, and then within that to libraries. Carman said the intersection of those dollars going down and further legislation against library service will create a very different environment for library services in Iowa. Departmental Reports: Children's Services. Pilkington thanked Johnk for a tote of trains and tracks, and shared it was a big hit. Collection Services. Mangano shared the Adventure Pass program is suspended and the State Library is searching for an alternative reservation system. Rocklin asked if it is a selection question. Mangano If you will need disability -related accommodations in order to participate in this meeting, please contact Jen Royer, Iowa City Public Library, of 319-887-6003 oriennifer-royerCulicptarg Early requests are strongly encouraged to allow sufficient time to meet your access needs. agreed. IT. None. Development Report. Roche gave a fundraising update. At the time of the January Board report release $36,000 had been raised, since then $53,000 of the $85,000 had been raised. Roche said the number of new donors has expanded. Roche said her team has been trying to reactivate donors who haven't donated since 2017 and many are returning. Rocklin shared he recently heard that about 20% of new donors give again in the next year and asked what things make donors more likely to give again the next year. Roche said thanking them and making sure they get their tax letter in a timely way. Roche said the donor list has been divided into tiers for additional contact with donors. President's Report. Rocklin shared that he attended InService Day and it was impressive. Rocklin said staff were highly engaged. Announcements from Members. None. Committee Reports. Advocacy Committee. None. Finance Committee. None. Foundation Members. None. Communications. News Articles. None. Consent Agenda. Boothroy made a motion to approve the Consent Agenda. Shultz seconded. Motion passed 6/0. Set Agenda Order for January Meeting. Rocklin said the January meeting will review the strategic plan update, 2"d quarter finances and statistics, and departmental reports. In February the Library Director evaluation will be held. Adjournment. Rocklin adjourned the meeting at 5:23 pm. Respectfully submitted, Jen Royer If you will need disability -related accommodations in order to participate in this meeting, please contact Jen Royer, Iowa City Public Library, at 379-887-6003 or ienniier-ryer@irpLora. Early requests are strongly encouraged to allow sufficient time to meet your access needs. 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