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HomeMy WebLinkAbout2025-06-03 ResolutionItem Number: 5.c. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution approving applications for retail tobacco, tobacco products, alternative nicotine products, vapor products, and device retailer permits, as required by Iowa Code 453A.47A and Iowa Code 453E.3. Staff Recommendation: Approval Attachments: Resolution 2026 Renewals Executive Summary: Pursuant to Iowa Code §453A.47A, a retail permit is required to sell tobacco, tobacco products, alternative nicotine products, or vapor products at any place of business or through delivery sales. All permits provided for in Iowa Code §453A.47A expire on June 30 of each year and require payment of the applicable fee established in Iowa Code §453A.47A(7). The Iowa Department of Revenue implements the retail permit requirements of Iowa Code §453A.47A. The City Clerk's Office issues all permits for retailers located within city limits. As part of the retail permit process, the Iowa Department of Revenue requires applications be approved by the City Council once the City receives the completed application and the appropriate fee is paid. Background / Analysis: During the 2024 legislative session, the Iowa legislature enacted Iowa Code §453E.3, which regulates and taxes the sale of devices effective January 1, 2025. Per the legislation, a "device" is defined as any equipment or product, made in whole or in part of glass or metal, that is designed for use in inhaling through combustion tobacco, hemp, other plant materials, or a controlled substance. A device retailer shall only display and sell devices in a location of a retail outlet where the device retailer ensures that the devices are not visible to a person younger than twenty-one years of age and where no person younger than twenty-one years of age is present or permitted to enter at any time. Based on this legislation, we have included 'device' in the permit approval resolution and will indicate the permit type for which each business has applied. Prepared by: Wendy Mayer, License Specialist, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5042 Resolution Number: 25-130 Resolution approving applications for retail tobacco, tobacco products, alternative nicotine products, vapor products, and device retailer permits, as required by Iowa Code 453A.47A and Iowa Code 453E.3. Whereas, applications for Tobacco/Tobacco Products/Alternative Nicotine Products/ Vapor Products/Device Retail permits have been submitted and filed with the City Clerk; and Whereas, the applicants have filed the proper application and fees as required by the Iowa Department of Revenue; and Whereas, applications are presented to City Council for approval. Now, Therefore, be it Resolved by The City Council of Iowa City, Iowa, That: Section 1. The City Clerk is hereby authorized and directed to issue a permit to the following named applicants and locations to sell the following products: Effective from: July 1, 2025 to June 30, 2026. Business Name Business Address Permit Type See Attached Tobacco and Device Permits Passed and approved this 3rd day of yor Attest: G C_e� City Clerk 2025 Approved by City Attornp 's Office - 05/29/2025 Resolution No. 25-130 Page No. 2 It was moved by MOe , and seconded by Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih x Teague x Weilein Salih — that the Tobacco Retail Permit ALMOST PARADISE Device Retailer Permit ALMOST PARADISE Device Retailer Permit ALMOST PARADISE MINI Tobacco Retail Permit ALMOST PARADISE MINI Tobacco Retail Permit AL-SALAM INTERNATIONAL FOODS Tobacco Retail Permit CASEY'S #2761 Tobacco Retail Permit CASEY'S #2781 Tobacco Retail Permit CASEY'S #3322 Tobacco Retail Permit CASEY'S #3858 Tobacco Retail Permit CASEY'S #4367 Tobacco Retail Permit CASEY'S #4369 Tobacco Retail Permit CASEY'S #4589 Tobacco Retail Permit CITY LIQUOR Tobacco Retail Permit CLUB CAR Tobacco Retail Permit CROWN LIQUOR Tobacco Retail Permit DEADWOOD Tobacco Retail Permit DOLLAR GENERAL #8137 Tobacco Retail Permit ESSENTIALS VAPE AND SMOKE SHOP Tobacco Retail Permit EVERGREEN SMOKE SHOP Tobacco Retail Permit FAREWAY #34 Tobacco Retail Permit FAREWAY #950 Tobacco Retail Permit FAST BREAK Tobacco Retail Permit GM MART Tobacco Retail Permit HARTIG DRUG #10 Tobacco Retail Permit HAWKEYE LIQUOR & TOBACCO Tobacco Retail Permit HAWKEYE SMOKE & LIQUOR Tobacco Retail Permit HAWKS MIGHTY MART Tobacco Retail Permit HY-VEE DRUGSTORE Tobacco Retail Permit HY-VEE FAST & FRESH 1 Tobacco Retail Permit HY-VEE FAST & FRESH 3 Tobacco Retail Permit HY-VEE FOOD STORE 1 Tobacco Retail Permit HY-VEE FOOD STORE 2 Tobacco Retail Permit HY-VEE FOOD STORE 3 Device Retailer Permit IOWA SMOKE TIME VAPOR SHOP 355 S LINN ST. IOWA CITY IA 52240-1761 355 S LINN ST. IOWA CITY IA 52240-1761 125 S. DUBUQUE ST. IOWA CITY IA 52240-4000 125 S. DUBUQUE ST. IOWA CITY IA 52240-4000 787 MORMON TREK IOWA CITY IA 52246 204 N DUBUQUE ST IOWA CITY IA 52245-1713 1410 WILLOW CREEK CT IOWA CITY IA 52246-4237 1904 BROADWAY ST IOWA CITY IA 52240-7001 370 SCOTT CT IOWA CITY IA 52245-3951 2410 MORMON TREK BLVD IOWA CITY IA 52246-4312 206 E BENTON ST IOWA CITY IA 52240-4705 2790 N DODGE ST IOWA CITY IA 52245-8309 425 S GILBERT ST IOWA CITY IA 52240-4918 122 WRIGHT ST IOWA CITY IA 52240-4235 19 HIGHWAY 1 W IOWA CITY IA 52246-4243 6 S DUBUQUE ST IOWA CITY IA 52245 41 HWY 1 WEST IOWA CITY IA 52246-4243 560 HIGHWAY 1 W IOWA CITY IA 52246-4216 1661 S 1ST AVE IOWA CITY IA 52240-6046 2765 COMMERCE DR IOWA CITY IA 52240-7241 2530 WESTWINDS DR IOWA CITY IA 52246-4031 2580 NAPLES AVENUE IOWA CITY IA 52240 2601 HIGHWAY 6 E IOWA CITY IA 52240-2611 701 MORMON TREK BLVD IOWA CITY IA 52246-1812 601 HOLLYWOOD BLVD STE 1 IOWA CITY IA 52240-4481 108 E COLLEGE ST IOWA CITY IA 52240-4001 504 E BURLINGTON ST IOWA CITY IA 52240-1902 310 N FIRST AVE IOWA CITY IA 52245 250 STEVENS DRIVE IOWA CITY IA 52240 1103 NORTH DODGE ST IOWA CITY IA 52245 1720 WATERFRONT DR IOWA CITY IA 52240 812 S FIRST AVE IOWA CITY IA 52245 1125 NORTH DODGE ST IOWA CITY IA 52245 220 E WASHINGTON ST IOWA CITY IA 52240 Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Tobacco Retail Permit Device Retailer Permit Tobacco Retail Permit Device Retailer Permit IOWA SMOKE TIME VAPOR SHOP J & S EXPRESS JOE'S PLACE JOHN'S GROCERY L.L.C. KIRKWOOD LIQUOR & TOBACCO KUM & GO #0051 KUM & GO #3502 KUM & GO #3504 KUM & GO #422 KWIK SPIRITS 537 KWIK STAR 1142 L&M MIGHTY SHOP LIQUOR DOWNTOWN NORTH DODGE AMOCO RJZ EXPRESS SOUTHSIDE LIQUOR & TOBACCO THE KONNEXION 220 E WASHINGTON ST IOWA CITY IA 52240 2221 ROCHESTER AVE IOWA CITY IA 52245-3506 115 IOWA AVE IOWA CITY IA 52240-3905 401 E MARKET ST IOWA CITY IA 52245 300 KIRKWOOD AVE IOWA CITY IA 52240-4721 323 E BURLINGTON ST IOWA CITY IA 52240-1606 2303 MUSCATINE IOWA CITY IA 52240 1310 GILBERT ST IOWA CITY IA 52240 731 S RIVERSIDE DR IOWA CITY IA 52246-5610 923 S RIVERSIDE DR IOWA CITY IA 52246 1907 KEOKUK ST IOWA CITY IA 52240 504 E BURLINGTON ST IOWA CITY IA 52240-1902 315 S GILBERT ST IOWA CITY IA 52240-1634 2153 ACT CIR IOWA CITY IA 52245-9581 2 ESCORT LN IOWA CITY IA 52240-8628 1921 KEOKUK ST IOWA CITY 52240 106 S LINN ST IOWA CITY IA 52240-1802 THE SMOKIN OUTLET TOBACCO AND VAPOR -c221-223 S GILBERT ST IOWA CITY IA 52240 Tobacco Retail Permit THE SMOKIN OUTLET TOBACCO AND VAPOR -S221-223 S GILBERT ST IOWA CITY IA 52240 Tobacco Retail Permit TOP SHELF LIQUOR 412 HIGHWAY 1 W IOWA CITY 52246 Tobacco Retail Permit UP IN SMOKE 208 N LINN ST IOWA CITY IA 52245-2149 Device Retailer Permit UP IN SMOKE 1901 BROADWAY ST STE 1 IOWA CITY IA 52240-7086 Tobacco Retail Permit UP IN SMOKE 1901 BROADWAY ST STE 1 IOWA CITY IA 52240-7086 Device Retailer Permit UP IN SMOKE 208 N LINN ST IOWA CITY IA 52245-2149 Tobacco Retail Permit URBAN FUEL EXPRESS 2580 MOSS RIDGE RD IOWA CITY IA 52245-9286 Tobacco Retail Permit WALGREENS #507 2214 MUSCATINE AVE IOWA CITY IA 52240-6600 Tobacco Retail Permit WAL-MART STORE #1721 919 HIGHWAY 1 W IOWA CITY IA 52246 Item Number: 6.a. a CITY OF IOWA CITY "QR T-4 COUNCIL ACTION REPORT June 3, 2025 Motion to approve disbursements in the amount of $13,720,052.90 for the period of April 1 through April 30, 2025, as recommended by the Finance Director subject to audit. Disbursements are published and permanently retained in the City Clerk's office in accordance with State. Item Number: 6.b. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution amending the By -Laws of the Housing and Community Development Commission and rescinding Resolution No. 22-214. Prepared By: Susan Dulek, First Ass't City Attorney Reviewed By: Geoff Fruin, City Manager Kellie Grace, City Clerk Brianna Thul, Senior Community Development Planner Fiscal Impact: none Staff Recommendation: Approval Commission Recommendations: HCDC approved Council Rules Committee approved Attachments: HCDC Draft Amendment Redlined HCDC 4.21.25 minutes 2025-05-08 Rules Committee minutes Resolution HCDC Bylaws Executive Summary: The by-laws of the Housing and Community Development Commission (HCDC) provide for a 9 member commission. Occasionally HCDC has not been able to meet because there were only 4 members present and a quorum is 5. The average attendance through the last 4 years has been 6. Currently there are 2 vacancies on HCDC . HCDC approved amendments to the by-laws to decrease membership from 9 to 7, and the Council Rules Committee has reviewed the proposed amendments and recommended adoption. Background / Analysis: Staff will present to Council a resolution at the June 17 meeting to stagger the terms. With a 9-member Board, 3 persons have been appointed to serve 3-year terms beginning July 1 each year. Staff discussed staggering the terms with HCDC and will be presenting to Council a recommendation for the terms to be staggered such that 3 terms expire in one year, 2 expire another year, and 2 in the third year. BY-LAWS /ANI[an no1amID[KD]075I075I=[$]aI Section A. The name of the Commission is the Housing and Community Development Commission of Iowa City, Iowa, as established by Resolution No. 95-199 of the City Council of Iowa City, Iowa, pursuant to Chapter 403A, Code of Iowa (1995). ARTICLE 2 PURPOSE Section A. The purpose of the Commission is to assess Iowa City's community development needs for housing, jobs, and services for low and moderate income residents, and to promote public and private efforts to meet such needs. ARTICLE 3 DUTIES Section A. Duties of the Commission shall include: 1) assess and review policies and planning documents related to the provision of housing, jobs, and services, for low and moderate income residents of Iowa City; 2) review policies and programs of the Publie Iowa City Housing Authority and Community Development Division and make recommendations regarding the same to the City Council; 3) review and make recommendations to the City Council regarding the use of public funds to meet the needs of low and moderate income residents; 4) actively publicize community development and housing policies and programs, and seek public participation in assessing needs and identifying strategies to meet these needs; 5) recommend to the City Council from time to time amendments, supplements, changes, and modifications to the Iowa City Housing Code. ARTICLE 4 MEMBERSHIP Section A. The Housing and Community Development Commission shall consist of e-seven (97) members appointed by the City Council of Iowa City. All members shall be qualified electors of the City of Iowa City, Iowa, and shall serve as such without compensation but shall be entitled to the necessary expenses, including traveling expenses incurred in the discharge of their duties. Section B. In order to satisfy the purpose and intent of this commission, when possible, at least one person shall be appointed to the Housing and Community Development Commission with expertise in construction, at least one person with expertise in finance, at least one person with nonprofit management experience, and at least one person with property management experience. In addition, when possible, the Commission shall include one person who receives rental assistance. Appointments shall take into consideration persons of various racial, religious, cultural, social, and economic groups in the city. Section C. The term of office for each member shall be three (3) years except as set forth in Resolution No. 24-per to ensure a staggered turnover when transitioning from nine (9) members to seven (7) members in 2025., imiti ' appointments shall be three (3) ,ti,o,ti,bers for- e6h vrrnie, two, -and rthree years ri�p cvcry cry. Section D. The Chairperson and Vice -Chairperson will be elected annually (in July) from the Commission membership. The Chairperson shall, when present, preside at all meetings, appoint sub -committees with the approval of the Commission, call special meetings and in general perform all duties included in the office of a Chairperson and such other duties as may be prescribed by the members from time to time. The Vice -Chairperson shall take over the above duties of the Chairperson in the event of the Chairperson's absence. Section E. Three (3) consecutive, unexplained absences of a member from regular meetings will result in a recommendation to the City Council from the Commission to discharge said member and appoint a new member. Section F. If a position becomes vacant by reason of resignation or otherwise and results in an unexpired term the Council may choose to fill the unexpired term in such a manner that the appointee shall continue in the position not only through the unexpired term but also through a subsequent regular term. IAG��[fJp�.f�l�l��l�[f�sl Section A. Meetings of this Commission shall be on a regular monthly basis. A meeting date and time will be established by the Commission. A regular meeting may be cancelled if no urgent business requires a meeting. Section B. Special meetings of the Commission may be called by the Chairperson and shall be called by the Chairperson at the request of a majority of the membership. Section C. Meetings shall be held in an accessible, public meeting place. Notices of meetings (agenda) for all regular and special meetings shall be posted and distributed to members and the media at least 24 hours before any meeting is held. All provisions of the State Open Meetings Law shall be followed. The Chairperson or a designated representative, together with appropriate members of the City staff shall prepare an agenda for all meetings. Agendas shall be sen4 mailed or emailed to Commission members at least three (3) days prior to the regular meetings. Section D. A majority of the members of the Commission (four or more) shall constitute a quorum of any meeting and the majority of votes cast at any meeting, at which a quorum is present, shall be decisive of any motion or election. Section E. There shall be no vote by proxy. Section F. Time shall be made available during all regular meetings for open public discussion. Section G. Minutes of all meetings shall be prepared and distributed to the City Council within three (3) weeks of the meeting in the manner prescribed by the Council. Minutes of all regular and special meetings will be mailed or emailed to all the Commission members during the week prior to the next meeting. Specific recommendations for the Council shall be set off from the main body of the minutes. ARTICLE 6 AMENDMENTS Section A. The By -Laws of the Commission shall be amended only with the approval of at least a majority of the Commission (at least five -four votes) at a regular meeting or a special meeting. Section B. Policy changes or By -Law changes may be adopted at the meeting following the meeting at which open discussion was conducted on the specific changes. Approved in Resolution No. 25- MINUTES HOUSING AND COMMUNITY DEVELOPMENT COMMISSION APRIL 21, 2025 — 6:30 PM FORMAL MEETING E M M A J. HARVAT HALL, CITY HALL DRAFT MEMBERS PRESENT: Horacio Borgen (via zoom), Maryann Dennis, Amos Kiche, George Kivarkis, Kyle Vogel MEMBERS ABSENT: Daouda Balde, Karol Krotz STAFF PRESENT: Sue Dulek, Erika Kubly, Brianna Thul OTHERS PRESENT: None RECOMMENDATIONS TO CITY COUNCIL: By a vote of 5-0 the Commission recommends that City Council approve the proposed change to the by- laws to change from a nine -person Commission to a seven -person Commission. By a vote of 5-0 the Commission recommends that a staggered 2-2-3 appointment schedule for the Commission beginning in 2025. By a vote of 5-0 the Commission recommends that City Council discharge Daouda Balde from the HCDC. CALL MEETING TO ORDER: Vogel called the meeting to order at 6:30 PM. CONSIDERATION OF MEETING MINUTES: MARCH 24, 2025: Dennis moved to approve the minutes of March 24, 2025. Kiche seconded the motion. A vote was taken and the minutes were approved 5-0. PUBLIC COMMENT FOR TOPICS NOT ON THE AGENDA: None. CONSIDER A RECOMMENDATION TO AMEND THE HCDC BY-LAWS: Vogel explained that at the last meeting the Commission discussed the reasoning for changing the membership and stated tonight was another prime example where they could not get the number of members present needed to have a quorum. Luckily, Borgen was able to join by Zoom. Also, currently there are only seven active members and there's two vacancies. Dulek provided an overview of the memo in the packet and noted the Commission doesn't have to make a recommendation as to the how they move to a seven member group, but they can provide their input for City Council. She also suggests that they consider staggering the membership. Currently there are three members with terms that will end in 2025, one member's term that will end in 2026, as well as the two vacancies right now would be for terms expiring in 2026. Dulek noted that Commissioner Kiche's term has already been renewed to the end of 2028 so if the Commission wants just two terms to expire in 2028, they would have only one open vacancy to start this summer because Commissioner Kiche is Housing and Community Development Commission April 21, 2025 Page 2 of 5 already appointed to serve through 2028. The Commission also plans to discuss potential discharge of a current Commissioner on the next item and that would change the number of available vacancies. Vogel stated regarding the recommendations he really likes the 2/2/3 and maybe it would make sense to put Kiche in one of those first sections as the one that would end in 2028 since he's already been appointed. Vogel will serve through 2026 and would probably offer to serve again unless Council decided otherwise. Then the three that end in 2027 are Kivarkis, Krotz and Balde. He likes the idea of three appointments ending in 2028. Dennis asked if they have to fill one year terms and two year terms, could the applicant specify what they are interested in? Dulek confirmed they could and that Council could also consider appointing for the one year term plus a full next term. She noted Council is aware of the conversation regarding going from nine members to seven and that's why they haven't made appointments. Kivarkis asked how long it would take to transition to seven members. Dulek explained that the next steps would be a Rules Committee meeting and then perhaps at the second meeting in May, Council can decide whether they agree to go to a seven person Commission. Kivarkis moved to recommend that City Council approve the proposed change to the by-laws to change from a nine -person Commission to a seven -person Commission. Motion seconded by Kiche and passed with a vote of 5-0. Kivarkis moved to recommend a staggered 2-2-3 appointment schedule for the Commission beginning in 2025. Motion seconded by Kiche and passed with a vote of 5-0. CONSIDER A RECOMMENDATION TO CITY COUNCIL TO DISCHARGE COMMISSIONER: Vogel stated that Daouda Balde was appointed to the Commission. Last October, he did come to one meeting, but since then they've been unable to communicate with him. He noted City staff has reached out via mail and phone. Vogel is asking that the Commission make the recommendation to Council to discharge Balde from his position so that they have a slot open for a new interested party to serve. Kiche noted looking at the attendance report in the agenda packet, it shows Balde only attended one out of the four meetings and two of the absences are marked OE, which means they are excused. Looking at the by-laws of the Commission, Section E states three consecutive, unexplained absences of a member from regular meetings will result in a recommendation to the City Council from the Commission to discharge said member and appoint a new member. At this moment, it appears that the Commissioner, who is not here, has not missed three consecutive meetings. Thul explained that all absences in the minutes have been recorded as excused because there is not an established criteria for what is considered excused and what isn't. This year staff have moved towards what other board and commission do by using "present" and "absent" in the minutes instead. Thul continued that staff have not had any communication with this Commissioner explaining the absences. They've tried phone calls, emails, and mail. Staff sent a letter in January about the general importance of attending Commission meetings. Additionally, prior to this meeting, staff sent a letter via mail and email letting him know that this item would be on the agenda. They also sent a copy of the packet. Vogel noted one more important piece of clarification is that only the dates of meetings they were actually able to hold are shown on the attendance list. There were meetings the Commission had to cancel because of lack of quorum as well and he did not respond to those meeting invites either. So there has been more than three unexplained absences. Thul stated that there are people that have missed meetings that have reached out to say that they couldn't attend. Those are treated differently than unexplained absences. Housing and Community Development Commission April 21, 2025 Page 3 of 5 Kiche noted it is important to have all that information in the public record so all can see the issue. Thul can see how it would be helpful to show the meetings that were cancelled due to lack of quorum in the attendance sheet as well for transparency. She has seen other boards and commissions do that in the minutes. Kiche supports this. It is important to note situations where they have those long duration vacancies because it puts the Commission in a very bad situation. Vogel agreed that they should note who was present even if the meeting is cancelled so Council can see who is making the effort to show up. Dennis agreed and stated she researched other City boards and commissions and found that the HCDC is one of the largest with nine members. She continued that the Commission has missed two meetings that are really important to the community. Borgen agrees with the smaller commission and added that participating is one of the best things they can give to the Commission. Dulek stated next steps is Balde will get a letter if the Commission votes to remove him. It will go on the City Council agenda, and he will have the opportunity to come to City Council and explain if he wants to resist it. The resolution will clarify what meetings he did not attend and that it was without explanation. Commissioners thanked Dulek. Dennis moved to recommend that City Council discharge Daouda Balde from the HCDC. Motion seconded by Kivarkis and passed with a vote of 5-0. STAFF & COMMISSION UPDATES: Thul noted this week is National Community Development Week and pointed out two flyers in the packet that highlight the impact of the federal Community Development Block Grant and HOME Investment Partnership Program funds. The flyers include some of the local projects that have come through recommendations from the Commission. Thul continued that the National Community Development Association released a CDBG impact report today that was sent to all congressional offices to showcase the importance of the CDBG program and to call for a funding increase. DVIP's new shelter was featured in the report. April is also Fair Housing Month and there's a press release in the packet that has some educational opportunities and general information about housing discrimination. Kubly noted tomorrow the Johnson County Affordable Housing Coalition is hosting a bus tour for people to showcase affordable housing projects. One is at the Peninsula on 1310 Foster Rd, which is a rental housing partnership with The Housing Fellowship that the Housing Authority owns and manages. They will also be driving by the North Summit property that they intend to develop. Vogel noted that the previous chair, Kaleb Beining, attended the bus tour and had a positive experience. Kubly agreed and encouraged commissioners to attend in future years if they are interested. Vogel stated something he would like to discuss is the issue with low barrier temporary housing, like the homeless camps around town. There's nothing in the housing code that really addresses it. He acknowledged it puts the housing inspectors in a tight spot when they're trying to tread the line of "everybody needs to follow the rules," but at the same time, trying to be considerate and understanding of people that are in situations of need. Dennis noted it's happening all over the country, and the City should not adopt what other communities have done, such as fines and or incarceration. That is taking a step backwards. Housing and Community Development Commission April 21, 2025 Page 4 of 5 Vogel agrees and thinks they need to go the other way and have protections in place in the housing code that would protect low barrier housing to be established because right now there are no rules. Dennis stated it might help to have the staff person from the shelter come in and really talk about what they're doing to go out and try and connect with folks. It can take a long time, especially when somebody has significant mental illness, to get them to even respond and not want to flee. Kivarkis thinks it's almost impossible to find a general solution for an individual problem. To understand and connect to these people, to help them if they are willing to receive help is a good idea but it's a very complex situation. Kiche stated regarding the situation of homelessness, he was on the Truth and Reconciliation Commission and they were looking for some data on homelessness across the state, but for some reason they didn't get anything. They did not show up even to give a presentation on the situation. He noted the City did a survey during the planning process this year, but he hasn't looked at that report yet. They need to look at that report and really dig deep on the situation of collecting data. They will need a lot of information to help the City Council make decisions. Vogel asked staff to put something together from Shelter House for a future agenda. It would be good to know what kind of access they have to facilities. Thul stated they will add an that to a future agenda. Normally at the May meeting they would have the Annual Action Plan on the agenda, but it may be June before the Commission sees that because of the delays with the federal budget. Kiche stated he was looking at the reports they got. The people who receive the CDBG grants always send a report on whom they are serving and things like that. He is interested in how people served are showing progress because they could be serving the same persons every cycle. If they're just interested in the counts to justify things, that is easy, but he also wants to see the issue of efficiency and how well are people graduating from some of the programs. They might also want to see waiting lists of those who want services but can't get them because there are fewer capacities. Dennis noted a lot of that information will come through with the applications that they receive. Thul stated that the agencies also submit narrative data that may speak to that. With 20 agencies, staff try not to overwhelm the Commission with pages and pages of narrative, but if they're interested in reading that information staff can definitely provide that as well. ADJOURNMENT: Dennis moved to adjourn, Kivarkis seconded the motion and a vote was taken and the motion passed 5- 0. 2 Housing and Community Development Commission April 21, 2025 Page 5 of 5 Housing and Community Development Commission Attendance Record 2023-2025 Name Terms Exp. 10/19 11/16 3/21 4/18 5/16 6/13 8/19 9/16 10/21 3/24 4/21 -- -- -- -- -- -- A A P A A Balde, Daouda 6/30/27 -- -- A A P P P A A P P Borgen, Horacio 6/30/25 P P P P P P P P P P P Dennis, Maryann 6/30/25 Kiche, Amos 6/30/25 -- -- -- -- -- -- P P A P P Kivarkis, George 6/30/27 P P A A P P A P P A A Krotz, Karol 6/30/27 A P A A P P P P P * Patel, Kiran 6/30/26 P P A P P P A P A Pierce, James 6/30/26 -- P P P P A P A P Szecsei, Denise 6/30/25 A P P P A A P P P P P Vogel, Kyle 6/30/26 Key: P = Present A = Absent * = Resigned -- = Vacant CITY COUNCIL RULES COMMITTEE MEETING MINUTES May 8, 2025 City Manager's Conference Room 3:00 PM Committee Members Present: Mayor Pro Tem Salih, Councilor Weilein Staff Members Present: Assistant City Attorney Dulek, City Clerk Grace, Senior Planner Thul Review by-law changes: Housing & Community Development Commission By -Laws Housing & Community Development Commission B. Senior Planner Thul summarized the discussion by the Commission regarding changing the membership and the reasoning for it. Thul also noted that they had reviewed past attendance records and there had been ongoing difficulties obtaining a quorum for meetings. Assistant City Attorney Dulek stated that the resolution changing the number of members will also include staggering terms so that only the terms for two members would expire in year one, two members in year two, and three members in year three. Mayor Pro Tem Salih and Councilor Weilein asked questions and expressed their views, noting that if the proposed changes will help the commission meet a quorum for their meetings so they can continue their work they will support the changes. Senior Planner Thul stated the change will help the commission do their work. Motion by Salih, seconded by Weilein to accept the proposed amendments changing the number of members from nine to seven. Motion passed, 2-0. Motion by Weilein, seconded by Salih to adjourn. Meeting adjourned 3:05 PM Prepared by: Susan Dulek, First Ass't City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319)356-5030 Resolution No. 25-131 Resolution amending the By -Laws of the Housing and Community Development Commission and rescinding Resolution No. 22-214. Whereas, the by-laws of the Housing and Community Development Commission (HCDC) provide for a nine member commission; and Whereas, occasionally HCDC has not been able to meet because there were only four members present and a quorum is five members; and Whereas, there currently are two vacancies on HCDC; and Whereas, the average attendance through the last four years has been six members; and Whereas, HCDC approved amendments to the by-laws at its meeting on April 21, 2025, to decrease membership from nine to seven members; and Whereas, the Council Rules Committee has reviewed the proposed amendments to the by-laws and has recommended adoption; and Whereas, the current by-laws were approved in Resolution No. 22-214. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa that: 1. The attached by-laws of the Housing and Community Development Commission are approved and adopted by the City Council. 2. Resolution No. 22-214 is rescinded. Passed and approved this 3rd day of TAA 25. Attest: City Clerk Approved B City Attorn 's Office (Sue Dulek — 05127/2025) Resolution No. 25-131 Page No. 2 It was moved by Moe and seconded by Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih Teague x Weilein Salih . that the BY-LAWS ARTICLE I THE COMMISSION Section A. The name of the Commission is the Housing and Community Development Commission of Iowa City, Iowa, as established by Resolution No. 95-199 of the City Council of Iowa City, Iowa, pursuant to Chapter 403A, Code of Iowa (1995). ARTICLE 2 PURPOSE Section A. The purpose of the Commission is to assess Iowa City's community development needs for housing, jobs, and services for low and moderate income residents, and to promote public and private efforts to meet such needs. ARTICLE 3 DUTIES Section A. Duties of the Commission shall include: 1) assess and review policies and planning documents related to the provision of housing, jobs, and services, for low and moderate income residents of Iowa City; 2) review policies and programs of the Iowa City Housing Authority and Community Development Division and make recommendations regarding the same to the City Council; 3) review and make recommendations to the City Council regarding the use of public funds to meet the needs of low and moderate income residents; 4) actively publicize community development and housing policies and programs, and seek public participation in assessing needs and identifying strategies to meet these needs; 5) recommend to the City Council from time to time amendments, supplements, changes, and modifications to the Iowa City Housing Code. ARTICLE 4 MEMBERSHIP Section A. The Housing and Community Development Commission shall consist of seven (7) members appointed by the City Council of Iowa City. All members shall be qualified electors of the City of Iowa City, Iowa, and shall serve as such without compensation but shall be entitled to the necessary expenses, including traveling expenses incurred in the discharge of their duties. Section B. In order to satisfy the purpose and intent of this commission, when possible, at least one person shall be appointed to the Housing and Community Development Commission with expertise in construction, at least one person with expertise in finance, at least one person with nonprofit management experience, and at least one person with property management experience. In addition, when possible, the Commission shall include one person who receives rental assistance. Appointments shall take into consideration persons of various racial, religious, cultural, social, and economic groups in the city. Section C. The term of office for each member shall be three (3) years except as set forth by Council Resolution to ensure a staggered turnover when transitioning from nine (9) members to seven (7) members in 2025. Section D. The Chairperson and Vice -Chairperson will be elected annually (in July) from the Commission membership. The Chairperson shall, when present, preside at all meetings, appoint sub -committees with the approval of the Commission, call special meetings and in general perform all duties included in the office of a Chairperson and such other duties as may be prescribed by the members from time to time. The Vice -Chairperson shall take over the above duties of the Chairperson in the event of the Chairperson's absence. Section E. Three (3) consecutive, unexplained absences of a member from regular meetings will result in a recommendation to the City Council from the Commission to discharge said member and appoint a new member. Section F. If a position becomes vacant by reason of resignation or otherwise and results in an unexpired term the Council may choose to fill the unexpired term in such a manner that the appointee shall continue in the position not only through the unexpired term but also through a subsequent regular term. ARTICLE 5 MEETINGS Section A. Meetings of this Commission shall be on a regular monthly basis. A meeting date and time will be established by the Commission. A regular meeting may be cancelled if no urgent business requires a meeting. Section B. Special meetings of the Commission may be called by the Chairperson and shall be called by the Chairperson at the request of a majority of the membership. Section C. Meetings shall be held in an accessible, public meeting place. Notices of meetings (agenda) for all regular and special meetings shall be posted and distributed to members and the media at least 24 hours before any meeting is held. All provisions of the State Open Meetings Law shall be followed. The Chairperson or a designated representative, together with appropriate members of the City staff shall prepare an agenda for all meetings. Agendas shall be mailed or entailed to Commission members at least three (3) days prior to the regular meetings. Section D. A majority of the members of the Commission (four or more) shall constitute a quorum of any meeting and the majority of votes cast at any meeting, at which a quorum is present, shall be decisive of any motion or election. Section E. There shall be no vote by proxy. Section F. Time shall be made available during all regular meetings for open public discussion. Section G. Minutes of all meetings shall be prepared and distributed to the City Council within three (3) weeks of the meeting in the manner prescribed by the Council. Minutes of all regular and special meetings will be mailed or entailed to all the Commission members during the week prior to the next meeting. Specific recommendations for the Council shall be set off from the main body of the minutes. ARTICLE 6 AMENDMENTS Section A. The By -Laws of the Commission shall be amended only with the approval of at least a majority of the Commission (at least four votes) at a regular meeting or a special meeting. Section B. Policy changes or By -Law changes may be adopted at the meeting following the meeting at which open discussion was conducted on the specific changes. Approved in Resolution No. 25-_D 1 Item Number: 6.c. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution authorizing and directing the Mayor to execute and the City Clerk to attest an Agreement between MidAmerican Energy Company and the City of Iowa City for the Transportation of Renewable Gas. Prepared By: Ben Clark — Senior Engineer Reviewed By: Tim Wilkey — Wastewater Superintendent Jason Havel — City Engineer Ron Knoche — Public Works Director Geoff Fruin — City Manager Fiscal Impact: Staff Recommendation: Attachments: Resolution Agreement $1,428,016 available in the Wastewater Digester Gas Improvements account #V3184 Approval Executive Summary: The City of Iowa City intends to produce pipeline quality renewable gas at the Wastewater Treatment Facility. MidAmerican Energy Company will need to invest in and construct additional facilities in order to deliver the natural gas through their distribution system. As a part of the Agreement, the City will pay MidAmerican Energy to upgrade their facilities to accommodate the additional gas produced by the City. Background / Analysis: The City of Iowa City commissioned a facility plan for the Digester Complex in 2021 that, among other things, evaluated energy recovery alternatives for the biogas produced during the anaerobic digestion of organic matter during the waste treatment process. An alternative that will allow the plant to produce pipeline quality gas for sale on the renewable fuel markets has been pursued. The City will condition and produce pipeline quality gas. The conditioned gas will then be sent to a regulating station, owned and operated by MidAmerican Energy Company, which includes a remote pressure control system, odorizer tank, and gas quality monitoring equipment to regulate the injection of digester gas to the nearest high -load transmission pipeline. The transported gas will be for sale on the renewable fuel market. Prepared by: Ben Clark, 410 E. Washington St., Iowa City, IA 52240; (319) 366-5436 Resolution No. 25-132 Resolution authorizing and directing the Mayor to execute and the City Clerk to attest an Agreement between MidAmerican Energy Company and the City of Iowa City for the Transportation of Renewable Gas. INCOMPLETE DOCUMENT Prepared by: Ben Clark, 410 E. Washington St., Iowa City, IA 52240; (319) 356-5436 Resolution No. Resolution authorizing and directing the Mayor to execute and the City Clerk to attest an Agreement between MidAmerican Energy Company and the City of Iowa City for the Transportation of Renewable Gas. Whereas, the City of Iowa City seeks to construct and maintain a renewable gas production facility on its premises; and Whereas, the City of Iowa City intends to contract the sale of its renewable gas product to Iowa gas transportation customers for receipt and consumption within the legal boundaries of the State of Iowa; and Whereas, City of Iowa City intends to deliver its renewable gas through MidAmerican Energy Company's natural gas distribution system, which will require MidAmerican Energy Company to invest in and construct additional facilities; and Whereas, the City Council deems it in the public interest to enter into the negotiated Agreement with MidAmerican Energy Company for the construction and maintenance of said facilities; and Whereas, funds are available in the Wastewater Digester Gas Improvements account #V3184. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that: 1. The Agreement attached hereto is in the public interest, and is approved as to form and content. 2. The Mayor and City Clerk are hereby authorized and directed to execute the attached Agreement. 3. The City Manager is authorized to execute amendments to this contract as they may become necessary. Passed and approved this day of , 20 Attest: City Clerk Mayor Approved by City Attorney's Office It was moved by and seconded by adopted, and upon roll call there were: the Resolution be Resolution No. Page 2 Ayes: Nays: Absent: Alter Bergus Weilein Harmsen Moe Salih Teague NUDAMERICAN ENERGY COMPANY RENEWABLE GAS TRANSPORTATION SERVICE AGREEMENT This Renewable Gas Transportation Service Agreement ("Agreement") is made by and between MidAmerican Energy Company ("MidAmerican") and City of Iowa City (the "Producer") as of the date of the last signature below (the "Effective Date"). MidAmerican and Producer are referred to individually as a "Party" and collectively as the "Parties". RECITALS Whereas, Producer seeks to construct and maintain a Renewable Gas production facility on its premises. Producer intends to contract the sale of its Renewable Gas product to Iowa gas transportation customers located in the geographic MidAmerican Energy region identified in Attachment H for receipt and consumption within the legal boundaries of the State of Iowa ("Project"). Whereas, Producer intends to deliver its Renewable Gas through MidAmerican's natural gas Distribution System, which will require MidAmerican to invest in and construct additional Facilities. Now, in consideration of the mutual covenants herein contained, the sufficiency and adequacy of which are hereby acknowledged, the Parties agree to the following: 1. DEFINITIONS Capitalized terms used in this Agreement are listed and defined in Attachment A or as otherwise identified throughout this Agreement. 2. TERM AND TERMINATION a. This Agreement shall become effective on the date of its execution and will remain in full force and effect for five (5) years ("Initial Term"), and thereafter for additional one (1) year terms ("Renewal Term") unless a Party provides written notice of its intent not to continue the Agreement at the end of the Initial Term or prior to the start of a Renewal Term, or until terminated by either Party pursuant to Section 14(d). Every year during the Initial Term, and at the start of each Renewal Term, MidAmerican shall have the right, but not the obligation, to evaluate, re-evaluate, add, remove, and make amendments, in MidAmerican's reasonable discretion and in accordance with prudent industry practice to Attachment D, Attachment F, and any specifications related to gas quality standards contained in this Agreement ("Periodic Review"). If MidAmerican determines an amendment to Attachment D, Attachment F, or the Agreement is necessary during a Periodic Review, the Parties shall make such amendment, or may terminate this Agreement. b. In the event this Agreement is terminated before completion of MidAmerican's Work, MidAmerican shall stop all such work. Producer shall owe to MidAmerican any -1- documented non -recovered costs reasonably incurred by MidAmerican in connection with this Agreement; provided, however, that MidAmerican shall use commercially reasonable efforts to mitigate such non -recoverable costs by either re -selling the equipment, cancelling contracts, or using the equipment for another MidAmerican project or use. Any such successful mitigation shall be offset against the documented non -recovered costs owed by the Producer. 3. PRODUCER IDENTIFICATION Producer Name: Producer Address — Physical: Producer Email(s) — Notices: Producer Address — Invoices Producer System Contact: Producer System Contact Phone: Emergency Contact: Emergency Phone: City of Iowa City 4366 Napoleon Street SE Iowa Citv, Iowa 52240 twilkeyCciowacity.org (Supt), sflake(cNowa-city.org (Asst Supt), bstukey@iowacity.org (Sr. MW Maint) City of love City 410 E. Washington Street love Citv love 52240 City of Iowa City Wastewater Treatment Plant 319)356-5170 Maintenance On -Call 319)631-1142 4 CONSTRUCTION OF NATURAL GAS FACILITIES ("FACILITIES") a. Upon receipt of Payment as set forth in Section 5(b) below, MidAmerican will take the following actions to provide the natural gas service requested by Producer, collectively referred to as "MidAmerican Work." All Facilities referred to in this subsection (4)(a) are considered "MidAmerican Facilities." i. Install a manually operated isolation valve at the transfer point for possible isolation of MidAmerican's Facilities from the Producer's Facilities. ii. Install equipment to connect to and access information from Producer owned and operated chromatograph, and equipment to assess gas quality and moisture content. iii. Install flow computer and remote -control valves to allow MidAmerican Gas Control to monitor and shut down the injection of Renewable Gas into MidAmerican's system. iv. Install required regulators and other equipment as needed to safely inject Renewable Gas into MidAmerican's Distribution System. v. Install meter equipment at the connection point to measure the Renewable Gas injected. -2- vi. Install odorizer equipment at the transfer point. vii. Reserve Access Rights to Producer's Property to test, examine, and perform maintenance on MidAmerican's Facilities. viii. Provide a site plan showing the metering points and route on Producer's Property. A preliminary Project route is shown in Attachment E. ix. Provide engineering drawings showing the delineation points of responsibility for Producer's construction and MidAmerican's construction. b. MidAmerican Facilities will be located at the City of Iowa City Wastewater Treatment Plant located in Iowa City, Iowa. The plant address is 4366 Napoleon Street SE, Iowa City, Iowa 52240. c. MidAmerican will seek acquisition, and Producer agrees to reasonably and in good faith assist MidAmerican in acquisition, of all Permits and authorizations, Easements, right-of-way or other Access Rights necessary for completion of MidAmerican's Work and construction and operation of MidAmerican's Facilities. Producer acknowledges and accepts that MidAmerican's ability to complete this project is contingent on the satisfactory acquisition of all applicable Permits, authorizations, Easements and rights of way. The failure to obtain necessary Permit, authorization, Easement or right of way is not a basis for claiming damages. d. MidAmerican requires necessary Easements or other Access Rights across Producer's Property to locate MidAmerican's Facilities on Producer's Property. Producer will provide all necessary Easements or other Access Rights at no cost to MidAmerican. Within the Easement at Producer's site, Producer shall provide a fifty - foot by fifty -foot (50' X 50') engineered buildable site with proper drainage for MidAmerican's metering and odorization facilities at final grade. e. MidAmerican will not begin construction of MidAmerican's Facilities until it is in receipt of all required Payments, surety, Easements, or other Access Rights, Permits, Contribution in Aid of Construction (CIAC) and Access Rights from Producer or from a third party. f. MidAmerican will design, construct, operate, test and maintain MidAmerican's Facilities in accordance with Good Utility Practice. MidAmerican will use commercially -reasonable efforts to have MidAmerican's Facilities placed in service no later than the In -Service Date. g. Producer will complete the following at its cost, referred to as "Producer's Work." All Facilities in this subsection 4(g) are to be considered "Producer's Facilities." Install remote pressure control to allow up to 122.4 therms per hour of Renewable Gas to be injected into MidAmerican's Distribution System during summer or winter load conditions. ii. Install pressure control and overpressure protection on Producer's piping upstream of the Injection Meter. iii. Install gas quality measurement equipment at the Producer's site and provide gas quality information to MidAmerican's Gas Control System. iv. Gas quality measurement equipment shall include a gas chromatograph, measuring oxygen, nitrogen, carbon dioxide, hydrogen, hydrogen sulfide ("H2S"), and total sulfur. A moisture analyzer shall also be installed. v. Provide MidAmerican a fiber optic or copper cable for a serial communication interface between customer onsite facilities and MidAmerican onsite facilities. The equipment must be compatible with MidAmerican's Gas Control System and must have alarm capabilities that MidAmerican can monitor. Currently, MidAmerican's Gas Control System supports the ModBus ASCII and ModBus RTU protocols. The equipment shall be installed and/or configured according to Cyber Security Best Practices to manage (track, control and correct) the ongoing operational use of ports, protocols, and services on networked devices to end -user system integrity and security. Producer agrees MidAmerican RTU shall be the client and Producer's RTU shall be the server where a serial connection between MidAmerican's RTU and Producer's RTU is established. Furthermore, Producer agrees to notify MidAmerican of any actual or suspected Cyber Security Incident to Producer's equipment, and to adhere to the terms set forth in Attachment D, "Cyber Security". vi. Producer is required to have Facilities in place to re -process, store or flare the Renewable Gas should MidAmerican be unable to take the Renewable Gas as described in Attachment F. vii. Producer is required to have H2S sensors, with audible alarms, and a windsock in the process area near the MidAmerican exchange point, to protect MidAmerican employees in the event of an H2S leak. viii. Producer shall provide A/C power to MidAmerican's metering station site as required by MidAmerican upon completion of design. The approximate total A/C power requirement is estimated to be a 240 volt 100 Amp service. ix. Producer shall provide MidAmerican access to MidAmerican's Facilities as reasonably needed. -4- h. Producer is responsible for all reasonably incurred required future capital costs associated with MidAmerican's Facilities, including but not limited to the costs of any necessary future relocation of MidAmerican's Facilities. As used herein, "capital costs" does not include operations and maintenance costs accounted for within the Maintenance Charge described in the Producer Rate PRG charges set forth in Section 8 of this Agreement. Notwithstanding the above, MidAmerican shall provide Producer 60 days advance notice of any such future capital costs and Producer may elect to terminate this Agreement within such 60-day period but must still pay required costs prior to such termination. In the event Producer terminates this Agreement to avoid such additional capital costs, MidAmerican will cease transportation service as of the date specified in Producer's written notice to MidAmerican. In connection with such termination, Producer shall owe to MidAmerican any unavoidable, reasonably incurred costs that are incurred after termination related to any MidAmerican Facilities that are not used to provide service to any other MidAmerican customers; provided, however, that MidAmerican shall use commercially reasonable efforts to mitigate such unavoidable costs. i. The Producer and Company shall provide each other with a point of contact to provide regular updates, at least quarterly, on the Producer and Company expected date of completion, significant changes in project costs and updates that may impact Permanent Service so both parties are aware of issues that may arise during the construction process. If the Producer or Company experiences a Force Majeure Event, the Parties will follow the procedures as set forth in this Agreement. 5 PAYMENT a. Assumptions and Cost Estimates i. Assumptions. The Cost Estimate provided below is based on the following Assumptions ("Assumptions") regarding Renewable Gas injection. In the event of any changes in these Assumptions, the Parties shall negotiate in good faith to amend this Agreement: • Maximum Daily Injection: • Annualized Maximum Injection: • Maximum Hour Injection (MHQ) • Delivery Pressure: • Delivery MAOP • Plant Operation: • Estimated In -Service Date: 2,938 therms per day 1,072,224 therms 122.4 therms per hour Nominal 620 PSIG plus/minus 5 PSIG 625 PSIG 24 hours/day, 365 days/year June 1, 2027 ii. Estimates. The Cost Estimate is an estimate of the total Project construction and Permit costs for MidAmerican's Work and is subject to reasonable change as the engineering specifications for the MidAmerican's Facilities are refined to include any changes in Producer's Renewable Gas Injection, or cost increases for any component of MidAmerican's Facilities, including Adverse Conditions, winter construction charges and increased Permit fees. -5- Line Item Cost Total Project Construction Estimate $ 1,208,340 Income Tax Surcharge 18.18% 2025 $ 219,676 Estimated Total Contribution in Aid of Construction (CIAC)w/Income Tax Surcharge $ 1,428,016 b. Payment of Estimated Contribution in Aid of Construction (CIAO). Based on the above Assumptions and estimates, Producer must pay an Estimated CIAC with Income Tax Surcharge of $1,428,016 to MidAmerican within 90 days of Agreement execution. c. Post -Construction Reconciliation. After MidAmerican's Work is complete, MidAmerican will provide Producer a detailed calculation of the final Actual CIAC amount and the actual Maintenance Charge per month for the initial year, which shall correspond to the actual construction and Permit costs for MidAmerican's Work ("Post - Construction Reconciliation"). If the Estimated CIAC is less than the Actual CIAC, Producer shall pay the difference, plus applicable Income Tax Surcharge, to MidAmerican within 30 days of receipt of MidAmerican's invoice. If the Estimated CIAC is greater than the Actual CIAC, MidAmerican will refund the difference to Producer within 30 days of such determination. The refund will not exceed the amount of the Estimated CIAC paid by Producer. MidAmerican will bill Producer the estimated Maintenance Charge until the Post -Construction Reconciliation is complete. Thereafter, any difference between estimated Maintenance Charges paid by the Producer prior to the Post -Construction Reconciliation and the actual Maintenance Charge for the initial year will be accounted for in the calculation of the actual Maintenance Charge for the remaining months of the initial year. d. Startup Support Costs. Any incremental cost incurred by MidAmerican to assist in Startup will be billed monthly to the Producer. This only includes costs above -and - beyond the anticipated maintenance charges and will discontinue once production is underway. 6 CHANGES TO PROJECT If Producer chooses to expand or decrease its operation to the extent it anticipates a load at the Project different than that which is assumed in the Assumptions or Cost Estimates in Section 5(a) of this Agreement, Producer must notify MidAmerican. MidAmerican will update its System Models and the parties can: a. Plan the modifications necessary to each Party's Facilities. b. Develop a schedule for ordering and installing equipment. c. Determine new pricing for the modification. M MidAmerican will act with reasonable diligence and in good faith in the implementation of any such modification. It is the responsibility of the Producer to determine what, if any, regulatory approvals or Permits may be necessary for Producer to deliver Renewable Gas to MidAmerican under this Agreement. Producer shall provide copies of all such approvals or Permits to MidAmerican upon reasonable request. Producer acknowledges MidAmerican will not commence construction of MidAmerican's Work until all such approvals or Permits have been obtained and copies have been provided to MidAmerican, to the extent that such publicly available approvals or Permits would be required to commence construction, including any that may be required from any applicable government body or agency. It is the responsibility of MidAmerican to determine what, if any, regulatory approvals or Permits may be necessary for MidAmerican to receive and transport Renewable Gas under this Agreement. MidAmerican shall provide copies of all such publicly available approvals or Permits to Producer upon reasonable request. 7 PRODUCER GAS SUPPLIED INTO MIDAMERICAN'S SYSTEM a. Producer -supplied gas to MidAmerican's Distribution System must be Compatible RNG. Compatible RNG is Renewable Gas that meets the specifications listed in the table presented in Attachment F to this Agreement (the "Specifications") and all other requirements of this Section 7. Before Producer injects Renewable Natural Gas to MidAmerican's system, Producer will provide MidAmerican with a report detailing the specifications of the Renewable Natural Gas and receive MidAmerican's approval that the RNG satisfies Specifications requirements. b. If MidAmerican incurs any costs as a result of Producer's Renewable Gas that fails to meet the Specifications set forth in this Agreement, Producer shall indemnify and hold MidAmerican harmless from any such costs or related claims or causes of action. c. Notwithstanding anything to the contrary herein, MidAmerican reserves the right, at any time during the term of this Agreement, to amend Attachment F and the minimum quality Specifications should a qualifying regulatory body revise or enact a gas quality standard, or an Unacceptable Compound is found in the Renewable Gas produced, with such amendment becoming effective no earlier than the date on which the Unacceptable Compound is identified as being hazardous, or such revised or enacted standard becomes effective. MidAmerican will notify the Producer of any amendments to gas quality standards or the discovery of an Unacceptable Compound in the Renewable Gas produced. If MidAmerican identifies an Unacceptable Compound based upon a certified laboratory report, MidAmerican will immediately refuse the injections of Renewable Gas and issue a notice to the Producer. The Producer will collect and analyze additional samples until clean samples are obtained and verified by a certified laboratory report. MidAmerican will with reasonable promptness accept Renewable Gas injections upon receipt of a certified laboratory report depicting the absence of an Unacceptable Compound or its reduction to an acceptable level. -7- 8 NATURAL GAS DELIVERY FOR SUPPLY GAS — THIRD PARTY Pursuant to MidAmerican's Rate PRG Tariff (Producers of Renewable Gas Transportation Service), Producer must contract for, either directly or through a third party, and deliver Renewable Gas injected into the MidAmerican Distribution System to an Iowa gas transportation customer located within the boundaries of the Iowa City — Cedar Rapids Distribution System, a map of which is included as Attachment H, and such Renewable Gas must be consumed by one or more customers located on MidAmerican's natural gas Distribution System within the legal boundaries of the State of Iowa. Producer is eligible for any service options available to a Rate PRG gas transportation customer. Requirements for renewable gas injections and consumption will automatically adjust to comply with MidAmerican's most current approved Tariff. Rider T (Transportation of Customer -Owned Gas Tariff), which along with Rate PRG will govern this agreement. Pursuant to MidAmerican's Tariff, Producer will be charged a one-time application charge of $250. In addition, the Rate PRG charges shall be applied as follows: Basic Service Charge: Shall be equal to the sum of the basic service charge and the transportation administrative charge pursuant to Rate LV which is subject to amendment upon action taken by any applicable federal or state regulatory body. Fixed Investment N/A Charge: Meter Class Charge: Pursuant to Rate LV, the appropriate meter class charge and any successor charge, is applicable. Commodity Charge: N/A Demand MDR The Demand MDR Charge shall be zero. (Maximum Daily Requirement) Charge: Quality Monitoring Initial charge for year one shall be $1,775.00 per month. After Charge: year one, the Quality Monitoring Charge will be reevaluated and may be adjusted based on the year one actuals. After year two, the Quality Monitoring Charge shall be increased by 2.25% annually. The Quality Monitoring Charge shall be added to the Basic Service Charge on the Producer's bill Maintenance Charge: Initial charge for year one shall be $4,027.80 per month. The actual initial charge for year one shall be based on the actual project cost and determined once the Post -Construction Reconciliation is completed, provided that the actual Maintenance Charge for year one shall not exceed 4% of the actual construction and Permit costs for MidAmerican's Work. After year one, the Maintenance Charge shall be increased by 2.25% annually. The Maintenance Charge shall be added to the Basic Service Charge on the Producer's bill. - 8 - Odorization Charge: Calculated based on actual odorant required per therm and updated annually. Initial charge for year one shall be $0.00036 per therm based on estimated costs If, due to the composition of such Renewable Gas, an alternative odorization is required, Producer agrees to pay any incremental cost. Retention Percentage: Producer will not be responsible for retention as this will be recovered from the consuming gas transportation end -users on MidAmerican's natural gas Distribution System. Minimum Monthly The sum of the Basic Service Charge, Meter Class Charge, Bill: Demand MDR Charge, Quality Monitoring Charge and Maintenance Charge plus the Odorization Charge for all therms received by MidAmerican on the Producer's behalf. 9. PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION The Parties agree that their respective Facilities shall comply with all applicable regulations. Additionally, the Parties agree to adhere to the PHMSA requirements found in Attachment C to this Agreement. Upon approval by any governmental body with jurisdiction, the requirements set forth in Attachment C shall be considered amended to include such changes and any other changes which become effective by operation of law. 10. TELEMETRY INSTALLATION CHARGES To provide gas Transportation Service under the terms of the Rate PRG Tariff, Producer must have Telemetry Equipment installed. (See Attachment B for minimum Gas Transportation Producer Telemetry Requirements). Any additional specifications delineated in this agreement supersede the minimum specifications listed in Attachment B. MidAmerican will retain ownership of the equipment and be responsible for maintenance. 11. OPERATIONS; COMPLIANCE MidAmerican shall retain ownership of and shall operate and maintain MidAmerican's Facilities in good working condition consistent with Good Utility Practice and Applicable Laws. Producer shall retain ownership of Producer's facilities and shall operate and maintain Producer's Facilities in good working condition consistent with applicable standards and Applicable Laws. To the extent MidAmerican's Tariffs on file with the Iowa Utilities Commission do not conflict with the express terms of this Agreement, said Tariffs are fully applicable to Producer. -9- 12. REGISTRATION/GENERATION OF ENVIRONMENTAL REGULATORY CREDITS. To the extent the Renewable Gas may be eligible to generate, or required to generate Environmental Attributes, Producer shall own all rights and interests in and have the exclusive right to register or generate such Environmental Attributes. Upon Producer's reasonable request, MidAmerican hereby agrees to cooperate with Producer, at no cost to MidAmerican, by taking such reasonable actions and delivering to Producer such documentation as may be reasonably necessary to satisfy the requirements of any applicable governmental authority which has jurisdiction over the Environmental Attributes in order for Producer to be able to register and/or generate such Environmental Attributes. 13. MISCELLANEOUS a. Counterparts. This Agreement may be executed in one or more counterparts, each of which will be an original, but all of which taken together will constitute only one legal instrument. Provided that both Parties have signed this Agreement in counterparts and the counterparts have been delivered to both Parties, it will not be necessary in verifying proof of this Agreement to produce or account for more than one (1) counterpart. b. Entire Agreement. This Agreement and its Attachments constitute the entire Agreement between the Parties. No representation or agreement, oral or otherwise, shall modify the subject matter hereof unless and until such representation or agreement is reduced to writing and executed by authorized representatives of both Parties. c. Modification and Waiver. This Agreement may not be amended, modified or supplemented, except in writing signed by both Parties. No delay on the part of either Party in exercising any right or remedy under this Agreement shall operate as a waiver thereof. No prior waiver on the part of either Party, nor any single or partial exercise of any right under this Agreement shall preclude any other further exercise thereof or any other right under this Agreement. d. Default. Anything in Section 2 of this Agreement notwithstanding, either Party may terminate this Agreement at any time if the other Party: i. Commits a material breach of a provision of this Agreement; ii. Commits a breach of a provision of this Agreement, other than a material breach, and fails to cure such breach within a reasonable time following receipt of notice from the non -breaching Party; or iii. Is adjudged bankrupt, or upon the filing by or against the Party of a proceeding under any bankruptcy or similar law, unless such proceeding is dismissed within thirty (30) days from the date of filing; or if a general assignment of the Party's assets is made for the benefit of its creditors; or if a receiver is appointed for the Party or any of its property. -10- Payments due under this Agreement shall not be considered a material breach until they are past due by thirty (30) days and the Party entitled to payment has provided written notice of nonpayment to the other Party. With respect to any claimed breach by Producer, any of Producer's lenders or investors may cure such breach and MidAmerican agrees to accept cure by a lender or investor on behalf of Producer. If a lender or investor is required to foreclose on the Project to obtain possession and control of the Project and Producer's Facilities to cure a breach, the cure period hereunder shall be extended by an amount of time that is necessary for the lender or investor, using reasonable efforts, to obtain possession of the Project, provided that a) such extension does not exceed thirty (30) days and b) such extension does create a threat of economic or physical harm to MidAmerican or MidAmerican's facilities or a threat of injury or death to any person. Nothing in this paragraph shall give any lender or investor any right over or to any of MidAmerican's Facilities. e. Compliance with the Laws. The Parties agree they will comply with all applicable laws in performance of this Agreement. L Change in Law. i Except with respect to those material provisions, the absence of which would render this Agreement impossible to perform, any article, section, paragraph or provision declared or rendered unlawful by a court of law or regulatory agency with jurisdiction over the Parties or subject matter hereof, or deemed unlawful because of a statutory change, will not otherwise affect the lawful obligations that arise under the Agreement. In the event any provision of this Agreement is declared invalid, the Parties shall promptly negotiate in good faith to restore this Agreement to its original intent and effect to the maximum extent possible, consistent with the relevant regulatory or judicial decision. ii. Notwithstanding any other provision in this Agreement, if any Applicable Law is changed, amended or revoked, or any statutes, rules, regulations, permits or authorizations are enacted or granted, such that: (i) the continued implementation of this Agreement would have a material adverse effect on either Party; or (ii) this Agreement or any part of this Agreement would be rendered unenforceable, then the Parties agree to negotiate in good faith to amend this Agreement to conform with such Applicable Law or new statutes, rules, regulations, permits, or authorizations (as applicable) in order to maintain the original intent of the Parties under this Agreement. g. Choice of Law. This Agreement and the Parties' performance shall be interpreted in accordance with the laws of the State of Iowa, without reference to its provisions concerning conflicts of laws, and shall be subject to all applicable rules and regulations of regulatory authorities having jurisdiction. h. Jury Waiver. TO THE FULLEST EXTENT PERMITTED BY LAW, PRODUCER AND MIDAMERICAN HERETO WAIVE ANY RIGHT EACH MAY HAVE TO A TRIAL BY JURY IN RESPECT OF LITIGATION DIRECTLY OR -11- INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT. EACH FURTHER WAIVES ANY RIGHT TO CONSOLIDATE ANY ACTION IN WHICH A JURY TRIAL HAS BEEN WAIVED WITH ANY OTHER ACTION IN WHICH A JURY TRIAL CANNOT BE OR HAS NOT BEEN WAIVED. i. Authority to Execute. Each Party represents that it has the necessary corporate and/or legal authority to enter into this Agreement and to perform the obligations imposed herein. Each Party further represents that this Agreement, when executed by its duly authorized representative, shall become a valid, binding and enforceable legal obligation of that Party. j. Force Majeure. Neither Parry will be liable for delays or any failure to perform under this Agreement due to causes that: (a) are not within the reasonable control of the applicable Party; (b) are not the result of the acts or omissions of the applicable Party; and (c) by the exercise of due diligence and its best efforts, the applicable Party is unable to overcome or avoid (a "Force Majeure Event"), including war (including civil war), riots, terrorist attacks, embargoes, acts (whether sovereign or contractual) of civil or military authorities, acts or failures to act of any governmental entity, fires, floods, explosions, the elements, epidemics, quarantine restrictions, industry -wide strikes, or the other Party's acts or omissions with respect to matters for which such Party is responsible. The other Party will not be required to perform or resume performance of those of its obligations that correspond to the obligations of the Party excused by Force Majeure Event. ii. If there is a Force Majeure Event, the affected Party will orally notify the other Parry as soon as commercially practicable of such delay and will provide to the other Party a written description of the details of such Force Majeure Event within five business days from the date of such oral notice. If the Party claiming a Force Majeure Event complies with the foregoing procedures, the Parties will negotiate in good faith an equitable adjustment to the completion schedules and any other affected terms of this Agreement. iii. During a Force Majeure Event, both Parties shall use commercially reasonable efforts to resume performance under this Agreement. k. Supply Chain Availability. It is specifically understood between the Parties that MidAmerican cannot control the availability, scheduling or delivery of materials and equipment, all of which is being ordered from third -parry sources or the scheduling and granting of such regulatory, governmental, and authority approvals as may be required; therefore, MidAmerican cannot and does not guarantee that it shall be ready to supply permanent service to the premise on any particular date. As necessary, MidAmerican shall keep Producer apprised of the progress of work, including, for -12- example, equipment orders and the like, along with equipment delivery dates if this may affect the schedule. 1. Interpretation and Joint Drafting. The Parties expressly agree that this Agreement was jointly drafted and that each had the opportunity to negotiate its terms and to obtain the assistance of counsel in reviewing its terms prior to execution. The language in all parts of this Agreement will be in all cases construed according to its fair meaning and not strictly for or against either of the Parties. If a claim is made by any Party relating to any conflict, omission or ambiguity in this Agreement, no presumption or burden of proof or persuasion will be implied by virtue of the fact that this Agreement was prepared by or at the request of a particular Party or counsel for any particular Party. m. Good Faith. Each Parry will act in good faith in the performance of its obligations under this Agreement and each Party will cooperate with the reasonable requests of the other Party and otherwise use commercially reasonable efforts to implement the provisions of and to administer this Agreement in accordance with its terms. n. Use of Captions. The captions throughout this Agreement are for convenience and reference only and do not limit or define any terms and provisions of this Agreement. o. Attachments. The Attachments to this Agreement are incorporated in this Agreement and made a part of this Agreement. p. Further assistance. Each party, upon the reasonable request of the other Party, will perform any further acts which are consistent with this Agreement and that do not increase the duties or financial obligations of the Parties or reduce any rights of the Parties. q. Survival Rights. This Agreement will continue in effect after its termination to the extent necessary to allow or require either Party to fulfill rights or obligations that arose under this Agreement. r. Verification. Each Party will maintain adequate records to assist the other Party in meeting any obligation under this Agreement and will provide such records upon reasonable notice from the other Party. s. No Third -Party Beneficiaries. There are no third -party beneficiaries of this Agreement, and this Agreement should not be construed to create or confer any right or interest in or to, or to grant any remedies to, any third party as a beneficiary of this Agreement or of any duty, obligation, or undertaking established in this Agreement. t. Relationship of Parties. This Agreement does not constitute a joint venture, association or partnership between the Parties. No express or implied term, provision or condition of this Agreement will create, or will be deemed to create, an agency, joint venture, partnership or any fiduciary relationship between the Parties. -13- u. Business Ethics. Both the Producer and MidAmerican, and their respective employees, officers, agents, representatives and subcontractors shall at all times maintain the highest ethical standards and avoid conflicts of interest in the performance of their obligations under this Agreement. In conjunction with its performance under this Agreement, the Parties and their respective employees, officers, agents and representatives shall comply with, and cause its subcontractors and its employees, officers, agents and representatives to comply with, all Applicable Laws, including, without limitation, the United States Foreign Corrupt Practices Act and the United Kingdom Bribery Act 2010. Without limiting the generality of the foregoing, each Party specifically represents and warrants that neither the Party nor any subcontractors, employees, officers, representatives or other agents of the Party have made or will make any payment, or have given or will give anything of value, in either case to any government official (including any officer or employee of any governmental authority) to influence his, her, or its decision or to gain any other advantage for the Producer or the MidAmerican in connection with the Services to be performed hereunder. Each Party shall maintain and cause to be maintained effective accounting procedures and internal controls necessary to record all expenditures in connection with this Agreement and to verify the Party's compliance with this section. Each Party shall be permitted to audit such records as are reasonably necessary to confirm the other Party's compliance with this section. Each Party shall immediately provide notice to the other Party of any facts, circumstances or allegations that constitute or might constitute a breach of this section and shall cooperate with the other Party's subsequent investigation of such matters. The Parties specifically acknowledge that the failure to comply with the requirements of this section shall constitute a condition of default under this Agreement. v. Assignment to Lenders. Producer may, without the consent of MidAmerican, and upon written notice to MidAmerican, assign this Agreement to any of its lenders or investors. If Producer provides MidAmerican with notice of an assignment to any lender or investor and identifies such entities as contacts for notice purposes hereunder, MidAmerican shall provide notice and reasonable opportunity for such entity(ies) to cure any breach. w. Each Party shall indemnify, defend and hold harmless the other, its officers, employees, principals (partners, shareholders or holders of an ownership interest) and agents, from and against any third party claims, damages or causes of action (including reasonable attorney's fees and court costs) relating to bodily injury or death of any person or damage to real and/or tangible personal property arising from the negligence or willful misconduct of the indemnifying Party, its personnel or agents during the Term of this Agreement. The Party seeking indemnification must promptly notify the other in writing of a claim and provide reasonable cooperation (at the indemnifying Party's reasonable expense) and full authority to defend or settle the claim. The indemnifying Party shall have no obligation to indemnify for any settlement made without its prior written consent. -14- IN WITNESS WHEREOF, the Parties hereto have executed this Renewable Gas Transportation Service Agreement as of the Effective Date. City of Iowa City I MidAmerican Energy Company By: By: Name: Name: Title: Title: Date: Date: - 15 - ATTACHMENTS Attachment A - Definitions Attachment B - Gas Transportation Producer Telemetry Requirements Attachment C - Pipeline and Hazardous Materials Safety Administration Attachment D - Cyber Security Attachment E - Preliminary Project Route Attachment F - Producer Quality Requirements for Gas Supplied Into MidAmerican's System Attachment G — Prohibited Vendors List Attachment H — Iowa City -Cedar Rapids Distribution System -16- ATTACHMENT A Definitions The following terms shall have the meaning set forth in this Attachment A wherever used in this Agreement: "Access Rights" shall mean a legal document granting MidAmerican the right to enter upon any property not owned by MidAmerican (including but not limited to railroad property) in order to perform MidAmerican's Work or install MidAmerican's Facilities. Access Rights shall include Permits, Easements, right-of-way, leases, licenses, authorizations and other such documentation of such right. "Actual CIAC" shall have the meaning specified in Section 5(c) of this Agreement. "Adverse Conditions" shall mean circumstances that cause increased installation costs for MidAmerican's Work including but not limited to frozen ground, rock, safety issues, legal problems, routing, right-of-way acquisition, obstructions, hindrances, crop damage, governmental or third -party requirements. "Applicable Law" shall mean all laws, statutes, codes, natural gas codes, natural gas standards, ordinances, decrees, rules, regulations, statutory rules, judicial or arbitral or administrative or ministerial or departmental or regulatory judgments, orders, decisions, rulings or awards, including general principles of common and civil law, and terms and conditions of any grant of approval, permission, authority or license of any governmental authority, statutory body or self -regulatory authority having jurisdiction over a Party or its property and/or operations. "Approved Laboratory" means a reputable analytical laboratory reasonably approved by MidAmerican. "Assumptions" shall mean the factors specified in Section 5(a)i of this Agreement. "Compatible RNG' shall mean Renewable Gas which meets the requirements of Section 7 and Attachment F of this Agreement. "Contribution in Aid of Construction" or "CIAC" means nonrefundable cash Payments to MidAmerican by Producer covering the construction and Permit costs for MidAmerican's Work set forth in Section 5(a)-(b) of this Agreement and the Telemetry installation charges set forth in Section 10 of this Agreement. Contribution in Aid of Construction shall be increased by the applicable Income Tax Surcharge. "Cost Estimate" shall have the meaning specified in Section 5(a)ii of this Agreement. "Distribution System" shall mean the system of pipelines used by MidAmerican to transport natural gas to its customers, including all gas transportation customers. -17- "Easement" shall mean a legal document granting a party the right to access property owned by another party. "Environmental Attributes" means any and all certificates, credits, benefits, emissions reductions, offsets, and allowances, howsoever entitled, attributable to the capture or use of Renewable Gas and the production or use of Renewable Gas. Environmental Attributes include but are not limited to (i) greenhouse gas (GHG) attributes including the avoidance of lifecycle GHG emissions, (ii) renewable energy credits/certificates, (iii) any avoided emissions of pollutants to the air, soil or water, (iv) any attributes required to generate Environmental Protection Agency Renewable Identification Number credits, California Low Carbon Fuel Standards credits, Oregon renewable thermal credits pursuant to Senate Bill 98, or other credits/benefits/reductions etc. under other local, state or federal carbon reduction programs and (v) any reporting rights associated with the foregoing. "Environmental Protection Agency Requirements" shall mean laboratory analysis of volatile organic compounds in Renewable Gas in accordance with Environmental Protection Agency ("EPA") Method TO-15 from the Compendium of Methods for the Determination of Toxic Organic Compounds in Ambient Air, Second Edition (EPA/625/R-96/O10b), January, 1999. "Estimated CIAC" shall have the meaning specified in Section 5(a)ii of this Agreement. "Facilities" shall mean MidAmerican's Facilities or Producer's Facilities, as the context indicates, as described in Section 4 of this Agreement, respectively. "Good Utility Practice" shall mean any of the practices, methods, and acts engaged in or approved by a significant portion of the natural gas utility industry during the relevant time period; or any of the practices, methods, and acts which, in the exercise of reasonable judgment in light of the facts known at the time a decision was made, could have been expected to accomplish the desired result at a reasonable cost consistent with good business practices, reliability, safety and expedition. Good Utility Practice is not intended to be limited to the optimum practice, method, or act to the exclusion of all others, but rather to acceptable practices, methods or acts generally accepted in the region. "Income Tax Surcharge" — shall mean the additional amount required to recover MidAmerican's income taxes, if any, imposed by Internal Revenue Code § 118, for Payments due from Producer to MidAmerican under this Agreement. The amount of tax shall be reduced by the present value of the tax benefits to be obtained by MidAmerican depreciating the property in determining the tax liability. "Injection Meter" shall mean the meter installed at the Injection Point that measures the amount of Producer's Renewable Gas injected into the Distribution System. "Injection Point" means the mutually agreed upon point of interconnection of Producer's Facilities to the Distribution System. "In -Service Date" shall have the meaning specified in Section 5(a)i of this Agreement. -i8- "MidAmerican's Facilities" shall mean the physical facilities and equipment described in Section 4(a) of this Agreement. "MidAmerican's Gas Control System" shall mean the SCADA (Supervisory Control and Data Acquisition) system used to monitor, control and manage the Distribution System and Producers' Renewable Gas Injection. "MidAmerican's Work" shall have the meaning specified in Section 4(a) of this Agreement. "Non -Compatible RNG" shall mean Renewable Gas that fails to meet the requirements to Compatible RNG set forth in Section 7 and Attachment F of this Agreement. "Payment" or "Payments" shall mean the amounts specified in Sections 5 and 10 of this Agreement. "Permits" shall mean all permits, licenses, permissions and authorizations of any kind or source for completion of MidAmerican's Work and construction and operation of MidAmerican's Facilities. "PHMSA" means the Pipeline and Hazardous Materials Safety Administration of the United States Department of Transportation. "Producer's Facilities" shall mean the physical facilities and equipment described in Section 4(f) of this Agreement. "Producer's Work" shall have the meaning specified in Section 4(f) of this Agreement. "Producer's Property" shall mean the real property upon which the facilities and equipment used by Producer to produce Renewable Gas are located. "Project" shall have the meaning specified in the Recitals of this Agreement. "PSIG" shall mean pounds per square inch gauge. "Rate PRG Tariff' shall mean as set forth in MidAmerican's Gas Transportation Tariff approved by the Iowa Utilities Commission, which sets forth the rates and charges for Transportation Service. "Renewable Gas", also known as biomethane or cleaned biogas, means gas produced from agricultural or municipal waste that, with or without further processing, has characteristics (a) consistent with the provisions of all MidAmerican gas standards, and (b) that in the sole view of MidAmerican does not otherwise pose a hazard to inclusion in MidAmerican's distribution lines when co -mingled with natural gas. -19- "Renewable Gas Injection" shall mean the transfer of Renewable Gas from Producer to the Distribution System. "Security Incident" shall mean any circumstance when (i) Producer knows or reasonably believes that the confidentiality, integrity, or availability of any MidAmerican Information has been adversely impacted, including but not limited to, incidents where MidAmerican Information has been damaged, lost, corrupted, destroyed, or accessed, acquired, modified, used, or obtained by any unauthorized person, by any person in an unauthorized manner, or for an unauthorized purpose; (ii) Producer knows or reasonably believes that an act or omission has adversely impacted the cybersecurity of the products or services provided to MidAmerican by Producer or the physical, technical, administrative, or organizational safeguards protecting Producer's systems or MidAmerican's systems holding MidAmerican Information; or (iii) Producer receives any complaint, notice, or communication which relates directly or indirectly to (A) Producer's handling of MidAmerican Information or Producer's compliance with the data safeguards in this Agreement or applicable law in connection with MidAmerican Information or (B) the cybersecurity of the products or services provided to MidAmerican by Producer. "Shut -In" shall mean the Injection Meter being closed by MidAmerican due to failure meet the requirements set forth in Section 7 or Attachment F of this Agreement. "Specifications" shall mean the Specifications set forth in Section 7(a)-(b) of this Agreement. "Startup" shall mean the time following completion of MidAmerican's Work and Producer's Work during which Producer and MidAmerican collaborate to commence injection of Compatible RNG into the Distribution System. "System Models" shall mean the computer simulating the flow of natural gas through the Distribution System in Iowa. "Tariff' means MidAmerican's Gas Tariff, filed with and approved by the Iowa Utility Commission. "Telemetry Equipment" shall have the meaning specified in Section 10 of this Agreement. "Transportation Service" means the service governed by and defined in MidAmerican's Rate PRG Tariff. "Unacceptable Compound" means any compound identified by an applicable authoritative body to be found hazardous to MidAmerican's equipment, customers of MidAmerican's equipment, or MidAmerican's customers themselves if found within the gas stream. -20- ATTACHMENT B Gas Transportation Producer Requirements Producer shall comply with the following requirements as applicable to Producer's request: 1) If Producer requests Gas Transportation only, Producer must provide, unless waived or an alternative is approved by MidAmerican: a. A place to mount the equipment. A minimum 2' x 4' area is needed. Either a blank wall or a 2' x 4' sheet of treated plywood mounted on two 4" x 4" treated wooden posts would be adequate. Wood posts to be securely mounted to a permanent structure or mounted in concrete footings. i. MidAmerican will determine the location to mount the equipment. b. A dedicated 120 volt, minimum 10 amp, AC power supply with a ground and lockable disconnect. i. The electric line must be installed in conduit with a seal off. 2) If Producer requests Gas Transportation and a metering pulse for its use, Producer must provide, unless waived or an alternative is approved by MidAmerican: a. A place to mount the equipment. A minimum 2' x 4' area is needed. Either a blank wall or a sheet of treated plywood mounted on two 4" x 4" treated wooden posts would be adequate. Wood posts to be securely mounted to a permanent structure or mounted in concrete footings. b. MidAmerican will determine the location to mount the equipment including the AC power disconnect and the Producer pulse wire termination. c. A dedicated 120 volt, minimum 10 amp, AC power supply with a ground and lockable disconnect. i. The electric line must be installed in conduit with a seal off. d. A power source on Producer's signal wire. The Producer's pulse wire needs to be sourced (or powered) by Producer's pulse counting system. The maximum Producer electrical load rating (the most the signal barrier can take) is 40 VDC and 2 amps. ii. The pulse wire must be installed in conduit with a seal off. Conduit and seal off is not needed if wiring is not in a hazardous area. e. MidAmerican will supply a 2 wire Form "A" dry contact near the meter. MidAmerican will terminate the Producer's pulse wire. Producer's cable runs of over 200 feet may require additional equipment. Producer is responsible for providing and installing any additional equipment. f. MidAmerican pulses to Producer are equal to 100 cubic feet of corrected gas volume. The pulses may be sent in "bursts" not just a steady rate. Producer's equipment needs to accept 100 CF pulses at irregular intervals. g. Costs are available from Gas Transportation Billing. -21- ATTACHMENT C Pipeline and Hazardous Materials Safety Administration 1) PHMSA requires that as an operator gains information about internal corrosion, at a minimum, operators must: a. Monitor for, and mitigate the presence of, deleterious gas stream constituents. b. At points where gas with potentially deleterious contaminants enters the pipeline, use filter separators or separators and continuous gas quality monitoring equipment. c. At least once per quarter, use gas quality monitoring equipment that includes, but not limited to, a moisture analyzer, chromatograph, carbon dioxide sampling, and hydrogen sulfide sampling. d. Use cleaning pigs and sample accumulated liquids and solids, including tests for microbiologically induced corrosion. e. Use inhibitors when corrosive gas or corrosive liquids are present. f. Address potentially corrosive gas stream constituents as specified in section 192.478(a), where the volumes exceed these amounts over a 24-hour interval in the pipeline as follows: i. Limit carbon dioxide to three percent by volume ii. Allow no free water and otherwise limit water to seven pounds per million cubic feet of gas iii. Limit hydrogen sulfide to 1.0 grain per hundred cubic feet (16 ppm) of gas. If the hydrogen sulfide concentration is greater than 0.5 grain per hundred cubic feet (8 ppm) of gas, implement a pigging and inhibitor injection program to address deleterious gas stream constituents, including follow-up sampling and quality testing of liquids at receipt points. g. Review the program at least semi-annually based on the gas stream experience and implement adjustments to monitor for, and mitigate the presence of, deleterious gas stream constituents. -22- ATTACHMENT D Cyber Security 1. SCOPE OF THIS ARTICLE This Article applies to Producer and its Personnel and Subcontractors that provide hardware, software, or services to MidAmerican that may impact the confidentiality, integrity, or availability of MidAmerican's networks, systems, software, Data, or Confidential Information for the term of the Contract. 2. CYBER SECURITY CONTROLS a. Producer shall have and maintain security controls to protect MidAmerican networks, systems, software, Confidential Information, and Data that are no less rigorous than the latest published version of ISO/IEC 27001 — Information Security Management Systems —Requirements, and ISO/IEC 27002 — Code of Practice for International Security Management b. Producer agrees to disclose to MidAmerican known security vulnerabilities in hardware, software, and services provided under the Contract in a timely manner. C. Producer warrants that the hardware, software, and patches provided under the Contract, will not contain malicious code or any unwanted or unexpected features. Producer agrees to provide a method to verify the integrity and authenticity of all software and patches provided by the Producer. d. If Producer will have remote access to MidAmerican systems or networks, Producer shall follow all applicable MidAmerican requirements for Producer - initiated interactive remote access and system -to -system remote access with Producer. To the extent Producer's Personnel will have interactive remote access to MidAmerican's networks, systems or applications, Producer's Personnel will use multi -factor authentication provided by MidAmerican. Authentication tokens and passwords must not be shared. Upon either (i) Personnel termination actions or (ii) changes in the status of Personnel which removes their need for remote access, Producer shall report such termination or change in status to MidAmerican's Service Desk by telephone and email as soon as practicable and no later than close of the same business day. In the case of Sensitive Personnel and/or involuntary termination, notification must be immediate. In all other cases, notification must be within one business day. e. Producer shall ensure that email from the Producer and any services provided under the Contract: a. Originates from a domain or domains with a published Domain -based Message Authentication, Reporting and Conformance ("DMARC") policy of "reject" and with a published Sender Policy Framework policy consisting of valid senders and a "fail" directive (-all). If the optional DMARC "pct" directive is used, "pct" must be set to "100"; b. Passes a DMARC authentication check; C. Utilizes a DomainKeys Identified Mail (DKIM) 2048 bit key; and, d. Supports Transport Layer Security (TLS). 3. OVERSIGHT OF COMPLIANCE -23- If the contract includes hosted or cloud services, Producer shall provide annually to MidAmerican a Statement on Standards for Attestation Engagements (SSAE) Service Organization Control (SOC) 2 Type II audit covering the scope of the contract and pertaining directly to the Producer. If the contract does not include hosted or cloud services, Producer shall either: a. Annually provide a copy of ISO 27001 certification covering the scope of the contract and pertaining directly to the Producer; or, b. Annually provide a copy of a third -party audit covering the security controls relevant to hardware, software, or services provided under this contract and pertaining directly to the Producer. Audit results and Producer's plan to correct any negative findings must also be made available to MidAmerican; or, C. Allow MidAmerican to conduct an assessment, audit, examination, or review of Producer's security controls to confirm Producer's adherence to the terms of this Article, as well as any applicable laws, regulations, and industry standards, not more than once per year or upon notification of any Security Incident or complaint regarding Producer's privacy and security practices. MidAmerican may elect to obtain the services of a mutually -agreeable third party to conduct this assessment, audit, examination, or review on behalf of MidAmerican. MidAmerican shall give Producer no less than thirty (30) calendar days' notice of its intent to conduct such assessment, audit, examination, or review. As part of this assessment, audit, examination, or review, MidAmerican may review all controls in Producer's physical and/or technical environment in relation to all Confidential Information being handled and/or hardware, software, or services being provided pursuant to this Contract. Producer shall fully cooperate with such assessment by providing access to knowledgeable personnel, physical premises, documentation, infrastructure, application software, and systems relevant to the provision of hardware, software, or services under the Contract. 4. SECURITY INCIDENT PROCEDURES; EQUITABLE RELIEF In the event of a Producer, or Subcontractor Security Incident affecting MidAmerican, MidAmerican's networks, systems, software, Data, or MidAmerican's Confidential Information, a. Producer shall: (i) Notify MidAmerican of the Security Incident as soon as practicable, but no later than 48 hours after Producer becomes aware of it, to 515-281- 2967 and Global SecurityOperations@brkenergy.com; and (ii) Provide MidAmerican with the name, phone number, and email for the Producer Personnel who shall serve as Producer's primary security contact and shall be available to assist MidAmerican with Security Incident management, response, and recovery associated with the Security Incident. b. Immediately following Producer's notification to MidAmerican of a Security Incident, the Parties shall coordinate with each other to investigate such Security Incident. Producer agrees to coordinate with MidAmerican in MidAmerican's handling of the matter, including: (i) assisting with any investigation and (ii) making available all relevant records and other materials required to comply with applicable -24- law, regulation, industry standards, or otherwise reasonably required by MidAmerican. C. Producer shall use best efforts to immediately remedy any Security Incident and prevent any further or recurrent Security Incident at Producer's expense in accordance with applicable privacy laws, regulations, and standards. Producer shall reimburse MidAmerican for actual reasonable costs incurred by MidAmerican in responding to, and mitigating damages caused by, any Security Incident, including all costs of notice and/or remediation pursuant to this section. d. Producer shall fully cooperate at its own expense with MidAmerican in any litigation or other formal action deemed reasonably necessary by MidAmerican to protect its rights relating to the use, disclosure, protection, and maintenance of its Confidential Information and Data. e. Producer acknowledges that any breach of Producer's obligations set forth in this Article may cause MidAmerican substantial irreparable harm for which monetary damages would not be adequate compensation and agrees that, in the event of such a breach or threatened breach, MidAmerican is entitled to seek equitable relief, including a restraining order, injunctive relief, specific performance and any other relief that may be available from any court, in addition to any other remedy to which MidAmerican may be entitled at law or in equity. Such remedies shall not be deemed to be exclusive but shall be in addition to all other available remedies at law or in equity, subject to any express exclusions or limitations in the Contract to the contrary. 5. OBLIGATIONS ON TERMINATION AND TERMINATION ASSISTANCE a. In addition to any other obligations that arise on termination or expiration of this Contract, the Parties agree that, on any expiration or termination of this Contract, upon completion of the delivery of the products and services to be provided under this Contract, or at any time upon MidAmerican's request, regardless of the circumstance: (i) If Producer has access to MidAmerican facilities or systems, Producer shall immediately surrender to MidAmerican all access cards, security passes, passwords and other such devices granting access to any Work Site or to MidAmerican networks or computer systems; and (ii.) If Producer has MidAmerican Data, Producer shall return any MidAmerican Data that is in its care, custody or control to MidAmerican in the format requested by MidAmerican and Producer shall, within 14 days of receiving MidAmerican's written confirmation that it can read the Data provided by Producer, (1) permanently delete any copies of the Data in Producer's care, custody or control, and (2) send MidAmerican written confirmation that data has been deleted. (iii.) If Producer has MidAmerican hardware or removable media, Producer will return to MidAmerican all hardware and removable media provided by MidAmerican that contains MidAmerican Data. MidAmerican Data in such returned hardware and removable media may not be removed or altered in any way. The hardware should be physically sealed and returned via a bonded courier or as otherwise directed by MidAmerican. If the hardware or removable media containing MidAmerican Data is owned by -25- Producer or a third -party, a written statement detailing the destruction method used and the data sets involved, the date of destruction and the entity or individual who performed the destruction will be sent to a designated MidAmerican security representative within fifteen (15) calendar days after completion of the delivery of the products and services to be provided under this Contract, or at any time upon MidAmerican's request. Producer's destruction or erasure of MidAmerican Data pursuant to this Article must be in compliance with NIST or ISO Standards. 6. PROHIBITED VENDORS Producer may not use in the provision of Work or Services to MidAmerican, directly or indirectly using subcontractors, the services, products, component pieces or sub- assemblies of any of the companies identified by MidAmerican in Attachment G and by the U.S. Department of Commerce (which are currently posted on the internet at https: //www.bi s. doc. gov/index.php/regulations/export-admini strati on-regul ati ons- ear and as published in 15 CFR, Subchapter C, part 744, Supplement No. 4). Producer is responsible for being familiar with the Prohibited Vendors, including additional Prohibited Vendors that MidAmerican may identify by written notice to Producer and that the U.S. Government may identify from time to time during the term of this Contract. If Producer fails to abide by the requirements of this Section, MidAmerican will provide Producer with written notice and a 30 day opportunity to cure. Continued failure to abide by this requirement will be considered a material breach of this Contract. -26- ATTACHMENT E Figures Figure 1— Preliminary Project Route r RNG INTERCONNECT • . ANOIMECTION R ' STATION i All fh h ■ .ti •.� ■ Z� _ . ► �•�� INSTALL NEW MAIN FROM • • •a. TIE NE =IN INTERCONNECT r� �� •• INTO EXISTING • TO EXISTING ►ram %+� tNDOF • TRANSMISSION TRANSMISSION L1Nf rl= Figure I represents the preliminary route proposed for the natural gas line from the regulator station to the metering station, as conceived by Company as of the Effective Date. Final pipeline alignment and construction activities will protect existing trees and proposed pipeline from damage. Company and Producer will review routing and methods to mitigate tree damage prior to construction. -27- ATTACHMENT F Producer Quality Requirements for Gas Supplied Into MidAmerican's System 1. MidAmerican's gas quality standards that must be adhered to and by the Producer to MidAmerican are: Component Requirement Applicable Test Method (1) Continuous Monitoring (2) Quarterly Lab Analysis (3) Btu Content * Minimum 950 Btu/scf and maximum 1100 Btu/scf with final downstream blend within 5% of serving pipeline ASTM D3588 X X Methane Report in % by volume ASTM D7833 X X Ethane Report in % by volume ASTM D7833 X X Propane Report in % by volume ASTM D7833 X X Butane Report in % by volume ASTM D7833 X X Pentane <_ 600 ppmv ASTM D7833 X X Hexane Plus <_ 50 ppmv ASTM D7833 X X Carbon Dioxide <_ 2.0 % by volume ASTM D7833 X X Nitrogen <_ 2.0 % by volume ASTM D7833 X X Total Inerts (N2+CO2) <_ 4.0 % by volume ASTM D7833 X X Oxygen <_ 0.2 % by volume ASTM D7833 X X Water <_ 5.0 lbs./mmscf ASTM D5454 X X Hydrogen <_ 0.4 % by volume ASTM D7833 X Hydrogen Sulfide <_ 0.25 grains/100scf ASTM D5504 X X Total Sulfur <_ 0.5 grains/100scf ASTM D5504 X X Gas Temperature >_ 40 degrees and <_ 110 degrees Fahrenheit X Wobbe Index >_ 1200 and <_ 1400 ASTM D3588 X X Benzene <_ 0.15 ppmv ASTM D6420 X Bromodichloromethane <_ 0.15 ppmv ASTM D6420 X Carbon Disulfide <_ 0.15 ppmv ASTM D6420 X Chloroform <_ 0.15 ppmv ASTM D6420 X Methyl iso-Butyl ketone <_ 0.15 ppmv ASTM D6420 X Styrene <_ 0.15 ppmv ASTM D6420 X Tetrachloroethylene <_ 0.15 ppmv ASTM D6420 X Methylbenzene <_ 100 ppmv ASTM D6420 X -28- Bromoform <_ 0.15 ppmv ASTM D6420 X Vinyl acetate <_ 0.15 ppmv ASTM D6420 X Vinyl Chloride <_ 0.15 ppmv ASTM D6420 X Chloromethane <_ 0.15 ppmv ASTM D6420 X cis-1,2-Dichloroethene <_ 0.15 ppmv ASTM D6420 X Dibromochloromethane <_ 0.15 ppmv ASTM D6420 X 1,1-Dichloroethane <_ 0.15 ppmv ASTM D6420 X 1,2-Dichloropropane <_ 0.15 ppmv ASTM D6420 X Ethylbenzene <_ 0.15 ppmv ASTM D6420 X Ethyl chloride <_ 0.15 ppmv ASTM D6420 X Methylene chloride <_ 0.15 ppmv ASTM D6420 X 1,1,2,2- Tetrachloroethane <_ 0.15 ppmv ASTM D6420 X 1,1,1-Trichloroethane <_ 0.15 ppmv ASTM D6420 X 1,1,2-Trichloroethane <_ 0.15 ppmv ASTM D6420 X p-Xylene <_ 0.15 ppmv ASTM D6420 X Bromomethane <_ 0.15 ppmv ASTM D6420 X Carbon tetrachloride <_ 0.15 ppmv ASTM D6420 X Chlorobenzene <_ 0.15 ppmv ASTM D6420 X c-1,3-Dichloropropene <_ 0.15 ppmv ASTM D6420 X 1,2-Dichloroethane <_ 0.15 ppmv ASTM D6420 X 1,1-Dichloroethene <_ 0.15 ppmv ASTM D6420 X t-1,2-Dichloroethene <_ 0.15 ppmv ASTM D6420 X Methyl ethyl ketone <_ 0.15 ppmv ASTM D6420 X 2-Hexanone <_ 0.15 ppmv ASTM D6420 X t-1,3-Dichloropropene <_ 0.15 ppmv ASTM D6420 X Trichloroethene <_ 0.15 ppmv ASTM D6420 X m-Xylene <_ 0.15 ppmv ASTM D6420 X o-Xylene <_ 0.15 ppmv ASTM D6420 X Total Volatile Metals <_ 0.1 ppmv EPA 6020 X Total Silicon <_ 1.0 ppmv EPA 6020 X Siloxanes <_ 0.5 mg/m3 ASTM D8230 X Carbon Monoxide <_ 0.001 by volume ASTM D7833 X Halogenated Hydrocarbons <_ 5 ppmv ASTM D6420 X Naphthalene <_ 10 ppmv EPA TO-15 X Isopropylbenzene <_ 50 ppmv EPA TO-15 X Nonane <_ 200 ppmv EPA TO-15 X Iso-octane <_ 300 ppmv EPA TO-15 X Ammonia** <_ 10 ppmv OSHA ID-188 X** Mercury** <_ 0.00008 ppmv ASTM D6350 X** Dust, gum, gum forming constituents, and other solid and /or liquid matter** <_ 1.0 pm Microscopic X** Biologicals** <_ 0.2 pm Microscopic X** -29- * The calculation of injected therms shall be calculated by taking measured volume at the meter times the actual average Btu of the biogas injected ** Requires specialized sampling (1): Gas quality shall be tested in accordance with the testing method noted. (2): Gas quality shall be reported to MidAmerican by the Producer through continuous monitoring every 15 minutes. (3): Gas quality shall be reported to MidAmerican by the Producer via an Approved Laboratory. A laboratory analysis shall be provided prior to beginning injections and on a quarterly basis thereafter. Subsequent to the initial laboratory analysis, the quarterly laboratory analysis shall be taken during the months of March, June, September and December with the report provided to MidAmerican within 15 days of the following corresponding month. For example, a sample shall be taken during March and provided to MidAmerican by April 15. The laboratory analysis repeats on a quarterly basis each calendar year regardless of the initial injection date. 2. To qualify as Compatible RNG, Producer's Renewable Natural Gas shall meet the minimum quality requirements stated above and be comparable to and interchangeable with natural gas purchased from MidAmerican's normal suppliers. Producer shall provide MidAmerican with periodic gas quality values as determined by MidAmerican to ensure quality compliance. If the Compatible RNG becomes Non -Compatible RNG, MidAmerican may refuse or Shut -In the injections of RNG. Once MidAmerican has been notified that the RNG has become Non -Compatible RNG, the following actions will be taken: a) If the constituent(s) causing the Renewable Gas to become Non -Compatible RNG is continuously monitored, then the producer will have 60 minutes to correct the constituent(s) and meet the requirements. If the constituent(s) continues to fail the requirements after 60 minutes, then the plant will be Shut -In until constituents are brought back into range. If continuous monitoring becomes unavailable due to equipment malfunctions or communication issues, the producer will have 60 minutes to resolve. If continuous monitoring has not resumed after 60 minutes, then the plant will be Shut -In. b) If the constituent is monitored by quarterly laboratory analysis, then the Producer will immediately retest in an expedited manner. If a subsequent lab analysis proving the exceedance(s) was corrected is not produced within two weeks, then the plant will be Shut -In. 3. MidAmerican may refuse or Shut -In the injections of Renewable Gas for the reasons noted below. Upon such refusal, MidAmerican will develop and provide a plan to Producer to curtail RNG injections until the applicable requirement is met or restored. a) MidAmerican may require Producer to appropriately blend the Renewable Gas to the extent reasonably necessary to protect downstream customers sensitive to Btu swings, even if said Renewable Gas is otherwise deemed Compatible RNG. b) The Renewable Gas does not have a third party marketer with sufficient downstream demand to receive the RNG. -30- c) Reduced demand on MidAmerican's system. Reduced Demand shall mean the downstream demand load from Iowa customers that are served from RVS_TBS_0178. 4. Producer shall not knowingly supply Renewable Gas from a source defined as a hazardous waste in rules of the federal Environmental Protection Agency codified at 40 CFR § 261.3. Producer shall provide MidAmerican with annual calibration reports verifying all gas quality monitoring equipment is operating properly. Producer is responsible for any maintenance or repairs to the gas quality measuring equipment. Producer shall provide MidAmerican with local plant contact information and phone number for communicating with MidAmerican Gas Control on a 24 hour per day basis. MidAmerican Gas Control will communicate gas quality issues, telemetry alarms, emergency conditions, or the requirement to shut in the plant to this local plant contact. -31- ATTACHMENT G Prohibited Vendors List Producer may not use in the provision of Work or Services to Company, directly or indirectly using subcontractors, the services, products, component pieces or sub- assemblies of any company identified by Company or by the U.S. Government and/or regulatory authorities as a security threat (collectively, the "Prohibited Vendors"), including without limitation the companies identified by Company and by the U.S. Department of Commerce (which are currently posted on the internet at https: //www.bi s. doc.gov/index.php/regulations/export-admini strati on -regulations -ear and as published in 15 CFR, Subchapter C, part 744, Supplement No. 4). Producer is responsible for being familiar with the Prohibited Vendors, including additional Prohibited Vendors that Company may identify by Notice to Producer and that the U.S. Government may identify from time to time during the term of this Contract. If Producer fails to abide by the requirements of this Section, Company will provide Producer with Notice and a 30 day opportunity to cure. Continued failure to abide by this requirement will be considered a material breach of this Contract. The current list of prohibited vendors and vendor regions includes: • AO Kaspersky Lab • Chint Power Systems America Co. (Solar Panel division) • Chint Solar (Hong Kong) Company Limited • Da Jiang Innovations (DJI) • Dago New Energy Corporation • Dahua Technology Company • East Hope Group • Eaton Corporation (Solar Panel division) • GCL-Poly Energy Holdings Ltd • Hangzhou Hikvision Digital Technology Company • HT Solar Enerji Anonim Sirketi • Huawei Technologies Co. Inc. • Hytera Communications Corporation • Risen Energy America, Inc. • Sieyuan Electric Co., Ltd • Solar City (subsidiary of Tesla) • Trina Solar • Xinjiang Production and Construction Corps • Xinjiang Uyghur Autonomous Region, China • Xinte Energy Company • ZTE Corporation -32- ATTACHMENT H -33- Item Number: 6.d. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution establishing the fees for rental inspections and rescinding Resolution No. 15-60. Prepared By: Stan Laverman, Sr. Housing Inspector Reviewed By: Erika Kubly, Neighborhood Services Coordinator Geoff Fruin, City Manager Fiscal Impact: none Staff Recommendation: Approval Commission Recommendations: N/A Attachments: Resolution Executive Summary: This resolution increases rental inspection fees for the first time since 2015. Presently the fees are $165 per structure, $17 per unit and $9 per bedroom. The proposed fee structure would be $170 per structure, $20 per unit and $10 per bedroom. Under the proposed fee structure, fees for a typical 12-unit, 2 bedroom per unit multi -family building would equal a $0.46 per month, per unit increase. Fees for a typical 3-bedroom single family rental would equal a $0.92 per month increase. Fees collected directly support the rental inspection program and allow the City to continue to recoup the costs of this public service. Prepare0 by Stan Laverman. Sr. Housing Inspector 410 E. Washington St, laze City. IA 52M; 319135 5135 Resolution No. 25-133 Resolution establishing the fees for rental inspections and rescinding Resolution No. 15-60 Whereas, the City of Iowa City Housing Code provides for inspection and licensing of all multiple dwellings, fratemity/sorority houses, rooming houses, duplexes, and single-family rental dwellings; and Whereas, the payment of the fees is necessary to offset the administrative costs of such activities; and Whereas, Resolution No. 15-60 is the current fee schedule; and Whereas, the inspection fees should be increased to reflect the present administrative costs. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that: 1. This resolution is effective July 1, 2025. 2. The fees for rental permits and reinspections as part of the Iowa City Housing Code are as follows: $ 170.00 per structure $ 20.00 per dwelling unit $ 10.00 per bedroom $ 60.00 re -inspection fee $ 50.00 "No Show for Inspection' fee 3. Resolution No. 15-60 is rescinded. Passed and approved this 3rd day of June, 2025. Attest: 1, 0 - 4, � A u- City Clerk ia'yo_�_� Approved by: City Attom Ic (Sue Dule c — 05128/2025) Resolution No. 25-133 Page No. 2 It was moved by Moe , and seconded by Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih x Teague —� Weilein salih .thatthe Item Number: 6.e. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution authorizing the procurement of one (1) new Case 721 G Wheel Loader for Streets Operations. Prepared By: Dan Striegel - Equipment Superintendent Reviewed By: Brock Holub - Streets Superintendent Ron Knoche - Director of Public Works Geoff Fruin - City Manager Fiscal Impact: $241,250.00; funds are available in account 22710332. Staff Recommendation: Approval Attachments: Resolution Agreement Executive Summary: At the June 3, 2025 City Council meeting, consideration will be given to a resolution authorizing the procurement of one (1) new Case 721 G Wheel Loader for Streets Operations. Sourcewell cooperative contract 011723-CNH will be utilized for the procurement of the wheel loader from Titan Machinery in Center Point, IA. This contract allows for a 29% discount off list price. Purchase price of the wheel loader after discount is $241,250.00 as per sales agreement ES0047269 dated May 13, 2025. Funding for this purchase is available in fiscal year 2026 under account 22710332-474420. Background / Analysis: The Streets Division currently has two wheel loaders in its fleet used for general street repairs and snow removal operations. There is a need for an additional wheel loader within the city fleet which was approved in the fiscal year 2026 operating budget. An additional loader in the fleet will also reduce the number of rental loaders we need for winter operations by one. At the present time, estimated delivery will be July/August 2025. Item Number: 6.f. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution accepting the work for the Benton Street Rehabilitation Project [STP-U-3715(669)-- 70-52]. Prepared By: Reviewed By: Fiscal Impact: Staff Recommendation: Attachments: Engineer's Report Resolution Alin Dumachi - Senior Engineer Jason Havel - City Engineer Ron Knoche - Public Works Director Geoff Fruin - City Manager None Approval Executive Summary: Work on the project was recently completed by Tschiggfrie Excavating, Co. of Dubuque, Iowa, in substantial accordance with the plans and specifications. The Engineer's Report is on file with the City Clerk. Project Estimated Cost: $ 4,200,000.00 Project Bid Received: $ 3,418,732.80 Project Actual Cost: $ 3,438,173.13 Background / Analysis: The Benton Street Rehabilitation Project included a crack and seat of the existing pavement with a Hot Mix Asphalt (HMA) overlay, painting of on -street bike lanes, ADA sidewalk improvements, and traffic and pedestrian signal improvements at the Benton and Sunset intersection. ENGINEER'S REPORT May 28, 2025 City Council Iowa City, Iowa Re: Benton Street Rehabilitation Project [STP-U-3715(669)--70-52] Dear City Council: CITY OF IOWA CITE" 410 East Washington Stet Iowa City, IoNva 5224 - 1926 I hereby certify that the Benton Street Rehabilitation Project has been completed by Tschiggfrie Excavating, Co. of Dubuque, Iowa, in substantial accordance with the Project Manual developed by McClure Engineering Co. The project was bid as a unit price contract and the final contract price is $3,438,173.13. There were eleven (11) change orders on this project as follows: 1. Substitution of intake types $42,000.00 2. Sanitary manhole modification $790.00 3. Temporary concrete fillet for intake $3,000.00 4. Storm sewer manhole and pipe $45,400.00 5. Removal and relocation of speed limit sign with flashers $2,100.00 6. Cleaning and preparation of PCC pavement base and HMA patches $9,278.60 7. Installation of 5-head traffic signal $4,565.00 8. Liquidated Damages -$19,200.00 9. Adjustment of quantities -$41,438.40 10. Relocation of pedestrian push button $11,300.00 11. Adjustment of quantities $59,399.00 TOTAL $117,194.20 I recommend that the above -referenced improvements be accepted by the City of Iowa City. Sincerely, / 6 Jason Havel, PE City Engineer �.f Prepared by: Alin Dumachi, Sr. Engineer, Public Works, 410 E. Washington St, Iowa City, IA 52240 (319) 356-5143 Resolution No. 25-135 Resolution accepting the work for the Benton Street Rehabilitation Project [STP-U-3715(669)--70-52]. Whereas, the Engineering Division has recommended that the work for construction of the Benton Street Rehabilitation Project, as included in a contract between the Iowa Department of Transportation and Tschiggfrie Excavating, Co. of Dubuque, Iowa, dated July 26"', 2022, be accepted; and Whereas, the Engineer's Report and the performance, payment and maintenance bond have been filed in the City Clerk's office; and Whereas, funds for this project are available in the Benton Street Rehabilitation Project account # 53947;and Whereas, the final contract price is $3,438,173.13. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that said improvements are hereby accepted by the City of Iowa City, Iowa. Passed and approved this 3rd day of June , 2025 Mayor Attest: v City Clerk It was moved by Moe and seconded by adopted, and upon roll call there were: Approved by City Attoy ey's Office (Liz Craig — 05/29/2025) salih the Resolution be Ayes: Nays: Absent: x Alter x Bergus x Harmsen x Moe x Salih x Teague x Weilein Item Number: 6.g. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution awarding contract and authorizing the Mayor to sign and the City Clerk to attest a contract for construction of the Rundell Street Pump Station Vault Modifications Project. Prepared By: Reviewed By: Fiscal Impact: Staff Recommendation: Attachments: Resolution Ben Clark - Senior Engineer Jason Havel - City Engineer Ron Knoche - Public Works Director Geoff Fruin - City Manager $420,400 available in the Rundell Street Pump Station Vault Modifications account #M3634. Approval Executive Summary: This agenda item awards the Rundell Street Pump Station Vault Modifications Project. Four (4) bids were submitted prior to the May 28, 2025 deadline: Bidder Name City Bid Amount Minturn, Inc Brooklyn, Iowa $420,400 WRH, Inc South Amana, Iowa $424,900 Woodruff Construction Tiffin, Iowa $446,200 Tricon General Construction Cedar Rapids, Iowa $508,000 Engineer's Estimate $411,000 Minturn, Inc. of Brooklyn, Iowa submitted the lowest responsive, responsible bid of $420,400. Staff recommends awarding the contract for the Rundell Street Pump Station Vault Modifications to Minturn, Inc. Background / Analysis: The Rundell Street Pumping Station was constructed in 1983 and some components have reached the end of their useful life expectancy. The pumping station is comprised of one wet well that contains two submersible pumps and a separate wet well that contains two axial flow propeller pumps. The two wet wells are connected via a 54-inch gravity sewer. The submersible pumping station work consists of the replacement of two submersible pumps and appurtenances, check valves, isolation valves, and electrical equipment; replacement of the existing 14-foot by 14-foot concrete top slab and access doors; preparation and painting of the existing ductile iron piping to remain; and rehabilitation of the existing trash screen anchors and supports. Prepared by: Ben Clark, Engineering Division, 410 E. Washington St, Iowa City, IA 52240, (319)356-5436 Resolution No. 25-136 Resolution awarding contract and authorizing the Mayor to sign and the City Clerk to attest a contract for construction of the Rundell Street Pump Station Vault Modifications Project Whereas, Mintum, Inc. of Brooklyn, Iowa, has submitted the lowest responsive, responsible bid of $420,400 for construction of the above -named project; and Whereas, funds for this project are available in the Rundell Street Pump Station Vault Modifications account #M3634. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that: The contract for the construction of the above -named project is hereby awarded to Minturn, Inc., subject to the condition that awardee secure adequate performance and payment bond, insurance certificates, and contract compliance program statements. 2. The Mayor is hereby authorized to sign and the City Clerk to attest the contract for construction of the above -named project, subject to the condition that awardee secure adequate performance and payment bond, insurance certificates, and contract compliance program statements. 3. The City Engineer and City Manager are authorized to execute change orders according to the City's Purchasing Policy as they may become necessary in the construction of the above -named project. Passed and approved this 3rd day of .tune 20 25 Attest: City Clerk Moe l � M99or Approved by City Attor ey's Office (Liz Craig - 05/28/2025) - Ralih It was moved by and seconded by adopted, and upon roll call there were: Ayes: Nays: Absent: X Alter X Bergus X Harmsen Moe x Salih x Teague X Weilein the Resolution be Item Number: 7.a. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution setting a public hearing for June 17, 2025, on an ordinance amending Title 12, Chapter 5, Franchise Fees to repeal the one percent (1 %) franchise fee and enact a two percent (2%) franchise fee on the gross revenue derived from the distribution, delivery, and retail sale of electricity and natural gas by franchisees including MidAmerican Energy Company, or other natural gas providers utilizing the distribution system of MidAmerican, to customers within the current or future corporate limits of the City of Iowa City, and on a Revenue Purpose Statement specifying the purposes for which the revenue collected from the franchise fees will be expended, and directing the City Clerk to cause notice of said public hearing and said Revenue Purpose Statement to be published as provided by law. Prepared By: Kirk Lehmann, Assistant City Manager Reviewed By: Eric Goers, City Attorney Geoff Fruin, City Manager Fiscal Impact: Increased revenue from electric and gas franchise fees Staff Recommendation: Approval Commission Recommendations: N/A Attachments: Resolution Executive Summary: Iowa City's gas and electric franchises with MidAmerican Energy Company reserve to the City the right to impose a franchise fee on MidAmerican's gross revenue from the sale of electricity and natural gas. Iowa City currently has a 1 % franchise fee enacted in 2010 for inspecting, supervising and otherwise regulating the MidAmerican Energy Company's gas and electric franchises, public safety including the equipping of fire, police and emergency services, and public infrastructure to support commercial and industrial economic development (Ordinance No. 10-4374). To update the franchise fee rate ordinance, the City must hold a public hearing and publish a Revenue Purpose Statement specifying the purposes for which the revenue collected from the franchise fee will be expended. This item sets a public hearing for June 17 to consider increasing the franchise fee from 1 % to 2% and to modify the Revenue Purpose Statement to align with the uses allowable in State Code. Background / Analysis: Iowa City's current gas and electric franchises with MidAmerican Energy Company reserve to the City the right to impose a franchise fee on MidAmerican's gross revenue from the sale of electricity and natural gas. Code of Iowa Section 384.3A allows for the collection of franchise fees in an amount not to exceed 5% of a franchisee's gross revenues. State Code generally restricts revenues to the following purposes: • Property tax relief. • The repair, remediation, restoration, cleanup, replacement, and improvement of existing public improvements and other publicly owned property, buildings, and facilities. • Projects designed to prevent or mitigate future disasters. • Energy conservation measures for low-income homeowners, low-income energy assistance programs, and weatherization programs. • Public safety, including the equipping of fire, police, emergency services, sanitation, street, and civil defense departments. • The establishment, construction, reconstruction, repair, equipping, remodeling, and extension of public works, public utilities, and public transportation systems. • The construction, reconstruction, or repair of streets, highways, bridges, sidewalks, pedestrian underpasses and overpasses, street lighting fixtures, and public grounds, and the acquisition of real estate needed for such purposes. • Property tax abatements, building permit fee abatements, and abatement of other fees for property damaged by a disaster. • Economic development activities and projects. To adopt or update a franchise fee rate ordinance, the City must hold a public hearing and prepare and publish a Revenue Purpose Statement specifying the purposes for which the revenue collected from the franchise fee will be expended. Iowa City enacted a 2% franchise fee to be effective April 1, 2010 (Ordinance No. 09-4374) to allow for inspecting, supervising and otherwise regulating the MidAmerican Energy Company's gas and electric franchises, public safety including the equipping of fire, police and emergency services, and public infrastructure to support commercial and industrial economic development. It was reduced it to 1% effective June 1, 2010 (Ordinance No. 10-4382) while maintaining the same purposes. City Council's Strategic Plan for Fiscal Years 2023-2028 proposes considering alternative revenue sources including franchise fees to help achieve strategic plan goals. One of Council's mobility strategies is "to enhance mobility by expanding the access and convenience of environmentally friendly and regionally connected public transit." Since August 1, 2023, Council implemented a fare -free transit pilot, supported by American Rescue Plan Act dollars. In FY 2025, Council increased several parking -related fees and citations to help support continuation of fare -free transit. Increasing the 1 % gas and electric franchise fee increase to 2% further supports continuation of this service. In order to use franchise fees for transportation -related expenses, the Revenue Purpose Statement must be updated. Staff recommends expanding the scope of the City's Revenue Purpose statement to align with the allowable uses in State Code to maximize flexibility in addressing Council's strategic priorities. The City's franchise agreement with MidAmerican Energy requires 90 days notice of any franchise fee put into effect by the City. With a public hearing on June 17, 2025, an updated franchise fee could become effective November 15, 2025. Prepared by Kirk Lehmann, Assistant City Manager, 410 E. Washington St., Iowa City, IA (319(356-5014 Resolution No. 25-137 Resolution setting a public hearing for June 17, 2025, on an ordinance amending Title 12, Chapter 5, Franchise Fees to repeal the one percent (1%) franchise fee and enact a two percent (2%) franchise fee on the gross revenue derived from the distribution, delivery, and retail sale of electricity and natural gas by franchisees including MidAmerican Energy Company, or other natural gas providers utilizing the distribution system of MidAmerican, to customers within the current or future corporate limits of the City of Iowa City, and on a Revenue Purpose Statement specifying the purposes for which the revenue collected from the franchise fees will be expended, and directing the City Clerk to cause notice of said public hearing and said Revenue Purpose Statement to be published as provided by law. Whereas, Iowa City has current gas and electric franchises with MidAmerican Energy Company that reserve to the City the right to impose a franchise fee on the franchisee's gross revenue from the sale of electricity and natural gas; and Whereas, Iowa Code section 364.2(4xf)(2) requires the City, prior to adopting a franchise fee rate ordinance, to prepare and publish a Revenue Purpose Statement specifying the purpose or purposes for which the revenue collected from the franchise fee will be expended; and Whereas, by Ordinance No. 09-4374 the City Council adopted a 2% franchise fee to be effective April 1, 2010; and Whereas, by Ordinance No. 10-4382 the City Council repealed the 2% franchise fee and imposed a 1 % franchise fee to be effective June 1, 2010; and Whereas, the City's current Revenue Purpose Statement for the franchise fees is to utilize funds for inspecting, supervising, and otherwise regulating the MidAmerican Energy Company's gas and electric franchises, for public safety including the equipping of fire, police and emergency services, and for public infrastructure to support commercial and industrial economic development; and Whereas, the City Council's Strategic Plan for Fiscal Years 2023-2028 updated December 2024 proposes considering alternative revenue sources including franchise fees to help achieve strategic plan goals; and Whereas, the Strategic Plan includes a strategy to enhance mobility by expanding the access and convenience of environmentally friendly and regionally connected public transit; and Resolution No. 25-137 Page 2 Whereas, increasing the franchise fee from 1 % to 2% would allow the City to support mobility initiatives including but not limited to its fare -free Transit program; and Whereas, expanding the scope of the City's Revenue Purpose Statement to align with State Code allows the City to continue meeting City Council's strategic priorities while providing enhanced flexibility to do so; and Whereas, the City's franchise agreement with MidAmerican Energy requires 90 days' notice of any franchise fee put into effect by the City; and Whereas, it is in the best interest of the City of Iowa City to repeal said 1 % franchise fee and adopt, in lieu thereof, a 2% franchise fee effective November 15, 2025. Now, therefore, be it resolved by the City Council of Iowa City, Iowa, that The following Revenue Purpose Statement sets forth the purposes for which the revenue collected from the franchise fee will be expended: a. Inspecting, supervising and otherwise regulating the MidAmerican Energy Company's gas and electric franchises. b. Property tax relief. c. The repair, remediation, restoration, cleanup, replacement, and improvement of existing public improvements and other publicly owned property, buildings, and facilities. d. Projects designed to prevent or mitigate future disasters. e. Energy conservation measures for low-income homeowners, low-income energy assistance programs, and weatherization programs. f. Public safety, including the equipping of fire, police, emergency services, sanitation, street, and civil defense departments. g. The establishment, construction, reconstruction, repair, equipping, remodeling, and extension of public works, public utilities, and public transportation systems. h. The construction, reconstruction, or repair of streets, highways, bridges, sidewalks, pedestrian underpasses and overpasses, street lighting fixtures, and public grounds, and the acquisition of real estate needed for such purposes. i. Property tax abatements, building permit fee abatements, and abatement of other fees for property damaged by a disaster. j. Economic development activities and projects. k. Any other lawful purpose A public hearing to consider the Revenue Purpose Statement and an ordinance setting a 2% franchise fee is hereby set for June 17, 2025, at 6:00 p.m. in Emma J. Harvat Hall, City Hall, 410 E. Washington Street, Iowa City, Iowa, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. 3. The City Clerk is hereby directed to cause said Revenue Purpose Statement and notice of said public hearing to be published as provided by law. Resolution No. 25-137 Page 3 Passed and approved this 3r6 day of June, 2025. Mayor Approved by: Attest: JCQ-- Ci Clerk City Attorney's ifice - 05/29/2025 Resolution No. 25-137 Page No. 4 It was moved by Moe , and seconded by Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih Teague Weilein Salih , that the Item Number: 7.b. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution setting a public hearing on June 17, 2025 on project manual and estimate of cost for the construction of the FY26 Stormwater Improvements Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Prepared By: Timothy Schmadeke — Civil Engineer Reviewed By: Jason Havel — City Engineer Ron Knoche — Public Works Director Geoff Fruin — City Manager Fiscal Impact: $350,000 available in the Annual Storm Sewer Improvements account #M3631 Staff Recommendation: Approval Attachments: Resolution Executive Summary: This agenda item begins the bidding process for the FY26 Stormwater Improvements Project, which includes repairs associated with stormwater infrastructure at various locations throughout Iowa City. The Project also includes replacement of street, driveway, and sidewalk, as needed. Background / Analysis: This project includes storm sewer repairs on Greenwood Drive, Wylde Green Road, and Clover Street. The work generally includes replacing damaged storm sewer pipe, intakes, pavement replacement, and site restoration. Additional repair locations may also be added to the project as they arise. Prepared by: Timothy Sc madeke, Engineenng Division, 410 E. Washington St., Iowa City, IA 5224q (319)35G5044 Resolution No. 25-138 Resolution setting a public hearing on June 17, 2025 on project manual and estimate of cost for the construction of the FY26 Stormwater Improvements Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Whereas, funds for this project are available in the Annual Storm Sewer Improvements account #M3631. Now, therefore, be it resolved by the Council of the City of Iowa City, Iowa, that: 1. A public hearing on the project manual and estimate of cost for the construction of the above -mentioned project is to be held on the it day of June, 2025, at 6:00 p.m. in the Emma J. Harval Hall, City Hall, Iowa City, Iowa, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. 2. The City Clerk is hereby authorized and directed to publish notice of the public hearing for the above -named project in a newspaper published at least once weekly and having a general circulation in the City, not less than four (4) nor more than twenty (20) days before said hearing. 3. A copy of the project manual and estimate of cost for the construction of the above -named project is hereby ordered placed on file by the City Engineer in the office of the City Clerk for public inspection. Passed and approved this 3rd day of June / p�20 25 or Approved by Attest: �1C C 2 City Clerk City Attom s Office (Liz Craig - 05129/2025) It was moved by Moe and seconded by Salih the Resolution be adopted, and upon roll call there were: Ayes: Nays: Absent: X Alter X Bergus -� Harmsen —� Moe x Salih X Teague X Weilein Item Number: 7.c. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution setting a public hearing on June 17, 2025, on project manual and estimate of cost for the construction of the Iowa City Senior Center BAS Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Prepared By: Ben Clark — Senior Engineer Reviewed By: Jason Havel — City Engineer LaTasha DeLoach — Senior Center Manager Juli Seydell Johnson — Parks and Recreation Director Ron Knoche — Public Works Director Geoff Fruin — City Manager Fiscal Impact: $278,000 available in the Upgrade Building BAS Controls account #R4332. Staff Recommendation: Approval Attachments: Resolution Executive Summary: This agenda item begins the bidding process for the construction of the Iowa City Senior Center BAS Project. Background / Analysis: The project involves upgrading and integrating the mechanical controls of the Heating, Ventilation, and Air Conditioning (HVAC) systems to work with the City's networked Building Automation System (BAS). Bid alternates include improvements to the kitchen ductwork, variable speed drives at the existing hydronic system pumps and additional Variable Air Volume (VAV) boxes to better control temperatures in the northwest corner rooms on the first and third floors. Project Timeline: Public Hearing — June 17, 2025 Bid Letting — July 23, 2025 Award Date — August 5, 2025 Substantial Completion — October 31, 2025 Preramd by: Ben Oa*, Engineering DiWsion, 410 E. Washington St., Iowa City, IA 52240. (319)356-5436 Resolution No. 25-139 Resolution setting a public hearing on June 171, 2025, on project manual and estimate of cost for the construction of the Iowa City Senior Center BAS Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Whereas, funds for this project are available in the Upgrade Building BAS Controls account #R4332. Now, therefore, be it resolved by the Council of the City of Iowa City, Iowa, that: A public hearing on the project manual and estimate of cost for the construction of the above -mentioned project is to be held on the 1r day of June, 2025, at 6:00 p.m. in the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. The City Clerk is hereby authorized and directed to publish notice of the public hearing for the above -named project in a newspaper published at least once weekly and having a general circulation in the City, not less than four (4) nor more than twenty (20) days before said hearing. 3. A copy of the project manual and estimate of cost for the construction of the above -named project is hereby ordered placed on file by the City Engineer in the office of the City Clerk for public inspection. Passed and approved this 3rd day of June 2025 Mayo Approved by Attest: 1 CityClerk City Attom s Office (Liz Craig - 05/29/2025) It was moved by MOe and seconded by adopted, and upon roll call there were: Salih the Resolution be Ayes: Nays: Absent: x Alter x Bergus Y Harmsen x Moe x Salih x Teague x Weilein Item Number: 7.d. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution setting a public hearing on June 17, 2025, on project manual and estimate of cost for the construction of the Mercer Pool Roof Replacement Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Prepared By: Reviewed By: Fiscal Impact: Staff Recommendation: Attachments: Resolution Ben Clark — Senior Engineer Jason Havel — City Engineer Juli Seydell Johnson — Parks and Recreation Director Ron Knoche — Public Works Director Geoff Fruin — City Manager $655,000 available in the Mercer Pool Roof account #R4426. Approval Executive Summary: This agenda item begins the bidding process for the construction of the Mercer Pool Roof Replacement Project. Background / Analysis: The Mercer Park Aquatic Center roof has reached the end of its serviceable life and is in need of replacement. Project Timeline: Public Hearing — June 17, 2025 Bid Letting — July 1, 2025 Award Date — July 8, 2025 Substantial Completion — October 31, 2025 Prepared by: Ben Clark, Engineering Division, 410 E. Washington St., love City, IA 52240, (319)356-5496 Resolution No. 25-140 Resolution setting a public hearing on June 17', 2025, on project manual and estimate of cost for the construction of the Mercer Pool Roof Replacement Project, directing City Clerk to publish notice of said hearing, and directing the City Engineer to place said project manual on file for public inspection. Whereas, funds for this project are available in the Mercer Pool Roof account #R4426. Now, therefore, be it resolved by the Council of the City of Iowa City, Iowa, that: 1. A public hearing on the project manual and estimate of cost for the construction of the above -mentioned project is to be held on the 1r day of June, 2025, at 6:00 p.m. in the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. 2. The City Clerk is hereby authorized and directed to publish notice of the public hearing for the above -named project in a newspaper published at least once weekly and having a general circulation in the City, not less than four (4) nor more than twenty (20) days before said hearing. 3. A copy of the project manual and estimate of cost for the construction of the above -named project is hereby ordered placed on file by the City Engineer in the office of the City Clerk for public inspection. Passed and approved this 3rd day of June • _ 2025 Mayor Approved by Attest: I ` �--E' �\ v -�`CL- City Clerk City Attom 's Office (Liz Craig - 05/29/2025) It was moved by Moe and seconded by Salih the Resolution be adopted, and upon roll call there were: Ayes: Nays: Absent: x Alter x Bergus g Harmsen Moe —� Salih -- Teague x Weilein Item Number: 11.a. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution approving project manual and estimate of cost for the construction of the 2025 Water Pavement Patching Project, establishing amount of bid security to accompany each bid, directing City Clerk to post notice to bidders, and fixing time and place for receipt of bids. Prepared By: Timothy Schmadeke — Civil Engineer Reviewed By: Jason Havel — City Engineer Ron Knoche — Public Works Director Geoff Fruin — City Manager Fiscal Impact: $360,000 available in the Water Division Operating Budget account #73730130. Staff Recommendation: Approval Attachments: Resolution Executive Summary: This agenda item begins the bidding process for the 2025 Water Pavement Patching Project, which includes pavement repairs associated with water main breaks on various streets throughout Iowa City. Types of pavement that need repaired include Portland Cement Concrete (PCC), PCC with Hot Mix Asphalt (HMA) overlay, and full depth HMA. Some locations will also require replacement of driveway, sidewalk, and/or curb and gutter. Background / Analysis: On average, there are approximately 70 water main breaks in Iowa City each year, and street and sidewalk pavement typically need to be replaced following water main repairs. With limited resources and the emergency nature of the pavement repairs, the City combines the pavement repairs at multiple main break sites into a single project to more efficiently address pavement damage resulting from water main breaks. As additional main breaks occur later this year, those sites will also be added to this project for repair. Project Timeline: Hold Public Hearing: June 3, 2025 Bid Letting: July 1, 2025 Award Date: July 8, 2025 Construction: July to November 2025 Prepamd by: Timothy Sohmadeke. Engimmnng Dimim, 410 E. Washington St., law City, IA 5224Q (319) 35&5(W Resolution No. 25-141 Resolution approving project manual and estimate of cost for the construction of the 2025 Water Pavement Patching Project, establishing amount of bid security to accompany each bid, directing City Clerk to post notice to bidders, and fixing time and place for receipt of bids. Whereas, notice of public hearing on the project manual and estimate of cost for the above - named project was published as required by law, and the hearing thereon held; and Whereas, the City Engineer or designee intends to post notice of the project on the websile owned and maintained by the City of Iowa City; and Whereas, funds for this project are available in the Water Divisions Operating Budget account #737301030. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa that: 1. The project manual and estimate of cost for the above -named project are hereby approved. 2. The amount of bid security to accompany each bid for the construction of the above - named project shall be in the amount of 10% (ten percent) of bid payable to City of Iowa City, Iowa. 3. The City Clerk is hereby authorized and directed to post notice as required in Section 26.3, not less than 13 days and not more than 45 days before the date of the bid letting, which may be satisfied by timely posting notice on the Construction Update Network, operated by the Master Builders of Iowa, and the Iowa League of Cities website. 4. Sealed bids for the above -named project are to be received by the City of Iowa City, Iowa, at the Office of the City Clerk, at the City Hall, before 3:00 p.m. on the 1st day of July, 2025. At that time, the bids will be opened by the City Engineer or his designee, and thereupon referred to the City Council of the City of Iowa City, Iowa, for action upon said bids at its next regular meeting, to be held at the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, at 6:00 p.m. on the 8b` day of July, 2025, or at a special meeting called for that purpose. Passed and approved this 3rd day of Attest: I�2.ki.-P City Clerk June 12025 Mayor Approved by City Attom 's ffice (Liz Craig - 05/29/2025) Resolution No. 29-141 Page 2 It was moved by MOe and seconded by Bergus the Resolution be adopted, and upon roll call there were: Ayes: Nays: Absent: x Alter x Bergus x Harmsen x Moe x Salih x Teague x Weilein Item Number: 11.b. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution approving plans, specifications and estimate of cost for the construction of the Wastewater Treatment Facility Digester Complex Rehabilitation - Phase 1 Project, establishing amount of bid security to accompany each bid, directing City Clerk to post notice to bidders, and fixing time and place for receipt of bids. Prepared By: Ben Clark — Senior Engineer Reviewed By: Tim Wilkey — Wastewater Superintendent Jason Havel — City Engineer Ron Knoche — Public Works Director Geoff Fruin — City Manager Fiscal Impact: $28,200,000 available in the Digester Complex Rehabilitation fund #V3151 and in the Wastewater Digester Gas Improvements fund #V3184. Staff Recommendation: Approval Attachments: Resolution Executive Summary: This agenda item begins the bidding process for the Wastewater Treatment Facility Digester Complex Rehabilitation - Phase 1 Project. This project generally includes improvements to the digester complex and a process to produce pipeline quality gas for sale on the renewable fuel market. Background / Analysis: The City of Iowa City commissioned a facility plan for the Digester Complex in 2021 that evaluated the condition of the existing digester equipment, current digester loadings, gas production, future capacity needs and struvite management alternatives. The facility plan identified improvements that will rehabilitate the existing facility and will allow for the production of pipeline quality gas for sale on the renewable fuel market. This project includes replacing the existing tank insulation, tank seals, gas safety equipment, and monitoring instrumentation. It also includes replacing the existing draft tube mixing systems with linear motion mixing systems for an estimated annual energy savings of approximately 400,000 kWh or $25,000. Additional improvements include a new sludge screening process, a new chemical storage building and process for struvite management, and a new high strength waste receiving and storage facility. The project also includes the installation of equipment to produce and distribute pipeline quality gas to be sold on the renewable fuel market. A future phase will include replacing the boilers and transfer pumps and will happen when funds are available in the Capital Improvement Program. Project Timeline: Public Hearing / Approve Project Manual: June 3, 2025 Bid Letting Date: July 15, 2025 Contract Award Date: August 5, 2025 Construction Dates: Fall 2025 to Summer 2028 Prepared by: Ben Clark, Engineering Division, 410 E. Washinglan St., Iowa City. IA 52240. (319) 356-5436 Resolution No. 25-142 Resolution approving plans, specifications and estimate of cost for the construction of the Wastewater Treatment Facility Digester Complex Rehabilitation - Phase 1 Project, establishing amount of bid security to accompany each bid, directing City Clerk to post notice to bidders, and fixing time and place for receipt of bids. Whereas, notice of public hearing on the project manual and estimate of cost for the above - named project was published as required by law, and the hearing thereon held; and Whereas, the City Engineer or designee intends to post notice of the project on the website owned and maintained by the City of Iowa City; and Whereas, funds for this project are available in the Digester Complex Rehabilitation fund #V3151 and in the Wastewater Digester Gas Improvements fund #V3184. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa that: 1. The project manual and estimate of cost for the above -named project are hereby approved. 2. The amount of bid security to accompany each bid for the construction of the above - named project shall be in the amount of 10% (ten percent) of bid payable to City of Iowa City, Iowa. 3. The City Clerk is hereby authorized and directed to post notice as required in Section 26.3, not less than 13 days and not more than 45 days before the date of the bid letting, which may be satisfied by timely posting notice on the Construction Update Network, operated by the Master Builders of Iowa, and the Iowa League of Cities website. 4. Sealed bids for the above -named project are to be received by the City of Iowa City, Iowa, at the Office of the City Clerk, at the City Hall, before 3:00 p.m. on the 15" day of July, 2025. At that time, the bids will be opened by the City Engineer or his designee, and thereupon referred to the City Council of the City of Iowa City, Iowa, for action upon said bids at its next regular meeting, to be held at the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, at 6:00 p.m. on the 5" day of August, 2025, or at a special meeting called for that purpose. Passed and approved this 3rd day of June 220�225n�- C-E� JC Mayor l Approved by Attest: Y� P t✓�-L J1t �}i C'C. e-' City Clerk City Attome s Office - 05l29/2025 Resolution No. 25-142 Page 2 It was moved by Mae and seconded by Alter the Resolution be adopted, and upon roll call there were: Ayes: Nays: Absent: x Alter x Bergus Y Harmsen x Moe x Salih x Teague x Weilein Item Number: 11.c. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution allocating human services Aid to Agencies funding for Fiscal Year 2026, July 1, 2025 - June 30, 2026. Prepared By: Erika Kubly, Neighborhood Services Coordinator Reviewed By: Tracy Hightshoe, Neighborhood and Development Services Director Fiscal Impact: $770,212.50 is budgeted for FY26 including $646,212.50 from the General Fund and $124,000 in CDBG funds. Staff Recommendation: Approval Commission Recommendations: The Housing and Community Development Commission was not able to meet quorum at their meeting on January 27, 2025. Attachments: Staff Funding Recommendations Resolution Exhibit A Executive Summary: The City annually budgets financial aid to human service agencies serving Iowa City residents. FY26 is the first year of a two-year application cycle for Legacy Agency awards. Recipients of FY26 funding will receive renewed funding allocations that are prorated based on the FY27 budget. HCDC was scheduled to review Legacy Agency applications at their January 27, 2025 meeting, but the commission was unable to reach a quorum. Commissioners were invited to provide individual scores and input on the FY2026 recommendations. Background / Analysis: Aid to Agencies (A2A) offers flexible funding for organizations providing public services to low-income residents of Iowa City. Current A2A Process In recent years the A2A budget has been divided between the following two categories: • Legacy Agencies — Eligible organizations are identified as a Legacy Agency in City Steps 2025, the City's previous five-year consolidated plan. The program is intended to provide stable funding for high performing nonprofits serving Iowa City's low-income residents. Applications are accepted on a two-year cycle through the United Way Community Impact Funding Process (often referred to as the "Joint Funding" process). Recipients of FY26 funding will receive a prorated award in FY27 based on the approved budget. A minimum of 95% of the total A2A budget is dedicated to Legacy Agencies. The current minimum award is $15,000 and no maximum has been set. • Non -Legacy Agencies (formerly Emerging Agencies — Up to 5% of the total A2A budget may be allocated to Non -Legacy Agencies which include any nonprofit agency that is not receiving Legacy funding in a given fiscal year. Eligible organizations must be a 501c3 in good standing. Applications are accepted annually for this funding through the City. Awards range from $5,000 to $15,000. Future A2A Process City Steps 2030, the new five-year consolidated plan, revised the A2A process and eliminated the Legacy and Non -Legacy distinctions. The revised process was approved by City Council on January 21, 2025, and includes the following: • Six agencies were selected for direct funding. All other agencies seeking city A2A operational funding will apply through the joint funding process every two years. • The goal of the A2A budget will be to provide an approximate 50/50 percentage split of funding between direct funded agencies and all other agencies submitting for assistance through the competitive portion of the grant process. • In any year, no more than 60% of the total A2A budget will be allocated to either funding category. • The minimum allocation for any agency was increased to $20,000. FY26-27 Funding Round After the previous FY24-25 funding cycle, staff worked with members of the Housing and Community Development Commission (HCDC), agency representatives, and other funders (United Way of Johnson and Washington Counties, Johnson County, City of Coralville, and City of North Liberty) on an in-depth review of the joint application and funding process. Recommendations were made to improve the application and corresponding scoring criteria, which were incorporated into the FY26-27 joint funding application. Additionally, all funders have implemented a coordinated two-year funding cycle and continue to hold regular meetings to discuss the ongoing process. The FY26-27 application was open to Legacy Agencies under the current program rules outlined in City Steps 2025. Because revisions to the A2A process were approved after applications were received for the FY26-27 funding round, changes outlined in the plan will be fully implemented in future funding rounds. During this transitional period, staff have considered both the new budget split requirements and the increased minimum allocation in the funding recommendations. HCDC typically makes funding recommendations to City Council for A2A, however, this year the commission was unable to reach a quorum to discuss the applications or formulate a recommendation. Commissioners were invited to provide scores and input to staff via email and two responses were received. Staff Recommendations and Next Steps Staff recommendations for Legacy Agency Recommendations for Legacy Agency funding w scoring criteria, with the highest scoring agencies Agencies who are awarded funding will enter into a their first quarterly payment. Subsequent quarterly quarterly reports are submitted and approved. allocations for FY26 are attached. ere determined based on the approved considered first for a funding increase. n agreement with the city prior to receiving payments will be made to agencies once The Non -Legacy application has been delayed due to ongoing A2A process discussions and the uncertainty of federal funding that provides a portion of the A2A budget. The proposed staff recommendation sets aside $30,000 for Non -Legacy Agencies. HUD recently announced allocations that allow the City to keep the A2A budget mostly consistent with previous recommendations for FY26. After Council approval of Legacy Agency allocations, staff will proceed with the application process for Non -Legacy funding for FY26. Recommendations for funding will be made by staff and HCDC, and approved by City Council. Awards would be made after July 1, 2025, with funding disbursements to recipients in Fall 2025 and Spring 2026. FY26 Legacy A2A Staff Scores and Funding Agency Recommendations FY23 Allocation May FY24 Allocation 2025 FY25 Allocation FY26 Request Staff Recommendation % Change from FY25 to FY26 $ Change from FY25 to FY26 Staff Score Inside Out Reentry $42,734 $31,000 $31,266 $35,000 $34,500.00 10% $3,234 94 Neighborhood Centers of Johnson County $58,759 $70,000 $70,601 $150,000 $77,000.00 9% $6,399 94 Shelter House $90,810 $99,790 $100,647 $109,770 $103,768.50 3% $3,122 94 Free Medical Clinic $26,709 $40,000 $40,344 $100,000 $46,944.00 16% $6,600 93 Table to Table $33,119 $40,000 $40,344 $50,000 $43,000.00 7% $2,656 93 Domestic Violence Intervention Program (now includes RVAP) $53,418 $60,000 $88,755 $97,630 $94,000.00 6% $5,245 92 United Action for Youth $35,256 $34,500 $34,796 $40,000 $37,000.00 6% $2,204 92 Arc of Southeast Iowa $21,367 $22,400 $22,592 $25,000 $24,000.00 6% $1,408 91 HACAP $19,230 $27,270 $27,504 $28,634 $28,000.00 2% $496 90 Free Lunch Program $47,007 $15,000 $15,129 $25,000 $20,000.00 32% $4,871 87 CommUnity Crisis Center and Food Bank $74,037 $69,086 $69,679 $77,000 $72,000.00 3% $2,321 86 Aging Services (formerly Pathways) $26,709 $15,000 $15,129 $27,000 $20,000.00 32% $4,871 83 Horizons $26,709 $38,000 $38,326 $38,000 $34,000.00 -11 % ($4,326) 81 Big Brothers Big Sisters $26,709 $27,125 $27,358 $28,000 $24,000.00 -12% ($3,358) 79 Iowa Valley Habitat for Humanity $26,709 $27,029 $27,261 $40,000 $22,000.00 -19% ($5,261) 77 Houses into Homes $0 $15,000 $15,129 $30,000 $20,000.00 32% $4,871 76 Community and Family Resources $42,734 $0 $0 $20,000 $20,000.00 NA $20,000 67 4Cs Community Coordinated Child Care $26,709 $28,000 $28,240 $78,000 $20,000.00 -29% ($8,240) 63 Dream City $0 $25,000 $25,215 $60,000 $0.00 -100% ($25,215) 55 Center for Worker Justice $0 $15,000 $15,129 $40,000 $0.00 -100% ($15,129) 54 Rape Victim Advocacy Program - Merged with DVIP 1 $26,709 1 $28,000 1 NA NA $0.00 NA NA NA Total 1 $705,434 1 $727,200 1 $733,444 $1,099,034 $740,212.50 Estimated FY24 A2A Budget IlDirect Funding Total Dollar Amount $430,712.50 IlDirect Funding Percentage of Budget 560 $770,212.50 Non -Legacy A2A Budget $30,000.00 Legacy A2A Budget $740,212.50 Prepared by: Enka Kubly, Neighborhood Services, 410 E. Washington St., Iowa City, IA 52240 319-356-5230 Resolution No. 25-143 Resolution allocating human services Aid to Agencies funding for Fiscal Year 2026, July 1, 2025 — June 30, 2026. Whereas, the City of Iowa City budgeted for aid to local human services agencies; and Whereas, assistance to human services agencies who serve low-income residents of the Iowa City is considered a benefit to the community as a whole; and Whereas, the amount of aid is budgeted as Aid to Human Service Agencies and Community Development Block Grant funds in the FY26 Budget; and Whereas, FY26 Legacy Agency funding allocations will be renewed for FY27 based on a two-year funding cycle in accordance with City Steps 2025; and Whereas, use of the funds for Aid to Agencies is a public purpose. Now, Therefore, be it resolved the by City Council of the City of Iowa City, Iowa, that: 1. The funding recommendations, Exhibit A, are hereby adopted. 2. The City Manager is hereby authorized to execute agreements for Aid to Agencies with the organizations identified in Exhibit A. Passed and approved this 3zd day of dune 2025., t ( eA_ Mayor 1-3 Approved by Attest: � � ��- City Clerk City AttomejCOffice - 05/29/2025 Resolution No. 25-143 Page No. 2 It was moved by Harmsen , and seconded by Moe that the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih x Teague _ x Weilein EXHIBIT A LegacyAgency Funding FY26 Allocation Neighborhood Centers of Johnson County $150,000 Shelter House $109,770 Free Medical Clinic $100,000 Domestic Violence Intervention Program (now includes RVAP) $97,630 4Cs Community Coordinated Child Care $78,000 CommUnity Crisis Center and Food Bank $77,000 Dream City $60,000 Table to Table $50,000 United Action for Youth $40,000 Iowa Valley Habitat for Humanity $40,000 Center for Worker Justice $40,000 Horizons $38,000 Inside Out Reentry $35,000 Houses into Homes $30,000 HACAP $28,634 Big Brothers Big Sisters $28,000 Aging Services (formerly Pathways) $27,000 Arc of Southeast Iowa $25,000 Free Lunch Program $25,000 Community and Family Resources $20,000 Total Budget $1,099,034.00 EXHIBIT A LegacyAgency Funding FY26 Allocation Shelter House $103,768.50 Domestic Violence tervention Program (now includes RV ) $94,000.00 Neighborhood CenteN of Johnson County $77,000.00 CommUnity Crisis Centqr and Food Bank $72,000.00 Free Medical Clinic $46,944.00 Table to Table $43,000.00 United Action for Youth $37,000.00 Inside Out Reentry $34,500.00 Horizons $34,000.00 HACAP $28,000.00 Arc of Southeast Iowa $24,000.00 Big Brothers Big Sisters $24,000.00 Iowa Valley Habitat for Humanity $22,000.00 Free Lunch Program $20,000.00 Aging Services (formerly Pathways $20,000.00 Houses into Homes $20,000.00 Community and Family Resour s $20,000.00 4Cs Community Coordinated 5nild Care $20"" 00 Total Budget $740,212.50 r —Iqn m TO City Council Supplemental Meeting Packet CITY OF IOWA CITY June 3, 2025 Information submitted between distribution of the meeting packet on Thursday and 4:00 pm on Monday. Late Handout(s): 1 t.c. FY26 Aid to Agencies: See Correspondence from Missie Forbes, Executive Director of 4C's June 3, 2025 City of Iowa City Item Number: 11.c. I CITY OF I O WA CITY COUNCIL ACTION REPORT June 3,2025 FY26 Aid to Agencies: See Correspondence from Missie Forbes, Executive Director of 4C's Attachments: Council Correspondence from Missie Forbes -tt I I,C� Kellie Grace From: Missie Forbes <Missie@iowa4cs.com> Sent: Monday, June 2, 2025 2:56 PM Late Handouts Distributed To: 'City Council Subject: Aid to Agencies funding request (a-2-25 (Date) A •. This email originated outside of the City of Iowa City email system. Please take extra care opening any links or attachments. — This message is from an external sender. Good afternoon, Iowa City Councilors I am writing to you today to request your consideration of our initial funding request for 4Cs, of $78000. 1 had previously requested that you consider our funding to remain static, but since that time, I have given a lot of thought to the work we do in Iowa City. We are the only non-profit organization who cleats solely with issues surrounding early childhood education and child care. Childcare is the one issue that consistently rises to the top of lists as areas of concern for economic development, workforce, and student success. Our mission is to emphasize the importance of quality education from birth while ensuring that early care is accessible and affordable for all families. What this truly means is that all of our work is tied to making sure that every resident in Iowa City has access to the quality of care that makes the most sense for their family —we want ALL programs to be of the best quality so that no matter where someone lives, no matter what they do for a Living, or what their economic status is —they can access the type of early care program that they want —center or home programs alike. And all of our programming (and advocacy efforts) are tied to that mission. Overthe past 6 months specifically, 4Cs staff has been instrumental in supporting families and center staff whose center was in the process of being displaced from their current Location. 4Cs staff was instrumental in conversation creation with Coralville city leaders aboutthe impact of a center closure within their city limits. A center closure that has community -wide implications that impacted Iowa City families. 4Cs staff was instrumental in ensuring that 3 Iowa City childcare programs whose registration was almost lapsed remained open and that registration was intact. 4Cs staff has been instrumental in the pre -registration process of 9 individuals in Iowa City who are interested in opening their own childcare programs. Without fundingfrom Iowa City, this work and advocacy effort screeches to a halt. 4Cs has spent over 5 decades creating relationships with those who work in the field of childcare. Relationships that speak volumes when it comes to engagement. Relationships that speak volumes when it comes to recruitment. Relationships that speak volumes when it comes to retaining the workforce. Iowa City is known for its progressive and forward thinking initiatives and ideals. While so manyclon't understand the impact of a strong early care system, I truly believe that Iowa City leadership DOES understand. And understands the work thatwe do. I have said this before and I will say it again- 4Cs has done itself a disservice in the past in not askingfor enough City support —we have chosen to fly under the radar and not be bold enough to ask for financial support for the work that we do.1 am boldly asking now for the City of Iowa City to support 4Cs at the levelthat should have been requested well before now. So that our work doesn't stop. But that we can continue. And to grow on the momentum we now have in our corner. Please see below the feedback we have received from providers in Iowa City, serving Iowa City families of all backgrounds, with varying child care needs. I have included some recent testimonials to provide you with a small sampling of examples that explains the importance of our organization to Iowa City. "Allison is so attentive to what we need. She has helped me prepare documents for my daycare business. 4Cs helps me with the necessary documents I need to be in order for registration. I am grateful for 4Cs help."- New CDH serving mostly immigrant families "When I was unable to open my daycare, Allison told me it's possible. She showed me how to post it in the social media and she did the flyer to advertise my daycare. She assisted me the first day met with the parents to complete and verify the documents. Also, she gave me some toys and books. She always checks on how my daycare is going and continues to teach me how to run a daycare."- Newly registered Eastside Iowa City Provider "Allison has helped me a lot, if I call her or text her with a problem, she will do everythingpossible to resolve the problem. 4Cs definitely needed!"- Longtime Southside Provider who offers overnight care "Allison helped me navigate through Mandatory Reporting training and other applications. She is helping me come up with marketing solutions for my program to increase my enrollment."- Northside Iowa City Provider who has been operating for over20 years "Ms. Allison has been very helpful in different ways. She's helped with getting us trainings and doing paperwork for grants. 4Cs always has educational and kid friendly supplies and toys, small projects to give. Allison is friendly with the kids and us. Always here you help in any way she can. Beloved Southside Providerserving low-income families 1 humbly thank you for your service to ou r community and to my request. Sincerely, Missie Forbes Executive Director, 4Cs Missie Forbes Executive Director 4Cs Community Coordinated Child Care p: 319-338-7684,102 m: 319-936-2883 a: missie@iowa4cs.com w: wWw tQwa4c5 com -� Il.c- Kellie Grace From: Missie Forbes <Missie@iowa4cs.com> Sent: Monday, June 2, 2025 2:56 PM Late Handouts Distributed To: *City Council Subject: Aid to Agencies funding request (P-2-2S (Date) RISK ** This email originated outside of the City of Iowa City email system. Please take extra care opening any links or attachments. -- This message is from an external sender. Good afternoon, Iowa City Councilors I am writing to you today to request your consideration of our initial funding request for 4Cs, of $78000. 1 had previously requested that you consider our funding to remain static, but since that time, I have given a lot of thought to the work we do in Iowa City. We are the only non-profit organization who deals solely with issues surrounding earlychildhood education and child care. Childcare is the one issue that consistently rises to the top of lists as areas of concern for economic development, workforce, and student success. Our mission is to emphasize the importance of quality education from birth while ensuring that early care is accessible and affordable for all families. What this truly means is that all of our work is tied to making sure that every resident in Iowa City has access to the quality of care that makes the most sense for their family —we want ALL programs to be of the best quality so that no matter where someone lives, no matter what they do for a living, or what their economic status is —they can access the type of early care program that they want —center or home programs alike. And all of our programming (and advocacy efforts) are tied to that mission. Over the past 6 months specifically, 4Cs staff has been instrumental in supporting families and center staff whose center was in the process of being displaced from their current location. 4Cs staff was instrumental in conversation creation with Coralville city leaders about the impact of a center closure within their city limits. A center closure that has community -wide implications that impacted Iowa City families. 4Cs staff was instrumental in ensuring that 3 Iowa City childcare programs whose registration was almost lapsed remained open and that registration was intact. 4Cs staff has been instrumental in the pre -registration process of 9 individuals in Iowa City who are interested in opening their own childcare programs. Without funding from Iowa City, this work and advocacy effort screeches to a halt. 4Cs has spent over 5 decades creating relationships with those who work in the field of childcare. Relationships that speak volumes when it comes to engagement. Relationships that speak volumes when it comes to recruitment. Relationships that speak volumes when it comes to retaining the workforce. Iowa City is known for its progressive and forward thinking initiatives and ideals. While so many don't understand the impact of a strong early care system, I truly believe that Iowa City leadership DOES understand. And understands the work that we do. I have said this before and I will say it again- 4Cs has done itself a disservice in the past in not asking for enough City support —we have chosen to fly under the radar and not be bold enough to ask for financial support for the work that we do. I am boldly asking now for the City of Iowa City to support 4Cs at the level that should have been requested well before now. So that our work doesn't stop. But that we can continue. And to grow on the momentum we now have in our corner. Please see below the feedback we have received from providers in Iowa City, serving Iowa City families of all backgrounds, with varying child care needs. I have included some recent testimonials to provide you with a small sampling of examples that explains the importance of our organization to Iowa City. "Allison is so attentive to what we need. She has helped me prepare documents for my daycare business. 4Cs helps me with the necessary documents I need to be in order for registration. I am grateful for 4Cs help."- New CDH serving mostly immigrant families "When I was unable to open my daycare, Allison told me it's possible. She showed me how to post it in the social media and she did the flyer to advertise my daycare. She assisted me the first day met with the parents to complete and verify the documents. Also, she gave me some toys and books. She always checks on how my daycare is going and continues to teach me how to run a daycare."- Newly registered Eastside Iowa City Provider "Allison has helped me a lot, if call her or text her with a problem, she will do everything possible to resolve the problem. 4Cs definitely needed!"- Longtime Southside Provider who offers overnight care "Allison helped me navigate through Mandatory Reporting training and other applications. She is helping me come up with marketing solutions for my program to increase my enrollment. Northside Iowa City Provider who has been operating for over 20 years "Ms. Allison has been very helpful in different ways. She's helped with getting us trainings and doing paperwork for grants. 4Cs always has educational and kid friendly supplies and toys, small projects to give. Allison is friendly with the kids and us. Always here you help in any way she can. Beloved Southside Provider serving low-income families I humbly thank you for you r service to our commu nity and to my request. Sincerely, Missie Forbes Executive Director, 4Cs Missie Forbes Executive Director 4Cs Community Coordinated Child Care p: 319-338-7684,102 m: 319-936-2883 a: missie@iowa4cs.com w: www.iowa4cs.com Item Number: 11.d. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution finding an employee sold tobacco to a minor and assessing $1500.00 civil penalty and sixty-day retail cigarette permit suspension against Almost Paradise. Prepared By: Jennifer Schwickerath, Assistant City Attorney Reviewed By: Geoff Fruin, City Manager Fiscal Impact: N/A Staff Recommendation: Approval Attachments: Resolution 22-232 assessing $300 - 1 st violation Resolution 23-76 accepting $1500 and waiver of hearing - 2nd violation Resolution 23-204 assessing $1500 and 30 day suspension - 3rd violation Resolution Executive Summary: An employee of Almost Paradise sold tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor on May 29, 2024. The employee was cited for providing tobacco to a minor in violation of Iowa Code Section 453A.2(1). The citation against the employee was dismissed, not because the sale did not take place, but because of witness unavailability. Iowa Code Section 453A.22(2) uses "violated" as the trigger for proceeding with civil penalties, as opposed to "convicted," therefore, if the Council determines that an illegal sale occurred, it is appropriate for the Council to move forward with the civil penalty. If a violation occurred, this would be Almost Paradise's fourth violation within a three year period. The civil penalty for a fourth violation of Iowa Code Section 453A.2(1) within a three- year period is a $1,500.00 civil penalty and a sixty-day retail cigarette permit suspension. Background / Analysis: Almost Paradise located at 355 S. Linn St., Iowa City, has three prior violations of an employee selling or providing tobacco, tobacco products, or cigarettes to a minor. The first violation was on June 30, 2022, and the Council assessed a $300.00 civil penalty on September 6, 2022. (See attached Resolution number 22-232.) The second violation was on January 12, 2023, and the Council accepted the $1,500.00 civil penalty on March 21, 2023. (See attached Resolution number 23-76.) The third violation was on May 13, 2023, and the Council assessed a $1,500.00 civil penalty and a thirty -day retail cigarette permit suspension on July 11, 2023. (See attached resolution 23-204.) In January 2025, Almost Paradise submitted a new Iowa Retail Permit Application for Cigarette/Tobacco/Nicotine/Vapor to change the legal ownership from a sole proprietor to a corporation. It was represented that this change was for legal and accounting purposes, and it is the City's understanding that the business operations of Almost Paradise continued uninterrupted. Almost Paradise is the same place of business for the purposes of aggregating violations, therefore, should the Council find a violation occurred, it is appropriate to impose the civil penalty for a fourth violation. Prepared by: Jennifer Schwickerath, Asst, City Attorney, 410 E- Washington St., Iowa City, IA 52244, 319-356-5030 Resolution number: 22-232 Resolution assessing $300.00 civil penalty against Almost Paradise Whereas, on June 30, 2022, an employee of Emman Abedalla„ dba Almost Paradise, 355 S. Linn Street, Iowa City, violated Iowa Code §453A.2(1) by selling or providing tobacco, tobacco products or cigarettes to a minor; and Whereas, at the time of the violation, Almost Paradise was operating under a retail cigarette permit issued by the City of Iowa City; and Whereas, pursuant to Iowa Code §453A.22(2), an establishment which holds a retail cigarette permit is subject to a civil penalty of $300.00 as a result of its employee violating Iowa Code §453A.2(1), after a hearing and proper notice; and Whereas, a hearing was held on this date by the City Council to determine whether to assess the civil penalty against Almost Paradise and at said hearing the City Council heard the facts of the violation and the arguments of the retailer, if any; and Whereas, this violation, is the first such violation of an employee of Almost Paradise within a two-year period to be considered by the City Council under Iowa Code §453A.22(2). Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that the City Council after notice and hearing, pursuit to Iowa Code §453A.22(2) and §453A.47A(11) hereby imposes a civil penalty in full, and if the civil penalty is not timely paid any applicable permit held by the retailer shall automatically be suspended for a period of (14) days, in addition to the $300.00 civil penalty. Be it further resolved, that the City Clerk will forward a copy of this Resolution to the City Attorney's Office, which will then provide a copy of the same to the retail cigarette permit holder via regular mail sent to the permit holder's place of business as it appears on the application for a retail cigarette permit. Passed and approved this 4tjday of SPnr �, 2022. May Approved by Attest: City lerk City Attorney' O ice (Jennifer Schwickerath — 08/30/2022) Resolution No. 22-232 Page 2 It was moved by Alter and seconded by Weiner Resolution be adopted, and upon roll call there were: the AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Taylor x Teague x Thomas �X Weiner Prepared by: Jennifer Schwickerath, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52244, 319-356-5030 Resolution number: 23-76 Resolution accepting payment of $1,500.00 civil penalty and waiver of right to hearing from Almost Paradise Whereas, on January 12, 2023, an employee of Emman Abedalla, DBA Almost Paradise, 355 S. Linn St., violated Iowa Code §453A.2(1) by selling or providing tobacco, tobacco products or cigarettes to a minor and this was the second such violation by one of its employees in a two-year period; and Whereas, at the time of the violation, Almost Paradise was operating under a retail cigarette permit issued by the City of Iowa City; and Whereas, pursuant to Iowa Code §453A.22(2), an establishment which holds a retail cigarette permit is subject to a civil penalty of $300.00 as a result of its employee violating Iowa Code §453A.2(1), after a hearing and proper notice, and the civil penalty for a second violation within a two-year period is, at the retailer's option, $1,500.00 or a thirty -day permit suspension; and Whereas, Almost Paradise has waived its right to the hearing required by Iowa Code §453A.22(2) and accepted responsibility for its employee's violation of Iowa Code §453A.2(1), by paying a $1500.00 civil penalty to the City Clerk of the City of Iowa City. Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that the City Council of the City of Iowa City, Iowa that the City Council should accept the waiver of right to hearing and payment of $1500.00 civil penalty on behalf of Almost Paradise. Be it further resolved, that the City Clerk will forward this Resolution to the City Attorney's Office, which will then provide a copy of the same to the retail cigarette permit holder via regular mail sent to the permit holder's place of business as it appears on the application for a retail cigarette permit. Passed and approved this 21 st:lay of March , r•Ac r Attest: J ' i v� Cit Clerk Approved by City Attorney' Office (Jennifer Schwickerath - 03/13/2023) Resolution No. 23-76 Page 2 It was moved by Taylor and seconded by —Du adopted, and upon roll call there were: AYES: NAYS: x ABSENT: the Resolution be Alter Bergus Dunn Harmsen Taylor Teague Thomas Prepared by: Jennifer Schwickerath, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52244, 319-356-5030 Resolution number: 23-204 Resolution assessing $1500.00 civil penalty and thirty -day retail cigarette permit suspension against Almost Paradise Whereas, on May 13, 2023, an employee of Emman Abedalla, DBA Almost Paradise, 355 S. Linn St., Iowa City, violated Iowa Code §453A.2(1) by selling or providing tobacco, tobacco products or cigarettes to a minor; and Whereas, at the time of the violation, Almost Paradise was operating under a retail cigarette permit issued by the City of Iowa City; and Whereas, pursuant to Iowa Code §453A.22(2), an establishment which holds a retail cigarette permit is subject to a civil penalty of $300.00 the first time its employee violates Iowa Code §453A.2(1), after a hearing and proper notice; either a civil penalty of $1500.00 or a suspension of its permit for a period of thirty (30) days the second time its employee violates §453A.2(1) within a two-year period, after a hearing and proper notice; and both a $1500.00 civil penalty and a thirty (30) day permit suspension the third time its employees violate §453A.2(1) within a three-year period, after a hearing and proper notice; and Whereas, a hearing was held on this date by the City Council to determine whether to assess the civil penalty against Almost Paradise and at said hearing the City Council heard the facts of the violation and the arguments of the retailer, if any; and Whereas, this is the third such violation of an employee of Almost Paradise within a three-year period to be considered by the City Council under Iowa Code §453A.22(2). Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that the City Council after notice and hearing and pursuant to Iowa Code §453A.22(2) and §453A.47A(11) hereby imposes a $1500.00 civil penalty and thirty day retail cigarette permit suspension against Almost Paradise. Be it further resolved, that said retail cigarette permittee has twenty (20) days from the date of this Resolution to pay the $1500.00 civil penalty in full to the City Clerk and to deliver to the City Clerk its retail cigarette permit for service of a thirty day suspension. Be it further resolved, that the City Clerk will forward a copy of this Resolution to the City Attorney's Office, which will then provide a copy of the same to the retail cigarette permit holder via regular mail sent to the permit holder's place of business as it appears on the application for a retail cigarette permit. Passed and approved thisl1t1day of July 2023. Resolution No. 23-204 Page 2 Ma r Approved by Attest: City Clerk City Attor ey's Office (Jennifer Schwickerath — 07/03/23) It was moved by Bergus and seconded by Dunn Resolution be adopted, and upon roll call there were: AYES NAYS: ABSENT: FFA the Alter Bergus Dunn Harmsen Taylor Teague Thomas J�A Prepared by: Jennifer Schwickerath, Assi. City Anomey, 410 E. Washington St., Iowa City, IA 52244, 319-356-5030 Resolution number: 25-144 Resolution finding an employee sold tobacco to a minor and assessing $1500.00 civil penalty and sixty-day retail cigarette permit suspension against Almost Paradise Whereas, that on May 29, 2024, an employee of Almost Paradise, 355 S. Linn St., Iowa City, violated Iowa Code §453A.2(1) by selling or supplying tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor; and Whereas, at the time of the violation, Almost Paradise was operating under a retail cigarette permit issued by the City of Iowa City; and Whereas, pursuant to Iowa Code §453A.22(2), an establishment which holds a retail cigarette permit is subject to a civil penalty of $300.00 the first time its employee violates Iowa Code §453A.2(1), after a hearing and proper notice; either a civil penalty of $1500.00 or a suspension of its permit for a period of thirty (30) days the second time its employee violates Iowa Code §453A.2(1) within a two-year period, after a hearing and proper notice; and both a $1500.00 civil penalty and a thirty (30) day permit suspension the third time its employee violates Iowa Code §453A.2(1) within a three-year period, after a hearing and proper notice; a $1500.00 civil penalty and a sixty (60) day permit suspension the fourth time its employee violates Iowa Code §453A.2(1) within a three-year period, after hearing and proper notice; and Whereas, a hearing was held on this date by the City Council to determine whether an employee of Almost Paradise violated Iowa Code §453A.2(1) by selling or providing tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor and if such a violation occurred, to assess the civil penalty against Almost Paradise and at said hearing the City Council heard the facts of the violation and the arguments of the retailer, if any; and Whereas, the City Council finds that an employee of Almost Paradise violated Iowa Code §453A.2(1) on May 29, 2024 and that this is the fourth such violation of an employee of Almost Paradise within a three-year period to be considered by the City Council under Iowa Code §453A.22(2). Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that the City Council after notice and hearing and pursuant to Iowa Code §453A.22(2) and §453A.47A(11) hereby imposes a $1500.00 civil penalty and sixty day retail cigarette permit suspension against Almost Paradise. Be it further resolved, that said retail cigarette permittee has twenty (20) days from the dale of this Resolution to pay the $1500.00 civil penalty in full to the City Clerk and to deliver to the City Clerk its retail cigarette permit for service of a sixty day suspension. Be it further resolved, that the City Clerk will forward a copy of this Resolution to the City Attorney's Office, which will then provide a copy of the same to the retail cigarette permit Resolution No. 25-144 Page 2 holder via regular mail sent to the permit holder's place of business as it appears on the application for a retail cigarette permit. Passed and approved this 3rdday of June , 2025. C Maydr J Approved by Attest: lk t i F Y\ iU-b_CiC1C- City Clerk City Attorq y's Office — 05/29/2025 It was moved by Moe and seconded by aergus the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe x Salih x Teague x Weilein Item Number: 11.e. CITY OF IOWA CITY COUNCIL ACTION REPORT June 3, 2025 Resolution finding an employee sold tobacco to a minor and revoking Almost Paradise's retail cigarette permit. Prepared By: Jennifer Schwickerath, Assistant City Attorney Reviewed By: Geoff Fruin, City Manager Fiscal Impact: N/A Staff Recommendation: Approval Attachments: Resolution Executive Summary: An employee of Almost Paradise sold tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor on June 27, 2024. The employee was cited for providing tobacco to a minor in violation of Iowa Code Section 453A.2(1). The citation against the employee was dismissed, not because the sale did not take place, but because of witness unavailability. Iowa Code Section 453A.22(2) uses "violated" as the trigger for proceeding with civil penalties, as opposed to "convicted," therefore, if the Council determines that an illegal sale occurred, it is appropriate for the Council to move forward with the civil penalty. If a violation occurred, this would be Almost Paradise's fifth violation within a four year period. The civil penalty for a fifth violation of Iowa Code Section 453A.2(1) within a four-year period is revocation of the retailer's cigarette permit. Background / Analysis: Almost Paradise located at 355 S. Linn St., Iowa City, has four prior violations of an employee selling or providing tobacco, tobacco products, or cigarettes to a minor. The first violation was on June 30, 2022, and the Council assessed a $300.00 civil penalty on September 6, 2022. The second violation was on January 12, 2023, and the Council accepted the $1,500.00 civil penalty on March 21, 2023. The third violation was on May 13, 2023, and the Council assessed a $1,500.00 civil penalty and a thirty -day retail cigarette permit suspension on July 11, 2023. The fourth violation was on May 29, 2024 and is before the Council at this meeting to determine if a violation occurred and to assess the civil penalty. In January 2025, Almost Paradise submitted a new Iowa Retail Permit Application for Cigarette/Tobacco/Nicotine/Vapor to change the legal ownership from a sole proprietor to a corporation. It was represented that this change was for legal and accounting purposes, and it is the City's understanding that the business operations of Almost Paradise continued uninterrupted. Almost Paradise is the same place of business for the purposes of aggregating violations, therefore, should the Council find a violation occurred, it is appropriate to impose the civil penalty for a fifth violation. Prepared by: Jennifer Schwickerath, Asst. City Attomey, 410 E. Washington St., Iowa City, IA 52244, 319-356-5030 Resolution number: 25-145 Resolution finding an employee sold tobacco to a minor and revoking Almost Paradise's retail cigarette permit Whereas, that on June 27, 2024, an employee of Almost Paradise, 355 S. Linn St., Iowa City, violated Iowa Code §453A.2(1) by selling or supplying tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor; and Whereas, at the time of the violation, Almost Paradise was operating under a retail cigarette permit issued by the City of Iowa City; and Whereas, pursuant to Iowa Code §453A.22(2), an establishment which holds a retail cigarette permit is subject to a civil penalty of $300.00 the first time its employee violates Iowa Code §453A.2(1), after a hearing and proper notice; either a civil penalty of $1500.00 or a suspension of its permit for a period of thirty (30) days the second time its employee violates Iowa Code §453A.2(1) within a two-year period, after a hearing and proper notice; and both a $1500.00 civil penalty and a thirty (30) day permit suspension the third time its employee violates Iowa Code §453A.2(1) within a three-year period, after a hearing and proper notice; a $1500.00 civil penalty and a sixty (60) day permit suspension the fourth time its employee violates Iowa Code §453A.2(1) within a three-year period, after hearing and proper notice; revocation of its permit the fifth time its employee violates Iowa Code §453A.2(1) within a four-year period, after a hearing and proper notice and Whereas, a hearing was held on this date by the City Council to determine whether an employee of Almost Paradise violated Iowa Code §453A.2(1) by selling or providing tobacco, tobacco products, alternative nicotine products, vapor products, or cigarettes to a minor and if such a violation occurred, to revoke Almost Paradise's cigarette permit and at said hearing the City Council heard the facts of the violation and the arguments of the retailer, if any; and Whereas, the City Council finds that an employee of Almost Paradise violated Iowa Code §453A.2(1) on June 27, 2024 and that this is the fifth such violation of an employee of Almost Paradise within a four-year period to be considered by the City Council under Iowa Code §453A.22(2). Now, therefore, be it resolved by the City Council of the City of Iowa City, Iowa, that the City Council after notice and hearing and pursuant to Iowa Code §453A.22(2) and §453A.47A(11) hereby revokes Almost Paradise's retail cigarette permit. Be it further resolved, that said retail cigarette permittee has twenty (20) days from the date of this Resolution to deliver to the City Clerk its retail cigarette permit for revocation. Be it further resolved, that the City Clerk will forward a copy of this Resolution to the City Attorney's Office, which will then provide a copy of the same to the retail cigarette permit holder via regular mail sent to the permit holder's place of business as it appears on the application for a retail cigarette permit. Resolution No. 25-145 Page 2 Passed and approved this3rd day of June 2025. Mayor a Approved by Attest: City Clerk City Attorney' Office — 05/29/2025 It was moved by Moe and seconded by Alter the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Alter x Bergus x Harmsen x Moe g Salih x Teague x Weilein