Loading...
HomeMy WebLinkAbout1995-07-11 TranscriptionJuly 11, 1995 . Council Work Session 8:00PM Council: Horow, Baker, Kubby, Lehman, Nov, Pigott, Throg. Staff: Arkins, Helling, Woito, Kerr, Franklin, Boothroy, Schmadeke, Dollman, Logsden, Fowler, Yucuis. Tapes: 95-79, Side 2; 95-83, Side 2; 95-84, Side 2. SEATS Contract 95-79 S2 Horow/ The SEATS Contract, Mr. Arkins. Atkins/ You have in front of you the final .... draft agreement of the SEATS contract. We recommend it ..... the negotiation process and response to the RFP I thought went rather smoothly .... Kubby/ Why is it only a year? Atkins/ Two year agreement we can do under the ..... If they deliver this contract, as automatic renewal of another year. federal guidelines it is outlined .... Lehman/ It says it may be extended. Atkins/ Kubby/ Does that mean we have to do RFP's every two years? Atkins/ I understand we have to go back out periodically and I think it is every two years, yes. Kubby/ That just creates an instability .... Lehman/ The important thing is if we get the information that we have requested than future contracts are going to be much much easier ..... Baker/ ¥~at about the .... $100,0007 Is that resolved? Arkins/ Depends on what you mean resolved. Baker/ They didn't send us a check? Arkins/ No, they did not. We still disagree. I have been told by the county attorney that we are not entitled to that money .... They also had expected to receive the fare box revenue .... in the RFP we receive the fare box revenue. We reduced the amount of the contract by the fare box revenue. They retain it and we get credit for it rather than trade dollars. This ~prosents only areasona~iy scourge ~anscrlptlon ~ ~slowa Ckycouncll moe~ng of July 11, 1995. WS071195 July 11, 1995 . Council Work Session Page 2 Baker/ Have we resolved the question of whether or not the city's direct contract with them is all the cost to the city and the county is not taxing city residents? Atkins/ The best of my knowledge the county pays for part of their contract a $100,000 overcharge, over payment, over taxation .... city residents pay a portion of that. That is a double taxation .... has not been resolved. Baker/ Atkins/ I think a great deal has to do with the resolve of the city council. They simply say this is the way we want this thing and we believe that we are paying twice. I think you have made an argument that we are paying twice. Baker/ .... better handle of the operation .... Atkins/ We will be in a far better position to make a management assessment ..... Kubby/ I don't understand that. They gather tons of information .... Atkins/ They have information, they do not record it. It is as simply as that. It is not recorded in a fashion that makes any sense to any of us ..... Kubby/ I have seen the sheets .... Arkins/ It is not recorded properly... Throg/ I would like to know whether SEATS users have had a chance to look at this draft contract and what they think of it. Atkins/ No .... we did not ship it out to SEATS users ..... this will be on for a vote on the 18th. You can choose to have a p.h. Kubby/ We could have a public discussion item before we vote. Baker/ Is there any compelling time constraint here? Atkins/ Other than I think the county is very anxious to have this thing locked up ..... SEATS service, practically, there should not be a noticeable change on the street .... unless the county chooses to undertake an operation with respect to SEATS that we are unaware of .... Horow/ I think the issues that we have all raised have been covered in this contract ..... Thisrepresents only areasonably accuratetranscription ofthelowa Ciw council meeting of July 11,1995. WS071195 July 11, 1995 . Council Work Session Page 3 Throg/ ...as a matter of principle and policy I would think that we would want any activity like this... some input from the users. Nov/ ...users have told us time and time again what kind of service they want and we have incorporated their wishes into this contract ...... Atkins/ The issue of the advisory group has gone by ..... I didn't sense a strong interest on the part of the county to do that Lehman/ ..with the uncertainty and fear...anything we do to delay this further...not well thought out... future contracts will be very simple .... I talked to a couple of Supervisors... our job a lot simpler. Atkins/ Once we have the management information, we will do ..... go through and selectively pick out folks .... we want to know what people think of the thing ..... whether folks are happy .... Pigott/ Maybe we can just have a short public discussion just before the vote ..... people who have any interest to comment .... Baker/ It is a public document .... Throg/ ...create an advisory group Pigott/ I think it is a good idea... Throg/ I would like to urge that. Horow/ I have no problems with that ..... Throg/ Pigott/ There is a purpose for it...people have the ability to ask questions about it ..... Atkins/ The contract structures the provision of the service. The actual provision of the service rests with another party ..... Horow/ Are there period? Nov/ I think this Horow/ four people who want this to go, the discussion is the kind of thing we have to vote on .... Thisrepresents only areesonably accurate transcription ofthelowa CI~ council meeting of Julv 11,1995, WS071195 July 11, 1995 Council Work Session Page 4 Nov/ ... if we cannot incorporate changes because of our time limitation, let's hold this discussion for the next year. Baker/ ...I am not anticipating questions that can't be quickly answered .... Horow/ Four people are wanting this to go ahead. I would like to keep this as brief as possible. Kubby/ ...put out a press release so it is clear that it is not about anything but the contract. Baker/ Pigott/ Nov/ I have a couple of questions on the contract. I really prefer a one year limit on this because we have set aside a $1.00 fare ..... I want this contract to say this fare on para- transit is twice the fare of the fixed route instead of the dollar. Arkins/ The contract language, the extension is may .... allows us the ability to amend if both parties were to agree .... Nov/ I just don't want us to go for an automatic two year contract. Arkins/ It is not automatic. You have to exercise a deliberate decision to extend the contract. Nov/ ..... Lehman/ To change the contract right now would require the Board of Supervisors to act on it again. Nov/ I am just saying I want us to consider that for the next contract ..... Arkins/ Nov/ Another question is on bottom of page 2. It says if a rider is a no show two or more times in any given 30 day period, SEATS will attempt to contact them. Nov/ I would prefer they contact them after the second time and not wait until the end of 30 days ..... Arkins/ The county will contact riders that are no shows two or more within a 30 day period ..... would contact them immediately. This represents only a reasonably accurate transcription of the Iowa City council meeting of July 11, 1995. WS071195 July 11, 1995 . Council Work Session Page 5 Fowler/ The county would attempt to verify if the person had a legitimate reason for the no show and then notify us and we would make that notification. Lehman/ Nov/ These are questions that are less than optimal ..... I think it should be cannot happen .... they don't have a requirement to stop at two ..... Kubby/ I didn't read it that way. Nov/ ...I think you should not have the option of more than twice in a 30 day period. Woito/ I think the group that negotiated this thought differently. That they should give them one last chance to explain .... Arkins/ Johnson County must notify us of riders that have been a no show in a 30 day period. Nov/ It also says they don't have to contact them after the second time ..... Kubby/ I think if someone has two no shows, they get contacted fairly quickly ..... Horow/ Lehman/ Nov/ Kubby/ You need to be flexible with the riders that use SEATS .... Horow/ Is there any problem now with no shows? Fowler/ I am not aware ..... there doesn't appear to be a problem of repeated abuse by people. Horow/ Kubby/ I had remembered that we had directed staff to put in our own bid and I never saw that. Atkins/ I don't recall being directed. I recall that the RFP was to be sent out, review those, and then we would make a decision on whether we were going to recommend. if we could do it better. ''' Thlsr~presents only areesonably accurate ~a~s~ptlon ofthelowa CIW coundlmeetlngofJuly11,1995. WS071195 July ll, 1995 Council Work Session Page 6 ~ Kubby/ Baker/ Horow/ Baker/ When are we going to get this discussion on variable Transit rates and parking permit rates? Fowler/ Right now Kevin Doyle is collecting information from other cities on variable rates. He has promised me we would have by the end of this week ..... He is promising the next meeting. Baker/ What about parking permit rate structures? Fowler/ .... we can probably bring it whenever you want to discuss it. Horow/ ...got more pressing issues .... Lehman/ I was in Canada fishing when this variable rate thing came up. Are there four people interested in this? ..... Baker/ Throg/ I do remember conversations about Transit...car pooling incentives .... I honestly don't remember any specifics ..... Baker/ I got the impression that was coming to us from staff ..... Horow/ That was not part of staff's work schedule. Are there four people who want variable rates? Pigott/ I don't know ..... Council/ (All talking at once). Baker/ Variable rate structure...some cities have a program where on peak hours you have a higher rate than off hours ..... might be a net increase in revenue in Transit ..... Throg/ Nov/ People who are riding in peak hours have no real choice but to ride in peak hours ..... Baker/ I thought it was coming .... Pigott/ I don't mind reading about it .... low priority ..... This represents only areasonably accuratetranscription ofthelowa Citycouncil meeting of July 11,1995. WS071195 July 11, 1995 . . . Council Work Session Page 7 Horow/ I don't see an overriding .... Baker/The second question about the parking permit rate structure. That is coming to us? ...... Nov/ That is a definite ....... Horow/ Council/ (All talking). Throg/ ... I think staff should look at it .... Council/ (All talking). ~orow/ This represents only c reasonably accurnt8 transcription of tho Iowa City council meeting of July 11, 1995. WS071195 July 11, 1995 Council Work Session Page 8 Land Use - Water Plant Site (Science Center) 95-79 S2 Atkins/ You have a letter from the Science Center folks, Larew, asking about the use of a part of the water plant site as a possible site for her Science Center. I won't go over the history of the charette ...... Jim can speak for himself. The Science Center people are beginning to move their project along .... fundraiser .... a real project .... Karen is going to address the specific issue. We, as the staff, are about the put together the land use elements...for that site ..... If there is going to be other uses possible on that site .... Jim asked me for an answer as to whether this site is a possibility. I am asking you somewhat as a springboard from Jim's request. Do we think about incorporating other uses into this site? Kubby/ .... gap of discussion that needs to happen. Arkins/ .... We need to come to an understanding of what you want us to do there. Jim Larew/ Thank you for allowing the opportunity to tell you about the proposal .... provoke some discussion or thought .... The reason that we would request your consideration at this time is that if ours is to be the group, that is to bring a science and technology center to our community .... is it one that the citizens of our city want to have? ..... We have for sometime been looking for a location and set had sites on this as a possibility ..... We have had initial discussions with Bruce Glasgow .... if there is someway that our intended use is not incompatible with the primary use and the need for the city to control .... We would like to be considered as a possible user ..... The fact that it was decided on its own accord and my reading in the paper that the appeal had been dismissed by both sides and an agreement had been made, that I immediately posed the question gain to Steve ..... My hope would be that the city council .... could propose to us... that if the proper design would be made to us, that we were certain to our staff and our own review that this was not in anyway with the primary purpose of having a water treatment plant there. And if the proposal that we were to come forward with seemed to be reasonable ...... Anything we did there protected the primary investment ..... a lease with very tight constrictions .... If we could come to the meeting of the minds .... compatible .... So I am asking for the city to give a clear enough indication to us that if we were to cross t's and dot i's in a way that was suitable to you that this would be a considered use ..... I think the kind of signal that we are looking for is one clear enough that if we would meet your conditions that we would be invited to come back ..... This project could well die before coming to you ..... This represents only a reasonably accurate transcription of the Iowa City council meeting of July 11, 1995. W$071195 July 11, 1995 Council Work Session Page 9 Baker/ ...We are clear that we are not talking about a commitment from the city .... money .... (can't hear) .... How much to we need to know in conjunction with other possible uses of the land? Atkins/ Jim's proposal is probably .... more sophisticated than some of the other things we are talking about ..... The Butler Building is ... request by a member of your boards and commissions that say we want to preserve that .... some public use ..... Begin getting these uses .... from a design standpoint...defer to Chuck .... limited area as to where .... Larew/ It seems to me that a Science Center serving a community of this size...talking 30,000 sq.ft .... Arkins/ It is a building of some size and therefore has to be fitted properly on this site .... parking obligation ..... issues. Franklin/ There were two other primary entities that were interested in use of this site: the Old Capital Skaters...ice rink and the University of Iowa was interested in commuter parking .... school district wanted to have an outside classroom .... Arts Council interested in some sort of sculpture garden ..... had to do with design on the site that was above and beyond the water plant project itself. The Soienoe Center, Old Capital Skaters and the University I think are the ones that primarily have interests which would have a significant impact on use of the land ..... If we could, in conjunction with the Science Center, Old Capital Skaters and the university engage a land use planner that has experience in working with some of these recreational institutional kinds of uses that could do a land use plan for the water plant in conjunction with the group that is doing the plant layout itself. If we get that in place then I think we could make the commitment to the Science Center and the others that this would be available space for you. But at this point to make a commitment to the Science Center for anything specific we do have these other people who are interested. Lehman/ What kind of time frame... putting together a site plan...? Franklin/ As the plant site work is progressing to get the layout of the plant and the lagoons and the wells... that has got to be set first .... six months we couldn't have this all together .... Lehman/ ...I have no problem with the Science Center whatsoever .... know how well our test wells are going to go .... I think .... Thlsrepresents onlyareasonebly accuratetranscription oftbelows City council meeting of July 11,1995. WS071195 July 11, 1995 Council Work Session Page 10 we are planning on doing exactly what has been proposed .... I don't know how we can make a commitment to the Science Center .... if something changes the way we currently plan .... Kubby/... The reason we needed all of the land... water treatment plant and the source .... We need to have control of the land on top to not contaminate the water ..... Talking about a commuter parking lot I am not interested in it ..... all sorts of water quality problems when you are talking about vehicles... Interested in how to get the most use of the land .... I am interested .... make sure we have very good restrictions on land use ..... Franklin/ Certainly you all can eliminate any of these uses that you don't find appropriate ..... Soccer fields were another thing the University was interested in ..... What we need to know is there interest in us pursuing what alternative uses could be used on this site now ..... Lehman/ I hate to make a guarantee on something we might not be able to do ..... Nov/ My concern is we not make this a guarantee .... Franklin/ The schedule now is not until 2002 for the plant .... Nov/ Atkins/ There is a limited build buildings ....... Baker/ Council/ (All talking). amount of land where you can actually Arkins/ Woito/ I would also like to remind you that you shouldn't be making a decision that is inconsistent with your litigation with Jim Glasgow ..... Atkins/ John Hayek ..... Pigott/ I think it is important to keep those requests in mind as we look at what we have .... Kubby/ I am asking .... open to possibilities .... what if you do raise the money and we are still fluctuating...? Thisrepresents only areasonobly accurate transcdptlon ofthelowa City council meeting of July 11,1995. WS071195 July 11, 1995 .... Council Work Session Page 11 Larew/ One of your answers tonight could have been we are not interested at all, go fish. I am not hearing that ..... The second possibility is more tentative on both parts .... see what you can put together, work with our staff to talk about it .... If it seemed like it was feasible... Are these compatible... At least open to the possibilities. I would like to think in a few months if you give a favorable signal here we could come back .... Horow/ Is this something that essentially could fall under a quasi- competitive bid? ..... those entities that have expressed interest... Atkins/ I think you can. I am not so sure I would ever recommend that to you. I think you want to maintain very strict control of that site ..... Kubby/ Horow/ We don't have the game plan from the other entities. Atkins/ We don't know who the other entities might be .... you want to have very strict control .... Horow/ ...Is it appropriate for us to say first come, first bid? Or is this something we are bound°.. we should throw open to having other groups come back into us. Atkins/ I think you can throw it open to as much or as little you choose to do .... Two proposals: Butler Farm-Historic Preservation .... Horow/ I feel very keenly about this .... I just want to be fair about this. Kubby/ I am interested in looking at the possibilities. Throg/ ...land use... Might be wise to ask the P/Z Commission to be involved in this in some fashion .... CHANGE TAPE TO REEL 95-83 SIDE 1 Nov/ If we are saying this is a Science Center on city property but it is not city owned, how do we convey this to our citizens? .... reduced fee .... Atkins/ .... agreement .... Nov/ This represents only o reasonably accurate transcription of the Iowa City council meeting of July 11, 1995. WS071195 July 11, 1995 . . . Council Work Session Page 12 Kubby/ Down the road... private groupa .... make sure of the main purpose... Horow/ There are four here who indicated an interest in seeing where you can go with this, Jim. Thank you for coming in. Thisrepresents only ereo~on~ly eccurate ~a~s~fp~on of thelowa C~councilrneetlng of July 11, 1995. WSO71196 July 11, 1995 Council Work Session Page 13 Task Force - Housing and Inspection Services 95-83 Sl Arkins/ You have the memo from Doug that spells out what we are interested in doing .... Discussed extensively... more of how we can provide a service to the public, particularly those that experience the use directly of HIS and it is a qualityof service, not intending to change the code. Is that what you are all on board on? Okay. Lehman/ That is not really what I heard. Kubby/ Lehman/ That is not what I heard from the folks that came to me. Quality of service I heard no complaints whatsoever. Boothroy/ I think there are three charges that I have got there. One deals with quality .... talking about housing inspections .... I did not hear in my listening that they were talking about amending the Housing Code. It is not appropriate...for the task force to deal with that ...... The other thing that was coming out of the meeting .... we are looking at trees...other aspects of the site plan that can be improved. Those have nothing to do with the Housing Code ..... Lehman/ I guess what I hear ...there is some dissatisfaction .... some of the things that seem to be added continually to the inspections, new regulations ..... Kubby/ It was more communication about the changing emphasis .... have more local enforcement of it .... helpful .... also be a thing in there emphasizing fire code things ..... list of things that we are going to be looking at. It was more communication. Lehman/ I think we have a lot of surprises ..... Boothroy/ Part of the communication issue that needs to be looked at ..... I think it is those kinds of things that this particular group can discuss. I think what is important about this process is that...some kind of on-going process...system with our users that we can get continuous feedback so we can avoid some of these issues. Throg/ Nov/ I think this description sounds a little more permanent than a task force ...... Boothroy/ I am hoping that one of the recommendations that would come out that there may be some processes...continuous Thisrepresents only areasonably accurate ~anscdpfionof ~elowa City coun~l meeting of July11,1995, WS071195 July 11, 1995 Council Work Session Page 14 feedback ..... some kind of a user group that comes together on a regular basis ..... get different types of feedback .... hard to anticipate the kinds of recommendations or ideas that would come out of the group...want it to be effective... worth my time... We don't like surprises either... Kubby/ I hope Ed Barker will want to be on this committee .... Throg/ It is a good idea ..... plenty room for flexibility .... Boothroy/ One of the things we can develop in this process is a better understanding of the difficulties an inspector has dealing with existing housing .... We will also get that feedback from them .... I would say I won't start this until September .... Horow/ Okay. Thisreprese~teonl¥ areasonal~y accurate ~mecrlp~on of ~elowa CIH coun~l meeting ~ July 11,1995. WS071195 July 11, 1995 Council Work Session Page 15 Water/Wastewater Rate Anal¥sis/DNR Revised Schedule Atkins/ 95-83 S1 Don Yucuis/ Just a couple of things. The rate options as shown in the two schedules for water and wastewater are examples of what the rates could be based on the cash that needs to be generated. In each category there could be many options for that same rate option and in the water and wastewater projects, 20% and 25% cash accumulation areas I show no increases in future years after 2001. In all likelihood we would have the ability to decrease rates in those years ..... Again, these are examples of what the rates could be. Throg/ ...looking at second table of water projects .... seems to be stuck at $39.47 for whatever year .... In fact unless there was unexpected increases in expenses that we would...have the option of reducing rates ...and still generate enough funds to pay off the debts. ¥ucuis/ That is correct. Kubb¥/ Throg/ Unless there are unexpected, unanticipated expenses, right? Yucuis/ Correct. What I did want to point out is one other-We are showing an 11 year rate schedule...I focus more on next March '96 and possibility the following March '97 for rate increases...based on actual bids...direction...making recommendations on what the rates should be based on actual bids coming in...It is an ongoing review and ongoing recommendation. Kubby/ ...like a couple of years at the max, right? Horow/ I think this is what has been concerning me...I don't think there is such a thing as perfect scenario. Throg/ It will change for any alternative that we choose. Lehman/ .... At anytime...we can do whatever is necessary .... at any given time. Horow/ But why wouldn't we sell the bonds right now .... right now .... I am not that comfortable with this cash generation philosophy ..... Arkins/ Keep in mind you cannot also separate out phasing in the project .... Decide the phasing and then our financing program will be on top of that phasing ..... Thisrepresents only areasonably accurate transcription ofthelowa City council meeting of Juiy 11,1995. WS071195 July 11, 1995 o Council Work Session Page 16 Kubby/ Make some policy decisions...that is driving the sequencing of borrowing and construction .... Arkins/ Baker/ Seeking to reduce your total cost in the long run. Nov/ Atkins/ Makes a great argument for credit .... he is an economist... I don't buy all of it ..... Kubby/ Horow/ Nov/ It is the fact that interest accrues .... Throg/ Baker/ I am entitled...four questions .... Looking at the wet water proJect...cash in 2001 .... F¥2000 you got 20% increase. How would that figure... if you reversed the order of these increases .... would you accumulate the same amount of money? Atkins/ You also have to keep in mind the phasing of construction, when your payments are going to be due, cashing out your investment income .... Baker/ Kubby/ Throg/ Baker/ Instead of a 40% increase each year .... agree on 20% or 25% accumulation ..... achieve that goal in the softest possible way to the consumer... Arkins/ In some of these zero years you could put some adjustment in there .... short term borrowing ..... Throg/ Kubby/ Throg/ Focus right in on which of these cash options .... Horow/ First of all do you agree on the cash accumulation? Thl=represents only are~ond~ly ecrurate ~an==l~lon of ~elowa Citycouncil mee~ng ofJuiy11,1995, W$071195 July 11, 1995 . Council Work Session Page 17 Pigctt/ Great idea .... Throg/ What I find myself wanting to do is reduce the total cost of both contracts in a way that spreads costs equitably over a generation of users .... We could kind of focus on which cash option we prefer .... I want to say even if we come up with one...couple of conditions that I want to discuss with regard to- Horow/ But I want to get the policy first. Does council agree to do it through cash accumulation? Okay. Baker/ ...take into account inflation...that we indeed we will accumulate cash. Atkins/ This is our best guess scenario. We estimated inflation ...investment income...cost of project. When we bid this project .... Nov/ There is an inflation figure ..... Arkins/ Construction inflation normally runs a tad bit ahead of general inflation ..... Inflation on last ten years is 4% .... Best guess ..... Horow/ Keep looking at it every year .... If you were making this decision, what would you do? Atkins/ 1-Phase the project .... 2-Stage the borrowing .... You are talking about adding cash. Nov/ Staging borrowing may or may not be feasible depending on federal income rate ..... Arkins/ Kubby/ The other advantage of phasing the project is we can begin more easily of fulfilling our goal of wanting to hire local people .... money... stays in the local economy... Horow/ I don't know how you can do anything else than phase it .... Atkins/ ...I am sure we will want as much money kept that goal. bid nationally .... Your idea is you locally .... we are trying to fulfill Kubby/ ...we have already said we want to do that. Atkins/ Tonight's conversation is financing ...... becomes...cash accumulation. question This ~pms~tsonly a ~aao~al)ly accurate ~a~scrip~on of ~elowa CI~ couadl meeting of July 11,1995. WS071195 July 11, 1995 . Council Work Session Page 18 Horow/ You have your direction in terms of cash accumulation .... I certainly will go along with it .... Nov/ Throg/ I was going to suggest that we use the 20% cash option in both cases for both water and wastewater .... council will be adopting or producing a much smaller rate increase for the next few years ..... much smaller rate increase than was originally expected or anticipated and we will be saving rate payers almost $20 million over roughly a 25 year period ..... typically water and sewer bill would increase by only 21% between 1995 and 1996 ....... There is significant savings in the total cost and there is a much smaller rate increase .... Lehman/ Kubby/ Throg/ The next couple of years are not a problem for the 25% option .... Kubby/ Until we spend that accumulated amount of cash... that it makes it easier for people between now and 2001. Throg/ The 20% option does that better than the 25%. Baker/ ..... I would vote for the 25% ..... the difference is in the rateso..not that dramatically high enough to preclude us to look at 25%. Throg/ I was Just noticing the $3.00 difference with regard to 20% and 25% options .... Pigott/ In year 2000 .... huge gap at that point. The 20% brings that gap down .... Horow/ .... It might be changed year by year by year .... Kubby/ We have to know what the goal is for accumulation of cash ...... council/ (All talking). Baker/ Lehman/ Throg/ Staff needs guidance. Thisrepresents only araaso~a~y accurate ~anscrlp~on of thalowa Ciwcouncll meaUng of July 11,1995. WS071195 · · July 11, 1995 . Council Work Session Page 19 Horow/ So, go ahead with 20% ..... Kubby/ We can choose to do a two year scheduled rate increase ...... Atkins/ I need to know your goal ..... how much? Kubby/ This baffles me because you are such a planner ..... Horow/ Lehman/ ...this council can sit down and say hey, we changed our mind .... We are really voting on the increase for next year ,,,.0, Council/ (All talking). Pigott/... we can articulate our reasons .... Kubby/ We have people asking us to do a 100% cash accumulation... to balance out the policy question of who pays for this .... current and future... balancing those things out .... 25 was the max we wanted to balance it out ..... Nov/ .... value is on the future ..... we have a high turnover co~unity .... Atkins/ It is the nature of the town .... Kubby/ .... we save millions of dollars .... Horow/ Can we bring this to close? Throg/... couple of caveats ..... reasonable compromise... enable all of us to agree ..... Then I read Larry's editorial ..... focus totally on the substance of the question .... lead us to a couple of ideas that would begin with the 20% thing... Here is what I would propose ..... four interrelated elements. For me to support the 20% cash accumulation... city council agree...formal resolution...1- to hire an independent consultant who has ample and well documented expertise in devising innovative water and sewer rate structures for growing communities ..... 2- To instruct that consultant to do two things: 1- devise and assess consequences of water rate structure that gradually transforms from a block rate to a flat rate structure ..... 2-and the consultant would estimate the water and sewer costs that are directly attributable to growth and devise a water impact fee and rate reduction reserve program that directs the resulting fees back to the current users ...... 3- Council would agree by resolution to Thisrepresents only areasonably accuratetranscription ofthelowa City council meeting of July 11,1995. WS071195 July 11, 1995 Council Work Session Page 20 adopt a water impact fee that recoups the monetizable cost of growth..... I think those are the elements that I need to see Baker/ It is my understanding that at least the majority of council has already directed staff to work on that water impact fee concept ..... Throg/ Yes, we did that... that was seven months ago. We have not seen a monetization of those costs ....... fee .... I have no problems with a water impact fee .... Kubby/ I hear Jim saying he wants some priority on that .... Throg/ .... I want to have something more solid. Lehman/ Woito/ That was on a different model that what Jim is talking about nOW, Horow/ Folks we have to give some decisions here .... Jim is asking to go back and have a consultant .... Council/ (All talking). Throg/ You are misunderstanding what I am saying ..... Horow/ .... this is something that we have been working with for how long .... Throg/ Let me try to re-state .... I want a commitment from the council to hire a consultant to do certain things. Horow/ What is wrong with staff? Throg/ We haven't seen the kind of information ..... Horow/ woito/ What you are wanting from me is a legal opinion so I need some guidance from you in terms of response on PATV, Cliffs....all of them are accu~ulative. If the water impact fee is a priority then the other things will have to be put on hold. Th~ represents only ar;asonablyaccuratetrans~lp~on of ~elowa CIW councllmee~ng of July 11,1995. WS071195 July 11, 1995 . · · Council Work Session Page 21 Lehman/ ..., We know that we have to have an increase in rates to build a plant .... . We can always pursue these things ..... We know this has to happens. Throg/ What I am trying to say is who pays is very important to me .... I want us to be focusing on who pays ...... I have laid out a way to do that. Kubby/ ... To me the growth factor .... policy guideline from which'~e are working ....... Horow/ .o..I keep thinking .... have gone for at least two years on not getting anywhere on economic policies .... this council has not looked at concrete ways of promoting economic development Kubby/ Throg/ I did not ask council or staff to monetize the cost of economic growth .... I want the consultant to estimate the water and sewer costs that are directly attributable to growth ..... Baker/ Don't see why you need a consultant to do that ..... But you don't need a consultant to tell us what the figure is. Throg/ ...we have very good financial people. I have great respect for- CHA/~GE TAPE TO REEL 95-83 SIDE 2 Throg/ Consultant who has ample and well documented experience in devising innovative water or sewer rate structures for growing communities .... Baker/ Figure the cost we can attribute growth .... rates to accommodate the whole project. Those are two different issues ..... Why isn't it that Don and Steve can put their little heads together ..... Throg/ That was asked for before...seven months ago. Woito/ In terms of my understanding of the way the water plant and the facility has been designed, the growth factor is a very soft number ..... It would have to be extrapolated ..... Throg/ There are water impact fees in other communities around the country .... Woito/ I think they are based on a different underlying analysis. Thisrepresonteo~ly a reasonably accurate ~a~scrlpfionofthe Iowa City council meeting of Ju{y 11,1995. W$071195 July 11, 1995 . Council Work Session Page 22 Atkins/ First of all, I am familiar with the impact fee concept .... you must have legal opinion... basis for which we can do that. Tonight you made two major policy decisions for me. l- You agreed to phase the project... 2-You agreed to accumulate cash .... Do you want a low income policy also... that has to be dealt with an4 the financial implications for that. Use of an independent consultant, that is your call and I don't have a strong opinion one way or the other about it .... I need to know what growth is .... Personally I would like to take a run at it ..... Kubby/ The frustration is we thought we had agreed that we wanted that% .... Arkins/ It is sitting there in anticipation of some of these other decisions .... Kubby/ This council is more directire than what other councils have been ..... Atkins/ We know that you want cash accumulation .... I am assuming we are going to tweak that rate structure along the way to make sure that it does what it is supposed to do .... Water impact fee is clearly a source of revenue .... Kubby/ I am not feeling the need to have an independent consultant to do that on that particular thing. The other thing, rate structures for growing communities, is very interesting. Throg/ I hope you see the spirit in which I offer ..... Kubby/ I only saw one person, Susan, being uncomfortable with accumulation of cash. Lehman/ ...we can change it. That is why I have no problem with it. Kubby/ Pigott/ .... let's see if there is a way we can creatively do something which is a fair policy for people ...... Horow/ Realize the next step we have got to discuss is those of us who own homes, regular users of water .... in order to assist those that are low income...ratchet that up a little higher .... This is a very giving community .... Pigoft/ We don't know what is going to happen .... Why should we exclude options .... weakness is there may be a burden on renters...with movement to a flat rate structure .... Thlsrspresentson;y are~onably accur~o ~nscdp~on of ~elowa Clty coun~l meetlngofJuly 11,1995.-- W$071195 July 11, 1995 · Council Work Session Page 23 Baker/ It is a very complicated debate .... areas where there is a real basic disagreement ..... Jim .... you want every possible decision set clearly in front of you and I don't think that is possible. Nov/ I don't think it is reasonable either. Baker/ ...question about renters getting a break ..... part of problem is there is there is very often not a connection between water consumption and the ability to pay ...... When you are singling out renters ..... It still doesn't get around the question of the connection between the consumption of water and the ability to pay. Kubby/ Throg/ .... Your opening point is basically that I am proposing to make us fix answers to all these kinds of questions in advance. That is what I meant to be saying .... I think we ought to hire this independent consultant .... we should state by resolution our intention to adopt a water impact fee ..... What I am asking for is that this consultant devise a rate structure that gradually shifts from a declining block to a flat rate that takes renters into account ..... Baker/ ...declining rate structure... Throg/ Horow/ Council has already agreed not to accept a flat rate structure once before .... Throg/ I am saying let's bring in a consultant .... Council/ (All talking). Baker/ ..... everything has a context .... Throg/ I s~id in advance I wanted to discuss the cash options but there were a couple of caveats that I wanted to come back. Baker/ Throg/ ...question of who pays is extremely important to me. Horow/ Make it short. Baker/ No, Sue, I am not going to make it short ..... When were we scheduled to make a vote on this rate increase and policy. Thisrepresents only a ~ason~bly~ccurme ~a~$c~lptlonofthe/owa City coun~l me~lng of July 11,1995, WS071195 July 11, 1995 . . Council Work Session Page 24 Arkins/ We had no schedule until you decide in what you are interested in doing .... Baker/ ..it is not next week... we have agreed that water impact fee, there-is a clear maJority...for that ..... Kubby/ But we made a resolution about a low income policy and we don't have a policy. Nov/ Kubby/ Didn't we vote On that we will have a low income policy? Arkins/ It was a clear understanding on my part. Kubby/ We voted on a resolution. Throg/ May I suggest something. May I type this up and make sure you all and Steve have a copy of it? ..... Baker/ A year ago and we did have a discussion of water rates ..... We had a proposal that we continue the policy that we have always had which is a declining rate structure .... was there a benefit to that, a majority of us said no that it didn't benefit renters .... You presented an alternative .... It wasn't adopted ..... Other proposals... Kubby/ .... Lehman/ Sue, the thing we did talk about... at least there was a majority of us .... that were not in favor of flat rates .... economically it doesn't make a lot of sense ..... declining rate structure, even on large young families ..... Pigott/ .... Nov/ It isn't Just renters .... it will be not just the apartment buildings built elsewhere, it will be restaurants built elsewhere and hotels... we have to weight the pros and cons of a flat water rate. Throg/ So in return the -lower water users will pay higher rates ..... Baker/ We did give the lowest water users a better rate ..... Council/ (All talking). Arkins/ We gave them an across the board adjustment for persons .... Thlsrepresefits only ars~o~at~y acetate Uafis~lp~onof~olowa Citycouncllmee~ngofJuly 11,1995. WS071196 July 11, 1995 ; . Council Work Session Page 25 Yucuis/ The minimum bills were increased by 24% rather than 40%. Throg/ 0therwise...lower quantity users of water pay more per gallon than do larger quantity users per gallon. All I am saying is that means the lower quantity users are the ones that are paying for disproportionately so for the water plant than our larger quantity users .... Point I was trying to make...a way to get rid of a very derisive issue ..... Horow/What you did for me was more derisive. Nov/ .... compromise to some extent .... Baker/ We have done much of what Jim has proposed already .... Nov/ Put it in writing and send it out next week. Pigott/ ...advantages of hiring a water consultant.... Maybe someone else does have personal experiences from other locations ..... Nov/... Other locations which have done that kind of thing have a very wide area included ..... The types of places that have done it have not been like Iowa City... We are a little different from some of those communities that have put in a flat rate structure. Baker/ Can I ask a simple question? Are you trying to get us to a rate structure that accommodates lower users of water regardless of their income? Throg/ My guess is there is probably a pretty strong correlation between use of water and income .... that is why I wanted to hire a consultant.;... Naomi has raised some points... A consultant can address those kinds of questions ..... Baker/...consumption and rates and not ability to pay and rates... people who need help... that is an issue that I will be glad to work with ..... If you want to talk about ability to pay, let's talk about that but not how much we consume affecting the rate that we charge. Kubby/ This assumption that it costs less to get that 10,000 cubic feet...economists that disagree with that kind of analysis Baker/ The capacity of this plant is not designed to promote a 50% growth or something like that. Kubby/ Thlsrepr~entg mtly area~on~ly eccurete ~$c~p~on ofthelowa City coun~l meeting of Juiy 11,1995. WS071195 JUly 11, 1995 Council Work Session Page 26 Horow/ Let's not get into that .... Kubby/ We are not done with this discussion. We haven't even done wastewater yet. Baker/ If you want to talk about rate structures that are fair based on ability to pay, I will be glad to talk about that. If you want to talk about rate structures that fluctuate with the amount of water that a person uses and you have rate structures that benefit people who use less, that doesn't seem to be a reasonable use of our time. Kubby/ Horow/ Stop everybody. Baker/ The real question is who pays .... That has got to be based on the ability to pay and-not on consumption. · I will type this up... you will get it in the next few days. Horow/ I would like to move us to the wastewater rate analysis where we have to go through the same discussion. Kubby/ So at this point for the water project we are talking 20% with cash accumulation. Horow/ Right .... Nov/ If we go for 20% this year and we make an assumption that the 20% will continue this is a false assumption. I want us to all remember that .... Horow/ Kubby/ Can we finish this issue of wastewater, of the accumulation of cash in each option? Horow/ I heard four people agree we were going to go 20%- for both, yeah. Baker/ Jim was talking about water and wastewater at the same time. Horow/ Kubby/ I thought the discussion we were having was looking at the water plant figures and it may be that the same thing will come about for wastewater ..... Thisrepresents only aroasonably accurate ~anscrlp~on of Solowe City council meeting of July 11,1995. WS071195 July 11, 1995 · Council Work Session Page 27 Horow/ I haven't heard four people say ..... Kubby/ Were people saying 20% for both water and wastewater? That is acceptable to me, yes. Pigott/ I like 20% becauee it seems to raise the rates at a rate that is almost no different...for total bonding process .... still'sa%e a good chunk of money. Horow/ Can we move on now to the draft of the DNR letter? Steve- Kubby/ I think we need to make our point more directly up front. Horow/ I agree. Kubby/ The big point...we want to fulfill our environmental quality obligations within the financial capability of this community ..... We are balancing out these two things .... Arkins/ I have no troubles re-wording the letter...the DNR doesn't much care about us fulfilling our environmental .... Kubby/ Arkins/ We believe that we will fulfill our environmental obligations and ability to pay has some bearing upon this schedule .... Kubby/ I just feel that point needs to be up front. Schmadeke/ That is fine. Horow/ And this schedule that we set forth here goes for water and wastewater. Nov/ Arkins/ It is the wastewater letter but we built in the water project. The wastewater is what they are permitting us to do. Nov/ And you don't need permitting for water? Atkins/ Not right now. We will shortly .... Nov/ Page 2 about spending $13 million per year on construction related activities, are we saying for water and wastewater or is that for wastewater only? I would like that spelled out. Schmadeke/ That is combined. Thisrepresents only areasonably accurate ~anscdptlonof ~elowa C~y cound] meeting of July11,1995. WS071195 July 11, 1995 . . Council Work Session Horow/ On combined construction related activities. Arkins/ I will take care of it. Page 28 Horow/ Thlsrefirosent= ~ly are~on~lyaocuratc Bmscrlptlon ofthelowa City council mooing ofJuly11,1995. WS071195 July 11, 1995 Council Work Session Page 29 Lighting Enhancement - Parking Ramps Baker/ (Can't hear). 95-83 S2 Kubby/ One of the things that I feel right now is we are real frustrated with each other .... This are really big decisions ..... complicated things .... trying to make policy decisions... making sure the details live out those values .... issues that going to affect our community for a long time .... I appreciate us talking this kind of time .... Horow/ Do you think our discussions make other discussions easier? Let's move on to lighting. Fowler/ Give you two more pieces of information .... I talked with our engineering firm that does our long term maintenance. They said it would be possible to delay the maintenance two years if you wanted to divert funds into the lighting .... would have an impact ..... Arkins/ Fowler/ We spend about $225,000 every two years on our maintenance on the parking lots. Atkins/ .... Fowler/ We are going to continually spend the $100,000 year. In stead of doing maintenance... we can get it done in 10 .... Pigott/ What kind of maintenance are we talking about? Fowler/ Re-sealing concrete .... Horow/ Close call .... Fowler/ Other option ..... gentleman... head of Design Department at the University of Iowa would like us to look at the possibility of incorporating art into the structures with reflective properties that would increase the lighting .... without installing lights. That would be art that would be displayed on the outside of ramp that would bring the light inside the ramp and he says... he can meet minimum light standards during the day time ..... Lehman/ ...apprised by the DR Committee? Horow/ This is one of the things that we were talking about .... shelving this until Joe gets more information on it. Thisrepresents only a reasonably accurate transcription ofthelowa City council meeting of July 11,1995. WS071t95 July 11, 1995 . Council Work Session Page 30 Fowler/ He would be glad to come and give you a presentation if you are interested ..... Kubby/ I would like to be more concrete than that. Baker/ Bruno and I .... heard...don't like signage...ramps are dark .... Things we can do to enhance the perception of availability of parking ..... lighting in those ramps was a key issue ..... Folks we got lots of money... I would put the lights in there and I would raise a nickel at the Dubuque Street ramps to pay for the increased electrical costs .... Nov/ ...need better lighting .... If we are going to show a demonstrable need and I think lighting is such a need, I would go along with that thought. Baker/ ...perception of safety .... Nov/ Kubby/ Fowler/ If you paint you will have a higher reflective value from the painting ..... Kubby/... how close does it get us to acceptable levels...? Fowler/ I think it gets us to the minimum acceptable standards ..... Nov/ Throg/ ...based on using high efficiency lighting fixtures .... Fowler/ They are on the high sodium efficient lights ..... Lehman/ ...feature painting, how much do you think it will increase the lighting...? Fowler/ The feature painting will not increase the lighting levels. It will brighten up the interior .... Nov/ Fowler/ It won't increase the interior lighting ..... rate increase, didn't know that was an agreeable subject to bring up .... Kubby/ Nov/ Thisrepresents only areasonebly accuratetranscription ofthe[owe City council meeting of July 11,1995. WS071195 July 11, 1995 Council Work Session Page 31 Baker/ Throg/ ...... I don't know what I think about the idea of raising the ramp fees by a nickel .... Kubby/ Do a phase thing...art... feature .... then lighting... Fowler/ Nov/ Kubby/ Multiple purposes for the art...light and for friendliness... aesthetics .... Baker/ I think the art is a great idea. I don't think it solves the problem. Horow/ I support the art ..... talking about safety ..... I don't want to delay maintenance. Kubby/... Chauncey Swan .... Fowler/ ...we have been told that is overlit .... twice the standard. Council/ (All talking).. Pigott/ I would like to see us paint and do the art first. Baker/ Horow/ Lighting first .... Baker/ ...charge a nickel for maintenance .... Horow/ Lehman/ I think eventually we have to do lighting .... Horow/ There are fp~r votes for lighting. Where are we getting the money on tht~ Arkins/ We have sufficient money in reserves to finance this .... Kubby/ ...either now or later ..... increase for a new facility .... Lehman/ Kubby/ And the painting and the art? Fowler/ The feature painting- This represents only a reasonably accurate transcription of the Iowa City council meeting of July 11, 1995. WS071195 July 11, 1995 . . . Council Work Session Page 32 Throg/ I will suDport the idea of spending money on the lighting. I don't think there needs to be a nickel raised .... Council/ (All talking). Kubby/ I would rather use the increase for the new facility .... Horow/ CHANGE TAPE TO REEL 95-84 SIDE 1 Arkins/ Do the plans and specs and have the p.h. So I won't do the plans and specs unless I know what you want me to do the plans and specs for. Kubby/ We are doing lighting up to the minimum amount, we are doing feature painting, and we are doing the art thing which we need to get more information about ..... local people doing murals .... I would like to hear some information about that. Fowler/ The new thing, he showed me a visual ..... colored ban- ners .... reflective banners. Kubby/ I guess I would like some more information on that. Horow/ Fowler/ I have got resumes done at everywhere. Baker/ Nov/ The maintenance cost on painting is definitely higher than electricity. Horow/ All right, let's do some bidding or scope of services. Arkins/ Lighting, artists, the paint. Horow/ Yes. Nov/ And more information for the University architect. Horow/ Steve, if the prices come back astronomical, we will just have to make hard decisions. Thlsrepr. snts ~lyaruson~ly accurate ~an$crlp~ of ~elowa CIH council maefingofJuly 11,1995. WS071195 July 11, 1995 . Council Work Session Page 33 Census 95-84 S1 Kubby/ We will make back the money we spend in three years, right? In one year. Atkins/ This is a huge undertaking. Kubby/ Is it possible? Horow/ With the existing staff? Atkins/ Marian will assume the leadership position .... Karr/ By signing the contract we have to promise 400 applicants to the federal government for census enumerators to test. They will do the testing. They will do the 171-B applications. They will set up shop here. Nov/ Karr/ ....they will hire roughly 1/3 and they will send two individuals here one week before the census and remain one week after the conclusion. Other than that, all the pre-census and post is done with staff. Kubby/ It is like you just got done with it and you are going to do it again. Karr/ Atkins/ .... it is years anyway. a big undertaking. We are going to do in four Our biggest increase will be in Road Use taxes Horow/ Atkins/ I suspect, I see a move on the part of the state to possibly restrict the use of the moneys ..... push it more towards construction related projects .... I don't see any movement to reduce the gasoline tax ..... If our population goes up we get more of that pot ..... proportionately it gets divided up differently. Horow/ All right, what is your feeling? Lehman/ I think I am hearing you are a little cool to this .... Atkins/ It is coming in four years, it is a rather large undertaking, it is door to door ..... which means Marian's day to day responsibility for running the thing is going to be far greater than normal .... no guarantees. Thisrepresents only a reasonably accurate transcription of the Iowa City councilmeetl~g of July 11, 1995. WS071195 July 11, 1995 Baker/ Karr/ The anticipated payback with the Atkins/ Baker/ Why do we think it is where Karr/ Because every indicator surroun4ing communities .... Baker/ Council Work Session Page 34 increased population. it is? we have indicates that .... Arkins/ It is not an opposition on either Marian's part of my part. Baker/ If it is paid for in a years, we get three years of benefit. Nov/ But this is a door to door census ..... Karr/ We have to give 400 people to take the test. We would only hire 1/3 of them .... Nov/ Kubby/ Baker/ How much do we have to pay? Atkins/ ...$200,000 Karr/ We keep $t02,000 here. Horow/ Lehman/ I could live with it. Nov/ Door to door business bothers me... I am cool. Throg/ No. Pigott/ I am interested but I am worried about the cost, the advertisement .... Kubby/ I say yes ..... I think we have the responsibility to find revenue wherever we can. Arkins/ ...try to get the ability to use some of that revenue for Transit ..... Karr/ Big city mayors .... This r~pr~nts only a reasonably accurate transcription of the Iowa City council meeting of July 11, 1995. WS071195 July 11, Pigott/ Nov/ 1995 Council Work Session Page 35 Horow/ Okay, there are four people for this. I will- Atkins/ We will put it together and have it back to you ..... Horow/ I will go, it is 5-2. Thtsrepres~t;o~ly area~ona~tyaccurata ~ans~iptlon ofthalowa City council meeting of July11,1995. WS071195 July 11, 1995 . Council Work Session Page 36 Cemetery Update 95-84 S1 Horow/ Baker/ We haven't got a recommendation from Parks and Rec, we don't need to talk about this yet. Horow/ Kubb¥! How many people are going on the tour tomorrow? ..... I won't be there until §:30 or 6:00 ..... Nov/ Horow/ I asked you about legislative policies issues ..... Kerr/ Quickly.. two things .... 7/27 7:30 in the morning ..... and I 18th 6:30 e.s. is a go. Arkins/ Yes. Horow/ Larry will not be here on the 17th. you set a public hearing for need four. Secondly the July Adjourn: 10:50 PM This represent8 only a reasona~y accurate transcription of the Iowa City council msst~ng of July 11, 1995, W$071195