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Home My WebLink About2001-07-31 Resolution RESOLUTION NO. 01-214 RESOLUTION TO ISSUE DANCING PERMIT BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that a Dancing Permit as provided by law is hereby granted to the following named person and at the following described locations upon his filing an application, having endorsed thereon the certificates of the proper city officials as to having complied with all regulations and ordinances, and having a valid beer, liquor, or wine license/permit, to wit: Memories 928 Maiden Lane It was moved by Champion and seconded by 0'Donnel] that the Resolution as read be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner ~X Lehman X Q'Donnell X Pfab X Vanderhoef X Wilburn Passed and approved this 3Zst day of Ju]y , 20 01 , City Attorney's Office clerk\res\danceprm .doc Prepared by Madan K. Karr, City Clerk, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5041 RESOLUTION NO. 01-215 RESOLUTION TO ISSUE CIGARETTE PERMITS WHEREAS, the following firms and persons have made application and paid the mulct tax required by law for the sale of cigarettes, therefore BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that the applications be granted and the City Clerk is hereby directed to issue a permit to the following named persons and firms to sell cigarettes: Tobacco Republic 114½ E. College Street Passed and approved this 31st dayof July ,20 01 MAYOR Approved by City Attorney's Office It was moved by Charnpi on and seconded by 0' Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn Prepared by: Terry Trueblood, P&R Director, 410 E. Washington St., Iowa City, IA 52240, (319)356-5110 RESOLUTION NO. 01-216 RESOLUTION SETTING A PUBLIC HEARING ON PLANS, SPECIFICATIONS, FORM OF CONTRACT, AND ESTIMATE OF COST FOR THE CONSTRUCTION OF THE RIVERSIDE FESTIVAL STAGE SEATING PROJECT, DIRECTING CITY CLERK TO PUBLISH NOTICE OF SAID HEARING, AND DIRECTING THE PARKS & RECREATION DIRECTOR TO PLACE SAID PLANS ON FILE FOR PUBLIC INSPECTION, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF IOWA CITY, IOWA: 1. That a public hearing on the plans, specifications, form of contract, and estimate of cost for the construction of the above-mentioned project is to be held on the 21st day of August, 2001, at 7:00 p.m. in the Council Chambers, Civic Center, 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. That 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. That the copy of the plans, specifications, form of contract, and estimate of cost for the construction of the above-named project is hereby ordered placed on file by the Parks and Recreation Director in the office of the City Clerk for public inspection. Passed and approved this 31st day of Ju"i y ,20 01 Approved by Resolution No. 01-216 Page 2 It was moved by Champi on and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion ~( Kanner X Lehman X O'Donnell X Pfab X Vandernoef X Wilburn Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-217 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING FROM THE MILL WHEREAS, on May 16, 2001, Wesley John Broulik was convicted/pied guilty in Johnson County District Court, Case No. STIC 107002 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Broulik was an employee of the establishment operating under the retail cigarette permit issued to The Mill, 120 East Burlington Street; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(1 ), after a hearing and proper notice; and WHEREAS, on the 20th day of July, 2001, The Mill 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to hearing and payment of $300.00 civil penalty on behalf of The Mill. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County Attomey'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: dulv 31, 2001 AT City~'k, City of Iowa City Resolution No. 01-217 Page 2 It was moved by Champion and seconded by 0'Donne'l 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-218 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING FROM CITY PLAZA HOTEL CHAUNCEY'S NfK/A MORGAN'S WHEREAS, on March 23, 2001, Robyn Christthe Eisenbach was convicted/pied guilty in Johnson County District Court, Case No. STIC 116129 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation traderlying the above conviction/plea, Eisenbach was an employee of the establishment operating under the retail cigarette permit issued to City Plaza Hotel Chauncey's n/k/a Morgan's, 210 South Dubuque Street, Iowa City, Iowa 52240; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2( 1 ), after a hearing and proper notice; and WHEREAS, on July 16, 2001, City Plaza Hotel Chauncey's n/k/a Morgan's 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to heating and payment of $300.00 civil penalty on behalf of City Plaza Hotel Chauncey's n/k/a Morgan's. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County 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. ATTEST:City~C;rk, City of Iowa City Resolution No. 01-218 Page 2 It was moved by Champion and seconded by 0'Donnel I the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner ~( * Lehman X O'Donnell X . Pfab X . Vanderhoef X Wilburn Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-219 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING WHEREAS, on April 9, 2001, Erin Lynne Tebockhorst was convicted/pied guilty in Johnson Coanty District Court, Case No. STIC 115629 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Tebockhorst was an employee of the establishment operating under the retail cigarette permit issued to Suburban Amoco - Keokuk Street; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2( 1 ), after a hearing and proper notice; and WHEREAS, on July 6, 2001, Suburban Amoco - Keokuk Street 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to hearing and payment of $300.00 civil penalty on behalf of Suburban Amoco - Keokuk Street. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County Attomey'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: July 31, 2001 A~TEST:' ~j~,:; '~. City~rk, City of Iowa City Resolution No. 01-219 Page 2 It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner }( Lehman X O'Donnell X Pfab X Vanderhoef × Wilburn Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-220 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING FROM DEADWOOD TAVERN WHEREAS, on March 19, 2001, Amanda Nichole Parfish was convicted/pied guilty in Johnson County District Court, Case No. STIC 112127 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Parfish was an employee of the establishment operating under the retail cigarette permit issued to Deadwood Tavern, 6 Dubuque Street, Iowa City, Iowa 52240; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(I), after a hearing and proper notice; and WHEREAS, on July 13,2001, Deadwood Tavern 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to heating and payment of $300.00 civil penalty on behalf of Deadwood Tavern. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County Attomey'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: duly 31, 2001 ~Vlayor, City of Iowa City '..,.,,_), , - ~ ATTEST:C~ City ;f~I~w~C~it~ / Resolution No. 01-220 Page 2 It was moved by Champ i on and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman ][ O'Donnell X Pfab X Vanderhoef X Wilbum Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-221 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING FROM HANDIMART WHEREAS, on March 27, 2001, Keith Michael Lynch was convicted/pied guilty in Johnson County District Court, Case No. STIC 115626 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Lynch was an employee of the establishment operating under the retail cigarette permit issued to Handimart, 2545 North Dodge, Iowa City, Iowa 52240; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(1 ), after a hearing and proper notice; and WHEREAS, on July 16, 2001, Handimart 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to hearing and payment of $300.00 civil penalty on behalfofHandimart. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County 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: July 31, 2001 ATTEST:City~'rk, City of Iowa City Resolution No, 01-221 Page 2 It was moved by Champion and seconded by 0' Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilbum Prepared by: Andrew Chappall, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-222 RESOLUTION ACCEPTiNG PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARiNG FROM MALONE'S WHEREAS, on March 21,2001, Joseph Michael Strening was convicted/pied guilty in Johnson County District Court, Case No. STIC 112128 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Strening was an employee of the establishment operating under the retail cigarette permit issued to Malone's, 121 Iowa Avenue, Iowa City, Iowa 52240; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(1), after a hearing and proper notice; and WHEREAS, on July 17, 2001, Malone's 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to heating and payment of $300.00 civil penalty on behalf of Malone's. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County Attomey'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: duly 31, 2001 · ,,,~// ~, ATTEsT:ci~ity of Iowa city Resolution No. 01-222 Page 2 It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner × Lehman ~( O'Donnell X Pfab X Vanderhoef X Wilburn Prepared by: Liz Osborne, CD Division, 410 E. Washington St., Iowa City, IA 52240 (319)356-5246 RESOLUTION NO. 01-223 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO A'I'fEST TO THE RELEASE OF LIEN REGARDING A MORTGAGE FOR THE PROPERTY LOCATED AT 814 EAST JEFFERSON STREET, IOWA CITY, IOWA. WHEREAS, on June 18, 1997, the owners of 814 East Jefferson Street executed a conditional occupancy loan for the amount of $3,000; and WHEREAS, the loan was paid off on July 1, 2001; and WHEREAS, it is the City of Iowa City's responsibility to release this lien. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the Mayor is authorized to sign and the City Clerk to attest the attached Release of Lien for recordation, whereby the City does release the property located at 814 East Jefferson Street, Iowa City, Iowa from the Mortgage recorded on June 19, 1997, Book 2291, Page 259 through Page 262 of the Johnson County Recorder's Office. Passed and approved this 31.st day of July ,20 01 Approved by It was moved by Champion and seconded by 0'Donneq! 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn plxlre~ab/resI814ejefferson doc Prepared by: Liz Osborne, CD Division, 410 E. Washington St., Iowa City, IA 52240 (319)356-5246 RELEASE OF LIEN The City of Iowa City does hereby release the property at 814 East Jefferson Street, Iowa City, Iowa, and legally described as follows: The East half of Lot 6 of Block 5 in Iowa City, Iowa according to the plat thereof recorded in Book 1, Page 116, Plat Records of Johnson County, Iowa. from an obligation of the owners, David Zollo and Elizabeth Oxler, to the City of Iowa City in the total amount of $3,000 represented by the Mortgage recorded on June 19, 1997, Book 2291, Page 259 through Page 262 of the Johnson County Recorder's Office. This obligation has been satisfied and the property is hereby released from any liens or clouds upon title to the above property by reason of said prior recorded document. Approved by City Attorne~,'s Office STATE OF IOWA ) ) SS: JOHNSON COUNTY ) On this 31 day of 5"'~,- , A.D. 20 o l , before me, the undersigned, a Notary Public in and for said Co~'nty, in said State, personally appeared Ernest W. Lehman and Madan K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said corporation,. and that the instrument was signed and sealed on behalf of the corporation by authority of its City Council, as contained in Resolution No. ol-zz~, adopted by the City Council on the .j__L__ day ,20 c~1 and that the said Ernest W. Lehman and Marian K. Karr as such officers acknowledged the execution of said instrument to be the voluntary act and deed of said corporation, by it and by them voluntarily executed. Notary Public in and for Johnson County, Iowa ti~4' soNDRAE FORT ~ Prepared by: Liz Osbome, CD Division, 410 E. Washington St,, Iowa City, IA 52240 (319)356-5246 RESOLUTION NO. 01-224 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST TO THE RELEASE OF LIEN REGARDING A MORGAGE FOR THE PROPERTY LOCATED AT 730 COLLEGE STREET, IOWA CITY, IOWA. WHEREAS, on May 31, 1990, the owner of 730 College Street executed a ten-year declining balance Mortgage in the amount of $14,000 through the City's Rental Rehabilitation Program; and WHEREAS, the terms of the Mortgage have been satisfied; and WHEREAS, it is the City of Iowa City's responsibility to release this lien. NOW, THEREFORE, BE IT RESOLVED BY THE CiTY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the Mayor is authorized to sign and the City Clerk to attest the attached Release of Lien for recordation, whereby the City does release the property located at 730 Coltege Street, Iowa City, Iowa from the Mortgage recorded on September 19, 1991, Book 1280, Page 305 through Page 307 of the Johnson County Recorder's Office. Passed and approved this 3].st day of July ,20 0]. Approved by City Attorneys Office It was moved by Champion and seconded by 0'Donne'l] the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn Prepared by: Liz Osborne, CD Division, 410 E. Washington St., iowa City, IA 52240 (319)356-5246 RELEASE OF LIEN The City of Iowa City does hereby release the property at 730 College Street, Iowa City, Iowa, and legally described as follows: Beginning at the southeast corner of Lot 8 in Block 21 of Iowa City, Iowa, according to the recorded plat thereof, thence North 90 feet along the East line of said Lot 8, thence West 41 feet, thence South 90 feet to the North line of College Street, thence East 41 feet to the point of beginning from an obligation of the owner, Danette R. Loupee, to the City of Iowa City in the total amount of $14,000 represented by a Modgage recorded on September 19, 1991, Book 1280, Page 305 through Page 307 of the Johnson County Recorder's Office. This obligation has been satisfied and the property is hereby released from any liens or clouds upon title to the above property by reason of said prior recorded document. Approved by CITY-CLERK City Attorney's Office STATE OF IOWA ) ) SS: JOHNSON COUNTY ) On this ~,~ day of ~,.y , A.D. 20 '~t , before me, the undersigned, a Notary Public in and for said Codnty, in said State, personally appeared Ernest W. Lehman and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said corporation, and that the instrument was signed and sealed on behalf of the corporation by authority of its City Council, as contained in Resolution No. o~- zz.,~, adopted by the City Council on the ~,~ day o ,.c ~,-.v ,20 ~ ! and that the said Ernest W. Lehman and Marian K. Karr as'such offi~:ers acknowledged the execution of said instrument to be the voluntary act and deed of said corporation, by it and by them voluntarily executed. I~m 'r-mCommls~o. Number 159791I ~'.,~'J ~4)'~,c~,L~ r~.xp~res | Notary Public in and for Johnson County, Iowa Prepared by: Liz Osborne, PCD, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5246 RESOLUTION NO. 0'l-225 RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AND THE CITY CLERK TO ATTEST TO A SUBORDINATION AGREEMENT BETVVEEN THE CITY OF IOWA CITY AND HILLS BANK AND TRUST COMPANY, IOWA CITY, IOWA, FOR PROPERTY LOCATED AT 1830 HIGH STREET, IOWA CITY, IOWA. WHEREAS, the City of Iowa City is the owner and holder of an Agreement, a Promissory Note, and a Mortgage in the total amount of $25,550, executed by the owner of the property on September 14, 1998 and recorded on October 11, 2000, in Book 3010, Page 477 through Page 490, in the Johnson County Recorder's Office covering the following described real estate: Lots 5 and 6, Block 4, Morningside Addition to Iowa City, Iowa, according to the plat recorded in Book 1795, page 156, Plat records of Johnson County, Iowa WHEREAS, Hills Bank and Trust Company, is financing a first mortgage in the amount of $106,603 to the owner of 1830 High Street and will secure the loan by a mortgage covering the real estate described above; and WHEREAS, it is necessary that the Mortgages held by the City be subordinated to the lien of the proposed mortgage in order to induce Hills Bank and Trust Company to make such a loan; and WHEREAS, Hills Bank and Trust Company has requested that the City execute the attached subordination agreement thereby making the City's lien subordinated to the lien of said Mortgage with Hills Bank and Trust Company; and WHEREAS, there is sufficient value in the above described real estate to secure the City lien as a second lien. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the Mayor is authorized to execute and the City Clerk to attest the subordination agreement between the City of Iowa City and Hills Bank and Trust Company, Iowa City, Iowa. Passed and approved this 31st day of Jul y ,20 01 MAYOR Approved by CI:'I'Y 'CLERK C'~t'y ~Ati(~r~ey's-~ffice Resolution No. 01-225 Page 2 ~ It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman '-~-- O'Donnell X Pfab X Vanderhoef X Wilburn SUBORDINATION AGREEMENT THIS AGREEMENT is made by and between the City of Iowa City, herein the City, and HILLS BANK AND TRUST, herein the Financial Institution. WHEREAS, the City is the owner and holder of a certain Modgage which at this time is in the amount of $25,550.00 and was executed by GREATER IOWA CITY HOUSING FELLOWSHIP (herein the Owner), dated SEPTEMBER 14, 2000, recorded OCTOBER 11, 2000 in Book 3010, Page 487 through 490, Johnson County Recorder's Office, covering the following described real property: Lots 5 and 6, Block 4, Morningside Addition to Iowa City, Iowa according to the recorded plat thereof. WHEREAS, the Financial Institution proposes to loan the sum of $106,603 on a promissory note to be executed by the Financial Institution and the Owner, securing a mortgage covering the real property described above; and WHEREAS, to induce the Financial Institution to make such loan, it is necessary that the MORTGAGE held by the City be subordinated to the lien of the mortgage proposed to be made by the Financial Institution. NOW THEREFORE, in consideration of the mutual covenants and promises of the parties hereto, the parties agree as follows: 1. Subordination. The City hereby covenants and agrees with the Financial Institution that the above-noted MORTGAGE held by the City is and shall continue to be subject and subordinate to the lien of the mortgage about to be made by the Financial Institution. 2. Consideration. The City acknowledges receipt from the Financial Institution of One Hundred and Fifty Dollars ($150.00) and other good and valuable consideration for its act of subordination herein. 3. Senior Mortgage. The mortgage in favor of the Financial Institution is hereby acknowledged as a lien superior to the MORTGAGE of the City. 4. Binding Effect. This agreement shall be binding upon and inure to the benefit of the respective heirs, legal representatives, successors1 and assigns of the parties hereto. 07/31/2002 10:S4 FAX 319 3~8 2249 H{~LS BANI( Subordination Agreement Page 2 Dated this ~ 31st day of July ........ 2001 CITY OF IOWA CITY FINANCIAL INSTITUTION Mayor JuLie achout, Secor~ Vice President : ,:>~"~.~.< ' · .'~, ,. "~ ' . ...... STATE OF IOWA ) JOHNSON COUNTY ) On this -~! day of --J-~...~ _ . , A.D. 20 .~( , before me, the undersigned, a notary public in and for the State of Iowa, personally appeared Ernest W. Lehman and Marian K. Kerr, to me personally known, and who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Iowa City, Iowa; that the seal affixed to the foregoing instrument is the corporate seal of the corporation; and that the instrument was signed and sealed on behalf cf the corporation, by authority of its Ciby Council; as contained in Resolution No.~/-~z5 passed by the City Council on the ~1 _ day of _ ~',~,.y ., 2001, and that Ernest W. Lehman and Marian K. K-arr ~cknowledged the exc~cutioh of the instrument to be their voluntary act and deed and the voluntary act and deed of the corporation, by it voluntarily executed, ~mmm~an Number '--~ I / N~u~ry Public in and for the State of Iowa My commission expires: 07/31/2002___10:$4 FAX 319 358 2249 HILLS ~AN~I( -GILBERT Subor~natlon Agreement Page 3 STATE OF iOWA ) JOHNSON COUNTY ) on this ~ day of ~-u~-,~ . A.D. 2001, before me, the undersigned, a Notary Public in-and ~or the State of Iowa, personally appeared ~_~-~.ie ~c~ca~c and ~ [~:x~e.~ Z~,e~!l¥ _ , to me personally known, who, being by me duly sworn, did say that they are thC- and V~e ~eside.~c , respectively, of said corporation executing the within and foregoing instrument to which this is attached; that said instrument was signed and sealed on behalf of said .corporation by authority of its Board of Directors; and that the said -~,,~ .. ......... and [~3qe. r ~L].¥ , as such officers acT~-~e~t"t~n'~~ execution of said instrument to ~e ~he voluntary act and deed of said corporation, by it and by them voluntarily executed. Notary Public in and for the State of Iowa My corniness'on expires 7-2-02 Prepared by: Ross Spitz, Public Works, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5149 RESOLUTION NO. 01-226 RESOLUTION ACCEPTING THE WORK FOR THE 2000 PAVEMENT MARKINGS PROJECT WHEREAS, the Engineering Division has recommended that the work for construction of the 2000 Pavement Markings Project, as included in a contract between the City of Iowa City and All Iowa Contracting Co. of Waterloo, Iowa, dated September 12, 2000, be accepted; and WHEREAS, the performance and payment bond has been filed in the City Clerk's office. 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 31st dayof July ,20 01 · Approved by ATTEST: CITY'~L~K ' Ci[y'/~t~r~e~/'s Office It was moved by Champion and seconded by 0'Donne] ] the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner ~ Lehman × O'Donnell X Pfab X Vanderhoef X Wilburn Girl/of ENGINEER'S REPORT July 19, 2001 Honorable Mayor and City Council Iowa City, Iowa Re: 2000 Pavement Markings Project Dear Honorable Mayor and Councilpersons: I hereby certify that the construction of the 2000 Pavement Markings Project has been completed by All Iowa Contracting Company of Waterloo, Iowa in substantial accordance with the plans and specifications prepared by the City of Iowa City. The required performance and payment bond is on file in the City Clerk's office. The final contract price is $31,223.76. I recommend that the above-referenced improvements be accepted by the City of Iowa City. Richard Fosse, P.E. City Engineer 410 EAST WASHINGTON STREET * IOWA CITY, IOWA 52240-1826 * (519) 356-5000 * FAX (319) 356-5009 City of Iowa City M MORANDUM Date: July 20, 2001 To: Steve Atkins From: Kim Johnsomt~,-~ Re: Agenda Items The following are costs associated with Capital Improvement Projects being presented for acceptance at the July 31st Council meeting: 1) 2000 Pavement Marking Project Contractor.' All Iowa Contracting · Project Estimated Cost: $ 50,000.00 · Project Bid Received: $ 33,976.90 · Project Actual Cost: $ 31,223.76 Prepared by: Denny Gannon, Asst. City Engineer, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5142 RESOLUTION NO. 01-227 RESOLUTION ACCEPTING WORK FOR THE SANITARY SEWER, STORM SEWER, WATER MAIN, AND PAVING PUBLIC IMPROVEMENTS FOR PHASE I OF WINDSOR RIDGE - PART FIFTEEN, AND DECLARING PUBLIC IMPROVEMENTS OPEN FOR USE. WHEREAS, the Engineering Division has certified that the following improvements have been completed in accordance with the plans and specifications of the City of Iowa City, Sanitary sewer, storm sewer, and water main improvements for Phase 1 of Windsor Ridge - Part 15, as constructed by Maxwell Construction, Inc. of Iowa City, Iowa. Paving improvements for Phase 1 of Windsor Ridge - Part 15, as constructed by Streb Construction Co., Inc. of Iowa City, Iowa. Said public improvements will serve the following buildings: Building I of Manchester Condominiums addressed 4362, 4364, 4366 and 4368 Court Street; Building II of Manchester Condominiums addressed 351,353, 355, 357, 359, 361,363, 365, 367, 369, 371 and 373 Camden Road; Building III of Manchester Condominiums addressed 315, 317, 319, 321,323, 325, 327,329, 331,333, 335, and 337 Camden Road. WHEREAS, maintenance bonds have been filed in the City Clerk's Office. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: Said public improvements are hereby accepted by the City of Iowa City, Iowa, and the public improvements hereby formally accepted and declared open for use. Passed and approved this 31st day of July ,2001. Approved by pwengVes\windsorphsl dgc Resolution No. 01-227 Page 2 It was moved by Champi on and seconded by 0' Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman ][ O'Donnell X Pfab X Vanderhoef X Wilburn ENGINEER'S REPORT July 19, 2001 Honorable Mayor and City Council Iowa City, Iowa Re: Windsor Ridge - Part Fifteen Dear Honorable Mayor and Councilpersons: I hereby certify that the construction of the sanitary sewer, storm sewer, water main and paving improvements for Phase I of Windsor Ridge - Part Fifteen have been completed in substantial accordance with the plans and specifications of the Engineering Division of the City of Iowa City. The required maintenance bonds are on file in the City Clerk's Office for the sanitary sewer, storm sewer, and water main improvements constructed by Maxwell Construction, Inc. of Iowa City, Iowa and for the paving improvements constructed by Streb Construction Co., Inc. of Iowa City, Iowa. Said public improvements will serve the following buildings: Building I of Manchester Condominiums addressed 4362, 4364, 4366 and 4368 Court Street; Building II of Manchester Condominiums addressed 351,353, 355, 357, 359, 361,363,365,367,369, 371, and 373 Camden Road; Building III of Manchester Condominiums addressed 315. 317, 319,321,323, 325,327, 329, 331,333, 335, and 337 Camden Road. I recommend that the above-referenced improvements be accepted by the City of Iowa City. ~iosse, P.E. City Engineer I 07~'li'Ol Prepared by: Bob Miklo, Senior Planner, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5240 RESOLUTION NO. 01-228 A RESOLUTION APPROVING FINAL PLAT OF WALNUT RIDGE PARTS 9 AND 10, IOWA CITY, IOWA. WHEREAS, the owners, John W. Kennedy, Barbara F. Kennedy and Dorothy J. Kisner, filed with the City Clerk the final plat of Walnut Ridge Parts 9 and 10, Iowa City, Iowa, Johnson County, Iowa; and WHEREAS, said subdivision is located on the following-described real estate in Iowa City, Johnson County, Iowa, to wit: Walnut Ridge Part 9 Commencing at the Northwest Corner of the Northeast Quarter of the Fractional Northwest Quarter of Section 7, Township 79 North, Range 6 West, of the Fifth Principal Meridian; Thence S00°23'09'W, along the West Line of said Northeast Quarter of the Fractional Northwest Quarter, 561.73 feet, to the Point of Beginning; Thence S68°04'23"E, 559.61 feet; Thence Southwesterly, 113.97 feet, along a 575.00 foot radius curve, concave Northwesterly, whose 113.79 foot chord bears S27o36'20"W; Thence S33°17'02"W, 181.71 feet; Thence Southeasterly, 228.16 feet, along a 570.00 foot radius curve, concave Southwesterly, whose 226.64 foot chord beam S42°13'53"E; Thence Southeasterly, 321.78 feet, along a 2530.00 foot radius curve, concave Northeasterly, whose 321.56 foot chord bears S34°24'28"E, to a Point on the North Line of Walnut Ridge, Part Six, in accordance with the Plat thereof Recorded in Plat Book 40, at Page 81, of the Records of the Johnson County Recorder's Office; Thence S51°37'54"W, along said North Line, 63.61 feet; Thence N75°16'41"W, along said North Line, 157.08 feet; Thence S79o18'37"W, along said North Line, 282.49 feet; Thence S66o13'54"W, along said North Line, 139.05 feet; Thence N89°36'51"W, along said North Line, 100.83 feet, to a Point on the West Line of the East One-Half of said Northwest Quarter; Thence N00o23'09"E, along said West Line, 1002.18 feet, to the Point of Beginning. Said Tract of Land contains 10.08 acres, more or less, and is subject to easements and restrictions of record. Walnut Ridge Part 10 Beginning at the Northwest Corner of the Northeast Quarter of the Fractional Northwest Quarter, of Section 7, Township 79 North, Range 6 West, of the Fifth Principal Meridian; Thence N88o30'17"E, along the North Line of said Northeast Quarter, 620.89 feet; Thence S24o46'21"E, 415.76 feet; Thence Southwesterly, 295.49 feet, along a 391.00 foot radius curve, concave Southeasterly, whose 288.51 foot chord bears S43°34'38"W; Thence S21o55'37"W, 216.01 feet; Thence N68°04'23"W, 559.61 feet, to a Point of the West Line of Said Northeast Quarter; Thence N00°23'09"E, along said West Line, 561.73 feet, to the Point of Beginning. Said Tract of land contains 10.59 acres, more or less, and is subject to easements and restrictions of record. WHEREAS, the Department of Planning and Community Development and the Public Works Department examined the proposed final plat and subdivision, and recommended approval; and 000269 Resolution No. 01-228 A Page 2 WHEREAS, the Planning and Zoning Commission examined the final plat and subdivision and recommended that said final plat and subdivision be accepted and approved; and WHEREAS, a dedication has been made to the public, and the subdivision has been made with the free consent and in accordance with the desires of the owners and proprietors; and WHEREAS, said final plat and subdivision are found to conform with Chapter 354, Code of Iowa (2001) and all other state and local requirements. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY. IOWA, THAT: 1. The said final plat and subdivision located on the above-described real estate be and the same are hereby approved. 2. The City accepts the dedication of the streets and easements as provided by law and specifically sets aside portions of the dedicated land, namely streets, as not being open for public access at the time of recording for public safety reasons. 3. The Mayor and City Clerk of the City of Iowa City, Iowa. are hereby authorized and directed, upon approval by the City Attorney, to execute all legal documents relating to said subdivision, and to certify a copy of this resolution. which shall be affixed to the final plat after passage and approval by law. The City Clerk shall record the legal documents and the plat at the office of the County Recorder of Johnson County, Iowa at the expense of the owner/subdivider. SEAL Approved by City It was moved by Champion and seconded by O'Dnnnell the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn ppdadmmlres/WnutRdgg&10doc 0002'70 STAFF REPORT To: Planning & Zoning Commission Prepared by: John Yapp Item: SUB00-0020 Final Plat Date: July 19, 2001 Walnut Ridge Part 9 & 10 GENERAL INFORMATION: Applicant: Southgate Development PO Box 1907 Iowa City, IA 52244 Requested Action: Final Plat approval Purpose: Development of 12 residential lots Location: Kennedy Parkway extended Size: 20.67 acres Existing Land Use and Zoning: 0PDH-1;undeveloped Surrounding Land Use and Zoning: North: P and ID-RS; undeveloped woodlands South: OPDH-1; residential East: P; agricultural West: ID-RS; agricultural Comprehensive Plan: Residential 2-8 dwelling units per acre File Date: June 26, 2001 45-Day Limitation Period: August 9, 2001 SPECIAL INFORMATION: Public Utilities: City water and sewer service is available. Public Services: The City will provide police and fire protection. City refuse and recycling services will be provided. Transportation: The nearest transit stop is at Hawkeye Drive and Melrose Avenue. Physical Characteristics: Rolling topography including steep, critical and protected s~opes and woodlands. 2 BACKGROUND INFORMATION: This final plat was initially submitted in the fall of 2000. It could not be approved at that time because it deviated from the approved OPDH Plan and preliminary plat. The applicant then requested approval of an amended OPDH Plan and preliminary plat to adjust the conservation easement and reduce the tree protection area. The amended preliminary plat and OPDH Plan for Parts 9 & 10 were approved by the City Council on June 26. The applicant is now requesting approval of the final plat for Parts 9 &1 0. ANALYSIS: The final plat is in general compliance with the subdivision regulations and the amended preliminary plat and OPDH plan. Construction plans and legal papers are being reviewed by the Public Works Department and the City Attorney's Office. These documents should be ~pproved prior to City Council consideration of the final plat. STAFF RECOMMENDATION: Staff recommends approval of SUB00-0020 an application from Southgate Development for a final plat of Walnut Ridge Parts 9 & 10, a 20.67-acre, 12-1ot residential subdivision located on Kennedy Parkway subject to staff approval of legal papers and construction drawings prior to City Council consideration. ATTACHMENTS: 1. Location Map. 2. Final Plats. Approved by: ~, Senior Planner Department of Planning and Community Development FINAL PLAT and OPDH PLAN ,, ,,, ~ PART NINE , , '~ Iowa City, Iowa il: ~ ~', 'i,, .~", ..........."I":::" ' ~ .'.:,:, ,..,~:':s .........":::.. X:'==;-' . ~,-'::~{~?":-,,~ ::-~::.-::~ ::'::: ~:, --- Point of Beginning ., "~""~ "~" ~ .... FINAL PLAT and OPDH PLAN o~o~'o' x ~:~; ~ PART TEN ' ~,:7~.~,=~~.~...,:Iowa City, Iowa ,?', .. ~:: ...... ~.,, Prepared by: John Yapp, Assoc. Planner, 410 E. Washington SL, Iowa City, IA 52240 (319) 356-5247 (SUB00-0021) RESOLUTION NO. RESOLUTION APPROVING FINAL PLAT OF NORTH AIRPORT DEVELOPMENT, IOWA CITY, IOWA. WHEREAS, the owner, the City of Iowa City, filed with the City Clerk the final plat of North Airport Development, Iowa City, Iowa, Johnson County, Iowa; and WHEREAS, said subdivision is located on the foliowing-described real estate in Iowa City, Johnson County, Iowa, to wit: Beginning at the Southeast corner of Westport Plaza as recorded in Book 32 at Page 289 in the Records of the Johnson County Recorder's Office; Thence N00°35'32"E along the East line of said Westport Plaza, 754.71 feet; Thence N51°23'44"E, 59.53 feet to a point on the Southwesterly right-of-way line of Ruppert Road; Thence Northwesterly, 77.16 feet along said right-of-way line and an arc of a 409.92 foot radius curve, concave Northeasterly, whose 77.05 foot chord bears N36°11 '29"W; Thence N38°44'54"W, along said right-of-way line, 94.65 feet to a Point on the Westerly right-of-way line of Ruppert Road; Thence N00°35'32"E along said right-of-way line, 140.32 feet; Thence S89°29'19"E, 1041.99 feet; Thence N89°41'00"E, 636.50 feet; Thence N89°43'00"E, 491.70 feet; Thence S16°29'25"E, 429.89 feet; N89°34'39"E, 395.33 feet to a point on the Westerly right-of-way line of Riverside Drive; Thence S12°58'23"E along said right-of-way line, 156.47 feet; Thence N89°35'33"E, along said right-of-way line, 81.39 feet; Thence S12°59'02"E, along said right-of-way line, 213.05 feet; Thence S89°48'54"W, 453.47 feet; Thence N16°31'12"W, 129.74 feet; Thence S70°15'04"W, 1033.22 feet; Thence S73°19'46"W, 1321.45 feet; Thence N55°55'22"W, 93.05 feet to a point on the West line of the Northeast one-quarter of Section 21, Township 79 North, Range 6 West of the Fifth Principal Meridian, Iowa City, Johnson County, Iowa; Thence N01°05'08"E, 27.24 feet to the North one-quarter corner of said Section 21; Thence N00°35'32"E along the West line of the Southeast one-quarter of Section 16 of said Township, 229.94 feet to said Point of Beginning, containing 57.13 acres and subject to easements and restrictions of record. WHEREAS, the Department of Planning and Community Development and the Public Works Department examined the proposed final plat and subdivision, and recommended approval; and WHEREAS, the Planning and Zoning Commission examined the final plat and subdivision and recommended that said final plat and subdivision be accepted and approved; and WHEREAS, a dedication has been made to the public, and the subdivision has been made with the free consent and in accordance with the desires of the owners and proprietors; and WHEREAS, said final plat and subdivision are found to conform with Chapter 354, Code of Iowa (2001) and all other state and local requirements. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The said final plat and subdivision located on the above-described real estate be and the same are hereby approved. Resolution No. Page 2 2. The City accepts the dedication of the streets, easements as provided by law and specifically sets aside portions of the dedicated land, namely streets, as not being open for public access at the time of recording for public safety reasons. 3. The Mayor and City Clerk of the City of Iowa City, Iowa, are hereby authorized and directed, upon approval by the City Attorney, to execute all legal documents relating to said subdivision, and to certify a copy of this resolution, which shall be affixed to the final plat after passage and approval by law. The City Clerk shall record the legal documents and the plat at the office of the County Recorder of Johnson County, Iowa at the expense of the owner/subdivider. Passed and approved this day of ,20 MAYOR Approved by ATTEST: ~ 7/'2~ I CITY CLERK Ci It was moved by and seconded by the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: Champion Kanner Lehman O'Donnell Pfab Vanderhoef Wilburn ppdadm/res/nairpod-finalplat.doc STAFF REPORT To: Planning and Zoning Commission Prepared by: John Yapp Item: SUB00-0021 North Airport Date: October 3, 2000 Development final plat GENERAL INFORMATION: Applicant: City of Iowa City 410 E. Washington Street Iowa City, IA 52240 Iowa City Airport Commission 1801 S. Riverside Drive Iowa City, IA 52246 Contact Person: Chuck Schmadeke Public Works Director Phone: 356-5141 Ron O'Neil Airport Manager Phone: 356-5045 Requested Action: Final plat approval Purpose: To establish a commercial subdivision with 17 lots and 2 outlots Location: North portion of the Iowa City Airport property; south of Highway 1 and west of Riverside Drive Size: 57.13 acres Existing Land Use and Zoning: Vacant; P/CI-1, CC-2 Surrounding Land Use and Zoning: North: Commercial; CC-2, C1-1 South: Airport; P East: Commercial, public park, institutional; CC- 2, P West: Commercial, airport; CC-2, C1-1, P Comprehensive Plan: General Commercial, Public/Semi-Public File Date: August 29, 2000 45 Day Limitation Period: October 13, 2000 60 Day Limitation Period: October 28, 2000 2 SPECIAL INFORMATION: Public Utilities: The City will extend public utilities to serve this subdivision Public Services: Police and fire protection will be provided by the City; sanitation services will be provided by private haulers Transportation: Access to the property will be provided via Ruppert Road and Riverside Drive Transit: The nearest transit route is the Westpond route, which passes through Gateway One Plaza, adjacent to this property Physical characteristics: Flat terrain, with a pondion in the 100-year flood plain. The site also contains areas of hydric soils, and 2.24 acres of wetlands. BACKGROUND INFORMATION: In 1990, the Iowa City Airport Commission identified areas of the north portion of the airport property that could be developed for commercial or industrial uses. The airport master plan, completed in 1996, reaffirmed the Airpond Commission's priority to develop pondions of airpond property that are not needed for aviation purposes. The preliminary plat for the North Airpond commercial development was approved by the City Council on August 15, 2000. ANALYSIS: The proposed commercial subdivision consists of 17 commercial lots and 2 outlots. The lots will be accessed via Ruppert Road, an extension of a portion of Ruppert Road between Highway 1 and Riverside Drive. Ruppert Road will be constructed to collector street standards, with a 60-foot right-of-way and a 31-foot pavement. The plat includes a 60-foot wide north-south access easement that can be used for an additional north-south road in the future. This is consistent with the South Central District Plan statement that connections for north-south collector streets for the developing commercial and industrial airport properties should be established for interior lot access and to extend a street to the south should the airport ever be relocated or closed. The plat also contains an access easement along the north side of the subdivision that can serve as a rear service lane for these lots in the future. The final plat is in general conformance with the preliminary plat, and with the subdivision regulations. Wetlands The preliminary plat was approved subject to a wetland mitigation plan being approved by the US Army Corps of Engineers. Approximately 2.25 acres of wetlands will be disturbed as pand of the North Airpond Commercial development. In a letter dated April 28, 2000, the Corps of Engineers has accepted the City's proposal to designate 7.04 acres of the wetlands being created in the South Sycamore Stormwater Management Area as mitigation for the wetlands being disturbed. The created wetlands will be associated with the regional stormwater system the City is constructing to manage stormwater in the South Sycamore Street area. The 7.04 wetlands that 3 will be created are planned to be of higher quality than the wetlands that will be displaced as part of the North Airport Development. Stormwater Management The stormwater management system is proposed to be a long, dry-bottomed drainageway located along the west and south property boundaries of the development. This configuration places the stormwater detention facility to the rear of the larger lots along the south side of Ruppert Road. Stormwater will be piped under Riverside Drive and into the Iowa River. The drainageway will be a dry-bottomed facility, and creates a situation where ponding water is infrequent (during heavy rains) and is less likely to attract waterfowl, which can create hazards for aircraft. STAFF RECOMMENDATION: Staff recommends that SUB00-0021, the final plat of the North Airport Development Subdivision, be approved, subject to approval of legal papers prior to City Council consideration. Approved by: ~ Robert Miklo, Senior Planner, Depadment of Planning and Community Development Attachments: 1. Location Map 2. Final Plat / FFRRY ,7.,%\ CI1 Mu,,o,PAL .~ I SITE LOCATION: North Airport Development SUB00-00021 F~nal Plat ~r~h Airport. ~evel~pmenl 07-31-01 I 4k Prepared by: John Yapp, Assoc. Planner, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5247 (SUB01-0007) RESOLUTION NO. 01-228 B RESOLUTION APPROVING FINAL PLAT OF STONE BRIDGE ESTATES, PART ONE, IOWA CITY, IOWA. WHEREAS, the owner, Arlington Development, Inc., filed with the City Clerk the final plat of Stone Bridge Estates, Part One, Iowa City, Iowa, Johnson County, Iowa; and WHEREAS, said subdivision is located on the following-described real estate in Iowa City, Johnson County, Iowa, to wit: Commencing at the Northwest Corner of the Southeast Quarter of Section 7, Township 79 North, Range 5 West of the Fifth Principal Meridian; Thence S89°58'56"E, along the North Line of said Southeast Quarter, and the North Line of Windsor Ridge - Part Fifteen, in accordance with the Plat thereof Recorded in Plat Book 41, at Page 212 of the Records of the Johnson County Recorder's Office, 771.89 feet, to the Northeast Corner of said Windsor Ridge - Part Fifteen, and the Northwest Corner of a Plat of Survey in accordance with the Plat thereof Recorded in Plat Book 15, at Page 53, of the Records of the Johnson County Recorder's Office; Thence S00°00'20"W, along the East Line of said Windsor Ridge - Part Fifteen, and the West Line of said Plat of Survey, 326.03 feet, to the Southwest Corner thereof, and a Point on the West Line of Parcel "A" of a "Boundary Survey and Legal Description", in accordance with the Plat thereof Recorded in Plat Book 30, at Page 48, of the Records of the Johnson County Recorder's Office; Thence S00°29'10"E, along said East Line and West Line, 636.68 feet, to the Point of Beginning; Thence N89°30'50"E, 242.27 feet; Thence 00°29'10"W, 39.64 feet; Thence N89°30'50"E, 175.00 feet; Thence S00°29'10"E, 185.00 feet; Thence S89°30'50"W, 6.50 feet; Thence S00°29'10"E, 145.42 feet; Thence S09°57'35"W, 75.55 feet; Thence S18°41'00"W, 75.54 feet; Thence S24°29'49"W, 75.95 feet; Thence N58°04'53"W, 125.00 feet; Thence Southwesterly, 293.82 feet, along a 370.00 foot radius curve, concave Northwesterly, whose 285.97 foot chord bears S54°39'08"W, to a Point on the East Line of said Windsor Ridge - Part Fifteen, and the West Line of Said Parcel "A"; Thence N00°29'16"W, along said East and West Lines, 601.74 feet, to the Point of Beginning. Said Tract of Land contains 4.93 acres, more or less, and is subject to easements and restrictions of Record. WHEREAS, the Department of Planning and Community Development and the Public Works Department examined the proposed final plat and subdivision, and recommended approval; and WHEREAS, the Planning and Zoning Commission examined the final plat and subdivision and recommended that said final plat and subdivision be accepted and approved; and WHEREAS, a dedication has been made to the public, and the subdivision has been made with the free consent and in accordance with the desires of the owners and proprietors; and WHEREAS, said final plat and subdivision are found to conform with Chapter 354, Code of Iowa (2001) and all other state and local requirements. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, 00050 I Resolution No. 01-228 B Page 2 IOWA, THAT: 1. The said final plat and subdivision located on the above-described real estate be and the same are hereby approved. 2. The City accepts the dedication of the streets, easements as provided by law and specifically sets aside portions of the dedicated land, namely streets, as not being open for public access at the time of recording for public safety reasons. 3. The Mayor and City Clerk of the City of Iowa City, Iowa, are hereby authorized and directed, upon approval by the City Attorney, to execute all legal documents relating to said subdivision, and to certify a copy of this resolution, which shall be affixed to the final plat after passage and approval by law. The City Clerk shall record the legal documents and the plat at the office of the County Recorder of Johnson County, Iowa at the expense of the owne~subdivider. Passed and approved this 31st dayof ,.lu]y ,20 01. CORPORATE SEAL Approved by ATTEST: ')'7 ~,.,L-,--.u K. ~/~')~-~ city~ 7l~""l~l Ci/T4,/C'~ERK It was moved by Champion and seconded by Pfab the Resolution be adopted, and upon roll cell there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn ppdadmnVes~slonebrdg.doc 00050 STAFF REPORT To: Planning &Zoning Commission Prepared by: John Yapp, Assoc. Planner Item: SUB01-00007, Stone Bridge Estates Part 1 Date: July 5, 2001 GENERAL INFORMATION: Applicant: Arlington L.C. c/o Gary Watts 2346 Mormon Trek Boulevard Iowa City, IA 52246 Contact Person: MMS Consultants 1917 S. Gilbert Street Iowa City, IA 52240 351-8282 Property Owner: Jerry Lindemann 304 Summit Drive NE Solon, IA 52333 644-2110 Requested Action: Final plat approval Purpose: To create a 16-lot residential subdivision with one outlot Location: East of Camden Road, north of Court Street, west of Taft Avenue Size: 4.93 acres Existing Land Use and Zoning: Agricultural, RS-5 Surrounding Land Use and Zoning: North: Agricultural; RS-5 South: Vacant & Residential; RM-12 & RS-5 East: Agricultural; RS-5 and IDRS West: Agricultural; RM-12 and RS-8 Comprehensive Plan: The Northeast District Plan identifies this area as a single-family residential area. File Date: June 19, 2001 45-Day Limitation Period: August 3, 2001 60-Day Limitation Period: August 18, 2001 2 BACKGROUND INFORMATION: The applicant, Arlington L.C. c/o Gary Watts, is requesting final plat approval of Stone Bridge Estates Part 1, a 4.93-acre, 16-1ot with 1 outlot single-family subdivision located east of Camden Road, north of Coud Street, and west of Taft Avenue. This property, along with surrounding property, was annexed into Iowa City in 2000, and was zoned single-family residential, RS-5, at that time. The preliminary plat for Stone Bridge Estates Pad 1 was approved in April 2001. ANALYSIS: Consistency with Preliminary Plat The proposed final plat is consistent with the approved preliminary plat. The plat consists of 16 single-family residential lots and one outlot that is reserved for future development when the property to the west develops. Open Space The Northeast District Plan shows public open space being provided along a creek to the east of this subdivision, potentially along a drainageway to the northwest, and being incorporated into a public square centering on Lower West Branch Road. For Stone Bridge Estates Part 1, fees in lieu of open space will be provided. The fees will go toward purchasing or improving the open space areas planned for this neighborhood, as contemplated in the Northeast District Plan. The fees will be equivalent to the appraised value of 0.11 acres of open space, according to the adopted open space formula in Section 14-7D of the City Code. Water Main Tap-On Fee Water main extension tap-on fees at a rate of $395 per acre will be required for this subdivision and future subdivisions in the area. Minimum Lot Size Many of the lots proposed for this subdivision are less than 8,000 square feet, the minimum lot size in the RS-5 zone. The RS-5 zone allows for 'averaging' the lot sizes so the overall density does not go above five units per acre, with the condition that no lot be less than 7,200 square feet, or more than 15,000 square feet. The proposed plat meets these requirements. STAFF RECOMMENDATION: Staff recommends that SUB01-00007, a final plat of Stone Bridge Estates Part 1, a 4.93-acre, 16- lot residential subdivision with 1 outlot, located east of Camden Road and north of Court Street, be approved, subject to approval of construction plans and legal papers prior to City Council consideration. Approved by: ~//z_f/...f.~ ~ Robert Miklo, Senior Planner, Department of Plannin9 and Community Development Attachments: 1. Location map 2. Final plat ppdadmm'6tfrep%sub01-00007-stonebridgeest.doc CITY OF IO~A CITY LOWER WEST BRANCH ROAD ~ , ! ~S ! 8 ~ : i~ ~ RS 8 DH 8 ~! ~ ~ ~ RS 5 ~ I ~ -. ~ i ~''''b ~RS 5 " ~o~ ~, ~ ~~ '~ PDH 8 ~ ;~M 12I CN 1 ~- ~ P ~ PDH 8 SI'I'F, :I_,OCA~'ION: Stone Bridge Estates, Part 1SUB01-0007 Final Pla[ STONE BRIDGE ESTATES, PART 1 Iowa Cit, y, Iowa ~ P~t of ~ ~ ~ ~ ~ ~ ~ ""',,,,, / h j~ ",,,,/...-"" ~ ........... .. : ? .:';:~ :~?~ '~;:. Z ~::: :~' cit~ or zo~ cit~ ,~~ Office of the CIvil-Juvenile Johnson County Attorney Johnson County Courthouse · 417 South Clinton Street · P.O. Box 2450 · Iowa City, IA 52244 Criminal Phone (319) 339-6100 · Fax (319) 339-6149 Anne M. Lahey J. Patrick White Rivka Sorerisen .~ ~.~ Gwendolyn Jo McCarty ~ ~ ~ Child Support ~ ~,~ ~ carol A. Turner if_. < suly 2001 T~ IonCity City Council Cc: Marian Karr, City Clerk; Eleanor Dilkes, City Attomey; Detective Robert Gass Re: Procedure for Section 453A.22 Due Process Hearings From: Andrew Chappell, Assistant County Attorney/~ I was asked by City Clerk Marian Karr to draft a brief outline of the procedures for conducting hearings pursuant to Iowa Code section 453A.22 (2001). My response follows. · While the hearings will take place in public and during regular meetings of the City Council, they are not in fact "public hearings" in the legal sense. The purpose of the hearings is to provide the City Council with sufficient information to determine whether, based on the facts, the civil penalty should be assessed and to do so in a manner providing the permit holder with due process. As such, the hearings have no need for and will not provide the opportunity for public comment. · At the hearing I will prove up the employee's guilty plea or conviction using a certified copy of the same. I will also have a participating officer available to answer the Council's questions, if any, about the procedures followed during the actual compliance check. · After I have proved up the employee's guilty plea or conviction and I or the officer have answered the Council's questions, the permit holder will have the opportunity to make any statement or provide appropriate information to the Council. Any questions the permit holder has should be addressed to the council. · As soon as the Corn:ell hears from both sides and has any discussioWdeliberation it deems necessary, it should decide whether the civil penalty should be assessed and adopt an appropriate resolution. · I envision the individual hearings taking no more than five to ten minutes a piece. This will depend greatly, however, on the information offered to and the amount of discussion by the Council at any given hearing. The above are some specific procedures for conducting the section 453A.22 hearings. Generally, however, they are similar to any other item on the Council's agenda in that the Mayor should preside over them in a manner consistent with the wishes of the majority of the council. If you have any specific questions do not hesitate to contact me. Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-229 RESOLUTION ACCEPTING PAYMENT OF $300.00 CIVIL PENALTY AND WAIVER OF RIGHT TO HEARING FROM COLLEGE STREET NEWS D/B/A COLLEGE STREET OASIS WHEREAS, on March 22, 2001, Michael Rich Zeadow was convicted/pied guilty in Johnson County District Court, Case No. STIC 116127 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Zeadow was an employee of the establishment operating under the retail cigarette permit issued to College Street News d/b/a College Street Oasis, 116 East College Street, Iowa City, Iowa 52240; 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 being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(1), after a hearing and proper notice; and WHEREAS, on July 30, 2001, College Street News 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 $300.00 civil penalty to the City Clerk of the City of Iowa City; and WHEREAS, the violation underlying the above civil penalty is the first such violation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council should accept the waiver of right to hearing and payment of $300.00 civil penalty on behalf of College Street News. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County 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: July 31, 2001 City Cle'~kr, City of Iowa City Resolution No. 01-229 Page 2 It was moved by Champion and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner T Lehman X O'Donnell X Pfab X Vanderhoef × Wilbum Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. RESOLUTION ASSESSING $300.00 CIVIL PENALTY AGAINST \ STREET NEWS D/B/A COLLEGE STREET OASIS on March 22, 2001, Michae ' in Johnson Docket No. STIC116127 of violating Iowa C 453A.2(1); and WHEREAS, of the violation underlying Zeadow was an employee of the under the retail ci Street News, 116 and WHEREAS, pursuant § 453A.22(2), holds a retail cigarette a civil penalty of $300.00 a of its employee being convicted of or pleading guilty to of Iowa Code § 45 after a hearing and proper notice; and WHEREAS, a hearing was by Council to determine whether to assess the civil penalty against College the City Council heard the facts of the violation and the arguments and WHEREAS, this violation e Street News to be considered by the City Council 453A.22(2). NOW, THEREFORE, BE IT that the Cit? Iowa Code § 453A.22(2) hereby imposes a civil penalt3 College SWeet News d/b/a College Street Oasis. BE IT that said retail days from the date of this Resolution to full, ~the civil penalty is not timely paid the retail suspended for a period of fourteen (14) days. BE IT that the City i of this Resolution to the Johnson Count' which will then retail cigarette permit holder, permit holder's e of business as it appears on the application for ~ cigarette permit. PASSED AND Mayor, City of Iowa City ATTEST: City Clerk, City of Iowa City ' [] T-O/W COMPLAINT [] RES [] NON-RES In the Cou~ at 417 S. CLINTON STREET JOHNSON COUN~ COURTHOUSE Ci~ ~1 ~,'~ State~ {Zip SS~L~ ~. } 9 State~Co. · DL Class DLEnd ~ DL R~t~ defen~t did unlawfully: Me. Day Yr. CMV QYes ~No H~Mat Phc n~. ~ ~es U No US DOTg Upon a public highway at C~e'$ ' ~Trgtc %viga~SnowmobHe/ATV ~Fish-Game OP~ks cheduted ~Fine ~ ~ I ~ ~ -- ~ Road Construction Zone ~ ~ ~ Non-Scheduled Violation S~ge ~ ~ ~ ~CourtAppe~anceRequired(805.t0) ~ I . ~ ~ ~ Reason: C ~osts ~ ~ 5~ HP.I. ~P.D.($1$0) Acciden ~ ~ ~ ~ __ U Fatal Accident tom, H.~/Co~ tq5 ' ~ Civil Damage Assessment DATA CODE ___ Fe~Adm. Code Local Ord._ I ce~it~ under penal~ of perju~ and pumu~t to the laws of ~e State of Iowa that t e Mo. D.y Y,. Omc ~SP~ Space Coua Date: ff you must appe~ ~ court or if you choose to appe~ to answer a ch~ge Me. Day '' -Yr. ~ ' ] NOTICE: ~vi~gg f~sd inr6~ation is a XiQiafion of Seedon 719.3 of the Coae of ] Iowa arid is punish,~ble as an aggavated ~sdemeanor. My signature below is noqa plea of guilty, but ac~owledges all of the tb[lowing: of providing false tnt~tton. .r, ' 2. [ promise to appe~ in sa~ ~oug at sai~ time and place, or I will comply w~th me prowsran on the CounlY,L°~ hereby cer~ff,/thai this is e Irue a~ office consls~' r~ of m urITnal Ir PaRel. IN TESllMONy WHEREOF, I have hereunto A4Jr<~ ~ 07-31-01 Prepared by: Andrew Chappall, Assistant County At/:orney, P.O. Box 2450, Iowa ~ity, IA 52244, 3 ]~339.6100 RESOLUTION NO. 01-230 RESOLUTION ASSESS~G $300.00 CWIL PENALTY AGA~ST GABE'S WHE~AS, on April 5, 2001, Laura Lee Evans was convictedpied guil~ in Johnson County District Co u~, Docket No. STIC 107001 of violating Iowa Code ~ 453A.2( 1 ); and WHE~AS, at the time of the violation ~dedying the above convictionplea, Evans was an employee of the establishment opera~ng ~der the retail cigareRe pemit issued to Gabe's, 330 East Washington S~eet; and WHE~AS, pursuant to Iowa Code ~ 453A.22(2), an establishment which holds a retail cigare~e petit shall be subjected to a civil penal~ of $300.00 as a result of its employee being convicted of or pleading guiI~ to a violation of Iowa Code ~ 453A.2(1 ), a~er a hearing and proper notice; and WHE~AS, a hearing was held on this date by the Ci~ Council to detemine whether to assess the civil penalW against Gabe's and at said hearing the Ci~ Council heard the facts of the violation and the arguments of the pemitee; and WHE~AS, this violation is the first such violation of an employee of Gabe's to be considered by the City Council under Iowa Code ~ 453A.22(2). NOW, THEREFOr, BE IT ~SOLVED BY THE CITY OF IOWA CITY CITY CO~CIL that the City Council, a~er notice and he~ing, and pursuant to Iowa Code ~ 453A.22(2) hereby imposes a civil penaI~ in the amount of $300.00 against Gabe's. BE IT FURTHER ~SOLVED, that said retail cigare~e pemitee has twen~ (20) days from the date of this Resolution to pay the civil penal~ in full, and if the civil penal~ is not timely paid the retail cigare~e pemit held by the pemitee shall automatically be suspended for a period of fouaeen (14) days. BE IT FURTHER ~SOLVED, that ~e Ci~ Clerk will fo~ard a copy of this Resolution to the Johnson Couaty A~orney's Office, which will then provide a copy of the same to the retail cigare~e permit holder via regular mail sent to the pemit holder's place of business as it appears on the application for a retail cigare~e pemit. PASSED AND ~PROVED: duly 31, 2001 A~EST:Ci~ ~k, ~i~ or Iowa Ci~ Resolution No. 01-230 Page 2 It was moved by Chaml~ion and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner × Lehman X O'Donnell X Pfab X Vanderhoef × Wilbum FILED rD T-C/W COMPLAINT ~]~-RES [] NON-RES 1~ th~ Co~n a~ 417 S. CLINTON STREET, JOHNSON COUN~ C~U~HOUS~ vs. City ~.d~ C'~ State~Zip~ SS~L~ ~ q~ ~01 ~ State~Co. DL Clas ~ DL End ~ DL Rest. ~' ' ~e undersigned states that on or about ~ /] [ ~] at ~ aAM ~M O~mte Motor VehicleSoat (describe) CMV UYes UNo H~MatPlac. Req. BYes ~No USDOT~ Reg. ~ State V~napublic~ghwayat 1~ ~ ' QTraffic a Navigation B Snowmobile~ ~ish-~mc 8 P~ks ~ ~U ad ~nstr~n Zone , :2 ~ Q P.I.~ p.D. C$1~) Accident ~ ~ QFa~Ccident Write Speed~ In Zone-Sec. ~ ~5~ ~, ~ IA Code DATA CODE Fe~A~. Code Local 0rd. __ Mo. Day Yr. ' ' 's Signature' D No. Court Date: If you must appe~ in coua or if you choose to appea to answer a charge ' ' "' which does not require an appe~ance, repoa to the above named court on: NOTICE: ~ovid~g f~se info~adon is a violation of Section 7 [9.3 of the Code of Iowa ~d is punishable ~ an aggravated misdemeanor. My signatu~ below is not a plea of guilty, but acknowledges aH of the follow ing: CERTIFICATE I. Lodema Berkley , Clerk of the District Court of the State of Iowa. in and for Johnson County, do hereby certify that this is a troe and complete copy of the Original Instrument(s) flied in this office consisting of I pages. IN TESTIMONY WHEREOF, I have hereunto A~ [ 07~0~ Prepared by: Andrew Chappell, Assistant County Attorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-231 RESOLUTION ASSESSING $300.00 CiVIL PENALTY AGAINST PLAMOR BOWLING INC. WHEREAS, on March 14, 2001, Er~dy Jean Allison was convicted/pied guilty in Johnson County District Court, Docket No. STIC115628 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation underlying the above conviction/plea, Allison was an employee of the establishment operating under the retail cigarette permit issued to Hamor Bowling Inc., 1555 1st Avenue; and WHEREAS, pursuant to Iowa Code § 453A.22(2), an establishment which holds a retail cigarette permit shall be subjected to a civil penalty of $300.00 as a result of its employee being convicted of or pleading guilty to a violation of 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 Plamor Bowling Inc. and at said hearing the City Council heard the facts of the violation and the arguments of the permitee; and WHEREAS, this violation is the first such violation of an employee of Hamor Bowling Inc. 's to be considered by the City Council under Iowa Code § 453A.22(2). NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council, after notice and hearing, and pursuant to Iowa Code § 453A.22(2) hereby imposes a civil penalty in the amount of $300.00 against Hamor Bowling Inc. BE IT FURTHER RESOLVED, that said retail cigarette permitee has twenty (20) days from the date of this Resolution to pay the civil penalty in full, and if the civil penalty is not timely paid the retail cigarette permit held by the permitee shall automatically be suspended for a period of fourteen ( 14 ) days. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County 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: ,Ju'iy 31, 2001 yofiowa X ' ty'J ATTEST:Ci~/k, City of Iowa City Resolution No. 01-231 Page 2 It was moved by 0'Donnel 1 and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X C)'Donnell X , Pfab X Vanderhoef X Wilburn ' D T-C/W COMPLAINT [] RES~E~NON-RES G/d:/IOWA CITY POLICE DEPARTMENT In ~he Cou~ a~ 41~ S, CLIN ON STREET, JOHNSON COUN~ CO~RTHOUS~ s ~ ~;Z 7/725< State DOe ~ / i3 I Sf Race [~ Sex F Ht. ~e undersigned states that on or about O }/D5 [ d] at ~ ) ? D ~M ~M defender did unlawfully: Mo. Day Yr. Operate Motor Ve~cle~oat (describe) i CM DYes DNo H~MatPla .Req. DYes DN~SDOT~ Located in ~e coun~ m~d state ~ores~d and did ~en ~t~e Co~e f~wing offense: ~cheduled VioEine S ) ~ o _ ' ~ ~ : '~ad Conicdon Zone Surch~ge $ ~2, ~n-S~he~d'.Violation ~ irt ippe~ce Required (805. Do Court Costs $ ~ ~ P.I. ~ P.D. ($1000) Accident Wdm Speed [n Zone-Sec. ~ ~A Code DATA CODE __ F¢~Adm. ~gd~ Local Q~d. Court Date: ff you must appe~ in couff or if you choose to appe~ to answer a ch~ge 1. I hereby swear and afFg ~at the info~ation provided bY p~e on thig citation is tree ,ruder penalty ~e following apples to simpl:~ mlsdemeano~only: 70. / CERTIFICATE |, Lodema Berkley _, Clerk of the District Court of the State of Iowa, in and for Job nson County, do hereby certify that this is a true and complete copy of the Original InstrumenT(s) filed in this office cons/sting of _ t pages IN TES'/]MONy WHEREOF, I have hereunto set my hand and affixed the Seal icl Court prepared by: Andrew Chappell, Assistant County AUorney, P.O. Box 2450, Iowa City, IA 52244, 319.339.6100 RESOLUTION NO. 01-232 RESOLUTION ASSESSING $300.00 CIVIL PENALTY AGAINST WAL-MART (STORE NO. 1721) WHEREAS, on March 16, 2001, Laura Jean MeCullough was convicted/pied guilty in Johnson County District Court, Docket No. STIC 115631 of violating Iowa Code § 453A.2(1); and WHEREAS, at the time of the violation traderlying the above conviction/plea, McCullough was an employee of the establishment operating under the retail cigarette permit issued to Wal-Mart (Store No. 1721), 1001 Highway 1 West; and WHEREAS, pursuant to Iowa Code § 453A.22(2), an establishment which holds a retail cigarette permit shall be subjected to a civil penalty of $300.00 as a result of its employee being convicted of or pleading guilty to a violation of Iowa Code § 453A.2(1), aRer 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 Wal-Mart (Store No. 1721) and at said hearing the City Council heard the facts of the violation and the arguments of the permitee; and WHEREAS, this violation is the first such violation of an employee of Wal-Mart's (Store No. 1721) to be considered by the City Council under Iowa Code § 453A.22(2). NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF IOWA CITY CITY COUNCIL that the City Council, after notice and hearing, and pursuant to Iowa Code § 453A.22(2) hereby imposes a civil penalty in the amount of $300.00 against Wal~Mart (Store No. 1721). BE IT FURTHER RESOLVED, that said retail cigarette permitee has twenty (20) days from the date of this Resolution to pay the civil penalty in full, and if the civil penalty is not timely paid the retail cigarette permit held by the permitee shall automatically be suspended for a period of fourteen (14) days. BE IT FURTHER RESOLVED, that the City Clerk will forward a copy of this Resolution to the Johnson County 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: July 31, 2001 Mayor, City of Iowa City City ~k,k, City of Iowa City Resolution No. 01-232 Page 2 It was moved by wi 1 hurn and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn Prepared by: Kumi Mords, Engineering, 410 E, Washington St., Iowa City, IA 52240 (319) 356-5044 RESOLUTION NO. 01-233 RESOLUTION APPROVING PLANS, SPECIFICATIONS, FORM OF CON- TRACT, AND ESTIMATE OF COST FOR THE CONSTRUCTION OF THE CITY OF IOWA CITY ROBERT A. LEE RECREATION CENTER HVAC INSTALLATION AND BOILER REPLACEMENT PROJECT, ESTABLISHING AMOUNT OF BID SECURITY TO ACCOMPANY EACH BID, DIRECTING CITY CLERK TO PUBLISH ADVERTISEMENT FOR BIDS, AND FIXING TIME AND PLACE FOR RECEIPT OF BIDS. WHEREAS, notice of public hearing on the plans, specifications, form of contract and estimate of cost for the above-named project was published as required by law, and the hearing thereon held. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF IOWA CITY, IOWA THAT: 1. The plans, specifications, form of contract 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 Treasurer, City of Iowa City, Iowa. 3. The City Clerk is hereby authorized and directed to publish notice for the receipt of bids for the construction of the above-named project in a newspaper published at least once weekly and having a general circulation in the city. 4. 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 Civic Center, until 2:00 p.m. on the 20th day of August, 2001, or at a later date and/or time as determined by the Director of Public Works or designee, with notice of said later date and/or time to be published as required by law. Thereafter the bids will be opened by the City Engineer or his designee, and thereupon referred to the Council of the City of Iowa City, Iowa, for action upon said bids at its next meeting, to be held at the Council Chambers, Civic Center, Iowa City, Iowa, at 7:00 p.m. on the 21st day of August, 2001, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. Passed and approved this 31st day of July ,20 01 Approved by C City Attorney's Office pwengVes%HVACdcc Resolution No. 01-233 Page 2 It was moved by W i 1 burn and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: × Champion X Kanner T Lehman X O'Donnell X , Pfab X Vanderhoef X Wilburn Prepared by: Sarah E. Holecek, FirstAsst. City Atty., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 01-234 RESOLUTION AUTHORIZING CONVEYANCE OF AN UNDEVELOPED PORTION OF WOOLF AVENUE FROM MCLEAN STREET SOUTH FOR A DISTANCE OF 240 FEET TO CRAIG SYROP, ANNE SADLER, M. ALICE SAHS, AND MARITA MCGURK EICHER. WHEREAS, On July 10, 2001, the City Council passed an ordinance vacating an undeveloped portion of WooIf Avenue from McLean Street South for a distance of 240 feet, subiect to the City's retention of a blanket sanitary and storm sewer easement over the vacated property; WHEREAS, Craig Syrop and Anne Sadler, as the owners of adiacent property, have offered the sum of $1,032 for the easterly one-half of the vacated property, which is consistent with the fair market valuation listed on the assessment rolls for comparable properties; and WHEREAS, M. Alice Sahs, as the owner of adjacent property, has offered the sum of $516 for the southerly one-half of the westerly one-half of the vacated property, which is consistent with the fair market valuation listed on the assessment rolls for comparable properties; and WHEREAS, Marita McGurk Eicher, as the owner of adjacent property, has offered the sum of $516 for the northerly one-half of the westerly one-half of the vacated property, which is consistent with the fair market valuation listed on the assessment rolls for comparable properties; and WHEREAS, the City does not need the vacated right-of-way to provide access to property in the area; and WHEREAS, on July 10, 2001 the City Council adopted a Resolution declaring its intent to convey its interest in the parcel, authorizing the publication of public notice of the proposed conveyance, and setting the date and time for public hearing; and WHEREAS, following public hearing on the proposed conveyance, the City Council finds that the conveyance of the subject property is in the public interest. NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that: 1. The Mayor and City Clerk are hereby authorized and directed to execute a Quit Claim Deed conveying the City's interest in the easterly one-half of the undeveloped portion of WooIf Avenue from McLean Street South for a distance of 240 feet to Craig Syrop and Anne Sadler for the sum of $1,032. 2. The Mayor and City Clerk are hereby authorized and directed to execute a Quit Claim Deed conveying the City's interest in the southerly one-half of the westerly one-half of the undeveloped portion of WooIf Avenue from McLean Street South for a distance of 240 feet to M. Alice Sahs for the sum of $516. Resolution No. 01-234 Page 2 3. The Mayor and City Clerk are hereby authorized and directed to execute a Quit Claim Deed conveying the City's interest in the northerly one-half of the westerly one-half of the undeveloped portion of WooIf Avenue from McLean Street South for a distance of 240 feet to Marira McGurk Eicher for the sum of $516. 4. The City Attorney is authorized to deliver said Quit Claim Deeds to the respective parties. The deeds, and any other documentation required by Iowa Code §364.7 (1999), shall be recorded by the City Attorney's Office in the Johnson County Recorder's Office at the purchasers' expense. It was moved by 0'Donne] ] and seconded by Champion the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donne]l X Pfab X Vanderhoef X Wilburn Passed and approved this 3]st day of ~]u] y ,20 0].. ATTEST: CITY C"EERK City ~2e rn%~ City Art ice "%" marym~land-acq\vac & dispose\woolf ave~res-authorizing conveyance Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 01-235 RESOLUTION AUTHORIZING CONVEYANCE OF A SINGLE FAMILY HOME LOCATED AT '1605 DICKENSON LANE. WHEREAS, the City Council of the City of Iowa City functions as the Iowa City Housing Authority; and WHEREAS, on September 14, 1993, the City Council considered and passed Resolution No. 93-255 approving the Section 5(h) Implementing Agreement for the conversion of public housing to private ownership, also known as the Tenant-to-Ownership Program; and WHEREAS under this agreement the proceeds from such sales must be used to expand affordable housing opportunities in Iowa City; and WHEREAS the proceeds from such sales are used to provide affordable housing under the City's Affordable Dream Home Program ("ADHOP"); and WHEREAS the Iowa City Housing Authority owns a single family home located at 1605 Dickenson Lane, Iowa City; and WHEREAS the City has received an offer to purchase 1605 Dickenson Lane for the principal sum of $134,900, which is $2,100 less than the appraised value of the property; and WHEREAS the funding source, federal HOME funds, limits the purchase price to a maximum of $134,900; and WHEREAS this sale would provide the opportunity for a low-income family to obtain ownership of their own home; and WHEREAS on July 10, 2001 the City Council adopted a Resolution declaring its intent to convey its interest in 1605 Dickenson Lane, authorizing public notice of the proposed conveyance, and setting the date and time for the public hearing; and WHEREAS, following the public hearing on the proposed conveyance, the City Council finds that the conveyance is in the public interest. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, that: 1. Upon the direction of the City Attorney, the Mayor and the City Clerk are authorized to execute a warranty deed conveying the City's interest in 1605 Dickenson Lane, legally described as Lot 95, South Pointe Addition, Part 5, Iowa City, Iowa. The Mayor and City Clerk are further authorized to execute a second mortgage agreement and resale Resolution No. 01-235 Page 2 agreement with said family for a second mortgage from the City in an amount not to exceed $24,100. 2. The City Attorney is hereby authorized to deliver said warranty deed and to carry out any actions necessary to consummate the conveyance required by law. It was moved by 0' Donnel 1 and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell ~ Pfab × Vanderhoef X Wilburn Passed and approved this 31st day of July ,2001. Approved by City Attorney's Office Prepared by: Sarah Holecek, First Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST THE AVIATION COMMERCE PARK FINANCING AGREEMENT BETWEEN THE CITY OF IOWA CITY, IOWA AND THE IOWA CITY AIRPORT COMMISSION OF IOWA CITY, IOWA WHEREAS, the Airport Commission, as the manager of an approximate 54 acre tract adjacent to the Iowa City Airport, desires to develop said property to establish seventeen commercial/industrial lots and two outlots; and WHEREAS, to develop said property, certain infrastructure needs to be constructed and installed to support the development, the costs of which exceed the annual operations budget of the Airport Commission; and WHEREAS, the City finds it is in the public interest to support this commercial/industrial development in an effort to bolster the City's tax base and enable the Commission to become financially self-sufficient from City property tax supported subsidies and the general fund; and WHEREAS, the City and the Airport Commission have negotiated an agreement under which the City will provide the Commission with funds for installation of the required infrastructure and the Commission will reimburse the City from revenue realized from the commercial/industrial development; and WHEREAS, the Parties desire to memorialize the terms and conditions of their financing arrangement into a written agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The Mayor is authorized to sign and the City Clerk to attest the Aviation Commerce Park Financing Agreement between the City of Iowa City, Iowa and the Iowa City Airport Commission of Iowa City, Iowa. Passed and approved this day of ,20 CITY CLERK ' ' Sarah~airport~aviation commerce financing agreement res.doc AVIATION COMMERCE PARK FINANCING AGREEMENT THIS AGREEMENT is hereby made and executed by and between the Iowa City Airport Commission of Iowa City, Iowa (hereinafier "Commission") and the City oflowa City, Iowa (hereinafter "City"). The City is a municipal corporation organized under the laws of the State of Iowa and the Commission is an authority organized under Chapter 330 of the Iowa Code and vested with all powers granted to cities under the Iowa Code, except the power to sell the airport. This agreement outlines the terms and conditions, and the relative rights and responsibilities of the City, as financier/owner, and the Commission, as developer/manager, for development of the Aviation Commerce Park (hereinafter "ACP"), a tract of approximately 54 acres owned in fee by the City and managed and controlled by the Airport Commission. WHEREAS, the Airport Commission desires to develop approximately 54 acres of northern airport property to establish seventeen commercial/industrial lots and two outlots; and WHEREAS, certain infrastructure needs to be constructed and installed to support said commercial/industrial development, the costs of which exceed the annual operations budget of the Airport Commission; and WHEREAS, the City finds it in the public interest to support this commercial/industrial development in an effort to bolster the City's tax base and enable the Commission to become financially self-sufficient from City property tax supported subsidies and general fund; and WHEREAS, the City and the Airport Commission have negotiated an agreement under which the City will provide the Commission with funds for installation of the required infrastructure and the Commission will reimburse the City from airport revenue realized from the commercial/industrial development; and WHEREAS, the Parties desire to memorialize the terms and conditions of said financing arrangement in a written agreement. NOW, IT IS THEREFORE AGREED AS FOLLOWS: 1. Purpose The purpose of this agreement is to support commercial/industrial development, bolster the City's tax base, and enable the Commission to become financially self-sufficient of the City's property tax supported subsidies and general fund through the development of the Aviation Commerce Park. To effectuate the terms of this agreement and facilitate the project, the City agrees to provide financial accounting and distribution services on behalf of the Commission without charge. 2. Total Project Cost: Estimated and Final "Total Project Cost" is defined as all quanti~able costs directly attributed to development of the Aviation Commerce Park, which includes the costs of drainage improvements, attorney fees, landfill tipping fees, design fees, debt service principle, interest and fees, improvement construction, improvement inspection, construction contract administration, project design fees (current and expected), and marketing fees. Estimated Total Project Cost is currently approximately $3,100,000. The parties contemplate that the Estimated Total Project Cost will increase or decrease depending on fluctuations in the cost variables outlined above. Final Total Project Cost shall be established by certification ofall project billings to the project account by the Iowa City Finance Department. Any dispute regarding the Final Total Project Cost shall be resolved by third party financial audit, said third party to be agreed upon by City and Commission. Final reconciliation and balancing of accounts between the parities shall be based on the certified Final Total Project Cost. 3. Acceptance and Maintenance of Infrastructure. Upon completion of the construction and installation of the public improvements included within the Aviation Commerce Park to City engineering design standards, the City will accept said public improvements as part of the City's public infrastructure. After acceptance of said public improvements, the City shall maintain said public improvements as part of the public infrastructure, shall provide repair and replacement of water and sewer mains, as necessary, and shall provide snow removal and routine maintenance on public streets, as necessary. 4. Leasing and Marketing: Raw Minimum Lease Rate and Market Minimum Lease Rate. The "Raw Minimum Lease Rate" for each lot is defined as the estimated total cost of the project amortized over twenty years and divided by the number of acres in each lot. Raw Minimum Lease Rate shall be adjusted in relation to the range of existing commercial lease rates within Iowa City to establish the Market Minimum Lease Rate for each of the lots within the Aviation Commerce Park. The Market Minimum Lease Rate for each lot within the development shall be established by a separate written agreement between the Commission and City Council, and shall be reviewed annually by the Commission and Council to ensure the Market Minimum Lease Rate is competitive within the range of current commercial lease rates and no less than current commercial lease rates. The written agreement establishing the Market Minimum Lease Rate for each lot in the development may be amended by agreement of the parties. All leases and/or other agreements regarding lots within the ACP shall be negotiated by the Commission's marketing agent, the Commission and the prospective Tenant. However, all leases for lots within the ACP shall contain the following clause: a. Lessee's interest under this lease shall terminate and all payments hereunder shall be forfeited if Lessee does not complete construction of [the required minimum improvements] within five (5) years of the date of execution of this lease agreement. Lessor shall effectuate forfeiture of this lease by delivery 'of written notice of forfeiture to the Lessee at the Lessee's address as noted herein by either personal delivery to the party to whom the notice is directed or if sent by certified mail, postage prepaid, return receipt requested to the Lessee' s address as contained herein. The Iowa City Council will review a standard lease for parcels in the ACP and the Commission will negotiate the leases for each specific parcel. 5. Repayment of Final Total Project Cost: Distribution of Revenue Lease payments and/or other revenues received by the Commission from the lots within the ACP shall be paid to Cityon an amortized payment schedule until the Final Total Project Cost is repaid. After final reconciliation and repayment of the Final Total Project Cost to City, all lease payments and/or revenues received by the Commission from the lots within the ACP shall be credited to the Commission for its exclusive use. See Exhibit A for the repayment schedule. 6. Outstanding Debt Any and all debt outstanding under the terms of this agreement shall be a continuing and perpetual obligation on the part of the Commission until fully repaid to and released by City. 7. Notices and Demands. Notices, requests, demands and other communications shall be in writing and will be deemed sufficiently given for all purposes hereunder if (a) delivered personally to the party to whom the same is directed, or (b) sent by certified mail, postage prepaid, return receipt requested, at the addresses identified below; or to such other address as shall have been given in writing in accordance herewith: The Commission: by notifying the Airport Manager, Iowa City Municipal Airport, 1801 South Riverside Drive, Iowa City, Iowa 52246 The City: by notifying the City Manager, City of Iowa City, 410 E. Washington Street, Iowa City, Iowa 52240 8. Entire Agreement: Changes or Amendments: No Other Intended Beneficiaries. This Agreement represents the entire agreement as it exists at the time of the signing of this Agreement between the parties. None of the covenants, provisions, terms, or conditions of this agreement to be kept or performed by either the Commission or the City shall be in any manner modified, waived, or abandoned, except by a written instrument duly signed by each of the parties. No person or entity not a party hereto is intended to be a beneficiary of or to have the fight to enforce this Agreement. 9. Choice of Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Iowa. The parties acknowledge that the proper venue of any court action is in Johnson County, Iowa. 10. Successors and Assigns: Assignment: This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. However, neither party shall assign this agreement or any part thereof, without the other party's specific, pri6r written consent. 11. Severability. In the event any portion of this a~reement is found invalid, the remaining portions shall be deemed severable and shall remain in full force and effect. IOWA CITY AIRPORT COMMISSION CITY OF IOWA CITY By: By: Richard Mascari, Chairperson Mayor ATTEST: ATTEST: Secretary City Clerk Approved By: Approved By: Airport Commission Counsel City Attomey's Office $1,600,000 Loan to Aviation Commerce Park Interest Rate Annual Year Principal of 4.4848% Payment $1,600,000.00 1 $ 50,000.00 $ 71,756.80 $ 121 756.80 $1,550,000.00 2 $ 55,000.00 $ 69,514.40 $ 124 514.40 $1,495,000.00 3 $ 60,000.00 $ 67,047.76 $ 127 047.76 $1,435,000.00 4 $ 60,000.00 $ 64,356.88 $ 124 356.88 $1,375,000.00 5 $ 65,000.00 $ 61,666.00 $ 126 666.00 $1,310,000.00 6 $ 65,000.00 $ 58,750.88 $ 123 750.88 $1,245,000.00 7 $ 70,000.00 $ 55,835.76 $ 125 835.76 $1,175,000.00 8 $ 70,000.00 $ 52,696.40 $ 122 696.40 $1,105,000.00 9 $ 75,000.00 $ 49,557.04 $ 124 557.04 $1,030,000.00 10 $ 75,000.00 $ 46,193.44 $ 121 193.44 $ 955,000.00 11 $ 75,000.00 $ 42,829.84 $ 117 829.84 $ 880,000.00 12 $ 80,000.00 $ 39,466.24 $ 119,466.24 $ 800,000.00 13 $ 85,000.00 $ 35,878.40 $ 120,87840 $ 715,000.00 14 $ 90,000.00 $ 32,066.32 $ 122,066.32 $ 625,000.00 15 $ 95,000.00 $ 28,030.00 $ 123,030.00 $ 530,000.00 16 $ 100,000.00 $ 23,769.44 $ 123,769.44 $ 430,000.00 17 $ 100,000.00 $ 19,284.64 $ 119,284.64 $ 330,000.00 18 $ 105,000.00 $ 14,799.84 $ 119,799.84 $ 225,000.00 19 $ 110,000.00 $ 10,090.80 $ 120,090.80 $ 115,000.00 20 $ 115,000.00 $ 5,157.52 $ 120,157.52 $ $1,600,000.00 $ 848,748.40 $ 2,448,748.40 Prepared by: David Schoon, Eco. Dev., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5236 RESOLUTION NO. 01-236 A RESOLUTION APPROVING A TEN-YEAR DECLINING PERCENTAGE TAX INCREMENT FINANCING PROPERTY TAX REBATE TO ASSIST SEABURY & SMITH WITH A NEW FACILITY IN IOWA CITY. WHEREAS, Seabury & Smith has applied to the City of Iowa City for a ten-year declining tax increment financing (TIF) property tax rebate; and WHEREAS, it is in the public interest to provide Seabury & Smith a ten-year TIF property tax rebate to encourage economic development in Iowa City, Iowa; and WHEREAS, the proposed project is located in the Northgate Corporate Park Urban Renewal Area and has been evaluated against the City of Iowa City Financial Assistance Eligibility Guidelines; and WHEREAS, the City has the authority to provide financial assistance in the form of a ten-year TIF property tax rebate for promotion of economic development. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. It is in the public interest to encourage economic development by providing a ternyear declining percentage TIF property tax rebate for a Seabury & Smith facility in the Northgate Corporate Park Urban Renewal Area. 2. The City Manager is hereby authorized to negotiate an agreement, for Council approval, with Seabury & Smith for a ten-year declining percentage TIF property tax rebate. The schedule for the decringing percentage TIF property tax rebate shall be as follows: 1st year- 100% 6th year- 50% 2nd year - 90% 7th year - 40% 3rd year - 80% 8~h year - 30% 4th year - 70% 9th ear - 20% 5th year - 60% 10t~/year - 10% Passed and approved this 31st day of July ,20 01 , AA red yy IT Resolution No. 01-236 Page 2 It was moved by Charnpi on and seconded by 0'Donne] ] the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman × O'Donnell X Pfab X Vanderhoef × Wilburn City of Iowa City MEMORANDUM Date: July 30, 2001 To: City Council From: David Schoon, Economic Development Coordin Re: Business Assistance Applications Consistent Pattern of Compliance with the Law and the Spirit of the Law. The City Attorney's Office has conducted a Westlaw search on the following companies and their related affiliates: · Seabury & Smith (March Advantage America; Marsh & McLennan Companies; Marsh, Inc.; Mercer; Putnam) · Owens-Brockway Plastic Products Inc. (O-I Plastic Products FTS, Inc.; Owens- Illinois Group, Inc.; Owens-Illinois, Inc.) The Westlaw search was conducted to determine if the businesses have a consistent pattern of compliance with the law and the spirit of the law, including environmental regulations, occupational safety and health laws, fair labor standards, the National Labor Relations Act, and the Americans with Disabilities Act. Based on the limited search the following was concluded: Seabury & Smith. No violations, litigation or reports which were adverse to Seabury & Smith and its affiliates were revealed in the last five years. Owens-Brockway Plastic Products. There does not appear to be a pattern of non- compliance with the law and the spirit of the law, for this search revealed limited litigation and/or reports which were adverse to the Owens-Breckway Plastic Products and its affiliates in the last five years. City of Iowa City MEMORANDUM Date: July 25, 2001 To: City Council From: David Schoon, Economic Development Coordinator Re: Seabury &Smith Application for TIF Property Tax Rebate .. Seabury & Smith requests that the City grant a ten-year declining percentage tax increment financing (TIF) property tax rebate for a new facility it plans to lease from Southgate Development in the Northgate Corporate Park. Seabury & Smith is looking to expand its Iowa City operations, and its decision to expand here will be influenced by the financial assistance provided by the TI F property tax rebate. The Project Marsh Advantage America is a service of Seabury & Smith, a Marsh & McLennan Company. The company has had a continuous presence in Iowa City since 1963, when the company started as Riepe, Buchanan, and Piper. The company administers employee benefit and commercial property casualty programs for employers. The Iowa City facility is the largest office within Marsh Advantage America's National Administration Center, which bills and remits premiums, processes enrollment forms, pays claims, and provides customer services for its clients. Seabury & Smith has negotiated with Southgate Development to build a 46,300 square foot building in Northgate Corporate Park. In addition to growth in employment, this new facility will house existing Iowa City Seabury & Smith operations. Operations from the following locations will relocate to the new facility: 2615 Northgate Drive, 321 E. Washington Street, and 1820 Boyrum Street. Seabury & Smith's lease with Southgate Development has been negotiated as a build-to-suit, triple net lease at fair market value. Seabury & Smith will be responsible for the property taxes. The following highlights the proposed project. · Total Capital Investment $6.65.million $4.65 million - 46,500 square foot building $1.00 million - Land cost and site preparation $1.00 million - Furniture & fixtures · Jobs New Positions & Average Hourly Wage *7* 30 Full-time positions at $11.55/hr o.~o5 Part-time positions at $8.00/hr. o;o 35 I Full & part-time positions at 11.32/hr. New & Existing Positions & Average Hourly Wage o.*o202 Full-time positions at $15.70/hr. o:° 25 Part-time positions at $8.00/hr. oto 227 Full & part-time positions at $15.33/hr. · Total Annual Income Year 1- $432,500 Year 2 - $913,750 Attached you will find the company's application for funding, which provides further information on the project. Public Financial Incentives As previously stated, Seabury & Smith requests that the City grant a ten-year declining percentage tax increment financing (TIF) properb/tax rebate for its new site. The actual property tax rebate will apply only to the added value to the site, both in terms of building value and land value. I st Year - 100% 6th Year - 50% 2"d Year - 90% 7t" Year - 40% 3~d Year - 80% 8th Year - 30% 4th Year - 70% 9tb Year - 20% 5th Year- 60% 10th Year-10% Based on a $4.65 million building and current tax rates, Seabury & Smith would save approximately $781,200 in property taxes over the ten-year period. Over this same ten year period Seabury & Smith will pay approximately $753,500 in property taxes (all taxing districts). Financial Assistance Guidelines Attached you will find a copy of the City's financial assistance guidelines with statements indicating how the characteristics of the Seabury & Smith project compare with these guidelines. Based on this comparison, staff concludes that the characteristics of the Seabury & Smith project are generally consistent with the City's guidelines. Staff is still in the process of completing its review of public legal database sources in order to provide comment on the financial assistance eligibility guideline regarding if the company has a consistent pattern of compliance with the law and the spirit of the law. This delay is a result of staff workloads, rather than the applicant and its application. The findings of staff's review will be presented at your work session on Monday evening. Based upon the rest of the financial assistance guidelines and assuming that staff's review shows that the company has a consistent pattern of complying with law and the spirit of the law, staff recommends that the Council adopt the resolution approving a ten-year declining percentage tax increment financing property tax rebate to assist Seabury & Smith with a new facility in Iowa City. SEABURY & SMITH FINANCIAL ASSISTANCE ELIGIBILITY GUIDELINES PRIVATE FINANCIAL CONTRIBUTION AS COMPARED TO PUBLIC ASSISTANCE REQUEST o:o A greater percentage of contribution by the assisted business; The business' contribution to the project is approximately 90% of the project costs (this does not include operating expenses) (Application, question 2.6) o:o A shorter payback period or expiration for financial assistance; The business is requesting a ten-year declining percentage TIF property tax rebate. During this ten- year period, the business will receive a TIF property tax rebate equally approximately $781,200 (estimate based only upon construction estimate for building). Also during this ten-year pedod, the business will pay $753,500 in property taxes that will be allocated to all of the taxing districts. o:o A lower amount of City financial assistance per job. The application indicates the creation of 30 full-time positions and 5 part-time positions. Based on this job creation number, the City's financial assistance per job, in the form of a property tax rebate, equals approximately $26,000 per full-time position). The actual amount of assistance per job depends upon the actual amount of added taxable property value to the site. CONSISTENCY WITH COMPREHENSIVE PLAN/CAPITAL IMPROVEMENTS PROGRAM/ECONOMIC DEVELOPMENT POLICIES o:o Projects not requiring new public capital improvements; The proposed project requires no new public capital improvement. °:o A greater contribution by the developer for public infrastructure improvements; NA. The proposed project requires no new public capital improvements. °:° Jobs within industry/technology groups on opportunity list; The proposed project falls within the category of Insurance Services. o:o Start-up companies and expansions of existing local operations; The proposed project is an expansion of an existing local operation. °:° A greater amount of property tax base expansion. The proposed project consists of the construction of a new $4.65 million building. Even with the TIF property tax rebate, over the ten years the building will generate approximately $753,500 in property taxes (all taxing districts). After ten years, the building will annually generate approximately $153,915 in property taxes (all taxing districts). QUALITY OF JOBS TO BE CREATED o~o Higher wage rates; The application indicates the following: Average Hourly Wages Positions Full-time Part-time Full & Part-time New Employees $11.55 $8.00 $11.32 (30 FT, 5 PT) Existing Employees $16.42 $8.00 $16.05 (172 FT, 20 PT) New &Existing Employees $15.70 $8.00 $15.33 (202 FT, 25 PT) Finance, Insurance, Real Estate $13.75 Sector in Johnson County (Note: the average houdy wage for new jobs includes the average starting wage, while the average hourly wage for existing positions includes the wages for newer as well as long term employees.) The average hourly wages for all industries in Johnson County (private business and govemment) is approximately $13.75, for pdvate business it is $11.00, and for the finance, insurance, and real estate sector it is $13.75. **** Full-time, long-term, non-seasonal positions; Thirty of the new positions and 172 of the existing positions are full-time, long-term, non-season employees? The part-time employees are contingent part-time employees (generally employed less than one year). They are primarily students who work as clerks handling filing and copying. (Question 3.6) .:. Commitment to a safe workplace; The business has disaster safety drills, provide CPR training, and provide cost free health assessments through Mercy Hospital, Iowa City. (Question 3.8) .:. Contribution to health insurance benefits; The business funds 95% of the single medical and dental coverage and 95% of the family medical and dental coverage. (Question 3.9) o:o Provision of fringe benefits (e.g. vacation, sick leave, retirement plans); Benefits in addition to health insurance include health care and dependent care flexible accounts; life insurance; short-term and long-term disability insurance; travel accident insurance, investment and retirement plans (401K stock investment plan, stock purchase plan, Putnam Mutual Funds, company paid retirement plan); minimum of two-weeks paid vacation; 7 paid holidays and up to 4 personal floating holidays; and additional benefits (Application attachment, "Profile of Benefits for Marsh Advantage America Employees". ECONOMIC IMPACT o.*o Contribution to diversification of Johnson County economy: The expansion of Seabury & Smith is the expansion of an insurance firm. Approximately, 3.5% of the Johnson County labor force is employed in the finance, insurance, and real estate sector, while neady 40% of the labor force is employed in the govemment sector and the 40% in the retail and services sectors. The creation of 35 positions at Seabury & Smith will further help diversity the Johnson County economy. o;o Potential for future growth of industry; The company has indicated the ability to add an additional 20,000 square feet to the proposed 46,300 square foot building. If growth continues and the 20,000 square foot addition is added, it would allow for approximately 80 new employees to be added to Seabury & Smith's payroll. (Question 4.6) o;o Businesses that build on the resources, materials, and workforce of the local community. The company indicates that approximately 75% of its operating expenditures will be spent within Johnson County. (Question 4.1) ENVIRONMENTAL IMPACT · ;. The more environmentally sound the company's operation; The company recycles approximately 6.75 tons of paper products annually through City Carton of Iowa City (Question 5.1 ) o.'o The more environmentally sound the company's products/services. The company uses paper made from recycled paper for much of its copy paper. (Question 5.2) COMMUNITY INVOLVEMENT o;o Businesses that have a history of contributing to their communities through volunteer work, financial contributions or other means. Employees of the Iowa City operation have a history of being active in the community. Examples of organizations employees have been involved with include: the Jaycees; Make A Wish Foundation; United Way; Iowa City Area Chamber of Commerce; Eastem Iowa Human Resources Association; Johnson County Area Women's Network; Northside Neighborhood Association; Citizens for the Future of Iowa City; American Cancer Society; American Heart Association; March of Dimes; Preucil School of Music; the ARC of Johnson County; Iowa City Community School Distdct Special Education Advisory Committee; Rotary Club. During the previous twelve months the company has supported activities that its employees support and have contributed approximately $75,000 to charitable organizations. °;° New start-up businesses that demonstrate their commitment to becoming involved in the community. NA GENERAL REQUIREMENTS Every applicant should provide average hourly wages for all new and existing jobs which meet or exceed the average county wage rate by industry. Ninety percent of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City). Under special circumstances, consideration will be given to those companies who cannot meet this requirement. See "Quality of Jobs to be Created" section. Twenty-five of all of the positions (new and existing) fall below the federal poverty wage rate for Iowa City ($9.06/hour), which means 11.5% of the positions receive a wage below the poverty wage rate while 88.5% of the positions receive a wage at least $2.24 above the poverty wage rate. Applicant must have a consistent pattern of compliance with the law and the spirit of the law, including environmental regulations, occupational safety and health laws, fair labor standards, the National Labor Relations Act, and the Americans with Disabilities Act, in order to be eligible for financial assistance. In response to the Question 6.2, the business has responded that it has not been cited or convicted of any federal or state laws or regulations within the last five years (including environmental regulations, Occupational Safety and Health laws, Fair Labor Standards, the National Labor Relations Act, the Americans with Disabilities Act). Staff is still in the process of completing its review of public legal database sources in order to provide comment on the financial assistance eligibility guideline regarding if the company has a consistent pattern of compliance with the law and the spirit of the law. This delay is a result of staff workloads, rather than the applicant and its application. The findings of staff's review will be presented at the CounciFs July 20, 2001 work session. Applicant must demonstrate the following in order to be eligible for financial assistance: · the feasibility of the business venture; Project appears feasible. · the reliability of the job creation and financial estimates; Estimates appear reliable. · the creditworthiness of the business; Credit worthiness appears high. · that the project would not occur without city financial assistance. The applicant states in question 2.2: The nature of the request, tax increment financing property tax rebate, is only available through the city. The nature of the tax rebate is to reduce the rental cost of the property and to support the efforts to expand staff in the area. Without the tax rebate, it is unlikely that the project will proceed in Iowa City. Seabury & Smith has another large location in West Des Moines, as well as smaller locations in St. Louis and Tulsa, where Marsh Advantage America would look to expand. A contract will be executed for any financial assistance awarded. Applicant will be required to repay all, or a prorated share, of the amount of the financial assistance awarded if the applicant does not fulfill the obligations of the contract. The company acknowledges that it will be required to enter into an agreement regarding the job creation and property tax rebate. (Question 3.6) City of Iowa City Application for Business Financial Assistance Business Requesting Financial Assistance: Business Name: Marsh Advantage America, (Seabury & Smith, Inc.) and Southgate Development Name of Authorized Person to Obligate the Business: __Scott Fisher Business Address: _main office in Iowa City: 2615 Northgate Drive Business Contact Person: _Scott Fisher Title: Managing Director Telephone: _319.887.4001 Fax: __319.887.4200 Business Federal ID#: _13-3109248 Date of Application Submittal: 19 July 2001 Release of Information and Certification NOTE: Please read carefully before signing I hereby give permission to the City of Iowa City (the City) to research the company's history, make credit checks, contact the company's financial institution, and perform other related activities necessary for reasonable evaluation of this proposal. I understand that all information submitted to the City relating to this application is subject to the Open Records Law (1994 Iowa Code, Chapter 22) and that confidentiality may not be guaranteed. I hereby certify that all repre- sentations, warranties or statements made or furnished to the City in connection with this application are true and correct in all material respects. I understand that it is a criminal violation under Iowa law to engage in deception and knowingly make, or cause to be made, directly or indirectly, a false statement in writing for the purpose of procuring economic development assistance from a state agency or political subdivision. SIGNATURE OF COMPANY OFFIC AUTHORIZED TO OBLIGATE BUSINESS: NOTE: The City will not provide. assistance in situations where it is determined that any repre- senration, warranty or statement made in connection with this application is incorrect, false, misleading or erroneous in any material respect. If assistance has already been provided by the city prior to discovery of the incorrect, false or misleading representation, the city may initiate legal action to recover city funds. Section 1: Description of Business and Proposed Project 1.1. Describe in detail the proposed "project" (for example, company relocation, plant expansion, remodeling, new product line, size of building expansion, number of new jobs, amount of investment in machinery and equipment etc.): A joint venture led by Southgate Development and Harry Wolf has negotiated with Marsh Advantage America (a service of Seabury & Smith) to build a 46,283 square foot building on Lots 1, 2, 3, and 4 Northgate Corporate Park. The lease had been negotiated as a build-to- suit, triple net lease at fair market value. The budget for phase one (46,283 square foot) is $5,650,000.00. The building is designed to accommodate a 20,000 square foot addition to the east. Upon completion, Marsh Advantage America will vacate its 17,500 square foot leased facility at Lot 20 Northgate Corporate Park as well as approximately 12,500 square foot of other leased space in the area. The new facility will allow Marsh Advantage America to expand its employee base by approximately 17% in within a two year period following occupancy. 1.2. Provide a description and history of business: Marsh Advantage America is a service of Seabury & Smith, a Marsh & McLennan Company, Inc. In Iowa City, Marsh Advantage America has had a continuous presence sinca 1963, when it was started as Riepe, Buchanan, and Piper. It was acquired by Marsh & McLennan in 1973, and became Seabury & Smith in 1990. Marsh Advantage America sells and administers employee benefit and commercial property casualty programs for employers. The Iowa City office is the largest office within Marsh Advantage America's National Administration Center which bills and remits premium, processes enrollment forms, pays claims, and provides customer service for its clients. As an administrator, Marsh Advantage America provides many of the services that an insurance company provides, except Marsh Advantage America does not assume the insurance risk. 1.3. Describe the organizational structure of the business, including any parent companies, subsidiaries, sister companies, etc. Marsh Advantage America is a service of Seabury & Smith. Seabury & Smith, Inc. is a wholly-owned subsidiary of Marsh & McLennan Companies. Sister companies of Seabury & Smith are Marsh, Inc., Mercer, and Putnam. Marsh & McLennan Companies is a publicly traded company, listed on the NYSE: MMC. 1.4. List the names of the business owners and the percant of ownership held by each. Marsh & McLennan is a publicly traded company, listed on the NYSE: MMC. 1.5. List the business' five-digit and six-digit North American Industry Classification System (NAICS) codes or the pdmary and secondary Standard Industrial Codes (SIC codes)). Primary: 6411 (Insurance Agents Brokers and Service) 6411-0302 (Insurance Brokers), 6411-0301 (Insurance Agents), 6411-0100 (Insurance Information and Consulting Services), 6411-0105 (Policyholders Consulting Services) 1.6. Will the project involve a transfer of operations or jobs from any other Iowa City or Johnson County facility or replace operations or jobs currently being provided by another Iowa City or Johnson County company? If yes, please indicate the facility(s) and/or company(s) affected. This building will consolidate Marsh Advantage America operations currently in three leased locations: 2615 Northgate Drive, 321 E Washington Street and 1820 Boyrum Street. 1.7. What date will the project begin? Estimated 1 September 2001 Be completed? Estimated 1 July 2002 1.8. Has any part of the project been started? If yes, please describe. Architect's plans have been drawn, soil samples have been taken and the space planning process has been started. Section 2: Financial Contributions to the Proposed Project 2.1. What type and amount of financial assistance are you requesting from the City (for example, grant, forgivable loan, loan, property tax exemption, tax increment financing rebate, etc.)? Marsh Advantage America is requesting "Tax increment financing property tax rebate". The request is for a 10 year declining percentage, with 100% in year one, declining 10% each successive year on the increased assessed value of the property due to the building. Based on the projected cost of improvements, we estimate the property tax rebate to be $781,200.00. 2.1a. If Community Development Block Grant Funds are being requested, please describe how the proposed project addresses the priorities, strategies, and goals cited in CITY STEPS 2001-2006. NA 2.2. Explain why assistance is needed from the City, and why it cannot be obtained elsewhere. (Specific supporting documentation evidenced by cash flow statements, income statements, etc., is requested.) If the City did not provide financial assistance, could the project proceed? The nature of the request, tax increment financing property tax rebate, is only available through the city. The nature of the tax rebate is to reduce the rental cost of the property and to support the efforts to expand staff in the area. Without the tax rebate, it is unlikely that the project will proceed in Iowa City. Seabury & Smith has another large location in West Des Moines, as well as smaller locations in St. Louis and Tulsa, where Marsh Advantage America would look to expand. Currently, the West Des Moines location has enough excess space under lease to meet our projected growth needs. 2.3. In what form is the business contribution to the project? Please explain clearly (for example, sale of stock, equity investments, subordinated debt, etc.). Marsh Advantage America will lease the space. Under the triple net lease arrangement, Marsh Advantage America will be responsible for payment of the property taxes. 2.4. Identify all agencies or institutions involved in the project (financial and otherwise) and what their involvement is: Marsh Advantage America, a service of Seabury & Smith Southgate Development Harry Wolf City of Iowa City 2.5. What type and amount of security will the assisted business provide the City? If no security is offered, an explanation must be provided. Note: as a general rule, for those businesses not publicly traded, personal guarantees are required in addition to other pledged business assets. Mortgage $ What seniority or position? Lien on $ What seniority or position? Personal guarantee $ Other $ None (if none, please explain) Given that a tax increment financing property tax rebate is requested, security is not required. 2.6. Summary of Project Costs and Proposed Financing Sources SOURCES (Summarize All Sources From Question USE OF FUNDS 2.7) Activity Cost A B C D Land acquisition $825,000 $825,000 Site preparation $175,000 $175,000 Building acquisition $ $ Building construction $4,650,000 $4,650,000 Building remodeling $ Machinery &equipment $200,000 $200,000 Furniture &fixtures $800,000 $800,000 Permanent working capital $ (detail:) Other: Tax Rebate $781,200 $781,200 Other: TOTAL: $7,431,200 $5,650,000 $1,000,000 $781,200 $ 2.7. Terms of Proposed Financing Code Source (include all sources in Question 2.6) Amount Type(i) Rate Term Source A: Landlord $5,650,000 Direct loan 8% 25 years Source B: Tenant $1,000,000 Equity Source C: City of Iowa City $ 781,200 Tax rebate 10 yr dec. % Source D: $ I Total: $7,431,200 '~For example: forgivable loan, direct loan, grant, equity, tax abatement, etc. 2.8. Generally a decision by the City on this application can be expected within 30 days of receipt of the application. If there is an urgent need for a more immediate decision on this application, please indicate the desired timeframe and the reason for the urgency. Yes. Financing is dependent upon commitment to the tax increment financing property tax rebate amount. Section 3: Quality of Jobs to Be Created 3.1. How many employees are currently employed by the company worldwide (total employment including all locations, subsidiaries, divisions, affiliates, etc.)? Approximately 55,000 employees worldwide. There are 1500 employees at other Iowa facilities, not including Iowa City. 3.2. If an existing Iowa City business, how many total individuals have been employed by the company at the Iowa City facility during the past year?. 172 full time and 20 part time employees. 3.3. If awarded funds, how many new full-time employees will you add to the payroll at the Iowa City facility within 12 and 24 months of the award date? The business acknowledges if it fails to create the jobs pledged below by the end of the project period and maintain them for a period of time (usually 36 months from the date of the award), it may be required to reimburse City funds for the employment shortfall, if the loan/grant was based on job creation. Full-Time: Part-Time: 12 months 15 12 months 2 Cumulative Cumulative Full-Time: Part-Time: 24 months 30 24 months 5 Cumulative Cumulative Note: Jobs created or retained using Community Development Block Grant Funds must be "held by" or "available to" low- or moderate-income individuals. 3.4. What is the estimated annual payroll for the new employees resulting from this project? Year 1:$432,500.00 Year2:$913,750.00 3.5. What is the starting average hourly wage rate (not including fringe benefits) projected to be: For the new employees? $11.55 for full time employees $8.00 for part time employees ($11.32 total full time and part time) For existing employees? $16.42 for full time employees and $8.00 for part time employees ($16.05 total full time and part time) For existing and new employees? $15.70 for full time employees and $8.00 for part time employees ($15.33 total full time and part time) 3.6. In the following table, list positions and hourly rates for each job classification to be created and retained. List of Positions and Hourly Rate for Created and Retained Positions (use additional sheets if needed) No. Hours Hourly Create Retain Position Title Per Week Rate of Pay X10 Customer service representative 37.5 11.30 X8 Customer claims representative 37,5 11.30 X7 Account coordinator 37.5 11.30 X3 Fiduciary accountant 37.5 11.80 X2 Computer programmer 37.5 14.35 X18 Fiduciary accountant 37.5 15,52 X10 Treasury services 37.5 12.72 X30 Account coordinator 37.5 14.27 X68 Customer service/claims rep. 37,5 13.39 X8 Marketing service representative 37.5 18.71 X32 Computer programmer/support 37.5 24.05 X6 Human resources 37.5 26.57 X5 Part time file/support clerks 15 8.00 X20 Part time file/support clerks 15 8.00 Note: Every applicant should provide average hourly wages for all new and existing jobs which meet or exceed the average county wage rate by industry. Ninety percant of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City). Under special cimumstances, consideration will be given to those companies who cannot meet this requirement. (Contact the Economic Development Coordinator at the City for current figures.) The average hourly wage for the "Finance, Insurance, and Real Estate" sector is $13.75. Marsh Advantage America is projecting to be on average $2.20/hr lower in its new hire area. In addition to salary, Marsh Advantage America provides a comprehensive, employer funded benefit program (see 3.9 below). In addition, overtime compensation is not included in our figure even though the new positions (other than the IT positions) will be eligible for overtime compensation. Also, the jobs being created with this expansion are primarily administrative positions, not sales positions that tend to have higher compensation. As mentioned in the answer to 4.3, Marsh Advantage America does not have Johnson County competitors, therefore there are not a large number of insurance administrative positions within the county to compare the hourly rate. The part time employees listed (new and retained) are contingent part time employees (generally employed less than one year).They are primarily students who work as clerks handling filing and copying needs. Marsh Advantage America acknowledges that it will be required to enter into an agreement regarding the job creation in relation to the tax rebate. 3.7. Will any of the current employees lose their jobs if the project does not proceed? If yes, how many? Explain why: 3.8. Please describe the types of worker safety programs that would be available for your employees. We have disaster safety drills, provide CPR training, provide cost free health assessments (through Mercy Hospital, Iowa City). 3.9. Does the business provide standard medical and dental insurance for full-time employees? If so, what percentage of the standard medical and dental insurance package expense does the company provide? Marsh Advantage America funds 95% of the single medical and dental coverage and 95% of the family medical and dental coverage. In addition, Marsh Advantage America offers its colleagues additional employee benefits that can be provided to you for review upon request. Section 4: Economic Impact 4.1. Please document how much of your operating expenditures (raw materials, supportive services, machinery, equipment, and labor) will be spent within Johnson County. Marsh Advantage America estimates that approximately 75% of its operating expenditures will be spent within Johnson County. 4.2. What Johnson County companies do you expect to sell to that currently buy from non-eastern Iowa companies? What percentage of your sales will fall into this category? Our expansion will not focus on growth from additional sales to Eastern Iowa companies. The growth in Marsh Advantage America's operation will take place through national growth in our operations. 4.3. What other Johnson County companies could be considered to be your competitors? Marsh Advantage America does not have Johnson County competitors. There are competitors in the state of Iowa, including Holmes-Murphy, Des Moines and Cedar Rapids; Blue Cross Blue Shield of Iowa, Des Moines; TrueNorth, Cedar Rapids; AON, Cedar Rapids. GElCO, a national insurance company with local operations, is not a competitor since it serves a different market segment than Marsh Advantage America. 4.4. How will this project benefit the City/County? The City/County will benefit from the employee growth of a long term Iowa City business, both in terms of increased wages to existing employees and new hires. The projected two year employee growth of 17% will result in additional payroll of $913,750.00 In addition, the new construction will utilize the services of local businesses. In the long term, the city/county will benefit from the increase in tax base from a new $5,650,000 building and the increase in dollars spent by our business and its employees into the local economy. 4.5 How will this project grow the property tax base of Iowa City? Marsh Advantage America is increasing the square foot that it will lease in Iowa City by approximately 54%. This will be accomplished by constructing a new building that will be subject to property taxes. The nature of the requested assistance, tax increment financing property tax rebate with a 10 year declining percentage, provides for additional property tax revenue after the first year and assures that as much tax will be collected as rebated over the10 year period. 4.6 Beyond the present project, what future growth potential is there for the Iowa City operation? Marsh Advantage America has planned this project in two phases. First is the construction of the 46,263 square foot building. The second phase is the option to add an additional 20,000 square foot to the building during the term of the lease (10 years). If growth continues, and the 20,000 square foot is added, it would allow approximately 80 new employees to be added to Marsh Advantage America's payroll. Section 5: Environmental Impact 5.1. Please describe the energy and resource efficiency programs, waste reduction, waste exchange, and recycling programs at your Iowa City operation. We recycle approximately 6.75 ton of paper products annually through City Carton in Iowa 5.2. Do you use recycled materials in the production of any products or through the provision of any services at your facility? If so, please describe. We use recycled paper for much of our copy paper. 5.3. Will you be treating, transporting, storing, and disposing above ground, on or about your business premises, in tanks or otherwise, for any length of time or for any purpose: petroleum products, agricultural or other chemicals, waste oil or other liquid waste, or any other inflammable, corrosive, reactive, or explosive liquid or gas? If yes, please specify. Our computer disaster recovery plan includes a gas or diesel generator located on the premises in the event of loss of electricity. 5.4. Will the Iowa City operation develop renewable energy resources or products that conserve energy? If so, please describe. No. Section 6: Community Involvement; Compliance with Law; Repayment Agreement 6.1. Please describe your business' history of contributing to the community through volunteer work, financial contdbutions, or other means. If a new start-up business, please describe commitment to becoming involved in the community. The following is a list of the community organizations that our employees are members: Jaycees; Make A Wish Foundation (board member);United Way (internal operations committee); Iowa City Area Chamber (former board member, Human resources committee, education committee, membership visitation program, committee leadership program committee, and 5 CLP graduates); Eastern Iowa Human Resources Association; Johnson County Area Women's Network; Northside Neighborhood Association; Citizens For the Future of Iowa City; American Cancar Society volunteers; American Heart Association volunteers; March of Dimes volunteers; Preucil School of Music (board member); Parent Educators Partnership of Grant Wood; The ARC of Johnson County; Iowa City Community School District Special Education Advisory Committee; Rotary Club. Marsh Advantage America financially supports activities that its employees support. During the prior twelve-month period we have contributed approximately $75,000.00 to charitable organizations. 6.2. Has the business been cited or convicted for violations of any federal or state laws or regulations within the last five years (including environmental regulations, Occupational Safety And Health laws, Fair Labor Standards, the National Labor Relations Act, the Americans With Disabilities Act)? If yes, please explain the circumstances of the violation(s). No 6.3. Financial assistance from the City of Iowa City requires a repayment clause in the loan agreement with the City. The repayment clause requires a prorated repayment of the financial assistance if the company does not meet its job attainment obligation and other obligations of this agreement. Is the company willing to enter into a loan agreement that contains a repayment clause? N/A. We are not requesting a loan. ---' ,~.,h~ (::~cc~.~,~-c~,vt ,.~'-/_c>. '~2~. Section 7: Required Attachments Check off each attachment submitted. If not submitted, explain why. Business plan (if new business) NA, Marsh Advantage America is not a new business Profit and loss statements (3 year historical and 2 year projections) Marsh Advantage America does not separately report its financial results. Included are prior two years of annual reports for Marsh & McLennan Companies, Inc. Balance sheets (3 year historical and 2 year projections-) Prior year audited financials are included in the annual reports Letters of commitment of project funds (from banks, applicant, etc.) A letter from Southgate Development has been sent under separate cover. Description of fringe benefits provided to employees. Please see attachment Copies of the company's quarterly Iowa "Employers Contribution and Payroll Report" for the past year and a copy of the most recent monthly payroll register. The ECPR will arrive - under separate cover within 7 days. Attached is the most recent payroll register. Marsh Advantage America has locations in Cedar Rapids, Davenport and West Des Moines that ,s .o, Map indicating the location of the project within the community. See attached information Cost estimates for construction, machinery/equipment, permanent working capital, and purchases. Please see question/answer 2.6 Certificate of Good Standing from the Iowa Secretary of State or an authorization to conduct business in Iowa. Requested, and will be sent under separate cover Certificate of Incumbency listing the current board of directors and current officers if a corporation or a listing of the general partners if a partnership Requested and will be sent under separate cover. --/~F~'~-' .~.~ Corporate resolution authorizing the application for City funds Will arrive under separate cover from Seabury & Smith's New York office ~ ~gn -Ct'~-2.~. Corporate signatory authorization naming an officer to execute the City application and City loan documents, if approved Will arrive under separate cover from Seabury & Smith's New York office - Dr2 -C~'f('~2.~ , Other Explanation/other comments: Marsh Advantage America utilizes independent contractors (teleprocossors) within the Iowa City and Johnson County area. We currently use 23 individuals in our operations. We anticipate increasing the number of contractors with the expansion of the business. These individuals are not in lieu of employees, but in addition to new employees. We estimate adding 4 or 5 of these contractors during the first two years of the expansion. These individuals work in conjunction with our employees in our administrative processes. Some of these individuals are former employees of Marsh Advantage America. The use of teleprocessors allows Marsh Advantage America to benefit from the skills and talents of individuals in Johnson County who would otherwise not be available to our company as employees. These are individuals who are seeking the benefits of self employment, such as flexible work hours offered through this arrangement. Marsh & McLennan Companies, Inc. and Subsidiaries Consolidated Balance Sheets Dcce m bet 3 ], (lit ntilhrms '4 dl,llars) 2000 [ 999 ASSETS CuErent assets: Cash and cash equivalents S 240 $ 42,~ Receivables Commissions and fees 2,370 1,949 Advanced prcn~iums and claims 270 246 Other 307 2,947 2,430 Less--allowance for doubtful accounts and cancellations (135) (1~2) Net receivahles 2,812 Prepak{ dealer commissions--current portion 362 326 Other current assets 225 23 I %tal current assets 3,639 3,283 Intangible assets 5,476 5,542 Fixed assets, net 1,360 1,314 Long-term investments 976 611 Prepaid dealer commissions 762 760 Other assets 1,556 1,664 $13,769 $13,174 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Short term debt $ 337 $ 1,131 Accounts payable and accrued liabilities 1,964 1,762 Accrued compensation and employee benefits 1,388 1,157 Accrued income taxes 291 188 Dividends payable 139 121 Total cm'rcnt liabilities 4,119 4,359 Fiduciary liabilities 3,627 3,333 Less--cash and investments held in a fiduciary capacity (3,627) (3,333) l~ongTterm debt 2,347 2,357 Other liabilities 2,075 Comnaitn~ents and contingencies Stockholders' equity: Preferred stock, $1 par value, authorized 6,000,000 shares, none issued -- Conmmn stock, $1 par value, authorized 800,000,000 shares, issued 278,379,~f9 shares in 2000 and 270,493A47 d~ares in 1909 278 27{) Additional paid m capital 1,918 1,49q Retained earnings 3~323 2,674 Accumulated other comprehensive h~ss (149) 5,370 4,364 [css trca~ut} shares, at cost 2~ ~52,046 shares m 20t)f) and 3,4(~350 ~harcs m 1909 (142) (194) Droll st~ckholdcrs~ eqtuty 5,228 4, 170 $13,769 $1 ;,174 Marsh & McLennan Compames, Inc and Subsidiaries For the Three Years Ended I)ecember 3 I, (In millions illdrill,it,, i'x~ i'pt pot <ha/c~ Ii,~4UIT'$~ 1999 1998 1997 Revenue $9,157 $7.190 $6,00c} Expense 7,698 5,770 5,2 I 1 Operating income 1,459 1,420 79B [ntere~st inc once 21 25 24 In[erest expense (233) C 14(j) ( 107} [nco0qe before im ome taxes 1,247 1,305 7l ~ Income taxes 521 509 281 Net income $ 726 S 796 $ 434 Basic net income per share $2.76 S3.11 $1.77 Diiu~ed net income per share $2.62 $2,98 $1.73 Average number of shares outstanding Basic 263 256 245 Average number of shares outstanding Diluted 272 264 251 Marsh & McLennan Companies, Inc. and Subsidiaries Consolidated Balance Sheets December 31, (In mdhous ,,/,ll,ll,~rs~ 2000 1999 ASSETS Currellt assets: Cash and cash equivalents $ 240 $ 428 P, eceivables Commissitms and fees 2,370 1,949 Advanced premiums and claims 270 246 Other 307 235 2,947 2~43(: l,css allowauce for doubtful accotmts and cancellations (135) (1 ~2) Net receivables 2,812 Prepaid dealer conm~issions--currcnt portion 362 326 Otber current assets 225 23 'li~tal CurTent assets 3,639 1,283 Intangible assets 5,476 5,542 Fixed assets, net 1,360 1,314 I .ong term investments 976 61 I Prepaid dealer commissions 762 760 Other assets 1556 1,664 $13,769 $13,174 LIABiLiTiES AND STOCKHOLDERS' EQUITY Current liabilities: Short-term debt $ 337 $ 1.13 Accounts payable and accrued liabilities 1,964 1,762 Accrued compensation and employee benefits 1388 1,157 Accrued income taxes 291 188 Dividends payable 139 121 Total current liabilities 4,119 4,359 Fiduciary liabilities 3,627 3,333 Less~cash and investments held in a fiduciary capacity (3,627) (3,33 Long-term debt 2,347 2,357 Other liabilities 2,075 2,288 (Zon~Blirlllcllts and ~ontingcucies StockhtfidcrC cqu~t}: Preferred sty}ok, $1 par value, aut]lorizcd 6,000,0(}0 shares, none i~sucd ('onm~on stock, $[ par value, auth{~rizcd 800,000,0(10 shares. i%ucd ZTR, IV~9 shares in 2{)00 and 270,49~.147 ~harcs in It)99 278 Addill<real paid m capital 1,918 1,49 l{etaincd camrags 3,t23 2,674 Accumtdatcd .thor t{mqp~chcns~xc loss (149) 5370 4,164 [css trcAst. ~ sh:.c~, al t.st 2, Iq2,(}41~ ~harcs in 2(101) and ~,4(,Z lq() s}/arc~ In 1999 (142) { 194) IGt.~l st.tkhoklcrs' equ~t~ q,228 q. $1t,769 $1 LI74 Consolidated Statements of Income For the Three Years Ended December ~ I, (Iiz ntilli,tls I; d,,ll,,s, cxccpt l~ct bbdt~' [i,,s, itjt'>s 2000 1999 1998 Revenue $10,157 $9,157 $7,190 Expense 7,978 7,690 5,770 Operating n~comc 2,179 1,467 1,420 Interest incon~c 23 21 25 Interest expense (247} (233) (140) Income before income taxes and mim,rlty interest 1,955 1,255 1,305 Incl,ne taxes 753 524 509 Minority interest, net of tax 21 5 -- Net income $ 1,181 S 726 $ 796 Basic net income per share $4.35 $2.76 $3.1 I Diluted net income per share $4.10 $2.62 $2.98 Average number of shares outstanding--Basic 272 263 256 Average number of shares outstandil~g--Diluted 284 272 264 The accompanying notes arc all integral part of these consolidated statements. Marsh Advantage America 2615 Northgate Drive P.O. Box 1520 Iowa City, IA 52240-1520 (319) ~:8%4000 Fax: (319) 351-0603 MARSH ~'ro~le of Benefits for Marsh Advantage America Employee~ Medical Program · Iowa/Nebraska employees participate in Blue CrossfBlue Shield of Iowa Alliance Select program, which is a preferred provider product. · Marsh shares the expense of health benefits with the following monthly employee contributions: $10.00 Single $22.00 Family · Employee contributions are payroll deducted on a semi-monthly, pre-tax basis. Dental Program , Dental coverage is administered by Delta Dental Plan of Iowa. · The monthly premium is included in the cost of your ~nedical plan. Flexible SOending Accounts · Flexible Spending Accounts are designed to save tax dollars on non-reimbursable healthcare and dependent care expenses. Life Insurance Program · You are provided with one times your annual salary in term life insurance coverage at no cost to you. You may also elect to purchase supplemental term life insurance and spouse and dependent life insurance coverage. Disability Income Program · In the event sickness or an accident prevents you from working, short-term disability coverage and basic long-term disability coverage is provided at no cost to you: Short-term Disability coverage continues 100% of your salary for the first three months of an approved disability and 80% of your salary for the following three months, Long-term Disability coverage pays a benefit equal to 40% of your salary beginning with the 7m month of an approved disability. You may purchase additional long-term disability coverage of 20% of your base salary, bringing the total benefit to 60% of your salary. Travel Accident Insurance Program · The company provides coverage at no cost to you in the event of certain injuries or death resulting from an accident during business travel, including travel to and from work. · You may purchase additional personal accident insurance for yourself and eligible family members. Investment & Retirement Plans · Stock Investment Plan (401 K) : You may defer pre-tax salary from 2%-15% to purchase MMC stock upon hixe. After one year of service, the company matches a portion (usually 71-2/3% of the first 6% of your salary). · Stock Purchase Plan: Allows after-tax purchase of MMC shares at a discorral of at least 15%. The plan year begins October Is~ and tequkes six months eligibility. · You may also elect Io purchase Pulnam Mutual Funds on an a~er~tax basis, with no sales charge. · Company paid retirement plan. ~Profile of Benefits for Marsh Advantage America Employees - continued Vacation · After two months of employment, accmal begins at one day per month during the fast year. I year 10 days 5 years 15 days 12 years 20 days 20 years 25 days , Vacation must be used every year by December 31 Paid Holidays · The following are company paid holidays: New Years Day Memorial Day Independence Day Labor Day Christmas Day Thanksgiving Day and the following Friday In addition, you are allowed personal floating holidays: First year: Hired between January 1 and June 1 I day Hired between June 1 and December 3 1 0 days After f~rst year: 4 days Other Benefits · Educational loan program for qualified dependents. · Tuition assistance for approved cottrses. · MMC grants for volunteer community work. · Matching contributions for educational institutions. · Automatic deposit of paychecks. · Health wellhess program. · Vision discount program. · Employee Assistance Prograrr~ Personal Insurance Programs. Benefits 2 South Gate 7/24/2001 Steve Arkins City Manager City of Iowa City Iowa City, Iowa 52240 Dear Steve: Negotiations are being finalized for the construction and leasing of a 46,283 square foot facility to Marsh Advantage America, a service of Seabury & Smith, Inc. I represent the managing partner of a joint venture that will own the facility. Development Company n The construction team will be led by McComas-Lacina Construction, with design r,o ~.,, services provided by Shive-Hattery and Neumann-Monson. Financing b.o ii,ty i,,,,./~ $2244 :,~, commitments are being finalized at this time. We ask for your support of Seabury & Smith's tax increment financing property tax Ei~,°,~ rebate application. This assistance will help finalize this exciting project. Not only will Seabury & Smith benefit, but so will our local team as well as the Iowa City community. Sincerely, Harry R. Wolf Vice President )JECT LOCATION INTFR,%_TATF an LOCATION MAP NOT TO SCAL[ I~OARD OF DII~,ECTORS AND CORPOI~,ATE OFFICERS 2000 1{¢),.\1~.1) ()1 [)ll~l(~ 1(~1{% LawrenccJ. Lasser (:()Mx, I1111!1(% OI FIll! I~OM~,I) J.W. Greenberg President and Chief Executive Office~ Pureare Investmenrs, LLC Audit Chairman The Rt. Hon. Lord I,mg of Monkton, David A, Olscn Mathis Cabiallavctta Former Chairman l~hnson & Hig~ ~ Stephen R. Iqardis Vice Chairman. MMC (;wcndolyn S. King Chaff'man, MMC Europe John D. Ong Jnhn 1), Ong Chairman Emerims, Addc Simmnn~ Charles A. Davis The BF(;oodrich Company Vice Chairman, MMC President and Chief Executive Of~cen Adele Simmons Compensation [ewis W. Bernard. MMC Cal~ital. Inc. Vice Chair and Senior Exccutivc, Robert E Erhuru Lewis W. Bernard Chicag. Metropoli~ 2020 Former President, [{a~ J. (,rmcs (;hamnan, Cfas~mnm, Inc. John D. and Catherine, T. MacA~thur Executive Forme~ Chief Administrative Foundation ].X~. (hccnhc~g, Cbdtr. nm and Financial ()f~ce~ I cxv~5 W. Bernard Morgan Stanley ~ Co.. Inc. John T. Sinnott Ray f. (;foxes Chairman aud Chief Executive Officer, Adc/c Sirere,ms Peter Coster Marsh Inc. P~esident and Chief Executive Officer, A.LC. Sinill3 Mercer Consulting Group, Inc. A.J.C. Smith Robert E Erburu Former Chairman, MMC Ray J. Groves Richard E. Heckert Chief Hnancial Officer Chairman, Legg Mason Former Chairman. Merchant Banking. Inc. E.I. du Pont de Neroours and Company William L. Rosoff Dean R. McKay (;eneral Counsel Stephen R. Hardis Former Senior Vice President, Chairnmn. Axcelis Technologies, Inc. Fraucis N. Bonsignore Gwendolyn S. King Former Chairman, Amoco Corporation President, Podiuna Prosc Barbara S. Perlmutter Former Commissioner, George Putnam Senior Vice President, Puhlic Affairs ~e Rt. Hon. Lord Lang of Monkton John M. Regan, Jr. F~rmer British Secretary of Former Chairman, MMC State for Trade & Industry Frank J. Tasco Former Chairman, M~IC R.J. Ventrcs INTIERNAI'ION:M AI)\,'IS('~P,Y I',O\RI) A.J.C. Smith Oscar Fanjul (Spain) Paul E Orcfficc (United State~) lIltt.vz.ttilm.ll AIh,tb,HY l~ll,lll] Cl,llilllzd, Chan'man. ftidrtlclectrica dcl C]ilntiibrico F,rl/lcr (h,m'man and F{>~mca Ch,nt nmn. M~I( Hnnorary ('hai~ man, Rcps{d (hicf l~xc~urivc Officer, Ihc l)ox~ ( hemira] Cdi~paii} Ahdlafif Y. AFHamad (Middle Fast) 'lb~oo Gyohtcn (Japan) (:h,xi.nan, Arah Ftmd h, F~{,non~i~ Prc~idcnt, InMilntc for lnrcn~ationnl Saxon Riley ([hntcd I(ingdon]) ;llltJ %OC~M Dtvch>pll/ctlt MIHlcti/ry Aff,m % (haiz nmn. lh,)d's Raymond Barre I I:~ anLc) NI;~)~,~, ] yon Marcill. Marqucs Morcira ([h,~7t/) Jesus Silva Hcrzog LMcxicn) Mc~ ~ill lynch I,rn~cr An~l~,~adn~ ¢d Mcx~. Mathi~ (?ahiallavctta (Mv~t/cd,md) F{,'lnc~ ,~lllh./ssilthH' {)1 Br,lzil t,~ the [hnlcd Sl:ltt'~ (hairm,u~, ,%IX~C Lur¢>pe XVci Ming ~i (Chill,i) Prepared by: David Schoon, Eco. Dev., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5236 RESOLUTION NO. 01-237 A RESOLUTION APPROVING A FIVE-YEAR ONE HUNDRED PERCENT TAX INCREMENT FINANCING PROPERTY TAX REBATE TO ASSIST OWENS- BROCIG, VAY PLASTIC PRODUCTS, INC. WITH A NEW MANUFACTURING FACILITY IN IOWA CITY. WHEREAS, Owens-Brockway Plastic Products, Inc. has applied to the City of Iowa City for a five- year one hundred percent tax increment financing (TIF) property tax rebate; and WHEREAS, it is in the public interest to provide Owens-Brockway Plastic Products, Inc. a five- year one hundred percent TIE property tax rebate to encourage economic development in Iowa City, Iowa; and WHEREAS, the proposed project is located in the Scott-Six Industrial Park Urban Renewal Area and has been evaluated against the City of Iowa City Financial Assistance Eligibility Guidelines; and WHEREAS, the City has the authority to provide financial assistance in the form of a five-year hundred percent TIF property tax rebate for promotion of economic development. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. It is in the public interest to encourage economic development by providing a five-year one hundred percent TIF property tax rebate for a Owens-Brockway Plastic Products, Inc. facility in the Scott-Six Industrial Park Urban Renewal Area. 2. The City Manager is hereby authorized to negotiate an agreement, for Council approval, with Owens-Brockway Plastic Products, Inc. for a five-year one hundred percent TIF property tax rebate. Passed and approved this 31st day of Jul.v ,20 01 . AA rov:~: At~ ATTEST:CITY~E~K') ~' ~ CI -8/ Resolution No. 01-237 Page 2 It was moved by 0'Donne] ] and seconded by Champion the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef × Wilburn City of Iowa City MEMORANDUM Date: July 26, 2001 To: City Council From: David Schoon, Economic Development Coordinator Re: Owens-Brockway Plastic Products Application for TIF Properly Tax Rebate Owens-Brockway Plastic Products requests that the City grant a five-year one hundred percent tax increment financing (TIF) property tax rebate for a new facility it plans for the Scott-Six Industrial Park. Owens-Brockway is planning to build a manufacturing facility in Iowa City, and its decision to locate here will be influenced by the financial assistance provided by the TIF property tax rebate. The Project Owens-Brockway Plastic Products is a subsidiary of Owens-Illinois. Owens-Illinois is a worldwide manufacturer of glass and plastic containers. Plastic packaging products produced by Owens-Illinois include containers, closures, and prescription containers. The Iowa City plant will be pad of the plastic container business, which currently operates 20 domestic manufacturing facilities and utilizes a wide variety of plastic materials and molding processes. The Iowa City facility will produce and manufacture plastic bottles for Procter & Gamble and other plastic products. The proposed project will be a 64,000 square foot built-to- suit plant/warehouse production facility to be located in the Scott-Six Industrial Park. The following highlights the proposed project. · Total Capital Investment $11.7.million - Total $3.48 million - 64,000 square foot building $1.17 million - Land cost and site preparation $6.60 million - Machinery & Equipment $457,000 - Furniture & fixtures · Jobs New Positions & Average Hourly Wage o;. 30 Full-time positions at $13.43/hr · Total Annual Income Year 1 - $629,000 Year 2 - $837,900 Attached you will find the company's application for funding, which provides further information on the project. Public Financial Incentives As previously stated, Owens-Brockway requests that the City grant a five-year one hundred percent tax increment financing (TIF) property tax rebate for its new site. The actual property tax rebate will apply only to the added value to the site, both in terms of building value and land value. Based on a $3.48 million building and current tax rates, Owens-Brockway would save approximately $522,300 in property taxes over the five-year period. After the five year period, Owens-Brockway will annually pay approximately $115,200 in property taxes (all taxing districts). Financial Assistance Guidelines Attached you will find a copy of the City's financial assistance guidelines with statements indicating how the characteristics of the Owens-Brockway project compare with these guidelines. Based on this comparison, staff concludes that the characteristics of the Owens- Brockway project are generally consistent with the City's guidelines. Staff is still in the process of completing its review of public legal database sources in order to provide comment on the financial assistance eligibility guideline regarding if the company has a consistent pattern of compliance with the law and the spirit of the law. This delay is a result of staff workloads, rather than the applicant and its application. The findings of staff's review will be presented at the Council's July 20, 2001 work session. Based upon the rest of the financial assistance guidelines and assuming that staff's review shows the company has a consistent pattern of complying with the law and the spirit of the law, staff recommends that the Council adopt the resolution approving a five-year 100% TIF property tax rebate to assist Owens-Brockway with a new facility in Iowa City.. OWENS-BROCKWAY FINANCIAL ASSISTANCE ELIGIBILITY GUIDELINES PRIVATE FINANCIAL CONTRIBUTION AS COMPARED TO PUBLIC ASSISTANCE REQUEST o:o A greater percentage of contribution by the assisted business; The business' contribution to the project is approximately 95% of the proiect costs (this does not include operating expenses) (Questions 2.6 & 2.7) o:o A shorter payback period or expiration for financial assistance; The business is requesting a five-year one hundred percent TIF property tax rebate. After the five-year period, the business will pay 100% of its property tax obligation to local property tax jurisdictions. °:° A lower amount of City financial assistance per job. The application indicates the creation of 30 jobs. Based on this job creation number, the City's financial assistance per job equals approximately $17,410 job in the form of a property tax rebate. The actual amount of assistance per job depends upon the actual amount of added taxable property value to the site. CONSISTENCY WITH COMPREHENSIVE PLAN/CAPITAL IMPROVEMENTS PROGRAM/ECONOMIC DEVELOPMENT POLICIES o:. Projects not requiring new public capital improvements; The proposed project requires no new public capital improvement. o:o A greater contribution by the developer for public infrastructure improvements; NA. The proposed project requires no new public capital improvements. o:o Jobs within industry/technology groups on opportunity list; The proposed project falls within the category of Light Manufacturing. · :o Start-up companies and expansions of existing local operations; The proposed project is an expansion of a new operation that will be supplying plastic bottles to a local company, Procter & Gamble. o:o A greater amount of property tax base expansion. The proposed project consists of the construction of a new $3.48 million building. After the five- year one hundred percent property tax rebate expires, the building will generate approximately $115,200 per year in property taxes (all taxing districts). QUALITY OF JOBS TO BE CREATED o.*o Higher wage rates; The application indicates an average hourly wage for new jobs being created at $13.43. (Note: the average hourly wage for new jobs does not include such wages as overtime wages.) The average hourly wages for all industries in Johnson County (private and government) is approximately $13.75, for private business it is $11.00, and for the manufacturing sector it is $16.05. Owens-Brockway's average hourly wage is approximately $2.60 below, or 84% of, the average hourly wage for the manufacturing sector in Johnson County. It should be noted that the average wage figure for the County is calculated using total wages, which also includes overtime pay, shift-differential pay, and bonus pay. In addition, the wages include all employees not just starting employees. The Owens-Brockway wage figure includes only regular starting hourly wages. · :, Full-time, long-term, non-seasonal positions; The new positions are full-time, long-term, non-seasonal employees? · *** Commitment to a safe workplace; Owens-Illinois Safety Job Programs includes the following: · Asbestos awareness training · Haring conservation · Confined space entry · Lockout/ragout · Electrical safety related work · Mobile equipment inspection practices · Personal protective equipment program · Emergency action plan · Respiratory protection · Ergonomics · Silica control · Forklift safety · Spill and response and hazardous material · Hazard communication awareness Training programs vary and include a combination of one of the following: classroom presentation; interactive learning centers; or on-line programs (Question 3.8). · **o Contribution to health insurance benefits; The business funds at least 80% of standard medical and dental insurance for full-time employees. (Question 3.9) o*** Provision of fringe benefits (e.g. vacation, sick leave, retirement plans); Benefits in addition to health insurance include paid holiday and vacation, life insurance, accidental death and dismemberment insurance, weekly disability income, employee assistance program, long-term savings plan (401 (k)), health care and child care reimbursement account, and educational assistance. ECONOMIC IMPACT o:. Contribution to diversification of Johnson County economy: The Owens-Brockway project is as a new plastic container manufacturer. Approximately, 7% of the Johnson County labor force is employed in the manufacturing sector, while nearly 44% of the labor force is employed in the government sector and the 49% in the non-manufacturing sector. The creation of 30 positions at Owens-Brockway will further help diversity the Johnson County economy. o:o Potential for future growth of industry; Growth is planned in two areas: 1) additional business with Procter & Gamble in other product lines and 2) develop other business with Midwest companies that need plastic containers. The site being purchased will accommodate an additional 64,000 square feet of growth. (Question 4.6) o:. Businesses that build on the resources, materials, and workforce of the local community. The company indicates that approximately 20% of its Iowa City operating expenditures will be spent within Johnson County. (Question 4.1) The company will be selling plastic containers to Procter & Gamble in Iowa City. ENVIRONMENTAL IMPACT · :o The more environmentally sound the company's operation; Scrap resin & plastic will be sold to a recycling company whenever feasible. The company witl use the services of an available commercial recycling firm for used oils and solvents (Question 5.1) o:o The more environmentally sound the company's products/services. The company may use post-consumer resin in the manufacturing of plastic containers. (C~uestion 5.2) COMMUNITY INVOLVEMENT · :o Businesses that have a history of contributing to their communities through volunteer work, financial contributions or other means. The application lists examples of contributions at some of the other plants, such as United Way contributions, United Way Day of Caring, Habitat for Humanity, School Mentor or Adoption, donations and company matches for local disasters such as floods, March of Dimes, charitable walks or athletic events to support various causes. · :o New start-up businesses that demonstrate their commitment to becoming involved in the community. NA GENERAL REQUIREMENTS Every applicant should provide average hourly wages for all new and existing jobs which meet or exceed the average county wage rate by industry. Ninety percent of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City). Under special circumstances, consideration will be given to those companies who cannot meet this requirement. See "Quality of Jobs to be Created" section. Eight of all of the positions (new and existing) pay $9.00/hour, which is near the federal poverty wage rate for Iowa City of $9.06/hour. This means 27% of all positions receive a wage near the poverty wage rate. The remaining 73% receive a wage of at least $1.36 above the poverty wage rate, and on average these positions (excluding the plant manager's salary) receive a wage of approximately $4.85 above the poverty wage rate. Applicant must have a consistent pattern of compliance with the law and the spirit of the law, including environmental regulations, occupational safety and health laws, fair labor standards, the National Labor Relations Act, and the Americans with Disabilities Act, in order to be eligible for financial assistance. Staff is still in the process of completing its review of public legal database sources in order to provide comment on the financial assistance eligibility guideline regarding if the company has a consistent pattern of compliance with the law and the spidt of the law. This delay is a result of staff workloads, rather than the applicant and its application. The findings of staff's review will be presented at the Council's July 20, 2001 work session. Applicant must demonstrate the following in order to be eligible for financial assistance: · the feasibility of the business venture; Project appears feasible. · the reliability of the job creation and financial estimates; Estimates appear reliable. · the creditworthiness of the business; Credit worthiness appears high. · that the project would not occur without city financial assistance. The applicant states in question 2.2: Owens-Bmckway has other alternatives in terms of existing buildings in which Owens-Brockway leases or owns out-of-state or to be built facilities considered on industrial sites in Ohio, Illinois, and Indiana. The proposed project is a significant investment in new construction, rail, and equipment. Production for this client is very competitive and its important that Iowa City assist in the total financial package versus the option of locating this plant elsewhere. A contract will be executed for any financial assistance awarded. Applicant will be required to repay all, or a prorated share, of the amount of the financial assistance awarded if the applicant does not fulfill the obligations of the contract. Yes, Owens-Brockway will enter into an agreement which outlines obligations the company must meet, and if those obligations are not met the TIF property tax rebate will not be granted. (Question 6.3) City of. Iowa City Application for Business Financial Assistance Business RequesUng Financial Assistance: Business Name: Owens-Breckwav Plastic Products Inc. Name of Authorized Person to Obiigate the Business: W. Bruce Larson } Business Address: One Seatlate - 29 LPD. Toledo. (;)hio 43666 Business Contact Person: Jeff Townsend Title: Project Manaaer Telephone: (419) 247-7098 Fax: (419) 247-7286 E-mail Address: jeff. townsend~owans-ilLcem Business Federal ID#: 95-2097550 Date of Application Submittal: July 20, 2001 Release of Information and Certification NOTE: Please read carefully before signing I hereby give permission to the City of Iowa City (the City) to reseamh the cempany~s history, make credit checks, contact the cempany's finandal institution, and perform other related activities necessary for reasonable evaluation of this proposal. I understand that all information submitted to the City relating to this application is subject to the Open Records Law (1994 Iowa Code, Chaptar 22) and that cenfidenttality may not be guaranteed. I hereby certify that all rapre- sentations, warranties or statements made or furnished to the City in connection with this application are true and correct in all matedal respects. I understand that it is a cdminal violation under Iowa law to engage in deception and knowingly make, or cause to be made, directly or indirecUy, a false statement in wdting for the purpose of procuring economic development assistance from a state agency or political subdivision. SIGNATURE OF COMPANY OFFICER AUTHORIZED TO OBLIGATE BUSINESS: Bv:W. Bru~amt~en,~'~ca P;esident NOTE: The City will not provide assistance in situations where it is determined fiat any mpre- sentetion, warranty or statement made in connection with this application is incorrect, false, misleading or erroneous in any material respect. If assistance has already been provided by the city prior to discovery of the incorrect, false or misleading representation, the city may initiate legal action to recover city funds. Section 1: Description of Business and Proposed Project 1.1. Describe in detail the proposed "project" (for example, company relocation, plant expansion, remodeling, new product line, size of building expansion, number of new jobs, amount of investment in machinery and equipment etc.): The proposed project will be a 64,000 square foot built-to-suit plantJwarehouse production facility to be located in the Scott-Six Industrial Park. This facility will be using a state of the art production technology to produce and manufacture plastic bottles for Proctor & Gamble and other plastic products. The estimated capital expenditures are as fo{lows: Building (inc. land) Equipment Rail Total Furniture & fixtures $4,650,000 $6,514,000 $100,000 $11,264,000 It is estimated that the plant & warehouse initially will create 22 new jobs (18 hourly and 4 salaried or professional positions). Between years 2 & 3 of this project, it is estimated an additional 8 jobs will be added. 1.2. Provide a description and history of business: Owens -Illinois (OI) is the largest manufacture of glass containers in North Amedca, South Amedca, Australia, New Zealand, and China, and one of the largest in Europe. OI is also a worldwide manufacturer of plastics, packaging, with operations in North America, South Amedca, Australia, Europe and Asia. Plastic packaging products manufactured by OI include containers, closures, and prescription containers. The Iowa City Plant will be part of the plastic container business, which was formed in 1959, and currently operates 20 domestic manufacturing facilities and utilizes a wide vadety of plastic materials and molding processes. 1.3. Describe the organizational structure of the business, including any parent companies, subsidiaries, sister companies, etc. Owens-Brockway Plastic Products Inc. is a wholly owned subsidiary of Ool Plastic Products FTS Inc., which is a wholly owned subsidiary of Owens-illinois Group, Inc. which is a wholly owned subsidiary of Owens-Illinois, Inc. 1.4. List the names of the business owners and the percent of ownership held by each. Owens-Illinois Inc. is a publicly traded company listed on the New York Stock Exchange. 1.5. List the business' five-digit and six-digit North American Industry Classification System (NAICS) codes (or the primary and secondary Standard Industrial Codes (SIC codes)). Primary SIC# 3089 - Manufacturer/Plastic Products, not classified elsewhere Secondary SIC# 3085 - ManufacturedPlastic Bottles ecadev/daviddocumentrevlsed71901 2 1.6. Will the project involve a transfer of operations or jobs from any other Iowa City or Johnson County facility or replace operations or jobs currently being provided by another Iowa City or Johnson County company? If yes, please indicate the facility(s) and/or company(s) affected. No 1.7. What date will the project begin? September 1, 2001. Be completed? May 1, 2002 1.8. Has any par~ of the project been started? If yes, please describe. Yes, Some preliminary engineering, geo-technical work, and environmental investigation. Section 2: Financial Contributions to the Proposed Project 2.1. What type and amount of financial assistance are you requesting from the City (for example, grant, forgivabie loan, loan, property tax exemption, tax increment financing rebate, etc.)? Owens-Brockway is requesting a tax increment financing (TIF) property tax rebate. The rebate would be 100%on the added value of improvements and would be for a period of 5 years. Thf~ estimated amount of the rebate would be approximately $522,300 (which is approximately $150,000 per $1,000,000 of added building value, the increase in land value due to development wilt also be eligible for the property tax rebate.) 2.1a. If Community Development Block Grant Funds are being requested, please describe how the proposed project addresses the priorities, strategies, and goals cited in CITY STEPS 2001-2006. NA 2.2. Explain why assistance is needed from the City, and why it cannot be obtained elsewhere. (Specific supporting documentation evidenced by cash flow statements, income statements, etc., is requested.) If the City did not provide financiat assistance, could the project proceed? Owens - Brockway has other alternatives in terms of existing buildings in which Owens- Brockway leases or owns out of state or to be built facilities considered on industrial sites in Ohio, Illinois, and Indiana. The proposed project is a significant investment in new construction, rail, and equipment. Production for this client is very competitive and it is important that Iowa City assist in the total financial package versus the option of locating this plant elsewhere. 2.3. In what form is the business contribution to the project? Please explain clearly (for example, sale of stock, equity investments, subordinated debt, etc.). Build to own: Corporate appropriation financed by Owens-Brockway Plastic Products, Inc. Lease: Owens-Brockway Plastics Products Inc. would be obligated to 3,d party lessor. Owens has not decided on the selected developer and may decide to purchase the building instead. 2.4. Identify all agencies or institutions involved in the project (financial and otherwise and what their involvement is: Owens-Brockway Plastic Products Iowa Department of Transportation - Rise Rail Assistance City of Iowa City - TIF property tax rebate. Kirkwood Community College - Owen's continues to pursue the use of Jobs Training Program Mid-American Energy - Short-term utility rate reductions and energy efficiency assistance. Iowa City Area Development - Technical assistance 2.5. What type and amount of security will the assisted business provide the City? If no security is offered, an explanation must be provided. Note: as a general rule, for those businesses not publicly traded, personal guarantees are required in addition to other pledged business assets. Mortgage $ What seniority or position? Lien on $ What seniority or position? Personal guarantee $ Other $ None (if none, please explain) Given that a tif property tax rebate is requested, security is not required. However, an agreement will be entered into regarding the tif property tax rebate and what Owens- Brockway must demonstrate to annually receive the tif property tax rebate.. ecodev/dawddocumentrewsed7qg01 4 2.6. Summary Of Project Costs and Proposed Financing Sources SOURCES (Summarize All Sources From Question USE OF FUNDS 2,7) Activity Cost A B C D Land acquisition $ 850,000 $ 850,000 Site preparation $ 318,000 $ 318,000 Building acquisition $ Building construction $3,482,000 $3,482,000 Building remodeling $ Machinery & equipment $6,057,160 $6,057,160 Furniture & fixtures $ 457,000 $ 457,000 Permanent working capital $ (detail:) Tax Rebate $ 522,300 $ 522,300 Other: Rail Spur $100,000 $ 20,000 $80,000 Other $ TOTAL: $11,786,460 $11,184,160 $ 522,3005 $80,000 $ 2.7. Terms of Proposed Financing Code Source (include all sources in Question 2.6) Amount Type Rate Term Source A: OwenS-Brockway $11,184.160 See Note (1) See Note (1) See Note (1) Source B: City of Iowa City $ 522,300 Tax Rebate 5 yrs, 100% Source C: IDOT - Rail Rise $ 80,000 Grant Source D: $ I Total: $11,786,460 (~}For example: forgivable loan, direct loan, grant, equity, tax abatement, etc, Note (1) Corporate Appropriations 2.8. Generally a decision by the City on this application can be expected within 30 days of receipt of the application. If there is an urgent need for a more immediate decision on this application, please indicate the desired timeframe and the reason for the urgency. Yes. a)Winter construction and b) product delivery to Proctor & Gamble Section 3: Quality of Jobs to Be Created 3.1. How many employees are currently employed by the company worldwide (total employment including all locations, subsidiaries, divisions, affiliates, etc.)? 34,400 3.2. If an existing Iowa City business, how many total individuals have been employed by the company at the Iowa City facility during the past year? NA 3.3. If awarded funds, how many new full-time employees will you add to the payroll at the Iowa City facility within 12 and 24 months of the award date? The business acknowledges if it fails to create the jobs pledged below by the end of the project period and maintain them for a period of time (usually 36 months from the date of the award), it may be required to reimburse City funds for the employment shortfall, if the Ioan/gr~nt was based on job creation. Full-Time: Part-Time: 12 months 22 12 months Cumulative Cumulative Full-Time: Part-Time: 24 months* 30 24 months Cumulative Cumulative *Jobs actually created between 24 and 36 months. Note: Jobs created or retained using Community Development Block Grant Funds must be "held by" or "available to" low- or moderate-income individuals. 3.4. What is the estimated annual payroll for the new employees resulting from this project? Year 1 By Year 3 Total $629,000 Total $837,900 3.5. What is the starting average hourly wage rate (not including fringe benefits) projected to be: For the new employees? $13.43 per hour ecodev/daviddocurnentrevised71901 6 For existing employees? N/A For existing and new employees? $13.43 per hour Wages and salaries typically increase 2.5% to 3% per year. The majority of the these jobs will be news hires with minimal experience. Promotions and advancement as the employees gain experience will enhance the employee's opportunities for higher increase. 3.6. In the following table, list positions and hourly rates for each job classification to be created and retained (an example is typed in the first line). List of Positions and Hourly Rate for Created and Retained Positions (use additional sheets if needed) No. Hours Hourly Create Retain Position Title Per Week Rate of Pay 4 Machine operator 40 $11,32 4 Technician 40 $13.79 4 Material Handler 40 $9.00 4 Quality Inspector 40 $9.00 1 Mechanic 40 $13.79 1 Warehouse Manager 40 $10.42 1 Plant Manager 40 $38.46 1 Quality Manager 40 $19.23 1 Technician Manager 40 $19.23 1 Process Manager 40 $24.04 4 Machine Operator (w/in 36 mos.) 40 11.32 4 Technician (w/in 36 mos.) 40 13.79 Note: Every applicant should provide average hourly wages for all new and existing jobs which meet or exceed the average county wage rate by industry. Ninety percent of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City. Under special circumstances, consideration will be given to those companies who cannot meet this requirement. (Contact the Economic Development Coordinator at the City for current figures.) ecodev/dav)ddocurf~ntrevised71901 7 3.7. Will any of the current employees lose their jobs if the project does not proceed? If yes, how many? Explain why: NO 3.8. Please describe the types of worker safety programs that would be available for your employees. Owens-Illinois Safety Job Programs include a) Asbestos Awareness Training Program, Confined Space Entry Program, Electrical Safety Related Work Practices, Emergency Action Plan, Ergonomic Program, Forklift Safety, Hazard Communication Program, Hearing Conservation Program, LockoutFFagout Program, Mobile Equipment Inspection, Personal Protective Equipment Program, Respiratory Protection, Silica Control Program and Spill Response and Hazardous Material Awareness. The training varies from program to program but can include one or a combination of the following. i) classroom presentation ii) Interactive Learning Centers iii) Online programming available at desktop. 3.9. Does the business provide standard medical and dental insurance forfull-time employees? If so, what percentage of the standard medical and dental insurance package expense does the company provide? Yes. Owens-Brockway provides at least 80% of standard medical and dental insurance for full-time employees. Section 4: Economic Impact 4.1. Please document how much of your operating expenditures (raw materials, supportive services, machinery, equipment, and labor) will be spent within Johnson County. For the Iowa City Owens-Brockway Plant, 20% of the operating expenditures including wages and salaries will be spent within Johnson County. Owens-Illinois which is the parent to Owens-Brockway is a global company and the percentage of the company's (Owens-Illinois) total operating expenditures is less than 1%. 4.2. What Johnson County companies do you expect to sell to that currently buy from non-eastern Iowa companies? What percentage of your sales will fall into this category? 100%. Owens - Brockway will be selling plastic containers to Procter & Gamble in Iowa City. Proctor & Gamble purchases items globally. 100% of the sales fall into this category. 4.3. What other Johnson County companies could be considered to be your competitors? None, the company that is now providing P&G the product that Owens-Brockway has been awarded is in Indiana. ecodev/davlddocumen(revised71901 E~ 4.4. How will this project benefit the City/County? The new Owens-Brockway Iowa City Plant will create new jobs and provide technical and mechanical training for new and existing employees. The project will also increase the tax base and payroll income to the Iowa City economy. 4.5 How wilt this project grow the property tax base of Iowa City? With the construction of a $3.84 million manufacturing building, the tax base of iowa City will grow once the property tax rebate expires in 5 years. In addition, the increase in land value and site improvements will also increase the property tax base of Iowa City once the tax rebate expires in 5 years. 4.6 Beyond the present project, what future growth potential is there for the Iowa City operation? Growth is planned in two areas and the land site being purchased will accommodate an additional 64,000 sf planned. Additional business with P&G in other product lines and using this Iowa City location, Owens-Brockway plans to use this as a base to promote and devetop other business with Midwest companies that need plastic containers. Section 5: Environmental Impact 5.1. Please describe the energy and resource efficiency programs, waste reduction, waste exchange, and recycling programs at your Iowa City operation. Scrap resin & plastic will be sold to a recycle company whenever feasible. We will use the services of an available commercial recycling firm for used oils and solvents. 5.2. Do you use recycled materials in the production of any products or through the provision of any services at your facility? If so, please describe. Yes, we may use PCR, post consumer resin, in the manufacturing of plastic containers. 5.3. Will you be treating, transporting, stodng, and disposing above ground, on or about your business premises, in tanks or otherwise, for any length of time or for any purpose: petroleum products, agricultural or other chemicals, waste oil or other liquid waste, or any other inflammable, corrosive, reactive, or explosive liquid or gas? If yes, please specify. Yes. Water for non~contact cooling process. Oils for hydraulic and lubricating applications, water treatment chemicals for cooling towers. Plastic resin in silos, bins, hoppers, gaylords, and/or railcars. Parts cleaning solvents for formulations that may be hazardous materials. Compress gases ( i.e. acetylene, oxygen, nitrogen, propane, CFC/HCFC) as needed. Maintenance chemicals (i.e. paints, janitorial supplies for cleaning floors, etc.) 5.4. Will the Iowa City operation develop renewable energy resources or products that conserve energy? If so, please describe. NA ecodev/dawddocumentrevised71901 g Section 6: Community Involvement; ComplianGe with Law; Repayment Agreement 6.1. Please descdbe your business' history of contdbuting to the community through volunteer work, financial contribuljons, or other means. If a new start-up business, please descdbe commitment to becoming involved in the community. Examples of contributions at some of our plants: United Way contributions, United Way Day of Caring, Habitat for Humanity, School Mentor or Adoption, sometimes we take donations and company match for local disasters such as floods, some locations participate in the March of DImes, charitable walks of athletic events to support various causes. C~ntributing to the community varies from plant locations. 6.2. Has the business been cited or convicted for violations of any federal or state laws or regulations within the last five years (including environmentel regulations, Occupational Safety And Health laws, Fair Labor Standards, the National Labor Relations Act. the Americans With Disabilities A~)? If yes, please explain the circumstances of the violation(s). Owens Illinois, Inc. is a very large corporation with 65 to 75 corporate entities in 5 continents and over 20 countries. It is not feasible to answer this question in detail in regards to Owens Illinois. However, Owens Brockway Plas6c Products, Inc. has been cited on vadous regulations as any company of our size. Owens Brockway adheres to our Policy Manual that has been attached. (Business Ethics Statement, Environmentel Policy, and Health & Safety Policy) 6.3. Financial assistance from the City of Iowa City requires a repayment clause in the loan agreement with the City. The repayment clause requires a prorated repayment of the financial assistance if the company does not meet its job attainment obligation and other obligations of this agreement. Is the company willing to enter into a loan agreement that contains a repayment clause? Yes. Owens Brockway will enter into an agreement which outlines obligations the company must meet, and if those obligations are not met the TIF property tax rebate may not be granted. Section 7: Required Attachments Check off each attachment submitted. If not submitted, explain why. Business plan (if new business) - NA Profit and loss statements (3-year historical and 2-year projections) -See Annual Report attached to the Application. Balance sheets (3-year historical and 2-year projections) - See Annual Report attached to the Application. Letters of commitment of project funds (from banks, applicant, etc.) Corporate appropriations will be funding this project. Description of fringe benefits provided to employees - See attached description Copies of the company's quarterly Iowa "Employer's Contribution and Payroll Report" for the past year and a copy of the most recent monthly payroll register. Owens-Brockway currently has no employees in the state. Map indicating the location of the project within the community - See attached Map Cost estimates for construction, machinery/equipment, permanent working capital, and purchases. Estimated cost of construction = Including Land, site work, rail installation, & building = $ 4,650,000. Machinery & equipment which includes 2 Nissei 300 DP blow molding machines, 1 Nissei 650 Blow molding machine and various downstream and systems equipment such as anti-stat booths, leak inspectors, automated case packing equipment, conveyors, material handling equipment, scrap handling equipment, air compressors, chillers, and tower water system = $6,057,160. Miscellaneous furniture & fixtures including desks, computers, & office equipment = $457,000 Certificate of Good Standing from the Iowa Secretary of State or an authorization to conduct business in Iowa. corporation or a listing of the general partners if a partnership, Corporate resolution authorizing the application for City funds. '- Or% -(},'~-- ~ Corporate signatory authorization naming an officer to execute the City application and City ,oan docume.ts, if approved. _ Other Explanation/other comments: ecodev/daviddocumentrewsedTlg01 12 ,, II :t izI'H CS NIIINNININNIIINNNNNNNNNNNNNNImN Owen.~Iliinois is respected for the manner in tvhlch it has conducted its business ore: the nationally and internationally. Underlying this reputation are our Coml::mny's high standards oE hon- esty, integrity., and erl'iics. These stancb'u'cls are irapor~.nt business arid socier. al assets, ant[ I am demmin~d that thor will be In addition, as a large multinational company, 04 is subjc~ to literally thousands of laws reguh~ons which govern our business operations. These incrc~ingly complex miles also affe~ our relationships with employees, custom, invesors, competitors. suppliers and govemm. erltal authorities. In some cases, ignonnce of or failure to comply with these myriad laws and regul',tions c:m zesult in employe~s being convicted of crimes that impose severe prison s~ntences and fines. For the Company, noncompliance can result in the imposition of severe criminal penniries and in costly civil litigation with the potential for massive damage awards. Fut'thermore, just being involved in such pwceedings allvexes critically important financial and human resources from the serious business challenges dut require our untillured fcxus and energies. To help ,'are that our standards of integrity and awful conduct are maintained, I have included in this Policy Manual this sumruns? of the key compB~nce issues from the Company, which cor~d~utes our "Business Ethics' S~atemenr. Some of th~ compUnnce makers disa~ed below, due r~ their comple~.~., also ~re covered in separa~ corporate policy s~tements fullowm~ rigs section. The separate polic~ documents that ~oilow ~ statement are being published to ensure ~tat sll persons w whom the policies apply und~mnd ~heh' essevri~d~ and how to comply with them. I11 all c'~es, compliance by all employees with the poUczes descril:~d herein will be ecpe~ecl ~nd required. Employees who violate these policies will be subiec~ to discipline, including termination for c~usc. Antitrust O-I fully supports the purpose Of antitnust laws, which is to promote ~gorou$ and r'air competition free from unre~Onable restraints. Such competition is the cornerstone of our free enterprise system. Accordingly, all employees are charged with the responsibility for complying with both the letter and the spirit of the antithat laws. Cemin arnngements with competitors are 'per se' unlawful, meaning they carmot be de- fended or justified in any way, no matter how seemingly meritorious the competitor's intentions. The pdrlcipal and most serious form of such "per se' unawfu[ conduct is "price r-xing.' This is any agreement or understanding besveen competitors with respect to the price, or any element of a price, to be paid to or charged to third parties. Price fixing also includes any arrangement between competi- tors which tends to stabilize prices. The Company simply will not tolerate price rhxing or any activity that could be construed as price fLxing. On the contnry, we must compete vigorously on the basis o1: price, quality and seaice, and our conduct must be based on our independent and unilateral business iudgment. Any contact involving competitors, customers or suppliers which suggests that any form of alegel agreement or arrangement exists raust be avoided. An~itr~s~ laws are complex ;rod cnn ',flea ', wide v:tri~' of ~tcth,id~s ~.nd ~itu~tion~ in :~ddition monopot~z~tion. pr~dato~' prici~ ~n~ ~mup ht~yc.us. While fully complying w~h ~ntitm~t · ese ~o~ pm~c~, ~e ~n~ of our bus~s~ m~y ~o require thn~ we p~icipate wi~ comp~ti- m~ i~ ce~In ~de ~ocbtion :~iviti~ or ~ widm them in ud~nmg~ous }lce~ing or oihcr ~xcha~e ~gem~n~. Fu~e~om, we should pu~u~ und mpimlize on b~in~ oppo~ni~ wiih c~mem who ~y a~ be compe~imm in some of our businches. and ~'e m~[ colle~ and ~nalyze ~d~ly im~n~ com~dve ~t~ll~n~, tc ~n in 5a comply ~ ~11 ~nd~c la~ -- complex ~ th~ am in some situations 3~e ~ese o~er b~in~ obj~m ~uidnB mm~d~or conraG md i~o~don by mkin~ mvi~ ~lly our md~t complbn~ ~tici5 and conm~g ~e ~l Dep~men~ for gui~nc¢ on ~Eem ~nc ~e und~ or Nqu~ s~ ~y. gnWmnm~l ~mplianme O-I ~ i~ en~n~ ~po~b~ 3rid is ~ed ~o m~m~g ~ ~c a~ ~nviron- m~y com~Je w~ ~ co~u~d~. ~ou~ ~ co~enc ~ ~und~ ~ ~mpli=nce ~w, i~ p ~nd ~c foun~aon. ~e ~m~y ~ ~ ~d o~mq p~ed~s to ~um comp~ ~ ~e~ ~ ~d ~, ~ o~ ~ for mo~q ~ comp~ce ~u~ouc ~e C~p~y for wo~ ~ ~ o~q u~m ~d ~ ~gm~m to help sbl~h appmp~te mmpl~n~ prop- ~y ~o~ ~on or b~ of m~ poUci~ md pmc~ ~d be ~ m S~m of W~bee H~I~ and i~ o~ ~ C;,~f~. Fln~ial l~e~ng and II~al P~e~ · ~mt~y ~d f~ly ~e f~ ~do~ ~ ~n~on of ~e Comply. h ~8 ~ ~po~g ~po~ib~iW to im shn~ ~ners and o~e~, ~c Com~y rakes ~d k~ps im nc~un~ng ~y. h ~ ~e ~mpany m~ on ~s~e~ d hte~ con~ m p~ ~ble ~umce · e ~ic object d au&o~n, acc~g ~ r~o~g d eco~c ~o~ and ~e ~e~- OWENS-ILLiNOIS BUSh\iESS E'~'m~CS SFAi'Erv%E~,.~T h~ or her rcspon~ibililies. und to corrd~.'~ ~,n~. ~r pr,~mpdF r~porc devi:tdon~ to rtlgher l,~v~ls ,.~:' '~,'i~hin d~ Comp'..tny .2:{ circums~ncd8 ,~.':trr, xnL ~[;mu~m h.~ve the uhifu.l[¢ :lushotis.' ;rod re~ponsibili~,.' within their respective ',t~'J~ of control to m;lincain intern:x[ controls :~}'s[¢n'~ :xn,J procedur~ :znd ~o cnsur,: empla.'.'~e uncler~r-,nding, or' r.h~ content :tn~.] inccn~ oi" Comp-',ny ',nd. o.['Tili:.lt~ in~em:.sl contcol~ Folici~,.; ;tnd procedures. .,U -', n¢c~sur,.' corolh~,.' of oh= pr~cdin~ ¢.,;pl',n:~ion of our intdrn',l c~mw~ pollci~.~. w= obviuu.,,i,..' do no~ ',nd would nor permit ',ny dfic~'r or employs:,* of 0-! or ID 0-I can~roil=d :uTilh~e ~o e:'K~r into ;my :z8recmcnr or ~'x'~ngemCnc designed or inc~nded to bribe or oth,..nvis¢ =nl',wi~ll.v re~.':srd ',ny oictici;t[ or employee of ~. ~ovemmenr or business [or ',cdon~ or d~$:~ion~ [-',vombie to O-[ or any of its .,f~.liui¢~. Thi~ prohibition includes bribes :rod or.her illeg',l p~ymenu rn.~de Bncier r. he Suise d corm'm~ians. I~gui ~-.e~. co r~-uldnS ', ;te~ments. public re~',r. io~ repre~enL"ttion :x~-'e~mcncs or slmlhr l'icd~ou.S :xrmngement. s, This p~hib{.cion likewis~ .--.,a~n~ w p;LvmCnt5 ~o :zgencs or ocher interme. dL~ries when ~.~ h.~ CeUSOA to believe r.~ all or sam..' p,-,n of the p',ymenc will be used For :z bribe or othe. r~'is¢ urd',wfuUy to ir~uence ~ov~'m1~¢~ o~ busin~,s actions. Family, it i~ Out intention that the ComF. tny comply with all Eederal, ~mte and local ~x ~w~ and Questior~ ~bout axty Fsnm~cial mpor~'~g ~ should be dLreaed to D'a. vid G. V':m Hoeset. Vice President stud Chief Fir, a~ci~ OEicor; JeE~*y A. Denker, Trrasure~ l~dwatd C- White, Cor. tmil~P, ivljchael 2. Sc.h~idlAg, Diz'~tor d Accounting and Financial Reporrin~,, or your respecmve oper~tin~ unit corm'oller. Ta,x questiota ~hould be di~ct~;l to Thoz'n~ C. Blythe, the Company'~ Director of Ta.~tion. Intermdiomd Business Practices .~..`5a~t~c~h~yd~.~mmed~e~yPttcedin~P~L~t~m~m~m~mge~sh~u~dbe.~t~e O~' policies in conducx im in~em~tioral businesses in ~cco$~mce w~h l~e appllr~le hws d the Unized States and the ho~ courtrues in which it oper~es. Insider Ibmdlme Compan~ policy is ~o ensuce r.~c all inves~o-ss ~ve ~ access to idormation which miSh~ ~ea the value (incease or de~) d the Compan1,"s publidy..L~ded secu.~es. Accorciir~gly, employe~ a~e forbidden w use r~:dal nonpublic information for Their own financial guin or to dixlose sur_,~ idorma- don W others. Mar. edd ix',.~de it~on'x'~rlon may take many .Form.% much u unpublished rmaucial results, operatiortal plaos or sa"~egies. Dot. public idorraation ~ signfficu.~ coqoomce .',cqui~idons or cii~poskiom and iIIIIIBMIIIlalilaliBmillliliilimllllllammilllm~BI Proprietor/Information ,~ F~.f~ C)[' ~m_~zir dH~..' Of tO~'~qZS,' (O O-L 3.[] ~fl~l~ll)~'~t~S ;If~ required tc~ s3.t'~ua.rcl che confidential l.,u~ine~5 al;c'. ~echnical inform;xtion of the Company,' and us~ such information only,' tbr comp:m!/purpc~es. Failure ~o observe this duty of confldenti~lity could also result in a conflict or' intercs; or a violation o~' s¢c~irm~s trading laws, an~u'us~ laws or export control laws. E-Mail Communlcafiens The Company has ~stablished 3. policy with regard to access and disclosure oF electronic mail messages created, sect or received by Company emp[o.vees using the Company's el~'vonic man system. That policy, which is posted on the bman Poilaies bulletin Ix~ard on the elecu'onic mail system, should be reviewed all users of the electronic mail system..Any employees who discover a violation of ~his policy should Joan Correct, Director of l~nd User kr/ices and Admirdsu'ation. Eelgel lmplelmmeat ~l~laedunily and W'erkplmme Relmfiamhil~., O-I has a strong commitment to a continuing policy of equal employment oppor'cunity. ~e will recruit, employ. trail and promote ildividuals. and administer all c~ther pe~ormel programs, wlthour regard to race, color. religion, sex, age, national origin. physical or mental handicap, or status as a "disabled veteran or veteran of the Viemum era. All employees mus~ be fair, honest, ~nd obey the law in all business relationship with innstom, cus~m- Discrimination a..Uin.st any employee or prospective emplo,vee, or the ~g of disparaging eomrnectm or crltid.sms, on the basis of race, color, sex, na~onal origin. age, religion, di.sabilit% or ve~erun's smms is su'icrly prohibiteel. Nor will harassment based on any of these factors be tolerated, and any instance of it should be immedi--rely toporbed ~o your operating unit manager or co lZYw'ayne 1~. Clark. Director, Equal Opportunity, Security-, and Communk"y AlTxirs. Furthermore, the Company will noc permit or tolerate workplace environtaunts that could be viewed as cons~ir~$ting or condoning such harassment. Our equal employ'meat ~ relate to all pht~s d ernployment including recx'um'xaer~ hiring, place- Company policy. also prohibks rtum illegal possession, use, manufacture, distr/bution, dispensing, sale, purchase, or traz~er of drugs or other conlzolled subsllnces on or off company prezz~es ~nd wl'ffie conduct/rag company business or during off-work hours. I have directed Dwayv. e Clark to work closely with all operuing units and stuff deFaraner~ m ensure that we have progr,.u'ns u_rid procedures in place consistertt with and adhering to th~se smndarcis Imlllmme,,-',;l~n The foregoing summaries of our corporate policies, together with the guideline~ ~et forth in the specific polici~ rlmat foElaw, are intended for compEltrace by all employees. As stated above, disciplinm]/act. ion For violation may range up to and include termination of employment for cause, Our goal is to make sure that each employee knows the essen,,ial points of our policies and, if uncertain about ~my aspect of them, understands r.b.a£ he or she should make appropriate inquiries before decisiln~ are made and actions am cakec that might violate them. You ire encouraged to coosuit with your supervisor. other mornInn of manage:near, or membe~ of the Legal or Conu'oller's Departmeets, as appropriate, whenever you have specific questions. As an O-I employee, you are ecpected to repo. dishonest or illegal activities or other policy violatious by other employees ro your supervisor, David G. Van Hooser, Thomas I.. Young, Executive Vice President-Ad.ministm~ion and General Counsel, or any Legal Depax'u'nent attorney. Alternatively, you may make such a report directly to me. Such reporting may be in person or in ,m,'ri~ing and mus~ conruin a description of the [acu2al basis For the alleguUon. It is a serious violation of Company policy for an,v O-I mnnager or supervisor to inir~.:e or perrn~ reprisal action ag:tiz~ any employee or penson who in good faith repons known or suspected viulatioos of law or corporate policies. OWENS-ILLINOIS BUSINESS ETHICS STATEMENT Th,~ polici~ summ:.tnzed sbove :tt. td~ss :t bro:~d r~nge oE complex issues :~nd m'~y s,m unduly ne~'advE in cone ',ncl emphssk..~11 are b:~ed. however. on ~undamennl principles oi ethic'l[ conduct should bu an inc.~gr-~L psr~ af our busm~-ss ac=ivici~s. Fur~hcrmore, p~operLv understood and the pOliCies should noc prevent or ~iiSCou mgE our IegiiL. n:~e business act. ivi~ie~ or the :s~,Bressive pursui~ our s~rsCe..qic objectiveS. Nor should they prevent our incumng ~pprop~ce ris'kS tO =chieve re~'=rcLs For our sh~re ownurs '.rid o~her corporate con.sd. tu=nci=s. In my opiniors. comp',nies th=t m',in~in high standards o~ e~hic:l condue: 'l~ve 3 compE~i:~ve =d,.'~n~8e. Business rel:srlor~hips buii, on mu:u'.zi ~rusc. respect, :rod honestT, Eorm :~ Founcb. tion got term success -- no~ only in schicvin8 person! ~nd business objectives but in meedz~S d~e n~d~ o1: socie~'. Our Comp:my's reput:~jo~ ~or ethical condue is in~iuobiE ~nd os~e thGt is sus~ined by ~he =c~ions and dedsio~ oE e'.zch og u~..~ Employees OF O-Z, lets work ~oget~et to rr~'~ .rid enl,.;nce. [or our Comly~ny ~nd ourselves, ~ deserved repu,.tion For high s,-.ndsrds og erhi,'.i conduc~ Joseph H- Lemleu'x February', 2000 To&edo, Ohio NmaNNNNNNNNIINNm~NNNININNINNNINNN As ~. lending manufacturer and supplier of packagir~g producU and other divel. sifled products and services, 0-I recograizes its responsibilities to ~ environmere and the communities in which it operams, and will srive to m,~n~ain facilities thai: are ~sser. s to its host communities. Our policy has been and wRI continue to be r~ conciuc~ our operalions in compliance ~,'i~ all applicable environmental legislation such ~ the Clean Air A~, the Clean Water Act, the Toxic arenoes Conu'ol Ac~, the Reso~'ce Conser~ar. ion and RecOve~ Act, the Comprehensive .~nvi.-onmenL~l RespOme, Comper~don, and ,Liability ACt, the Emergency', Platruing and Communk'y Right co g~ow A~ and othe~ applicable [ecl~al, stage and local laws. We will desigor n~w facliides CO achieve applic:~ble envu"onme~ttaJ scandards. We wi~ per~odi* gaily revie~ the performance of ~iating fadlir~es for environmend cotapliatxce, and wLLI prompgl,v implemel'g aec~va~y measures to achieve and maintain comp~nce. In ma~tex's concerning the m.'mu- Eacaixing and use of our producu and services, r. he use o~ raw mare.~L~ in the workplace, faciliW emiasinns and e.~lucats, and solid and liquid waste handling and ~ we will malce informed and responsible 'deci.~ns wi~ respect to l~uman health and the environment. We will cooperate with regulacoq agendes in L, nplememing our compliance program~. %re will mai,~i,~ requi.,~:l compliance recoz'ds, and will prompdy repOK L~formadon tO environmettml agencies We wilt dedicate appropriate and ad~lua~e rmandal resources, and assign and motivate managerial and technical pe~ormei co accomp~h these objectives. P$11s,/$mplemmah$~wa Th~ general manager of each. opemdAg bu~ines.s unit has responsibili~ for implementing the environ- me. real complim~e program for his or he~ operation. Recognizing r. he diverslW of environmental Lssues al~ e~ch opera~, the g~eral managera ole ~hese operations have considerable ladrude in implementing this policy. Each opemdng business unit shall have one or more envi~op. mencal coordinators with b~lity for advising the operati~ Itacilities and mar, agement on environmenull compliance requiremenu, ~ a..~sisr~ facilities' marmgemen~ in intpleme~r~g environmental compliance measures. Employees wir.h resporLsibility ~or envL,'onmen~'d compliance will receive appropri-qm education and r. mining, and will be provided with adequate resources co di.schm'ge their re~ponsihRides, Each general rnm~ge~ will cerd~ d'mt fadlides Ln his busi.ne~ unit are opemr. ing in accordance with such policy', d'~ i.~'ues of envLrom'aental compliance am promptly and effectively addressed. and chat requu'ed repotT. s are timely Rled with appropriate envi~onmenm| ~ggncie~. Facilities' performance may be ~.~e~.sed f~0m dine to dine ~ appropriate and the ~esults wilt be prompdy reposed to operat- ing mamlgement for clevelopment and implemenr'~don of any action plan that may be indicated. To a~i~ and suppo~ the operaring business units, the Company ma~rair~ a coq~omle Envi- ronmental AlfaLfa Department which c~ordinares th~ enviEonmenml compliance accividea of the opemr2ng ~usine~ units, and provides technical and other suppoK for anvlroru'aen~al magter5 and includes coordLnadon ol~ the envLronmenml assessment, S/',,f:[ PCL1C'r' imNNNNNNmINIINIINNNNNIINNNNNNNNNN Owens-Illinois is cornmined co [he pro~'~ion of ~he henlrh ~nd sder,/of ~very O-I empIoye~ in workplace. To achieve r~js goal, the Company rr~tntains a comprehensive safeo/and health prog~,n which addresses the safe design and opension of equjpmen~ in the workplace, work p~ce atmlysi~ and safety training, anc~ an indusnial hygiene program which p~ovides appropriate tmln~ng, pe~sonnl proretire: equipme~ and medical monitoring to control emp|oyee exposure [o dusts, che~.icals and noise in the workp~ce, ~ required by appJlcnbie law~ and reguMrions. Peliq, Implementation The policy is implemented rhxc~gh susta~ed manageatone suppot~ and direc~on, and an e~denc accidcn~ prevention OIJ::Lni~ri0n Z every ope~t~g I~ve~. o~ the Company. This include panic'pad/on and educeion o~ supervisors and employees, and training programs in h-~f recognition and industzial hygiene, top with supplemental ~rajn~ng, medical mort/toting, employee counseling and reinforcement prop ~s approp~.te. The general manager d each opting bus/hess b. as responsibility for ~nplementjng the H~l~h and Safety policy for h~ or her operation. Recognizing the divedtry of ~ slL%-zins ~ operation, general managers ot the~e operaz/o~ b~ve considerable lar/tude in imple:mentin8 this policy. Each ope~a~ng business unic ~ bare access to one or more regional health and ~safct7 tra~om with responsibility for advising the opetaUng f~cfllri~ and rnm'mgement on complj2nc~ requLr~- Employees with respon.~bility for s~/~ty and helth compliance will rece:~ve appropriate educntjon and ~, and will be provjd~-d wiLh adequate resource~ ~o cfbcharge [heir re~ponsib~ties. To ass~ and support the opting business units. the Mm~ger of Health & Sefe~y and ~orkers' Compens~aon will coordinate and provide program. review for Lb.e cornpl~ance a~v~ie~ of the operating bu.~ness units, and w~ provide tr..bnical and od~ support for safety and health mattera. + ' Consolidated Results of Operations Millions of dollars, except per share amounts Years ended Decera ber 31, 1999 1998 1997 Revenues: Net sales $5,522.9 $5,3063 $4,658.5 Royalties and net technicaJ assistance 30.3 26.6 21.6 Equity earnings 22.3 16.0 17.9 Interest 28.5 29.2 23,6 Other 182.7 121.2 106.8 5,786.7 5,499.3 4,828.4 Costs and expenses: Manufacturing, shipping, and delivery 4,296.4 4,075.6 3,666,4 Research and development 37.5 36.4 28.9 Eng~neenng 42.2 34.8 29.9 Selling and administrative 295.6 274.2 232.8 ~nterest 425.9 380.0 302 7 Other 191.3 489.3 115.4 5.288.9 5,290.3 4,376. t Earnings before items be]ow 497.8 209,0 452.3 Provision for income taxes 185.5 66.7 148,5 312.3 142.3 303.8 Minority share owners' interests in earnings of subsidiaries 13.2 20.2 31.4 Earnings before extraordinary items 299.1 122.1 272.4 Extraordinary charges from early extinguishment of debt, net of applicable income taxes (.8) (14.1) (104.5) Net earnings $ 298.3 $ 108.0 $ 167.9 Basic earnings per share of common stock: Earnings before extraordinary items $ 1.80 $ 0.71 $ 2.03 Extraordinary charges (.01) (0.09) (0.78) Net earnings $ 1.79 $ 0.62 $ 1.25 Diluted earnings per share of common stock: Earnings before extraordinary items $ 1.79 $ 0.71 $ 2.01 Extraordinary charges (.01) (0.09) (0.77) Net earnings $ 1.78 $ 0.62 $ 1.24 See accompanying Statement of Significant Accounting Policies and Financial Review Consol teci Baiance Sheets owens-zzi/nois,/, c. Millions of dollars Decera ber 31, 1999 1998 Assets Current assets: Cash, including time deposits of $113.4 ($95.1 in 1998) $ 257.1 $ 271.4 Short-term investments 32.1 21.1 Receivables, less allowances of $56.9 ($56.9 in 1998) for losses and discounts 856.4 877.7 Inventories 826.6 838.1 Prepaid expenses 137.6 168.8 Total current assets 2,109.8 2,177.1 Other assets: Equity investments 195o2 195.3 Repair parts inventories 234.1 254.2 Prepaid pension 745.6 686.1 Insurance receivable for asbestos-related costs 205.3 212.8 Deposits, receivables, and other assets 527.8 383.7 Net assets held for sale 409.6 Excess of purchase cost over net assets acquired, net of accumulated amortization of $502.8 ($405.3 in 1998) 3,294.4 3,314.9 Total other assets 5,202.4 5,456.6 Property, p~ant, and equipment: Land, at cost 163.8 169.1 Buildings and equipment, at cost: Buildings and building equipment 813.6 835.2 Factory machinery and equipment 4,121.6 3,960.4 Transportation, office, and miscellaneous equipment 156.0 138.1 Construction in progress 335.8 291.3 5,590.8 5,394.1 Less accumulated depreciation 2,146.7 1,967.1 Net property, plant, and equipment 3,444.1 3,427.0 Total assets $10,756.3 $11,060.7 Consolidated Balance Sheets Millions of dollars, except share amounts December 31, 1999 1998 Liabilities and Share Owners' Equity Current liabilities: Short term loans $ 128.9 $ 158.3 Accounts payable 520.1 534.9 Salaries and wages 95,0 92.9 U.S. and foreign income taxes 26.5 30.9 Current portion of asbestos-related liabilities 85.0 85.0 Other accrued Habilities 340.8 333.9 Long-term debt due within one year 76.8 91,2 Total current liabilities 1.273.1 1,327.1 Long-term debt 5,733.1 5,667.2 Deferred taxes 407.4 325.0 Nonpension postretirement benefits 314.9 338.4 Other liabilities 483.0 690.4 Commitments and contingencies Minority share owners' interests 194.9 240.6 Share owners' equity: Convertible preferred stock, par value $.01 per share, liquidation preference $50 per share, 9,050,000 shares authorized, issued and outstanding 452.5 452.5 Exchangeable preferred stock 4.0 18.3 Common stock, par value $.0t per share, 250,000,000 shares authorized, 156,851,337 shares issued and outstanding, less 10,000,000 treasury shares, (155,450, 173 issued and outstanding in 1998) 1.6 1.5 Capita~ in excess of par value 2.201.9 2,183.1 Treasury stock, at cost (22S.6) Retained earnings 284.1 7.3 Accumulated other comprehensive income (368.6) (190.7) Total share owners' equity 2,349,9 2,472.0 Total liabilities and share owners' equity $10,756.3 $11,060.7 see accompanying statement of significant Accounting Policies and Financial Review Owens-illinois/~Innuai Repod 2000 Consolidated Results of Operations Years Pnded Del:ember 31, 2000 1999 1998 NPI sales $ 5,552.1 $ 5,522.9 $ 5,306.3 Royalties and net teclmical assistance 25.3 30.3 26.6 Equity earnings 19.8 22.3 16.0 hLleresl ~.5 28.5 29.2 Other 1~.1 182.7 121.2 5~814.8 5,786.7 5,499.3 Manufacturff~g, sl~ppff~, ~d de~ve~)' 4,~.1 4,296.4 4,075.6 Research and development ~.7 37.5 36.4 E~neer~ 31.3 42.2 34.8 Sel~n~ and adn~strativo 2~.1 295.6 274.2 hfi.eresl ~.7 425.9 380.0 Other 9~.5 191.3 489.3 6,2~.4 5,288.9 5,290.3 Earnings (loss) before items belmv (391.6) 497.8 209.0 Pro~skm (cre¢~t) ~r ff~come taxes (1~.9) 185.5 66.7 {247.7) 312.3 142.3 M~o~ty share o~ers' ~nterests m earrings of subsidiaries ~.0 13.2 20.2 E arm~Bs (loss) before extraordma~ items (269.7) 299.1 122.1 Ex[ raordfftm~ charges from early extb~g~shment of debt, net of app~cable k~come taxes (0.8) (14.1) Net ean~gs (loss) (~.~ 298.3 108.0 Basic earrags (loss) per share of cotton stock: Earr~gs (loss) before extraord~ items $ (2.~) $ kS0 $ 0.71 Extraort~a~ charges (0.01) (0.09) Net ear~gs (loss) $ (2.N) $ 1.79 $ 0.62 D~uted eani~gs (loss) per share of cone:on stock: Earr~gs (loss) before extraord~ items $ (2.~) $ 1.79 $ 0.71 Extraor&na~ charges (0.01) (0.09) Net eanm~s (loss) $ (2.~) $ 1.78 $ ().62 Consolidated Balance Sheets Milllolls <?f dollGTL'; Decentber 31. 2000 1990 (~urrent assets: Cash, inchldh~g thee deposits of $61.2 ($1 i3.4 in 19993 S ~8.7 $ 257.1 Short term investments 183 32.1 Receivables, less allowanees of $69.9 ($56.9 in 1999) for losses and discom~ts ~.8 856.4 Invenlories ~.4 826.6 Prepaid expenses 1~.0 137.6 ~[~>tal c'un'ent assds 2,~1.7 2,1 ( )9 .~ l~]quity inveslmcnls 181.4 195.2 Repair paris invenlories 232,0 234.1 Prepaid pension 770,9 745(3 Insurance receivabk! for ashestos-rolaed costs ~.~ 205.3 Deposits. receivables, a~d other assets ~,6 527.8 of $597.7 ($5(32.8 in 19993 3,101.0 3,294,4 T,I~ ot her assets 4,9~.6 5,202.4 Property, plant, and equipment: 8 Land. at cost 165,1 163.8 Buildings and equipment, al cos1: Builders and bu~d~g eqmpment 817,1 813.6 I."actor~ machine5~ and equipment 4,~1.0 4,121.6 %ansportalion, office, and ~seeHaneous eqmpment 1~.5 156.0 ConsLruction in progress 2~.7 335.8 5,G~.4 5,590.8 Less accumulated depreciation 2,~.5 2,146.7 Net prvperty, plant, and equipment 3,~.8 3,444.1 Total assets S 10,~.2 $10,756.3 Consolidated Balance Sheets Z )court tb~ 'r 3 ], 20~ 1999 Liabilities and ShaPe OwnePs' Equity ( ',tlt'r~.lfi liabilities: Short tcrnt loans S ~.~ $ 128,9 Accotu/ls payahl~ 5~.7 520.1 Salaries a~vI wages ~.8 95.0 US, and tbre~gn income taxes ~1.4 26.5 (;nrrent l~oHion o[ asbeslos-rt-lated liabilities 1~.0 85.0 Olhcr accriied liabilities R~.I 340.8 L<mg L~rm debt d~e Mthm one year ~ 76.8 ~lBlal current liab~ities 1,818.~ 1,273.1 Long-term debt ~,1~.~ 5,733.1 Deferred taxes 2lS.t 4074 Nonpension pusLretirement benefits ~.1 314.9 Olher lialMHUies ~.~ 391.8 Ashesters-related liab~ities ~.7 91.2 Minority share o~ners' h~terests Convegible preferred stock, par value $,01 per share, liquidation preference $50 per share, 9,050,000 shares authorized, issued a~d ouLsLandh~g ~.~ 452.5 Exchangeable prefen'ed stock Conunon stock, p~ v~ue $.01 per share, 250,000,000 shares authorized, 156,973,143 shares issued ark outstandh~g, ess 12,018,70 ) treasu~' shares at December 31, 2000 (156,851.337 issued and outst~dk~g, less 10 000,0O0 Lreasu~ shares at December :31, 1990) 1.1 1.5 Capital i,~ excess of par value ~,~.1 2,201.9 %'easu~ stock, al cost {t~.8) (225.6) Rclained eat~ngs (defici0 {I.4) 284.1 Accumulated o~hcr c{~mprehensive income (loss) 1~.4) (368.6) 'lbt~ share o~ers' eqm~y 1,~.~ 2,349,9 Total liab~ties ~d share orators' eqmty 8 1~,~.2 $10,756.3 Holiday pay is calculated as follows: Eight (8) Hour schedule - For each listed holiday not worked, employees shall receive eight (8) hours pay at their base hourly wage rate. For each listed holiday worked, employees shall be paid time and one half (11/2)for all hours worked, in addition to holiday pay of eight (8) hours at their base hourly wage rate. Twelve (12) Hour schedule - For each listed holiday not worked, employees shall receive (12) hours holiday pay at their base hourly wage rate. For each listed holiday worked, employees shall be paid time and one half (11/2) for all hours worked, in addition to holiday pay of twelve (12) hours at their base hourly wage rate. When a listed holiday falls on an employees regular day off, he shall be paid eight (8) hours base pay at straight time provided all other eligibility requirements are met. Both eight (8) and twelve (12) hour employees will receive the above pay with shift differential, if applicable. Holidays falling within a vacation period shall be paid in addition to the vacation, as long as the employee works the last scheduled day before vacation, and the next scheduled day after vacation. No additional time off will be given. Vacation Pay Vacation pay is calculated by taking your current hourly rate (rate at the time vacation pay is requested), and multiplying it by the number of vacation hours to which you are eligible. Holidays There will be eight (8) designated holidays. 1 ). New Year's Day 2). Memorial Day 3). Independence Day 4). Labor Day 5). Thanksgiving Day 6). Christmas Day 7). Easter 8). One Floating Holiday (to be determined by management) The plant may be scheduled to operate on any of these holidays. In order to be eligible for holiday pay, an employee must have completed their payroll probationary period of 30 working days prior to the holiday and must work the full last scheduled day before the holiday, and the next scheduled day after the holiday. Vacatioll$ Vacations are earned and scheduled on a calendar year basis. An employee earns his first vacation after completing one year of service provided at least 1000 hours are worked Years of Service Vacation 1 year One week 2-9 years Two weeks 10 or more years Three weeks Vacations are defined by Monday-Sunday. Vacation time does not accumulate from year to year. Any employee that has not requested their pay will be paid automatically by the last pay period of the year. Benefits -Total Compensation Program All full time employees of Owens-Brockway are included in the Total Compensation Program. The value of Owens-Brockway employee benefits adds about 40% to your regular wages. The program provides: Life Insurance Accidental Death & Dismemberment Weekly Disability Income Health Care Insurance, includes: Dental Care, Vision, Prescription and Hearing Employee Assistance Program Long Term Savings Plan (401 (k)) Health Care Reimbursement Account Child Care Reimbursement Account Educational Assistance Paid Holidays and Vacations Directors and Officers Directors Officers Joseph H. Lemieux Joseph H. Lemieux Jeffrey A. Denker Uhiqf l~rec.linc' (di~c:ct c Vi .j'Ex,,cutfi,e Officcu' Larff A. Gri~th Thotu~ L. Young R. Scott ~mb~l V%~ ',. Prc.~id~..t, Geitcr~tl Robert J. Dineen Wc~' P~7'.~idcHt, (;t'.eu'~/i (Thcti~vnnH rff'lht' ~uard, Te~ L. ~l~son Phtql ic lfifi~t ir'.~ Grmul~ Ge'~teFctl ,'~[n ~vtf/f'FGerald J. Lemie~ Edw~d A. Gi~y Vire' Pre~ide.f, (;efttrod Mewbdt ql'KKf? & Co L.L. U.. Thomas L. Yo~g Dotth:,sl ic Ght,~s Kuhltu,~7] A'l'e~z'is Rc~t~e,~'t~ & ( 7o, L I~ A4nfiHi.~h'atiu. ~t~ttl Gr.ficizd Michael D. McD~iel Jmnes H. Greene, Jr. C, mtim,fitol IWT ~'ulH.ffe~flie's Membe,F cff'KA~ & (7u LLC. Da~d G. Va Hooser /hi' fie ,m,>'t~Z p,~TtHr. r Q/' Sell ior Vice' l~rr~sicte~gt rz H4 P~p McWeeny l(¢fl~ibeKct Kr. uis R,4~v>'ts & Cr,, L.H C:/Hqf'FiHutlc:ictl ()ff~cer ~Tce Presiclc,t, Gqm'Htl Robert J. Lmfigms John Bathey (7h(t/t. fi,lH Efitr~riltt.$ Vic'e PFesi(tetfi, Olctss C'om. heer Gilberto Restrepo ,%'~tles culd M~u'kelitLq Vwt, PF~,SiHt'~H, G,~Hcrrtl MtlHft[ivt, John J. McMac~n~ Jr. lxttit? 4merk'm? Glass Membe>; Williams & JP~zse,~t, PC. James W. Bae~en ~chael ~ Michelson ('n~orczte Se~crr'tar/i Peter J. Robinson M<,mber ~'K~ & Cu L.L.C. t'e'cre P>'esidc.l. Ucttc'~ct[ the geezeroil porlfier QI' Joseph V. Conda Asi~t P..cific A2fi?ibe~Lg Kravis Rcdwrts ,~ Cu., L.H Vic'e Prvsid,:.it. Geteer~tl A4o~ ogPi; Prescri]~tio~z Products RobeR A. Smith George R. Robe~s V/on PTesid~Hl. 7bc:hfih'ttl Dircc'tur Manngi?lg blqfiff~r'rQfKAW ~q (:u L L F. Thom~ E. Coyle the ge~zeml partner q[' Vice Prcside?~l, Din~otc.' cZf Frm~eo Todiseo A'utdbeRf Kt'ct~,/.~ Re,bet'Is & Cu, L.D Md. rkc'lifig arid Bttsittqss ])~'uel Vice' PTcsidt~fiL G~ ~HCFrtl L. Richard Cra~ord Vice l~rt~si4e,L Mc~Hil~tctu rim/ Edward C. ~ite R. Scott Trambull Terry L. Wilkiso~ Thomas L. Young David G. Van Hooser Prepared by: David Schoon, Eco. Dev., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5236 RESOLUTION NO. 01-238 A RESOLUTION ESTABLISHING A COUNCIL ECONOMIC DEVELOPMENT FUND. WHEREAS, the City Council has adopted the 1997 Iowa City Comprehensive Plan, which identifies economic well-being goals and strategies; and WHEREAS, one of the Comprehensive Plan's economic well-being goals is to consider financial incentives and programs to facilitate achieving the Plan's other economic well-being goals; and WHEREAS, the City Council Economic Development Committee has recommended the establishment of a Council Economic Development Fund. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. It is in the public interest for the City of Iowa City to encourage economic development through the establishment of a Council Economic Development Fund. 2. The Council Economic Development Fund will receive an initial allocation of $500,000. 3. The City shall allocate Council Economic Development Funds to eligible projects as generally outlined in Attachment A of this resolution 4. The Economic Development Committee, with the assistance of the City Manager, is hereby authorized to prepare and make available a program description and application forms for the Council Economic Development Fund. Passed and approved this 31st day of July ,20 01 · Ap / .<:~/ It was moved by Champion and seconded by 0'Donnell the Resolution be adopted, and upon roll call there were: Resolution No. 01-238 Page 2 AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn Resolution No. 01-238 Page 3 ATTACHMENT A COUNCIL ECONOMIC DEVELOPMENT FUND Eligible Projects: The Iowa City Comprehensive Plan identifies the following goals. Projects and programs that support these goals will receive priority consideration: · Diversify and increase the property tax base by (1) encouraging the retention and expansion of existing industry and (2) attracting industries that have growth potential and are compatible with existing businesses. · Increase employment opportunities consistent with the available labor force. · Provide and protect areas suitable for future industrial and commercial development. · Cooperate with local and regional organizations to promote economic development within Iowa City. · Improve the environmental and economic development health of the community through efficient use of resources. Eligibility Guidelines: Projects and programs will be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines. Form of Funding: Funding is available in the form of grants, forgivable loans, and loans. Loans are encouraged over grants and forgivable loans. Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a 1 O-year term and the loan interest rate should be at least ~% above the 90-day Treasury bill rate, but is negotiable. · Projects should start substantial activities within 90-days of receiving a commitment of City funding. · Jobs created or retained should be maintained for at least 3 years from the date of completion of the project. Ecodev/res/Council ED Fund,doc City of Iowa City MEMORANDUM Date: April 12, 2001 To: City Council From:-- Re: Economic Development Funds Descriptions and Eligibility Guidelines and Economic Development Financial Assistance Program Application Forms At its June 28, 2001, the Council Economic Development Committee, by a vote 3-0, voted to recommend Council adoption of economic development financial assistance program descriptions and eligibility guidelines as well as application forms for the following economic development financial assistance tools: 1. CDBG Economic Development Fund 2. Council Economic Development Fund 3. Council Economic Development Capital Improvement Fund 4. Commercial/Industrial Tax Increment Financing 5. Commercial/Industrial Property Tax Exemption 6. Partial Industrial Property Tax Exemption Attached are previous memos to the Council Economic Development Committee regarding these issues and the most up-to-date program descriptions, eligibility guidelines and application forms for each. On the Council's agenda are three resolutions, one each to establish the CDBG Economic Development Fund, the Council Economic Development Fund, and the Council Economic Development Capital Improvement Fund. (Note: Items 4 through 6 are established through specific state code requirements.) Each resolution establishes each fund, identifies the amount of funding for each fund, how the funds will be allocated, and gives the Economic Development Committee the authority to prepare and make available a program description and application forms for these funds. If the Council adopts the resolution establishing the CDBG Economic Development Fund, the Council will then want to direct the Housing and Community Development Commission to consider the amount of federal funds to annually set-aside for this fund. At its June 28 meeting, the Council Economic Development Committee recommended, by a vote of 3-0, that the Council annually set- aside 9% of federal funds for economic development projects. If the Council directs the Housing and Community Development Commission to take action on the Committee's recommendation, an amendment to the CITY STEPS Plan would be required since the Plan currently identifies that 5% of federal funds be allocated towards economic development projects. Cc: Kadn Franklin Steve Nasby Kevin O'Malley u :~res~eca dev strategy~cdbg~coundl memo - ed fund descriptions & guidelines.(~oc City of Iowa City MEMORANDUM Date: June 19, 2001 To: Economic Development Committee From: David Schoon, Economic Development Coordinator Re: Agenda Items for June 21, 2001 Economic Development Committee Meeting Economic Development Financial Assistance Program Descriptions and Eligibility Guidelines and Draft Economic Development Financial Assistance Program Application Forms. Enclosed you will find basically the same packet of information as was in your May 17, 2001, Committee packet. The information regarding the economic development financial assistance program descriptions & eligibility guidelines is the same. The only change to the information regarding the application forms for economic development financial assistance is the addition of the application form for economic development support projects. As was highlighted in the May 11 memo, this form would be used for such projects as job training programs, microenterprise development training project, or business development marketing programs for specific areas of the community, such as downtown. Annually Setting Aside a Percentage of CDBG Funds for Economic Development Projects During the previous CDBG allocation process, the Committee recommended that the Council annually set aside a percentage of CDBG funds for economic development projects. At that time the Committee did not recommend a specific percentage. Since we are in between funding allocation periods, this would be an appropriate time to discuss and make a recommendation regarding the percentage of funds that should be set aside. The 2001-2006 CITY STEPS Plan targets 5% of federal community development funds (CDBG and HOME funds combined) towards economic development activities. The previous CITY STEPS plan targeted 9%. The percentage had been reduced in the current plan by the Housing and Community Development Commission (HCDC) and the City Council due to the low level of use during the previous five years. The following summarizes possible options and the steps that would be required to achieve each option. Option #1 - Council sets aside 5% of federal funds for economic development projects (Approximately $84,500 in FY02) To accomplish this option the City Council would need to adopt a resolution setting aside 5% of federal funds for economic development projects, which would be administered by the Economic Development Committee and the full City Council. Option #2 - Council sets aside more than 5% of federal funds for economic development projects (For example, 9% would have been approximately $152,000 in FY02). Since allocating greater than 5% would be contrary to the 2001-2006 CITY STEPS Plan, the City Council would need to amend the CITY STEPS Plan. Then the City Council would need to adopt a resolution setting aside a specific percentage of federal funds for economic development projects, which would be administered by the Economic Development Committee and the full City Council. As a reminder, during the most recent funding cycle HCDC and the City Council allocated $125,000 for two economic development projects. The two projects included the Extend the Dream Foundation project and a new business venture, Ruby's Pearl. u:\liles\eco dev strategy\edc memo for 6-21 mtg .doc City of Iowa City M MORANDUM Date: May 11, 2001 To: Council Economic Development Committee d~~ From: David Schoon, Economic Development Coordinat Re: Agenda Items for May 17 Economic Development Committee Meeting Economic Development Financial Assistance Program Descriptions & Eligibility Guidelines Attached is a copy of the revised Economic Development Financial Assistance Program Descriptions and Eligibility Guidelines. This revised copy includes changes suggested by Economic Development Committee members at your last meeting. Descriptions are provided for the following programs: · CDBG Economic Development Fund · Council Economic Development Fund · Council Economic Development Capital Fund · Commercial/Industrial Tax Increment Financing · Commercial/Industrial Properly Tax Exemption · Partial Industrial Properly Tax Exemption As you once again review the document, keep in mind the goal of each program. As written, some of the programs, such as the Council Economic Development Capital Improvement Fund, target specific projects that expand the property tax base, while other programs, such as the Council Economic Development Fund, target a number of different types of projects and programs. After you discussion on May 17, the Committee may be prepared to send a recommendation to the full Council regarding these financial assistance program descriptions and eligibility guidelines, or the Committee may choose to wait on sending a recommendation until you have had a chance to thoroughly review the various application forms for economic development financial assistance. Application Forms for Economic Development Financial Assistance Attached you will find copies of the following three application forms for economic development financial assistance. The following briefly summarizes for which of the financial assistance programs each of these applications forms would be used: · Cityof Iowa City Application for Business FinancialAssistance · This application form would be used when financial assistance is requested for a specific business venture (it would not be used for a development proiect such as Sycamore Mall): · CDBG Economic Development Fund · Council Economic Development Fund · Council Economic Development Capital Fund · Commercial/industrial Tax Increment Financing · Commercial/Industrial Property Tax Exemption (Could potentially apply, but presently does not) · Application for Property Tax Exemption Under the Central Business District Urban Revitalization Plan · Commercial/Industrial Property Tax Exemption · App~cation for Industrial Property Tax Exemption · Partial Industrial Property Tax Exemption Staff is looking for your comments on the first application form, the City of Iowa City Application for Business Financial Assistance. The other two application forms are based upon code of Iowa requirements. As you review this form, remember that in order to evaluate a project based upon the guidelines included with the project descriptions, we must ask a number of questions to have the information on which to base a decision. In addition to these three forms, an additional form will need to be prepared for those economic development projects that are not directly for a business venture. This would include such items as job training projects, microenterprise development training projects, or business development marketing programs for specific areas of the community, such as downtown. At your next meeting, staff will present such an application. Policy Designating Additional Urban Renewal Areas (TIF Districts) and Urban Revitalization Areas (Property Tax Exemption Areas) As shown on the map in the Economic Development Financial Assistance Programs and Elibility Guidelines document, the City presently has three urban renewal tax increment financing districts for commercial and industrial proiects: · Northgate Corporate Park · Scott-Six Industrial Park · Sycamore and First Avenue The City also has designated two urban revitalization property tax exemption areas for commercial projects: · Central Business District · Near Southside Commercial In the near future, the City Council will consider the designation of a TIF district in the City- University Urban Renewal Area (the City's original urban renewal area in the central business district area). The purpose of this TIF district would be to provide financial assistance for a development project on Parcel 64-1 a. Soon the City may have a total of six TIF districts and property tax exemption areas for commercial and industrial uses. When and in what areas to designate additional incentive areas is at the Council's discretion. The Council may take a policy of reacting to requests for additional areas or a more proactive, targeted approach to designating additional areas. This would be an appropriate time with the adoption of financial assistance programs and descriptions to have this discussion. ECONOMIC DEVELOPMENT FINANCIAL ASSISTANCE PROGRAMS AND ELIGIBILITY GUIDELINES CITY OF IOWA CITY 2001 CDBG Economic Development Fund Available Funding FY2002: $0 FY2003: To be determined. Eligible Projects: Economic development activities that benefit low and moderate income (LMI) persons and are within one of the following categories: · Area Benefit. Activity will benefit an area, which must be predominately residential, where 51% or more of the residents are LMI (the attached map identifies areas within Iowa City that would qualify). · Job Creation. Permanent jobs will be created of which 51% or more are either "available to" or "held by" LMI persons. · Job Retention. Permanent jobs will be retained, of which 51% or more are "held by" LMI persons. (Jobs retained must be held by LMI persons at the time of assistance, or be expected to turnover to LMI persons within two years). · Limited Clientele. 51% of the direct beneficiaries are assumed to be LMI persons (i.e. job training facility for persons with disabilities). CITY STEPS identifies the following economic development strategies that should be supported with CDBG funds: 1. Provide employment training and education. 2. Encourage employment opportunities that pay at least a living wage (including opportunities for persons with disabilities). 3. Provide employment support services. 4. Encourage the expansion and retention of business and industry that pays at least a living wage. The above strategies can be achieved through the following activities. CITY STEPS identifies the following projects as the highest priority projects 1 ) micro-businesses, 2) business technical assistance, and 3) other economic development needs, such as downtown streetscape improvements. Eligibility Guidelines: All projects and programs must meet the eligibility guidelines and requirements of the Community Development Block Grant Program (see attached). Projects that provide direct assistance to a private business for job creation and retention purposes will also be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines (see attached). Form of Funding: Funding is available in the form of grants, forgivable loans, and loans. Loans are encouraged over grants and forgivable loans. 2 \\citynGdschoon$\~les\eco dev strategy\cdbg\program guidelines 2doc Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a 1 O-year term and the loan interest rate will be negotiated between the applicant and the City. · Projects are encouraged to pay a living wage, approximately $9.00/hr in 2000. · Projects should start substantial activities within 90-days of receiving a commitment of City funding. · Jobs created or retained must be maintained for at least 3 years from the date of completion of the project. 3 \\citynt\dschoon$\~les\eco dev strategy\cdbg\program guidelines 2.doc It [l' [,"i. ~ · UNIVI.;I "': , L ' Low/Mod II1Coltle HOUsehOlds · "'; ',i Low&Moderate Inc. ' ' [ "~:",":'. ."~:WaterArea : '" ' ['lCensus PlaCe , i . ... Streets : ' Populated Place Council Economic Development Fund Available Funds FY2002 & Beyond: $500,000 Eligible Projects: The Iowa City Comprehensive Plan identifies the following goals. Projects and programs that support these goals will receive priority consideration: · Diversify and increase the property tax base by (1) encouraging the retention and expansion of existing industry and (2) attracting industries that have growth potential and are compatible with existing businesses. · Increase employment opportunities consistent with the available labor force. · Provide and protect areas suitable for future industrial and commercial development. · Cooperate with ]ocal and regional organizations to promote economic development within Iowa City. · Improve the environmental and economic development health of the community through efficient use of resources. Eligibility Guidelines: Projects and programs will be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines (see attached). Form of Funding: Funding is available in the form of grants, forgivable loans, and loans. Loans are encouraged over grants and forgivable loans. Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a I O-year term and the loan interest rate should be at least ¼% above the 90-day Treasury bill rate, but is negotiable. · Projects should start substantial activities within 90-days of receiving a commitment of City funding. · Jobs created or retained should be maintained for at least 3 years from the date of completion of the project. 4 \\citynt\dschoon$\~les\eco dev strategy\cdbg\program guidelines 2.doc Council Economic Development Capital Improvement Fund Available Funds FY2002-2005: Fiscal Committed Funds Available Total Year Funds Funds 2001 $700,000, North Airport Commercial Area None $700,000 2002 None $700,000 $700,000 2003 $700,000, Mormon Trek Extended, Hwy 1 to 921 None $700,000 2004 $300,000, Mormon Trek Extended, Hwy 1 to 921 $300,000 $600,000 2005 None $700,000 $700,000 Eligible Projects: Projects must demonstrate that they directly expand the property tax base of Iowa City. · Public infrastructure improvement projects (such as street, water main, and sewer line extensions) that help expand the property tax base will have the highest funding priority. · Eligible projects also include site improvements, new building construction, building expansions, and building rehabilitations. · Projects that stabilize or restore the value of property, such as fa(2ade improvements and interior buildouts, may also be considered but will have a lower priority. Eligibility Guidelines: Projects will be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines (see attached). Form of Funding: Assistance will be in the form of public infrastructure improvements, loans and/or forgivable loans to businesses. Loans are encouraged over forgivable loans. Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a 1 O-year term and the loan interest rate will be at least ~/2% above the 90-day Treasury bill rate. · Projects should start substantial activities within 90-days of receiving a commitment of City funding. 5 X\citynt\dsch~3en$\~les\eco dev strategy\cdbg\program guidelines 2,doe Commercial/Industrial Tax Increment Financing Available Funding: Amount of available tax increment financing is dependent upon the amount of new taxable property value added to a property. Eligible Projects: Commercial/industrial capital projects located within the following Urban Renewal/TIF Districts (see attached maps): · Scott-Six Industrial Park Urban Renewal Area · Northgate Corporate Park Urban Renewal Area · Sycamore and First Avenue Urban Renewal Area · And any future areas so designated. Eligibility Guidelines: Each Urban Renewal/TIF District has its own specific eligibility guidelines. Refer to the Urban Renewal Plan for each area. Projects that provide direct assistance to a private business for job creation and retention purposes will also be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines (see attached). Form of Funding: TIF financing is available in the form of public infrastructure improvements, forgivable loans, or property tax rebates. Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council approval. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Projects should start substantial activities within 90-days of receiving a commitment of City funding. · Projects that provide direct assistance to a private business for job creation purposes will have to maintain the created or retained jobs for a period of years to be determined project by project. 6 \\citynt~dschoon$\files\eco dev strategy~cdbg\program guidelines 2doc City of Iowa City Commercial/Industrial Areas Tax Increment Financing Districts Northgate Corporate Park Scott Six Industrial Park Sycamore and First Avenue Commercial/Industrial Property Tax Exemption Available Funding: Amount of property tax savings is dependent upon the amount of new taxable property value added to a property. Eligible Projects: Commercial/industrial capital projects located within the following Urban Revitalization Areas (see attached maps): · Central Business District Urban Revitalization Area · Near Southside Commercial Urban Revitalization Area · And any future areas so designated. Eligibility Guidelines: Eligible projects in either urban revitalization area must meet the following guidelines: · Qualified real estate includes real estate assessed as commercial property. Only the non-residential commercial component of a commercial property would qualify for property tax exemption. However, any reuse of a historic structure assessed as residential (owner-occupied housing - condominium units for example), residential commercial (rental housing), or non-residential commercial property shail be considered qualified real estate and thus eligible for property tax exemption. · Eligible construction includes rehabilitations, additions, and new construction. However, new construction that requires the demolition of structures identified in the Urban Revitalization Plans as historic and/or architecturally significant is not eligible for property tax exemption. · In order to be eligible for property tax exemption and prior to the issuance of a building permit, the exterior design of any qualifying project must be either 1 ) reviewed by the staff design review committee and approved by City Council or 2) reviewed and approved by the Historic Preservation Commission. In order to be considered eligible for property tax exemption, all improvements must increase the actual value of the property as of the first year for which an exemption is received by at least fifteen percent (15%) in the case of real property assessed as commercial property and by at least ten (10%) in the case of real property assessed as residential property. 7 \\citynt\dschoon$\files\eco dev strategy~cdbg\program guidelines 2doc Form of Funding: Qualified commercial projects are eligible for one of the two following property tax exemption schedules: · A partial exemption from taxation on the actual value added by the improvements. The exemption is for a period of ten (10) years. The amount of the partial exemption is equal to a percent of the actual value added by the improvements, determined as follows: First year, eighty percent (80%). Second year, seventy percent (70%). Third year, sixty percent (60%). Fourth year, fifty percent (50%). Fifth year, forty percent (40%). Sixth year, forty percent (40%). Seventh year, thirty percent (30%). Eight year, thirty percent (30%). Ninth year, twenty percent (20%). Tenth year, twenty percent (20%). · A one hundred percent (100%) exemption from taxation on the actual value added by the improvements. The exemption is for a period of three (3) years. Applications Procedures: · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. · Approval Prior to Actual Eligible Improvements Being Made. A person may submit a proposal for an improvement project to the City Council to receive prior approval for eligibility for a tax exemption project. The City Council shall give its prior approval for an improvement project if the proiect is in conformance with the urban revitalization plan · Approval After Eligible Improvements Have Been Made. The owner of an eligible property shall submit the first application for an exemption with the City by February 1 of the assessment year for which the exemption is first claimed, but not later than the year in which all improvements included in the proiect are first assessed for taxation. 8 \\citynt\dschoon$\files\eco dev strategy~cdbg\program guidelines 2,doc City of Iowa City Urban Revitalization Areas Property Tax Exemption Central Business District Near Southside Commercial Near Southside Residential Partial Industrial Property Tax Exemption A va~able Funding: Amount of property tax savings is dependent upon the amount of new taxable property value added to a property. Eligible Projects: Projects that add property value to industrial real estate, research-service facilities, and warehouses and distribution centers. Eligibility Guidelines: Eligible projects are defined as the following: · Industrial Real Estate · Distribution Centers, specifically defined as: A building or storage used primarily for the storage of goods which are intended for subsequent shipment to retail outlets. "Distribution center' does not mean a building or structure used primarily for any of the following purposes: to store raw agricultural products, by a manufacturer to store goods to be used in the manufacturing process, for the storage of petroleum products, or for the retail sale of goods. · Research-Service Facilities, specifically defined as: A building or group of buildings devoted primarily to research and development activities, including but not limited to the design and production or manufacture of prototype products for experimental use and corporate-research services which do not have a primary purpose of providing on-site services to the public. · Warehouse is specifically defined as: A building or structure used as a public warehouse for the storage of goods pursuant to the Code of Iowa, as amended, except it does not mean a building or structure used primarily to store raw agricultural products or from which goods am sold at retail. Form of Funding: Qualified projects are eligible for the following property tax exemption schedule: · A partial exemption from taxation on the actual value added by the improvements. The exemption is for a period of five (5) years. The amount of the partial exemption is equal to a percent of the actual value added by the improvements, determined as follows: First year, seventy-five percent (75%). Second year, sixty percent (60%). Third year, forty-five percent (45%). Fourth year, thirty percent (30%). Fifth year, fifteen percent (15%). () \\dtynt\dschoon$\files/eco dev strategy\cdbg\program guidelines 2 dec Appfications Procedures: · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. · An application for exemption shall be filed by the property owner with the City Assessor's Office by February 1 of the assessment year in which the value added is first assessed for taxation. ] 0 //citynGdschoon$%~les\eco dev strategy\cdbg\program guidelines 2dec CDBG ECONOMIC DEVELOPMENT GUIDELINES (Federal Requirements) Eligible Activities Eligible economic development activities include: (a) The acquisition, construction, reconstruction, rehabilitation or installation of commercial or industrial buildings, structures, and other real property equipment and improvements, including railroad spurs or similar extensions. (b) The provision of assistance to a private for-profit business, including, but not limited to, grants, loans, loan guarantees, interest supplements, technical assistance, and other forms of support, for any activity where the assistance is appropriate to carry out an economic development project. In selecting businesses to assist under this authority, the City shall minimize, to the extent practicable, displacement of existing businesses and jobs in neighborhoods. (c) Economic development services in connection with activities eligible under this section, including, but not limited to, outreach efforts to market available forms of assistance; screening of applicants; reviewing and underwriting applications for assistance; preparation of all necessary agreements; management of assisted activities; and the screening, referral, and placement of applicants for employment opportunities generated by CDBG-eligible economic development activities, includthg the costs of providing necessary training for persons filling those positions. Guidelines for Evaluating and Selecting Economic Development Projects. These guidelines are composed of two components (1) standards for evaluating public benefit and (2) guidelines for evaluating project costs and financial requirements. The standards for evaluating public benefit are mandato~,, but the guidelines for evaluating projects costs and financial requirements are not mandatory. Standards for Evaluating Public Benefit. Each activity must demonstrate that at least a minimum level of public benefit is obtained from the expenditure of CDBG funds under the categories of eligibility governed by these guidelines. I) Job creation & retention standards. An eligible job creation and retention activity is designed to create or retain permanent jobs where at least 51 percent of the jobs, computed on a full-time equivalent basis, involve the employment of low- and moderate-income persons. To qualify under this paragraph, the activity must meet the following criteria: a) For an activity that creates jobs, the recipient must document that at least 51 percent of the jobs will be held by, or will be available to, low- and moderate-income persons. b) For an activity that retains jobs, the recipient must document that the jobs would actually be lost without the CDBG assistance and that either or both of the following conditions apply with respect to at least 51 percent of the jobs at the time the CDBG assistance is provided: i) The job is known to be held by a low- or moderate-income person; or 11 \\citynt\dschoon$\~les\eco dev strategy~cdbg\program guidelines 2doe ii) The job can reasonably be expected to tum over within the following two years and that steps will be taken to ensure that it will be filled by, or made available to, a low- or moderate-income person upon turnover. c) Jobs that are not held or filled by a low- or moderate-income person may be considered to be available to low- and moderate-income persons for these purposes only if: i) Special skills that can only be acquired with substantial training or work experience or education beyond high school are not a prerequisite to fill such jobs, or the business agrees to hire unqualified persons and provide training; and ii) The recipient and the assisted business take actions to ensure that low- and moderate-income persons receive first consideration for filling such jobs. d) As a general rule, each assisted business shall be considered to be a separate activity for purposes of determining whether the activity qualifies under this paragraph, except in certain cases aggregating jobs from a number of separate activities is permissible. See City staff for details. 2) Standards for activities. Activities covered by these guidelines must, in the aggregate, either: a) Create or retain at least one full-time equivalent, permanent job per $35,000 of CDBG funds used (local practice has been to estimate potential financial assistance based on approximately $10,000 per created or retained job); or b) Provide goods or services to residents of an area, such that the number of low- and moderate-income persons residing in the areas served by the assisted businesses amounts to at least one low- and moderate-income person per $350 of CDBG funds used. 3) Where CDBG assistance for an activity is limited to job training and placement and/or other employment support services, the jobs assisted with CDBG funds shall be considered to be created or retained jobs for the purpose of these guidelines. 4) Certain activities may be excluded from these standards. See City staff for exceptions. 5) Ineligible activities. Any activity subject to these guidelines which falls into one or more of the following categories will be considered to provide insufficient public benefit, and therefore may under no circumstances be assisted with CDBG funds: a) The amount of CDBG assistance exceeds either of the following, as applicable: i) $50,000 per full-time equivalent, permanent job created or retained; or ii) $1,000 per low- and moderate-income person to which goods or services are provided by the activity. b) The activity consists of or includes any of the following: i) General promotion of the community as a whole (as opposed to the promotion of specific areas and programs); ii) Assistance to professional sports teams; iii) Assistance to privately-owned recreational facilities that serve a predominantly higher-income clientele, where the recreational benefit to users or members clearly outweighs employment or other benefits to low- and moderate-income persons; iv) Acquisition of land for which the specific proposed use has not yet been identified; and 12 \\citynt\dschoon$\~les\eco dev strategy\cdbgXprogram guidelines 2.doc v) Assistance to a for-profit business while that business or any other business owned by the same person(s) or entity(ies) is the subject of unresolved findings of noncompliance relating to previous CDBG assistance provided by the recipient. Guidelines for Evaluatin~ Project Costs and Financial Requirements. These guidelines are designed to provide a framework for financially underwriting and selecting CDBG-assisted economic development projects which are financially viable and will make the most effective use of the CDBG funds. These guidelines, also referred to as the underwriting guidelines, are to ensure: (1) That project costs are reasonable; (2) That all sources of project financing are committed; (3) That to the extent practicable, CDBG funds are not substituted for non-Federal financial support; (4) That the project is financially feasible; (5) That to the extent practicable, the return on the owner's equity investment will not be unreasonably high; and (6) That to the extent practicable, CDBG funds are disbursed on a pro rata basis with other finances provided to the project. Documentation The applicant and the City must maintain sufficient records to demonstrate the level of public benefit, based on the above standards, that is actually achieved upon completion of the CDBG-assisted economic development activity(ies) and how that compares to the level of such benefit anticipated when the CDBG assistance was obligated. Microenterprise Assistance A microenterprise is a business that has five or fewer employees, one or more of whom owns the enterprise. Microenterprise assistance can take the form of: 1) Providing credit, including, but not limited to, grants, loans, loan guarantees, and other forms of financial support, for the establishment, stabilization, and expansion ofmicroenterprises; 2) Providing technical assistance, advice, and business support services to owners of microenterprises and persons developing microenterprises; and 3) Providing general support, including, but not limited to, peer support programs, counseling, childcare, transportation, and other similar services, to owners of microenterprises and persons developing microenterprises. "Persons developing microenterprises" means such persons who have expressed interest and who are, or after an initial screening process are expected to be, actively working toward developing businesses, each of which is expected to be a microenterprise at the time it is formed. ] 3 \\citynt\dschoon$\files\eco dev strategy\cdbg\program guidelines 2.doc CITY OF IOWA CITY FINANCIAL ASSISTANCE ELIGIBILITY GUIDELINES FOR BUSINESS ASSISTANCE PROJECTS Adopted September 24, 1996 Intent: The City of Iowa City wishes to encourage the establishment and growth of businesses which are consistent with and carry out the "Economic Development Policies, Strategies and Actions for the City of Iowa City." To this end, the City will support and provide financial assistance to individual business establishments. This assistance may take the form of utilizing State and Federal funds targeted at economic development, providing property tax incentives, underwriting the cost of infrastructure improvements, or providing direct loans and grants. The guidelines provided below will serve as a framework for the City Council in making its decisions regarding which businesses should receive publicly funded incentives or assistance. The criteria are based on the Economic Development Policies and the concept that businesses who receive assistance should pay a good wage, provide benefits to their employees, be good citizens, and contribute to the overall economic well-being of the community. Within each of the guidelines there is room for judgment and flexibility by the City Council. Consistent with the City's Economic Development Policies, promising start-up businesses and expansion of existing local businesses will be encouraged. Private Financial Contribution as Compared to Public Assistance Request Higher points to be awarded for: A greater percentage of contribution by the assisted business; A shoaer payback period or expiration for financial assistance; A lower amount of City financial assistance per job. Consistency with Comprehensive Plan/Capital Improvements Program/Economic Development Policies Higher points to be awarded for: Projects not requiring new public capital improvements; A greater contribution by the developer for public infrastructure improvements; Jobs within industry/technology groups on opportunity list; Start-up companies and expansions of existing local operations; A greater amount of property tax base expansion. Quality of Jobs to be Created Higher points to be awarded for: Higher wage rates Full-time, long-term, non-seasonal positions; Commitment to a safe workplace; Contribution to health insurance benefits; Provision of fringe benefits (e.g. vacation, sick leave, retirement plans); Economic Impact Higher points to be awarded for: Contribution to diversification of Johnson County economy Potential for future growth of induslry; Businesses that build on the resources, materials, and workforce of the local community. 14 %\citynt%dschoon$\files\eco dev strateg~Acdbg\program guidelines 2.doc Environmental Impact Higher points to be awarded: The more environmentally sound the company's operation; (e.g. comprehensive energy and resource efficiency programs; comprehensive waste reduction, waste exchange, and recycling programs). The more environmentally sound the company's products/services. (e.g. products/services that expand markets for recycled materials; development of renewable energy resources or products that conserve energy.) Community Involvement Higher points to be awarded: Businesses that have a history of contributing to their communities through volunteer work, financial contributions or other means. New start-up businesses that demonstrate their commitment to becoming involved in the community. General Requirements - Everyapp~icantsh~u~dpr~videaverageh~ur~ywagesf~ra~~newandexistingj~bswhichmeet~rexceed the average county wage rate by industry. Ninety percent of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City). Under special circumstances, consideration will be given to those companies who cannot meet this requirement. - Applicant must have a consistent pattern of compliance with the law and the spirit of the law, including environmental regulations, occupational safety and health laws, fair labor standards, the National Labor Relations Act, and the Americans with Disabilities Act, in order to be eligible for financial assistance. - Applicant must demonstrate the following in order to be eligible for financial assistance: the feasibility of the business venture; the reliability of the job creation and financial estimates; the creditworthiness of the business; that the project would not occur without city financial assistance. - A contract will be executed for any financial assistance awarded. Applicant will be required to repay all, or a prorated share, of the amount of the financial assistance awarded if the applicant does not fulfill the obligations of the contract. ] 5 \\cityn~dschoon$\~les\eco dev strategy\cdbg\program guidelines 2.doc City of Iowa City Application for Business Financial Assistance Business Requesting Financial Assistance: Business Name: Name of Authorized Person to Obligate the Business: Business Address: Business Contact Person: Title: Telephone: Fax: E-mail Address: Business Federal ID#: Date of Application Submittal: Release of Information and Certification NOTE: Please read carefully before signing I hereby give permission to the City of Iowa City (the City) to research the company's history, make credit checks, contact the company's financial institution, and perform other related activities necessary for reasonable evaluation of this proposal. I understand that all information submitted to the City relating to this application is subject to the Open Records Law (1994 Iowa Code, Chapter 22) and that confidentiality may not be guaranteed. I hereby certify that all repre- sentations, warranties or statements made or furnished to the City in connection with this application are true and correct in all material respects. I understand that it is a criminal violation under Iowa law to engage in deception and knowingly make, or cause to be made, directly or indirectly, a false statement in writing for the purpose of procuring economic development assistance from a state agency or political subdivision. SIGNATURE OF COMPANY OFFICER AUTHORIZED TO OBLIGATE BUSINESS: NOTE: The City will not provide assistance in situations where it is determined that any repre- sentation, warranty or statement made in connection with this application is incorrect, false, misleading or erroneous in any material respect. If assistance has already been provided by the city prior to discovery of the incorrect, false or misleading representation, the city may initiate legal action to recover city funds. ecodevlapp-busndoc Section 1: Description of Business and Proposed Project 1.1. Describe in detail the proposed "project" (for example, company relocation, plant expansion, remodeling, new product line, size of building expansion, number of new jobs, amount of investment in machinery and equipment etc.): 1.2. Provide a description and history of business: 1.3. Describe the organizational structure ofthe business, including any parent companies, subsidiaries, sister companies, etc. 1.4. List the names of the business owners and the percent of ownership held by each. 1.5. List the business' five-digit and six-digit North American Industry Classification System (NAICS) codes or the primary and secondary Standard Industrial Codes (SIC codes)). 1.6. Will the project involve a transfer of operations or jobs from any other Iowa City or Johnson County facility or replace operations or jobs currently being provided by another Iowa City or Johnson County company? If yes, please indicate the facility(s) and/or company(s) affected. 1.7. What date will the project begin? Be completed? 1.8. Has any part of the project been started? If yes, please describe. ecodev/app-busn .dec 2 Section 2: Financial Contributions to the Proposed Project 2.1. What type and amount of financial assistance are you requesting from the City (for example, grant, forgivable loan, loan, property tax exemption, tax increment financing rebate, etc.)? 2.1a. If Community Development Block Grant Funds are being requested, please describe how the proposed project addresses the priorities, strategies, and goals cited in CITY STEPS 2001-2006. 2.2. Explain why assistance is needed from the City, and why it cannot be obtained elsewhere. (Specific supporting documentation evidenced by cash flow statements, income statements, etc., is requested.) If the City did not provide financial assistance, could the project proceed? 2.3. In what form is the business contribution to the project? Please explain clearly (for example, sale of stock, equity investments, subordinated debt, etc.). 2.4. Identify all agencies or institutions involved in the project (financial and otherwise) and what their involvement is: 2.5. What type and amount of security will the assisted business provide the City? If no security is offered, an explanation must be provided. Note: as a general rule, for those businesses not publicly traded, personal guarantees are required in addition to other pledged business assets. Mortgage $ What seniority or position? Lien on $ What seniority or position? Personal guarantee $ Other $ None (if none, please explain) ecodev/app-busn.doc 3 2,6. Summary of Project Costs and Proposed Financing Sources SOURCES (Summarize All Sources From Question USE OF FUNDS 2.7) Activity Cost A B C D Land acquisition $ Site preparation $ Building acquisition $ Building construction $ Building remodeling $ Machinery & equipment $ Furniture & fixtures $ Permanent working capital $ (detail:) Other Other $ TOTAL: $ $ $ $ $ 2.7. Terms of Proposed Financing Code Source (include all sources in Question 2.6) Amount Type(~1 Rate Term Source A: $ Source B: $ Source C: $ Source D: $ I Total: $ (~)For example: forgivable loan, direct loan, grant, equity, tax abatement, etc. ecodev/app-busndoc 4 2.8. Generally a decision by the City on this application can be expected within 30 days of receipt of the application. If there is an urgent need for a more immediate decision on this application, please indicate the desired timeframe and the reason for the urgency. Section 3: Quality of Jobs to Be Created 3.1. How many employees are currently employed by the company worldwide (total employment including all locations, subsidiaries, divisions, affiliates, etc.)? 3.2. If an existing Iowa City business, how many total individuals have been employed by the company at the Iowa City facility during the past year? 3.3. If awarded funds, how many new full-time employees will you add to the payroll at the Iowa City facility within 12 and 24 months of the award date? The business acknowledges if it fails to create the jobs pledged below by the end of the project period and maintain them for a period of time (usually 36 months from the date of the award), it may be required to reimburse City funds for the employment shortfall, if the loan/grant was based on job creation. Full-Time: Part-Time: 12 months 12 months Cumulative Cumulative Full-Time: Part-Time: 24 months 24 months Cumulative Cumulative Note: Jobs created or retained using Community Development Block Grant Funds must be "held by" or "available to" low- or moderate-income individuals. 3.4. What is the estimated annual payroll for the new employees resulting from this project? 3.5. What is the starting average hourly wage rate (not including fringe bene~ts) projected to be: For the new employees? For existing employees? For existing and new employees? ecodeWapp-busn doc 5 3.6. In the following table, list positions and hourly rates for each job classification to be created and retained. List of Positions and Hourly Rate for Created and Retained Positions (use additional sheets if needed) No. Hours Hourly Create Retain Position Title Per Week Rate of Pay Note: Every applicant should provide average hourly wages for all new and existing jobs which meet or exceed the average county wage rate by industry. Ninety percant of the project positions should have a wage greater than the federal poverty wage rate for Iowa City (30% of median income for a four person household in Iowa City). Under special circumstances, consideration will be given to those companies who cannot meet this requirement. (Contact the Economic Development Coordinator at the City for current figures.) ecodev/app-busn.doc 6 3.7. Will any of the current employees lose their jobs if the project does not proceed? If yes, how many? Explain why: 3.8. Please describe the types of worker safety programs that would be available for your employees. 3.9. Does the business provide standard medical and dental insurance forfull-time employees? If so, what percentage of the standard medical and dental insurance package expense does the company provide? Section 4: Economic Impact 4.1. Please document how much of your operating expenditures (raw materials, suppodive services, machinery, equipment, and labor) will be spent within Johnson County. 4.2. What Johnson County companies do you expect to sell to that currently buy from non-eastern Iowa companies? What percentage of your sales will fall into this category? 4.3. What other Johnson County companies could be considered to be your competitors? 4.4. How will this project benefit the City/County? 4.5. How will this project grow the property tax base of Iowa City? ecodev/app*busn.doc 7 4.6 Beyond the present project, what future growth potential is there for the Iowa City operation? Section 5: Environmental Impact 5.1. Please describe the energy and resource efficiency programs, waste reduction, waste exchange, and recycling programs at your Iowa City operation. 5.2. Do you use recycled materials in the production of any products or through the provision of any services at your facility? If so, please describe. 5.3. Will you be treating, transpoding, storing, and disposing above ground, on or about your business premises, in tanks or otherwise, for any length of time or for any purpose: petroleum products, agricultural or other chemicals, waste oil or other liquid waste, or any other inflammable, corrosive, reactive, or explosive liquid or gas? If yes, please specify. 5.4. Will the Iowa City operation develop renewable energy resources or products that conserve energy? If so, please describe. Section 6: Community Involvement; Compliance with Law; Repayment Agreement 6.1. Please describe your business' history of centributing to the community through volunteer work, financial contributions, or other means. If a new start-up business, please describe commitment to becoming involved in the community. 6.2. Has the business been cited or convicted for violations of any federal or state laws or regulations within the last five years (including environmental regulations, Occupational Safety And Health laws, Fair Labor Standards, the National Labor Relations Act, the Americans With Disabilities Act)? If yes, please explain the circumstances of the violation(s). ecodev/app-busndoc 6 6.3. Financial assistance from the City of Iowa City requires a repayment clause in the loan agreement with the City. The repayment clause requires a prorated repayment of the financial assistance if the company does not meet its job attainment obligation and other obligations of this agreement. Is the company willing to enter into a loan agreement that contains a repayment clause? Section 7: Required Attachments Check off each attachment submitted. If not submitted, explain why. I~1 Business plan (if new business) Profit and loss statements (3 year historical and 2 year projections) I~1 Balance sheets (3 year historicel and 2 year projections) I~1 Letters of commitment of project funds (from banks, applicant, etc.) I'~ Description of fringe benefits provided to employees Copies of the company's quarterly Iowa "Employer's Contribution and Payroll Report" for the past year and a copy of the most recent monthly payroll register Map indicating the location of the project within the community Cost estimates for construction, machinery/equipment, permanent working capital, and purchases. Certificate of Good Standing from the Iowa Secretary of State or an authorization to conduct business in Iowa. ecodev/app-busn,doc 9 [ ] Certificate of Good Standing from the Iowa Secretary of State or an authorization to conduct business in Iowa. [ ] Certificate of Incumbency listing the current board of directors and current officers if a corporation or a listing of the general partners if a partnership [ ] Corporate resolution authorizing the application for City funds [ ] Corporate signatory authorization naming an officer to execute the City application and City loan documents, if approved [ ] Other Explanation/other comments: Upon review of a submitted application, the City reserves the right to request additional information in order to assist the City with its evaluation of an application. ecodev/app-busn,doc 10 City of Iowa City Application For Economic Development Support Projects Organization Requesting Financial Assistance Organization Name: Name of Authorized Person to Obligate the Organization: Organization Address: Organization Contact Person: Title: Telephone: Fax: E-mail Address: Date of Application Submittal: Release of Information and Certification NOTE: Please read carefully before signing I hereby give permission to the City of Iowa City (the City) to research the organization's history, make credit checks, contact the organization's financial institution, and perform other related activities necessary for reasonable evaluation of this proposal. I understand that all information submitted to the City relating to this application is subject to the Open Records Law (1994 Iowa Code, Chapter 22) and that confidentiality may not be guaranteed. I hereby certify that all repre- sentations, warranties or statements made or furnished to the City in connection with this application are true and correct in all material respects. I understand that it is a criminal violation under Iowa law to engage in deception and knowingly make, or cause to be made, directly or indirectly, a false statement in writing for the purpose of procuring economic development assistance from a state agency or political subdivision. SIGNATURE OF ORGANIZATION OFFICER AUTHORIZED TO OBLIGATE ORGANIZATION: NOTE: The City will not provide assistance in situations where it is determined that any repre- sentation, warranty or statement made in connection with this application is incorrect, false, misleading or erroneous in any material respect. If assistance has already been provided by the City prior to discovery of the incorrect, false or misleading representation, the City may initiate legal action to recover City funds. \\citynt\dschoon$\~les~eco dev strategy~application for economic development support projects.doc 1 Section 1: Description of Organization and Proposed Project 1.1. Describe in detail the proposed "project". 1.2. Descdbe why the proposed project is needed, the goals of the project, and the strategy to achieve these goals (include information from studies/research or other supporting documentation.) 1.3. Describe how the proposed project supports one of the following economic development goals of the City · Diversify and increase the property tax base by (1) encouraging the retention and expansion of existing industry and (2) attracting industries that have growth potential and are compatible with existing businesses. · Increase employment opportunities consistent with the available labor force. · Provide and protect areas suitable for future industrial and commercial development. · Cooperate with local and regional organizations to promote economic development within Iowa City. · Improve the environmental and economic development health of the community through efficient use of resources. 1.4. Provide a description and history of the sponsoring organization and the project, if it is an existing project, 1.5. Provide evidence of your organization's capacity and experience to undertake and complete the proposed project within an established timetable and budget. 1.6. List the names of the organization owners or board of directors, if a not-for-profit organization. 1.7. What date will the project begin? Be completed? \\citynt\dschoon$\~les\eco dev strategy~application for economic development support projects.doc 2 1.8. Has any part of the project been started? If yes, please describe. Section 2: Financial Contributions to the Proposed Project 2.1. What type and amount of financial assistance are you requesting from the City (for example, grant, forgivable loan, loan, etc.)? 2.1a. If Community Development Block Grant Funds are being requested, please describe how the proposed project addresses the priorities, strategies, and goals cited in CiTY STEPS 2001-2006. 2.2. Explain why assistance is needed from the City, and why it cannot be obtained elsewhere. Please provide specific supporting documentation (e.g. grant or loan denial). If the City did not provide financial assistance, ceuld the project proceed? 2.3. In what form is the organization's contribution to the project (e.g. cash, in-kind, etc.)? Please explain clearly. 2.4. Identify all agencies or institutions involved in the project (financial and otherwise) and describe their involvement. \\citynt\dschoon$\files\eco dev strategy~application for economic development support projects.doc 3 2.5. Summary of Project Costs and Proposed Financing Sources SOURCES (Summarize All Sources From Question USE OF FUNDS 2.6) Expense Categories (salaries, equipment, supplies, etc) Cost Applicant City Other (1) Other (2) $ $ $ $ $ $ $ $ $ TOTAL: $ $ $ $ $ 2.6. Terms of Proposed Financing Code Source (include all sources in Question 2.5) Amount Type{i) Rate Term Applicant $ City of Iowa City $ Other (1): $ Other (2): $ ~ Total: $ (~)For example: cash, grant, in-kind contribution, equity, direct loan, etc. 2.7. Generally a decision by the City on this application can be expected within 30 days of receipt of the application. If there is an urgent need for a more immediate decision on this application, please indicate the desired timeframe and the reason for the urgency. \\citynt\dschoon$\files\eco dev strategy~application for economic development support projects.doc 4 Section 3: Economic Impact 3.1 How will this project benefit the City/County? 3.2 How could this project lead to the growth of the Iowa City property tax base? Section 4: Community Involvement; Compliance with Law; Repayment Agreement 4.1 Please describe your organization's history of contributing to the community through volunteer work, financial contributions, or other means. If a new organization, please describe commitment to becoming involved in the community. 4.2 Has the organization been cited or convicted for violations of any federal or state laws or regulations within the last five years (including environmental regulations, Occupational Safety And Health laws, Fair Labor Standards, the National Labor Relations Act, the Americans With Disabilities Act)? If yes, please explain the circumstances of the violation(s). 4.3 Financial assistance from the City of Iowa City may require a repayment clause in the agreement with the City. The repayment clause requires a prorated repayment of the financial assistance if the organization does not meet its obligations of this agreement. Is the organization willing to enter into an agreement that contains a repayment clause? \\citynt\dschoon$\files\eco dev strategy~application for economic development support projects.doc 5 Section 5: Required Attachments Check off each attachment submitted. If not submitted, explain why. Organization plan (if new organization) Profit and loss statements (3 year historical and 2 year projections) Balance sheets (3 year historical and 2 year projections) Letters of commitment of project funds (from banks, applicant, etc.) Map indicating the location of the project within the community Cost estimates for construction, machinery/equipment, furniture & fixtures, and operating expenses. Authorization to conduct business in Iowa. Certificate of Incumbency listing the current board of directors and current officers if a corporation or listing of the general partners if a partnership Organization resolution authorizing the application for City funds [2:1 Organization signatory authorization naming an officer to execute the City application and City loan documents. if approved Other Explanation/other comments: Upon review of a submitted application, the City reserves the right to request additional information in order to assist the City with its evaluation of an application. \\citynt\dschoon$\~les\eco dev strategy~application for economic development support projects.doc 6 APPLICATION FOR PROPERTY TAX EXEMPTION UNDER THE CENTRAL BUSINESS DISTRICT URBAN REVITALIZATION PLAN PRIOR APPROVAL FOR ~ APPROVAL OF COMPLETED INTENDED IMPROVEMENTS IMPROVEMENTS ADDRESS OF PROPERTY: LEGAL DESCRIPTION OF PROPERTY: PROPERTY OWNER(S) NAME: ADDRESS OF OWNER: NAME AND PHONE NUMBER OF CONTACT PERSON: USE OF PROPERTY PRIOR TO IMPROVEMENTS PROPOSED TYPE OF PROPERTY: (Check all that apply): Rental Residential ~ Industrial Owner occupied Commercial ~ Vacant PROPOSED USE QF PROPERTY NATURE OF IMPROVEMENTS: (Check all that apply): (Check all that apply): Residential New construction Commercial Rehabilitation Industrial Additions SPECIFY PROPOSED USE OF PROPERTY AND NATURE OF IMPROVEMENTS (to be continued on separate pages, if necessary): DATE ON WHICH PROJECT RECEIVED IOWA CITY HISTORIC PRESERVATION COMMISSION APPROVAL OR CITY COUNCIL APPROVAL OF THE PROPOSED EXTERIOR RENOVATION: ESTIMATED OR ACTUAL DATE OF COMPLETION: ESTIMATED OR ACTUAL TOTAL COST OF IMPROVEMENTS: ESTIMATED OR ACTUAL COST OF IMPROVEMENTS FOR WHICH EXEMPTION IS SOUGHT: PROPERTY TAX EXEMPTION SCHEDULE SELECTED BY APPLICANT FOR PROJECT (See reverse side for applicable schedule): SIGNATURE OF PROPERTY OWNER: DATE: TAX EXEMPTION SCHEDULES (ll RESIDENTIAL ONLY Qua[iRed residentially assessed property is eligible to receive an exemption from taxation on the actual value added by the improvements. Exemption period 10 years Exemption amount 115% of the actua~ value added by the improvements. Amount of the actual value added cannot exceed ~20,000. The granting of the exemption shall not result in the actual value being reduced below the actual value on which the Homestead Credit is computed. 12) ALL PROPERTY* Qualified real estate is eligible to receive a partial exemption from taxation on the actual value added by the improvements. Exemption period 10 years Exemption amount 1 st year 80% 6th year 40% equal to a percent 2rid year 70% 7th year 30% of the actual value 3rd year 60% 8th year 20% added by the improve 4th year 50% 9th year 20% ments 5th year 40% 10th year 20% (3) ALL PROPERTY* Qualified real estate is eligible to receive an exemption from taxation on the actual value added by the Exemption amount 100% of the actual value added by the improvements (41 RESIDENTIAL AND COMMERCIAL WITH 75% RESIDENTIAL USE Qualified real estate assessed as residential or assessed as commercial consisting of 3 or more living quarters with at least 75% of the space used for residential purposes, is eligible to receive an exemption from taxation on the actual value added by the improvements. Exemption period 10 years Exemption amount 100% of the actual value added by the improvements * Since only the non-resl'dentjal commercial component of a non-historic commercial property qualifies for the tax exemption, only exemption schedules (2) and (3/are available for these projects. FOR AGENCY USE ONLY: THE ABOVE APPLICATION IS/IS NOT IN CONFORMANCE WITH THE REQUIREMENTS OF THE CENTRAL BUSINESS DISTRICT URBAN REVITALIZATION PLAN. PLANNING & COMMUNITY DEVELOPMENT__ DATE: RELOCATION BENEFITS PAID HISTORIC PRESERVATION COMMISSION APPROVAL OR CITY COUNCIL APPROVAL OF EXTERIOR IMPROVEMENTS DATE: HOUSING &INSPECTION SERVICES DATE: BUILDING PERMIT NODS) IOWA C~TY CITY COUNCIL DATE: ASSESSED VALUE BEFORE IMPROVEMENTS ASSESSED VALUE AFTER IMPROVEMENTS ASSESSOR'S PHYSICAL INSPECTION DATE: ASSESSED VALUE FOR WHICH EXEMPTION IS GRANTED: ELIGIBLE OR NON ELIGIBLE FOR PROPERTY TAX EXEMPTION CITY ASSESSOR: DATE: APPLICATION FOR INDUSTRIAL PROPERTY TAX EXEMPTION (Read instructions on the reverse side carefully) IMPORTANT: This application must be filed with your assessor by February 1 of the year in which the property claimed for exemption is first assessed for taxation. However, a single application may be filed upon completion of an entire project requiring more than one year to construct or complete, providing prior approval has been granted by the city council or county board of supervisors. Property Owner Name Property Owner Address Address of Property Claimed for Exemption Proper~y is assessed and used as [] Industrial Manufacturing [] Distribution Center [] Research - Service Facility [] Cattle Facility [] Public Warehouse [] Speculative Shell Building Describe in detail the new construction for which an exemption is claimed. SEE INSTRUCTIONS. 2. Is this exemption being claimed for reconstruction of existing buildings and structures? [] Yes [] No if yes is indicated, you must receive prior approval from your city council or board of supervisors. A statement verifying the granting of such approval must be submitted with this application to your assessor. If prior approval has been granted, describe in detail the reconstruction. 1 hereby swear that the information presented on this application and all attached supporting documents are true, correct and complete. Signature of Applicant Title Date FOR ASSESSOR USE ONLY I have examined this application fur industrial property tax c×emption and hereby certify $ of the final taxable value qualifies for property tax exemption. Assessor Signature Date Any property owner who is dissatisfied with their assessment m~y file a protest with the Board of Review between April 16 and May 5, both dates inclusive, of the year of the assessment. 57-122 (02/00) NOTICE: Any applicant may submit a plan for new construction to the city council or board of supervisors prior to completing this application in order to obtain prior approval for property tax exemption eligibility. Enter the name and address of the property owner claiming exemption. Enter the address of the property for which an exemption is being claimed. Enter how property is assessed and used. Item 1: New construction means new buildings and structures, including new additions to existing buildings and structures. You are required to present an accurate and detailed description of the new construction, the date constmction began or will begin, the anticipated date the construction will be completed, and the cost of the entire new constmction project. Attach additional pages if necessary. Item 2: Reconstruction of existing buildings is not eligible for a property tax exemption unless the following conditions are met: (a) Reconstruction is required due to economic obsolescence. (b) Reconstruction is necessary to implement recognized industry standards for the manufacturing and processing of specific products. (c) Reconstruction is required to continue to competitively manufacture or process specific products. IMPORTANT: Reconstruction must meet the above conditions and approval must be granted by the Iowa Department of Economic Development. A written approval must be received from the county board of supervisors or city council prior to submitting this application to your assessor. The written al~nroval is to be attached to the application form. If prior approval has been granted, complete Item 2 on the application by describing in detail the type of building being reconstructed, the exact nature of the reconstruction, the date reconstruction began or will begin, and the cost of the entire reconstruction project. Attach additional pages if necessary. This application must be signed by the property owner and submitted to the city or county assessor in which the property is located no later than Febmary 1 of the year in which the property claimed for exemption is first assessed for tax purposes. However, a single application may be filed upon completion of an entire project requiring more than one year to conslruct or complete providing prior approval has been granted by the city council of county board of supervisors. New construction or renovation of shell buildings by certain organizations must meet the requirements of Iowa Code Section 427.1(27). 57-122 /02/00) MINUTES -CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE THURSDAY, JUNE 28, 2001 - 8:30 AM CITY MANAGER'S CONFERENCE ROOM Members Present: Ernie Lehman, Dee Vanderhoef and Ross Wilburn Members Absent: None Staff Present: Steve Atkins, David Schoon, Ron O'Neil Other Present: Allen Ellis, Rick Mascari, Tracy Overton, Steven Kanner, Irvin Pfab and Sarah Langenberg Call to Order Mayor Lehman called the meeting to order at 8:35AM Approval of Minutes of April 25, 2001 Minutes for the April 25th meeting were approved as submitted. Consideration of a Recommendation to the City Council Reclardin{:l Economic Develol~ment Financial Assistance Proclram Descriptions and EliGibility Guidelines Schoon briefly summarized the item and stated that the Committee had discussed this item at a previous Committee meeting. In response to a suggestion from Vanderhoef, the Committee agreed to change the wording on the CDBG Economic Development Fund description on page 2, so that it would read "streetscape improvements" rather than "downtown streetscape improvements". in response to a question from Vanderhoef regarding the wording of the "Eligibility Guidelines" section of the Commercial/industrial Property Tax Exemption description sheet, Schoon stated that the present qualifying areas (urban revitalization areas) have the same eligibility guidelines; however, future urban revitalization areas may have different guidelines. If different types of guidelines were established for new urban renewal areas, this description sheet would need to change. In response to a question from Vanderhoef regarding the "Low/Mod income Households" map with the CDBG Economic Development Fund description sheet, Schoon stated that the 2000 Census income figures are not out by census tract, but once they are released an updated map will be included. Until that time, the City will still use the 1990 Census information. Lehman asked if the word retail under the "Eligibility Guidelines" section pertaining to the Partial Industrial Property Tax Exemption should be used. Schoon stated that the guidelines are taken directly from the State codes. Recommendation to Council: MINUTES -CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE THURSDAY, JUNE 28, 2001 - 8:30 AM CITY MANAGER'S CONFERENCE ROOM Motion: Vanderhoef moved to recommend to the City Council approval of the Economic Development Financial Assistance Program Descriptions and Eligibility Guidelines. Wilburn second the motion. Motion carried by a vote of 3-0. Consideration of a Recommendation to the City Council Reclardincl Economic Development Financial Assistance Proclram Application Forms. Schoon stated this is the first time the Committee has discussed the application forms as a group. Schoon stated that the Business Financial Assistance Application Form was modeled after the State CEBA application form (Community Economic Betterment Accounts), but this form reflects the requirements to meet the City's financial assistance guidelines. The other application form, Economic Development Support Projects Application, is for projects that foster economic development but are not directly tied to a specific business. The last two application forms are examples for urban revitalization area property tax exemptions and the partial industrial property tax exemption. Lehman stated that the Business Financial Assistance Application form and the Economic Development Support Projects Application form could be adjusted in the future if needed. Vanderhoef suggested that the forms could include a statement that would read that the City might request additional information. Recommendation to Council: Motion: Wilburn moved to recommend to the City Council approval of the Economic Development Financial Assistance Program Application Forms, Vanderhoef second the motion. Motion carried by a vote of 3-0. Consideration of a Recommendation to the City Council Reclardincl Annually SettinQ Aside a Percentaqe of CDBG Funds for Economic Development Proiects. Schoon stated presently in the CITY STEPS Plan there is a target of 5% percent of the federal dollars being made available for economic development activities. That percentage has recently been reduced from 9% percent. There are two potential options, though they are not the only available options. The first is to recommend to the Council that they set aside the 5% percent of the federal funds given that is what is identified in CITY STEPS. The second option would be to recommend a higher percentage. In recant discussions, the Committee discussed increasing it back to 9%, which reflects what use to be in the City Step Plans. Lehman stated that in earlier discussions it had been suggested to create a fund that could be built up to a certain level and wondered if that could be possible with CDBG funds. Schoon stated that when Steve Nasby was last at a Committee meeting this topic was discussed. Nasby stated that only a certain percentage of federal dollars could be carried over from year to year. Depending on the status of other projects awarded funds and how much would be available in the economic development fund would impact how much could be carried over from year to year. Lehman stated that if a meaningful contribution were to be made to someone who needs economic assistance a larger sum many times would make it more appealing because of the requirements of the program. Vanderhoef stated that too little funding could be a setup for failure of the program. Vanderhoef indicated that she could support 10% of the federal funds being set-aside for economic development projects. MINUTES -CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE THURSDAY, JUNE 28, 2001 - 8:30 AM CITY MANAGER'S CONFERENCE ROOM Recommendation to Council: Motion: Wilburn moved to recommend to the City Council that the City Council annually set-aside 9% of federal funds for economic development projects. Vanderhoef second the motion. Motion carried by a vote of 3-0. Update - Business Outreach Proclram - Major Employer Visits. Vanderhoef reported that she visited Goodwill and received some very positive feedback on how the City has worked with them on the stoplight and crosswalk projects. Atkins stated that many people did not have any knowledge that it was CDBG monies that helped in the construction of the new Goodwill parking lot. Lehman stated that he would like a memo to the Council in regards to the Chesapeake Display and Packaging Company and the positive comments made by the plant manager of his working with City staff to get his building open and the business operating. Review of Any Business Development Proposal Not Previously Listed on the Aqenda None. Other Business None. Adjournment Motion: To adjourn carried a vote of 3-0. 07-31-01 Prepared by: David Schoon, Eco. Dev., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5236 RESOLUTION NO. 01-239 A RESOLUTION ESTABLISHING A COUNCIL ECONOMIC DEVELOPMENT CAPITAL FUND. WHEREAS, the City Council has adopted the 1997 Iowa City Comprehensive Plan, which identifies economic well-being goals and strategies; and WHEREAS, one of the Comprehensive Plan's economic well-being goals is to consider financial incentives and programs to facilitate achieving the Plan's other economic well-being goals; and WHEREAS, another of the Comprehensive Plan's goals is to diversify and increase the property tax base by (1) encouraging the retention and expansion of existing industry and (2) attracting industries that have growth potential and are compatible with existing businesses; and WHEREAS, the City Council Economic Development Committee has recommended the establishment of a Council Economic Development Capital Fund, with the main purpose of assisting projects that directly expand the property tax base of Iowa City. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. It is in the public interest for the City of Iowa City to encourage economic development through the establishment of a Council Economic Development Capital Fund. 2. The Council Economic Development Capital Fund will receive an annual allocation of no more than $700,000. 3. The City shall allocate Council Economic Development Capital Funds to eligible projects as generally outlined in Attachment A of this resolution 4. The Economic Development Committee, with the assistance of the City Manager, is hereby authorized to prepare and make available a program description and application forms for the Council Economic Development Capital Fund. Passed and approved this 31st day of July ,20 01 Resolution No. 01-239 Page 2 It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab × Vanderhoef X Wilburn Resolution No. 01-239 Page 3 Council Economic Development Capital Improvement Fund Eligible Projects: Projects must demonstrate that they directly expand the property tax base of Iowa City. · Public infrastructure improvement proiects (such as street, water main, and sewer line extensions) that help expand the property tax base will have the highest funding priority. · Eligible projects also include site improvements, new building construction, building expansions, and building rehabilitations. · Projects that stabilize or restore the value of property, such as fac~ade improvements and interior buildouts, may also be considered but will have a lower priority. Eligibility Guidelines: Projects will be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines. Form of Funding: Assistance will be in the form of public infrastructure improvements, loans and/or forgivable loans to businesses. Loans are encouraged over forgivable loans. Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a 1 O-year term and the loan interest rate will be at least ~% above the 90-day Treasury bill rate. · Projects should start substantial activities within 90-days of receiving a commitment of City funding. ecodev/res/Council ED Capital Fund.doc 07-31-01 I 21 Prepared by: David Schoon, Eco. Dev., 410 E. Washington St., Iowa City, IA 52240 (319) 356-5236 RESOLUTION NO. 01-240 A RESOLUTION ESTABLISHING A COMMUNITY DEVELOPMENT BLOCK GRANT ECONOMIC DEVELOPMENT FUND. WHEREAS, the City Council has adopted the 1997 Iowa City Comprehensive Ran, which identifies economic well-being goals and strategies; and WHEREAS, one of the Comprehensive Plan's economic weft-being goals is to consider financial incentives and programs to facilitate achieving the Plan's other economic well-being goa~s; and WHEREAS, the City Council has adopted Iowa City's Consolidated Plan, known as CITY STEPS, which is a plan that outlines how the City will use federal, state, and local funds to assist lower income residents with housing, jobs, and services; and WHEREAS, CITY STEPS identifies economic devebpment needs of lower incomes residents; and WHEREAS, the City Council Economic Development Committee has recommended the establishment of a Council Economic Development Fund. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. It is in the public interest for the City of Iowa City to encourage economic development through the establishment of a Community Development Block Grant (CDBG) Economic Development Fund. 2. Beginning with FY03 CDBG funding, the CDBG Economic Development Fund will annually be funded by the Council setting aside a percentage of federal funds received. 3. The City shall allocete CDBG Economic Development Funds to eligible projects as generally outlined in Attachment A of this resolution 4. The Economic Development Committee, with the assistance of the City Manager, is hereby authorized to prepare and make available a program description and applicetion forms for the CDBG Economic Development Fund. Passed and approved this 31st day of July ,20 01 . Resolution No. 01-240 Page 2 A roved It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman '~' O'Donnell X Pfab X Vanderhoef X Wilburn Resolution No. 01-240 Page 3 ATTACHMENT A CDBG ECONOMIC DEVELOPMENT FUND Eligible Projects: Economic development activities that benefit low and moderate income (LMI) persons and are within one of the following categories: · Area Benefit. Activity will benefit an area, which must be predominately residential, where 51% or more of the residents are LMI. · Job Creation. Permanent jobs will be created of which 51% or more are either "available to" or "held by" LMI persons. · Job Retention. Permanent jobs will be retained, of which 51% or more are "held by" LMI persons. (Jobs retained must be held by LMI persons at the time of assistance, or be expected to turnover to LMI persons within two years). · Limited Clientele. 51% of the direct beneficiaries are assumed to be LMI persons (i.e. job training facility for persons with disabilities). CITY STEPS identifies the following economic development strategies that should be suppoded with CDBG funds: 1. Provide employment training and education. 2. Encourage employment opportunities that pay at least a living wage (including opportunities for persons with disabilities). 3. Provide employment support services. 4. Encourage the expansion and retention of business and industry that pays at least a living wage. The above strategies can be achieved through the following activities. CITY STEPS identifies the following projects as the highest priority projects 1 ) micro-businesses, 2) business technical assistance, and 3) other economic development needs, such as streetscape improvements. Eligibility Guidelines: All projects and programs must meet the eligibility guidelines and requirements of the Community Development Block Grant Program. Projects that provide direct assistance to a private business for job creation and retention purposes will also be evaluated based upon the City of Iowa City Financial Assistance Eligibility Guidelines. Form of Funding: Funding is available in the form of grants, forgivable loans, and loans. Loans are encouraged over grants and forgivable loans. Resolution No. 01-240 Page 4 Applications Procedures: · Applications will be reviewed by the Council Economic Development Committee and forwarded, with its recommendation, to the City Council for Council consideration. · Applications must be submitted in the format provided by. the City. · The application process is a public process and subject to the State of Iowa's Open Records Laws, specifically Iowa Code Chapter 22. Other General Guidelines: · Maximum City funding should not exceed 50% of the total project cost. When a private business is being assisted, the owner(s) must provide at least 10% owner's equity. · Loan repayment should not exceed a 1 O-year term and the loan interest rate will be negotiated between the applicant and the City. · Projects are encouraged to pay a living wage, approximately $9.00/hr in 2000. Projects should start substantial activities within 90-days of receiving a commitment of City funding. · Jobs created or retained must be maintained for at Beast 3 years from the date of completion of the project. ecodev/res/CDBG ED Fund doc 07-31-01 22 Prepared by: Mari]yn Kdz, Parks & Rec, 410 E. Washington St., Iowa City, IA 52240 (319)356-5110 RESOLUTION NO. 01-241 RESOLUTION AWARDING CONTRACT AND AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST A CONTRACT FOR CONSTRUCTION OF THE IOWA CITY SKATE PARK PROJECT. WHEREAS, MBA Concrete, Inc. of Iowa City, Iowa has submitted the lowest responsible bid of $303,737.80 for construction of the above-named project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The contract for the construction of the above-named project is hereby awarded to MBA Concrete, 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, subiect to the condition that awardee secure adequate performance and payment bond, insurance certificates, and contract compliance program statements. Passed and approved this 31st day of July ,20 01 Approved by C O It was moved by Wi 1 burn and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner x Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn parksrec/resYskatepark-awd.doc ADVERTISEMENT FOR BIDS IOWA CITY SKATE PARK PROJECT Sealed proposals will be received by the City Clerk of the City of Iowa City, Iowa, until 2:00 P.M. on the twenty-fourth day of July, 2001, or at a later date and/or time as determined by the Director of Parks and Recreation or designee, with notice of said later date and/or time to be published as required by law. Sealed proposals will be opened immediately thereafter by the City Engineer or designee. Bids submitted by fax machine shall not be deemed a "sealed bid" for purposes of this Project. Proposals will be acted upon by the City Council at a meeting to be held in the Council Chambers at 7:00 P.M. on the thirty first day of July 2001, or at such later time and place as may be scheduled. The Project will involve the following: Site Prel~aration and Demolition Earthwork Landscane Accessories Portland Cement and Concrete Work Structural Steel Tubinr~ Storm Sewers and Tilin~ All work is to be done in strict compliance with the plans and specifications prepared by Dunbar/Jones Parmership, of Des Moines, Iowa, which have heretofore been approved by the City Council, and are on file for public examination in the Office of the City Clerk. Each proposal shall be completed on a form furnished by the City and must be accompanied in a sealed envelope, separate from the one containing the proposal, by a bid bond executed by a corporation authorized to contract as a surety in the State of Iowa, in the sum of 10% of the bid. The bid security shall be made payable to the TREASURER OF THE CITY OF IOWA CITY, IOWA, and shall be forfeited to the City of Iowa City in the event the successful bidder fails to enter into a contract within ten (10) calendar days of the City Council's award of the contract and post bond satisfactory to the City ensuring the faithful performance of the contract and maintenance of said Project, if required, pursuant to the provisions of this notice and the other contract documents. Bid bonds of the lowest two or more bidders may be retained for a period of not to exceed fifteen (15) calendar days following award of the contract, or until rejection is made. Other bid bonds will be returned al~er the canvass and tabulation of bids is completed and reported to the City Council. The successful bidder will be required to furnish a bond in an amount equal to one hundred percent (100%) of the contract price, said bond to be issued by a responsible surety approved by the City, and shall guarantee the prompt paynaent of all materials and labor, and also protect and save harmless the City from all claims and damages of any kind caused directly or indirectly by the operation of the contract, and shall also guarantee the maintenance of the improvement for a period of five (5) years from and after its completion and formal acceptance by the City Council. The following limitations shall apply to this Project: Working Days: 90 Specified Start Date: August 6, 2001 Liquidated Damages: $200.00 per day The plans, specifications and proposed contract documents may be examined at the office of the City Clerk; and Copies of said plans and specifications and form of proposal blanks may be secured at the Office of Dunbar/Jones Parmership, 104 SW 4th Street, Des Moines, Iowa 50309, phone (515) 280- 8026, by bona fide bidders. Drawings and specifications are also available at Construction Update Plan Room, Des Moines and Cedar Rapids offices; and F.W. Dodge Company, Davenport and West Des Moines offices. A $25.00 non-refimdable fee is required for each set of plans and specifications provided to bidders or other interested persons. The fee shall be in the form of a check, made payable to Dunbar/Jones Partnership. Prospective bidders must attend a mandatory Pre-bid conference 9 AM on July I7, 2001 at Meeting Room "A" Iowa City Recreation Center, 220 S. Gilbert Street. Failure to attend pre-bid meeting will disqualify bidder. Prospective bidders are advised that the City of Iowa City desires to employ minority contractors and subcontractors on City projects. A listing of minority contractors can be obtained fi-om the Iowa Department of Economic Development at (515) 242-4721. Bidders shall list on the Form of Proposal the names of persons, firms, companies or other parties with whom the bidder intends to subcontract. This list shall include the type of work and approximate subcontract amount(s). The Contractor awarded the con~'act shall submit a list on the Form of Agreement of the proposed subcon~:actors, together with quantifies, unit prices and extended dollar amounts. By virtue of statutory authority, preference must be given to products and provisions grown and locally produced within the State of Iowa, and to Iowa domestic labor, to the extent lawfully required under Iowa Statutes. The Iowa reciprocal resident bidder preference law applies to this Project. The City reserves the right to reject any or all proposals, and also reserves the fight to waive technicalities and irregularities. Published upon order of the City Council of Iowa City, Iowa. MARIAN K. KARR, CITY CLERK Prepared by: Madlyn Kriz, Parks & Rec, 410 E. Washington St., Iowa City, IA 52240 (319)356-5110 RESOLUTION NO. 01-242 RESOLUTION AWARDING CONTRACT AND AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO A'I'I'EST A CONTRACT FOR RECONSTRUCTION OF THE CITY PARK TRAILS PROJECT. WHEREAS, L.L. Pelling Co. of North Liberty, Iowa has submitted the lowest responsible bid of $266,279.47 for construction of the above-named project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The contract for the construction of the above-named project is hereby awarded to L. L. Pelling Co., subject to the condition that awardee secure adequate performance and payment bond, insurance certificates, and contract complianca 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. Passed and approved this 31st dayof July ,20 01 CIT~ERK It was moved by Pfab and seconded by Wi ] burn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn parksrec/res/cityparktrails-awd dec 07'31'01 I 23 Prepared by: Marilyn Kriz, Parks & Rec, 410 E. Washington St., rowa City, IA 52240 (319)356-5110 RESOLUTION NO. RESOLUTION AWARDING CONTRACT AND AUTHORIZING THE MAYOR TO IGN AND THE CITY CLERK TO A'I'rEST A CONTRACT FOR/' CONSTRUCTION OF THE CITY PARK TRAILS PROJECT. WHEREAS, of has submitted the lowest for construction of the above-named project. NOW, IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The contract for construction of the o e-named projec '~s hereby awarded to adequate pefformano payment bond, in program statements. 2. The Mayor is hereby to sign and the to attest the contract for construction of the ,roject, subject to condition that awardee secure adequate performance and ~nsurance and contract compliance program statements. Passed and approved this day of ,20 A~ roved by ATTEST: CITY CLERK City A rney's Office It was moved by and seconded by the Resolution be adopted, and upon roll AYES: NAYS: ABSENT: Champio Pfab Vanderhoef Wilburn parksredres/cityparktrails-awd.doc ADVERTISEMENT FOR BIDS City Park Trail Improvements 2001 PROJECT Sealed propnsals will be received by the City Clerk of the City of Iowa City, Iowa, until 10:30 A.M. on the 26th day of July, 2001, or at a later date and/ur time as determined by the Director of Public Works or designee, with notice of said later date and/or time to be published as required by law. Sealed proposals will be opened immediately thereafter by the City Engineer or designee. Bids submitted by fax machine shall not be deemed a "sealed bid" for purposes of this Project. Proposals will be acted upon by the City Council at a meeting to be held in the Council Chambers at 7:00 P.M. on the 31st day of July, 2001, or at such later time and place as may be scheduled. The Project will involve the following: 1. Construction of approximately 450 LF of 8' wide PCC sidewalk along Park Road from the Iowa Bridge to the Lower City Park Entrance Driveway. 2. Construction of approximataly 5700 LF of 10' wide ACC Trail through the Lower City Park area. 3. Construction of approximately 350 LF of 22' wide ACC Street. The work included is PCC sidewalk removal, ACC and PCC street pavement removal, curb & gutter removal, grading, import earthem material, PC and AC concrete pavements, subdrains, final grading, fertilizing, seeding, mulching, sodcFmg, tree removal and reloca~on, erosion control, temporary traffic control systems and all related incidentals. All work is to be done in strict compliance with the plans and specifications prepared by Shoemaker & Hadland Professional Engineers, of Coralville, Iowa, which have heretofore been approved by the City Council, and are on file for public examination in the Office of the City Clerk. Each proposal shah be completed on a form furnished by the City and must be accompanied in a sealed envelope, separate from the one containing the proposal, by a bid bond executed by a corporation authorized to contract as a surety in the State of Iowa, in the sum of 10% of the bid. The bid security shall be made payable to the TREASURER OF THE CITY OF IOWA CITY, IOWA, and shall be forfeited to the City of Iowa City in the event the successful bidder fails to enter into a contract within ten (10) calendar days of the City Council's award of the contract and post bond satisfactory to the City ensuring the faithful performance of the contract and maintenance of said Project, if required, pursuant to the provisions of this notice and the other contract documents. Bid bonds of the lowest two or more bidders may be retained for a period of not to exceed fifteen (15) calendar days following award of the contract, or until rejection is made. Other bid bonds will be returned afiar the canvass and tabulation of bids is completed and reported to the City Council. The successful bidder will be required to furnish a bond hi an amount equal to one hundred percent (100%) of the contract price, said bond to be issued by a responsible surety approved by the City, and shall guarantee the prompt payment of all materials and labor, and also protect and save harmless the City ~zom all claims and damages of any kind caused directly or indirectly by the operation of the contract, and shall also guarantee the maintenance of the improvement for a period of five (5) years from and after its completion and formal acceptance by the City. The following limitations shall apply to this Project: Working Days: 65 Specified Start Date: August 21,2001 Liquidated Damages: $200.00 per day The plans, specifications and proposed contract documents may be examined at the office of the City Clerk. Copies of said plans and specifications and form of proposal blanks may be secured at the Office of Shoemaker & Hadland Professional Engineers, 160 Holiday Road, Coralville, Iowa, by bona fide bidders. A $50.00 fee of which $25.00 is refundable is required for each set of plans and specifications provided to bidders or other interested persons. The fee shall be in the form of a check, made payable to Shoemaker & Hadland Professional Engineers. A pre-bid conference for perspective bidders will be held at the Iowa City Park Maintenance Headquarters, 2275 South Gilbert, Iowa City, Iowa on Thursday, July 19, 2001 at 10:00 a.m. Bidders are encouraged to attend to meet with the design engineer and City representatives to discuss project requirements. Prospective bidders are advised that the City of Iowa City desires to employ minority contractors and subcontractors on City projects. A listing of minority conh:actors can be obtained from the Iowa Department of Economic Development at (515) 242-4721. PH-1 Bidders shall list on the Form of Proposal the names of persons, finns, companies or other parties with whom the bidder intends to subcontract. This list shall include the type of work and approximate subcorm'act amount(s). The Contractor awarded the contract shall submit a list on the Form of Agreement of the proposed subcontractors, together with quantities, unit prices and extended dollar amounts. By virtue of statutory authority, preference must be given to products and provisions grown and coal produced within the State of Iowa, and to Iowa domestic labor, to the extent lawfully required under Iowa Statutes. The Iowa reciprocal resident bidder preference law applies to this Project. The City reserves the fight to reject any or all proposals, and also reserves the fight to waive technicalities and irregu- larities. Published upon order of the City Council of Iowa City, Iowa. MARIAN K. KARR, CITY CLERK PH-I Prepared by: Madlyn Kriz, Parks & Rec, 410 E. Washington St., Iowa City, IA 52240 (319)356-5110 RESOLUTION NO. 01-243 RESOLUTION AWARDING CONTRACT AND AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST A CONTRACT FOR CONSTRUCTION OF HUNTERS RUN PARK PROJECT. WHEREAS, L. L. Pelling Co. of North Liberty, Iowa has submitted the lowest responsible bid of $234,561.57 for construction of the above-named project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The contract for the construction of the above-named project is hereby awarded to L. L. Pelling Co., subject to the condition that awardee secure adequate performance and payment bond, insurance cedificates, 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 cedificates, and contract compliance program statements. Passed and approved this 31st day of Ju]y ,20 01 ciT LERK / It was moved by 0' Donne"l ] and seconded by Champ1 on the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion × Kanner X Lehman X O'Donnell ~ Pfab X Vanderhoef Wilburn parksredresJhuntersnjnpk-awd.doc 07-31-01 ~ 24 ": Madlyn Kriz, Parks & Rec, 410 E. Washington St., Iowa City, IA 52240 (319)356-5110./ RESOLUTION NO. "' RESOLUTION CONTRACT AND AUTHORIZING THER~M~F/~R TO SIGN AND CITY CLERK TO A'I'I'EST A CONT FOR CONSTRIJ IUNTERS RUN PARK PROJECT. // / ha ~tt WHEREAS, of s s/.lbm' ed the lowest responsible bid of $ ~truction of the above-named proi¢ct. NOW, THEREFORE, BE IT D BY THE CITY COUNCIL//OF THE CITY OF IOWA CITY, iOWA, THAT: // / 1. The contract for the construction the above-named ect is hereby awarded to , subject to .~ condition that awardee secure adequate performance and payment insurance c and contract compliance program statements. 2. The Mayor is hereby authorized to sign City Clerk to attest the contract for construction of the above-named project, the condition that awardee secure adequate performance and payment bond, insur and contract compliance program statements. Passed and approved this day of ,20 \ Approved ~¥ ATTEST:CITY CLERK City Attorney's'x'~ffice It was moved by and seconded by \the Resolution be adopted, and upon roll AYES: NAYS: ABSENT: \ Champion Kanner Lehman O'Donnell Pfab \ Vanderhoef Wilburn ADVERTISEMENT FOR BIDS Hunter's Run Park Improvements PROJECT Sealed proposals will be received by the City Clerk of the City of Iowa City, Iowa, until 10:30 A.M. on the 26th day of July, 2001, or at a later date and/or time as determined by the Director of Public Works or designee, with notice of said later date and/or time to be published as required by law. Sealed proposals will be opened immediately therea~er by the City Engineer or designee. Bids submitted by fax machine shall not be deemed a "sealed bid" for purposes of this Project. Proposals will be acted upon by the City Council at a meeting to be held in the Council Chambers at 7:00 P.M. on the 31st day of July, 2001, or at such later time and place as may be scheduled. The Project will involve the following: 1. Construction of approximately 650 LF of 4' wide PCC sidewalk along Duck Creek Drive. 2. Construction of approximately 1500 LF of 10' wide ACC Trail through Hunter' s Run Park. 3. Construction of approximately 3200 LF of 6' wide granular trail. The work includes curb & gutter removal, cross mad culverts, AC and PC concrete pavements, granular trail, earthwork, bridge abutments, installation of owner furnish pedestrian bridge, PCC picnic shelter slab, final grading, landscaping, fertilizing and seeding, sodding. temporary erosion control and tomporary traffic control systems and all related incidentals. All work is to be done in strict compliance with the plans and specifications prepared by Shoemaker & Haaland Professional Engineers, of Coralville, Iowa, which have heretofore been approved by the City Council, and are on file for public examination in the Office of the City Clerk. Each proposal shall be completed on a form furnished by the City and must be accompanied in a sealed envelope, separate from the one contaimng the proposal, by a bid bond executed by a corporation authorized to contract as a surety in the State of Iowa, in the sum of 10% of the bid. The bid security shall be made payable to the TREASURER OF THE CITY OF IOWA CITY, IOWA, and shall be forfeited to the City of Iowa City in the event the successful bidder fails to enter into a contract within ten (10) calendar days of the City Council's award of the contract and post bond satisfactory to the City ensuring the faithful performance of the contract and maintenance of said Project, if required, pursuant to the provisions of this notice and the other contract documents. Bid bonds of the lowest two or more bidders may be retained for a period of not to exceed fifteen (15) calendar days following award of the contract, or until rejection is made. Other bid bonds will be retumed al~er the canvass and tabulation of bids is completed and reported to the City Council. The successful bidder will be required to furnish a bond in an amount equal to one hundred percent (100%) of the contract price, said bond to be issued by a responsible surety approved by the City, and shall guarantee the prompt payment of all materials and labor, and also protect and save harmless the City from all claims and damages of any kind caused directly or indirectly by the operation of the contract, and shall also guarantee the maintenance of the improvement for a period of five (5) years from and al~er its completion and formal acceptance by the City. The following limitations shall apply to this Project: Working Days: 65 Specified Start Date: August 20, 2001 Liquidated Damages: $200.00 per day The plans, specifications and proposed contract documents may be examined at the office of the City Clerk. Copies of said plans and specifications and form of proposal blanks may be secured at the Office of Shoemaker & Haaland Professional Engineers, 160 Holiday Road, Coralville, Iowa, by bona fide bidders. A $50.00 fee is required for each set of plans and specifications provided to bidders or other interested persons. The fee shall be in the form of a check, made payable to Shoemaker & Haaland Professional Engineers. A pre-bid conference for perspective bidders will be held at the Iowa City Park Maintenance Headquarters, 2275 South Gilbert, Iowa City, Iowa on Wednesday, July 18, 2001 at 10:00 a.m. Bidders are encouraged to attend to meet with the design engineer and City representatives to discuss project requirements. Prospective bidders are advised that the City of Iowa City desires to employ minority contractors and subcontractors on City projects. A listing of minority contractors can be obtained from the Imva Department of Economic Development at (515 ) 242-4721. PH-1 Bidders shall list on the Form of Proposal the names of persons, furms, companies or other parties with whom the bidder intends to subcontract. This list shall include the type of work and approximate subcontract amount(s). The Contractor awarded the contract shall submit a list on the Form of Agreement of the proposed subcontractors, together with quantifies, unit prices and extended dollar amounts. By virtue of statutory authority, preference must be given to products and provisions grown and coal produced within the State of Iowa, and to Iowa domestic labor, to the extent lawfully required under Iowa Statutes. The Iowa reciprocal resident bidder preference law applies to this Project. The City reserves the right to reject any or all proposals, and also reserves the right to waive technicalities and irregu- larities. Published upon order of the City Council of Iowa City, Iowa. MARIAN K. KARR, CITY CLERK PH-1 Prepared by: Marilyn Kriz, Parks & Recreation, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5110 RESOLUTION NO. 01-244 RESOLUTION NAMING THE MINIPARK ON BENTON STREET "NED ASHTON PARK" WHEREAS, Iowa City's historic Benton Street river crossing is commemorated by a mini-park on the Iowa River Trail; and WHEREAS, Ned Ashton designed the former steel two-lane bridge (1949-1990) which held great significance in the historical development of engineering design and was internationally recognized as one of the first all-welded bridges in the United States; and WHEREAS, the Parks and Recreation Commission recommends that this park be named "Ned Ashton Park" in recognition of Ned Ashton's contributions to the community. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, THAT: 1. The name of said tract of land shall be "Ned Ashton Park." Passed and approved this 31st day of aul y ,2001. Approved by C City Attorney's Office It was moved by Champi on and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman × O'Donnell X Pfab X Vanderhoef × Wilburn parksrec~res~ashtonprk.doc 07-3t -01 Prepared by: Marilyn Kriz, Parks & Recreation, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5110 RESOLUTION NO. 01-245 RESOLUTION ESTABLISHING A REVISED SCHEDULE OF RATES AND CHARGES FOR INTERMENTS, LOT SALES AND OTHER SERVICES IN OAKLAND CEMETERY WHEREAS, Ordinance No. 10-7-3 of the City Code provides for the establishment of a schedule of rates and charges for Oakland Cemetery by resolution; and WHEREAS, the City Council of Iowa City last adopted schedules of rates and charges for interments, lots sales and other services in Oakland Cemetery by Resolution No. 91- 45, and WHEREAS, it is in the public interest to revise said schedule of rates and charges as shown on the attachment, which is hereby incorporated. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, that Resolution No. 91-45 should be and is repealed, and that the attached schedule of fees and charges for interment and other services in Oakland Cemetery is hereby adopted, to become effective August 1,2001. Passed and approved this 31stday of ,]uly ,2001. Approved by It was moved by Champ1 on and seconded by 0' Donne] '1 the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab ~ Vanderhoef X Wilburn parksrec~res~cemeteryrates.doc 7/23/01 PROPOSED RATES AND CHARGES OAKLAND CEMETERY Effective August 1, 2001 PARTIAL TYPE WEEKDAY WEEKEND/ FULL WEEKEND/ HOLIDAY HOLIDAY Infant $70.00 $90.00 $110.00 Youth $270.00 $290.00 $335.00 Adult $500.00 $600.00 $650.00 Cremation $135.00 $170.00 $210.00 Columbarium Niches $135.00 $170.00 $210.00 Non-Resident + 50% + 50% + 50% Disinterment Double the appropriate resident weekday charge (minimum). EQUIPMENT AND ADDITIONAL SERVICES Tent (optional) $50.00 $70.00 $70.00 Lowering Device (optional) $75.00 $100.00 $100.00 Extra Maintenance - Adult, No Vault $140.00 NA NA Finder's Fee NC* $65.00 $65.00 Weekday Overtime Actual Cost NA NA LOT SALES TYPE MONUMENT AREAS FLUSH MARKER AREAS Infant $100.00 NA Youth/Adult $600.00 * * $500.00* * Cremalns NA $200.00 Columbaxium Niches NA $600.00 Non-resident + 50% + 50% * Actual cost when overtime is incurred. * * Can accommodate up to four cremation interments. 7/23/01 SCHEDULE OF RATES AND CHARGES FOR INTERMENTS, LOT SALES AND OTHER SERVICES IN OAKLAND CEMETERY D EFINI TI ONS RESIDENT: For the purpose of these regulations, a resident of Iowa City is a person who resides within the corporate limits of Iowa City. If a lot is purchased while a legal resident of Iowa City, as defined herein, subsequent absence from the city shall not require payment of the non-resident fee on said lots. The resident fee shall also be extended to the spouse of residents, as defined herein, and children of either the resident or the spouse. This pertains only to lots that were purchased as a resident. WEEKDAY OPENING AND CLOSING: All work is done during regular work hours, Monday-Friday, excluding city holidays. The cost of any overtime will be added to the workday charge. PARTIAL WEEKEND/HOLIDAY: The opening or closing is done on a weekend or holiday (or outside normal work hours), and the remaining work is done during regular work hours. FULL WEEKEND/HOLIDAY: All work is done on Saturday, Sunday and/or holiday due to a bona fide religious conviction, and/or health regulations. All arrangements will normally be completed during the regular work week, before 3:00 p.m. on Friday. Exceptions will be made when the interment must take place at a specific time due to a bona fide religious conviction, health regulations, or if extenuating circumstances create extraordinary hardships on family members. HOLIDAY: Paid holiday, when cemetery employees are not regularly scheduled to work. FINDER'S FEE: Lot sale, lot location or lot inspection done after normal weekday hours. city of iowa city PARKS AND RECREATION DEPARTMENT 220 S. Gilbert Street TO: City Manager and City Council FROM: Parks and Recreation Director DATE: July 25, 2001 RE: Oakland Cemetery You will note that two resolutions to adopt cemetery fees and regulations are on the agenda for your July 31st meeting. In view of recent comments and questions, I thought a memo would be in order to bring you up to date with regard to what we have been doing at the cemetery to accommodate our citizens. For a variety of reasons, it has certainly taken longer than we hoped to open the newly expanded section of the cemetery. Because of the various delays, we made a decision several weeks ago to do something we have never done before... we allowed people to reserve lots and columbarium niches in the new section even though they are not allowed to actually purchase them until the new regulations are adopted. At this time, we have reserved 59 lots and 1 niche for future purchase. Beyond this we made the decision to allow for recent burials to be disinterred and transferred to the new section, at no additional expense; three people, the first being last March, have requested this. More recently, we decided to allow immediate need burials in the new section; local funeral homes were advised of this, but to date we have received no such requests. While we certainly regret any inconvenience this may have caused, we have been very flexible, and doing our best to be accommodating. I might add that all parties directly involved have been most amicable. Should you have any questions, please don't hesitate to contact me. 7/23/01 Comparative Information CEMETERY RATES & CHARGES INFANT: Weekday 35 70 100 75 P~ial Weeken~oliday 45 90 200 (Sin.) 100 Full Weeken~oliday 55 110 300 (S~.) 100 CHILD: WeeEay 140 270 450-550 300 P~ial WeekenUHoliday 150 290 800 (Sat.) 325 Full Weeken~oliday 180 335 1,000 (S~.) 325 ~ULT: Weekday 330 500 450-550 400 P~iM Weeken~oliday 375 600 800 (Sat.) 400 F~I Weeken~oliday 400 650 1,000 (S~.) 400 CEMATION: Weekday 80 135 300-400 150 P~iM Weeken~oliday 100 170 500 (Sat.) 150 Full WeekendHoliday 135 210 600 (S~.) 150 COLUMBA~UM NICHES: Weekday NA 135 400 NA P~iM Weeken~oliday NA 170 500 (Sin.) NA Full Weeken~oliday NA 210 600 (S~.) NA ~EKDAY OVERTIME Ac~M Cost Actual Cost 100 NA .: .. ,. ~. ., ,. .;. ..... PRO!'OSED MEMORY ST. JOE'S : ' . :. '. :: :: :] ': ': .....· ': .' .. ~" '7:::.=:, :.... , ,~ARDENS .] MONUMENT AEAS: I~t 56 100 NA 95 Adult 340-408 600 900-1,000 700 Crem~ns NA NA NA 700 (1 or 2) FLUSH ~R AEAS: Inlet NA NA NC 95 Ad~t 310-372 500 410-910 600 Crem~ns 70 200 410-510 600 (1 or 2) COLUMBAMUM NICHES 1,637.50- NA 600 2,137.50 NA NON-ESIDENT Add 50% Add 50% NA NA 07-31-01 ~ 27 Prepared by: Marilyn Kriz, Parks & Recreation, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5110 RESOLUTION NO. 01-246 RESOLUTION ADOPTING REGULATIONS FOR OAKLAND CEMETERY REGARDING THE RIGHTS OF LOT OWNERS, MAINTENANCE PRACTICES AND RULES FOR VISITORS WHEREAS, Ordinance No. 10-7-2 of the City Cede provides for the establishment of regulations governing the operation of Oakland Cemetery by resolution; and WHEREAS, the City Council of Iowa City last adopted such regulations by Resolution No. 77- 126; and WHEREAS, it is in the public interest to revise said regulations as shown on the attachment, which is hereby incorporated. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, that Resolution No. 77-126 should be and is repealed, and that the attached regulations governing the operation of Oakland Cemetery are hereby adopted. Passed and approved this 31~t day of July ,2001. Approved by TY ity orney's ice It was moved by Champion and seconded by Pfah the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab × Vanderhoef X Wilburn parksrec\res~cerneteryregs.doc OAKLAND CEMETERY REGULATIONS Purchase of Lots Persons desiring to purchase a lot or niche in Oakland Cemetery are referred to the cemetery staff. Following the selection of a lot or niche, the prospective purchaser will be given a lot/niche order, which is to be taken to the Finance Department in the Civic Center along with full payment. The transaction will be receipted and a deed will be prepared by the City Clerk and mailed to the purchaser. Cemetery deeds will be placed only in the name(s) of a living person(s), except in the case of a single space purchased by the estate of the deceased when there are no living relatives. At the time of need, the cemetery must be fully paid prior to the opening of the grave or niche. Ownershin Rights The term "lot owner" or "ownership" shall be defined as the fight to use a lot or niche, or part of a lot, as purchased from the City for burial purposes only, and under the existing and subsequent rules and regulations as prescribed by the City for such use. Lots or fractional lots, for which the City has issued lot deeds, will not thereafter be divided except by consent of the City. All lots and niches are exempt from taxation and cannot be seized for debt (except those owed to the Cemetery) nor can they be mortgaged. The City shall have the right to assume, at all times, that the lot/niche owner acquired the lot/niche for the interment of herself/himself and family members. Unless otherwise directed in writing and filed with the City Clerk by the owner, devisees, or heirs, the City will permit the interment of family members at the request of any interested person upon the proof of eligibility for burial as follows: a. The surviving spouse of the loftniche owner shall have the first right to interment or to direct the right of interment. b. When there is no surviving spouse, the devisees or heirs of the owner may, by agreement in writing, determine who among them shall have the right of interment or direction of interment, which agreement shall be notarized and filed with the City Clerk. c. In the event the owner, devisees, or heirs shall not have arranged for future interment, then the devisees or heirs as the case may be, of such owner, shall have the right to interment in order of their need. The City Clerk shall notify the Cemetery personnel of any changes in deed recording. All burial rights in Cemetery lots/niches purchased from the City occupy the same position as real estate at the death of the owner. Only persons whose names appear on the Cemetery records of the City will be recognized as owners or part owners of lots/niches. In the case of the will, a certified copy of the will shall be delivered to the City Clerk before the City will recognize the change in ownership. If the deceased lot/niche owner left no will, satisfactory proof of descent shall be presented. The title of a Cemetery lot/niche invests the owner the right to use such lot(s) for burial purposes only, for themselves, their heirs, or any such person(s) as they may choose to admit, provided such admission is flee of charge and without compensation and in accordance with the Cemetery Rules and Regulations. Loftniche owners may not resell or transfer their lots/niches or parts of lots to anyone whomsoever. Transfer may be made only to the owner's spouse or children by the surrender of the original deed and issuance of a new deed by the City to the new owners of lots/niches or parts of lots so transferred. Loftniche owners desiring to dispose of lots/niche(s) or parts of lots, may upon surrender of the original deeds, sell the lots/niche(s) or part of lots, back to the City for a price not to exceed the original purchase price of the loftniche. Niches cannot be repurchased if any engraving has been done. 2 Certain older lots, no longer usable due to their small size, would have no resale value and are best left open. Said lots could be used, with the permission of the owners or heirs thereof, to further the Cemetery beautification plan. Interment The funeral director, or person(s) making arrangements, for the interment shall, as soon as there is knowledge of a pending service, notify the Cemetery staff. Said notification, including all information pertaining to the gravesite and additional information as required, shall be provided by the funeral director or person(s) assuming responsibility for the service. Based on the information given to them, Cemetery staff will locate the exact site and determine the earliest possible time a service can be held. When definite information for locating the gravesite is not available, the Cemetery staff will exercise its best judgment in making the location. The Cemetery assumes no responsibility for any error in such a location. If a burial permit is required by the Code of Iowa, Chapter 144.32, no burial will be allowed until a burial permit is provided to the Cemetery staff. A charge for opening and closing the grave or niche, as well as the sodding or seeding of the gave, will be made at a current rate set by the City. The payment of said charge becomes the responsibility of the individual(s) in charge of interment. The account becomes due upon receipt of a statement issued by the City of Iowa City. Individuals who make the arrangements, if not a ftmeral director, must make payment prior to the grave or niche opening. Graves shall be dug by Cemetery staff and shall conform to all applicable state laws. Only Cemetery staff shall open niches. A member of the Cemetery staff shall be present at every interment or service. 3 The interment of bodies of persons who have died of a contagious disease shall be in strict accordance with the roles of the State Board of Health. If a permanent type of outer container is not used for the interment, a special charge will be levied to cover the extra maintenance required. Said special charge is listed in the Schedule of Rates and Charges. In areas of Oakland Cemetery established prior to January 1, 2000, the minimum container used for the interment of an adult body shall be an enclosed container with a bottom strong enough to support the weight of the body when lifting at each end. Adult-sized interments made in areas established after January 1, 2000 require a permanent-type container of concrete or other approved material. The interment of more than one body in a single casket will not be allowed except in the case of a parent and infant or two children interred at the same time. The limitation of numbers of cremated remains allowed in one full body grave space purchased prior to July 1, 1991 is regulated only by space. Full body adult graves purchased after June 30, 1991 are limited to a maximum of four cremated remains each and only if planned in advance. In all cases, multiple interments and/or cremated remains, marker regulations must be observed. Interments requiring special consideration(s) of utilizing equipment not normally available to the Cemetery staff could be provided upon request. Adequate time must be allowed for preparation. Fees and charges must reflect the cost of the extra equipment, time and materials. Such practices must be arranged by advance notification. In addition to interment of cremated remains on family lots, there are two areas available for the interment of single cremated remains and a colummbarium for the interment of single cremated remains. Locations and size restrictions can be obtained from Cemetery staff. Exceptions to allowing one cremated remains to a single space or niche will be made only in case of a parent and infant or two children interred at the same time. Only one um may be placed in a niche. Cremated remains must be interred or inumed and may not be distributed into the atmosphere. Single burial spaces for infants/babies are available in two areas - Babyland with 2' x 4' spaces and Innocence with 2.5' x 4.5' spaces. No interments of a body other than that of a human being will be permitted. Should weather become a factor, or when several burials occur in a one (1) or two (2) day period, the Cemetery staff shall schedule interments, working in close cooperation with the funeral directors. To avoid conflict, it will be necessary to honor service communications from the funeral directors according to the time received. Whenever possible, interments will be scheduled to enter Oakland Cemetery no later than 3:00 p.m. Monday through Saturday. Interments that require work being done other than during regular work hours Monday through Friday will be charged extra at the current overtime rate for actual time spent. Interment normally will not be scheduled on Sunday or an official City holiday. Removal Removals of bodies from graves in Oakland Cemetery will be done only by the City, in accordance with the requirements or the statutes of the State and the rules of the State Board of Health. Charges made by the City for removal will be made in accordance with the difficulty of the work and are payable in advance. The minimum charge will be equal to twice the current charge for opening a grave of similar size. Lot owners or their heirs desiring graves opened shall secure the necessary disinterment permit from the State and deliver it to the Cemetery staff. Public Lots Grandview Addition, Lots 60 through 70 and Lots 77 through 78 and Valleyview Lots 53 through 78 and Lots 131 through 156 have now been designated as a burial ground for those persons for whom no other place is provided. The graves will normally be dug in sequence and in an orderly fashion except in the case of a requested reservation of a space for a spouse or sibling(s). The requested reservation shall be made in writing and must be renewed annually. If the person being interred in the reserved space doesn't meet welfare requirements, the space must be purchased at the current rate and the full interment charge must be paid. The Cemetery staff shall record all interments. The west one-fourth (W 1/4) of block thirteen (13) of Oakland Cemetery and any additional space that may be required shall be designated as burial ground for any soldier who died in the service of his/her country and the same is hereby dedicated to all members of the Armed Forces. If no funds are available for the interment of the deceased either from the estate of the deceased or from other private sources, the City of Iowa City will bill the funeral director or person(s) making arrangements for payment of services rendered by Oakland Cemetery. Said billing shall ask that the City of Iowa City be paid for its service to the fullest amount or by not less than 33 1/3% of all available funds. All available funds are the total funds available from Federal agencies, State agencies, County agencies and other private sources. Stone and Monument Work Monument dealers and the purchasers are encouraged to contact the Cemetery office prior to ordering a monument to check on monument restrictions. The City of Iowa City does not engage in stone or monument installation or repair; however, all stone and monument work within Oakland Cemetery shall be subject to the following regulations and requirements: All monuments must either be flush with the ground or be at least four inches (4") in height. The base for all-flush monuments or upright markers must correspond as closely as possible to the contour of the existing soil surface. No monument 6 may be installed in such a fashion that it extends beyond the boundaries of the designated lot or grave, or that will interfere with future grave openings or the movement of the Cemetery maintenance equipment. Monuments and/or foundations may not be wider than 65% of the width of the space or spaces and may not be more than 24" from the front to back. Monuments may not be larger than the base. By request, exceptions may be made on larger lots in areas of the Cemetery that were established prior to 1974 or in areas of the 2001 expansion that will not interfere with the opening of graves or the movement of equipment. Polished bases or monuments polished to the ground are not recommended, and the City of Iowa City or its employees assume no liability for the actual damages in the performance of normal maintenance operations. The setting of monuments and the transportation of all tools, materials, etc., within the Cemetery grounds shall be subject to the supervision and control of the Cemetery management. No unnecessary damage to the existing turf will be allowed, and all debris is to be removed from the Cemetery except soil. Excess soil must either be removed from the Cemetery or may be placed in the Cemetery stockpile. It may not be used to fill in low areas or distributed on adjacent lots. Heavy trucking will not be permitted within the Cemetery when, in the opinion of the Cemetery management, such work might cause damage to the grounds or driveways. Once begun, all monument and stone work is to be completed and any accumulated debris is to be removed from the site within a seven-day period. All work must be done during regular Cemetery hours of operation, Monday through Friday, unless by special permission from the Cemetery management. The local climate is such that marble is not recommended as a suitable material for monument use. Granite is a much more durable stone. Bronze is an acceptable material. Cemetery management must approve other material prior to installation. Only those lot pins set by the City of Iowa City are allowed in areas where lots/spaces are pinned individually. Stone work or monuments of any sort, once established in Oakland Cemetery, may not be removed except by permission of the Cemetery management. Details concerning monument restrictions for specific areas of Oakland Cemetery are found in Individual Lot Restrictions. Vaults and Mausoleums Vaults or mausoleums are not permitted on lots less than 400 square feet and the portion of the lot occupied by the building shall not exceed 25%. In no case will permission be given to set the building nearer to the lot line than five (5) feet. Where the vault or mausoleum exceeds five (5) feet in height, the setback shall be five (5) feet plus one (1) foot for each additional foot or fraction thereof. All applications for permits to erect such structures shall be made in writing to the Cemetery management. Complete plans and specifications of the proposed construction, including details of materials, workmanship, method of construction, etc., shall accompany such an application, and the approval of the City of Iowa City shall be obtained before any construction work is begun. The City of Iowa City reserves the right to prohibit the erection or any structure that is not considered to be safe, suitable, desirable or appropriate. Before any vault or mausoleum may be erected, the lot owner shall pay the City an amount of not less than ten percent (10%) of the cost of the structure. Check is to be made payable to the City of Iowa City and submitted to the Finance Department, and will be used by the City for the future care and maintenance of the structure and grounds. Vaults and mausoleums may be placed only on such lots considered to be appropriate for said purpose by the Cemetery management. Maintenance Practices Oakland Cemetery, a non-perpetual care cemetery, assumes all responsibility for the maintenance of all lots that have been sold or will be sold. All monies previously collected for perpetual care will be held in a separate trust and interest therefrom will be used to maintain graves deeded under perpetual care. Landscaping and maintenance of the Cemetery, including all lots therein, shall be under the direction of the Cemetery staff. Permission for all permanent plantings must be obtained from the Cemetery staff. Permanent plantings that are planted without permission may be removed without notice. Generally, it will not be possible to locate evergreen or shrub plantings directly on the gravesite. In most cases, a nearby location will be designated as part of a group planting to enhance the entire area. Existing individual lot plantings may be trimmed or removed by the Cemetery staff when they have become unsightly or unmanageable. Individual plantings so removed may be replanted as a part of a group planting. No hedges, fences, or enclosures of any kind will be permitted on or around lots. Any objects that are obstructing the general maintenance of the Cemetery shall be removed without notice. Existing enclosures will be removed when they have deteriorated to an unattractive or unsafe condition. Live flowers in plastic or paper mache' containers are most welcome and may be used at all times. Annuals or perennials planted on the graves must be limited to a small area directly next to the monument and must be mulched and tended by the planter. Plantings must be kept weed and grass free, and those that are not tended and become unsightly shall be removed without notice by Cemetery staff. Plantings must be on the respective lot and not extend more 9 then 12" from the monument. The Cemetery staff assumes no responsibility for the preservation, maintenance, or protection of any type of grave decoration. Plants that must be removed for gave opening will be set to the side and are the planter's responsibility to replant. Placement of funeral or special anniversary flowers will be allowed for a period of approximately five days; after this period, they will be removed. Notification of placement of special flowers will be given to the Cemetery Superintendent. Artificial wreaths, artificial flowers, and holiday decorations may be used any time between November 15 and March 1 and for a period of four (4) days before and five (5) days after Memorial Day. After that period, if not claimed, they will be removed from the site. The Cemetery staff assumes no responsibility for lost or stolen articles. The use of flags and emblems may be used for a period of four (4) days before and five (5) days following Memorial Day, but they will be removed and stored, without responsibility for preservation, if still in place on the sixth day following Memorial Day. All wooden boxes, glass jars and bottles, toys, cans, wired flowers, and other objects that might create a mowing hazard will not be permitted during the mowing season except as designated and, when used, will be removed and disposed of by the Cemetery staff without notice. Shepherd's crooks are permitted, but when used they must be placed directly next to the side of the monument with the crook over the monument. All paintings or decorations placed on the crook must comply with all Cemetery decoration rules. Exceptions may be made in Babyland and Immcence sections if approved by the Cemetery management. The City of Iowa City reserves the right for its staff and other persons to enter upon or cross over any lot in the Cemetery when deemed necessary to the performance of normal Cemetery operation. The City of Iowa City reserves the right to move monuments for the purpose of machine digging graves. The City of Iowa City assumes the responsibility for resetting the monument in a timely manner. 10 The City of Iowa City or its employees assume no responsibility for actual damages or mental anguish in the performance of its normal operation, or loss by vandalism or other acts beyond its reasonable control. The lot owner should feel flee to consult with the Cemetery staff regarding any item or clarification of the rules and regulations at any time. Rules for Visitors Visiting hours for the Cemetery are from 7:30 a.m. to 9:00 p.m. Visitors are requested to use designated walks and drives and not to trespass unnecessarily on Cemetery lots, pick any flowers, damage any shrub, tree or plant, or mar or deface any monument, stone or structure in the Cemetery. The use of materials such as are necessary to produce the art form known as rubbings or tracings are prohibited on any monument, stone or statuary within the boundary of Oakland Cemetery. Controlled use permits are required for all special projects or groups entering the Cemetery for purposes other than attending funeral services or a grave visitation. Special use permits are available at the Cemetery office or on the City of Iowa City web page at www. icgov. org. Arrangements must be made well in advance of need. Filming or videotaping of funeral proceedings is not allowed without permission from the immediate family. Brown Street is designated as the entrance and exit for vehicles in Oakland Cemetery. Vehicles traveling within the Cemetery shall observe the hours of visitation as previously stated and shall proceed at a rate not to exceed ten (10) miles per hour. Drivers should be aware at all times of the City's right to alter, change or close alleyways, roadways, and other physical properties of the Cemetery. Firearms will be allowed inside the Cemetery only for use at military funerals. Special permission must be obtained in advance from the Cemetery Superintendent. 11 It is unlawful to bring, cause, or permit a dog or any animal to enter the Cemetery except seeing eye dogs, unless confined inside a vehicle. Individual Lot Restrictions Graceland, lots 1-281, Grandview, Prospect Hill, Fernland, Fairview and all numbered block sections, except for lots numbered above 92 in block 9 and 108 in block 29, are designated as having unrestricted monument privileges that permit the installation of both family monuments and individual grave monuments where the lot area is of sufficient size. The monument must be placed on solid ground and shall not interfere with future grave openings or the movement of Cemetery maintenance equipment. On Graceland Drive, the monument must be on the west for lots 1-110 and lots 160-208. The monument must be on the east for lots 111-159. Additional monuments, if used, must be flush with the contour of the existing ground. Glenview, Cedarview, Sunny Slope, and lots numbered above 92 in block 9 and 108 in block 29 have flush monuments. Only one monument per grave or a double monument, as for husband and wife, for two adjoining graves is permitted. Innocence (an infant/baby area) monuments are restricted to 65% of the width of the space, or 19.5 inches, and may not be more than 9 inches from front to back. The monument must be placed at the west end of the lot. Babyland monuments are restricted to 65% of the width of the space, or 15.6 inches, and may not be more than 9 inches from front to back. The monument must be placed at the west end of the lot. The monument must be on the west end of all lots in Rose Hill, Oak Green, and Graceland lots 282-331. Foot stones, if used, must be flush with the contour of the existing soil. 12 Foot stones may be placed at any time on lots that are 12 feet long, but may be placed after burial only on lots that are 10 feet long. Oak Ridge, lots 1-94 and 285-380: monuments must be flush with the contour of the ground and must be placed at the north end of the lot. Lots 95-188 and 381-439: monuments must be placed at the north end of the lot. Lots 189-284: monuments must be placed at the south end of the lot. Sunrise: Lots 1-39, 105-126, 160-172 and 192-198: monuments must be flush with the contour of the ground and must be placed at the north end of the lot. Lots 40-78, 127-144, 173- 182, and 199-204: monuments must be placed at the south end of the lot. Lots 79-104, 145-159 and 183 - 191: monuments must be placed at the north end of the lot. In Deerview: all monuments must be flush with the contour of the ground and must be placed at the west end of the lot. Forrest Lawn: lots 1-26, 70-80, 129-137, and 162-174: monuments must be flush with the contour of the ground and must be placed at the north end of the lot. Lots 90-108: monuments must be flush with the ground and must be placed at the south end of the lot. Lots 53-69, 109- 118, and 138-146: monuments must be placed at the north end of the lot. Lots 27-52, 81-90, 119-128 and 147-161: monuments must be placed at the south end of the lot. In Oakview: monuments must be flush with the contour of the ground and must be placed at the north end of the lot. Valleyview: lots 27-78, 131-156, 209-236, 284-302, 341-359 and 398-416: monuments must be flush with the contour of the ground and must be at the west end of the lot. Lots 1-62, 105-130, 183-208, 303-321,360-378 and 417-435: monuments must be placed at the west end of the lot. Lots 79-104, 157-182, 237-283,322-340 and 379-397: monuments must be placed at the east end of the lot. 13 Hickoryview: lots 44-85, 166-203, 275-305, 347-356, 380-397, 416-440, 490-514, 569- 598, 654-677, 722-740 and 774-788: monuments must be flush with the contour of the ground and must be placed at the west end of the lot. Lots 1-43, 127-165, 241-274, 327-347, 398-415, 441-464, 515-540, 599-628, 678-699, 741-757 and 789-803: monuments must be placed at the west end of the lot. Lots 86-126, 204-240, 306-326, 357-362, 365-379, 456-489, 541-568, 629- 653,700-721 and 758-773: monuments must be placed at the east end of the lot. Lots 363 and 364: monuments must be flush with the contour of the ground and must be placed at the east end of the lot. Forestview Columbarium: the City reserves the right to approve the design and lettering of any niche face or bud vase. The face of a niche is 12" by 12". All engraving, inscription, lettering, symbols, insignias, etc. are to be cut into the polished face. No coloring or highlighting is allowed. The lettering for the name and dates shall be #9 Condensed Roman. Additional sayings must be #20 Vermarco. Attachments are limited to one small bud vase for cut flowers in the mowing season and artificial when allowed (see maintenance section of rules). No temporary attachments such as tape, wire, string or stickers are allowed. All bud vases shall be of the same style, size and color. Bud vases must be mounted on the right side of the niche and the decorations may not encroach on adjoining niches. Fees and Payments The payment of fees and charges is due when billed by the City. Fees, rates, and charges shall be as specified herein or as established by the City Council. 14 07-31-01 15 Prepared by: Marcia Klingaman, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5237 RESOLUTION NO. 01-247 RESOLUTION APPROVING AN AGREEMENT BETWEEN THE CITY OF IOWA CITY AND THE NATIONAL SCULPTORS' GUILD WITH AND THROUGH ITS ARTIST FOR THE LIBRARY PAD OF THE DOWNTOWN PEDESTRIAN MALL AND AUTHORIZING THE MAYOR TO EXECUTE AND THE CITY CLERK TO A']'I'EST THE SAME. WHEREAS, the Iowa City Public Art Program provides for investment in public art annually; and WHEREAS, a Call to Artists was distributed for sculptors to propose sculptures for throe locations on the downtown pedestrian mall; and WHEREAS, the City Council affirmed the selection of Jane DeDecker's The Ties that Bind for the Library Pad located at the pad adjacent to the Iowa City Public Library on College Street at their October 17, 2000 meeting by adoption of Resolution No. 00-352. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The Agroement between the City of Iowa City and the National Sculptors' Guild with and through its artist Jane DeDecker for the design, fabrication, and the installation of the bronze sculpturo The Ties That Bind for the Library pad of the pedestrian mall, a copy of which is attached hemto, is hereby approved as to form and content. 2. The Mayor is heroby authorized to sign and the City Clerk to attest said Agroement in triplicate. Passed and approved this 31st day of JuLY ,20 01 Approved by ATTEST: ;IT~ERK ~/~ Neighbor/res/tiesbind ,doc Resolution No. 01-247 Page 2 It was moved by Champion and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner ~' Lehman X O'Donnell X Pfab X Vanderhoef X Wilbum CONTRACT FOR COMMISSION THIS CONTRACT FOR COMMISSION is made this ~-I ~-h day of July 200l between the City of Iowa City, 410 East Washington Street, Iowa City, Iowa 52240-1826, (hereinafter called "City"), and the National Sculptors' Guild with and through its Artist, Jane DeDecker, National Sculptors' Guild being a State of Colorado Corporation doing business in Iowa; whose Colorado address is: 2683 North Taft Avenue, Loveland, Colorado 80538 (hereinafter called "Artist"). WHEREAS, the City of Iowa City, Iowa solicited proposals for a Work of public art (hereinafter called '~Vork") to be located at the west entrance to the Iowa City Pedestrian Mall adjacent to the Iowa City Public Library (hereinafter called "Site"), and WHEREAS, the Artist submitted a proposal for the Work pursuant to the City's request for proposals; and WHEREAS, the Artist was selected by the City to design, execute, fabricate and install the Work at the Site; and WHEREAS, the City and the Artist desire to set forth the terms upon which the Artist will produce and install the Work for the City; NOW, THEREFORE, the City and the Artist, for the consideration and under the conditions hereinafter set forth, agree as follows: ARTICLE I. SCOPE OF SERVICES A. General 1. The Artist has designed, and will execute, fabricate, install and document the work as described in Exhibit A attached hereto and incorporated herein by reference. The specifications of the Work are as follows: Title: "The Ties that Bind". Description: a father tying his son's shoe, Dimensions: Life-size Medium Bronze 2. The location for the Work has been determined to be at the Iowa City Public Library on the Iowa City Pedestrian Mall adjacent to the public library. 3. The Artist shall perform all services and furnish all supplies, materials and equipment as necessary for the execution, fabrication, transportation and installation of the Work. 4. The Artist has completed the work in clay and has determined the Artistic expression, scope, design, color, size, context and texture of the Work. 5. The Artist shall be responsible for the payment of all mailing or shipping charges on submissions to the City, the cost of transporting the Work to the site and the costs of all travel and lodging by the Artist and the Artist's agents and employees necessary for the proper performance of the services required under this agreement. B. EXECUTION OF THE WORK I. The National Sculptors' Guild shall complete the installation of the Work and the Artist shall complete fabrication of the Work in conformity with the specifications set forth in Article I, Section A. 1 of this contract upon payment of the Phase 1 installment. 2. The City shall have the right to review the progress of the Work at reasonable times, and with advance notice, during the fabrication thereof. The Artist shall submit such reports regarding the progress of the Work as the City may request. 3. In the execution, fabrication, installation and documentation of the Work, the Artist shall comply with all applicable federal, state and local laws, rules and regulations, including those pertaining to Worker's Compensation insurance. 4. The Artist shall complete the fabrication of the Work on or before January 1, 2002 (hereinafter called 'Completion Date"), provided this contract has been fully executed by all parties and the initial payment received on or before August 3, 2001. If this contract has not been fully executed by all parties hereto by July 31, 2001 the Artist shall complete the fabrication of the Work five months from the date of the execution of this contract. The National Sculptors' Guild shall be avaiIable to install the work at any time after the fabrication has been completed at the direction of the City. 5. The Artist may, up to sixty (60) days before the Completion Date, request in writing an extension of the Completion Date. C. DELIVERY AND INSTALLATION 1. The Artist agrees that the National Sculptors' Guild shall store the Work upon completion and that the National Sculptors' Guild will deliver the work and install it at the Site upon notification by the City. 2. The City shall provide 60 days notice of Installation Date. 3. The National Sculptors' Guild shall be responsible for all expenses, materials, and labor to install the sculpture including a hammer drill to drill the concrete pad to receive the sculpture. The Artist shall deliver and install the completed Work at the Site. 4. The City shall ensure that the pad is clear and accessible to ensure the timely installation of the sculpture. 5. The Artist shall coordinate with the City to prepare the Site for installation. The City shall use its best efforts to arrange to temporarily modify and/or barricade the Site so as to effectively secure the Site and protect the public during installation of the Work. D. POST-INSTALLATION Within thirty days from the date of installation: 1. The Artist shall furnish the City with a full written narrative description of the Work 2. the Artist shall furnish the City with a minimum of six (6) slides, photographs (and negatives), or digital photographs on a disk, which document the process and development of the Work from beginning fabrication through completion. 3. the Artist shall provide to the City, written instructions for appropriate maintenance and preservation of the Work, including moving and reinstallation of the Work 4. the City shall provide and install an identification plaque which shall include the following information: "The Ties that Bind" Jane DeDecker - National Sculptors' Guild Iowa City Public Art Program - 2002 or 2003 E. FINAL ACCEPTANCE 1. The Artist shall notify the City in writing when all services required by the Artist under the Contract (including those described in Article I, Section D) have been completed. The Artist shall, prior to final acceptance, provide the City with such lien and/or claim releases with respect to the Work as the City may require. 2. Within seven days of City's receipt of notification by Artist of completion pursuant to subparagraph I of this section, City will inspect that work and provide Artist with written notice of any deficiencies. 3. Final acceptance shall be determined by the City in its sole and absolute discretion. Such acceptance shall constitute the City's acknowledgement that the Work has been completed and installed according to the terms of this Contract. Notice of final acceptance shall be no later than seven days from the date of Artist's correction of the deficiencies identified by the City pursuant to subparagraph 2 hereof, 4. The City shall notify the Artist in writing of its final acceptance of the Work 5. Title of ownership of the Work shall pass to the City upon final acceptance. 3 F RISK OF LOSS 1. The risk of loss or damage to the Work shall be borne by the Artist until final acceptance, and the Artist shall take such measures as are necessary to protect the work and the materials relating hereto from loss or damage and to insure the Work and the materials relating thereto until final acceptance. 2. The Artist and all employees of the Artist shall each effect and maintain insurance to protect the Artist from claims under workers compensation acts; claims for damages because of bodily injury including personal iniury, sickness or disease, or death of any of the Artist's employees or of any person other than the Artist's employees; and from claims for damages because of injury to or destruction of tangible property; including loss of use resulting therefrom; and from claims arising out of the Artist's performance of professional services caused by errors, omissions, or negligent acts for which the Artist is legally liable. The City shall be shown as an additional insured for general liability. 3. The Artist agrees to indemnify, defend and hold the City and its officers, employees, and agents harmless from any and all loss, cost, damage and expense (including reasonable attorney's fees and court costs) resulting from, arising out of, or incurred by reason of any claims, actions or suits based upon or alleging bodily iniury, including death, or property damage arising out of or resulting from Artist's operations, duties or responsibilities under this agreement, whether such be by Artist himself or by any subcontractor or by anyone directly or indirectly employed by the Artist. 4. Upon final acceptance of the Art Work, the City shall, to the extent permitted by law, and without waiving any immunities available hereunder, indemnify and hold harmless the Artist against any and all claims or liabilities thereafter made in connection with the Art Work, the site, the project or this agreement, except claims by the City against the Artist and claims which may occur as a result of the Artist's breach of the warranties provided in Article 4. ARTICLE II. COMPENSATION A. PAYMENT SCHEDULE 1. The City shall pay the Artist a fixed fee of $35,500, which shall constitute full compensation for all services and materials to be performed and furnished by the Artist under this Contract including all travel and installation costs related to the Work. This price does not include a maquette. 2. The $35,500.00 fee shall be paid in the following phases with each installment except the phase I installment to represent full and final payment for all services and materials provided for that phase: a. Phase 1 -$1,000.00 earnest money upon execution of this Contract. b. Phase 2 - $30,950.00 on or before August 17, 2001. c. Phase 3 - $3,550.00 upon final acceptance. B. FEE STATEMENTS In order to receive the payments described in clauses b. and c. above, the Artist shall submit a statement to the City. ARTICLE IlL TIME OF PERFORMANCE A. CITY DELAY If the Artist is delayed from installing the Work by the Installation Date as a result of action taken by the City, the City shall reimburse the Artist for actual transportation and storage costs incurred for the period between the Installation date and date on which the Site is available to permit installation of the work, if and only if, the transportation and storage cost are incurred as a direct result of the delay by the City. The City shall not be responsible for any transportation and storage costs that the Artist would have been required to pay in the absence of delay caused by the City. B. NECESSARY DELAY Neither the City nor the Artist shall be penalized under the terms of this Contract for delays caused that are beyond each party's control. Delays beyond each party's control shall consist of: Acts of God Death of the Artist Change in federal or state laws affecting the contract Declaration of a State of Emergency by the Governor/President respectively. C. SERIOUS ILLNESS OR DEATH OF Artist In the event of the serious illness or death of the Artist, Jane DeDecker, during the fabrication The Jane DeDecker Studio will be responsible for the completion of the unfinished Work. The National Sculptors' Guild shall be responsible for the installation of the Work. ARTICLE IV. WARRANTIES A. WARRANTIES OF TITLE I. The Artist represents and warrants that: a. the Work is solely the result of the Artistic and creative efforts of the Artist; b. except as otherwise disclosed in writing to the City, the Work is one of an edition of 17 and does not infringe upon any Copyright; and c. the Work is free and clear of all liens from any source whatsoever. 2. The warranties described in this Section A shall survive for so long as the City owns the Work. B. WARRANTIES OF QUALITY AND CONDITION 1. The Artist represents and warrants that: a. the Work, as fabricated and installed, will be free of defects in material and workmanship, including any defects of "inherent vice" or qualities which may cause or accelerate deterioration of the Work; and b. reasonable maintenance of the Work will not require procedures in excess of those described in Article 1, Section D, subsection 3. 2. The warranties described in this Section shall survive for a period of one (1) year after final acceptance of the Work. The City shall give notice to the Artist of any observed breach of these warranties with reasonable promptness. The Artist shall, at the request of the City, and at no cost to the City, cure reasonably and promptly the breach of any such warranties, which is curable and which cure is consistent with professional conservation standard (including, for example, cure by means of repair or refabrication of the Work). 3. The Artist shall not be responsible for any damage inflicted on the Work by third parties or outside forces, whether man-made or from natural causes, which exceed those that the design of the Work should reasonably tolerate. This shall include the wear and tear on the patina due to its placement in a public area. 4. After final acceptance of the Work by the City, the City shall hold the Artist harmless from any and all liability or personal injury to the public, except to the extent covered by the warranties of Article IV, Section B. 1. ARTICLE V. OWNERSHIP OF WORK AND COPYRIGHT A. GENERAL The Artist grants to the OWNER and its assigns a royalty-free, irrevocable license to make two dimensional reproductions of the Art Work for educational and/or non-commercial purposes, including but not limited to reproductions used in advertising, calendars, posters, brochures, media, publicity, catalogues, museum, educational and development proiects, or other similar publications, provided that these rights are exercised in a professional manner. The Artist retains Copyright in and to the work under the Copyright Act of 1976, 17 U.S.C., Section 101, et seq. Each of the figures comprising the Work in its final location at the Site shall be number one of a limited edition. A limited edition is defined herein as consisting of no less than 5 but no more than 20. Any other editions of the Work for public placement shall be located no closer than 100 miles from the city limits of Iowa City, Iowa. It is further understood that the figures may be located and relocated by the City at its sole discretion. The City shall first notify the Artist consistent with Section C herein as to the new location. If the Artist objects to the new location, the only remedy available to the Artist is to request the City to remove the identification plaque referred to in Article 1, Section D, subsection 4 herein. Further, upon written request of the Artist, the City shall not promote the Work as that of the Artist. Provided however, this provision in no way prohibits the City from truthfully responding to inquiries, oral and written, as to the name of the Artist. B. IDENTITY OF ARTIST All two-dimensional reproductions by the City shall contain a credit to the Artist substantially in the following form: Jane DeDecker, National Sculptors' Guild, 2001. C. NOTICES All notices required herein shall be in writing and served upon the parties as follows: National Sculptors' Guild C/o Mr. John Kinkatie/Ms. Nela Huntsinger 2683 N. Taft Avenue Loveland, Colorado 80538 Phone No. (800) 606-2015 City of Iowa City C/o City Manager 410 East Washington Street Iowa City, Iowa 52240-1826 319/356-5237 All notices required herein shall be deemed served when mailed to each party's last known mailing address. It is the responsibility of each party to inform the other of a change in address. If notice cannot be served due to a change in address, which has not been served upon the other party, such party's failure to notify shall be deemed a waiver of notice. ARTICLE VI. SUBSEQUENT EVENTS A. MAINTENANCE The City and the Artist recognize that maintenance of the Work on a regular basis is essential to the integrity of the Work. Therefore, the City shall assure regular maintenance according to the instructions supplied by the Artist as set forth herein under Article 1, Section D.3. and may take action reasonably designed to protect the work against vandalism. B. REPAIRS AND RESTORATION After final acceptance of the Work, the Artist may inspect the Work at his own expense and shall notify the City in writing as to the necessity of any repairs. The 7 City may in its discretion consult with the Artist and make the noted repairs. All such consultations shall be without additional cost to the City. C. ALTERATION OF THE WORK The City will not consent to the intentional alteration, modification or change to the Work. The City shall retain the right to sell or donate the Work to a third party. D. WAIVER OF RIGHTS The Artist understands and agrees that the provisions of this Article VI shall control over the provisions of 17 U.S.C. - 106A (a) and other laws granting the Artist any "moral rights" or similar rights as to the Work, and shall constitute a waiver by the Artist of any rights with the exception of copyright, in the Work set out in or otherwise granted by 17 U.S.C. - 106A (a) or in such other laws. ARTICLE VII. INDEPENDENT CONTRACTOR The Artist performs this contract as an independent contractor and not as an agent or an employee of the City. The Artist shall maintain control, furnish all supervision, labor, materials, equipment, supplies, other incidentals, as well as transportation, shipping and installation of the Work. ARTICLE VIII. ASSIGNMENT The work and services required of the National Sculptors' Guild through its Artist, Jane DeDecker, under this Contract are personal and shall not be assigned, sublet or transferred, except as provided for in Article I11 paragraph C. However, the Artist shall be allowed to employ qualified personnel who shall work under the Artist's supervision. ARTICLE IX. INDEMNIFICATION The Artist shall defend, release, indemnify and save and hold harmless the City against any and all damages to property or injuries to or death of any person or persons, and shall defend, release, indemnify and hold harmless the City from any and all claims, demands, suits, liabilities, actions, causes of actions, or legal or equitable proceedings of any kind or nature, or by anyone whomsoever, in any way resulting from or arising out of the Artist's activities in connection with this Contract, including acts of omissions of the Artist or persons acting under the Artist's control. ARTICLE X. TERMINATION & MEDIATION A. TERMINATION 1. This Contract may be terminated by either party, subiect to thirty (30) days notice, provided that attempts at mediation as set forth in Section B of this article have failed. 8 a. If either the Artist or the City shall willfully or negligently fail to fulfill in a timely and proper manner, or otherwise violate any of the covenants, agreements or stipulations material to this Contract, the other party shall thereupon have the right to terminate this Contract by giving written notice to the defaulting party of its intent to terminate and specifying the grounds for termination. The defaulting party shall have thirty (30) days after receipt of the notice to cure the default. If the default is not cured within such time period, this Contract shall terminate. b. In the event of a default by the City, the City shall promptly compensate the Artist pursuant to Article II for all services performed by the Artist prior to termination, and all finished and unfinished drawings, sketches, photographs and other work products prepared and submitted or prepared for submission by the Artist under this Contract shall at the City's option become its property, provided that no right to fabricate or execute the Work shall pass to the City. c. In the event of a default by the Artist, the Artist shall forfeit the right to any and all remaining payments due under this contract for which Work has not been completed as well as any and all copyrights reserved herein and any and all limited edition rights as defined herein. Then and in that event the National Sculptors' Guild shall be responsible for completion of the Work through the services of one of its other Artists, subject to the written approval of the City. B. MEDIATION If, during the creation of the Work, its installation and subsequent existence, any disputes should arise between the Artist and the City, the parties hereto will mediate their disagreements and make every effort to affect a mutually satisfactory resolution of the disagreements including the appointment of an independent mediator reasonably acceptable to both parties. ARTICLE XI. MODIFICATION No alteration, change or modification of the terms of this Contract shall be valid unless made in writing and signed by the parties hereto. ARTICLE XII. CONFLICT OF LAW Any provision of this Contract, which is hereafter found by a court of law or otherwise to be in conflict with the laws, rules, and/or regulations of the United States or the States of Colorado and Iowa shall be considered null and void. The valid provisions of this Contract shall be severed from the invalid provisions and remain in effect to the extent possible. ARTICLE XII. COMPLIANCE The Artist shall be required to comply with Federal, State, and City statutes, ordinances and regulations applicable to the performance of the Artist's services under this agreement. A. GENERAL TERMS 1. The Artist shall not commit any of the following employment practices and agrees to prohibit the following practices in any subcontracts. 2. To discharge or refuse to hire any individual because of their race, color, religion, sex, national origin, disability, age, marital status, gender identity, or sexual orientation. 3. To discriminate against any individual in terms, conditions, or privileges of employment because of their race, color, religion, sex, national origin, disability, age, marital status, gender identity, or sexual orientation. 4. It is understood and agreed that the retention of Artist by City for the purpose of the Work shall be as an independent contractor and shall be exclusive, but the Artist shall have the right to employ such assistance as may be required for the performance of the Work. 5. It is agreed by the City that all records and files pertaining to information needed by the Artist for the Work shall be available by said City upon reasonable request of the Artist. The City agrees to furnish all reasonable assistance in the use of these records and files. 6. At the request of City, the Artist shall attend such meetings of the City Council relative to the Work set forth in this Agreement as deemed necessary. Any requests made by the City shall be given with reasonable notice to Artist to assure attendance and shall coincide with trips to Iowa City already planned by the Artist. 7. Should any section of this Agreement be found invalid, it is agreed that the remaining portion shall be deemed severable from the invalid portion and continues in full force and effect. 8. Upon signing this agreement, Artist acknowledges that Section 362.5 of the Iowa Code prohibits a City officer or employee from having an interest in a contract with the City, and certifies that no employee or officer of the City, which includes members of the City Council and City boards and commissions, has an interest either direct or indirect, in this agreement, that does not fall within the exceptions to said statutory prohibition enumerated in Section 362.5. ARTICLE XII I. CHOICE OF LAW All conflicts, causes of actions and civil disputes shall be filed in the courts of Iowa. ARTICLE XIV. EFFECTIVE DATE The effective date of this Contract shall be the date of approval by all parties hereto. Attest to: City wa Ci y ~,~% City Clerk an, Mayor 10 (Corporate Seal) Att ~ t: ' Sculptors' Guild I J ' 11 City of Iowa City MORANDUM Date: July 30, 2001 From: i . Re: The Ties that Bind - Con~ The CiW Council is being asked to execute the contact with the National Sculptors' Guild and their ~tist, Jane DeDecker. ~is contact is substantially the same as ~e one approved by CiW Co~cil on M~ch 5, 2001 for Jazz (also represented by the Nadonal Sculptors' Guild) except for ~o components: · The minimum distance ~om Iowa CiW for public placement of the possible 10 editions of ~le Ties that Bind is 100 miles rather than 300 miles as a~eed upon for Jazz. The artist did not care to res~ct the sale of the sculpt~e any f~her and the Public ~ Adviso~ Committee a~eed that they felt their suppo~ and the public support for the sculpture outweighed the need to be as res~ictive. The waffanW period for The Ties that Bind is I ye~ rather than 3 years for Jazz. This decision is at the discretion of the aaist and Jane DeDecker does not provide a longer period. With bronze sculpture, possible defects will show up fairly soon and long tern detedora~on is usually minimal. The sculpture will actually be completed ve~ soon after execution of the contact and placed in storage by National Sculptors' Guild until the libra~ pad is available once the libra~ expansion project is completed. We need to have the contact executed and majoriW of the payment made to secure the quoted price and availabiliW of the sculpture. I will be at your July 30, 2001 work session to answer any questions you might have. cc: M~cia Klingaman indexbcXmemosXl -1 KF.doc The Ties that Bind City Plaza Art Project East Entrance to Pedestrian Mall lowa City, Iowa by Thank you for selecting my work as one of three finalists for the City Plaza. After viewing the site, I would like to propose "The Ties that Bind". This is a representati~nal piece, depicting the interaction and spirit of human nature, It invites the viewer to participate through action or The intimate act of a father tying his son's show draws the viewer to the piece. Children in particular are attracted to participate in the action. When children come into my studio, I've even seen them put their arms around the father's neck. Simple gestures, like stopping to tie a show, become the memories that bind us together. Currently in progress at 110% life-size, this sculpture is 4'H 4'W 4'D and priced at $35,000.00 (excluding shipping}. 1 would suggest placement of a tree near the sculpture for disbursement of heat so that children will be able to play on the sculpture. II I CONTRACT FOR COMMISSION THIS CONTRACT FOR COMMISSION is made this th day of July 2001 between the ity of Iowa City, 410 East Washington Street, Iowa City, Iowa 52240-1826, (here after called "City") and the National Sculptors' Guild and through its Artist, o Taft Avenue, Loveland, Colorado~'Q538 (hereinafter called "Artist"). WHEREAS, ihe City of Iowa City, Iowa solicited for a Work of public art (hereinafter calldll "Work") to be located the Iowa City Pedestrian Mall adjacent to th~.~Iowa City Public Librar, "Site"), and WHEREAS, the Arti~'~submilted a proposal Work pursuant to the City's request for proposals; and WHEREAS, the Artist selected by to design, execute, fabricate and install the Work at the Site; and WHEREAS, the City and ire to set forth the terms upon which the Artist will produce and City; NOW, THEREFORE, the the Artist, for the consideration and under the conditions hereinafter set forth, a as follows: ~COPE OF SERVICES A. General 1. The Artist has and will fabricate, install and document the Work as in Exhibit A hereto and incorporated herein by reference. The s are as follows: "The Ties that Bind". a father tying his son's Dimensions: Life-size Medium Bronze ~I/pwa City Pedestrian Mall adjacent to the public library. 3. The Artist shall perform all services and furnish all supplies, materials and equipment as necessary for the execution, fabrication, transportation and installation of the Work. 4. The Artist has completed the work in clay and has determined the Artistic expression, scope, design, color, size, context and texture of the Work. 5. The Artist shall be responsible for the payment of all mailin charges on submissions to the City, the cost of transporting the Work to the site of all travel and lodging by the Artist and the Artist's agents and emp for the proper performance of the services required under this a B. OF THE WORK 1. The Guild shall complete the Artist shall dete fabrication of the Work with the specifications set forth in I, Section A. 1 ~ayment of the Phase 1 installment. 2. The City shall have to review the of the at reasonable times, and with advance during the The Artist shall submit such reports as the City may request. 3. In the execution, documentation of the Work, the Artist shall comply with all state and local laws, rules and regulations, includin Compensation insurance. 4. The Artist shall complete the of the Work on or before January 1, 2002 (hereinafter called has been fully executed by all parties and the on or before August 3, 2001. If this contract has not fully by all parties hereto by July 31, 2001 the Artist shall complete ~f the Work five months from the date of the execution of this The Sculptors' Guild shall be available to install the Work any time afier fabrication has been completed at the direction of the City. 5. The Artist may, up to (60) days before the ompletion Date, request in C. DELIVERY AND ON that the National Gui 1 t notification by the Ci' 2. The City shall ~ 60 days notice of Installation Date. 3. The National shall be responsible for all expenses, materials, and labor to install the sculpture including a hammer drill to drill the concrete pad to receive the sculpture. The Artist shall deliver and install the completed Work at the Site. 4. The City shall ensure that the pad is clear and accessible to ensure the timely installation of the sculpture. 5· The Artist shall coordinate with the City to prepare the Site for shall use its best efforts to arrange to temporarily modify so as to effectively secure the Site and protect the public during ' of the Work· D. Within thirty ~ the date of installation: 1. The Artist shall City with a full description of the Work 2. the Artist shall fumish with a ' ' of six (6) slides, photographs (and negatives), or which document the process and development of the 3. the Artist shall provide to written instructions for appropriate maintenance and including moving and reinstallation of the Work 4. the City shall provide and install: ue which shall include the following information: aJ~}~ "The Ties Jane eDecker - Nat Guild Iowa ~ty Public Art Pro - 2002 or 2003 E. FiNAL ACCEPTANCE 1. The Artist shall notif the City in writing when required by the Artist under the Contract 'ncluding those described Section D) have been b o Artist with w ' ten notice of any deficiencies. . 3. Final accept nce shall be determined by the City in its sole and absolute Notice of final acceptance shall be no later than seven days from the date of Artist's correction of the deficiencies identified by the City pursuant to subparagraph 2 hereof. 4. The City shall notify the Artist in writing 5. Title of ownership of the Work shall pass to the City upon final ~ F RISK OF LOSS 1. The risk of ~r damage to the Work shall be bome the Artist until final Artist shall take such measures as to protect the Work and the relating hereto from loss and to insure the Work and the relating thereto tmtil final 2. The Artist and all em shall and maintain insurance to protect the Artist laims under ~ensation acts; claims for damages because of bodily including p, injury, sickness or disease, or death of any of the Artist's or other than the Artist's employees; and from claims of injury to or destruction of tangible property; including therefrom; and from claims arising out of the Artist's 1: services caused by errors, omissions, or negligent acts for which liable. The City shall be shown as an additional insured for iability. 3. The Artist agrees to indemnify, hold the City and its officers, employees, and a loss, cost, damage and expense (including reasonable attomey's and resulting from, arising out of, or incurred by reason of suits based upon or alleging bodily injury, including death, ising out of or resulting from Artist's operations, duties or is agreement, whether such be by Artist himself or by subcontractor or by or indirectly employed by the Artist. / 4. Upon final acceptance of e Art Work, the City shall, extent permitted by law, and without waivi any immunities available indemnify and hold harmless the Artist gainst any and all claims or li :s thereafter made in connection with the Work, the site, the project or agreement, except claims by the City agai st the Artist and claims which r r as a result of the Artist's breach of the arranties provided in Article 4. I E IL COMPENSATION 4 A. PAYMENT SCHEDULE 1. The City shall pay the Artist a fixed fee of $35,500, which s all constitute full eompensation for all services and materials to be performed d furnished by the Artist under this Contract including all travel and installat' n costs related to the Work. This price does not include a maquette. 2. The $35,500.00 fee shall be paid in the following p, ases with each installment except the phase I installment to represent full and ~nal payment for-all services and materials provided for that phase: B. FE S E In order to receive the and c. above, the Artist shall submit a statement to the City. / ARTICLE III. / A. CITY DELAY If the Artist is delayed from ~y the Installation Date as a result of action taken by the City, the shall the Artist for actual transportation and storage costs incurred the period the Installation date and date on which the Site is to permit the work, if and only if, the transportation and of the delay by the City. The City shall not be responsible for and storage costs that the Artist would have been required to pay I caused by the City. B. NECESSARY DEL~/Ir Neither the City n the Artist shall be penalized under the Contract for delays caused th are beyond each party's control. eyond each party's control shall con st of: Acts of God Death of the ist Change !n fed ral or state laws affecting the contract In the event of the serious illness or death of the Artist, Jane DeDecker, during the fabrication The Jane DeDecker Studio will be responsible for the completion of the 5 unfinished Work. The National Sculptors' Guild shall be responsible for the installation of the Work. ARTICLE IV. WARRANTIES A. WARRANTIES OF TITLE 1. The Artist represents and warrants that: a. the Work is solely the result of the Artistic and creative efforts of the Artist; b. except as otherwis~ in writing to the City, the Work is unique and original and does not c. the Work is ~ whatsoever. 2. The warranties described in Section A shall so long as the City owns the Work. B. WARRANTIES OF QUALITY AND ~ 1. a. the Work, as fabricated will be free of defects in material and workmanship, 'inherent vice" or qualities which may cause or accelerate deterioration and b. reasonable maintenance require procedures in excess of those described in Article I 2. The warranties described in for a period of one (1) year after final The to the Artist of any observed breach of these The Artist shall, at the request at no cost to the and promptly the breach of any which is which cure is consistent with professiona co ~ ation standard (including, Me, cure by means of 1 n. rv repair or refabricatio;tt of the Work). \ those that the d 'sign of the Work should reasonably tolerate. This shall include the wear and te on the patina due to its placement in a public area. 4. After final a ceptance of the Work by the City, the City shall hold the Artist 6 ARTICLE V. OWNERSHIP OF WORK AND COPYRIGHT A. GENERAL The Artist grants to the OWNER and its assigns a royalty-free, irrevocable license to make two dimensional reproductions of the Art Work for educational and/or development projects, or other similar publications, provided that thesg rights are the Work in its final location at the shall be number one of a~limited edition· A limited edition is defined herein of no less than 5 but no more than 10. Any other editions of the Work for public located no closer than 100 miles from the city limits of Iowa City, Iowa. It is further understood that the figures ,e located and relocated by the City at its sole discretion. The City shall first notil~ consistent with Section C herein as to the new location. If the Artist objects to thelocation, the only remedy available to the Artist is to request the City plaque referred to in Article I, Section D, subsection 4 herein. Further, uest of the Artist, the City shall not promote the Work as that of the Artist. Prov however, this provision in no way prohibits the City from truthfulb ' 'oral and written, as to the name of the Artist. B. IDENTITY OF ARTIST All two-dimensional reproductions.by the City s 11 contain a credit to the Artist substantially in the following formz' I Jane DeDecker, Nation,a/l' Sculptors' Guild, 200 . C. NOTICE__S All notices required hereir~s/hall be in writing and served u on the parties as follows: / 2683 N. Taft A~ue Loveland, Col rado 80538 Phone No. (8 ) 606-2015 · y owa Cl~cy C/o City Manager 410 East Washington Street Iowa City, Iowa 52240-1826 319/356-5237 7 All notices required herein shall be deemed served when mailed to each party's last known mailing address. It is the responsibility of each party to inform the other of a change in address. If notice cannot be served due to a change in address, which has not been served upon the other party, such party's failure to notify shall be deemed a waiver of notice. ARTICLE VI. SUBSEQUENT EVENTS A. MAINTENANCE ~siWisCt~ The City and the Artist recognize that aintenance of the Work a regular basis is essential to the integrity of the Work. Therefore, the City hall assure regular maintenance according to the instructions pplied by the Artist a set forth herein under Article I, Section D.3. and may take acti n reasonably desi d to protect the Work a2t;~Zl~;' D RESTORATION / After final acceptance of the Work, the Artist Work at his own expense and shall notify the City in writing as to the repairs. The City may in its discretion consult with the Artist and mak, lairs. All such consultations shall be without additional cost to the City. C. ALTERATION OF THE WORK The City will not consent to the modification or change to the Work. The City shall retain the right to sell i a third party. / D. WAiVER OF RIGHTS The Artist understands and agrees that ' ' shall control over the provisions of 17 U.S.C. - 106A and other the Artist any "moral rights" or similar rights as to the and shall e a waiver by the Artist of any rights with the exception of copyri~fa~t, in the Work set or otherwise granted by 17 U.S.C. - 106A (a) or in such othe ws. ARTICLE V/II. INDEPENDENT / / The Artist performs this contract as an independent an agent or an employee of the City. The ~rtist shall maintain control, all supervision, labor, materials, equipment, supplies, other incidentals, as well as shipping and installation of the Work. A/RTICLE VIII. ASSIGNMENT The work and services required of the National Sculptors' Guild through its Artist, Jane DeDecker, under this Contract are personal and shall not be assigned, sublet or transferred, except as provided for in Article III paragraph C. However, the Artist shall be allowed to employ qualified personnel who shall work under the Artist's supervision. ARTICLE IX. INDEMNIFICATION The Artist shall defend, release, indenmify and save and hold harmless the City against any and all damages to property or injuries to or death of any person or persores, and shall defend, release, indemnify and hold harmless the City from any and all claims, demands, suits, liabilities, actions, causes of actions, or legal or of any kind or nature, or by anyone whomsoever, in any way resulting from arising out of the Artist's activities in connection with Contract, including omissions of the Artist or persons acting under the s control. ARTICLE X. A. TERMINATION 1. This Contract ma~ ,arty, subject to thirty (30) days notice, provided that attempts at mediation as in Section B of this article have failed. a. If either the Artist or the lfully or negligently fail to fulfill in a timely and proper violate any of the covenants, agreements or ' material Contract, the other party shall thereupon have the right giving written notice to the defaulting party ot intent to and specifying the grounds for termination. party shall e thirty (30) days after receipt of the notice to cure default. If the is not cured within such time period, shall terminate. b. In the event by the City, the City promptly compensate the Artist Article II for all services by the Artist prior to termination, nd all finished and unfinished sketches, photographs and other rk products prepared and submitted epared for submission by the Art' t under this Contract shall at the City's n become its property, provided at no right to fabricate or execute the Work h~pass to the City. :e d te ' . . r been completed as well as any and all copyrights reserved herein and any and all limited edition rights as defined herein. Then and in that event the National Sculptors' Guild shall be responsible for completion of the Work through the services of one of its other Artists, subject to the written approval of the City. 9 B. MEDIATION If, during the creation of the Work, its installation and subsequent existence, any disputes should arise between the Artist and the City, the parties hereto will mediate their disagreements and make every effort to affect a mutually satisfactory resolution of the disagreements including the appointment of an independent mediator reasonably acceptable to both parties. ARTICLE XI. MODIFICATION No alteration, change or modification of the terms of this Contract shall be valid unless made in writing and signed by the parties hereto. CONFLICT OF LAW Any provision of this Contracl ; hereafter found by a court be in conflict with the laws, .tates or the States of Colorado and Iowa shall be null and void. provisions of this Contract shall be severed from the provisions and effect to the extent possible. ARTICLE The Artist shall be required to comply State, and City statutes, ordinances and regulations applicable to the of the Artist's services under this agreement. A. GENERAL TERMS 1. The employment practices and agrees to prohibit the following 2. To discharge or refuse to any individual b, of their race, color, religion, sex, national origin, age, marital gender identity, or sexual orientation. 3. To discriminate aga' st any individual in terms conditions, or privileges of have the right to employ such assistance as may be required for the performance of the Work. 5. It is agreed by the City that all records and files pertaining to information needed by the Artist for the Work shall be available by said City upon reasonable request of the 10 Artist. The City agrees to furnish all reasonable assistance in the use of these records and files. 6. At the request of City, the Artist shall attend such meetings of the City Council relative to the Work set forth in this Agreement as deemed necessary. Any requests made by the City shall be given with reasonable notice to Artist to assure attendance and shall coincide with trips to Iowa City already planned by the Artist. 7. Should any sectionofthis Agreement be found invalid, it is agreed that the remaining portion shall be deemed severable from the invalid portion and continues 5 full force and effect. 8. Upon signing this agreement, Artist acknowledges that Section of the Iowa Code prohibits a City officer or employee from hav' g in a contract with the City, and certifies that no employee or 0~r of which includes members of the City Council and City boards and commis has an interest either direct or indirect, in this a that does not fall exceptions to said in Section 362.5. ARTICLI XIII. CHOI( LAW All conflicts, causes of actions and be filed in the courts of Iowa. ARTICLE DATE The effective date of this Contract shall date of approval by all parties hereto. Attest to: City of Iowa City Madan K. Karr, City Clerk Emest W. Lehman, Mayor (Corporate Seal) Attest to: Sculptors' Guild Secretary Executive Director (Corporate Seal) Jane ecker, Artist II Prepared by: Karin Frankfin, PCD, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5232 RESOLUTION NO. 01-248 RESOLUTION APPROVING THE CALLS TO ARTISTS FOR THE ART PROJECTS IN THE NEAR SOUTHSIDE TRANSPORTATION CENTER. WHEREAS, the Iowa City Public Art Program Acquisition Procedures provide for City Council consideration of each "Call to Artists"; and WHEREAS, the Public Art Advisory Committee has chosen to include two public art components within the Near Southside Transportation Center project; and WHEREAS, the Public Art Advisory Committee has developed two "Calls to Artists" including a proposed budget for each, the calls being for artists within the state of Iowa; and WHEREAS, the Public Art Advisory Committee at their meeting of July 5, 2001 approved the substance of said calls. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The Calls to Artists attached hereto for the public art components of the Near Southside Transportation Center - a decorative fence for the daycare center play area and parking level signage are hereby approved. Passed and approved this 31st day ~fAjy~OR f),~O01. of j JZ-,t2 City Attorney's Office It was moved by Champion and seconded by Pfah the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn ppdadmin/res/nstc art doc The Public Art Program of the City of Iowa City was 1997. The intention of the Public Art Program is to enhance public spaces, promote Iowa City as a cultural center, and build Iowa City's image as a vital place to live and work. This will be accomplished by the :"::::::~:::!:: ': ::'<:~'::: integration and placement of art in public projects and places. The Public Art Program will be supported by an allocation of at least $100 ,000 of public funds per fiscal year. A Public Art Advisory Committee has been appointed to assist in ~:' the development and management of this program. The mission of the PublicArt Advisory Committee, as stewards of the City of Iowa City, is to enhance the appearance of the city through the selection and integration of art in a public environment. .::. 2001 Membership: BarbaraAsch Camillo Charles Felling Sandra Hudson Betsy Klein Gary Nagle Rick Fosse Terry Trueblood Weatherdance (detail of plaza paving) by Myklebust-Sears, 1999 Call To Arfisfs The PublicArtAdvisory Committee of the City of Iowa City is issuing an Open Call to Iowa artists for design, coordination, and installation of a decorative fence, incorporating tiles, around a daycare center play area in downtown Iowa City. This is intended to be a commu- nity participation art project. Project Parameters · This is to be a community participation art project, engaging the public in the creation of the tiles. i Height of the fence may vary but must be a minimum of 5 feet & a maximum of 8 feet; overall length of the fence is approximately 96 to 112 feet. · Since this project involves a daycare center, safety is of utmost concern. Climbable surfaces are discouraged. · The design of the fence must meet all building code and daycare center regulations. · Materials and design must be durable. The fence will be subject to interaction with the public 24 hours a day. · Maintenance methods must be developed and documented. ~ Artist must be able to coordinate work with the project architect. Project Budget Budget will include design; coordination time; food, lodging and transportation for the artist; materials; shipping if necessary; and oversight of installation. Total budget forthe project should not exceed $30,000. Projed Timeline Work with the project architect will begin immediately upon execution of a contract with the artist; community tile work will occur priorto installation; installation will occur between Spring/Summer 2003. Selection Process Submitted materials will be reviewed by the PublicArt Advjsory Committee and a recom- mendation of a selected artist made to the City Council. Final selection of the artist is made by the City Council. Deadline for Receipt of A aferials: Friday, October 5, 2001 by 5:00 P.M. Iowa Cify Arf Program Cornrnunify Art' Project' Opporfunity Background and Sire Descripfion The City of Iowa City, through a grant from the Federal TransitAdministration Livable Cities program, is undertaking construction of a transportation center in downtown Iowa City. This center will include a bus station, public parking, bicycle parking and a daycare center. The daycare center will include an outdoor play area fronting on Dubuque Street. A percent of the entire project budget is allocated for public art. One of the focal points for public art will be the fence enclosing the outdoor play area of the daycare center. The City is interested in pursuing a community public art project in which an artist is an- gaged to design the fence, including a tile element, and to work with members of the community in the creation of the tiles. The artist would also be responsible for overseeing the installation of the fence. The architectural firm of OPN Architects of Cedar Rapids has been hired to design the transportation center. The artist is expected to work with the architects on the integration of the fence into the project. The site of the transportation center is south of Burlington Street on the edge of downtown Iowa City. It includes approximately one-half block between Burlington and Court streets, along Dubuque Street. Directly across from the center are apartments, offices and senior housing; to the south is the U.S. Post Office; and to the north are commercial uses and the Sheraton Hotel. Redevelopmentisanticipatedtothewestontheremainderoftheblock. Design Considerat'ions/Projec{' Goals · To engage the community in a public art project · To enhance the area with an easily maintained public art element · Toprovideafunctionalyetdecorativefenceappropriateforadaycarecenter · To assure the security and safety of the children in the daycare center. Submission/Aat'erials A. Artists should submit twelve (12) collated sets of printed submission materials, orga- nized in the specific order as described below. 1. Aletterofinterest(onepagemaximum)includinganybackgroundinformationthat would support the artist's qualifications for this project. It is emphasized that specific proposals are not requested and will not be reviewed at this time. Include public art experience with budget size of past projects. 2. A current professional r~sume. 3. An annotated slide list including: Numberof each slide, name of artist, title of work, date of execution, media, dimensions, descriptive notes where applicable, and price of each project. B. Artists should submit a page listing three (3) references; references from community participation art projects would be particularly helpful. It is emphasized that letters of recommendation are not requested. C. Artists should submit one (1) set of slides following the instructions below: 1. Ten (10) 35 mm (2" x 2") slides of recent works or projects, presented in a slide sheet. No original artwork, photographs of work, maquette or other specific propos- als will be accepted for review, 2. Label slides as follows: · Number of slide in upper right hand comer · Nameofartistattop · Titleofwork · Red dot in lower left hand corner D. All materials submitted will become property of the Iowa City PublicArtAdvisory Com- mittee and will be reviewed when appropriate future projects occur. SUBMISSIONS MUST BE RECEIVED BY 5:00 P.M. FRIDAY, OCTOBER 5, 2001 Send [o: KARIN FRANKLIN, DIRECTOR PLANNING & COMMUNITY DEVELOPMENT CITYOF IOWACITY 410 EAST WASHINGTON STREET IOWACITY, IOWA 52240 Inquiries: 319 356-5232 or karin-franklin@iowa-city. org The Public Art Program of the City of Iowa City was 1997. The intention of the Public Art Program is to enhance public spaces, promote Iowa City as a cultural center, and build iowa City's image as a vital place to live and work. This will be accomplished by the integration and placement of art in public projects and places. The Public Art Program will be supported $100,000 of public funds per fiscal year. A Public Art Advisory Committee has been appointed to assist in the development and management of this program. The mission of the PublicArt Advisory Committee, as stewards of the City of Iowa City, is to enhance the appearance of the city through the selection and integration of art in a public environment. 2001 Membership: BarbaraAsch Camillo Chades Felling Sandra Hudson ,~.- Betsy Klein ~T' ~ . : Gary Nagle . Rick Fosse Terry Trueblood Weatherdance (detail of plaza paving) by Myklebust-Sears, 1999 Call To Arfish The PublicArtAdvisory Committee of the City of Iowa City is issuing an Open Call to Iowa artists for the design of an alternative way to supplement and enhance the signage of parking levels in a downtown parking facility. Pr0jecf Parameters ~ The outcome of this project should be a visual presentation in a two or three- dimensional medium of the logical progression of levels in a parking facility to enhance the public's ability to find their way. ~. The visual image must be translatable to an icon in an elevator. · Artist must be able to coordinate work with the project architect and parking signage consultant. · Materials and design must be durable. The resulting project will be subject to interaction with the public 24 hours a day in areas that are not staffed. · Maintenance methods must be developed and documented. Pr0jecf Budget Budget will include design work; food, lodging and transportation for the artist; materials; shipping if necessary; installation and any subcontracting. Total budget for the project should not exceed $10,000. Pr0jecf timeline Work with the architect for the transportation center begins immediately upon execution of a contract with the artist; installation will occur in the Summer of 2003. Selection Process Submitted materials will be reviewed by the PublicArtAdvisory Committee and a recommendation of a selected artist made to the City Council. Final selection of the artist is made by the City Council. Deadline for Receipt of ~aferials: Friday, October 5, 2001 by 5:00 P.M. 10wa Cify Public Arf Program Pr0jecf Opp0rfunify Background and Sire Descripfi0n The City of Iowa City, through a grant from the Federal TransitAdministration Livable Cities program, is undertaking construction of a transportation center in downtown Iowa City. This centerwill include a bus station, public parking, bicycle parking and a daycare center. The parking component will have 4 to 5 levels. A percent of the entire project budget is allo- cated for public art. One of the focal points for public art will be enhancement of signage for the parking levels. The City is looking for an artist with experience in two or three-dimensional mediums to design a system of visual indicators forthe various levels of parking in the center. Although the parking ramp consultant will be responsible for designing conventional signage for the parking system, a creative and interesting system of indicators of parking level locations is sought to enhance the parking component of the structure. The firms of OPN Architects of Cedar Rapids and Desmond Associates, parking ramp consultants, have been hired to design the transportation center. The artist is expected to work with the architects and consultants on the integration of the enhanced parking level signage into the project. The site of the transportation center is south of Bu dington Street on the edge of downtown Iowa City. It includes approximately one-half block between Burlington and Court streets, along Dubuque Street. Directly across from the center are apartments, offices and senior housing; to the south is the U.S. Post Office; and to the north are commercial uses and the Sheraton Hotel. Redevelopmerit is anticipated to the west on the remainder of the block. Design C0nsiderafi0ns/Pr0jecf Goals · To provide an eye-catching, easily understood method of finding the various parking levels of the center. · To add to the visual appeal of the transportation center parking component. · Maintenance of the visual images or indicators, as well as the safety of the public in using any three-dimensional indicators will be considered in the selection process. Submission A a½erials A. Artists should submit twelve (12) collated sets of printed submission materials, organized in the specific order as described below. 1. A letter of interest (one page maximum) including any background information that would support the artist's qualifications for this project. It is emphasized that specific proposals are not requested and will not be reviewed at this time. Include public art experience with budget size of past projects. 2. A current professional r~sum~. 3. An annotated slide list including: Numberof each slide, name of artist, title of work, date of execution, media, dimensions, descriptive notes where applicable, and price of each project. B. Artists should submit a page listing three (3) references. It is emphasized that letters of recommendation are not requested. C. Artists should submit one (1) set of slides following the instructions below: 1. Ten (10) 35 mm (2" x 2") slides of recent works or projects, presented in a slide sheet. No original artwork, photographs of work, maquette or other specific proposals will be accepted for review. 2. Label slides as follows: · Number of slide in upper right hand corner · Nameofartistattop · Title of work · Red dot in lower left hand corner D. All materials submitted will become property of the Iowa City PublicArtAdvisory Committee and will be reviewed when appropriate future projects occur. SUBMISSIONS MUST BE RECEIVED BY 5:00 P.M. FRIDAY, OCTOBER 5, 2001 Send To: KARIN FRANKLIN, DIRECTOR PLANNING & COMMUNITY DEVELOPMENT CITYOF IOWACITY 410 EASTWASHINGTON STREET IOWACITY, IOWA 52240 Inquiries: 319 356-5232 or karin-franklin@iowa-city. org 07-31-01 28 Prepared by: Marian Karr, City Clerk, 410 E. Washington St,, Iowa City, IA 52240 (319) 356- 5043 RESOLUTION NO. 01-249 RESOLUTION RESCINDING RESOLUTION 97-21 AND ADOPTING A FEE SCHEDULE AND DEPOSIT REQUIREMENTS FOR THE USE OF PUBLIC RIGHT-OF-WAY FOR SIDEWALK CAFleS. WHEREAS, the City of Iowa City is establishing new administrative procedures providing for joint staff review for sidewalk caf~s; and WHEREAS, the City desires to clarify existing fees and one time deposits in light of these new administrative procedures. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. Resolution 97-21 is hereby rescinded. 2. The following fee schedule and deposit requirements are hereby established for use of the public right-of-way by sidewalk caf~s: a. Annual fee for all sidewalk caf~s located directly on the public right-of-way: $5.00 per square foot. b. Annual fee for sidewalk caf~s located on a structure placed on top of the public right-of- way (such as an elevated structure): additional $5.00 per square foot. c. One time deposit for sidewalk caf~s which place anchored fencing in the public right-of- way: $200.00. This deposit shall be refunded if the fencing is removed and the sidewalk is restored to its prior condition by the sidewalk caf~ owner to the satisfaction of the City. d. One time Deposit for sidewalk caf~s which place a structure on top of the public right-of- way (such as an elevated platform), with anchored fencing: $500.00. This deposit shall be refunded if the structure is removed and the sidewalk is restored to its prior condition to the satisfaction of the City. 3. If the application is withdrawn after staff review, one-half of the fees will be refunded. Passed and approved this 31st day of July ,20 01 Approved by Y (~it~ AttorneCs Office Resolution No. 01-249 Page 2 It was moved by 0'Donnel I and seconded by Champion the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman '[ O'Donnell X Pfab X Vanderhoef X Wilbum Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 01-250 RESOLUTION APPROVING BY-LAWS OF THE ANIMAL CARE AND ADOPTION CENTER ADVISORY BOARD. WHEREAS, the Animal Care and Adoption Center revised and unanimously adopted by-laws; and WHEREAS, it is in the public interest to adopt by-laws which set forth the duties, officers, members and meeting schedule of the board; and WHEREAS, the by-laws provide that they are not effective until approved by the City Councils of Iowa City and Coralville; and WHEREAS, the Council Rules Committee has reviewed the proposed by-laws and has recommended adoption. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, that the by-laws of the Animal Care and Adoption Center Advisory Board, attached hereto and incorporated by reference herein, are approved and adopted by the City Council. Passed and approved this 31st day of July ,2001. Approved by ATTEST. C City Attorney's Office Sue~OrdRes%By-lawsRes.d~ Resolution No. 01-250 Page. 2 It was moved by Champion and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman × O'Donnell X Pfab X Vanderhoef X Wilburn BYLAWS IOWA CITY AND CORALVILLE ANIMAL CARE AND ADOPTION CENTER ADVISORY BOARD ARTICLE I - MEETINGS Section 1. Regular Meetings. Regular meetings of this Board shall be held on the fourEh Wednesday of the months January, March, May, July, September, and November. Section 2. Annual Meeting. The Annual Meeting of the Board shall take place at the January meeting. New officers for the ensuing year shall be elected at the Annual Meeting. Section 2. Special Meetings. Special meetings of the Board may be called by the Chair, Vice- Chair, or the Supervisor of the Animal Care and Adoption Center. Section 3. Place of Meetings. Regular meetings shall be held in a facility accessible to people with disabilities, and shall alternate between Iowa City and Coralville. Section 4. Notice of Meeting. Notice and agenda for all regular meetings shall be distributed to all Board members and the media. Notice to all members and to the media shall be at least 24 hours before a meeting is held, including special meetings. All notice requirements and meetings shall conform to the provisions of Iowa open meetings laws. Section 5. Quorum. A majority of the members of the Board shall constitute a quorum at any meeting. A majority of votes cast at any meeting at which a quorum is present shall be decisive of any motion or election. ~ Section 6. Proxies. There shall be no vote by proxy. Section 7. Public Discussion. Time shall be made available during all regular meetings for open public discussion. Section 8. Conduct. All meetings shall be conducted according to Robert's Rules of Order. ARTICLE II - MEMBERSHIP Section 1. Membership. The Board shall consist of five (5) members, consisting of two (2) members from each municipality appointed by each governing body and one (1) additional member appointed by majority vote of the Board members selected by the municipalities. All rnembers of the Board shall serve without compensation. Section 2. Staff. The Supervisor of the Animal Care and Adoption Center and theCoralville Animal Control Officers shall be an ex officio members, but shall have no vote on any matters before the Board. Section 3. Appointment, Prospective members seeking to be appointed by either the Iowa City or Coralville City Council shall apply to said council for appointment, and said council will appoint members to the Board as vacancies occur. Prospective members seeking to be appointed by the majority of the vote of the Board shall apply to the Board for appointment and may complete either the Coralville or Iowa City application form. Section 4. Terms. Terms of membership shall be three (3) years, commencing January 1. Terms should be staggered to allow no more than one (1) Iowa City and one (1) Coralville appointment per year. Members may serve for more than one (1) term. Section 5. Absences. Three (3) unexplained absences of a Board member may result in the Board's recommendation to remove the member from the Board. If the Board member was appointed by either the Coralville or Iowa City City Council, then the recommendation for removal will be forwarded to the respective City Council. If the member was appointed by the Board, the Board will forward the recommendation to both City Councils, and the member shall be removed only if both City Councils vote to remove the member. Section 6. Resignations & Vacancies If any member is no longer willing or able to serve on the Board, the member, if appointed by a City Council, shall send a letter of resignation to the respective City Council. If appointed by the Board, the member shall send a letter of resignation to the Board. Vacancies occurring in the Board, other than by expiration of term of office, shall be filled for the unexpired term unless the remainder of the term is six (6) months or less, in which case a replacement would be appointed for the remainder of the unexpired term plus one full term. ARTICLE III - OFFICERS Section 1. Number. The officers of this Board shall be a Chair, Vice-Chair, and Secretary, and each shall be elected by members of the Board. Each officer shall hold office until his or her successor shall have been duly elected. Section 2. Election and Term of Office. The officers of this Board shall be elected each year at the Board's Annual Meeting. Section 3. Vacancies. A vacancy in any office shall be filled by a member elected for the unexpired portion of the term, Section 4. Chair. The Chair shall, when present, preside at all meetings of the members, appoint committees, call special meetings and in general perform all duties of the Chair, together with such other duties as may be prescribed by members from time to time. The Chair shall also submit minutes to each City for dissemination to the appropriate officials. The Board Chair shall attend the Coralville or Iowa City City Council meetings, including informal sessions, when necessary to discuss, present, or explain matters pertaining to the Board's responsibilities Section 5. Vice-Chair. In the absence of the Chair, or in the event of the Chair's death, inability or refusal to act, the Vice-Chair shall perform the duties of the Chair 2 When so acting, the Vice-Chair shall have all powers and be subject to all the restrictions as those resting with the Chair, The Vice-Chair shall perform all other duties as may be assigned by the Chair or the Board. Section 6. Secretary. The Secretary shall keep the minutes of the meetings of the Board shall see that all notices are properly given in accordance with provisions of these Bylaws or as required by law, shall be the custodian of the records, and shall perform all duties incident to the office of Secretary and all other duties as may be assigned by the Chair or the Board. ARTICLE IV - CONDUCT OF BOARD AFFAIRS Section 1. Agenda. The Chair or a designated representative, together with appropriate members of the Animal Care and Adoption Center staff, shall prepare an agenda for all regular, annual, and special Board meetings. Agendas are to be sent to Board members and the media at least twenty-four hours, but preferably at least three (3) days, prior to the regular meetings. Section 2. Minutes. Minutes of all meetings are to be prepared and distributed to Board members and approved by the Board and sent to the Coralville and Iowa City City Councils in the manner prescribed by the respective Councils. Specific recommendations for the Councils are to be set off from the main body of the minutes and appropriately identified. Section 3. Referrals from Council. From time to time letters, requests for information, requests for recommendations, and other matters are referred to the Board by the Iowa City and Coralville City Councils. The Board shall initiate the consideration of such items at the next regular meeting following receipt of the referral, and shall notify the respective City Council of its disposition. Section 4. Attendance at Council Meetings. The Board Chair or designated representative is [o be in attendance at Coralville or Iowa City City Council meetings. including informal sessions. when necessary to discuss, present, or explain matters pertaining to the Board's responsibilities. Section 5. Annual Report. An annual report, detailing the activities of the Board, shall be prepared by the Chair. approved by the Board, and submitted to the Iowa City and Coralville City Councils at the end of each fiscal year. ARTICLE V - DUTIES Section 1. Duties. The Board shall provide such recommendations and advice as required by the 28E Agreement executed by the Cities of Iowa City andCoralville on June 24, 1997, or as may be requested by the City Council or City Manager of Iowa City or by the City Council or City Administrator of Coralville ARTICLE VI - AMENDMENTS Section 1 These Bylaws may be altered, amended or repealed and new bylaws adopted at any regular meeting, or at a special meeting called for that purpose, providing a quorum is present. Written notice of the proposed amendment shall be provided to Board members at least three (3) days prior to the meeting at which the proposed amendment appears on the agenda. The notice shall include the general character of proposed amendment. Upon approval by the Coralville and Iowa City City Councils, such bylaws shall take force and effect, Section 2. All previous bylaws are repealed. Section 3. After adoption by the Board, these Bylaws and all subsequent amendments will be presented to both the Iowa City and Coralville City Councils for adoption by resolution. Iowa City City A~torney's Office 4 /~r/~ 07-31-0t I Prepared by: Madan Karr, City Clerk, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5041 RESOLUTION NO. 01-251 RESOLUTION AMENDING THE BY-LAWS OF THE POLICE CITIZENS REVIEW BOARD TO ESTABLISH TERMS OF MEMBERS TO EXPIRE SEPTEMBER 1. WHEREAS, the Police Citizens Review Board desires to amend its by-laws to establish expiration of member terms to be September 1; and WHEREAS, the Police Citizens Review Board recommended approval of said amendment. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1 ) That Article III. Membership, Section 6 Terms, of the Police Citizens Review Board by-laws adopted by Resolution 97-394 on December 9, 1997 is hereby deleted and replaced with a new Article Ill. Membership, Section 6 Terms, as follows: Members shaJl be initially appointed for staggered terms as outlined in Chapter 8, City Code, City of Iowa City, Iowa. Thereafter, Members shall be appointed for terms of four years, with terms expiring September 1. 2) The Mayor and City Clerk are hereby authorized and directed to certify a copy of this Resolution. Passed and approved this 31st day of July ,2001. YOR City Attorney's Office It was moved by Champion and seconded by 0'Donnell the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X Pfab X O'Donnell X Vanderhoef clerkjres/PCRBterrnsdoc X Wilburn Prepared by: Marian Karr, City Clerk, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5041 RESOLUTION NO. 01-252 RESOLUTION ESTABLISHING PILOT PROGRAM FEE FOR CITY PLAZA NEWSPAPER KIOSKS. WHEREAS, Section 10-5-8J of the Code of Ordinances of the City of Iowa City provides that an annual administrative fee be established by resolution for use of City-owned modular unit vending machines, hereafter referred to as kiosks; and WHEREAS, City administration at the direction of City Council has established a pilot program to fill the newspaper kiosk space to run from September 1, 2001 through April 1, 2003; and WHEREAS, this resolution will establish a special pilot program fee for City Plaza newspaper kiosks. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT the following fee be established for the pilot program for City Plaza newspaper kiosks: 1. Annual fee of $25 per each space requested. Passed and approved this 31st day of Ou] y ,20 0]- MAYOR Approved by ~or~'s Office ~' ~f-d/ It was moved by Champion and seconded by 0'Donnel 1 the Resolution be adopted, and upon roll ~11 there were: AYES: NAYS: ABSENT: ABSTAZN: X Champion Kanner X ~ Lehman X Pfab X O'Donnell X Vanderhoef X Wilburn