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HomeMy WebLinkAbout2001-10-08 Transcription #2b Page #1 ITEM NO. 2b. MAYOR' S PROCLAMATIONS: FIRE PREVENTION WEEK - OCTOBER 7-13. Lt. Stimmel: Thank you Mr. Mayor and members of the Council. Shift C is very proud to accept this on behalf of the Iowa City Fire Department. Fire prevention week is a very important week for us. And this week we are going out to twelve elementary schools in the City of Iowa City and having contact with approximately 3,066 students, teaching them the importance of fire prevention. Thank you very much. Lehman: Thank you. Champion: Thank you. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #3 Page #2 ITEM NO. 3. CONSIDER ADOPTION OF THE CONSENT CALENDAR AS PRESENTED OR AMENDED. Champion: Move adoption. O'Dormell: Second. Lehman: Moved by Champion, second by O'Donnell. Discussion? Vanderhoef: I would like item 3e(1) removed for special consideration since I have a conflict of interest. Lehman: Okay. Discussion? Roll call on the consent calendar as amended by Ms. Vanderhoef. (whispering) Lehman: Okay. Does someone wish to... Champion: Oh, move adoption of the withdrawn item. O'Donnell: Second. Lehman: e(1). Moved by Champion, seconded by O'Dormell. Discussion? Roll call? Motion carries, 6/0, Vanderhoef abstains. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #3 ITEM NO. 4. PUBLIC DISCUSSION Lehman: This is a time reserved on the agenda for folks to address Council on items that do not otherwise appear on the agenda. If you wish to address the Council, please sign in, give your name and address and limit your comments to five minutes or less. Caroline Dieterie: I would like to address the Council briefly on two separate issues. The first issue is, I understand from reading the papers that there has been at least one voice on the Council that has expressed the need for a downtown grocery store. And they were talking about this in connection with the development of parcel 64-1a. And, 64-1A doesn't need it's developer to include a downtown grocery store because, in fact, we have a very good downtown grocery store directly across the street where I am reasonable confident that a lot of people from the Civic Center already get lunches and coffees and grocery. So they should know that it's there. Lehman: Caroline, that does come up later on in the agenda. Dieterie: Well, all right but I, but I would like to make the point here that over and over we're hearing from mostly the incumbents on the Council that we need to have more downtown growth, more downtown activity that is economically developing. And I would say please think a litfie bit more about making sure that that kind of growth really favors local people and local business that already exist. And don't try to drive yet another business out of business in downtown Iowa City by introducing a competitor of this sort. And the second point that I would like to make is that I saw today a memo, a memo that the Chamber of Commerce sent out to the faithful of the Chamber Party to get it's members out to vote against the "antigrowth/anti-economic development candidates" and to keep the incumbents in office. But, I think, that what is happening and what we've seen in the news the last couple of days about City business with parcel 64-1A and what happened with the non-attended Council Meeting last week shows that the people who are worded about the voters being too far removed from the decision making of the City, have a reason to worry. And that people who favor responsible growth that is geared to local producers who., .and local businesses and people who support the right of the people to vote on the proposed charter amendments and to have a stronger voice in City decision making in general should vote for the challengers: Jolm Robertson, Brian Davis, and Brandon Ross. Thank you. Lehman: Thank you. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #4 Karmer: Marian, I had a question for you. My understanding is that we are members of the Chamber of Commerce, the... Karr: Yes. Kanner: ...City Council. Are we non-voting members or voting members? Karr: Dale would handle, or Steve can handle that. Atkins: Non-voting members. The Mayor and I sit on their Board of Directors though we are non-voting. Kanner: You two? Atkins: Yes. Kanner: Okay. Atkins: As a... Karmer: Are you part of the decision making about some of this information that is coming out via the candidates and the candidate forum? Atkins: No, we are not. We are not part of that. Kanner: You excuse yourself when that discussion came up? Lehman: We generally, if there are generally items on the Chamber agenda, prior to the time that they do their regular business and when they get into the regular business, we leave. So, we're not there for the vote. Kanner: Oh, okay. Thank you. Charles Major: My name is Charles Major. I live at 7 Blue Stem Court in Iowa City and I think Thursday afternoon the citizens of Iowa City lost because you didn't show up. And I think instead of...you should have come to hear a little discussion on the Charter Amendments. I think a Bobby Bonds finally started to pitch to him and he was able to break the record. I don't think we got thrown to that day. Thank you. Brandon Ross: My name is Brandon Ross. I live at1822 Rochester Ave. in Iowa City. And first of all, I would like to say in lieu of the recent activities our governn~ent is engaging in, those people in our government who raise the flag in the way that a football pendant is raised, to consider that this may This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #5 be some kind of competition, I think you are doing a great disservice to communities all over the world. That a lot of people are being affected by military action and a lot of them will be innocent. And those of you who disagree with government or disagree with governn~ent policy and complain about these things would do well to come out on October 9, which is tomorrow night, and vote, which is what our country is based on, the ability to have a voice. A lot of people locally here are in disagreement with certain policy. Some of them are, for instance, the police policies in this town, which I think, are very unpopular. And I do not think even members of our public servants would be in favor of them. And I think, the Police is getting to have a very negative identity in this town because of misguided policy making in that area. Also, there's many people who talk about the misspending of tax payers money and that money leads to money in this town. And, it seems that there is a lot of wealthy development money but there is not a lot of money for lower and middle-income people, for seniors, for bicyclists, for other types of groups in this.. .in this City. And they would like to see a new look or would not like to see Iowa City, for instance, looking more like Coralville. And that the government talks a lot about, we need to raise our tax base so that we can compete with Coralville. But, a lot of people here don't really want to live in a place that looks like Coralville. So, I encourage people in the spirit of this country to come out and vote on October 9 and we hope to see you there. Thanks so much. Lehman: Thank you. Other public discussion? Merrill Hamilton: I would like to speak to the... Lehman: Give your name first. Hamilton: Merrill Hamilton, 715 N. Van Buren. The rental...the rental housing enforcement proposal. I spoke for you about three years ago about a party house that was in my neighborhood and basically the woman we bought the, our house from was driven from the neighborhood by the tenants of this house. This house has continued to be a problem with our neighborhood along with two other houses that have changed hands. Changed landlords for the worse I'm afraid. And, I'm in favor of this proposal because I think ultimately the solution to these noise problems, vandalism problems and general degradation of the properties in Iowa City, really the solution lies with the landlords and we need to hold them accountable. And I, I face three houses that are rooming houses. Unfortunately all of them have porches. Those are sought at for tenants who like to party and I always make a point of talking to the landlords about the problem our neighborhood has with party houses and it's This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #6 basically a quiet neighborhood, north side. And, I always talk to the new tenants and, you know, try and work out some sort of agreement with them. Sometimes this works, sometimes it doesn't. The... only one house has really been sort of met the needs of our neighborhood and the tenants have gone along with, I think, the majority of our neighborhood and that is a house that the landlord screens his tenants and informs that he expects them to be good neighbors. and the other two houses have been constant problems and I had probably $800 worth of vandalism to my car and things stolen from my property, my truck vandalized, tools taken out and thrown in the alley. All of this because I dared to ask my neighbors to please be quiet, basically, and I always did so in a very cordial, you know, manner. And, unfortunately, this town seems...there seems to a group of people in this town that have decided that Iowa City is a party town and it's not a small group and there' s a fairly large number of business people who seem to want to go along with this. By both dispensing alcohol, rent or...landlords who make money off of this sort of allowing their houses to be, you know,...their tenants to misbehave. And, the University, who I think gets...is able to benefit by the attitude that this is a party town, that you can go to school here, have a serious education but have a good time while you're doing it. and I think that we need to send a message that it's okay to have a good time but, but people need to be able to live in their homes. And we have had several people, not only the woman who was...owned our home, but I know several people have moved out of our neighborhood because of the noise problems, because of the misbehavior. It's usually the landlords that are, will not cooperate have houses that are not taken care of, their tenants leave trash around, you know, cause the problems. So, in conclusion, I would...I think that whatever we can do to convince landlords to see that their tenants are good citizens would be beneficial. Lehman: We... Champion: Mr. Hamilton, what was your address? Hamilton: 715 North Van Buren. Lehman: We had, tonight, visited with a group of folks who will be forming a committee and will start working on this immediately. Hamilton: Thanks. Anna Buss: Good evening, I'm Anna Buss and I live at 830 Miller. I'm an Iowa City real estate broker. I'm a property...I at one time was a property manager and I also have rental property here in town. You have a number of issues This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #7 that are going to be coming before you and I've heard lot of different factions at work. I would highly encourage all of those factions that are trying to get something done to take heed and watch who they put on their committee. Get a committee that will be actually fair. It was earlier mentioned that it might be wise to hire a facilitator and if ever there were a time that City money would be well spent I think now would be the time. I think it would do a couple of things. I've sat on a few committees where there was not a hired facilitator, that it would have been greatly benefit to the committee itself to have someone who was totally neutral to the issue, who could say now what just a minute let's hear this person, let's hear this person. I also sit on the Board of Appeals and I don't come res...representing any of the factions of that I've named. I've also been president of the Iowa City Landlords Association and we worked a lot with the Tenants Association while I was president of that. So, I've kind of heard all sides of this story and been in all side of this story. Nobody wants to live next door to a party house and nobody wants one in their neighborhood. Nobody wants to have drug dealers in their neighborhood and nobody wants to have to deal with the gang issue. At one point in time I managed a house or an apartment house down on South Broadway Street on Holiday...Hollywood Gardens and when I started there was a big drug problem there. And, you had to be very careful who you rented one unit to because the traffic had already been established. We worked with the police department and we had really good cooperation. I can't even begin to tell you how well they worked with us. I know I've heard complaints about that but to that issue I can also say I don't know that I would want to get in a car at night, strap on a gun, have to wear a bullet proof vest and how ever many pounds of equipment that is, go out and try to do a good job. Because I think in their heart they try to. But the bottom line is...and then have to second guess yourself. I think that's a problem. I think this City needs to take the laws that it has right now on the books, allow those laws to be enforced and work with them. Many people in this community don't realize that anyone can call the City Housing Inspection office and say hey, send somebody out here. I've done it. As a manager, I've said these things need to be fixed could you right them up. That way I have a piece of paper that I can show the tenant and say look, these are things that you're doing that are causing problems in the property. If this committee...if one thing comes out of this committee that's formed, I would like to see an enforcement against the landlords. Yes, that there are problem landlords. There are also a lot of problem tenants. If I can only tell you how many time smoke detector batteries have been removed, lights out of exit signs, doors that are security doors that are proped open, and there...the list goes on and on. The destruction to the property, nobody wants to see that. And you've got a lot of different entities at work. And if there is something that can bring them all together for the This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #8 good of everybody, I think that that would be very, very helpful. And again, like I said, I would really be in support of a paid facilitator for this group because it's going to be very difficult to have someone from Iowa City. If you get a realtor on the group, okay, well, they sell rental property. If you get a landlord on the group, they're going to be (kind?). You have a tenant on the group, they're going to be fine. The landlords the big boogey man. You know, it's just a cat chasing it's tail. I truely would like to see something come of this. There...any given night you can drive on certain streets of this town, if you're out past ten o'clock at night and you can see the party houses. You can see what happens. The morning...granted homecomings an exceptional weekend but a lot of the other weekends aren't. And, you can drive up Dubuque Street, you can go on Van Buren, Johnson, any number of those streets and you can see what's happened. The police have had a problem with it. The citizens have had a problem with it. Try being a manager and being caught between an owner, a lease, and a tenant and a tenants parent who's an attorney. Now we've got code, Iowa City, you know, we've got codes here. The tenants can call if they have an apartment that's not up to code. They can call the inspection services. I don't know anybody in that office that wouldn't go out when a tenant complained. And they're real good about going out and taking care of things. So, to that end, I just say I hope that you do hire a facilitator for this group and give them some time frames so that something actually gets done and it doesn't get drag out. I do feel that you should use the laws that you have now as opposed to implementing some of the ordinances that have been thought about from out of town. I know a number of the people from Davenport who have used these and I can tell you that that ordinance will set everyone up to legally discriminate against people. And if you... Lehman: Anna, you need to wrap it up. Buss: ...if you don't think it will happen, I think you're incorrect. The other thing is, I'd like since everyone else is going to do a pitch for voting, I want everyone to go vote because you get what you don't vote for thank you. O' Donnel 1: That' s true. Lehman: Anna, I would encourage you and I think it would be very easy to find out when these folks meet, that committee meets, that'll be public meetings and if you care to attend those meetings then you might be of some benefit to them. Buss: Not a problem. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #9 Lehman: Okay. Thank you. Karmer: Anna, one other question. I'm not aware that the Tenants Association is still functioning the last few years. Do you know differently? Have you met in the last few years with any of them? Buss: They're pretty apathetic. They don't do a lot but they do have a local attorney who they can call and they do have a number over at the Union. Kanner: Oh, that's just advise. It's not really union it's a...to my knowledge, it's just landlord advise. ..legal advise but it's not a tenants union in the sense of organized... Champion: No,... Karmer: ...people. Champion: ... that's not what she said. Buss: Well, they still maintain the number and they also have legal service so there's (can't understand) there. Kanner: Okay, thanks. Lehman: Thank you. You bet. Mary Hitchcock: My name is Mary Hitchcock, I represent the Ruppert family. I live in Brookfield, Wisconsin. I also own property here in Iowa City at 1506 North Dubuque Road. I put both addresses on here, 2345... Kanner: I'm sorry, what was the property ownership? Hitchcock: I own property at 1506 North Dubuque Road. I live in Wisconsin at 2345 Coach House Drive in Brookfield. And, I represent the Ruppert family, the Ruppert property. I have been their spokesman since 1994. I'd like to speak to the item that you're going to set a public hearing on the Bus rezoning tonight and I would like to kind of speak about that. Lehman: Is this relative to the Buss rezoning? Hitchcock: Yes. Would you rather me to wait a moment? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #4 Page #10 Lehman: Yeah. When it comes up on the agenda. That's when... but we'll hang on to these so we can refer to them at that point. Hitchcock: Okay. Thank you. Lehman: Any other public discussion? (can't hear) we'll go to Planning and Zoning matters. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5a Page #11 ITEM NO. 5a. CONSIDER A MOTION SETTING A PUBLIC HEARING FOR OCTOBER 23 ON AN ORDINANCE TO REZONE APPROXIMATELY 3.07 ACRES FROM MEDIUM DENSITY MULTIFAMILY, RM-20, TO MEDIUM DENSITY SINGLE FAMILY, RS-8, LOCATED AT 747 W. BENTON STREET. (REZ01- 00013) Vanderhoef: Move to set the public hearing. Lehman: Moved by Vanderhoef... O'Donnell: Second. Lehman: Seconded by O'Dormell. I believe this is the Buss property, is it not? O'Donnell: Yes. Lehman: Mary, I'm sorry, you...we could have just stayed there. Okay. Hitchcock: Okay, so I'm here again. Mary Hitchcock. I provided you with a map. It's topographical and it has zoning on it of... primarily the shaded area happens to be the Ruppert property. You'll notice that a large section of that is zoned RS-8 already. In the...Mr. Buss' property is the house that is shaded brown, okay. He's at 747 Benton and he is... his existing zoning is RM-20, okay. There are only two other properties near by, shaded green, that are also RS-8. Other than that, all the property that is RS-8 that is near the Buss property happens to own, be owned by the Rupperts and it is vacant property. Although we would dearly love to develop it at some time, rezoning at this time we feel is unnecessary. This parcel consists of a narrow ravine whose slopes are identified as sensitive by City regulations. It cannot be developed at any density without special permission. I'm concerned that down zoning the Buss property, which is very small only 3.07 acres, will cause City officials to view any development proposal for the adjacent vacant land less favorably. The current zoning. ..the rear of the Buss pamel is very near, only 150 feet or less, from busy four lane Highway 1 West, which would be a safety hazard to children playing in RS-8 yards. Noise from this highway is incredible. It disturbs outdoor patio parties and yard use as well as indoor activities. So, RM-20 is more appropriate because those kinds of properties hold very few outdoor activities and buildings are build in a way that deal better with noise pollution. I think it's wrong to zone this small parcel without a look at the bigger picture. The Bus parcel is only 3 or 39 undeveloped acres along Highway 1 West with unique challenges and generally great potential. This is a great rental neighborhood. It's This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5a Page #12 served by the bus, it's convenient to the University campus and the hospitals and as well as to shopping. To the west on your map are...and to the noah are many RM-44 multi-family units with high real estate values and great tax builds. The majority of the RS-8, as I told you, is undeveloped and is owned by the Ruppert family. I'm not an owner, by the way, I...but I am a daughter of one. Several of the Ruppert's are here today. A check of the County records shows that only four single-family homes are within a thousand feet of the Bus parcel. Maybe you can't imagine a thousand feet but if you stand at the comer of Benton Street and look to Highway 1, you are looking a thousand feet. That's a very long ways, okay? Of those properties, there are two other houses at 612 and 608, which would be close to the thousand feet that are residential single- family homes. One of those is a rental and has been for many years I'm told. All ofthe...from the comer of Benton to within 300 feet of Highway 1, is vacant. That's 675 feet of vacant property so it doesn't matter to anything. And across the street on Miller Avenue are about eight parcels. Two ofthem...two vacant lots, two businesses and only, I think, three of those on Miller Avenue are owner occupied. So, lots of people rent, okay? Some of them like condos, some of them like apartments, some of them like houses but I really don't think we should be discriminating against people who rent. And...discouraging higher housing on this RS-8 property. It's difficult to see here but this...the Ruppert property is mainly going to be access from the highway anyway. It has no connection to Benton Street and it never could connect to Benton Street. So you can not, you know, you won't be able to drive in from Benton Street. You can't even drive in from Miller Street to the middle of the RS-8 property because there' s a tree line and a valley there; although, it could be constructed that way. At this moment you have really three separate fields there. I think RM-20 is also consistent with the area to the west, adjacent to the Bus property is RM-20. The area to the north and even east of Roosevelt School there is RM-20 on the zoning map, as I read it. We think that this should just remain RS-20. Adjacent to the R...the Bus property is eleven acres of RS-8. This has failed to attract a buyer at the RS-8 zoning in over 30 years. It was first put on the market in 1965, maybe 4. The developer who have come and expressed interest in that property want to build high rise units that will take advantage of the view, which it has incredible views. And...or they suggested commercial. Nearby on... to the west there are 14 acres undeveloped with stunning views. Same challenges oftopography but luxury offices or condos would just do really well there. Based on a 1995 proposal for a single $20 million commercial facility on the RS-8 property, higher development on this whole parcel, and there's 2,000 feet along Highway 1, would never interfere with any of the residential property because it would exit onto the Highway. And it would kick in, maybe 100 million to the City's tax base. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5a Page #13 And that's not... nothing to sneeze about when you have so many bills to pay. Iowa City was one of only six locations chosen by that company, the only location in Iowa for that particular project. And, of course, it never came any farther. Similar opportunities are always lost. Well, I don't know, we don't need all that...every, every project that comes up. We have to be selective. I'm for being selective but I think if you make this property, the Bus property, RS-8 it's going to fall over and you'll want the Ruppert property to stay RS-8 and then that property is going to be vacant forever. Lehman: You need to wrap this up, Mary. Hitchcock: That's about it. I think careful planning is key. I think the only...the Buss parcel is uniquely located. It's the only parcel that could connect Benton Street to Highway 1, some point in the future. If a tornado blew the house down, would you put it back them or would you maybe want a street or do something different. I think, due to the nature of the dangerous accesses to the street on the Benton Hill side, it would be...something else might be more appropriate. I want to thank you for spending the time you do on all of the City projects. I think the many hours you devote to the business and the patients your patients during long and often contentious meetings should be appreciated. And it really is appreciated by most of the people in the commtmity. And I urge you to continue the current zoning on the Buss parcel at least until a plan for the greater undeveloped area can be agreed upon. Thank you very much. Lehman: Thank you. Other discussion? All in favor for setting the public hearing say aye. Opposed? (all ayes) Hearing is set. Karr: Motion to accept correspondence? O'Donnell: So moved. Vanderhoef: Second. Lehman: Moved by O'Donnell, seconded by Vanderhoef, all in favor say aye. Opposed? (all ayes) Motion carries. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5e Page #14 ITEM NO. 5e. CONSIDER A MOTION SETTING A PUBLIC HEARING FOR NOVEMBER 13 ON AN ORDINANCE TO REZONE 1.38 ACRES FROM HIGH DENSITY MULTI-FAMILY RESIDENTIAL, RM-44, TO MEDIUM DENSITY MULTI-FAMILY RESIDENTIAL, RM-20 FOR PROPERTY LOCATED AT 1045-1075 W. BENTON STREET. (REZ01-00020) Vanderhoef: Move to set the public hearing. Lehman: By Vanderhoef. Kanner: Second. Lehman: Seconded by Kanner. Discussion. All in favor? Opposed. (all ayes) Motion carries. Karr: Motion to accept... Kanner: Where there people that wanted to... Karr: Motion to accept correspondence? Kanner: ...speak. O'Donnell: So moved. Lehman: Moved by O'Dormell. Kanner: Can we still hear some folks... Champion: Second. Kanner: ... that are a little shy? Lehman: I don't know. I don't know I asked for discussion. I didn't get any. Oh, lets get O'Donnell's motion to accept correspondence, seconded by... Champion: Champion. Lehman: Champion. All in favor? (all ayes). We're going to accept correspondence and we are going to have a little belated discussion. Tom Gelman: This has to do on the public heating for the parcel that you just identified on Benton Street. I represent Westcott Partners they are a contract This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5e Page #15 purchaser of this property. They have a purchase to buy. ..an offer to buy the property subject to certain conditions. The matters are important to them. They certainly resist the zoning change but they do not offer any resistance to the setting of the public heating... Lehman: Okay. ... but we would like to go on record and indicate that, that the, the request for rezoning is in fact resisted.. Lehman: Okay. Thank you, Tom. Jim Houghton: Hello, my name is Jim Houghton. I am here on behalf of Clark and Shi~ey Cox and, I guess, we are in agreement with what Tom just said. We disagree with the rezoning. We will make our position...or make our position at the zoning level but we don't object to you setting the hearing as outlined in your outline. Thank you. Lehman: Thank you, Jim. Champion: Thank you. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #5j Page #16 ITEM NO. 5j. CONSIDER A RESOLUTION APPROVING THE PRELIMINARY AND FINAL PLAT OF SALTZMAN SUBDIVISION, A 2.8-ACRE, 3-LOT COMMERCIAL SUBDIVISION LOCATED EAST OF RIVERSIDE DRIVE SOUTH OF BENTON STREET. (SUB01- 00011) Lehman: We have been asked to defer this til? Dilkes: November 13. Lehman: November 13. Champion: Move to defer until November 13. Pfab: Second. Lehman; Moved by Champion, seconded by Pfab. All in favor? Opposed? (all ayes) Motion carries. Karr: Motion to accept correspondence? Vanderhoef: So moved. O'Dormell: Second. Lehman: Moved by Vanderhoef, seconded by O'Donnell to accept correspondence. All in favor. Opposed? (all ayes) Motion carries. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #6 Page #17 ITEM NO. 6. PUBLIC HEARING ON A RESOLUTION AMENDING TItE FY2002 OPERATING BUDGET. Lehman: Public hearing is open. This is a... Atkins: Requirement of law. Lehman: Yeah, but it's also... Vanderhoef: Bi-annual. Lehman: ...just a matter of housekeeping. We do this bi-annually, is that correct? Atkins: Yes, we do. Lehman: Right. So this is not taking any sort ofaction, just making our budget... Atkins: You adopt... Lehman: . ..conform to what is actually happening. Atkins: You adopt a budget. Lehman: Right. Atkins: You approve a project. Lehman: Right. Atkins: The state law does not allow us to appropriate one year at a time. Lehman: Right. Atkins: Capital projects inevitably cross over fiscal years so the authority to spend money on that project has to be carded over also. Secondly, when it comes to our receipts, we may budget $10,000 for a particular line item when in fact we received $10,502. Therefore, the budget is amended by the $502. The basic principal is one of public disclosure on our part and secondly it just allows us to keep current on a regular basis with respect to our spending. Lehman: These are just budget adjustments to reflect actual. Arkins: Yes. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #6 Page #~8 Lehman: Okay. Atkins: You do not create projects or anything such as that. Lehman: Other discussion? Public heating is closed. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #19 ITEM NO. 7. APPROVING AND AUTHORIZING EXECUTION OF AN AGREEMENT FOR PRIVATE REDEVELOPMENT BY AND BETWEEN THE CITY OF IOWA CITY AND SEABURY & SMITH, INC. AND SOUTHGATE DEVELOPMENT COMPANY, INC. 7a. Public Hearing Lehman: This is a public hearing. Public hearing is open. This is an agreement which outlines the details regarding the provision of TIF property tax rebates for the Seabury Smith project. Anybody who wishes to speak at the public hearing? Brandon Ross: I would like to request that the Council, for the benefit of the public, would identify or define what is TIF? Lehman: Steve, do you want to...Wait aminute, David Schoon is here. I saw him. Arkins: David took the project through. Lehman: David... Atkins: You should have David explain this. Lehman: You engineered this. Could you kindly explain this for the public? Schoon: Tax Increment Financing is a tool that a community can use to support and economic development project in the community. What it is is that...the easiest example to give is if you have a vacant piece of land and you put a building on it, that building adds value, taxable value. That taxable value generates additional property tax revenue. Those dollars that are generated on that added value on that building are put in a special fund to help finance that particular project. It could be in form of a direct grant or, in this instance, a rebate of taxes back to the company. Tax incremental financing can also be used to help fund public improvements in a tax increment financing district. Kanner: David. Lehman: And....Steven, go ahead. Kanner: Isn't it true that when this first became a tool that was enacted by the State Legislature that it was geared mostly toward blighted area and it's moved away from that to being used in what one would consider blighted areas? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #20 And I think there's a movement to bring some of that back to only letting it be used for blighted areas. Schoon: I cannot talk on that movement to bring it back for only using it for blighted areas but originally it was for slum and blight. Since I've been involved in economic development, since the early '90's, economic development, in general, has been a tool...you can use it for economic development in general since at least the 1990' s. Atkins: You're not...and you're also not incorrect that there have been a lot of legislate challenges with respect to the economic development component. they have not changed dramatically but there have been legislative challenges, state legislative challenges. Lehman: They have other requirements from the recipient ofTIF to enable them to receive it? Schoon: Those are the...the requirements that we established for Tax Increment Financing and those for each project that you have before you have set out what they need to demonstrate in order to receive the Tax Increment Financing rebate: a certain amount of investment, employing a certain number of people, offering certain benefits and paying a certain wages. And those are the obligations that the company has. Lehman: Okay. O'Donnell: Thank you. Lehman: Other questions of David? Ross: In this case on 7 here and Tax Increment Financing in general, where does this money come from in order to provide this rebate, for instance the company Seabury & Smith in this case? Lehman: It comes from Seabury & Smith. That is the taxes they pay on the increased value of the property. And, if I'm not mistaken, there' s... in this case is it over a ten year period? Atkins: It's a ten-year declining schedule. Vanderhoef: Ten years on this one. Lehman: So, in other words the first year they would pay...If the taxes were $1,000, for example, in addition to the price of the land, they would get back $900 This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #21 of their $1,000 tax base. The second year they would get back $800, 7, 6, 5, 4, until the l0th year they would get back nothing and the City would coL..and the City would retain the entire amount of the tax. Ross: Does the City and taxpayers incur any charges here? I mean, are we giving up anything for this? Taxpayers may like to know. Lehman: I don't think... Champion: No. Atkins: No. Lehman: ...it has any cost to the City. We continue...Say David, if I'm not correct tell me. We continue to collect the tax on the... that would have been paid on the, on the vacant property. Vanderhoef: Right. Lehman: That we still collect. It's only the increase... Vanderhoef: The added value. Lehman: ...that is the subject of the Tax Increment Financing so, the...there is not cost to the taxpayers. Vanderhoef: What it truly does is to delay bringing in those tax dollars to the City (can't hear). However, to stimulate new jobs and expansion of businesses or bringing in new businesses we can afford to do that because we haven't lost anything in the transaction. Champion: Plus they are paying something. There isn't really 100% rebate. Lehman: Oh, fight. Champion: Right. So, they are paying. O'Donnell: High taxes, providing jobs,... Champion: Right. O'Donnell: ...the whole thing is good for the community. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #22 Pfab: I think Dee might want to make a correction or a little addition toward the statement you made and that is the City and the school system and the County delay receiving some of these taxes. Vanderhoef: That's true. Lehman: Is there any other discussion from the public during the public hearing before I close the public hearing, which I am very close to doing? O'Donnell: That should do it. Ross: Excuse me. So, I'm just curious because Irvin threw something in there. (end of side 1, 01-92) ...about what you were bringing up there. Pfab: Well, as I understand it. If my understanding is correct, the City forgives the taxes but the taxes are not paid to the school district or to the County which become...which would become due if there was no Tax Increment Financing. Kanner: Doesn't the... Lehman: Irvin... Kanner: ...school get a rebate? Lehman: I think, Steve... Pfab: It would be rebated. O'Dormell: Ifthere's no growth in that area, though, we never have the potential to develop that tax base. Kauner: David, is there a rebate for schools on this from the State? Schoon: Not that I'm aware of. Atkins: No, I think... Vanderhoef: That's the (can't hear) Atkins: ...everybody's gotthe wrong word. As I understand how the, how the school, I don't know school financing, Steven, but when they give up these taxes that also has an effect upon...Cormie, maybe you can This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #23 remember from school board days. Where their school aide helps offset the fact... Champion: Correct. Atkins: Right. So they do get an offset. Now the County, on the other hand, I do not believe gets the offset. Champion: So the school district is not directly serving the money, getting the money but the money is really given to the school district by the State. Atkins: It's offset by state funding. Champion: (can't hear) Atkins: But the County, it does not. Lehman: Here comes the expert. Here we go. Debbie Mansfield:Hello, Debbie Mansfield, Budget Analyst. If you... your total tax read is $32 and something, the other...the incremental portion, your growth portion, those tax dollars are obligated to pay the improvement off. And, all the cities, the counties, the school district, everybody forgoes their regular property tax revenue that they would get on that growth. And what they get is the amount of taxes to pay off their tax services. And the school district is the property, plant and equipment also. Champion: Oh. Mansfield: So, everybody is forgoing that revenue during the time of the TIF. And then everybody gets the regular taxes once the project is paid off. Lehman: But during this period where there's a 10%, the declining taxes, for example in the first year they do pay 10% of the increase in value. Now, that, that 10% then does go to the school, the County and the City in the, in the manner in which it normally would have without the TIF. So, City, County and school district all share the same, 10% the first, 20, 30, 40 until the 10th year when they all share 100%. Mansfield: Correct. Champion: Now would you just clarify for me? Did you say that they still pay any bond issues at the school district has? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #24 Mansfield: Right. Right. Municipalities, school district, county... Champion: (can't hear) Mansfield: ...they're always guaranteed their debt service. Champion: Great. Okay. Pfab: I have a question, Deb and that is, are you saying...and I'm...I'd have to go back and just look through the papers that the first year they pay 10%? Mansfield: I'm not aware of the specific arrangement. Pfab: Okay. Lehman: I think that's correct. Atkins: This schedule, this schedule first year is 100% rebate, second year 90, 80... Lehman: 90, 80... Atkins: ...and the 10th year is the smallest rebate, 10%. Kauner: Deb, let me, let me clear... try to get this clarified further for myself. If our debt services, lets say 25% of the property tax, how does that figure into what is paid with the TIF agreement. Mansfield: You're going to get your 25% for debt service. If they have...Basically you count the debt service part of the levy and if that comes up to $4 and something of your $32, that $4 times their total tax bill will be apportioned to debt, will get applied to debt service. So,... Atkins: And that's correct. Remember with debt service, you have sold debt and pledged that over the long pull. So, basically its set, set aside. The 25% policy, Steve, is our own internal policy with respect to our tax levy. Sort of the bottom line here is... Kanner: But it's about 25. Atkins: Yes, it is. Karmer: You can use it as a rough estimate. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #25 Atkins: That is correct. It's about 25% of our, of our tax rate. The simplest way to put it is basically debt service and it's levies are exempted from the TIF process because there is a long-term obligation on that levy. Mansfield: Right. For all (can't hear) Arkins: Whereas, our operating budgets do not have those long term obligations. And so the legislator, when they approved TIF, split them into operating and capital wanting to preserve the credit rating that a community might have when they use these monies for debt service and debt payment. Champion: Maybe if I'm re-elected I will finally understand all this TIF stuff. Lehman: Well, I think that... Kanner: Let me, let me just finish up. So... Mansfield: All right, you're doing fine. Champion: I don't think so though. Kanner: ...lets say we have $14 of property tax and $3 of that is debt service. Atkins: Okay. Kanner: That $3 is taken off which gives us $11 and then the TIF goes on that $11... Lehman: Right. Atkins: You got it. Mansfield: Correct. Kanner: ...for us. Atkins: That's it. Mansfield: Correct. Kanner: Okay. And it will be... Mansfield: And that would be... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #26 Kanner: 100% the first year and then declining... Arkins: You got it. Karmer: ... 10% each year. Champion: That' s right. Lehman: Applies only to the real estate portion of the tax bill. It has nothing to do with any other parts of that bill which would include paying off... Mansfield: No, it's...it's a...well, go ahead. Atkins: What do you mean by real estate? Lehman: Well, does not... Atkins: It's the fixed asset that's been created... Lehman: Right but... Atkins: ...the building Lehman: ...you're tax bill, part of your tax bill is for paying off debt. Atkins: Right. Lehman: That portion is not applied. It is only... Atkins: That is not applied. Lehman: ...the amount that goes to the property... Atkins: That is not applied. Lehman: ...that is the subject of a TIF. Pfab: Okay, now... Atkins: No, Ernie, I don't mean to... Champion: No, you missed most of it. Mansfield: It's to do... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #27 Atkins: ... confuse this. Mansfield: ...it has to do with the change in the, in the value of... Lehman: Right, fight. Mansfield: ...the piece of property from point A to point B. Lehman: But it is property value. Mansfield: It's total value, which would be building and land. Lehman: Right, which is property. Right. Pfab: Okay, now does the debt service for the school and the County also have...is that exempt from TIF... Mansfield: They are guaranteed their debt service. They are also forgoing just in the case where value is being added but they do not get the value on that growth until the project is paid off. So, they don't get their regular general levy or their. ..or any of their things, just like the City gives up. They also give it up. Pfab: But you say that they do get their debt service? Mansfield: They do get their debt service. Pfab: Okay. Kanner: And they get a loan to reimburse it. Pfab: The County and the school both get their debt service like the City. Mansfield: Correct. Pfab: Okay. Lehn~an: Okay. Ross: So finally, am I to understand that the schools and other services cease to have certain funding or certain availability in this time? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #28 Atkins: Schools, Ibelieve, are substantially protected, Brandon. The County, on the other hand, is not. Georgeanne Chaven: Georgeanne Chaven, 1124 Harlocke. My question is how many jobs is Seabury & Smith promising us for this, for this. And when you're talking about increasing a tax base by building apartments next to homes how can you do this with a business? I guess, you know, you're talking about giving them essentially a very long reduced ride while the rest of us are paying full taxes and I just wonder if the number of jobs that are being created compensate for this ride that the business gets. And when you talk about increasing the tax base, we have a lot of empty building...or empty business space inside the City and what are you doing to pull in more businesses inside the City to increase the tax base. Vanderhoef: Well, I can take a shot at a little bit of that. They're creating 202 new FTE's. Chaven: At what, at what pay rate? Vanderhoef: At... Chaven: Are they paying at minimum wage... Vanderhoef: The pay rate averages... Chaven: ...are they paying at $40,0007 Vanderhoef: Excuse me. The pay rate averages out at 15.70 an hour and they are also creating 25 part time jobs at roughly $8 an hour. Chaven: And are they paying benefits? Vanderhoef: That I do not know. Pfab: Okay? Chaven: I would like to know if they are paying insurance, health insurance, dental insurance for all these people. I would also like... Vanderhoef: I would suspect they are but I don't know. Chaven: . ..I wouldn't expect that with the temporary positions. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #29 Vanderhoef: The temporary, you may be correct. Chaven: And I think that may be a requirement that you should put in this. If they're getting this much of a tax rebate for so many years, I think that should be a requirement. Because we have enough people that are not covered by health insurance that if you create temporary jobs, which a lot of companies are doing to circumvent paying health insurance, that this needs to be a serious consideration. (whispering) Lehman: Irvin? Karmer: David, how long are these jobs guaranteed? Dilkes: I think David probably knows. Champion: That's a good question, too. Schoon: One clarification, they are actually to create 30 new jobs for a total of 202 full-time positions. Vanderhoef: Did I switch the two projects? Schoon: No... Wilbum: You just counted the whole... Lehman: You counted the whole... Schoon: You counted the total number of jobs... Vanderhoef: Okay. Schoon: ...they would have on site verses the number they are creating. Also, those full time positions, they do provide benefits and health insurance, vacation, retirement sorts of things. In terms of the part time positions, those would not be provided benefits. And, the average wage would be around 15.70 an hour, for the total jobs. For all jobs. Vanderhoef: All the jobs. Kanner: And how long are they guaranteed? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #30 Schoon: They need to demonstrate this through the life of the tax exemption schedule, or tax rebate schedule. Wilburn: So, ten. Vanderhoef: Through ten years. Lehman: Right. Pfab: David, I have a question. You say that there are going to guarantee to create 30 new jobs, full time jobs with benefits. And you say the average pay is 15.70... Schoon: For all of the positions. Pfab: For the 30 positions. Schoon: For the 30 positions is around 11.55 an hour. Pfab: Okay, so, 11.55 an hour. Okay. So where...where do we come up with the 15 dollars... Vanderhoef: That's average. Schoon: That's for all of the positions... Pfab: All the positions... Schoon: ...that they are going to have at their facility here in Iowa City. The average wage would be 15.70 an hour. Pfab: But they're only...But they're required to pay to get this TIF tax rebate is 30 jobs at 11.50 an hour. Schoon: What they have to demonstrate is that they have at least 202 full time positions at $15.70 an hour, average wage. Pfab: What do they have now? 202 minus 30? Schoon: Yes. Pfab: 202 - 30... Schoon: 197. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #31 Pfab: So that's 190. Okay. So what's the average pay their now? You say it's going to be up to 15. What is it now? Schoon: I don't have that number in front of me. Pfab: See, what I'm saying is this is barely a living wage here at 11.50. and what do we get? We provide police protection, we provide fire protection and what not and this, this company is not...it is not in dire straights by any means. Now they have the right, they can go some place else. But, in real estate, I think we also have to take into consideration. There are three important things in real estate. You know what they are, fight? Location, location, location. And this is the only location they can get, this is where they want to be. And the reason they want to be is because we have a good government, it is well run, there's a lot of good people living here and that's what we, the citizens spend their money for. This thing...I have great difficulty with this. It just doesn't make any sense but that's...I'm one vote. Lehman: Any other comments from the public? Robynn Shrader: I just have one. Robyrm Shrader. This wasn't my issue tonight but I feel like one of you have made a statement that I can't let go, I guess, unchallenged. Councilman O'Donnell, you said that without this project there would be no potential for the increased tax base from this and I would have to disagree. This is a tool that, I think, the community...I'm glad this discussion has occurred because I think the community needs to understand the impacts of Tax Increment Financing. That it is a tool. It is not the only way to stimulate the increase in the tax base. And that's... O'Donnell: Well, I should qualify that. If they don't add on to the building then we will not generate more taxes. That's what I meant. Shrader: And I...my only response to that I would wonder if this is the only way that that...ifthey won't do it without Tax Increment Financing. I would want, I would want the answer to that question. Vanderhoef: These tools are used regularly throughout the country. So when you are trying to stimulate growth, these are things you look at to see if they do weigh out. And certainly from the business side, I presume, they weigh it out in the same way and to what community they might choose to go to. Champion: I think you also have to look at the fact that they're not forgoing taxes totally. They're increasing every year and it turns out by the end of 10 This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #32 years that they've already paid a lot of money in property taxes. So, it is a tool and it's a tool that stimulates development, this particular development here. And I total support it. We're really not giving them the right not to pay any taxes. We'rejustgraduatingthemin. It'sjustlike when you buy a house. Your house increases with value and your taxes go up. This industry is going to increase in value and their taxes are going to go up. It's an investment (can't understand) them and it's an investment for us. O'Donnell: It's an investment in Iowa City's future, is what it is. Pfab: I would... Lehman: Let's do the public hearing and then we'll do the discussion. Joe? Champion: (can't hear) Joe Raso: Thank you, Mr. Mayor. My name is Joe Raso. I'm president of Iowa City Area Development and I'd just like to take a minute to echo what Dee and Connie and Mike have said. Though this is a very simplistic term, 100% of zero is zero. O'Donnell: Good point. Raso: You know, when Mr. Pfab made the comment about no competition, location, location, location. That's not the case. There are other locations that Seabury & Smith and the other company that' s on your agenda, as the next item tonight, have. They have choices they can make, where they put these facilities and we are in heavy competition with other communities and other states for this kind of growth. Without some kind of financial assistance there is a likelihood that not only these companies but other companies in looking at this market will make that might adversely affect the growth here in the economy. I think that when we take a look at economic development from a cities perspective, and this is Joe talking here, I view it almost as if you are looking at it as a financial institution. Are you willing to take a risk, a contact that' s been signed that if that particular client doesn't meet the covenants of the contract that they forgo certain benefits? And then there are additional benefits that the business would get, or the community would get should they go and develop a or provide assistance for a project: jobs, additional tax base, homes, retail sales, doctor visits. All those things that we want to continue to see happen in this area. The way that the economy has been going over the last few months, layoffs, closing at Goss, Purethan, Rockwell Collins, McLeod and a number of others institutions in our area, I think, sends us a This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #33 signal that when we have the opportunity to provide a partnership, really look at a partnership with these companies, that we take advantage of that. Because not only are the decisions we are making today affecting short term what assistance these companies might get but there' s also long term ramifications when additional companies, and our existing industry base, takes a look at whether they want to grow here. Thank you. Kanner: Joe,... Lehman: Thank you. Kanner: One of the problems I have with ICAD is...Certainly you're working at the direction of your board and our City Manager's your board president making the decision on what directions ICAD can go. But, I believe, not only should we work to attract some larger development and industry that' s clean and right for Iowa City but we also need to support small businesses. And I directed some small businesses to go to ICAD and you told them that's not what ICAD is there for. And I think we need to make ICAD there not only for the large businesses, the larger businesses with 200 employees, but maybe the lifeblood of Iowa City. What makes it a vibrant, exciting community, which actually is what draws people in, is that small businesses. When you look at surveys that are done over the last 20 or 30 years, the thing that draws new business in or causes business to stay, there's not tax abatement as number one. They look at the school system, they look at the community, they look at the public transportation, they look at the workforce. Those are the things I think we need to look at and push for in a better fashion. And certainly your following the direction of your Board of Directors in what ICAD is supposed to do but I think that we need a change in the direction of ICAD. And, I'm going to continue to push it from our end as a member of lCAD and our contribution of, I think we give over 50,000 a year. Raso: That's right, 50,000. Kanner: And I think we need to go in a slightly different direction. I think you are doing some good things and Seabury sounds like a good business. I don't think we have to offer these kinds of incentives to get them here in Iowa City. We can do better than that. Raso: If I could just respond to a couple of your comments... Kanner: Sure. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #34 Raso: In terms of the direction of the Board, Iowa City Area Development does have members of the public, Mr. Atkins, Mr. Hayworth, Mr. Shannahan all with the larger communities here in this area. But our direction is being lead primarily by business. It's privately lead business led publicly supported. It's apartnership. As far as your, your comment about small business, I do not look at a project and choose whether or not that business has a thousand employees or one employee, our criteria is to look at is that basic sector employer. Now for most of... many of you might not know what that means. Basic sector jobs are companies that manufacture a product or produce a service that is sold primarily outside of our area thus bringing dollars into our economy. That could be a company that three people or that could be a company that's three hundred people. So, we don't. ..when our phone rings and we're providing assistance to companies, that's one of the criteria we look at, is whether that's a basic sector. Now, do we then hang up on individuals if they're not? No, we direct them to the Chamber of Commerce, maybe to the Realtors Association, if they are looking for specific buildings, or to the City here to talk with City staff about specific needs. So, we don't just drop those individuals. We realize the importance of all sizes of business to our local economy. Lehman: Just a minute. We're not here to discuss ICAD. We're here...the public heating is on the agreement of Seabury & Smith. And I appreciate the comment but I think we need to limit our comments to the hearing that's in front of us which is the agreement between the City of Iowa City and Seabury & Smith which we have instructed that staff to prepare and they have returned with that agreement and that is the topic of this public hearing. Pfab: I would like to bring up something to you and that is the comment that these are taxes we would never get if they didn't build. I mean that' s not saying they would or wouldn't choose to come here whether they got the taxes or not. That's not the point. But it's the point that says these are taxes eventually that we wouldn't get if they didn't build. But also we are providing services during this time also. We have to increase our fire department, our police department, our other things. There's more traffic on the roads and what not. So, to say it's a free gift to the City that they graciously give, I don't like that. I mean lets call a spade a spade. It's a financial inducement for them to come. And it's no more, no less. Raso: I can't answer the cost that the City's incurred or will incur with these projects... Pfab: Are you willing to (can't hear) it's at least one cent? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #35 Champion: Why don't we move on? Lehman: Let's...again, this isn't relevant. Pfab: No, no, it is. Lehman: No, it isn't. We agreed when we asked them to bring the agreement and we talked about this before we voted on it. As a Council, we voted that we were willing to do this. The only topic of discussion at this public hearing is the agreement itself. If the agreement meets the qualifications that we've set out fine. If it doesn't then it doesn't but that' s the public. ..the purpose of the public heating. Kanner: Or if we change our mind, Ernie. You make it seem like it's set in stone. It's not anything that's set in stone. As you al...as you often say, we can change our mind at a later date when this comes up. Lehrnan: We can except that the public hearing is on the agreement. Kanner: Right. So... Lehman: Now, if we don't want the agreement we vote no. Kanner: Right. Lehman: If we want the agreement we vote yes. Kanner: So there are options. People should know that there are options. Lehman: But the discussion is relative to the agreement. Okay. Go ahead. Chaven: So, am I to understand that this agreement with this tax essential abatement that you are providing them for ten years is only going to increase 30jobs, 30 full time positions? And how is this going to be tracked? Atkins: They have to report to us. Chaven: On a yearly basis? Atkins: Yes. And it's 7 ½ million dollars in... Chaven: And, what... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #36 Atkins: Excuse me, ma'am. And a 7 V2 million dollar building is to be built. Chaven: Okay. So, so they're getting 100% tax rebate on a 7 million building, a 7 million dollar building? Lehman: For one... Atkins: For one year. Kanner: Year one. Chaven: For one year. Okay, so you take that taxes plus the taxes for the next year plus the taxes for the next year and how much are they saving? A huge amount. Kanner: Wasn't it 700,000. Vanderhoef: The max tax for this one is 781,200. Chaven: That's over the 10 year period? Vanderhoef: Yes. Karmer: If they build according to plan. Lehman: Right. Vanderhoef: True. According to the plan. Kanner: Then it gets appraised; it gets accessed at that value. That's right. Chaven: That's a tot of money for this City. Pfab: I think it's a lot of money for any City. Lehman: But... Chaven: Heck, yeah. And shoot, can I get in on this? I'm a homeowner. Can I get in on this? Lehman: You want to spend 7.6 million? Yeah, I imagine you probably could because,.. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #37 Chaven: Hey... Lehman: ...the City's take during that same period is probably very close to the same amount. That's how much we get that we wouldn't get off a piece of vacant ground. Now, is that a good investment or not? Chaven: You know, I'm a citizen, you're a public employee...you're a public servant and there is no need for you to get angry at me. Lehman: No, I'm just asking... Chaven: You are, you are being very confrontive. Lehman: I'm sorry ifI did. I don't mean to be. Chaven: And that's not okay. Lehman: Well, I'm sorry. Chaven: The other thing...the other question I have is, it doesn't appear to me that 30 jobs is worth $770,000. Figure it out. That tax that you're getting over. ..that they're getting back over ten years, divide that by 30 and how much is that? How many jobs could we create outside of that. And the other question is, did they come and ask for that or did we offer it to them before they even asked? Atkins: They asked. Lehman: I think they asked for it. Chaven: And did they give you a reason why they wanted it this way? Did they, did they threaten to leave? Vanderhoef: This is an addition to the building. Chaven: Hey, Seabury & Smith has been here for a long time. Did they threaten to leave if they didn't get this? Vanderhoef: They have other locations where they could have put... Chaven: Did they threaten to leave? Vanderhoef: (can't hear) This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #38 Raso: If I could just add a quick comment as a follow up to, to the lady's question. Actually, that's about $2,600 per year per employee for $900,000 in payroll per year. Not counting the money that they pay in taxes each year. Lehman: Okay. Pfab: Okay. Now I have one question just concerning the jobs. There's 30 jobs and I can't get, I can't pin this down, it says an average of 11.50 per job. What I'm trying to do is what are lowest full time jobs and how many jobs are created here and at what pay. What is the payroll, the minimum payroll they are guaranteeing the City they will pay? Kanner: Could we have David Schoon answer this? Pfab: Yeah, that's fine. I asked him but I didn't...we...I don't think he was able to answer. Kanner: Could you clarify the question again, Irvin? I don't quite understand. Pfab: Okay, you are telling me that they will agree to have 220 full time, full time, full benefit jobs at the end of the ten years. Champion: 202. Kanner: No, 30. Lehman: 30. Schoon: They will agree to employ a total of 202 full time positions. Pfab: 202. I'm sorry, I wrote down... Schoon: Of that 202, 30 of those are new full time positions. Pfab: Okay. What will those 30jobs pay on an individual basis? Do we know? Kanner: There was a chart originally we had that broke it down. Atkins: Yes. Vanderhoef: The range is 11.30 to 26.87. That's the range... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #39 Pfab: Therange. Okay. So... Vanderhoef: And the average for the entire company is 15.70. Pfab: But we don't 'know...Okay, so we don't know will there be 30 at 11.50 or will there be 30 at the high end? Vanderhoef: I could be one a several different starting... Pfab: Okay. I was, I was... Vanderhoef: ...salaries. Pfab: ...interested in two things. The minimum wage that these full time employees will get and the number that will be working at the minimum wage because the average moves around. Now you can have...you can hire twenty at $10 an hour and one at $150,000 and then you can draw the average up pretty nice. But if you have a lot of very low income employees there and that' s the point that I don't like to see. ..have these averages hide that. No, I think it's a good firm and I'm sure that this is not a need, they don't have a need for this. This will...makes this thing work a lot better and that. ..and I think they would be absolutely foolish when we shove it in their face and say take this. They would be disloyal, they would be poor employees and they would be not taking good care of their shareholders. I compliment them on the good sense to jump at this. Ross: Brandon Ross. All I asked was what was TIF? (laughter) Ross: It's a long time. Champion: (can't hear) Ross: I used to be a reporter so you're supposed to ask yes or no questions. So, I got it in. Well, I think what it does show the public is that it is a very compl...it's somewhat complicated issue at first and I think that we have given TIF's, Tax Increment Financing, to companies and probably the public does not really, has not understood this process. And I brought it up because I thought that a lot of things are being passes and yeah, there probably...there is some concern, yeah businesses come here and corporations have come to get tax rebates and such and get help on things. But, the citizens may not always know whether or not they would support this and want to know where these funds come from and why these This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page ~40 corporations are being bene~ted. Why are they getting this tax rebate, for instance, and maybe not themselves. Why do they not get a TIF on their own home, for instance, or public transportation or why does a plastic corporation that was allowed in to build a factory get $500,000 and to understand what the City strategy is, I think, is very important. I would suggest that possible the City should make available to the public some kind of information packet or video or some such thing that would be available at the Public Library. I'm sure there may be things in the library that refer to this, but maybe something from the City that would help the tax payers know just what this is and how they can make the stands on this. Vanderhoef: The Iowa Code is the best place to go. Raso: Iowa Code then. Lehman: That's pretty hard to understand, though. Raso: But it's pretty hard to understand perhaps and maybe we could find a good conununicator who can really cut to the chase and have it within a half an hour because I think we've gone that far anyway. But, I think there is some concern as to where our money is going in this City right now. And naturally the Chamber of Commerce and homebuilders and related groups are wanting to get certain things and yet there is still a whole of the City which is the University. Well, the University is a very big thing in this town. I think that a lot of corporations and companies come here because of the University. People haven't mentioned that. When my father-in-law Richard Hervig moved here in 1940, there was 9,000 people in this City. 6,000 of them were connected with the University. And today it remains the, probably, first thing you think about when you're in Iowa City. So, I think it would be good to be able to educate more the public on TIF and to be responsible with the talk of financing corporations here after. Lehman: Thank you. Vanderhoef: Steve, there are some brochures on TIF that come out from the state and maybe we could order some up... Atkins: Sure. Vanderhoef: ...and put them out in the public. Atkins: And I think it's also important to note that while TIF is made available for use as a City, Kirkwood Commtmity College also uses it. They use that This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #41 for a jobs training program so when you look at our book and you' 11 see property that may have, excuse the term, TIF'ed. It may not necessarily be the actions on the part of the City Council. It may have been the actions as part of Kirkwood Community College where they partner with a business to take that increment and use those monies to train employees for the particular business. So, it's used by more thanjust, just cities. Lehman: Anything else for the public heating7 Hearing is closed. Do we have a motion? 7b. Consider a resolution approving and authorizing execution of O'Donnell: So moved. Vanderhoef: Second. Champion: Second. Lehman: Moved by O'DonneI1, seconded by Vanerhoefto approve the resolution. Council discussion. Wilburn: One thing I would add, I think the education materials would be a great idea to help, help get out there so the people have access, perhaps, to a more condensed, concise and simpler understanding of what' s involved. And, you know, what it comes down to...basically what it will come down to is just a philosophical stance. And the way I'm looking at this, in this case, in these cases, is are you willing to look for some sort of investment in the community here and this business? Will you continue to play, pay your existing tax? We are willing to put a delay and phase in the value of... taxes on the value of the added improvements. We're willing to do that if you meet these criteria. The range of jobs they are going to provide, the dollars that will circulate around many sectors of the community both tangible, through, you know, wages and benefits directly to employees, but the phased in value...the increased value, however many million it is, 7.4 million dollars that will start coming in. Again, phasing into the...even just down to the people that this might retain and bring in to the commtmity. People that are going to, yes, be using some of our infrastructure, police and fire and schools, but also adding to in terms of some of the involvement that these folks will have in the community. Whether that's through haman services or working directly with the school or maybe even some running for City Council. Who knows? So, I think, in some senses you're right. We need to justify and calculate the expenses but there' s...understand there' s going to be an intangible too of some added value that we can't put our fingers on but are certainly going This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #42 to add to and invite, encourage some other companies to come to the area. So, I will be supporting this. Vanderhoef: Well, I'm real interested in the jobs that they are providing and what the industry does provide. We've been listening to our Governor and our State Legislator and looking at our census and we see the decline in the young people, the increase in the elderly. We hear that we are going to lose a lot of our work force in the next ten years and we want...we are putting an investment out in the State of Iowa for education. We've got a strong commitment for the K through 12 right now. Our universities are needing more money and obviously we have a little economic problem in the state so it isn't necessarily happening. But when we graduate people from our City schools and from our Universities and they are well trained, we need good jobs to keep them here and this is one way we can do it. And I think this particular company will offer good jobs and be inviting to our young folk. Lehman: Well put. Kanner: I actually have faith in Seabury and Owen Brockway that they want more than just money. And I think they want what most corporations want. Good corporations, as I mentioned before, they want well trained work force which we have. They want well-read people, which we have. They want good parklands, which we have. And they want good transportation, public transportation, which we have. They want good planning which we have. So I have faith that they would go for those things and if not we can nude them in the fight direction. Our job is not to comfort the comfortable as the, one of those former Kennedy's said at one time. Our job is to make sure that the benefits accrued to the whole City. I think that there were some points brought in that we need to look at, ways to get this kind of development closer in instead of out on the edge which induces sprawl and makes it harder for people to get to. I think by giving tax abatements of this sort we have unfair competition with other businesses within the City and it's unfair to the ones that perhaps have smaller businesses and can't compete in this way. And we are giving an unfair advantage with the $700,000 tax abatement. We also have the capability of putting our TIF money back into public infrastructure or we can put it back into public transportation, which would ultimately benefit, I think, Seabury and the people of Iowa City in a much better fashion. So if we're going to need to give some inducements I would suggest we do that or we give some sort of subsidy for child care which is one...I think the number one need. That' s been shown in a number of areas throughout the City, for low income, middle income and high income. I think we should be putting that money. . .If we are going to give it away back into something like child This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #43 care instead of back into the pockets of the individual investors and Seabury. I think they're better than that and we should encourage them to do better than that. That's our job as City Councilors so I'm going to be voting no against this agreement even though I appreciate the business of Seabury here in Iowa City. O'Donnell: I'm going to be voting yes for this. This is how you encourage your City to grow. It's how you provide jobs. It's how you build your tax base and it's a tool cities use all over the country. I certainly support it. Seabury is a proven commodity in our community and I encourage their growth. Champion: Well I'm also going to support it. I think it's, well a very good investment. I just want to make a correction because I hear peopel saying that the city is giving them money. We are not giving them money. we are just allowing their property tax to be phased in over ten years instead of immediate. And I'm definitely going to support it. Pfab: I have one question, if theirs someone here from Seabury & Smith, the corporate people. How many.. .did you lose a number of people in the.. .in that bombing or in that plane thing in New York? The World Trade Center, what ever it is. Your corporate people? Lehman: I don't know that that's appropriate, Irvin? Pfab: No, I just want to ask. I mean, I think he can, yes or no. Lehman: You can answer if you choose. Pfab: I think they had a pretty heavy loss. Scott Fisher: Scott Fisher, Seabury & Smith. 295 (can't understand) were lost in the World Trade Center. Pfab: So, I mean, that's pretty difficult for me to tell you I knew that all the while. And I sympathize with you. I don't agree with Tax Increment Financing but you do have my sympathy. Fisher: Thank you very much. I appreciate that. Lehman: I'm going to support this and while we will be allowing Seabury to recoup $781,000 of what they pay in taxes, my suspicion is, and I don't have the exact numbers, but the amount of money that will go into the tax hoppers for the City, the County and the school district is going to be an amount very similar to that. Every year at budget time we look at problems with This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #7 Page #44 trying to do Parks & recreation. We look at problems with funding for police, for fire, for all of those sorts of things. This project and the next one, those two alone will produce as much tax revenue for the communities of Iowa City, the school district and the County as all the residential building in this town put together in the last year. So I think this is a good investment in Iowa City and I will be supporting it. Roll call. Motion carries, 5/2, Pfab and Kanner voting in the negative. We're going to take a break now until 20 minutes until 9, which is about 10 minutes. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #8 Page #45 ITEM NO. 8. AN AGREEMENT FOR PRIVATE REDEVELOPMENT BY AND BETWEEN TIlE CITY OF IOWA CITY AND OWENS- BROCKWAY PLASTIC PRODUCTS, INC. 8a. Public Ilearing Lehman: This is a public hearing. Public heating is open. This is another very similar to the last one relative to a TIF agreement with Owens-Brockway Plastic Products. Anyone care to speak at the public hearing? O'Dormell: No. Kanner: We all understand TIF's now. Lehman: Yes. Public hearing is closed. Do we have a motion? 8b. Consider a resolution approving and authorizing execution of O'Donnell: So moved. Lehman: Moved by O'Donnell. Wilburn: Second. Lehman: Seconded by Wilbum. Discussion from the Council? Kanner: Ditto. Wilburn: What we said last time. Vanderhoef: I'll just add one thing on this that... Wilburn: No (can't hear) Vanderhoef: Oh, no. This is a new company verses an add on to an existing company and this is a company who is coming to us because they are providing a product for an existing company. And as I read through their materials they also are looking for more business in this area so they may well attract more into our area and I am very grateful for their application and glad to see them come in and hope that they will stimulate new business into our industrial parks. Lehman: Other discussion? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #8 Page #46 O'Donnell: It's another wonderful for our community to grow and I fully support this. Champion: What's a TIF? Lehman: Roll call. Champion: Go away. Lehman: Motion carries, 5/2... O'Dormell: Hallelujah. Lehman: ...Kanner and Pfab voting in the negative. Champion: Thanks. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #47 ITEM NO. 10. CONSIDER A RESOLUTION APPROVING THE 2001-2002 DEER MANAGEMENT PLAN. Champion: Move the resolution. Lehman: Moved by Champion. O'Dormell: Second. Lehman: Seconded by O'Dormell. Discussion? Kanner: Yeah. I appreciate the fact that the development is going to be looked at. I think it needs to be firmer in there and I'm still have concern with the large amount of deer that have to be killed. I have a feeling that since deer tend to procreate in greater amounts when their numbers are down that it's going to be a continual problem and we need stronger looks and plans for looking a development and other issues that effect the overpopulation of deer. So I appreciate the work that the deer management committee has done but at this time I'm going to vote no and hope that we can come up with a better program that looks at these issues in a stronger way and that doesn't have to kill as many deer. Lehman: Other discussion. O'Donnell: Well, I will be supporting it. It's a wonderful group of people, many non- hunters. I'm a non-hunter myself but when it comes to choice of a deer on a highway or a person flying through a windshield, I'm going to support the deer control. I think it's necessary and I will support it. Kanner: Have their been deer...humans flying through windshields as a result of... 0'Donnell: I don't...Steven, I would assume that there have been somewhere in the country and we want to avoid that. Karmer: No, I'm looking at in Iowa City, Mike. O'Dounell: Are you? Karmer: Yeah. Lehman: It's an accident waiting to happen. O'Donnell: Well we're trying to avoid that. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #48 Karmer: Has that happened? Do we have any information on...I would assume that would lead to a fatality. Has that happened in Iowa City, Lisa? O'Donnell: Well, it's happened in surrounding communities. Kanner: I'm looking in Iowa City. Lisa Mollenhauer: It is my understanding it's happened, if not Lirm and Johnson County, in a county that surrounds us. Karmer: But not Iowa City. Mollenhauer: Not that I'm aware of. O'Donnell: However, it may be an accident waiting to happen, is that fight? Mollenhauer: They do happen. People get killed. They go through windshields; the deer come in the vehicles. It's not unheard of. Kanner: The plan looks at some things, which I think are good. And reflectors... apparently we didn't do the best job in getting the reflectors up and there's other suggestions about ways to deal with deer... avoiding deer vehicle collisions. And perhaps we're spending (can't hear) we spend over $120,000 on this program? Mollenhauer: That's correct in total with the processing of the meat and sharp shooting and educational program, yes. Kanner: Another thing I'd like for the committee and the City to look at is lets say we take half of that money and put it into law enforcement on those areas where we know that deer are likely to cross for enfoming lower speed? (end of side 2, 01-92) ...these deer vehicle collisions with these humans flying though the windshields. O'Donnell: Or the deer going through the windshield, Steven. Mollenhauer: There is no apparently scientific evidence or studies done that indicate that lowering speeds from say 42 to 35 miles an hour would make a significant difference in the number of deer killed. You have to remember that a deer coming across a roadway is like someone standing there with a snowball and throwing it at a vehicle. And whether you are going 5 miles and hour faster or not, may not make a difference. They have found in Denmark that anything lower than 55 miles per hour can make a significant difference but when you are talking about the rates of speeds that we have This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #49 here within town, making people abide by the exact speed limit will not necessarily decrease the number of accidents. Kanner: But it could. It seems that it's something I think it's worth looking into and I don't know if... Mollenhauer: It would take an awful lot of enfomement. Karmer: What. Mollenhauer: It would take an awful lot of enforcement at all hours of the night and day. Kanner: And some more examination of it and I think that's a bit lacking. You obviously did some research into that but I have to believe that we have those signs, deer, watch for deer, for some reason and we're telling people to be more cautious and hopefully that will help them. I have to believe they do some good. Maybe we should get rid of those... Mollenhauer: Well, we have no real evidence that they do. Again, it's more of a...people don't notice signs after an amount of time. You get used to them. You hope that people pay a little bit more attention but when you drive the same roads every day you start to ignore those warnings unless you see deer on the side of the road. That is what will actually make people slow down. Champion: Well let's put a lot of plastic deer up. Mollenhauer: That was considered by the committee, actually. We thought we would pull public art in and have a combined project there but unless people realize how many kills are taking place in those areas...and a changeable sign was another idea that, you know, there would say we've had 22 hits in this area this last year. That was also a suggestion made. Kanner: Thanks. Lehman: I would like to second the comments thanking the deer committee. Obviously, it is not a popular thing to have to sharp shoot deer. And I don't think it's any more popular with the Council than it is with most of the public but the results of the last two years has certainly proven that the committee took albeit, a difficult...the right approach and it has worked. And I applaud your efforts. I don't like the idea of having to do this but on the other hand I don't know of any other alternatives. And it certainly, if we have to do it, is the most humane and obviously effective way. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #50 Champion: I want to say, more and more communities face this problem and since our deer population is increasing at an alarming rate, there may be the possibility that science wilt catch up with the deer and that it will be a simple means of birth control that effective and not dangerous to other animals or humans. So I think eventually that's going to happen but right now it's not available. Mollenhauer: Right. They're working on it. It's not yet available for a deer population like we have here in Iowa City. I did want to clarify one thing Steven said, that the deer in Iowa City will reproduce in greater rates, that may be why we're.. .we are not. ..that happens in a situation where you have such an over population of deer that there are, there is not enough food. Our deer were not to that situation yet because we kept providing food for them in our yards. And so what happens then is that the doe's are able to sustain larger numbers of features and then you have more born but we are maxing out now. We are having twins and triplets and so our deer are not going to start having 4 or 5. We were to the max already and so we were not yet to the point where are deer were starving and were not able to maintain pregnancies. Kanner: Weren't we getting reports from people or members of the committee saying how deer are...or maybe this is just community people how the deer look so hungry and that' s why we have to thin, thin the deer out. Mollenhauer: Deer can look a little scruffy at certain times of the year not necessarily due to lack of food. The way their coat looks when they're in different cycles and so we need experts to tell us that, not just people looking out their backyard. Because a deer that may look like it's starving to someone else may actually just be going through a change of their coat or something like that. So, as far as we know are deer are very healthy according to the pregnancy rates of those that were autopsied when they were, when they were killed. Kanner: So I would agree that's the point that we need to make. There's people that are saying because they are scrawny or whatever that that's why we need to thin out the deer because... Mollenhauer: Our deer were not to that point yet and the committee never indicated that they were. Kanner: Any talk about zoning with what plants can be planted in outer areas that...saying that certain zones would not allow certain plants perhaps? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #51 Mollenhauer: You mean the City would have an ordinance where people couldn't plant certain plants? Kanner: Right. Mollenhauer: We did not discuss that. Kanner: because there... Mollenhauer: We have a recommended plant list for people to use of deer resistant plants but I don't think they ever discussed legislative action. Kanner: I think that that's something we need to look at, that kind of zoning, too. O'Donnell: We're going to have this rain (can't understand) in Coralville. Pfab: Lisa, I would like to thank you and all the people on the deer committee for doing the job that I sure wouldn't want to do. I always thought that if we had too many deer there should be a way for a sportsman and a deer, at the harvest, but apparently it doesn't work. Now, I'm trying to think of these animals that roam around through the cities in Colorado. They may be coming up with a solution. They're...what are these animals? O'Dounell: Black wolf. Bear. Pfab: No. Champion: Coyotes7 Pfab: No, like the elk. The elk. They are starting to come down with a disease now where they have to shoot them. Otherwise they used to just walk through town. I've been there when they walk through town and they really take over. But maybe there... Moellenhauer: I would prefer to not have them die by disease. Pfab: ...maybe there's something going to happen there. Lehman: Okay guys, are we ready to vote. Champion: Yes. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #10 Page #52 Pfab: Yeah. Lehman: Roll call. Motion carries, 6/1, Kanner voting in the negative. Karr: Motion to accept correspondence? Vanderhoef: So moved. Lehman: Moved by Vanderhoef. Wilbum: Second. Lehman: Seconded by Wilbum to accept correspondence. All in favor? Opposed? (all ayes) Motion carries. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #11 Page #53 ITEM NO. 11. CONSIDER A RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST AN AGREEMENT BETWEEN THE CITY OF IOWA CITY AND OPN ARCHITECTS, INC FOR ARCHITECTURAL DESIGN SERVICES. Lehman: This is for the near south side Transportation Center. O'Donnell: Move the resolution. Vanderhoef: Second. Lehman: Moved by O'Donnell, seconded by Champion. Discussion? Pfab: I would like to ask you where is this finn located. Where they are? Lehman: What? Pfab: Where is this firm...where do they come from? JeffDavidson: OPN is the lead...it's a consortium of three firms. OPN of Cedar Rapids is the lead finn, HLM of Iowa City is also on the team and Desmond Parking Associates of Chicago are the parking experts on the team, those three firms. OPN is the lead. And they have done a number of jobs I Iowa City. We are very familiar with them. Lehman: Other discussion? Roll call. Motion carries, 6/1, Karmer in the negative. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #54 ITEM NO. 12. CONSIDER A RESOLUTION SELECTING A PREFERRED DEVELOPER FOR THE REDEVELOPMENT OF URBAN RENEWAL PARCEL 64-1A. Champion: Move the resolution. I mean... Lehman: You're going to have to name somebody. Champion: Right. I'm going to have to... Lehman: We need a motion on floor... Vanderhoef: I will make a motion if you'd like me to Cormie. Champion: Yes, I didn't realize I was going to have to name somebody. Vanderhoef: Okay, I move that we select the Executive Suites for our preferred developer for 64-1A. Lehman: We have a motion. Pfab: I'll second that... Lehman: We have a second that we... Pfab: ...for discussion. Lehman: ...designate the Executive Suites as a preferred developer for parcel 64-1A. Discussion? Dilkes: Wait, the resolution that's in your packet is not the resolution we've just moved. The resolution in your packet talks about Moen. Are you wanting to do a different... Lehman: I'm sorry. Champion: Oh. Vanderhoef: It doesn't say that. Dilkes: The resolution in the packet specifically...is in accordance with the staff recommendation. So that's why it's preferred. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #55 Lehman: All right, what's your pleasure Council? Do you want to move the resolution in the packet or the one that was just moved? Wilbum: Well ifthere's a motion on the floor still, we have to deal with that. Isn't that correct? Or is that... Lehman: Unless (can't understand) Wilbum: ...is the one that's listed in the packet have our...she already moved on a second one so are you saying her motion was out of order or what? Lehman: No. Dilkes: Well, I think you can put...you can put whatever motion you want on the floor but we need to identify...Do you want to do a resolution as the one in the packet but with a different developer? Lehman: You made the motion, Ms. Vanderhoef. Vanderhoef: The way I read the motion and the packet statement it does not identify a group. Karr: Item number 12...item number 12 was deferred from your last meeting. And your last meeting had a recommendation in it for Marc...for the Moen project. Lehman: (can't hear) Karr: So that resolution was deferred to this meeting specifically. Vanderhoef: But our comn~ent or resolution does not identify them by name. Dilkes: The resolution...it does. Lehman: It does. Yes, in fact, two weeks... Dilkes: The resolution specifically says... Vanderhoef: By...from the previous one but not in this one. Karr: But that's what was deferred. Dilkes: This was...this was the one deferred. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #56 Karr: So we can...you can move it and amend it if you like. Vanderhoef: Move the original and amend it. Karr: Amend it. Vanderhoef: Okay. I will withdraw if my second will. Pfab: I' 11 withdraw happily. Lehman: We now do not have a motion of any kind. Wilbun~: I move adoption of resolution as presented identifying the Moen Group. Lehman: It has been moved by Wilbum. Vanderhoef: I'll second it. Lehman: Seconded by Vanderhoef. Discussion? This is the motion that is naming the Moen project as the preferred developer. We're...anyone who would like to speak to this. Vanderhoef: I would like to offer the amendment then that the preferred developer be the Executive Suites rather than the Moen Group. Lehman: Could I suggest that the motion whether...if it's defeated automatically we'll do that? If we're only dealing with that... Dilkes: No, it won't. You'd have to... Vanderhoef: No, it won't. Lehman: All right. We have a motion to amend the resolution replacing the Executive...the Moen Group with the word Executive Suites. Is there a second to that motion? Pfab: Before I..Tll second it for discussion except that... Lehman: Okay, we have a second. Pfab: Just a second. No, I didn't say that yet. Lehman: Did you second it? Do you second it? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #57 Pfab: No. At this point, no. Lehman: Well this is the point that we're going to get a second. We need it. Do we have a second to that motion? O'Donnell: Well, Irvinjust said yes. Didn'tyou? Pfab: No. I said no. Lehman: We do not have a second. Okay, lets discuss the motion as proposed. Champion: Well I'll state my decision first. This is been the most difficult decision I have made in the past couple weeks. I think both proposals are terrifically wonderful and I've gone from one day to the next on which one is better for the future of Iowa City. And because I've been kind of swayed one way or another by many people who have talked to me, I think my own conscience tells me I have to go with my first instinct and that was to support the Moen project. That was my original instinct. I think it's the one I'm still the happiest with. I think they are both wonderful projects. I wish we could do both of them. Lehman: Other discussion? Pfab: I would like to see both of these in a public discussion where the public can sit down, talk to them and have them both there. And just...there's a lot of good things in both of them. And I think that. ..I can't see the reason why we cannot have a public discussion. Where the public can come in and ask the developers things that are on their mind. A lot of people are in the...out in the City here that have questions. There are still things that are not out in the open. I am unhappy with both of them because in the part that we, the City, is giving up the assessed value of the property. There's a lot of negotiation... Why can't some of this be done out in the public? It looks like, again, it's the TIF problem where the money goes to the people who are.. .who have. ..are well off and it's taken away from the CDBG people where this money was supposed to go. That gives me a problem. Lehman: Irvin, this has been a very public process. We've... Pfab: Have we ever had a public discussion where the public can sit down with both of these? Champion: We have. Lehman: Well, I think we had it two weeks ago... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #58 Champion: Right. Lehman: ...and again tonight. And... Pfab: No, it...but we never talked. Okay. I mean. Lehman: We also...at the point where we put out the RFP, we talked about the various things we wanted to see. We had a proposal made by staff as to the kind of development we'd like to see on that project. We discussed this publicly. Told them to go out and look for proposals. We received four proposals. We discussed them. Two weeks ago...it's...the public has the opportunity to speak tonight. I mean I don't see that this is a process that certainly doesn't give an opportunity for anyone who wants to speak to this to speak to it. Champion: And there were so many of the public at the Library where all the proposals were presented. The public was totally free to ask questions. Pfab: They could not ask questions. They could submit written questions. Champion: Well that is a question. Lehman: That's asking questions. Pfab: That was it. Kanner: So...and actually, I think, there was some...the only interaction of a sort of round table type of any inkling was at the Library but the questions were limited. The public was told that you could only ask certain type of clarifying questions. You were not allowed to bring in innovative approaches and, I think, that's the strength of our community. If we have that kind of discussion with the finalist, with the community, a round table type thing, I think we'd get even a better project and better bang for our buck. And on that point, I would have to agree with Irvin. I think that would help us getting what's best for that plot of land and what's best for the community of Iowa City. Lehman: Karin? Karin Franklin: At the Library meetings, the public was asked not to give their preferences that that was more appropriately given to the City Council. Otherwise, they were given no other instructions. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #59 Lehman: So, any questions could be asked? Kanner: I remember heating clarifying... Franklin: Any question could be asked. Kanner: ...clarifying questions only. Franklin: No, any questions could be asked and any questions were. Lehman: Other discussion from the Council? Kanner: I've talked with all four developers that gave a proposal as some time in teh last year or two and again I think they're good folks. And I think there' s some interest in what' s good for Iowa City but I think their bottom line, of course, is to make money. Our bottom line is to get the best bang for our buck for the majority of people in Iowa City. And I think when we tell them that we're going to negotiate down to who knows what for that piece of land, we do a disservice to the folks of Iowa City. I think we need to sent out bids again or bring the discussion here and make sure we get a minimum of close to one...close to the 1.7 million. I'm willing to negotiate a couple hundred thousand but to start at $250,000 as a negotiating point and possible loss of that extra 1.5 million to low and moderate income folks for our CDBG program is not good. And I think we can be innovative and we can say lets charge them close to the full price, if they'll pay it, and put some of that money back into low and moderate income housing in the proposal. That's a good way to use that money. We talk constantly about trying to integrate low income, moderate income housing with higher income. This would be a way to do that. Take 10 or 20...require 10 or 20% of the housing to be for low and moderate incomes. Lehman: But the RFP that we put out as a Council did not have that as a requirement. Now it's pretty hard to come in after proposals come in and decide we're going to change the rules. Right? Kanner: We'll if we think it's in the best interest of Iowa City we can change our minds as a Council and say this is what we want to go to. And if they don't agree with that, and if they see the bottom line as one that's not going to work for them, that's fine. We have a situation now, it's not the best from an urban planning point of view, were we're making money from that lot. We're in no rush. We've certainly got a year, year and a half before that lots going to be flee anyhow. So, we can reject all of the proposals... This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #6o Lehm an: That' s true. Kanner: ...and we can start over again. And I think we can get some good proposals where we don't have to give away close to $1.5 million for CDBG funding. Lehman: I think that's true. I will say this from my own perspective, I certainly can't speak for the rest of the Council, but if someone had told me when we put that RFP out there that we'd have anybody make a bid on that project of over $10 million, I would have been flabbergasted. $25 million just blows me away. I am so. _I think Iowa City is so fortunate to have these two proposals. And I think I've said this before, it's kind of like your father telling you he's going to give you a new Ferrari and you can't decide whether you want the red one or the black one. The City can't lose on this one and I...my only regret is that we can't do both of them. Champion: I know (can't hear) Lehman: Other comments? Pfab: Also, the point that I have here is I have a difficult time when we came to make a decision on what to do with the Library, this land was so valuable we couldn't put the Library there. I think we could have ended up, I think, with a lot better library then we got. We didn't get...we had to go down about 4 or 5 of the choices that the Board made and, the Library Board and the architect and the people that run it, we went down to 4 or 5 down below the top choices. I think something isn't right here and | don't know where it's going to go. The Library, we're going to be stuck with it. lt's a library that's gong to be difficult to run for the rest of...as long as it's there. But...and then now, all of a sudden, it's not worth...the space that was too valuable to put the Library on and now, all of a sudden, it isn't worth very much. I can't...my mind can't put those two together and... Lehman: Irvin, look at is this way. It's worth putting a $25 million building on it. Now is that worth something? Champion: That's going to help support that library. Pfab: I know. It takes a...I'mjust telling you why I have difficulty with. Lehman: Other discussion? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #61 Pfab: They're...they look like great...there's several very good projects there but there' s a lot of negotiation, a lot of changes can be made from what I can see and we're voting, again, for a kind of a cat in a sack. We don't know where the final thing is going to be. How long are...how long before...how long will the negotiations go if we pick one or the other? Champion: You're going to have a (can't hear) again. Lehman: No, Karin? I think that's a good question, Irvin. And now this was a request for proposal, which obviously means if we...and correct me, Karin, if I'm wrong. If we name a preferred developer there is always the opportunity for negotiation between the City and the developer for whatever changes that we can mutually agree on. Is that correct? Franklin: Absolutely. Pfab: But...How long, how long is this negotiation going to go? Is there a time limit? Lehman: It depends on what we're looking... Franklin: There's not a time limit. We had originally thought that we might be able to get it completed this calendar year but I don't think that' s going to happen. Assuming that you make a choice tonight, we would start negotiations immediately. We then need to do an appraisal based on whatever is negotiated to balance out the benefits of the project verses any write down in the price of land. We need to do that for HUD as well as under Urban Renewal. That will probably take a couple of months to get that completed. So, you know, it's hard to tell exactly how long the negotiations would go but I would expect...I would hope that we would be able to get through those negotiations and the steps that we have to go through for Urban Renewal and be back to the Council with a proposed developers agreement probably in February or March. Pfab: Okay. Now, is... Franklin: And, it'll depend a lot on your schedule with budget and everything. Pfab: Is there any reason we can't use that process with two different developers? Franklin: Yes. Pfab: Yeah. Okay. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #62 Lehman: I think it's called good faith. Franklin: I think that's, that's very difficult and would put us all, all three of us in an untenable position. Pfab: Okay. So there is at...okay...Let's suppose that you get to the end and the City Council in its infinite wisdom decides that it doesn't want to go far, forward. Franklin: Well, we may also come back to you and say we cannot reach an agreement. Pfab: Okay. Then what happens? Franklin: Then, I suppose, what you can do is you can go to the second person on your dance list and ask them if they still want to dance and we try negotiations with the other developer. Lehman: Or go back out. Franklin: Or we go back out. Pfab: Okay. Franklin: Or you leave things as they are and you don't put the piece on the market and approve it as a parking lot and have movies off the wall. I don't know. Pfab: Okay. And, how long does this negotiation go with one bidder...or the one developer, I guess (can't hear). Is there a time limit? Franklin: There's no time limit. I would hope that we could do it in 2 to 3 months in terms of our negotiations with them before we go through the appraisal process. But, I think, what we need to do is go a reasonable period of time in which we are making reasonable process on the negotiations to get the best arrangement for the people of Iowa City as well as the developer. Pfab: So, at this point, there is not way I'm going to pin you down for a date. Franklin: No you're not. Lehman: Well, I don't think that you could. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #63 Franklin: I can't. Pfab: Well, I'm just... Lehman: You can't. Franklin: I don't want to promise you something that can't be pulled oft'. Pfab: I'm not..Tm just...It's just a question. Franklin: Okay. Kanner: I just want to point out this is another development asking for TIF's. If...so there' s a division in that philosophy among myself and other members of the Council. I don't think we have to give out those TIF's for, for the development. I think we're...it's a lost opportunity cost. Sothat's another reason I feel that it was a bad RFP and we need to negotiate those away. Lehman: Other discussion? Are we ready to vote? Vanderhoef: No, I'm going to take a few moments here if you don't mind. Lehman: Okay. Go. Vanderhoef: You're timing me. Lehman: Yes. Vanderhoef: You've got a bell? Lehman: Yeah. Vanderhoef: From the time I came on Council I wanted to sell this property and have it developed. My goal at that time was a hotel to increase the activity downtown, to build the tax base, and to support tourism in our community. That goal, that personal goal, has not changed and it increased even during the years that I sat on the Convention and Visitor' s Bureau and learned more and more about turnover in dollars and the things that come to our community because of a good solid hotel. I congratulate the Moen Group in that they have hit all the hot buttons of things that we have all talked about and would like to have experienced some place in the downtown or near the downtown. Personally, I don't feel the grocery store in the CB-5 is the right location for it. It's going to take special exception; it's going This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page ~64 to take additional parking offof that location. We are zoned better to have a grocery store south of Bu~ington in the CB~10 area, in my estimation. And, I think, we have had some opportunities maybe that got missed on having a grocery store down there but I certainly would welcome a developer who chose to put apartments in the a...near south side area and put a grocery store under it. I think that would meet the needs of the downtown. It would make separation away from the existing grocery store that is downtown...to move it a little bit further south and give some op, options and competition. That parking that would go with this grocery store I truly believe that the library folks will end up using it because it will be easier to get in and get out of and it's gong to be free. And, that may even be a detriment to that grocery store in that grocery shoppers who do depend on a car for a larger shopping stop will not come. They will continue to move in the other direction because they won't be able to find a parking space in the limited parking there. I also am concerned with a grocery store that doesn't have a flag or a major name on it. It is one of those things that...if a market study is done for a grocery store by a major chain who says this is a viable place and I'm willing to invest my dollars in that area then I believe that they have done their job and will probably hold out even through maybe the thin times as the store is starting up. My fear is really that the grocery store deli will become more dell and more deli and ultimately become a restaurant. That's just my opinion and I can't support the grocery store piece in this place. I also have a concern on the number and the types of rooms going into the hotel. Both options...both plans have some hotel rooms but in looking at conference spaces and folks who come in number one issue for most conference people, or people who are coming for continuing education kinds of programming...number one, they aren't in the room for very long and number two and they frequently are on budgets and they want to come in at a convention rate of under $100 a night. And, luxury suites don't meet that guideline so I, I feel the one proposal with 57 luxury suites is not going to meet the need of a conference space for larger conferences. When I look at the list that was provided to us by the CDB and then in talking with folks from the University over the last couple of weeks and know about the expansion of the medical school with two auditoriums in it. One with 150 rooms another one with 300 rooms in it, or seats, excuse me. I said rooms. 150 seats or 300 seats it certainly lends itself that this will be used for medical school but it will also be used for conference space and continuing education particularly on weekends which is a time that you really...the business traveler isn't in the hotels and in many cases the empty rooms in hotels occur on weekends. Not football weekends but mostly on weekends. So, I...I'm really committed to making sure that we have two hotels side by side considerably under one roof that can flex their conference space, their break out space, their eating space, and work This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #65 cooperatively and make a very viable conference center that will put us in competition with the larger market of Davenport and Cedar Rapids. Right now we don't have that possibility. I also looked at that same hotel rooms that will be taxed at commercial rates... at commercial rate which is 100% tax...on the tax... 100% tax value. 144 rooms, even though they rent for less than a luxury suites, are going to, over the long ran, in my mind, bring in more hotel motel tax. Now those are dollars that are 25% of it is dedicated to the Convention and Visitors Bureau just in that idea to market and bring in more conferences and, and I feel very good that we give 25% to that. But those other monies, the other 75%, have a lot more flexibility. Right now we use them to support parks and recreation and our police department. But when I look at my overall budget year after year and see my general fund declining on a regular basis and not any new monies coming in to the general fund. And this community has chosen not to have the one cent sales tax. So I have to be very concerned about my tax base and the tax base off of hotel rooms are going to bring in a whole lot more off of condos and apartments. I think when I put all of these things together in my mind that though I like many parts of the Moen project and I would hope that we would have the opportunity for a grocery store and I certainly would not be opposed to having some luxury suites in the Executive Hotel, I think when I'm serving the people of Iowa City and saying that I'm going to bring in more people, bring more excitement, put them out on the streets to enjoy our City, to shop in our shops and eat in our restaurants, I think the most risk free and most positive thing for the City is going to be at the Executive Hotel. Lehman: That means you're going to support the Executive Hotel. Right? Vanderhoef: That is where I'm going. Lehman: Other discussion from Council. Wilbum: Well, I'll briefly just say that as one who did want to see it stay a parking lot and see movies offof the wall... but I lost that battle. So I was looking at all the hot spots that you mentioned the Moen Group presents, and that's exactly why I prefer that...I will be supporting the Moen Group proposal. I like the flexibility of it. I know that in terms of the grocery store, they're...I don't know. I'm going on some experiences in other communities, Chicago, New York, DC, where I've seen that type of store available to not only people in condos but in more of a highly trafficked area. So I think the potential there, is there that it could do well. I like the...I actually like the condo's, the higher rent condo and looking at perhaps a market that's not un...not tapped into. I like the fact that possibly... I think, what' s presented by the group is a complimentary This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #12 Page #66 relationship with the, with the existing hotel downtown. And given the competition in the other area, I'm looking for as complimentary a relationship in terms of getting back a little bit from the competitiveness. So, I'll stop there because I said I'd talk briefly. But I do support the Moen Group. Lehman: Other discussion? Roll call. Karmer: I wanted, I wanted to thank the Executive Hotel Group for their environmental concerns. They gave us some figures about how using their high technology system there would be potential over 50% reduction in energy costs from what's required by the Iowa energy code. And that's the kind of innovative thinking we need. I think the Moen Group is also looking in that direction although I didn't see specifics there. These...This is a good thing to have and it's not enough to sway me though to override the other concerns I have but I do appreciate that thought and we need more of that concem, that environmental concem. Lehman: This is one vote that I didn't have to vote. Champion: I know it. Lehman: But...Roll call. Vote is 4 to 3, Kanner, Pfab and Vanderhoefin the negative. Karr: We have a motion to accept correspondence. Vanderhoef: So moved. Wilburn: Second. Lehman: Moved by Vanderhoef, seconded by Wilburn to accept correspondence. All in favor? Motion carries. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #14 Page #67 ITEM NO. 14. CONSIDER A RESOLUTION APPROVING, AUTHORIZING AND DIRECTING THE MAYOR TO EXECUTE AND THE CITY CLERK TO ATTEST AN AGREEMENT BY AND BETWEEN THE CITY OF IOWA CITY AND EARTH TECH, INC. COMPANY TO PROVIDE ENGINEERING CONSULTANT SERVICES FOR THE MORMON TREK BOULEVARD EXTENSION PROJECT. Champion: Move the resolution. Lehman: Moved by Champion. O'Donnell: Second. Lehman: Seconded by O'Donnell. Estimated cost not to exceed $445,000. Discussion? Roll call. Motion carries 6/1, Kanner voting in the negative. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #15 Page #68 ITEM NO. 15. CONSIDER A RESOLUTION AUTHORIZING THE EXECUTION OF A PERMANENT WATER MAIN EASEMENT AGREEMENT AND WATER SYSTEM DEVELOPMENT AGREEMENT FOR HILLTOP MANUFACTURED HOUSING PARK BETWEEN THE CITY OF IOWA CITY AND MICHAEL AND JANET DAHLEN. Pfab: Move the resolution. Lehman: Moved by Pfab. O'Dormell: Second. Lehman: Seconded by O'Donnell. Discussion? This appears to be a pretty good investment of public funds. At an expense of $33,000 with an estimated annual return in excess of $36,000. Atkins: Even more so, Ernie, I think the fact is that we can get a good fresh water supply to these folk and fire protection... Lehman: Fire protection. Atkins: ...that they did not have before. Yeah. Lehman: I think it's a great project. Discussion? Roll call. Motion carries. 7/0. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. # 18 Page #69 ITEM NO. 18. CITY COUCIL INFORMATION. Kanner: I'11...I'll go. Lehman: Yes. Pfab: Okay. Kanner: This one thing I know...One thing I notice was in our capital improvement projects that we accepted there was one company, one project that actually came in under the bid cost. And, I assume that's kind of unusual that... Atkins: No. Kanner: ...the other way around. Champion: We've had a lot of those. Arkins: No, we've been doing real well this year. I'd say in general, Steven, we were...we've been real fortunate. It's been a good active market... Kanner: Well, not the bid. Not the bid but actually the work. The completed work. Lehman: Under the bid. Atkins: Oh, yes. Kanner: And this was the Iowa Streetscape and so it's good to see that. It usually comes in a little bit over with additions and so forth, for whatever reason. But this one came in a little under what the bid was. Arkins: It's a newer report. I think we've been probably putting it out to you last couple of years. I know a couple of you had asked about it. But yeah, we were really very fortunate with a good contractor too. Kanner: And just a note, some thought the reason we're not meeting tomorrow was because of the election but I know, pretty certain it was because the Cleveland made the playoff and so we have time to watch that and so I'm glad for that. Atkins: Three and out? Kanner: What? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. # 18 Page #70 Atkins: Three and out? Kanner: Three and out? The series this year. Atkins: Okay. Kanner: We're Cincinnati. Champion: Is it going to end like in January this year? Kanner: There might be snow. It's possible. Atkins: And I never made any claims on Cincinnati. Kanner: Good. Don't. Atkins: I won't. Kanner: We...a few of us on Council heard from someone who rode their bike on the sidewalk downtown and was arrested. And she felt that she was hassled unduly and she' s going to file a complaint and that will work it's way through the Police Citizen Review Board. My concern is perhaps, as a biker myself, that we need to look at a bike lane on Washington to allow bikers to go from east to west where it's one way. And I know it might be difficult but I think if we look at a lot of different possibilities and keep an open mind, it might be possible to do that. And that would do away with some of the hassles of people riding on the sidewalk there. Trying to get down to Clinton Street from Linn Street. Champion: We could look at that. It is a bad road to ride a bike down because of all the park...the diagonal parking. Atkins: It also goes the wrong direction. Lehman: The wrong direction? Vanderhoef: He's trying to put traffic going the wrong direction on it. Atkins: Yeah. Kanner: But maybe we could look at not having parking on one side or perhaps closing one lane off. Champion: Don't even think about it. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #71 Karmer: But it's...in other cities there's some creative approaches. I think that can work. I know it might be a little difficult with cars pulling out but it's something worth look at so we don't have to run into these kind of problems of people with their bikes. So I'm wondering ifthere's any thought of Council looking into that? Pfab: I think there's a mad rush now. Lehman: Well, let me ask you, Steve, is it possible to get a response from our traffic person on that? Atkins: Oh sure, we'll do that. I mean, I understand... Lehman: I just... At least initially... Atkins: I understand the...I think I understand the dilemma that Steve points out... Lehman: Right. And I understand it too. Atkins: ...about the bicyclists and its not an uncommon complaint but it does go the wrong direction. Lehman: Right. Atkins: And when you're heading for class is the other way. Lehman: Well, why don't we ask for some sort of a, ofa... Atkins: Let me...Let me see what some other towns do... Lehman: Run it past and see if there's the possibility of doing something. Atkins: ...and do some noising around. Sure. That's fine. We'll do that. Kanner: Two other things. I think it was last year perhaps or at least a number of months ago we decided to get letters of...concerning liability for the City in regards to the vaults in the street in front of the downtown businesses. And I'd like to know how we're doing on that. Arkins: Eleanor's can answer that. Dilkes: That's something that I have on my desk. I just haven't gotten to it yet. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #72 Kanner: Is that going to be happening pretty soon? Dilkes: I hope so. Kanner: Okay, cause this... Dilkes: I mean, some of the other things that have been more pressing. Kanner: This was about what, eight months ago. Dilkes: At least. Arkins: It' s been awhile. Kanner: And, yeah, hopefully we'll move forward. And we talked about what can we do if...If they don't comply I think we can say we're going to shut your vault if you don't sign over a letter that limits the City' s liability. It's pretty simple and we encourage people to sign that letter and watch out for people. Lehman: We'll weld it shut. Dilkes: Well I think it would likely involve court action so it is more complex than that but I'I1 be working on it. Kanner: We own the vaults don't we? Champion: No. Lehman: No. Dilkes: No. They... Kanner: No, the covers. Don't we own the covers? Lehman: No. Dilkes: They're in the right of way but their full of...some of them are full of property that we don't own and, and other things that we couldn't just go in and remove. We would have to have a court order allowing us to do that. Kanner: Oh. Yeah, all the more reason to start getting into that. And then the final thing is I heard on the radio that the FBI is calling all the police This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. # 18 Page #73 organizations throughout the country and putting them on high alert. And they are also asking corporate security to be on high alert. And I asked Steve to look in to that and what does that mean for Iowa City? Atkins: What it means is, we don't have sort of any official document, we are in communication with the FBI. They do put out notices to law enforcement. I think what they're suggesting we already did shortly after the World Trade Center disaster. At our staff meeting I ask each of the department directors, particularly those that have any outlying facilities, those that have any sort of public access, to review their security and that has been done. (can't hear - end of side 1 - 01-93)...If I'm being a little circumspect I'm not at liberty to give you the details. I don't think I should but each of your departments did go through and take a look. And we did make some security changes. Okay? Lehman: Okay? Kanner: Just a final...I'm sorry, one final thing. I know that their have been people in our community because of the color of their skin, their culture, their religion, have had threats against them in this time of, of some fear. I think we have fear and anger. There have been threats against Arabs, Arab Americans, Muslims, and Jews and Jewish organizations that I would ask that people practice tolerance. And we need to continually espouse that our strength as a community and as a country derives from having diverse and different cultures. And hopefully, people keep that in mind. Wilbum: I'd just like to remind the public that we are in the middle of the United Way funding drive and so please give and support the local United Way. And just as an assurance to you that as part of their decision as to who to allocates funding to they do have a pretty extensive citizen review process where all of the agencies will agree to be..certain criteria for accountability reasons and to make sure that your dollars are going to support some of the many of the causes that we have in the community. The second thing that I would add is I've been speaking at quite a few service clubs lately. And I was at the Optimist Club and note that the Fire Chief is a... I think he's the president of the Optimist Club. Arkins: I think the Police Chief was right before him. Wilburn: Yeah. So I just support... Champion: The (can't understand) club. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #74 Atkins: Yes. Wilburn: ...support you in (can't understand) City staff to be out in these groups that are giving to the United Way and some of the (can't hear) so, that's good work. Atkins: Thank you for mentioning that because quiet oecen there are many members of staff involved in service clubs and (can't understand) assignments throughout the City that they really don't get any credit for. And they did it because it's the right thing to do for their community. Champion: That's great. Atkins: Thank you. Lehman: Dee. Vanderhoef: Okay. I've got a couple or three things. I have been invited to participate in the Iowa League of Cities, City Voices on legislative Issues. The letter that was in our packet this time that Steve received, I have received the same one and, probably because I've been on the Legislative Committee for the State for five years so that, I will be participating in that unless there's objections. Marjan did we get any update on the meeting dates for the community... Karr: The Human Services Funding Agencies? Vanderhoef: Uh, huh. Karr: I did talk to Linda personally. She is...the budgets were just due in last Friday. Atkins: Right. Karr: She worked through the weekend to get them done and she was going to get a schedule out yet this week. And she was very optimistic that maybe she could schedule around December 5th for City funded agencies only. Vanderhoef: Good. That... Karr: It would not involve the other agencies. But it would...I would just delay our cycle probably into January. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #75 Vanderhoef: Uh, huh. Okay. Thank you. And then, I was at a very interesting meeting this past four days on transportation issues and I had come back last March and said something to Steve about one of the issues that we were looking at. And I will put it out as something that if the Council has any interest in it at a later time to get more information but it happens to be on pipeline safety. And it has to do with both natural gas and oil that flows through our community or along side of our community and how prepared we are. And we haven't had a presentation from our HAZMAT people for some time so I would appreciate some input... Atkins: Sure. Vanderhoef: ... if anybody else is interested. And also will report that at this meeting we were talking primarily about transportation issues and we had a very, very good conversation and put together a resolution for the National League of Cities on airport safety and airline safety. It was a very knowledgeable group. Some people who actually work directly in the airlines who also happen to be City Councilors. So they hit it from both sides. It was very enlightening. One of the projects I've been working on this past summer... Since last March, I've been working on a subcommittee for the National Transportation Infrastructure Committee on the Reauthorization of TEA21 which will be known at TEA3. And I had some help from staff here. And I'm happy to report that it came out of our committee and out of our steering committee that perhaps we will get some new programming that will be more beneficial to small cities and cities who are not involved in air mitigation kinds of projects. And we got the air mitigation dollars split away from congestion so there may be dollars for us to do congestion kinds of things. It'll be what we'll be lobbying for at the national level as they rewrite the TEA21 bill next year. That' s it. Pfab: I have one question for you, Dee. Vanderhoef: Sure. P fab: Did your study, or whatever it was... discussion on pipeline safety happen before or after the gentleman shot the hole in the one up in Alaska. Vanderhoef: It actually...that happened while we were there. Pfab: So you're now an expert. Vanderhoef: And they had a representative from Kodiak Alaska sitting at the table with us so it was very interesting. And another person who had made his This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #76 college way through...by working two years in the fish industry up there and then would do some pipeline stuff in the off season. And that' s how he gathered enough money to get through his masters program. And is now a librarian for the Library of Congress. Lehman: Mike. O' Donnel 1: Interesting. Vanderhoef: It was. O'Donnell: Connie and I took part in opening the Senior Center Skywalk. It was really a great day. It addresses accessibility as well as safety issues. Senior Center Commission raised, I believe, $120,000. It's really nice to have that and we really enjoyed being there. I also want to remind everybody to get out and vote tomorrow. It's very, very important. Every vote counts. Champion: At our public meeting not too long ago there were a group of citizens who said that alcohol use was a victimless crime. And the memorandum we got from Steve, which I really appreciated very much, said there were 30, 30 incidents of public intox. And we try to stress to people who complain about the police that they do not go looking for people to arrest for public intox. Of these arrests one was arrested by warrant as a sex offender, ten... there was ten damages to property or disruption of business establishment. Nine could not control themselves, they were falling in the street and passing out. You want to send these people home? Two had drug possessions, there were four assaults or fighting, one weapons and two thefts. So, I mean, alcohol is not a victimless crime and I want...I appreciate getting this information. The other thing is I want to remind everyone to vote. And although I...This is a positive thing from the police... This is not the first time that I heard that police weren't responding to calls in the Weatherby neighborhood. I don't have any idea ifthat's true. But ifthere's a perception out there that that's true I think we need to correct that. I'm sorry, Connie. I will follow up. I took notes on what... Champion: And that's not the first time I've heard that. Atkins: ...was being said and I'm going to see... see Jerry, I'm sure, in a couple of days about the committee and that will give me a chance to question him a little more. Find out what's going on. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #77 Champion: I mean I don't even like to bring that up because I'm sure there's... Atkins: I understand. It just didn't seem correct. Champion: No. It seemed strange. Pfab: I can only comment on what I was told by what I was told by the people who said they called the police and they didn't come. So that's my comment. Okay, I'd like... Atkins: Can I ask you a question. They didn't come? Pfab: The did not respond. Atkins: They never showed up? Pfab: Maybe an hour and a half later. Atkins: So they did arrive. Pfab: I...and they...Well...And there's a number of issues and I...some of it has been a couple of months ago so I'm a little reluctant to... Atkins: Oh. Pfab: At the time they were told don't call unless it's a 911. Unless it's somebody... Atkins: If you ever learn of that again, I want...I want the person's...I want the of~cer's name. Please. Pfab: I can give...I can get that for you. Atkins: Okay. I'd like to have that. Pfab: Okay. Couple of things. I was sorry to hear about the bike rider. I'm aware of the person who was stopped by the police and there was...something didn't go quite right. Because...The other day I was pulling in...I was coming across the front of...in front of the library and there happened to be a gentleman coming down on his bike merrily down past that and a squad car kind of was observing them and honked at them and said get off the bike. And that was the end of it. And that was just a very simple way. And the person decided not to ride the bike any farther. And that was the end of the incident. So I thought that was pretty good. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #78 The other thing is there was a...you talk about interesting things. There's a cartoon in today's Daily lowan about a gentleman getting on a plane. If you get a chance to look at today' s DI, I think it's the last cartoon. I just happened to catch it. It's just funny. Kind of sad but it's funny. Also, my main thing that I'd like to ask is is it possible that the City and the County...or the City can sit down with the County and go over our 28e agreement with the Senior Center? Champion: We're doing it. Atkins: We have a committee. Pfab: Okay. Champion: We're already doing it. Pfab: Okay, it's...I'm hearing various sides of it at various meetings I'm going to. There seems to be some unhappiness with the City's position. I don't know so that' s... I'd just like to hear what ever comes up. Kanner: Can we get a report? Atkins: (can't hear). Kanner: Can we get a report at the next work session on what's happening there? Champion: Sure. Sure. Pfab: That would be an excellent idea. Lehman: I've got a couple things. First, you know, if...As a Council, I think, we have to be very, very much concerned about the funding situation at the University of Iowa. Now I have talked to a couple of our representatives that go to Des Moines. I don't know that there is a thing that we as a Council can do but I would certainly encourage each of us, if we have an opportunity to speak with our state representatives... I think, you know, the University of Iowa is probably the largest single industry in the entire State of Iowa. And we talk about attracting people to this state and economic development and quality of life and all of the things that make Iowa City a wonderful place to live. The University of Iowa is directly or indirectly responsible for a lot of that. So, I think, we've got to have a very high level of concern for this and it doesn't look good next year either. So I would certainly encourage us to talk to our state representatives. On a brighter note, Saturday is the dedication of Tower This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #79 Place, the Iowa Avenue Streetscape, Literary Walk Dedication. I mean, this is an event that starts at 1:00 in the afternoon and runs until 6:30. A lot of things going on; a lot of fun. I think even our City Manager is going to read a book. Did I hear that Steve? That you're going to read? Atkins: Yes. I am. Lehman: I did. I did hear that right. Atkins: (can't hear) to small children. Lehman: Okay, to small children. Atkins: Yes. As long as I don't have to wear a funny hat I'll do fine. Lehman: If my grandchildren were here I would bring them. Well this is a... Vanderhoef: I'll do it with a funny hat. Lehman: This is a really, a really... Atkins: We do need some volunteers. Vanderhoef: I will be back. Atkins: Check with Dave Schoon. It would be nice for as many of us to be there as possible. You know, the Iowa Avenue Streetscape was a joint venture with the University of Iowa and I think that the comments that I've heard have been extremely positive. It's an absolutely beautiful project. And the University of Iowa will have folks there to participate in the festivities so Saturday, October 13. I'm sure the paper will have some schedules but the festivities do Atkins: There was a flyer... Champion: In our packet. Lehman: Right. Atkins: I mean the one in the news... Lehman: In the newspaper? This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #18 Page #80 Atkins: ...newspaper. I think it was over the weekend. I don't recall... Karr: It's also on the City's web page. Lehman: Right. Atkins: Thank you. And it's also on the web page. Lehman: Anyway, big event and I think we should try to be there. The other thing is next Sunday the 14th is Run for the Schools. Now that' s a road race, walk, whatever that's been going on for years and years. It wasn't always referred to as Run for the Schools but it's a wonderful project and helps support the very, very finest school system in the entire State of Iowa. So, if you get a chance, come on down. I'll be there at 8:30 to...I'11 get you all off running and then I'll leave town. Okay. Steve? Champion: I just want to add that I've been a great lover of the new Iowa Avenue and have decided that from the very beginning that I'm going to be out of town. Lehman: Mike will represent you there. Champion: Okay. Lehman: Okay. Steve, do you have anything. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001. #19 Page #81 ITEM NO. 19. REPORT ON ITEMS FROM CITY STAFF. c. City Manager Atkins: Yeah, just a couple quick things and everything isn't doom and gloom. We got three really good projects getting near the end of construction season. Go out and take a look. Don't forget. Hunter's Run Park Trails are about 75% in. We're going to put the bridge in hopefully yet this week. City Park Trails, the new renovations going on. Skate Park is under construction. Remember that. Riverside Theater getting...we'll be doing the concrete work. And those of you going, don't forget the park tour on Wednesday night. Lehman: Now Mormon Trek is really...Mormon Trek is really... Arkins: I'm just going with the recreation...I mean one of the things...the street projects quite frankly we all have the hullabaloo about it and we forget aobut all the really good parks and recreation things we do in the course of the year. And we just got a lot of good ones we're getting ready to wrap up. Lehman: Right. That you, Steve. Marian? Eleanor? Do we have a motion to adjourn? O'Donnell: So moved. Karmer: Second Lehman: Motion to second? All in favor? (all ayes) Motion carries. We are adjourned. Thank you. This represents only a reasonably accurate transcription of the Iowa City council meeting of October 8, 2001.