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2014-01-21 Resolution
- #-=-r. -14 CITY OF IOWA CITY 044 MEMORANDUM 3d111 Date: January 14, 2014 To: Tom Markus, City Manager From: Michael Moran, Director of Parks and Recreation Re: Consider a resolution establishing a revised schedule of fees and charges for Parks and Recreation services and programs Introduction: City Code requires the Parks and Recreation Department to submit a schedule of fees and charges every year for approval by the city council. History /Background: The Parks and Recreation Commission annually reviews, make suggestions and approves fees and charges for all Parks and Recreation Department services and programs. The matrix presented is done on a three year outlook, similar to the three year outlook that regular budgeting is done on. City Code requires review and passage every year. Discussion of Solution: Review and approve the matrix with any suggested changes, recomendations and /or improvements. Recommendation: Approve the fees and charges schedule as submitted and endorsed by the Parks and Recreation Commission. It should be noted that some of the proposed fees will take effect in FY 14 because the summer season begins in FY14 but continues into FY15. Fiscal Impact: This schedule will allow the department to plan its cost recovery mission for the next several years and make us more cost effective and efficient. F Prepared by: Michael Moran, Parks & Recreation Director, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5104 RESOLUTION NO. 14 -13 RESOLUTION ESTABLISHING A REVISED SCHEDULE OF FEES AND CHARGES FOR PARKS AND RECREATION SERVICES AND PROGRAMMING AND RESCINDING AND REPEALING RESOLUTION NUMBER 13 -265 PREVIOUSLY ESTABLISHING SAID FEES AND CHARGES. WHEREAS, the City Code provides that, "Upon recommendation of the Parks and Recreation Commission, all Parks and Recreation fees shall be established by City Council resolution "; and WHEREAS, the Parks and Recreation Commission has reviewed all fees and is recommending certain increases to be implemented in FY14 along with tentative increases for FY15 and FY16. WHEREAS, it is in the public interest to review and occasionally revise said fees. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the schedule of fees and charges for parks and recreation services and programming as recommended by the Parks and Recreation Commission on December 11, 2013 and attached hereto, be adopted for the relevant remainder of FY14 as well as FY15, and that Resolution Number 13 -265 previously establishing said fees and charges is hereby repealed and rescinded. Passed and approved this 21st day of January , 2014. MAYOR ATTEST: CIT L E R K F* t 06,,�1�91wm c �sa P I., It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton City of Iowa City Parks and Recreation Department Revenues LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files%ContentOWOOk%3R4VESp0%Rec Fees 2015 Commission.xls 111512014 2013 GL / Revenue Type 2011 Actual 2011 Fee 2012 Actual 2012 Fee Special Events (Theme Park 441230 Rec. Center Operations 346700 Tickets) (13,922) 546 5 -46 1,653 5 -46 5 -46 5 -46 5 -46 382200 Building /Room Rental (28,211) (26,846) (25,680) (33,890) (26,700) (26,700) -Mtg Rm /Kitch /Craft Rm 15.00 17.50 30.00 30.00 32.00 32.00 - Social Hall 65.00 70.00 70.00 70.00 80.00 80.00 Gymnasium -Half Court 32.50 40.00 40.00 45.00 45.00 45.00 -Full Court 65.00 70.00 70.00 75.00 75.00 75.00 Affiliate Group Rentals -lost ofFUn Rental Fee (4,236) - 441230 Rec. Center Operations 382400 Locker Rentals (4,308) (3,364) (2,473) (4,400) (2,500) (2,500) -Daily (coin operation) .25 -.50 .25 -.50 .25 -.50 .25 -.50 .25 -.50 .25 -.50 -Six Months 40.00 45.00 45.00 45.00 48.00 48.00 441230 Rec. Center Operations 384200 Vending Machines (5,894) (5,411) (5,314) (7,582) (5,540) (5,540) 441230 Rec. Center Operations 384900 Equipment Rental (21) (130) (12) (140) (140) (140) - Weekday 8.00 9.00 9.00 10.00 10.00 10.00 - Weekend 11.00 12.00 12.00 13.00 13.00 13.00 441230 Total ,880) 441240 Farmer's Market 348300 Advertising Fees (2,725) 0.50 (3,367) 0.50 (2,918) 0.50 (3,500) 0.50 (3,500) 0.50 (3,500) 0.50 441240 Farmer's Market 362100 Contribution & Donations (3,601) 3100.00 (3,100) 3100.00 (3,043) 3100.00 (3,100) 3100 (3,100) 3100 (3,100) 3100 441240 Farmers Market 363910 Misc. Sale of Merch (5,272) 6 -11 (5,282) 6 -11 (4,012) 7 -12 (5,000) 7 -12 (5,000) 8 -13 (5,000) 8 -13 441240 Farmers Market 369100 Reimb of Expenses - 0.00 - 0.00 0.00 - 0.00 0.00 0.00 441240 Farmer's Market 382100 Land Rental (49,100) 8.50 -10.50 (54,611) 9.50/11.50 (63,826) 9.50/11.50 (67,800) 12.50/14.00 (70,180) 12.50/14.00 (70,180) 12.50/14.00 441240 Total (60,698) (66,360) (73,799) (79,400) (81,780) (81,780) 441245 Sycamore Market 382200 Building /Room Rental (5,693) 132.00 (5,288) 132.00 (4,725) $135.00 (13,200) 20.00 (13,200) 20.00 441245 Total 91111111111111 (5,693) (5,288) (4,725) (13,200) (13,200) 441302 Potter's Studio 346200 Punch Pass (2,315) 120.00 (2,480) 120.00 (3,045) 125.00 (2,400) 125.00 (2,600) 130.00 (2,600) 130.00 441302 Potter's Studio 346400 Lessons (480) 20.00 - 20.00 (35) 22.00 (220) 22.00 (240) 24.00 (240) 24.00 441302 Potter's Studio 363910 Misc Sale of Merchan (864) Cost +5% (936) Cost +5% (630) Cost +5% (1,033) Cost +S% (1,033) Cost +5 (1,033) Cost +5% 441302 Potter's Studio 392300 Sale of Equipment 441302 Total (3,659) (3,416) (3,710) (3,653) (3,873) (3,873) 441304 Children's Theatre 346400 Lessons (2,298) 34.00 (1,976) 34.00 (6,940) 34.00 (3,363) 35.00 (3,363) 35.00 (3,363) 35.00 441304 Total (2,298) (1,976) (6,940) (3,363) (3,363) (3,363) 441305 Summer Playgrounds 362100 Contrib & Donations (1,000) (1,000) (1,000) (650) (650) (650) 441305 Total (1,000) (1,000) (1,000) (650) (650) (650) 441306 Nature Awareness 346400 Lessons (1,470) 24.00 (160) 24.00 (245) 24.00 (1,715) 26.00 (1,715) 26.00 (1,715) 26.00 441306 Nature Awareness 362100 Contrb & Donations (200) (2,000) 441306 Nature Awareness 362100 Contrb & Donations (10,000) 441306 Total (160) (1,715) (1,715) (1,715) LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files%ContentOWOOk%3R4VESp0%Rec Fees 2015 Commission.xls 111512014 City of Iowa City Parks and Recreation Department Revenues LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files% ContentOWOOk% 3R4VESp0 1Rec Fees 2015 Commission.xls 111512014 RP so Cost Center GL / Revenue Type 2011 Actual 2011 Fee 2012 Actual 2012 Fee 2013 Actual 2013 Fee 2014 Budget 2014 Fee 2015 Proposed 2015 •(97,182) 441307 Summer Camp 346400 Lessons (105,553) 135.00 (89,012) 140.00 (88,492) 145.00 (90,000) 150.00 (97,182) 155.00 155.00 441307 Summer Camp 363910 Misc Sale of Merchan 441307 Total (105,553) (89,012) (88,492) (90,000) (97,182) ,182) 441308 Culture Act - Children 346400 Lessons (20,718) 18.00 (25,723) 18.00 (27,365) 20.00 (21,537) 20.00 (27,717) 22.00 (27,717) 22.00 441308 Culture Act- Children 346700 Special Events (463) 85.00 (1,192) 85.00 (135) 90.00 (510) 90.00 (535) 95.00 (535) 95.00 441308 Total (21,180) (26,915) (27,500) (22,047) (28,252) (28,252) 441309 Culture Act -Adult 346200 Punch Pass (150) 10.00 (20) 10.00 11.00 (220) 11.00 (242) 12.00 (242) 12.00 441309 Culture Act -Adult 346400 Lessons (11,062) 85 -100 (11,310) 85 -105 (6,085) 90 -110 (11,066) 90 -110 (9,542) 95 -115 (9,542) 95 -115 441309 Total (11,212) (11,330) (6,085) (11,286) (9,784) (9,784) 441310 Social Act- Children 346400 Lessons (32,207) 16 -26 (18,651) 16 -26 (6,871) 16 -26 (19,000) 18 -28 (19,243) 18 -28 (19243) 18 -28 441310 Social Act- Children 346700 Special Events (658) 85.00 - 90.00 (5,769) - 441310 Social Act - Children 363910 Misc Sale of Merchan (5,000) 10.00 (2,235) 10.00 (2,510) 10.00 (3,900) 10.00 (2,000) 10.00 (2,000) 10.00 441310 Social Act - Children 369100 Reimb of Expenses (2,170) (300) 441310 Total ( , (20,886) (21,243) (21,243) 441311 SocialAct -Adult 346400 Lessons (1,058) 2.00 (724) 2.00 (383) 2.25 (1,095) 2.25 (1,095) 2.50 (1,095) 2.50 441311 Total (1,058) (724) (383) (1,095) (1,095) (1,095) 441401 City Park Pool Oper 346100 Admissions (62,550) 3.00 (67,334) 3.00 (50,590) $2 -$4 (65,520) $2 -$4 (56,344) $2 -$4 (60,288) 3 -5 441401 City Park P00l Oper 346200 Punch Pass (5,553) 24.00 (7,837) 26.00 (2,627) 26.00 (6,420) 28.00 (5000) 28.00 (5350) 30.00 441401 City Park Pool Oper 346300 Pool Pass (6,576) (13,127) (11,300) (12,091) - Annual Pass 174.00 186.00 186.00 194.00 194.00 202.00 441401 City Park Pool Oper -30 Day Pass (summer pass) 66.00 69.00 69.00 18.00 18.00 20.00 441401 City Park Pool Oper 382200 Building /Room Rental (866) (129) (47) 441401 City Park Pool Oper 382400 Locker Rentals - (419) (436) (679) (700) (700) 441401 City Park Pool Oper 384200 Vending Machine Comm (3,003) (3,066) (2,670) (2,610) (2,610) (2,610) 4414U1 TotaF 7) (56,3 (75,229) ) 441402 Mercer Prk Pool Oper 313300 Hotel /Motel Tax (111,829) (122,804) (130,755) (108,589) (110,000.00) (110,000.00) 441402 Mercer Prk Pool Oper 336120 Iowa City Comm Schools (117,908) (98,163) (99,404) (104,440) (104,440.00) (104,440.00) 441402 Mercer Prk Pool Oper 336190 Other Local Govemme - 441402 Mercer Prk Pool Oper 346100 Admissions (25,020) 3.00 (26,994) 3.25 (27,577) 3.25 (40,294) 4.00 (40,294.00) 4.00 (42,711.00) 5.00 441402 Mercer Prk Pool Oper 346200 Punch Pass (19,435) 24.00 (24,230) 26.00 (9,450) 26.00 (26,112) 28.00 (29,112.00) 28.00 (30,858.00) 30.00 441402 Mercer Prk Pool Oper 346300 Pool Passes (51,450) (47,014) (16,082) (58,886) (58,886.00) (62,419.00) - Annual 174.00 186.00 186.00 194.00 194.00 202.00 - Summer Pass 66.00 69.00 69.00 - Monthly Pass 12.00 14.00 16.00 16.00 18.00 20.00 441402 Mercer Prk Pool Oper 363910 Misc. Sale of Merch. 441402 Mercer Prk Pool Oper 369100 Reimb of Expenses - - (1,100) 441402 Mercer Prk Pool Oper 369900 Misc Other Income (88) - 441402 Mercer Prk Pool Oper 382200 Building /Room Rental (16,709) (14,118) (15,187) (16,555) (16,555.00) (18,000.00) 441402 Mercer Prk Pool Oper 382400 Locker Rentals (2,756) (3,489) (2,322) (3,500) (3,500.00) (3,500.00) 441402 384200 Vending Machine Comm (5,137) (4,890) (4,160) (7,500) (4,100.00) (4,100.00) 441402 Total (306,037) (365,876) (366,887) (376,028) LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files% ContentOWOOk% 3R4VESp0 1Rec Fees 2015 Commission.xls 111512014 City of Iowa City Parks and Recreation Department Revenues LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files%ContentOWOOk%3R4VESp0%Rec Fees 2015 Commissionals 111512014 GIL / Revenue Type 2011 Actual 2011 t i 12 Fee 2013 Actual 2013 i i 14 Fee 2015 Proposed 2015 •(18,035) 441403 Rec Center Pool Oper 346100 Admissions (12,653) 3.00 (9,925) 3.25 (66,941) 3.25 (17,015) 4.00 (17,015) 4.00 5.00 441403 Rec Center Pool Oper 346200 Punch Pass (14,476) 24.00 (13,350) 26.00 (3,858) 26.00 (15,273) 28.00 (15,273) 28.00 (16,189) 30.00 441403 Rec Center Pool Oper 346300 Pool Passes (15,965) (15,312) (5,806) (18,014) (18,014) (19,095) - Annual Pass 174.00 186.00 186.00 194.00 194.00 202.00 441403 - Summer Pass 66.00 69.00 69.00 441403 - Monthly Pass 12.00 14.00 16.00 16.00 18.00 20.00 441403 Rec Center Pool Oper 346700 Special Events (1,528) (1,328) (415) (1,814) (1,800) (1,400) 441403 Rec Center Pool Oper 382200 Building /Room Rental (476) (335) (1,294) (515) (515) (750) 441403 Total (45,097) qw, (40,250) (76, (52, (52,617) (55,469) 441404 Aquatics Ins -Rec Cnt 346400 Lessons (36,817) (35,576) (6,428) (35,573) (35,573) (37,707) -Red Cross 30.00 30.00 32.00 32.00 32.00 34.00 - Private 36.00 36.00 36.00 36.00 36.00 38.00 -Adult Lessons 34.00 34.00 34.00 34.00 34.00 36.00 -Basic Water Rescue 65.00 65.00 - Lifeguarding 100.00 100.00 100.00 100.00 100.00 110.00 -Water Safety Aide (20 hr) - - -Water Safety Inst. (40 hr) 125.00 125.00 125.00 125.00 125.00 135.00 - Lifeguard Instructor 60.00 60.00 441404 Total (36,817) (35,516) (6,428) NRr (35,573) (35,573) (37,707) 441405 Aquacizing - Mercer Pk 346200 Punch Pass (8,094) 65.00 (8,723) 65.00 (1,804) 70.00 (12,341) 70.00 (12,341) 70.00 (13,204) 75.00 441405 Aquacizing- Mercer Pk - Single Admision 3.25 4.00 4.00 4.00 4.00 5.00 441405 Aquacizing - Mercer Pk 346400 Lessons (260) (332) 441405 Total (8,354) (8,723) (2,136) (12,341) (12,341) (13,204) 441406 Aquatics Ins -City Pk 346400 Lessons (8,684) 25.00 (6,939) (417) (7,420) (7,420) (7,939) -Red Cross 30.00 30.00 32.00 32.00 32.00 34.00 - Private 36.00 36.00 36.00 36.00 36.00 38.00 -Adult Lessons 34.00 34.00 34.00 34.00 34.00 36.00 -Basic Water Rescue 65.00 65.00 - Lifeguarding 100.00 100.00 100.00 100.00 100.00 110.00 -Water Safety Inst. (40 hr) 125.00 125.00 125.00 125.00 125.00 135.00 - Lifeguard Instructor 60.00 60.00 441406 Total ML, JOEL (8,684) (6,939) (7,420) (7,939) 441407 Aquatics Ins- Mercer 346400 Lessons (36,706) (40,948) (78,882) (39,274) (39,274) (42,023) -Red Cross 30.00 30.00 32.00 32.00 32.00 34.00 - Private 36.00 36.00 36.00 36.00 36.00 38.00 -Adult Lessons 34.00 34.00 34.00 34.00 34.00 36.00 -Basic Water Rescue 65.00 65.00 - Lifeguarding 100.00 100.00 100.00 100.00 100.00 110.00 -Water Safety Inst. (40 hr) 125.00 125.00 125.00 125.00 125.00 135.00 - Lifeguard Instructor 60.00 60.00 441407 Total INV (36,706) (40,948) (78,882) (39,274) (39,274) (42,023) 441408 Aquatics Supervision 363910 Misc Sale of Merchan (806) (1,608) (1,000) (1000) (1000) 441408 Total (806) - (1,608) (1,000) (1000) (1000) 441501 Clubs 346500 Entry Fees (636) 12.00 (674) 13.00 (203) 13.00 (910) 13.00 (975) 14.00 (975) 14.00 441501 Total (636) (674) (203) (910) (975) (975) LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files%ContentOWOOk%3R4VESp0%Rec Fees 2015 Commissionals 111512014 City of Iowa City Parks and Recreation Department Revenues Cost Center GIL / Revenue Type 2011 Actual 2011 Fee 2012 Actual 2012 Fee 2013 Actual 2013 Fee 2014 Budget 2014 Fm 2015 Proposed 2015 FCMA I 441502 Special Events 345600 Chartered Bus Trips (740) (2,140) 441502 Special Events 346400 Lessons (2,041) $6 -$21 (3,046) $6 -$21 455 $7 -$22 (2,643) $7 -$22 (2,987) $8 -$23 (2,987) $8 -$23 441502 Special Events 346700 Special Events (695) (6,629) 441502 Special Events 362100 Contrb & Donations 50 441502 Total (3,476) 1 (6,174) (2,643) (2,987) (2,987) 441503 Rec Activities 346400 Lessons (7,174) $16 -$21 (8,670) $16 -$21 (9,695) $16 -$21 (8,476) $17 -$22 (8,476) $17 -$22 (8,984) $18 -$23 441503 Total 9r (7,174) (8,670) (9,695) (8,476) (8,476) (8,984) 441504 Adapted Aquatics 346400 Lessons (2,047) 32.50 (2,500) 32.50 (2,378) 32.50 (2,583) 34.00 (2,583) 34.00 (2,738) 36.00 441504 Total (2,047) (2,500) (2,378) (2,040) (2,040) (2,738) 441601 Aerobics 346200 Punch Pass (9,764) 55.00 (9,549) 55.00 (7,137) 60.00 (8,480) 60.00 (9,158) 65.00 (9,158) 65.00 - Drop -in 4.50 4.50 5.00 5.00 6.00 6.00 441601 Aerobics 346400 Lessons (1,885) (326) (2,890) (2,890) (2,890) 441601 Aerobics 346500 Entry Fees - - 441601 Aerobics 384900 Other Commissions (5,544) 0 0 441601 Total (11,193) ,875 ,048) (12,048) 441702 Softball -Adult 346500 Entry Fees (49,728) (51,110) (46,275) (45,000) (49,038) (51,000) - Summer League 380.00 390.00 390.00 400.00 400.00 410.00 - Summer League Co-Rec 400.00 400.00 400.00 410.00 410.00 420.00 -Fall League 210.00 215.00 215.00 225.00 225.00 235.00 -Fall League Co-Rec 220.00 225.00 225.00 235.00 235.00 245.00 441702 Softball -Adult 363910 Misc Sale of Merchan - - 441702 Softball -Adult 369100 Reimb of Expenses 441702 To (49,728) (51,110) (46,275) (45,000) (49,038) (51,000) 441705 Racquetball 382200 Building /Room Rental (1,771) 4.00 (1,540) 4.00 (1,083) 4.00 (1,547) 4.50 (1547) 4.50 (1547) 4.50 441705 Total (1,771) (1,540) (1,083) (1,547) (1,547) (1,547) 441707 Tennis Instr -Adult 346400 Lessons (380) (400) (113) (712) (712) (712) - Instructional - 45.00 47.50 47.50 47.50 47.50 47.50 - League 20.00 22.00 22.00 22.00 22.00 22.00 441707 Total (380) (400) (113) (712) (712) (712) 441708 Tennis lnstr -Youth 346400 Lessons (3,746) (4,119) (3,728) (4,207) (4,207) (4,207) - Tennis 1'2'3 22.50 25.00 25.00 27.50 27.50 27.50 -NJTL 30.00 32.50 32.50 35.00 35.00 35.00 441708 Tennis Instr -Youth 362100 Contrib & Donations (650) (2,750) 441708 Total IIIIIIIIIIIIIIIIIN (4,396) (6,869) (3,728) (4,207) (4,207) (4,207) 441710 Football -Youth 346400 Lessons (6,528) 32.50 (6,684) 35.00 (7,576) 35.00 (10,350) 37.50 (10,350) 37.50 (11,075) 40.00 441710 Football -Youth 362100 Contrib & Donations - - 441710 Football -Youth 384900 Other Commissions 441710 Total (6,528) (6,684) (7,576) (10,350) (10,350) (11,075) 441711 Volleyball -Adult 346500 Entry Fees (6,781) (5,733) (5,360) (8,300) (8,300) (8,800) - Indoor 120.00 125.00 125.00 130.00 130.00 135.00 - Outdoor 90.00 441711 Total (6,781) (5,733) (8,300) (8,300) (8,800) LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files% ContentOWOOk% 3R4VESp0 1Rec Fees 2015 Commission.xls 111512014 City of Iowa City Parks and Recreation Department Revenues Cost Center GL / Revenue Type 2011 Actual 2011 Fee 2012 Actual RP 2012 Fee 2013 Actual 441712 Volleyball -Youth 346400 Lessons (1,613) 32.50 (1,592) 35.00 (1,315) 35.00 (3,112) 40.00 (3,112) 40.00 (3,267) 42.00 441712 Volleyball -Youth 346500 Entry Fees 441712 Total (1,613) (1,592) (1,315) (3,112) (3,112) ,267) 441713 Basketball -Adult 346500 Entry Fees (2,411) 250.00 (1,892) 250.00 (2,285) 270.00 (3,000) 270 (3,000) 270 (3,210) 290 441713 Total (2,411) (1,892) (2,285) (3,000) (3,000) (3,210) 441714 Basketball -Youth 346400 Lessons (10,968) 32.50 (10,482) 35.00 (9,832) 35.00 (13,125) 37.5 (13,125) 37.5 (14,043) 40 441714 Basketball -Youth 362100 Contnb. & Donations 441114 Total (10,968) (10,482) (9,832) (13,125) (13,125) (14,043) 441715 Gymnastics 346400 Lessons (3,219) 32.50 (3,818) 35.00 (4,875) 35.00 (3,900) 37.50 (3,900) 37.50 (3,900) 37.50 441715 Gymnastics 346700 Special Events (114) 85.00 (35) 87.50 (295) 87.50 (255) 90.00 (255) 90.00 (255) 90.00 441715 Total =400off- (3,333) (3,853) (5,170) (4,155) (4,155) (4,155) 441716 Other Sports -Adult 346400 Lessons (8,010) (5,892) 100.00 (4,742) 100.00 441716 Total (8,010) (5,892) (4,742) - - - 441718 H S Basketball 346500 Entry Fees (1,014) 130.00 (1,000) 130.00 (799) 135.00 (1,350) 135.00 (1,350) 135.00 (1,350) 135.00 441718 Total (1,014) (1,000) (799) (1,350) (1,350) (1,350) 441719 Scanlon Gym 313300 Hotel /MotelTax (93,191) (101,737) (108,963) (90,491) (101,297) (101,297) 441719 Scanlon Gym 346100 Admissions (9,740) (11,498) (9,000) (8,458) (10,080) (11,592) -Tot Time 1.25 1.50 1.50 $1.50 $1.50 $1.75 441719 Scanlon Gym 346400 Lessons - - 441719 Scanlon Gym 346700 Special Events (9,925) (9,850) (9,094) (8,904) (9,623) (9,623) - Birthday Parties 85.00 85.00 85.00 90.00 90.00 90.00 441719 Scanlon Gym 348900 Charges for Services - - (17) 441719 Scanlon Gym 362100 Confib & Donations 441719 Scanlon Gym 382200 Building /Room Rental (33,935) (33,265) (36,775) (40,122) (34,658) (34,658) -Gym 40/70 40/70 40/70 45/75 45/75 45/75 -P&G Room 35.00 35.00 35.00 40.00 40.00 40.00 441719 Scanlon Gym 382300 Equipment Rental (187) (17) 441719 Scanlon Gym 392300 Sale of Equipment (140) 441719 Total ( ) (156,367) (147,975) (155,658) (157,170) 441720 Preschool Activity 346400 Lessons (17,219) (22,442) (17,261) (17,200) (17,200) (18,404) -Start Smart 25.00 25.00 25.00 27.50 27.50 30.00 -Tee Ball 35.00 37.50 37.50 37.50 37.50 40.00 -Tot Fundamentals 17.50 17.50 15.00 17.50 17.50 20.00 - Soccer 35.00 35.00 35.00 37.50 37.50 40.00 441720 Preschool Activity 346700 Special Events (85) - Roller Skate Night 441720 Preschool Activity 362100 Confib & Donations - (500) 441720 Preschool Activity 384900 Other Commissions (163) (145) (162) (250) (250) (250) 441720 Total (17,467) 9r (23,087) (17,423) (17,450) (17,450) (18,654) 441721 Jr High Activity 346700 Special Events (2,349) - - - Roller Skate Night 5.00 5.00 5.00 5.00 5.00 5.00 441721 Jr High Activity 348900 Charges for Services - - 441721 Jr High Activity 362100 Contdb & Donations (3,280) 441721 Total (5,629) LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files% ContentOWOOk% 3R4VESp0 1Rec Fees 2015 COmmission.xls 111512014 City of Iowa City Parks and Recreation Department Revenues Cost Center GIL / Revenue Type 441723 Grant Wood Gym 362100 Contnb & Donations 441723 Grant Wood Gym 382200 Building /Room Rental 2011 Actual - (4,365) 2011 i - 40170 (8,564) RP i 12 Fee 40/70 2013 (11,211) 40/70 (5,355) 45/75 (8,053) 45/75 (8,616) 50/80 441723 To (4,365) (5,355) (8,053) ,616) Non Resident Fees (5,000) (5,000) (5,000) (5,000) (5000) (5000) Low Income Discounts 15,000 15,000 15,000 15,000 10000 11000 Sales Tax 26,952 27,190 28,000 28,000 29000 29000 441717 Other Sports - Youth (6,410) 35,000 LELEWIS: C:1Usem%jvo"di App0ab %Lowl%MicrosoMWindms%Tempomry Internet Files% ContentOWOOk% 3R4VESp0 1Rec Fees 2015 Commissionals 111512014 Cost Center GIL I Revenue Type 2011 Actual 2011 Fee 2012 Actual 2012 Fee 2013 Actual 2013 Fee 2014 Budget 211114 Fee 2015 Proposed 2015 Fee 2016 Projected 2016 Fee 441820 Parks Oa, 8 Mam 369900 Misc Other Income (600) D1 to (235) - - - 441820 Parks Ops B Maint 382100 Land Rental - Contra Plots (1524) 2000 (1354) 2100 (1,470) 2100 (1540) 22 (1540) 22-00 (1540) 22-00 441820 Parks Ops 8 Mont 382600 Thea re/Stage Rental (5,8)6) 25100/hr (4,729) 25100/hr (6,895) 25100/hr (8,500) 25100/hr) (12,000) 50100/hr (12,000) 50100/hr 441820 Parks Ops 8 Mont 382700 Reservations -Park Shelters (22,290) 14-52/51hr (21 465) 14-52/51hr (23,000) 14-52/51hr (23,000) 14-52/51hr (34,500) 21 -78 (34,500) 21 -78 - AKliate Fees - City Park parking (72,000) 6000 (72,000) 6000 441820 TTRA 382700 Reservations (55,000) 40.1000 (55,000) 40.1000 -LWge - Shelters - Rental Commission 441820 Ashton House 382700 Reservations (32,000) 40 -750 (32,000) 40.750 411820 To (33,0401 441821 Ball Diamonds 362100 Contrihutionsrponations (5,369) 441821 Ball Diamonds 382100 Toum- Fees (land rental) (314) - (11 000) (13,000) (14,040) (14,040) -Out of town 2100 2100 2100 23M 25M 25M -Local 1300 1300 1300 14 50 15 00 15 00 - Lights 12/hr 12/hr 13/hr 1350/hr 1350/hr 1350/hr 441821 Ball Diamonds 382700 Reservations (19,001) (24,674) (19,000) (21 000) (22,680) (22,680) -Field Rental Local 9251hr 9251hr 9251hr 1050/hr 1100 1100 -Field Prep Local YGO 22-00 22-00 2300 2500 2500 - Lights 12/hr 12/hr 13/hr 1350/hr 13501hr 1350/hr -Field Rental Out of Town 1050/hr 1050/hr 12/hr 12/hr 13.00 1300 -Field Prep Out of town 26-75 26-75 27751 2775 29.00 2900 411821 Tofal (19,315) ,720) 441823 Soccer 382700 Reservations (9,959) (10,408) (10,000) (11 000) (11,000) (11 000) -Field Rental Local 18/hr 18/hr 18/hr 19 1hr 19 1hr 19 1hr -Out of town /game nontourn 24 1hr 24 1hr 24 1hr 25 1hr 25 1hr 25/hr Field Prep 441823 Soccer 382100 Toum- Fees (land rental) - - (61000) (61800) (61800) (61800) -Out of town 281hr 28/hr 29 1hr 29 hr 29-hr 441823 Soccer -Local (1 850) 22 /hr 22/hr 23 /hr 23/hr 411823 Total (11,819) 110,408) 441830 Cty Park Rides 34600 Admissions (21,912) (27,814) (24,637) (25,000) (25,000) (25000) - Single Ticket 0.75 075 0.75 075 1.00 100 -Punch Pass 6 00 600 6 00 6 8.00 8.00 411830 Total (21,912) (21,814) 24,w71 (25,000) (25,000) (25,000) 441831 Dog Parks 346100 Admissions - Annual Tags (64073) 10-100 (39,567) 30-110 (70,000) 30 -110 (75,000) 35 -115 (75,000) 35 -115 (75,000) 35115 -Daily Tags (7,267) 5 (29,329) 500 (7,500) 5.00 (8,000) 6 (8,000) 600 (8,000) 600 441831 Tot MEMENNEW (71 ,896) (77.500) (831000) (11 (83,000) 441850 Cemetery 3488900 Charges for Services (29,760) 80-200 (40,885) 80-200 (29,760) (29760) (29,760) (29,760) 392100 Sales of Land (57450) (99,295) (57,450) (57,450) (57,450) (57,450) -Interments 100 -1000 1001000 1001000 100-1000 100 -1000 1001000 -Lot Sales 200 -1600 2001600 2001600 200-1600 2001600 2001600 (87,210) (140,180) (87,210) (87,210) (87,210) r CITY OF IOWA CITY 3d(2) a -Agholtt. M Date: January 8, 2014 To: Tom Markus, City Manager From: Dennis Bockenstedt, Finance Director% Re: Elimination of Systems Project Manager position Introduction: This is a request to eliminate the inatinSystems the ERP softwManager are iimp ementat onh' Th s the is a non - Administration division that is coo union position, grade 28, and is app roved as a full -time position. History/Background: The Systems Project Manager position was hired to coordinate the implementa for the tion of purpose oER e software programs. This position was added as a temporary position software implementation. The addition of this position was never considered as a permanent employee. Discussion of Solutions: The City's financial and payroll ERP system is substantially complete eliminating the need for this position. Financial Impact: roximatel $91,705 per year. The elimination of the position will save the City app Y Recommendation: to eliminate the budgeted position of Systems Project Manager within My recommendation is the Finance Department effective January 31, 2014. Prepared by: Dennis Bockenstedt, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5053 RESOLUTION NO. 14 -14 RESOLUTION AMENDING THE BUDGETED POSITIONS IN THE FINANCE ADMINISTRATION DIVISION OF THE FINANCE DEPARTMENT AND AMENDING THE ADMINISTRATIVE AND CONFIDENTIAL PAY PLAN BY ELIMINATING THE POSITION OF SYSTEMS PROJECT MANAGER. WHEREAS, Resolution No. 13 -72 adopted by the City Council on March 5, 2013 authorized budgeted positions in the Finance Administration Division of the Finance Department for Fiscal Year 2014; and WHEREAS, Resolution No. 12 -152 adopted by the City Council on April 30, 2012, established a classification /compensation plan for Administrative, Confidential and Executive employees; and WHEREAS, the City's financial ERP software implementation is substantially complete; and WHEREAS, the Systems Project Manager position was added as a temporary position for the purpose of coordinating the software implementation. NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA THAT: The budgeted positions in the Finance Administration Division of the Finance Department and the Administrative and Confidential pay plan be amended by eliminating the 1.0 FTE position of Systems Project Manager, grade 28, effective January 31, 2014. Passed and approved this 21st day of January 12014 MAYOR _ /I ATTEST: ?' CIT LERK City Attor y's ice 41 It was moved by Payne and seconded by Do `yns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X_ Botchway X Dickens Dobyns X Hayek X Mims X Payne X Throgmorton P 3d(3) - �;.��� CITY OF IOWA CITY MEMORANDUM 78MM Date: January 8, 2014 To: Tom Markus, City Manager From: Dennis Bockenstedt, Finance Director DC> Re: Reclassification of Internal Auditor position to Senior Accountant Introduction: This is a request to reclassify the Internal Auditor position in the Accounting division as a Senior Accountant. Attached is a memo from the City Controller outlining the background and reasoning for this request. History/Background: The Accounting division of the Finance Department has been undergoing some changes due to turnover and due to the temporary nature of the flood grant work. As a result, the division will be eliminating a full -time Grant Accountant position and replacing a full -time Internal Auditor position. The division will only have the discretion to hire one additional employee to replace both of these positions. Discussion of Solutions: As discussed in the City Controller's memo, we have reviewed various possibilities in regards to our accounting positions. Our intention was to find a solution that would maximize our flexibility as a department and still accomplish the variety of tasks that are necessary. The result was to combine these two job descriptions (Internal Auditor and Grant Accountant) with the Senior Accountant job description. This would allow us to staff two Senior Accountants, but the flexibility to assign tasks associate with internal audit, grant management, and accounting to either position. This combination gives us two Senior Accountants rather than one Grant Accountant, one Internal Auditor, and one Senior Accountant. In addition, we will reduce the full -time Grant Accountant position to a temporary, part-time position to assist in the completion of the Animal Shelter, the Gateway, and the 2013 disaster projects. Financial Impact: The financial impact of converting the Internal Auditor position to a Senior Accountant is budget neutral, because both positions are at the same AFSCME pay grade. This change will be effective immediately upon approval by the City Council. Recommendation: My recommendation is to approve the resolution updating the City's staffing plan by converting the Internal Auditor position in the Accounting division to a Senior Accountant position. � r CITY OF IOWA CITY MEMORANDUM Date: January 9, 2014 To: Dennis Bockenstedt, Finance Director From: Robin Marshall, Controller Re: Accounting Positions Introduction: Accounting currently has 3 senior level accountant positions: Senior Accountant — Accounting, Internal Auditor, and Grant Accountant, with 1 FTE budgeted in each of these positions for FY14. In FY15, the Grant Accountant position is being reduced and the Internal Auditor position is currently vacant. Each of these positions has a very distinctive job description and job duties. To improve the Accounting Division going forward, I would like to reclassify the Internal Auditor position to better represent the overall tasks of this position and allow us to cross train and further develop employee skill sets and improve Accounting's ability to support the City's financial reporting needs. History/Background: In 2004, the Internal Auditor position was created. This position has developed such that the internal auditor's time is broken out into the following tasks: 30% internal audit 20% month -end 20% year -end 15% grant reporting 15% other miscellaneous tasks The Internal Auditor position has recently been vacated due to an internal transfer. In 2010, the Grant Accountant was added as a temporary- permanent position to help with the increased work load due to additional financial reporting requirements for the multiple grants the City received through ARRA, I -JOBS, flood mitigation, and Economic Development Assistance. Last fall, it was determined that the Grant Accountant position would not become permanent but instead become a .5 FTE hourly position; thus eliminating a .5 FTE in Accounting. Discussion of Solutions: With the Internal Auditor being vacated and the Grant Accountant being reduced to .5 FTE as of June 30, 2014, we have examined what would be the best alternative to position Accounting to continue to provide quality support to our internal and external customers. Options that were considered include: - Hire a new Internal Auditor - Eliminate the Internal Auditor position and make the Grant Accountant a permanent position - Reclassify the Internal Auditor position as a Senior Accountant — Accounting position and develop a new job description for Senior Accountant — Accounting encompassing the tasks for these 2 positions Accounting will continue to need staff to perform the functions currently performed by the Internal Auditor and to completely eliminate the position would not be feasible. On the other hand, for a senior level accountant to be effective, the accountant needs to understand all aspects of accounting. Redefining the Senior Accountant — Accounting position to incorporate January 9, 2014 Page 2 the tasks of the Internal Auditor and the Grant Accountant and hiring a second Senior Accountant - Accounting will allow Accounting to be more flexible while still providing a high level of support. In addition, based on previous experience this broader job description will produce a larger pool of qualified candidates from which to select. Financial Impact: The Internal Auditor position and the Senior Accountant position are both in pay grade 13 of the AFSCME pay plan so there is no financial impact. Recommendation: I recommend that we reclassify the Internal Auditor position to the Senior Accountant — Accounting position with the updated job description. Attachment: Senior Accountant — Accounting Job Description Prepared by: Dennis Bockenstedt, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5053 RESOLUTION NO. 14— RESOLUTION AMENDING THE BUDGETED POSITIONS IN THE ACCOUNTING DIVISION OF THE FINANCE DEPARTMENT AND THE AFCSME PAY PLAN BY REDEFINING THE POSITION OF INTERNAL AUDITOR, GRADE 13 TO A SENIOR ACCOUNTANT - ACCOUNTING, GRADE 13. WHEREAS, Resolution No. 13 -72 adopted by the City Council on March 5, 2013 authorized budgeted positions in the Accounting Division of the Finance Department for Fiscal Year 2014; and WHEREAS, Resolution No. 12 -151 adopted by the City Council on April 3, 2012, established a classification /compensation plan for AFCSME bargaining unit employees; and WHEREAS, Accounting currently has budgeted positions of 1.0 FTE Internal Auditor and 1.0 FTE Senior Accountant - Accounting; and WHEREAS, the job description of the Senior Accountant - Accounting has been updated to encompass tasks currently performed by the Internal Auditor and Senior Accountant - Accounting; and WHEREAS, this change will allow the Controller more flexibility in assigning tasks and cross - training Accounting staff to be able to continue to provide a high level of support to our internal and external customers. NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA THAT: The budgeted positions in the Accounting Division of the Finance Department and the AFSCME pay plan be amended by eliminating the Internal Auditor position, grade 13, and adding one additional full -time Senior Accountant - Accounting position, grade 13. Passed and approved this 21st day of January 12014 MAYOR ATTEST: CITY CLERK City Attor)eTs&>ffIceb It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were AYES: NAYS: ABSENT: X Botchway X Dickens X Dobyns X Hayek X Mims X Payne X Throgmorton CITY O F IOWA CITY 3d(4) MEMORANDUM Date: January 9, 2014 To: Tom Markus, City Manager From: Dennis Bockenstedt, Finance DirectorD(� Re: Investment Policy Introduction: Attached is a newly revised and updated Investment Policy and City Council resolution. History/Background: As a part of the current investment policy, the Finance Department will review the City's policy and update it periodically. The City's current investment policy was last updated on November 3,1998. Discussion of Solutions: The City's investment policy was reviewed and updated by the City's Senior Accountant in charge of investments, Brian Cover. The City's current investment policy was compared to similar investment policies from other Iowa cities as well as the GFOA's model investment policy. A GFOA webinar on preparing and updating investment policies was also attended by Brian. Following these preparations, the City's investment policy was reviewed and updated. These changes have been reviewed by me as well as the City's legal department. The overall policy does not change substantially. Major changes include more detailed guidelines for investment limitations, a listing of prohibited investments and practices, and the addition of other eligible investment options. Financial Impact: The change in the investment policy update will not have a significant financial impact the City. Recommendation: My recommendation is for the City Council to approve the resolution amending the City's Investment Policy with the attached, updated version. �i GIC- f f 1 Prepared by: Dennis Bockenstedt, Finance Director, 410 E. Washington St. 52240, (319)356 -5053 RESOLUTION NO. 14 -16 RESOLUTION AMENDING THE INVESTMENT POLICY FOR THE CITY OF IOWA CITY. WHEREAS, during the conduct of municipal affairs, the Finance Director of the City of Iowa City invests certain funds of the City, and WHEREAS, it is necessary to amend the existing investment policy for the Finance Director while conducting official City business to comply with State of Iowa law, and WHEREAS, the City Manager has formulated an investment policy for investing all funds, which is attached to this resolution and by this reference made a part hereof. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, that the attached investment policy be adopted as the official investment policy of the City of Iowa City. Passed and approved this 21st day of January , 2014. MAYOR ATTEST: CITY , ZERK Approved by City Attorney's Office fx�//q It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Botchway X Dickens X Dobyns X Hayek X Mims X Payne X Throgmorton finadm \invplcy.res City of Iowa City, Iowa Investment Policy SECTION]. SCOPE OF INVESTMENT POLICY The Investment Policy of the City of Iowa City shall apply to all operating funds, bond proceeds and other funds and all investment transactions involving operating funds, bond proceeds and other funds accounted for in the financial statements of the City of Iowa City. Each investment made pursuant to this Investment Policy must be authorized by applicable law and this written Investment Policy. The investment of bond funds or sinking funds shall comply not only with this investment policy, but also be consistent with any applicable bond resolution. This Investment Policy is intended to comply with Iowa Code Chapter 12B and 12C which govern the investment of public funds. Upon passage and upon future amendment, if any, copies of this Investment Policy shall be delivered to all of the following: The governing body or officer of the City of Iowa City to which the Investment Policy applies. 2. All depository institutions or fiduciaries for public funds of the City of Iowa City 3. The auditor engaged to audit any fund of the City of Iowa City. 4. All fiduciary or third parties assisting with or facilitating investments of the funds of the City of Iowa City. SECTION 2. DELEGATION OFA UTHORITY In accordance with Iowa Code section 12B.I0(1), the responsibility for conducting investment transactions resides with the Finance Director of the City of Iowa City. Only the Director of Finance and those authorized by resolution may invest public funds and a copy of any empowering resolution shall be attached to this Investment Policy. All contracts or agreements with outside persons investing public funds, advising on the investment of public funds, directing the deposit or investment of public funds or acting in a fiduciary capacity for the City of Iowa City, shall require the outside person to notify the City of Iowa City in writing, within thirty days of receipt of all communication from the Auditor of the outside person or any regulatory authority, of the existence of a material weakness in internal control structure of the outside person or regulatory orders or sanctions regarding the type of services being provided to the City of Iowa City by the outside person. The records of investment transactions made by or on behalf of the City of Iowa City are public records and are the property of the City of Iowa City whether in the custody of the City of Iowa City or in the custody of a fiduciary or other third party. The Director of Finance shall establish a written system of internal controls and investment practices. The controls shall be designed to prevent losses of public funds, to document those officers and employees of City of Iowa City responsible for elements of the investment process and to address the capability of investment management. The controls shall provide for receipt and review of the audited financial statement and related reports on internal control structure of all outside persons performing any of the following for City of Iowa City: 1. Investing public funds for the City of Iowa City. 2. Advising on the investment of public funds for the City of Iowa City. 3. Directing the deposit or investment of public funds for the City of Iowa City. 4. Acting in a fiduciary capacity for the City of Iowa City. A Bank, Savings and Loan Association or Credit Union providing only depository services shall not be required to provide an audited financial statement and related report on internal control structure. The Director of Finance and all employees authorized to place investments shall be bonded in the amount of $ 400,000.00. SECTION 3. OBJECTIVES OF INVESTMENT POLICY The primary objectives, in order of priority, of all investment activities involving the financial assets of City of Iowa City shall be the following: 1. Safety: Safety and preservation of principal in the overall portfolio is the foremost investment objective. 2. Liquidity: Maintaining the necessary liquidity to match expected liabilities is the second investment objective. 3. Return: Obtaining a reasonable return is the third investment objective. In investing public funds, the City's cash management portfolio shall be designed with the objective of regularly exceeding the average return on the six -month U.S. Treasury bill. This index is considered a benchmark for the riskless investment transactions and therefore comprises a minimum standard for the portfolio's rate of return. The investment program shall seek to augment returns above this threshold, consistent with risk limitations identified herein and prudent investment principles. The City will diversify its investments to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. SECTION 4. PRUDENCE A. The Finance Director and other authorized staff of the City of Iowa City, when investing or depositing public funds, shall exercise the care, skill, prudence and diligence under the circumstances then prevailing that a person acting in a like capacity and familiar with such matters would use to attain the City's investment objectives. The standard of prudence to be used by investment officials shall be the "prudent person" standard and shall be applied in the context of managing an overall portfolio. Investment officers acting in accordance with written procedures and this investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and the liquidity and the sale of securities are carried out in accordance with the terms of this policy. B. The Finance Director and other authorized staff shall utilize competitive bidding for investments where it is prudent to achieve a greater rate of return so long as it does not conflict with the investment objectives stated below. A request for competitive investment proposals should include a request for comparable credit and term investments from a minimum of two investment providers. SECTION 5. INSTRUMENTS ELIGIBLE FOR INVESTMENT Assets of City of Iowa City may be invested in the following: • Interest bearing savings accounts, interest bearing money market accounts, and interest bearing checking accounts at any bank, savings and loan association or credit union in the State of Iowa. Each bank must be on the most recent Approved Bank List as distributed by the Treasurer of the State of Iowa or as amended as necessary by notice inserted in the monthly mailing by the Rate Setting Committee. Each financial institution shall be properly declared as a depository by the governing body of City of Iowa City. Deposits in any financial institution shall not exceed the amount approved by the governing body of the City of Iowa City. • Obligations of the United States government, its agencies and instrumentalities. • Certificates of deposit and other evidences of deposit at federally insured Iowa depository institutions approved and secured pursuant to Iowa Code chapter 12C. • Iowa Public Agency Investment Trust ( "IPAIT "). • Prime bankers' acceptances that mature within 270 days of purchase and that are eligible for purchase by a federal reserve bank. • Commercial paper or other short-term corporate debt that matures within 270 days of purchase and is rated within the two highest classifications, as established by at least one of the standard rating services approved by the Superintendent of Banking. • Repurchase agreements, provided that the underlying collateral consists of obligations of the United States government, its agencies and instrumentalities and takes delivery of the collateral either directly or through an authorized custodian. • An open -end management investment company registered with the Securities & Exchange Commission under the federal Investment Company Act of 1940, 15 U.S.C. Section 80(a) and operated in accordance with 17 C.F.R. Section 270.2a -7, whose portfolio investments are limited to those instruments individually authorized in this Section 5 of this Investment Policy. • Warrants or improvement certificates of a levee or drainage district. All instruments eligible for investment are further governed by all other provisions of this Investment Policy, including Section 7 Investment Maturity Limitations and Section 8, Diversification. SECTION 6. PROHIBITED INVESTMENTS AND INVESTMENT PRACTICES Assets of City of Iowa City shall not be invested in the following: 1. Reverse repurchase agreements. 2. Futures and options contracts. Assets of City of Iowa City shall not be invested pursuant to the following investment practices: 1. Trading of securities for speculation or the realization of short-term trading gains. 2. Pursuant to a contract providing for the compensation of an agent or fiduciarybased upon the performance of the invested assets. If a fiduciary or other third party with custody of public investment transaction records of City of Iowa City fails to produce requested records when requested by City of Iowa City within a reasonable time, City of Iowa City shall make no new investment with or through the fiduciary or third party and shall not renew maturing investments with or through the fiduciary or third party. SECTION 7. INVESTMENT MA TURITYLIMITA TIONS Operating Funds must be identified and distinguished from all other funds available for investment. Operating Funds are defined as those funds which are reasonably expected to be expended during a current budget year or within fifteen months of receipt. All investments authorized in Section 5 are further subject to the following investment maturity limitations: l .Operating Funds may only be invested in instruments authorized in Section 5 of this Investment Policy that mature within three hundred ninety -seven (397) days. 2. The Director of Finance may invest funds of the City of Iowa City that are not identified as Operating Funds in investments with maturities longer than three hundred ninety -seven days (397) days. However, all investments of City of Iowa City shall have maturities that are consistent with the needs and use of the City of Iowa City SECTION 8. DIVERSIFICATION Investments of City of Iowa City are subject to the following diversification requirements: Prime bankers' acceptances: At the time of purchase, no more than ten percent (10 %) of the investment portfolio of City of Iowa City shall be invested in prime bankers' acceptances; and 2. At the time of purchase, no more than five percent (5 %) of the investment portfolio of City of Iowa City shall be invested in the securities of a single issuer. Commercial paper or other short-term corporate debt: At the time of purchase, no more than ten percent (10 %) of the investment portfolio of City of Iowa City shall be in commercial paper or other short term corporate debt; 2. At the time of purchase, no more than five percent (5 %) of the investment portfolio of City of Iowa City shall be invested in the securities of a single issuer and 3. At the time of purchase, no more than five percent (5 %) of all amounts invested in commercial paper and other short-term corporate debt shall be invested in paper and debt rated in the second highest classification. Where possible, it is the policy of City of Iowa City to diversify its investment portfolio. Assets shall be diversified to eliminate the risk of loss resulting from overconcentration of assets in a specific maturity, a specific issuer, or a specific class of securities. In establishing specific diversification strategies, the following general policies and constraints shall apply: 1. Portfolio maturities shall be staggered in a way that avoids undue concentration of assets in a specific maturity sector. Maturities shall be selected which provide stability of income and reasonable liquidity. 2. Liquidity practices to ensure that the next disbursement date and payroll date are covered through maturing investments, marketable U.S. Treasury bills or cash on hand shall be used at all times. 3. Risks of market price volatility shall be controlled through maturity diversification so that aggregate price losses on Instruments with maturities approaching one year shall not be greater than coupon interest and Investment Income received from the balance of the portfolio. SECTION 9. SAFEKEEPING AND CUSTODY All invested assets of City of Iowa City involving the use of a public funds custodial agreement, as defined in Iowa Code section 12B.1 OC, shall comply with all rules adopted pursuant to Iowa Code section 12B.1 OC. All custodial agreements shall be in writing. All invested assets of City of Iowa City eligible for physical delivery shall be secured by having them held at a third party custodian. All purchased investments shall be held pursuant to a written third party custodial agreement requiring delivery versus payment and compliance with all rules set out in this Section 9. SECTION 10. ETHICS AND CONFLICT OF INTEREST (POLICY CONSIDERATION) Employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program, or which could impair their ability to make impartial investment decisions. Employees shall disclose any material financial interests in financial institutions with which they conduct business, and they shall further disclose any large personal financial /investment positions that could be related to the performance of the investment portfolio SECTION 11. REPORTING The Senior Accountant shall submit an investment report quarterly. The report shall list investments by fund, institution and maturity date. The report shall also include the activity of investments purchased and redeemed during the quarter. SECTION 12. INVESTMENT POLICY REVIEW AND AMENDMENT This Investment Policy shall be reviewed every three (3) years or more frequently as appropriate. Notice of amendments to the Investment Policy shall be promptly given to all parties noted in Section 1. M January 9, 2014 City Clerk Iowa City, Iowa ENGINEER'S REPORT � r CITY OF IOWA CITY 410 East Washington Street Iowa City, Iowa 52240 -1826 (319) 356 -5000 (319) 356 -5009 FAX www.icgov.org Re: Old Highway 218 and Mormon Trek Boulevard /McCollister Boulevard Traffic Signalization Project Dear City Clerk: I hereby certify that the construction of the Old Highway 218 and Mormon Trek Boulevard /McCollister Boulevard Traffic Signalization Project has been completed by Neumiller Electric, Inc. of Iowa City, Iowa in substantial accordance with the plans and specifications prepared by the City of Iowa City. The project was bid as a unit price contract and the final contract price is $154,090.20. There was one change order for the project as described below: 1. Painted symbols 2. Removal of Pavement Markings TOTAL $675.00 $19.00 $694.00 I recommend that the above - referenced improvements be accepted by the City of Iowa City. Sincerely, Ronald R. Knoche, P.E. City Engineer 01 -21 -Tr-- 3d(5) Prepared by: Jason Havel, Public Works, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5410 RESOLUTION NO. 14 -17 RESOLUTION ACCEPTING THE WORK FOR THE OLD HIGHWAY 218 AND MORMON TREK BOULEVARD /MCCOLLISTER BOULEVARD TRAFFIC SIGNALIZATION PROJECT WHEREAS, the Engineering Division has recommended that the work for construction of the Old Highway 218 and Mormon Trek Boulevard /McCollister Boulevard Traffic Signalization Project, as included in a contract between the City of Iowa City and Neumiller Electric, Inc. of Iowa City, Iowa, dated July 30, 2013, be accepted; and WHEREAS, the Engineer's Report and the performance and payment bond have been filed in the City Clerk's office; and WHEREAS, funds for this project are available in the Traffic Signal Projects account # S3814; and WHEREAS, the final contract price is $154,090.20. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT said improvements are hereby accepted by the City of Iowa City, Iowa. Passed and approved this 21st day of January -720 14 ATTEST: "2 CITY CLERK MAYOR Approved by 4City Attorney's Office It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek —x Mims x Payne x Throgmorton Pweng /masters /acptwork.doc 1/14 r � . -4, CITY OF IOWA CITY -- MEMORANDUM Date: January 14, 2014 To: Tom Markus, City Manager From: Bob Hardy, Cable Television Administrator Re: Addendum to Agreement by and between the City of Iowa City and Public Access Television, Inc. for Funding, Operation and Management of the Local Public Access Function dated July 17, 2013. Introduction: An addendum to the current Public Access Television, Inc. (PATV) /Iowa City contract has been requested by PATV to allow their organization to engage in solicitation, provide video services and perform commercial activities for purposes of raising funds, increasing assets, obtaining equipment, facilities and /or other assistance to support the "Scope of Services" set forth in Section 1 of the Agreement. History /Background: Currently PATV is limited to not - for - profit activities and depends primarily on resources provided by its contract with Iowa City. PATV has long been encouraged by the City to develop alternative and additional fund raising opportunities. The addendum would allow any funds received from PATV's efforts through such solicitation, services, or activities to be placed in an account separate from any account used to keep funds received from the City pursuant to Section 14 of the Agreement. In part, this will help preserve the distinction between profit and not - for - profit activities and services. The addendum provides Iowa City both access to related records and a method to review the process and accounting of this profit based fund - raising activity. In addition, the current assets of PAN that are subject to be transferred to the City under certain circumstances have been inventoried, identifying what assets were acquired with "Mediacom /City" funds as opposed to any future assets that are acquired with PATV's own funds. Financial Impact: The financial impact of these changes should be minimal as existing staff will be used for enforcement. Recommendation: Staff recommends that Council approve the resolution. Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington Street, Iowa City, IA 52240 (319) 356 -5030 RESOLUTION NO. 14 -18 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST AN ADDENDUM TO AGREEMENT WITH PUBLIC ACCESS TELEVISION, INC. FOR FUNDING, OPERATION, AND MANAGEMENT OF THE LOCAL PUBLIC ACCESS FUNCTION. WHEREAS, the City has contracted with Public Access Television, Inc. ( "PATV "), a nonprofit organization, for over twenty years for the provision of public access and community programming on cable television; WHEREAS, the local cable franchisee has providing funding every year to the City which the City has passed on to PATV to support public access television; WHERAS, recently MCC Iowa LLC (Mediacom) converted its local franchise agreement with the City to a state franchise, which means that that certain funding it provides to the City, which the City in turn, provides to PATV will cease by 2018; WHEREAS, because the source of PATV's funding will cease, PATV intends to begin pursuing other sources of income; WHEREAS, if PATV is unable to provide services, the equipment it as purchased with "Mediacom funds" over the years will be transferred to the City; and WHEREAS, City staff and PATV have negotiated an addendum to the PAN agreement to identify the equipment and other items PATV has previously purchased with "Mediacom funds" and to provide a means to separate monies and equipment it secures in the future without "Mediacom funds." NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT the Mayor is authorized to sign and the City Clerk to attest to the Addendum to Agreement, a copy of which is attached. Passed and approved this 21st day of January 2014. o. ATTEST: J_ CIT LERK Approved by (�i �, City Attorney's Office A , Resolution No. 14 -18 Page 2 It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton Addendum to Agreement by and between the City of Iowa City, Iowa and Public Access Television, Inc. for Funding, Operation and Management of the Local Public Access Function dated July 17, 2013. This Addendum ( "Addendum ") to the Agreement by and between the City of Iowa City, Iowa ( "the City) and Public Access Television, Inc. ( "PATV ") for Funding, Operation and Management of the Local Public Access Function dated July 17, 2013 ( "the Agreement) sets forth additional terms to the Agreement and is to be considered part of the Agreement, effective this 21st day of January , 2014. The City of Iowa City, Iowa and Public Access Television, Inc., for good consideration, agree to the following additional terms of the Agreement as if contained therein: A. PATV may engage in solicitation, services and commercial activities for purposes of raising funds, assets, equipment, facilities and /or other assistance to support the Scope of Services set forth in Section 1 of the Agreement. B. Any funds received from PATV's efforts through such solicitation, services or activities set forth above shall be placed in an account separate from any account used to keep funds received from the City pursuant to Section 14 of the Agreement. PATV will provide a monthly statement of this separate account to the City upon request by the City. 2. A listing of funds will be provided to the City, including the name of the payor, the amount of funds and any documentation of the funds (e.g. copy of a check) upon request by the City. C. A list of PATV's current assets, equipment and /or facilities purchased with funding provided by the City pursuant to Section 14 of the current Agreement and past Agreements of shall be provided to the City. A copy of the list of PATV's current assets, equipment and facilities is attached as Exhibit A. 1. PATV will inform the City of any changes made to the list attached as Exhibit A. 2. Any assets, equipment and /or facilities that are the personal effects of employees of PATV shall be kept separated from the assets, equipment and /or facilities purchased with funding provided by the City. 3. Any assets, equipment and /or facilities that are received from PATV's efforts through such solicitation, services or activities set forth above shall be kept separated from the assets, equipment and /or facilities purchased with funding provided by the City. 4. A listing of such assets, equipment and /or facilities will be provided to the City, including the name of the donor, date of donation, and the amount or type of donation upon request by the City. D. All funds and assets, equipment and /or facilities purchased by PATV with said funds, and all assets, equipment and /or facilities donated to PAN shall not be included in assets, equipment and /or facilities subject to the provision in Section 18.0 of this Agreement. The parties acknowledge that Section 7.0 of this Agreement incorrectly refers to "Section 18.D of this Agreement," whereas it should read "Section 18.0 of this Agreement." IN WITNESS WHEREOF, the City and PAN has executed this Addendum as of the Date written above. CITY OF IOWA CITY, A municipal corporation By: Matthew J. Hayek, Mayor Attest: w x Maria K. Karr, City Clerk Approved By City Attorney';, Off e PUBLIC ACCESS TELEVISION, INC., A non - profit organization la J i n � ua Goding, Date: January 21, 2014 r. EXHIBIT A PATV Equipment Inventory Playback Leightronix Ultra Nexus MPG player SN OOEOFB0713C8 $10,000 2010 Buffalo HDRQ 2TB storage for Nexus SN 45504801000281 $300 2010 Leightronix Pro 16 Event Controller SN 09013PRO $500 1998 Cablecast modulator 6350 SN 24632 1996 Sony DVP - CX777ES 400 disc changer SN 8836684 $1500 2007 Sony DVP - CX777ES 400 disc changer SN 8808290 $1000 2005 Sony DSR -11 VTR SN 74793 $500 2006 Sony DSR -11 VTR SN 54195 $500 2010 Pioneer DVD 7400 player SN BHNN02669CC $100 2007 RNC1773 Audio Compressor $100 2010 Dell PC scheduling computer $300 2008 Samsung SP01 LCD HDTV Monitor SN AH8M36PP406576D $900 2008 Assorted Monitors and SVHS VTRs $400 2002 Checkout Samsung SG03 32' LCD HDTV Monitor SN AZA43CTS306998H $900 2008 Sony DCR VX -2000 3CCD Camera SN 1077468 $500 2002 Sony DCR VX -2000 3CCD Camera SN 1012947 $500 2002 Sony DCR VX -2000 3CCD Camera SN 1064149 $500 2002 Panasonic AG- HPX170P HD Camcorder( in -kind donation received for production work) SN LlTCB0136 $3,3002012 Panasonic AG- HVX200AP HD Camcorder SN FOTCB0047 $ 4,800 2010 Panasonic AG- HVX200AP HD Camcorder SN AlTCB0119 $ 4,800 2011 Panasonic AG- HPX170P HD Camcorder SN B2TCB0087 $3,3002012 Panasonic AG- HPX170P HD Camcorder SN KlTCB0182 $3,3002012 P2 Memory Cards (6) AJ- P2E064XG 64GB "E" Series SN #'s: AOT11 J0514, AOT11 J0513, AOT1112161, AOT12B1238, AOT1112162, AOT12B1239 $ 625 2011, 2012 P2 Memory Cards (5) AJ- P2E016XG 16GB "N" Series SN #'s: AOP11 B0234, AAP10F0317 AAP10J0513, AAP10J0514 $ 350 2010, 2011 Sony DSR PD150 MiniDV Camcorder SN 1009257 $ 2,500 2000 Sony DSR -PD170 MiniDV Camcorder SN 1130144 $ 3,000 2006 Sony DSR -PD170 MiniDV Camcorder SN 111633 $ 3,000 2006 Sony DSR -PD170 MiniDV Camcorder SN 113729 $ 3,000 2006 Sony VX2000 MiniDV Camcorder SN 1012643 $ 2,000 2003 Sony HDR- FX1000 MiniDV Camcorder SN 125028 $ 3,500 2011 Panasonic GS -250 MiniDV Camcorder SN J5HW51924 R $ 750 2004 Yamaha Stage Pass PA System 300 SN LX02561 $ 800 2004 Panasonic WJ -MX30 Audio / Video Mixer SN 36A02713 $ 1,500 2006 Panasonic WJ -MX30 Audio / Video Mixer SN 3YA01926 $1,500 1998 Panasonic WJ -MX50 Audio / Video Mixer SN 35A03771 $ 1,500 1998 Sanyo PLC -XU55A Video Projector SN G4902314 $ 2,000 2008 Turnkey Disc Jockey Kit wi components $ 900 2009 Sony ECM -44B Lavaliere Microphones (11) SN #s 813845, 225193, 830349, 831611, 845036, 845028, 843719, 843720, 843721, 842938, 855933 $150 ea AKG C3000B Cardioid Desk Mic $430 2007 Shure SM 57 Microphones (2) $100 Shure SM 58 Microphones (4) $100 Sennheiser Evolution G3 Wireless Microphone Combo A/516 -558 MHz $800 2012 Sennheiser Evolution G3 Wireless Microphone Combo B/626 -668 MHz $800 2012 Lowell DV Creator Light Kit w/ Pro, Omni, Tota, and Soft Box $800 2005 Lowell Light Kit w/ Pro, Omni, Tota, diffusers $500 2002 Lowell LC -55ex Soft Box with cord, bulb and diffuser .-M 2012 Gitzo /Audio Technica Fishpole and Shock Mount SN A44239 $250 2005 Mackie 1202 Portable Mixer SN D62787 $500 2010 Sony VCL- HG0758 Wide Angle Lens $100 2004 AN CABLES, assorted XLR 15'25'50' 100' RCA, SVHS, IEEE, Misc. Bogen /Manfrotto Tripods, 501, 3063 assorted (10) $300 -$500 ea Mic Stands, assorted tall (4) Mic Stands, assorted short (3) Studio Samsung SG03 32' LCD HDTV Monitor SN AZA43CTS306998H $900 2008 Samsung SG03 32' LCD HDTV Monitor SN AZA43CTS409668T $900 2008 Phillips 22PLF4507 22' LCD HDTV Monitor SN M3A1Z07100457 $150 2012 Sony DCR VX -2000 3CCD Camera SN 1077468 $500 2002 Sony DCR VX -2000 3CCD Camera SN 1012947 $500 2002 Sony DCR VX -2000 3CCD Camera SN 1064149 $500 2002 Bogen /Manfrotto Wheeled Tripods, assorted (3) $300 -$500 ea 1998 Varizoom VZ -Rock LE Zoom and Focus Control (2) $250 ea 2005 Britek 1604 Flourescent Softbox and stand (2) $150 ea 2010 Studio Light Fixtures, Assorted (10) $500 Studio Crane with Bogen 3251 Wheeled Tripod $250 2010 Sony DSR -11 MiniDV VTR SN 65260 $500 2008 Sony DSR -45 MiniDV VTR SN 111735 $1500 2008 Mackie 1604 16- Channel Audio Mixer SN C31032 $800 1998 Yamaha MG166CX Audio Mixer SN LlCCQ101076 $300 2011 NewTek TriCaster Intel Core 2 Duo E7400 w LC11 Switcher $5000 2008 iMac 2.5 GHz Intel Core i5 SN D25HHDZKDHJF $1200 2012 Intel Pentium 2.8 GHz $300 2005 MC -100VP 3 -up LCD Monitor SN A563151099 $300 2005 ROLAND MA -20 Studio Monitors (2) $50 1998 Editing /PSA Power Macintosh Dual 2 GHz PowerPC G5, 5 GB SN G86187JEUVO $800 2008 iMac 2.16 GHz Intel Core2Duo, 4 GB SN QP7140KQVUM $1000 2009 iMac 3.06 GHz Intel Core2Duo, 4 GB SN QP910031-250 $1500 2010 iMac 2.66 GHz Intel Core2Duo, 4 GB $1500 2010 iMac 2.5 GHz Intel Core i5, 4 GB SN CO2FPYM6DHJF $1500 2011 iMac 2.8 GHz Intel Core i5, 4 GB SN W811414HD85 $1500 2011 iMac G5 1.8 GHz PowerPC, 512 MB $400 2006 Power Macintosh G5, 2 GHz Power PC, 1 GB SN G85465UNT39 $500 2006 Power Macintosh G4,1.2 GHz Power PC, 786 MB SN XB0038AUHLA $250 2003 Sony DSR -11 MiniDV VTR SN 91229 $500 2008 Panasonic AG DV100 Mini DV VTR SN D2TD00655 $250 2004 Canon LIDE35 Scanner SN F916900 $100 2006 LaCie External HD 1 & 2 TB storage, assorted (13) $200 2009 -2012 NTSC Monitors, assorted (8) Added Nov. 2013 Dishwasher Microwave Refrigerator Josh's Office Desk Chair File cabinet Brother Printer Fax Ipad 4 Canon T4i Panasonic AG ac 90 (3) checkout Desk (7) Chair (17) Spider Imac G5 GE VCR SVHS Dish Network Box Prime Image TBC Freeze II Canon D340 Fax /Scan /Print File cabinet ASUS computer and monitor 2 couches 5 tables Small refrigerator Small microwave Tricaster 40 New Tek Vizio HD monitor Panisonic VHS deck Technics cassette deck Curtis DVD player Numark MP 102 Pro CD player Sony Triniton 8" monitor Panasonic DMR EZ28 DVD recorder Canon scanner 4200 Curtains and rails (2) Sound panels 5 florescent studio lights Light rack with stand Lite Panels 1000w with stand Truss on wheels Stacking chairs (8) Mic snake 12 channel Ergon stand ASUS monitor Sony Triniton monitor, 13" JVC SVHS deck Post Production Easy Key keyboard Edit table (2) Acer monitor JVC Mini DV SVHS deck Photocopier Mita DC 2360 3d(7) Prepared by: Sarah E. Holecek, Asst. City Atty., 410 E. Washington St., Iowa City, IA 319 - 356 -5030 RESOLUTION NO. 14 -19 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST THE RELEASE OF STORM WATER MANAGEMENT EASEMENTS ON LOTS 116 AND 118, THE PENINSULA NEIGHBORHOOD THIRD ADDITION AND TO EXECUTE SUBSTITUTED STORM WATER MANAGEMENT AND STORM SEWER AND DRAINAGE EASEMENT AGREEMENTS FOR THE PROPERTY WHEREAS, Lots 116 and 118 of the Peninsula Neighborhood Third Addition currently contain storm water management easements; and WHEREAS, accommodating as -built construction requires reconfiguration of portions of the existing storm water management easements by releasing same and executing substitute storm water management and storm sewer and drainage easement agreements; and WHEREAS, Public Works recommends release of portions of the existing easements and the execution of a substituted easement agreements to comport with the as -built construction on the lots, with such action being in the public interest. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The City Council finds it is in the public interest to release portions of the existing storm water management easements on Lots 116 and 118 and to enter into the substituted storm water management and storm sewer and drainage easements agreements for said property. 2. Upon approval of all necessary documents by the City Attorney's Office, the Mayor is hereby authorized to sign and the City Clerk to attest a release of said storm water management easements as well as the substituted storm water management and storm sewer and drainage easement agreements. 3. The City Clerk is hereby authorized and directed to certify a copy of this Resolution for recordation in the Johnson County Recorder's Office together with all necessary documents as determined by the City Attorney's Office, said recording costs to be paid by Peninsula Development Company, L.L.C.. Passed and approved this 21st day of January '2014. �-7, Ap roved'3 C _ City Atto ney' ffic ,�A MAYOR -� ATTEST: Zktf,� x , c4lr,4.1 CITY LERK Resolution No. Page 2 14 -19 It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton 01.2r-fr' 3e(1) Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030 RESOLUTION NO. 14 -20 RESOLUTION SETTING A PUBLIC HEARING FOR FEBRUARY 18, 2014 TO APPROVE A PURCHASE AGREEMENT BETWEEN THE CITY OF IOWA CITY AND WRY DEVELOPERS, INC. FOR LOT 9 OF THE NORTH AIRPORT DEVELOPMENT SUBDIVISION, TO CONSIDER A PROPOSAL TO CONVEY SAID PROPERTY AND RESCINDING RESOLUTION NO. 13 -257. WHEREAS, The North Airport Development Subdivision includes commercial lots which have been marketed for sale to the general public; WHEREAS, City Council previously approved the sale of Lot 9 to Gary J. Harapat in Resolution No. 13 -257 for $228,500; WHEREAS, Mr. Harapat intends to assign his interest in the purchase agreement to WRY Developers, Inc.; and WHEREAS, Council should hold a public hearing on the proposed conveyance. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The City Council does hereby declare its intent to approve the purchase agreement between the City of Iowa City and WRY Developers, Inc. for the above - referenced property and to convey said property in accordance with said agreement. 2. A public hearing on said proposed agreement should be and is hereby set for February 18, 2014 at 7:00 p.m. in Emma J. Harvat Hall of City Hall, 410 E. Washington Street, Iowa City, Iowa or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. The City Clerk is hereby directed to cause notice of public hearing to be published as provided by law. Passed and approved this 21st day of January -12014. MAYOR Approved by ATTEST:��' CITY"CLERK City Attorney's Office Resolution No. 14 -20 Page 2 It was moved by Payne and seconded by Dobyns the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton 01-21-14 6 Prepared by: Daniel Scott, Public Works, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5144 RESOLUTION NO. 14 -21 RESOLUTION APPROVING PLANS, SPECIFICATIONS, FORM OF CON- TRACT, AND ESTIMATE OF COST FOR THE CONSTRUCTION OF THE 2014 SEWER REHABILITATION PROJECT, ESTABLISHING AMOUNT OF BID SECURITY TO ACCOMPANY EACH BID, DIRECTING CITY CLERK TO PUBLISH NOTICE TO BIDDERS, AND FIXING TIME AND PLACE FOR RECEIPT OF BIDS. WHEREAS, notice of public hearing on the plans, specifications, form of contract and estimate of cost for the above -named project was published as required by law, and the hearing thereon held; and WHEREAS, funds for this project are available in the Annual Sewer Repair account # 33210. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA THAT: The plans, specifications, form of contract and estimate of cost for the above -named project are hereby approved. 2. The amount of bid security to accompany each bid for the construction of the above - named project shall be in the amount of 10% (ten percent) of bid payable to Treasurer, City of Iowa City, Iowa. 3. The City Clerk is hereby authorized and directed to publish notice, not less than 4 and not more than 45 days before the date for filing the bids, for the receipt of bids for the construction of the above -named project in a newspaper published at least once weekly and having a general circulation in the city. 4. Sealed bids for the above -named project are to be received by the City of Iowa City, Iowa, at the Office of the City Clerk, at the City Hall, before 2:30 p.m. on the 11th day of February, 2014. At that time, the bids will be opened by the City Engineer or his designee, and thereupon referred to the City Council of the City of Iowa City, Iowa, for action upon said bids at its next regular meeting, to be held at the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, at 7:00 p.m. on the 18th day of February, 2014, or at a special meeting called for that purpose. Passed and approved this 21st day of January , 20 14 Lo -A MAYOR All Approved by ATTEST: �. C `CLERK City Attorney's Office /l�/ pwenglmastersVes appp &s.doc 1/14 Resolution No. 14 -21 Page 2 It was moved by Mims and seconded by Botchway the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton Prepared by: Melissa Clow, Special Projects Administrator, 410 E. Washington St., Iowa City, IA 52240,319- 356 -5413 RESOLUTION NO. RE OLUTION ESTABLISHING THE DESIGN PARAMETERS NECESSARY/TO BEGIN DESIGN AND ENGINEERING DOCUMENTS FOR THE IOWA CITY GATEWAY PROJECT. WHEREAS, the City of Iowa City desires to construct the Iowa City Gatewa ( "Project ") to provide a reliable multimodal trans ortation corridor that reduces the impact of flooding on t local transportation system and the Iowa River Co *dor; and WHEREAS, the Fed al Highway Administration has approved a signed the Finding of No Significant Impact, completing the ational Environmental Policy Act Proces and clearing the project to move forward to the design phase; and WHEREAS, City Council is Ning asked to establish the follo�king three design parameters: (1) the level of protection for Dubuque Street, 2) the backwater reduction,goal (low steel elevation) of the Park Road Bridge, and (3) the structural ty of the bridge; and 7 WHEREAS, City staff has recommended that the deon parameters be: (1) protect Dubuque Street to the 2008 flood elevation plus one foot arV, (2) provide ckwater reduction by elevating the low steel of the new bridge to the 200 -year flood plus one of and, (3) roceed with either the Through Arch Bridge or the Deck Girder Bridge; and WHEREAS, the Council has considered thX Oput and needs of the public; and WHEREAS, funds for this project are a #ilalhle in the Iowa City Gateway Project (Dubuque St) account # 3809. / \ NOW, THEREFORE, BE IT RESOLV D BY THE ITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: For purposes of the Iowa Ci Gateway Prod ct, which is currently planned for bid letting in 2015, it is in the best interests of the City of I wa City and its cit ens to establish the following design parameters: 1. The 2008 flood elevation pl one foot as the leve\bkwater tection for Dubuque Street. 2. The 200 -year flood elev ion plus one foot as th reduction goal (low steel elevation) of the Park Road Bridge. 3. The as/he structural type of the bridge acNss the Iowa River. Passed and appro d this day of , 20 ATTEST: CITY CLERK City Attorney's Office = CITY OF IOWA CITY M It � z--- �ws' T MEMORANDUM DATE: January 15, 2014 TO: Tom Markus, City Manager FROM: Rick Fosse, Public Works Director RE: Iowa City Gateway Project Introduction The City of Iowa City has received notification from the Iowa Department of Transportation that the Federal Highway Administration (FHWA) has approved and signed the Finding of No Significant Impact ( FONSI) for the Iowa City Gateway Project. The approval was dated December 18, 2013. The FONSI is the final step in the National Environmental Policy Act (NEPA) process. The project is now cleared to move forward to the design phase. History /Background The first phase of the project, the National Environmental Policy Act (NEPA) Process, was started three years ago and is required to receive federal funds for the project. The Environmental Assessment (EA) is a complete study and discussion of resources present within the proposed area, looking at both the natural and social (man -made) environment. Considerable evaluation of options for the Gateway Project occurred as part of this process including the examination of many initial alternatives (off - alignment improvements to other roadways such as Dodge / Governor and Foster Road / Prairie du Chien for example), before concluding that improving the roadway in its current location should be the Preferred Alternative. In addition, the Do Nothing Option continues to be evaluated for comparison. It is important to note that because of aging infrastructure and existing conditions, the Do Nothing Option would still require significant improvements throughout the corridor even if the roadway and bridge were not elevated. As part of this process, staff has held two public meetings (March 3, 2011 and July 13, 2011), a drop -in center / open house (December 8, 2011), a public hearing (April 4, 2013) and attended three Historic Preservation Committee meetings. The 3 public meetings in 2011 hosted over 330 attendees. Additional comments were received throughout the entire process by staff through email, phone calls and meetings on site or in the office with interested citizens / residents and numerous speaking events with local organizations. The comments and feedback received from the public provided staff and design team with comments and ideas that were used to develop the preferred alternative. If you have not done so already, please take time to view the video or read the transcript of the April 4, 2013 Public Hearing. Both are available on the attached links to project related documents. January 16, 2014 Page 2 Discussion of Solution The EA completed for this project evaluated the elevation of Dubuque Street to 1' above the 500 year flood event and the low steel of the bridge to 1' above the 500 year flood event. This represents the maximum level of protection that can be built with the existing environmental clearance. The financial grants for this project set a minimum level of protection for Dubuque Street and the low steel of the bridge at 1' above the 100 year flood event. These establish the upper and lower limits of protection that can be considered for design if federal funds are to be used. The details of this project and various design options have been discussed at the September 17, 2013 and October 1, 2013 City Council Work Sessions. The attached spreadsheet, Bridge Type and Level of Protection Comparison, summarizes and compares 48 different options. Also attached are responses to questions that were asked at the October 1 st Work Session. Financial Impact The preliminary project estimate for the budget was based on a deck girder bridge. A through arch bridge will be approximately $3M more expensive and a cable stay bridge will be approximately $8M more expensive. Recommendation The project is currently placed on the agenda for the January 21St informal Work Session. At that time, we will have a brief project presentation and answer questions that the City Council may have. The project is also on the agenda for the Formal City Council meeting for a resolution to establish the three primary design parameters. Those parameters are: 1. Level of protection for Dubuque Street 2. Backwater reduction goals (Elevation of Park Road Bridge) 3. Structural type of the bridge Staff's recommendations for each of the major design parameters, as outlined at the October 1 st Work Session, are described in more detail below: Level of Protection for Dubuque Street Staff recommends protecting Dubuque Street to the 2008 + 1' level. While this recommendation offers less protection than the option outlined in the Environmental Assessment (EA), staff feels that this is a reasonable level of protection and provides a good balance of performance while limiting impacts. Level of Protection Option Estimated number of days closed over the past 20 years due to Iowa River flooding Relative Comparison: inches above /below the 2008 + 1' protection level Existing 150 NA 100 year + 1' 7* -39" 200 year + 1' 5* -11" 2008 flood + 1' Recommended 0 0" 500 year + 1' EA Preferred Alt 0 +19" *Including one day for cleanup, inspection and repair after inundation January 16, 2014 Page 3 Backwater Reduction Goals and Bridge Type Staff recommends that we proceed with either the Through Arch Bridge with a low steel elevation of 200yr + 1' or the Deck Girder Bridge with a low steel elevation of 200yr + 1'. As illustrated in the following table, the bridge type has an effect on the backwater reduction, the cost and the elevation of the Dubuque Street / Park Road intersection. All of these factors will need to be weighed and consideration of aesthetics given when making a decision. Option Bridge Low Elevation Backwater Dubuque Construction Type Steel at the Reduction Street Cost Elevation Dubuque at Protection Estimate of St /Park Rd Idyllwild Level Bridge and Intersection and Taft Road Speedway Maximum Deck 500yr + 1' 665.03 7" 500yr + 1' $36.65 M Protection and Girder Backwater Reduction (EA Preferred Alternative Recommended Through 200yr + 1' 659.02 4.9" 2008 + 1' $38.31 M Arch Arch Recommended Deck 200yr + 1' 662.52 6.1" 2008 + 1' $35.01 M Girder Girder A resolution to establish the above design criteria will be on the agenda for the Formal City Council meeting. Please be prepared to provide additional comments or questions at the Work Session for staff to address. Staff requests that the focus remain on the three design criteria that need to be established. As noted in the attached schedule, we will return to discuss specific Roadway Design Elements (lane width, turning lanes, sidewalks and trails) with Council in March. This will give our design team a chance to refine our conceptual design based on the design criteria and allow us to better address the questions that have been raised. The following materials have been included for Council's review prior to the meeting: • Questions and Comments generated from the October 1, 2013 Council Work Session, including • Roadway Elevations at Key Locations Matrix • Schedule of Design Phase Activities • Iowa DOT Concept Statement Form • Updated Links to project - related documents • Bridge Type and Level of Protection Comparison I II IS 1 Questions and Comments generated from the October 1, 2013 Council Work Session: Roadway Elevation and Desian Geometrics 1. Is a scenario that sets Dubuque Street protection at 100 +1 and a bridge set at 500 +1 feasible? What is the difference in elevation and grade change on Dubuque Street between Park Road and Kimball? Any of the concepts discussed to date feature an acceptable grade on Dubuque Street. There is sufficient distance between the relocated Park Road intersection and the Kimball Road intersection to accommodate any of the combinations of elevations for Dubuque Street and the Park Road Bridge. For example, the greatest change in elevation between Park and Kimball is with a girder bridge with low steel at 500 +1 and Dubuque Street at 100 +1. The change in elevation is approximately 11.7 feet and the distance between the intersections is approximately 550 feet, for a grade of 3 percent. The existing grade on Dubuque Street between these intersections is approximately 1.5 percent. For your reference, attached please find a matrix showing the roadway elevations at key locations for the different scenarios discussed. 2. How wide are the lanes on Dubuque currently? We currently have 12 foot lanes north of the Park Road intersection with a mix of urban (curb & gutter) and rural (shoulder) sections throughout and a speed limit of 35 mph. South of Park Road, lane widths are reduced to 11 feet, the speed limit is lowered to 25 mph, and clear zones adjacent to the roadway are less. This stretch of Dubuque Street transitions to serve a more urban and densely developed environment and provides direct access to the downtown and campus areas. Fraternities and residences also line this stretch of Dubuque Street and many more driveway and alley access points exist. 3. Will there be a median on Dubuque Street to accommodate the dual left turn lanes from EB Park Road to NB Dubuque Street? If so, will there be a raised median in the middle of Dubuque at the intersection or will it be painted? With the preferred alternative and the staff recommended concepts, there will be a painted median to achieve proper lane alignments and to accommodate the left turn lane from Dubuque Street to Park Road. The median is not affected by the dual left turn lanes from Park Road to northbound Dubuque Street. The figure below displays what the intersection would look like in the preferred alternative. The configuration would be very similar to the painted median that exists today. The existing median provides the spacing necessary to accommodate the 5 lanes (2 SB, 1 NB left turn, 2 NB thru) on Dubuque Street south of the Park Road intersection. January 15, 2014 IOWA CITY [GA7EWAY Also, please note that the preferred alternative moves the Dubuque Street alignment approximately 5 to 7 feet to the west north of the Park Road intersection along the Bella Vista bluff, even as it accommodates dual left turns from EB Park Road to NB Dubuque Street. Current Intersection Preferred Alternative Bridae Desian 4. Is it possible to design the bridge to accept lateral forces from a flooded Iowa River in order to maintain traffic when floodwater is in contact with low steel? How much more would this cost? HNTB Corporation will design a bridge that meets the current Iowa DOT design standards and the recommendations of City Council and staff. It is certainly possible to design the bridge to accept more lateral force than current safety factors require. Current safety factors allow for traffic on the bridge when floodwater is in contact with low steel or a point higher on the superstructure. Determining when to close a bridge to traffic is often up to the local government and the traveling public's comfort level. It is not possible to provide details related to the desired design conditions and their resulting costs until we are in the design process. 5. Is the deck thickness of the bridge impacted at all by the width? The deck thickness can be impacted by the width depending on the type of structure selected. The width of the structure for a deck girder bridge will not have an effect on the depth of the structure since the girders carry the load from pier to pier. Additional girders would be added to account for the additional width. The width of the structure for an arch bridge will likely impact the depth of the structure. In order to get the load to the arch ribs, it has to be carried through floor beams that run between the arch ribs. An increased distance between the arch ribs will increase the floor beam length January 15, 2014 IOWA CITY [GA7EWAY and depth. At this stage, it is recommended that arch be placed between the sidewalk and the roadway for a partial through arch. The sidewalk framing would be supported by a cantilever. Design Process 6. Will Council get the opportunity to review plans during the design process? While we (Council) are concerned about efficiency and cost of design, we do not want to get a design we are unhappy with because of so many unknowns up front. Yes, the attached schedule includes two council work sessions to present and exchange information with regards to the Roadway Design and cross - section issues and Aesthetics and Landscaping. Throughout the final design process, staff and the design team are committed to maintaining an open exchange of information with the Council, residents and other stakeholders. Attached, please find the draft design schedule and memo that provides an overview of the design process, timeframes for each phase and milestones for Council input or decisions. It also notes formal and informal opportunities for public input. What is the concept statement and when does this happen? The concept statement provides the Iowa DOT with the basic information regarding the project and improvements being designed, including information regarding location, costs, impacts, as well as existing and proposed design elements of the roadway cross - section. It is required by the DOT for Local Systems Federal Aid Projects. Attached, please find a copy of the concept statement form. As displayed in the attached schedule for the design process, staff will submit a concept statement to the Iowa DOT during the conceptual development stage. This will occur approximately 6 weeks into the design process. Staff will meet with Council prior to the concept statement submittal to discuss recommended roadway design parameters throughout the corridor. Flooding Issues 8. Will a higher bridge pass more water faster? No. The amount of water flowing through the bridge will remain the same. Since the new bridge is higher and longer, a larger cross - sectional area is provided and the velocity will actually be lower. 9. Is Coralville designing their flood protection projects to protect to a foot above the 100 - year floodplain elevation? Coralville is designing their flood control projects to a 2008 +1 elevation except at the Clear Creek Bridge on First Avenue where Coralville is designing protection for 100 +1, due to surrounding businesses and their proximity to the roadway. However, they are able to close First Avenue at the bridge and offer protection to 2008 +1 using removable flood barriers. January 15, 2014 IOWA CITY [GATEWAY Miscellaneous 10. What view will a person driving on Dubuque Street or walking have? A goal of the Gateway Project has been to maintain the look and feel of the current corridor. However, we cannot say definitively or display what the views will be from and of the project at this time. That depends on the elevation of the roadway and the bridge, the bridge type, clear zones, etc. As we work through the design issues and the aesthetics and landscaping plans, staff will present those details at a work session during the preliminary design phase. 11. Were the costs staff presented at the work session the cost of the bridge, or the total cost of the project? Neither, the costs presented were focused on the construction cost of the Gateway and the Park Road 3rd lane improvement projects. An additional $8M will be added to cover design, administration, construction administration, inspection, etc. Also, the Trunk Sewer project will be constructed at the some time and is estimated at $4.4M. January 15, 2014 Lo $ I I THII . . . . HT1 j \itjj o \} I I THII . . . . HT1 o j\itjj \} 60 E o \ } I II IS 1 Schedule of Design Phase Activities Per your request during the October 1 City Council work session, attached please find a schedule of design phase activities for the Iowa City Gateway project. The schedule follows the Iowa DOT's design process flow chart and provides an overview of the major steps in the design process. During the design phase of the project, there will be multiple opportunities for public and City Council input. These design phases and the opportunities for Council and public input are described below. Pre - Design The design process will begin with the City Council's approval of the NEPA Preferred Alternative, staff recommendation, or a hybrid concept. The approval will provide staff and the consultant team with the necessary direction on each of the three design parameters discussed at the October 1 Work Session and Council Meeting. The three parameters are: 1) Level of protection for Dubuque Street; 2) Backwater reduction goals; and, 3) Structural type of the bridge. Concept Development Depending on the Council's approval, staff and the consultant team will have to update the concept to match the selected parameters. During this stage, the roadway model (horizontal and vertical profiles) will be updated to accommodate the approved bridge type and level of protection for Dubuque Street. At this stage, the concept will utilize the same widths for travel lanes, multiuse paths, parkway, etc. as those specified by Iowa Department of Transportation (DOT). The thematic concepts for landscaping will also be developed during this stage. The early concept development will include a public pre- design meeting and City Council work session. This work session will focus on the specific roadway design elements and pedestrian / bicycle connectivity opportunities throughout the corridor. After the Council work session, concept development will continue, coordination with the Iowa DOT will occur for the submittal of the Concept Statement. Concept Refinement and Preliminary Design During this phase, staff and the consultant team will be refining the concept based on Council and public interaction and communication. The concepts will be refined and developed in greater detail (20 -30% plan development) addressing roadway, bridge, utilities, sewer, aesthetics, etc. As the Concept Refinement phase wraps up, a new concept statement will be submitted to Iowa DOT and will include the features and impacts of the various design elements. In the Preliminary Design phase, design details will be further refined and a Council work session focused on aesthetics and landscaping will be held. The council will also be asked to approve a resolution initiating the property acquisition process for the project. January 15, 2014 LGATEWAY Field Exam, Preliminary, Check and Final Plans Following the Preliminary Design phase, staff and the consultant team will dive into the detailed design of the project. This includes developing the detailed design plans for all elements including roadway, bridge, permits, maintenance of traffic, etc. that will culminate with the final plans and specifications for letting. There will be opportunities for input throughout these phases, but the focus of issues to address will continue to narrow from the macro -level at 30 percent plans (lane or parkway widths) to the micro -level at 70 percent plans(sidewalk widths or curb and gutter type), before finalizing plans at the 90 and 100 percent deliverables. In addition to maintaining the open door policy and information exchange during all of these phases, a public hearing will be held during the Final Plans phase. Please Note: Throughout the design process, staff and the consultant team are committed to maintaining an open exchange of information with the Council, residents and other stakeholders. This includes being available during design to share the latest detailed information, listen to comments and address concerns. At key points in the design process, the website will be updated with new information and emails will be sent to those requesting updates. January 15, 2014 ■ t: !a 2 ■ Iowa Department of Transportation Form 517001 (08 -05) Please Note: Before completing this form, refer to the Concept Statement Instructions located in Index No. 6 of the Project Development Information Packet (referred to herein as the Packet). GENERAL INFORMATION: County: City: Date Submitted: ❑ First ❑ Revised Project Number: STIP Year Estimated Letting Date: Contact Person: Phone Number: Title: FAX Number: Address: E -mail: 1.a. Project Location(s) (include road or street name(s) & project limits): ATTACH A DETAILED LOCATION 1.b. ProjectTRle /Description: 2. Type of Work (check all that apply): ❑ HMA Paving ❑ Grading ❑ PCC Widening ❑ Bicycle or pedestrian facilities ❑ HMA Resurfacing ❑ Intersection Modifications ❑ RCB Culvert ❑ Scenic or landscaping improvements ❑ HMA Widening ❑ Lighting ❑ Traffic Signals ❑ Historic restoration or renovation ❑ Bridge Replacement ❑ Patching ❑ Other (describe) ❑ Bridge Rehabilitation ❑ PCC Paving 3. Project Length: ❑ Miles ❑ km (to nearest tenth) 4. Existing Bridge information: FHWA No.: Year Built: Size: Type: 5. Project Costs: For each Rem that applies, indicate R Federal aid reimbursement will be requested. If Yes, enter the estimated cost Federal aid? Cost Item Estimated Cost ❑ Yes ❑ No Preliminary engineering (R Yes, see Index No. 1 of the Packet for procedures) $ ❑ Yes ❑ No Construction engineering (if Yes, see Index No. 1 of the Packet for procedures) $ ❑ Yes ❑ No Acquisition of land or property rights (if Yes, see Flow Chart No. 8 in the Packet) $ ❑ Yes ❑ No Construction $ ❑ Yes ❑ No Utility relocation (R Yes, see Flow Chart No. 9 in the Packet) $ ❑ Yes ❑ No Railroad work (if Yes, see Flow Chart No. 9 in the Packet) $ In -kind contribution (attach documentation as per Index No. 4 of the Packet) $ 6. Total Federal Aid (as shown in the STIP): $ Total Estimated Project Cost $ 7. Estimate of Land or Property Acquisition Impacts: - Will the proposed project: • • a. Require temporary construction easements? ❑ Yes ❑ No d. Require total property acquisition(s)? ❑ Yes ❑ No If Yes, indicate the approximate area (acres): If Yes, approximately how many properties will be totally acquired? b. Require permanent easement(s) or fee title? ❑ Yes ❑ No e. Involve relocation assistance for displaced person(s) If Yes, indicate the approximate area (acres): and /or businesses? ❑ Yes ❑ No If Yes, approx- c. Require borrow material? ❑ Yes ❑ No imately how many relocations will be required? If Yes, indicate the proposed source (check all that apply): f. Involve a change in property access which results in ❑ New borrow area ❑ Not yet determined damage to the remainder of the parcel? ❑ Yes ❑ No ❑ Existing borrow area ❑ Contrator furnished ❑ Within existing right -of -way 8. Public Acceptance: Is R anticipated that the proposed project will receive a substantial degree of public opposition? ❑ Yes ❑ No If Yes, explain: Page 1 Iowa Department of Transportation Form 517001 (08 -05) 9. Environmental Impacts -Will the proposed project: ❑ Yes ❑ No a. Involve any undisturbed land, either public or private, including new borrow areas? If Yes, archaeological assessment and / or survey will be required. If No, and any of questions 7.a through 7.c are checked Yes, or if a new borrow area will be used, attach additional information to show that the land required for the property acquisitions, temporary or permanent easements, or new borrow areas has already been disturbed. ❑ Yes ❑ No ❑ Yes ❑ No ❑ Yes ❑ No ❑ Yes ❑ No ❑ N/A ❑ Yes ❑ No ❑ Yes ❑ No ❑ Yes ❑ No b. Be in the proximity of any known archaeological site? If Yes, an archaeological assessment and/or survey will be required. c. Be in the proximity of any house, building, bridge, or other structure more than 50 years old? If Yes, an historic evaluation and / or survey will be required. d. Be in the proximity of any known historic building, district, bridge, roadway, or structure? If Yes, an historic evaluation and / or survey will be required. (1) (2) (3) Does the project involve an historic roadway? ❑ Yes ❑ No If Yes, list: Do the existing streets to be improved using federal funds contain brick pavers? Does the project involve an historic bridge? ❑ Yes ❑ No If Yes, List: ❑ Yes ❑ No e. If any of questions 9.a - 9.d are checked Yes, have the associated archaeological and / or historical investigations been completed? If Yes, attach the State Historical Preservation Officer (SHPO) approval letter(s). f. Be in the proximity of a recreational area (i.e., park, playground, trail, greenbelt, etc.) or wildlife refuge? If Yes, answer the following questions: (1) Is the property used as a recreational area or wildlife refuge? ❑ Yes ❑ No (2) Is the property publicly owned? ❑ Yes ❑ No (3) If a recreational area, is it open to the public? ❑ Yes ❑ No If the answers to all of questions 9.f (1) - 9.f (3) are Yes for a recreational area, or if the answers to both questions 9.f (1) and 9.f (2) are Yes for a wildlife refuge, complete and submit the applicable portions of Environmental Data Sheet (Form 517006). Refer to the Environmental Data Sheet Instructions for more information. g. Involve placement of fill in waters of the United States, including wetlands? If Yes, refer to the County Engineers Instructional Memorandum (I.M.) 3.13 to determine if a 404 permit is needed. h. Affect a floodplain or floodway? If Yes, refer to I.M. 3.131 to determine if a permit is needed. ❑ Yes ❑ No i. Disturb one or more acres of land? If Yes, NPDES General Permit No. 2 will be required from the Iowa DNR. When estimating the amount of disturbed land area, include all areas where soil will be exposed at any time to erosive forces. Refer to Storm Water Permits in Index No. 8 for more information. ❑ Yes ❑ No j. Involve the acquisition of more than five acres of farmland in any one mile (or less) length of the project? If Yes, complete the Farmland Conversion Impact Rating (Form AD- 1006). ❑ Yes ❑ No k. Be in the proximity of known Federal or State threatened or endangered species or their habitat? If Yes, complete and submit the applicable portions of the Environmental Data Sheet (Form 517006). ❑Yes ❑ No I. Involve the cleanup of any known hazardous materials? If Yes, describe them below: ❑Yes ❑ No m. Have probable significant noise, air quality, or water quality impacts that may raise public concern or warrant special mitigation measures? If Yes, describe the types of impacts anticipated and the proposed mitigation, if any: 10. Miscellaneous Items -Will the proposed project: ❑ Yes ❑ No a. Be within a 20,000 foot radius of a public airport? If yes, refer to I.M. 3.15 to determine if the Federal Aviation Administration (FAA) may need to be notified. ❑ Yes ❑ No b. Have a railroad crossing or railroad signals within its limits? If yes, contact the railroad company to determine if an agreement will be required. If the railroad has already been contacted, will the project require an agreement between the railroad and the LPA? ❑ Yes ❑ No ❑ Not Yet Determined ❑ Yes ❑ No c. Include Intelligent Transportation System (ITS) elements? Page 2 Iowa Department of Transportation Form 517001 (08 -05) 11. Project Design Elements --Provide the project design information requested below. If the project involves multiple facilities, or significantly different sections on the same facility, complete a separate page for each. For design elements that are not applicable for the facility listed below, enter "N /A" in the appropriate space. If the project does not involve a roadway, bicycle trail, or shared use path, this page may be left blank. Facility Name: Federal Functional Classification: ❑ Interstate ❑ Other Principal Arterial ❑ Minor Arterial ❑ Rural Major Collector ❑ Rural Minor Collector ❑ Urban Collector ❑ Local ❑ N/A (trail or path) Traffic Volumes: Existing AADT: (Year = ) Design Year AADT: (Year = ) % Trucks Design Speed: mph Posted Speed: mph Terrain: ❑ Level ❑ Rolling Type of Area: ❑ Commercial or Industrial ❑ Fringe or Residential ❑ Rural Design Guidelines (check only one) For urban roadways, use the design guidelines contained in Index No. 5 of the Packet and indicate which table was used below: ❑ Urban Design Aids ❑ Alternative Urban Design Guides* ❑ Urban 3R Guidelines For rural roadways, use the design guidelines contained in I.M.s 3.210 or 3.214 and indicate which table was used below: ❑ Design Aids for Rural Collectors ❑ AASHTO Guidelines for Rural Collectors* ❑ Design Aids for Rural Local Roads ❑ AASHTO Guidelines for Rural Local Roads* ❑ 3R Table for Rural Collectors (if checked, indicate type of improvement: ❑ Rehabilitation ❑ Restoration ❑ Resurfacing) ( *If any ofthese tables are used, explain reasons for not using the "Aids" tables in the cover letter or e-mail that accompanies this form.) ❑ For bicycle trails or shared use paths, use the most current edition of the Urban Design Standards Manual, Chapter 8, Section 2, Table 2.1. Design Exceptions: Will a design exception be required? ❑ Yes ❑ No If Yes, attach documentation for each esception requested. Design Element Existing Proposed All Roadways (urban or rural) Number of traffic lanes Travel lane width (ft.) Travelled way surface type Urban Roadways Total roadway width (ft) (back -of -curb to back -of -curb) Curb and gutter width (ft) Median width (ft) and type Raised Painted Raised Painted On- street parking lane width (ft) Horizontal clearance (ft) Rural Roadways Roadway top width (ft) (shoulder -to- shoulder) Shoulder surface type Shoulder width (ft) Foreslope ratio (horizontal: vertical) Clear zone (ft) N/A Bridges (urban or rural) Bridge roadway width (ft) Is guardrail present? ❑ Yes ❑ No ❑ Yes ❑ No Is guardrail proposed? N/A ❑ Yes ❑ No Will channel change be required? N/A Yes No Bicycle Trails or Shared Use Paths Traill path surface width (ft) and traffic direction: 2 -Way 1 -Way 2 -Way 1 -Way Trail or path surface type Shoulder width (ft) Lateral clearance (ft) Vertical clearance (ft) Clear width of path on bridge (ft) Traffic Signals If new traffic signals are proposed, are MUTCD warrants met? N/A ❑ Yes ❑ No ❑ N/A If yes, which warrants are met? I N/A Page 3 IOWA CITY GATEWAY Updated Links to project - related documents: Iowa City web site home page: http://www.iowacitygateway.org Finding of No Significant Impact document: http: / /www. iowacitygateway.org /wp- content / uploads /lowaCityGateway -FON SI.pdf Environmental Assessment document: http: // icgpreferredalternative .businesscatalyst.com /ea- document.html Maps of the preferred alternatives, including grade change info, cross sections and elevations, temporary construction impacts and right of way changes: http: // icgpreferredalternative .businesscatalyst.com /index.html Draft renderings of the final project: http: / /icgpreferredalternative .businesscatalvst .com /renderings.html Public Hearing transcript, April 4, 2013: http: / /www. iowacitygateway.org /wp- content /uploads /HearingTranscript. pdf Video of the Public Hearing, April 4, 2013 http: / /view.earthchannel. com /PlaverController .aspx ?PGD= iowacity &e I D =431 Public comments submitted during the official comment period: http: / /www. iowacitygateway.org /wp- content /uploads /AllComments2013- 05 -17. pdf September 17, 2013 and October 1, 2013 City Council Presentations and the City Council Packet Contents: http://www.iowacitygateway.org/resources/ January 15, 2014 C O .y Q O V C O V N O i a ^O `W W J C m w c CL O � N N�w � ba L 3 .i c m Ell a O i u y W+ w N L f6 + L N i+ C f 'o Gl lO } ± O C Q U U W �j 0 Ln C O � u +O+ j N OM + to N r, 7 m 7 00 to 00 N r, M N 3 N O N M V1 M Zt l0 V1 M Zt l0 L {= M M M M M O O N 3 o M M M M M M m U U W 3 0 N 1/} 1/} 1/} 1/} t/) V)m V)m V)m V)m V)m V)m V)m C � O � N } f C N i+ i_ 3 V1 I-z W I-z W C � O � I a N I a C ++ S O N N M 7 o o U1 6 6 0 O O N 3 0 M M M M m M m M M m m M m M M m m M m M U U W 3 0 N V} V} V} V} V} V} V} V} V} V} V} V} N Y u y O 0 L W 0) W -p 00 iV O 00 N O 00 N O u w 'C r-z ri of r-z ri of Ui ri of 2 m N N N N N N N N N c O ON 7 O ON 7 O O N VN1 VN1 0000 m VM1 O N M U1 Gl N N l6 Gl (7 rl 0 W l0 l0 l0 l0 l0 l0 l0 l0 l0 l0 l0 l0 rL R 0) }� E R O d O R `u m y I� Lq 7 c-I %n 7 %n rn i0 E 0' N O O rl O O rl O O L � O o '3 N � _ 7 u 'O 7 N l0 O l0 I� cV to 7 m cV 00 m 1' N M l0 l0 I-z M 7 V1 V1 M 7 V1 V1 0) 2 + + + + + + + + + + + + T T 0000 T T T 00 T 3 0 0 o O C o c o O O O O cc O O O O O O J W N N N V1 N N N V1 N N N V1 t t t t Oq O0 Oq Oq tw G U� U� U u u u u J 0t J 0t J 0t J 0t ;O U m� City of Iowa City City Council January 15, 2014 Dear City Council Members: SOLED 1014 JAN 15 PM 4: 56 10 CITY CLERK WA CITY, 10 %f Thank you for your time and commitment. This letter is to express support for: 1. The Gateway Project as recommended by the City staff members and 2. Improved access to the Peninsula neighborhoods west of the intersection of Dubuque Street and Foster Road. Practical alternatives include raising Foster Road (perhaps as a part of the Gateway project) or establishing emergency egress to Dubuque Street from Laura Drive. I request you support the Gateway Project for the following reasons: 1. The Gateway project improves aging infrastructure on major arteries. Dubuque Street has 25,500 cars per day on average. The Park Road bridge is dangerous and crumbling. Pedestrian and bike traffic is constantly in danger on these roads. 2. The Gateway project improves access to downtown businesses, especially when these businesses already are stressed due to flooding. 3. The Gateway project will reduce flooding backflow on Foster Road. Foster Road is the access to homes for residents of 684 addresses, which appears to represent 2.5 % of the citizens in Iowa City. In 2008, residents of this area were required to evacuate due to flooding. The Gateway project will reduce but not eliminate the future incidences of evacuation of this area. a. Since 2008, the number of residents in the Peninsula area have dramatically increased, as illustrated by the attached aerial photos. b. The City of Iowa City will incur significant costs in caring for these residents, providing evacuation, security and emergency services in the case of a flood. 4. The Peninsula neighborhood portion of this area is only 40% built out. Future residences will be more attractive to future taxpayers if there is a reduced chance of evacuation of this area. 5. The Peninsula area is one of the few areas where Iowa City has a growing tax base. As stated earlier, this area is growing quickly. Based upon assessor data, the area already represents 2.8% of assessed value in Iowa City for residential neighborhoods. I request that you support Improved Access to the Peninsula neighborhoods west of the intersection of Dubuque Street and Foster Road by raising Foster Road (perhaps as a part of the Gateway Project) or by establishing emergency egress to Dubuque Street from Laura Drive for the following reasons: See #3, #4 and #5 above. Department of Transportation traffic counts on Foster Road further show that Foster Road serves a large proportion of the residents of Iowa City, and this constituency base is growing. In 2007 there was an average of 1943 cars. By 2010 this number had grown 53% to 4160. These neighborhoods continue to grow and continue to need improved infrastructure. The Peninsula area was the City of Iowa City's vision. Included in that vision and in the Capital Improvements budget was the raising of Foster Road. The City's investment, and the residents' investment in the Peninsula neighborhood relied on this project, which 51211t5 a r- r ri -0 crs i Marian Karr From: Mark Wyatt <mark @iowabicyclecoalition.org> Sent: Thursday, January 16, 2014 11:28 AM To: Council Subject: Dubuque Street Dear City Council of Iowa City, On behalf of the Elk Run Homeowners Association board of directors, we wish to express our concern about the lack of progress on flood mitigation on Dubuque Street. The flood is a significant impact on economics, travel, and safety of our neighborhood. It is the safety concern that has produced alarm in our community as we hear of efforts to block the flood mitigation efforts. The biggest cause for alarm is the disconnection of emergency services from the Peninsula area. It is our understanding that first -in fire companies from Iowa City Fire Station No. 4 would provide a service for any structure fire. This may result in a delay for initial fire response, but the significant problem is the delay of support from the truck company located at downtown Station No. 1. Depending on traffic, Iowa City's ladder truck would have to respond through Coralville to reach Foster Road during a flood. Since our area contains three and four story residential complexes, access to the ladder truck is integral for life safety in the event of a fire. With the Iowa City Police station located downtown, we are sure they would have a similar response pattern from that location. We do understand the individual cars are mobile, but unless there was a car located in our neighborhood or strategically near the Hwy 1 /Interstate 80 area, we have to assume our response delays would have been similar. Everyone in our association understands effects of a flood on the Iowa River. However, our residents have moved to this location following the passage of a 1 cent sales tax for flood mitigation and have been diligently paying our tax until it recently expired. We are sorry that another neighborhood may be adversely affected by the flood mitigation project. We hope city staff can engineer a way to save the trees along Dubuque Street. Public safety should be a priority in this project for the Iowa City City Council. We cannot afford any serious injury, loss of life or property when the ability exists to mitigate flooding on Dubuque Street. Sincerely, Mark Wyatt 864 Foster Road Iowa City, IA 52245 Marian Karr From: Scott Dragoo <mystic_fool @hotmail.com> Sent: Thursday, January 16,-2014 12:59 PM To: Council Subject: Raising Dubuque Street Hello, I am writing regarding the raising of Dubuque Street to maintain access, in the event of future flooding. There is no doubt that this road needs to be raised to maintain access to our growing neighborhoods off of Foster Road. It is a positive thing that Iowa City prepares for inevitable future flooding, especially in light of increasing flooding concerns. Please move forward with raising Dubuque Street, we GLADLY welcome the lengthy road construction that is inevitable with raising the road, if it ultimately means access to our home is assured during flooding. Thank you for your time, Scott C. Dragoo 987 Walker Circle Iowa City Marian Karr From: Drew Dillman <drewdillman @gmail.com> Sent: Saturday, January 18, 2014 10:52 PM To: Melissa Clow; Mary Murphy; Judy Dillman; Council Subject: Proposed elevation of Park Road Bridge Dear City Council Members, It seems foolish to me to not elevate the bridge to the 500 year +1' elevation as preferred by EA. This elevates the cost of the bridge from $35.1 million to $36.65 million, a relatively small amount of the total cost of the proj ect. The bridge and its footings are the narrowest part of the river channel below City Park, and can act a constriction point (partial dam) raising the pool upstream from this obstruction. This pool threatens the neighborhoods upstream from the bridge and Rocky Shore Road where it passes under a railroad trestle adjacent to Crandic Park. The height of the pool is affected not only by the height of the bridge, but also the width of the channel under the bridge, which changes the height of the pool even during smaller floods. We have this one chance to make a difference by decreasing the effect of future floods before they are upon us rather than reacting to them after they have started. We have already seen that seemingly rare events like 100 and 200 year floods happen more often than we expect whether because of climate change or more rapidly draining land upstream from us. Please do all you can to minimize the effect of future floods by maximizing the channel under Park Street Bridge. Sincerely, Drew B. Dillman, M.D. Marian Karr From: MurphyGeerdes <mg9425 @mchsi.com> Sent: Tuesday, January 21, 2014 1:07 AM Cc: Council Subject: Gateway project to elevate Dubuque St., build new bridge, and add third lane on Park Rd. Dear Council Members: For many reasons, I do not support the raising of Dubuque St. to the level recommended by City staff. A far better and less expensive alternative to raising Dubuque Street would be to extend Foster Road to Prairie du Chien to provide more options for rerouting traffic when water is an issue. The Gateway project (raising of Dubuque Street) will be a traffic nightmare as construction is predicted to last at least two seasons, and Dubuque Street will be taken down to one lane each way and closed on occasion. Noise and dust will be excruciating. The narrow Park Road to Rocky Shore was not conducive to the Hancher construction dump trucks zipping up and down its length, and the traffic from the Gateway project will be worse. Assuming the design phase moves forward, I would respectfully request that the design include a livable plan for dealing with construction traffic, noise, dust, moving construction equipment to and from the site, and traffic plans for commuters (walkers, bikers, and autos) and large events so those of us who live in the area are not unduly burdened. Significant community input should be sought about this. Further, the cost is ever increasing, and I would request that City Council reevaluate this project following any design work. I do not support general obligation bonds being issued to raise Dubuque Street—property taxes are already high here. The property tax burden in Iowa City is likely to get worse as the school district will have to try to bond to get the money it needs to complete its facilities plan and the county continues to press for a new jail. While some of us can itemize on our tax return to lessen the property tax burden, many cannot. I suspect that property taxes are especially burdensome for those older individuals who live on fixed incomes, have their homes paid off, and do not itemize. As you are aware, every dollar an Iowa City resident spends on property taxes means less money to spend elsewhere. Nor do I support an additional sales tax to pay for the raising of Dubuque St. Lots of towns have elevated large roads as their entrance; Iowa City provides those entering its city with a wonderful vista of the river, providing a unique opportunity for Iowa City to differentiate itself from other geographic areas. The Gateway project should not be so large that it destroys this vista. I'd also request that the Council consider the visual impact that a highly elevated Dubuque St. would have from the Iowa City Park side of the river and from the river itself —the shoreline should not be unattractive. I do support elevation of a new bridge over Park Road and concur with Dr. Drew Dillman's email to you on this subject. I would like to see city staff seek more input about how the bike trail interacts with this new bridge as the design phase moves forward. I do not support building a new road from lower City Park into the Parkview Terrace neighborhood, especially a new road built over property that was bought out with FEMA dollars and which is supposed to remain green space in perpetuity. The Parkview Terrace neighborhood has a large amount of pedestrian traffic, many of whom make use of the roads to travel since the sidewalks are inadequate. Plus, emergency access to and from the park already exists the city's trucks routinely use the bike path to travel. Parkview Terrace is a walkable neighborhood, this should not be impeded and would be a poor use of taxpayer money. Thank you for your attention to this matter. Sincerely, Mary Mary Murphy 890 Park Place Iowa City, Iowa 52246 3191400 -7464 mg9425gmchsi. com Blog: httgs: //marymurphyiowa.wordpress.com/ Marian Karr From: John Kirby <jrkirby @me.com> Sent: Tuesday, January 21, 2014 6:52 AM To: Council Cc: Susanne Mueller; John Kirby Subject: letter in support of Gateway project Attachments: CC letter. pdf This correspondence will become a public record. Dear City Council, Please consider the following letter in support of the Gateway project. Thank you, John Kirby Susanne Mueller 1587 Foster Road Iowa City, IA 52245 Susanne Mueller & John Kirby 1587 Foster Road Iowa City, IA 52245 January 19, 2014 Dear Iowa City Council Members, We would like to express our strong support for The Iowa City Gateway project as recommended by the staff members. We also support improvement of the access to the Peninsula neighbohood by 1) raising Foster Road between Dubuque street and Calibria Street and /or 2) creating a second access Road from Laura Drive into Mackinaw Village. Dubuque Street serves as a main entrance to Iowa City for many residents and visitors with more than 25,000 vehicles per day. Dubuque Street is part of the daily commute for many people who work in Iowa City and is therefore a vital part of daily life. Raising Dubuque Street and replacing the damaged Park Road Bridge will improve access to Iowa City and the Univeristy of Iowa. The Gateway project will reduce flooding of Dubuque Street and backflow onto Foster Road, similar to that which occurred in 2008 where Foster Road was closed for up to 10 days and affected all residents in our area by forced evacuations. Therefore we also strongly support the proposal to raise Foster Road between Dubuque Street and Calibria Street as part of the Gateway project. A second entrance /exit to the neighborhoods could also be provided from Laura Drive east into Mackinaw Village; we support this proposal as well. We have been living on Foster Road in the Peninsual Neighborhood since 2006 and work at the Univeristy of Iowa. The flooding in 2008 and 2013 directly affected us as Dubuque street was closed to flooding for an extended period. In 2008, we were evacuated for 10 days and had disrupted commutes for another month following that event. In 2013, we prepared to evacuate, which disrupted work and travel plans for well over one week. Each event altered our University research projects leading to significant loss of progress. In contrast, we strongly oppose extension of Foster Road to 15t Ave in Coralville. This would negatively impact our neighborhood, the Peninsula Park and Thornberry Dog Park in Iowa City as well as Edgewater Park in Coralville. These areas are designated for public walking, jogging, bicycling, fishing and bird watching and should not be disturbed by car traffic. Indeed, development of our neighborhood was built on the premise of the walkable nature of our community, with low speed vehicles and no through -ways to other locations. Many families with small children and pets have located here due to the safe nature of the community design. Altering that design would destroy the existing concept and force many of us to consider relocating. We argue that the extension of Laura drive toward Mackinaw Village is functionally analogous to that of the extension of Oakdale Boulevard where the new road does not cut through a preexisting neighborhood but circumvents that neighborhood. Thank you for your consideration on these matters. John Kirby & Susanne Mueller 1587 Foster Road V..- K.", 8-�AL I Marian Karr From: Melissa Clow Sent: Tuesday, January 21, 2014 9:48 AM To: Marian Karr Subject: FW: Iowa City Gateway Status Update Here is the one that I thought should be sent... Melissa Clow, El, LEED AP City of Iowa City, Engineering 319 - 356 -5413 phone 319 - 330 -1420 cell APlease consider the environment and do not print this email unless necessary. From: Moninger, Thomas [mailto :thomas- moninger @uiowa.edu] Sent: Friday, January 17, 2014 12:37 PM To: Melissa Clow Subject: RE: Iowa City Gateway Status Update Hi Melissa, Thank you for the update. It would be interesting to attend the meeting on the 21St but don't think I will be able to do so. I would like to express my support for the recommendations forwarded to the council. I really like the look of the cable- stayed bridge and think it would present an attractive view to visitors to IC. However I imagine the cost is significantly more than the through -arch design, which I also like. On a somewhat related note, what is the time frame for the potential extension of Bjaysville lane through to Prairie du Chen? I live on Kimball Rd and am getting kind of tired of the fast - travelling cars that use Kimball to get from Dubuque to Prairie du Chen and Dodge. (The speed bumps seem to have no effect on these folks. The only people that appear to slow down are those that live in the neighborhood. I'd just as soon see them removed.) Warm Regards, Tom From: Melissa Clow [mailto :Melissa - Clow @iowa - city.org] Sent: Friday, January 17, 2014 12:11 PM To: Melissa Clow Subject: Iowa City Gateway Status Update You are receiving this e -mail because you have indicated an interest in the Iowa City Gateway project. This e -mail is to notify you that there has been an update to the project web site (www.iowacit ayg tewaorg) regarding the project status. Feel free to contact me if you have any additional comments or questions about the proj ect. Should you no longer wish to receive these updates, please e-mail me at: Melissa- Clowgiowa- city.org or melissaclow(,iowacitY ag tewa�org. Melissa A. Clow, EI, LEED AP Special Projects Administrator Engineering Division City of Iowa City 410 East Washington Street Iowa City, IA 52240 319 - 356 -5413 office 319 - 330 -1420 cell P Please consider the environment and do not print this email unless necessary. Notice: This UI Health Care e -mail (including attachments) is covered by the Electronic Communications Privacy Act, 18 U.S.C. 2510 -2521, is confidential and may be legally privileged. If you are not the intended recipient, you are hereby notified that any retention, dissemination, distribution, or copying of this communication is strictly prohibited. Please reply to the sender that you have received the message in error, then delete it. Thank you. Marian Karr From: Melissa Clow Sent: Tuesday, January 21, 2014 12:02 PM To: Marian Karr Subject: Gateway Revised Sheet Attachments: 2014 -0121 Key Roadway Elevations UPDATE.pdf Marian — We requested some additional information on one of the sheets included in the last council packet. Here is the revision to provide to council prior to the meeting tonight. Thanks, Melissa A. Clow, El, LEED AP Special Projects Administrator Engineering Division City of Iowa City 410 East Washington Street Iowa City, IA 52240 319 - 356 -5413 office 319 - 330 -1420 cell APlease consider the environment and do not print this email unless necessary. Roadway Elevations at Key Locations Key Spot Elevations Roadway Elevations 500 +1 Elevation at 500 +1 B 1 2008 +1 Elevation 200 +1 Elevation 1 100 +1 Elevation Cross Street Existing Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Foster Road 659.84 659.84 0.00 659.84 0.00 659.84 0.00 659.84 0.00 Taft Speedway (old) 6462 66110 14.501 658.721 12.12 658.59 11.99 655.21 8.61 Mayflower Driveway 647.00 658.40 11.401 656,021 9.02 655.89 8.89 652.51 5.51 Kimball Road 645.63 658.13 12.501 656,551 10.92 655.62 9.99 653.30 7.67 January 21, 2014 Key Spot Elevations B Deck Arch Bridge Bridge a at 500 +1 B Brid a at 2 2008+1 B Bridge at 200 +1 B Bridge at 100 +2 500 +1 Elevation 1 1 2008 +1 E Elevation 2 200 +1 Elevation 1 1 100 +1 Elevation 2 2008 +1 Elevation 1 1 100 +1 Elevation 2 2008 +1 Elevation A All 200 +1 Elevation 1 1 100 +1 Elevation A All 100 +1 Elevation Cross Street E Existing E Elevation D Diff. E Elevation I I Diff. E Elevation I I Diff. E Elevation D Diff. E Elevation D Diff. E Elevation D Diff. E Elevation I I Diff. E Elevation D Diff. E Elevation D Diff. E Elevation D Diff. Kimball Road 6 645.63 6 658.13 1 12.501 6 656.551 1 10.92 6 655.621 9 9.991 6 653.30 7 7.67 6 656.55 1 10.92 6 653.30 7 7.67 6 656.55 1 10.92 6 655.62 9 9.99 6 653.30 7 7.67 6 653.30 7 7.67 Park Road (old) 6 653.30 6 663.76 1 10.46 6 663.23 9 9.93 6 662.921 9 9.621 6 662.15 8 8.85 6 662.18 8 8.88 6 660.56 7 7.26 6 661.30 8 8.00 6 661.25 7 7.95 6 660.11 6 6.81 6 658.93 5 5.63 Park Road (new) 6 656.87 6 664.03 7 7.16 6 664.03 7 7.16 6 664.03 M M- Girder Bridge Key Spot Elevations Bridge at 500 +1 Bridge at 2008 +1 Bridge at 200+1 Bridge at 100+3 500 +1 Elevation 1 2008 +1 Elevation 200 +1 Elevation 100 +1 Elevation 2008 +1 Elevation 100 +1 Elevation 2008 +1 Elevation All 200 +1 Elevation 1 100 +1 Elevation All 100 +1 Elevation Cross Street Existing Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff. Kimball Road 645.63 658.13 12.50 656.55 10.92 655.62 9.99 65130 7.67 656.55 10.92 653.30 7.67 656.55 10.92 655.62 9.99 65330 7.67 653.30 7.67 Park Road (old) 653.30 664.26 10.96 66173 10.43 66142 10112 662.65 9.35 662.68 938 661.06 7.76 662.01 8.71 661.75 8.45 660.61 7.31 659.43 6113 Park Road (new) 656.87 665.03 8.16 665.03 8.16 665.03 8.16 665.03 8.16 66145 6.58 663.45 6.58 662.52 5.65 662.52 5.65 662.52 5.65 660.20 3.33 Brawn St. 676.20 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 Lower City Park Ent. 653.75 656.50 2.75 656.50 0.75 656.50 0.75 656.50 0.75 656.50 0.75 656.50 0.75 65650 0.75 656.50 2.75 656.50 2.75 656.50 0.75 West Hancher Ent. 674.75 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 0.35 Riverside Drive 702.33 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 0.00 Partial Through Arch Bridge Key Spot Elevations Bridge at 500+1 Bridge at 2008 +1 Bridge at 200 +1 Bridge at 100 +3 500 +1 Elevation 1 2008 +1 Elevation 200 +1 Elevation 100 +1 Elevation 2008 +1 Elevation 100 +1 Elevation 2008 +1 Elevation I Al 200 +1 Elevation 1 100 +1 Elevation Al 100 +1 Elevation Cross Street Existing Elevation Diff. Elevation I Diff. N656.50 Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff, Elevation Diff. Elevation Diff. Elevation Diff. Kimball Road 645.63 658.13 12.50 656.55 10.92 9.99 653.30 7.67 656.55 10.92 653.30 7.67 656.55 ffi0.00702.363) .62 9.99 653.30 7.67 653.30 7.67 Park Road (old) 653.30 660.76 7.46 660.23 6.93 6.62 659.15 5.85 659.18 5.88 657.56 4.26 658.50 .25 4.95 657.11 3.81 655.93 2.63 Park Road (new) 656.87 661.53 4.66 661.53 4.66 4.66 661.53 4.66 659.95 3.08 659.95 3.08 659.02 .02 2.15 659.02 g 656.87 0.00 Brown St. 676.20 675.60 -0.60 675.60 -0.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 .60 -0.60 675.60 675.60 -0.60 Lower City Park Ent. 653.75 656.50 2.75 656.50 0.75 0.75 656.50 0.75 656.50 0.75 656.50 0.75 656.50 .50 2.75 656.50 656.50 0.75 West Hancher Ent. 674.75 675.10 0.35 675.10 0.35 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 .10 0.35 675.10 675.10 0.35 Riverside Drive 702.33 702.33 0.00 702.33 0.00 . 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 .33 0.00 702.33 0.00 702.33 0.00 Partial Through Arch Bridge Key Spot Elevations Bridge at 500+1 Bridge at 2008 +1 Bridge at 200 +1 Bridge at 100 +3 500 +1 Elevation 1 2008 +1 Elevation 200 +1 Elevation 100 +1 Elevation 2008 +1 Elevation 100 +1 Elevation 2008 +1 Elevation I Al 200 +1 Elevation 1 100 +1 Elevation Al 100 +1 Elevation Cross Street Existing Elevation Diff. Elevation I Diff. N656.50 Diff. Elevation Diff. Elevation Diff. Elevation Diff. Elevation Diff, Elevation Diff. Elevation Diff. Elevation Diff. Kimball Road 645.63 658.13 12.50 656.55 10.92 9.99 653.30 7.67 656.55 10.92 653.30 7.67 656.55 ffi0.00702.363) .62 9.99 653.30 7.67 653.30 7.67 Park Road (old) 653.30 660.76 7.46 660.23 6.93 6.62 659.15 5.85 659.18 5.88 657.56 4.26 658.50 .25 4.95 657.11 3.81 655.93 2.63 Park Road (new) 656.87 661.53 4.66 661.53 4.66 4.66 661.53 4.66 659.95 3.08 659.95 3.08 659.02 .02 2.15 659.02 g 656.87 0.00 Brown St. 676.20 675.60 -0.60 675.60 -0.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 -0.60 675.60 .60 -0.60 675.60 675.60 -0.60 Lower City Park Ent. 653.75 656.50 2.75 656.50 0.75 0.75 656.50 0.75 656.50 0.75 656.50 0.75 656.50 .50 2.75 656.50 656.50 0.75 West Hancher Ent. 674.75 675.10 0.35 675.10 0.35 0.35 675.10 0.35 675.10 0.35 675.10 0.35 675.10 .10 0.35 675.10 675.10 0.35 Riverside Drive 702.33 702.33 0.00 702.33 0.00 . 0.00 702.33 0.00 702.33 0.00 702.33 0.00 702.33 .33 0.00 702.33 0.00 702.33 0.00 VA Marian Karr From: Eric Gidal <eric.gidal5 @gmail.com> Sent: Tuesday, January 21, 2014 11:57 AM To: Council Subject: Gateway Project Dear Members of the Iowa City City Council: As a longtime resident of the Northside Neighborhood, I write to encourage you to use restraint when voting on proposals for the elevation of Dubuque Street. A project that creates more damage and disturbance than any flood has or is likely to cause, seems misguided. Yours sincerely, Eric Gidal 328 Brown Street Iowa City Marian Karr From: lucyapple @mediacombb.net Sent: Tuesday, January 21, 2014 3:53 PM To: Council Subject: Gateway project - Myers Public Comment, Gateway Project, City Council Meeting January 21, 2014 Dear City Council, I encourage you to: 1. Select the partial through -arch bridge. The thin deck requires the least "extra elevation" of traffic (five feet as opposed to eight and a half) and therefore moderates the sacrifice of Bella Vista and the Northside neighborhoods. The cost is reasonable. It is beautiful. 2. Select the 200 + 1 bridge level. This will provide excellent flood reduction benefits over the current bridge. Also, Bella Vista residents and city staff recommendations appear to concur on this point. Select the 200 + 1 level for Dubuque Street. This level will provide significant additional protection for traffic over the existing roadway. As the Public Works Director's "Level of Protection" chart shows, the 200 + 1 foot level is actually one inch above the 2008 flood level. (Specifically, the chart states it is "11 inches below the 2008 +1 foot level." See bottom of Page 2 of January 15, 2014 memo from Rick Fosse, in your packet.) Also, because it provides the Northside neighborhoods an additional (and not insignificant) eleven inches of protection from the negative impacts of Dubuque's traffic, 200 + 1 is a better balance of all the stakeholders' needs than 2008 + 1. Finally, it involves less earth moving and will help prevent construction sedimentation from entering the Iowa River. Thank you for your hard work, Julie Myers Brown Street Neighborhood January 21, 2014 Jacobsen - Coulter House Mayor Matthew Hayek Members of the City Council City of Iowa City, Iowa Re: Iowa City Gateway Project Dear Mayor Hayek and Members of Council: I urge you to reject the City of Iowa City Public Works Department recommendation to raise Dubuque Street to the 2008yr. + 1 level and the elevation of the Park Road Bridge to a 200yr. + 1 level. Rather, I would request the Council to support a more modest proposal that would: elevate North Dubuque Street to no more than the 100yr. +1 level; design an esthetically appropriate bridge structure, with sufficient elevation to avoid Iowa River backwater retention; and redirect /redesign an elevated North Dubuque Street, in collaboration and agreement with all affected property owners, to minimize impacts to, and preserve, the historical properties, the local ecology, and the safety of the Iowa City community. I am the owner /resident of the Jacobsen - Coulter House, 1818 North Dubuque Street. This 2.4 acre property is situated on a bluff overlooking the Iowa River, with over 1000ft. (330yd.) frontage on North Dubuque Street, with driveway and access to the house and garages directly at the street level. The house and garages were constructed of hand -cut fieldstone in 1929, by Dr. H.H. and Sylvela Jacobsen. I purchased the house and property in 1986 from the Jacobsen Estate and have sought to preserve the historical character of all of the house, garage and grounds. The Jacobsen- Coulter house has been deemed eligible for listing on the National Register of Historical Places. I have previously registered my concerns about the Gateway Project Preferred Alternative design, and find the current Public Works Department proposal before you tonight, to be unacceptable for the following reasons (see also attached Handout). The planned elevation of N. Dubuque Street by 10 -15 ft. above the present roadway along and in front of my property at 1818 N. Dubuque Street would: 1. Significantly detract from the aesthetic, historical, and property value of the house, garages, stairway and landscaping of the property; 2. Increase the vehicular and pedestrian traffic and consequent noise, trash and other ecological damage to the properties residents, the house, garden /lawns and other areas of the property, and adjacent properties of the Ball Heights neighborhood; 3. Create a safety hazard to both vehicular and pedestrian traffic, especially in proximity to the garage area in front of the house which would fall sharply to 10-15 ft. below the level of the planned roadway and sidewalk; 4. Result insubstantial flooding potential along the front of the property facing N. Dubuque St., and the Foster Road /Bjaysville lane, especially in the area of the garages, as no provision for storm water drainage from the property, the Foster Road /Bjaysville Lane, the Ridge Road street, and Ball Heights areas are part of the plan; S. Restrict owner and guest access to the garages, and parking, for the property, and stairway access to the front of the house; 6. Result in loss of the south portion of the property, with a redirection of Ridge Road, into a smaller northern section with the house and garages, and further increasing vehicular and pedestrian traffic and consequent noise, trash and ecological damage to the area, including Ball Heights; 7. Fails to provide any plan for continued access to City /public services including USPS mail /package delivery, refuse /garbage pick -up /removal, fire protection (hydrant access), gas, water and sewage services. I am further concerned by the failure of the City, the State Historical Preservation Office (SHPO), the Iowa Department of Transportation (DOT) and the Iowa Federal Highway Administration (FHWA) to comply with Section 106 of the National Historic Preservation Act and the National Environmental Policy Act to consult with and develop a Memorandum of Agreement (MOA) with affected property owners to "minimize" and "mitigate" the adverse effects of the Gateway Project. As articulated in the federal Advisory Council on Historic Preservation (ACHP) letter of September 13, 2013 to Mr. Mike La Pietra, (Iowa FHWA), concerning the Gateway Project: "We recommend FHWA and DOT to reopen the Section 106 review, reengage the SHPO, invite concerned property owners to be consulting partners, and consult to develop a MOA to resolve the adverse effect to historic properties." To date, there have been no consultations, and no MOA have been developed with affected property owners. The Finding of No Significant Impact (FONSI) recently provided by Mr. La Pietra regarding the Dubuque Street, Park Road, and Park Road Bridge Improvements (Project No. HDP- 371652)- 71.;52 would therefore appear to be invalid. I have subsequently been in contact with my attorneys who have advised me that the FONSI is deficient in a number of other areas, in addition to the absence of the MOA. I must advise you that action by the City Council on the Gateway Project and the Public Works Recommendations before you tonight, in the absence of a valid FONSI, may put the City at risk of legal action. 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O rD Q. wi r+ cu E40 O 0 cn rD O �► , O rD 3 rD D w D 0 n 15 un r+ rD r m Gi r t/1 C m V) Iowa City Gateway City Council Meeting January 21, 2014 Primary Design Parameters from Tonight's Work Session ■ Level of protection for Dubuque Street • 100 year event + 1' ■ Backwater reduction goals (Elevation of Park Road Bridge): • Low Steel at 200 year event +1' ■ Structural type of the bridge • Through Arch IOWA CITY all all • GATEWAY Iowa City Gateway Project 1 Tirneframe Oesl n roxlmate a mourns follw teal a vrellmina Mu nv -T=77, M ]W 4P ser IM rM YT' Jan Jm F2E F10 FM Design $Ld p.CLIVIr 21 2] 3 le I] 20 r 3 le I< 21 28 5 12 18 2a PraDesl n Council Decislonon3Desl nParameters conwpteal Design (te%) RBags concept Roadwaay y c concept Concept DeveloPment(D(3e) Landscape concept Poll Predesgn meeting CM council worn session, Roadway Design Issues Submit Consept Statement 0 lows DOT Pre llmllary Design (20%) Presminary rwdxay am bridge Preliminary Design 1001) WamrlSeweaDtllsy cooroiwtion Timeframe Finel Dasl n 8-12 months Lapin Process Lamascape plans dents .Wla A 1d a,11 MAl 1 Neu you Jervis FW fs MVns its 1 Mal .hit -Is C Counal wom session, Aesthetes aM taM Eaawnenl end Properly Coundl RBS Wn auMOr¢Ing Properly Acquisition gcqul &Lion p q isalsambl otiation Fpm Exam Design Plans (35 % plan s) Flaw Dam Plans feel Field exam plans for mainly, bridge, Omsae renew Valtioeinginnoming Preliminary Design Plans (7016 plans) Prallminmy Plans (DOS) Revised design plans her rwOway, briall eon., - Lightine, s wl, emenimarkl .d sound plans Check Plans CMCa Plans (100%plans) Fnal oesi n fortoxdw , she Final Plans and specmcmlons hon titling Public Hearing and CM CoullaI Approrel of Final Plans Flnm Plans and Swellons Ma DOT LeMng Prowls C Council Resolution /Award of Pro act Irderacson with property owners adjacent to the project and oMer imerested pamaswill be ongoing as named throughout the design process. The web site and whoul Public Input Option ltlas updates will ba used when More is new information to share won interested parses. Communication by prone, email or meetings Is welcomed by staff at any ame during Me broil Prepared by: Melissa Clow, Special Projects Administrator, 410 E. Washington St., Iowa City, IA 52240 319- 356 -5413 RESOLUTION NO. 14 -22 RESOLUTION ESTABLISHING THE DESIGN PARAMETERS NECESSARY TO BEGIN DESIGN AND ENGINEERING DOCUMENTS FOR THE IOWA CITY GATEWAY PROJECT. WHEREAS, the City of Iowa City desires to construct the Iowa City Gateway ( "Project ") to provide a reliable multimodal transportation corridor that reduces the impact of flooding on the local transportation system and the Iowa River Corridor; and WHEREAS, the Federal Highway Administration has approved and signed the Finding of No Significant Impact, completing the National Environmental Policy Act Process and clearing the project to move forward to the design phase; and WHEREAS, City Council is being asked to establish the following three design parameters: (1) the level of protection for Dubuque Street, (2) the backwater reduction goal (low steel elevation) of the Park Road Bridge, and (3) the structural type of the bridge; and WHEREAS, City staff has recommended that the design parameters be: (1) protect Dubuque Street to the 2008 flood elevation plus one foot and, (2) provide backwater reduction by elevating the low steel of the new bridge to the 200 -year flood plus one foot and, (3) proceed with either the Through Arch Bridge or the Deck Girder Bridge; and WHEREAS, the Council has considered the input and needs of the public; and WHEREAS, funds for this project are available in the Iowa City Gateway Project (Dubuque St) account # 3809. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: For purposes of the Iowa City Gateway Project, which is currently planned for bid letting in 2015, it is in the best interests of the City of Iowa City and its citizens to establish the following design parameters: 1. The 100 -year flood elevation plus one foot as the level of protection for Dubuque Street. 2. The 200 -year flood elevation plus one foot as the backwater reduction goal (low steel elevation) of the Park Road Bridge. 3. The Through Arch Bridge as the structural type of the bridge across the Iowa River. Passed and approved this 21st day of January , 20 14 )-7-ttL , 4. �D -f-� MAYOR oved by � ATTEST: CIT `ELERK City Attorney's Office 1-Z7-1q Resolution No. 14 -22 Page 2 It was moved by Throgmorton and seconded by Resolution be adopted, and upon roll call there were: AYES: x x x x x x NAYS: Pavne the ABSENT: Botchway x Dickens Dobyns Hayek _ Mims Payne Throgmorton !W,,� - -'r=� CITY OF IOWA CITY M E M O RA N D Ll M Date: December 30, 2013 To: Tom Markus, City Manager From: Wendy Ford, Economic Development Coordinator Re: Public Hearing on Proposed Amendment to Heinz Road Urban Renewal Area Introduction: On December 3, 2013, the City Council passed a resolution of necessity for Amendment #1 to the Heinz Road Urban Renewal Area. On January 21, 2014, the City Council will hold a public hearing on Amendment #1 to the Heinz Road Urban Renewal Plan. History /background: The Heinz Road Urban Renewal Area was created in 2002 to assist our manufacturing community with economic development initiatives. The City has assisted with three expansion projects in the area (two with Alpla, Inc., and one with United Natural Foods. Inc.) and has been approached to assist with another. In order for the City to participate in a new economic development project in an urban renewal area, the corresponding plan must be amended to include it. The procedure to amend an urban renewal area first requires a resolution of necessity (approved 12/3/13). After that and prior to a public hearing, the City must hold a consultation with affected taxing entities. Staff invited representatives to a taxing consultation meeting at 11:30 a.m. on December 19, 2013 to discuss the effects of the use of tax increment financing to the County and the Iowa City Community School District. Letters of invitation, an official meeting notice and a copy of Amendment #1 to the Heinz Road Urban Renewal plan were mailed to the Johnson County Board of Supervisors and to the Iowa City Community School District. No representatives attended, however Wendy Ford did attend the Johnson County Board of Supervisors meeting earlier the same day to explain the purpose of the amendment and to answer supervisor's questions. Neither of the taxing entities responded in writing with any concerns about the plan. Solution: Having completed the required steps to amend an urban renewal area, the proposed Amendment #1 to the Heinz Road Urban Renewal Plan may now be officially considered by City Council. Amending the plan will enable the City to assist in an economic development project with one of its industrial employers. The proposed project is another with Alpla, Inc. It was first proposed to the City Council Economic Development Committee (EDC) in March, 2012, when Alpla was applying for State funds and needed a resolution of intent from the City to provide local matching funds. The EDC then recommended to City Council a resolution of intent (12 -184) to January 14, 2014 Page 2 fund a four year, $170,000 TIF rebate, which Council approved for the local match to State funds. Recommendation: Staff recommends adoption of the proposed Amendment #1 to the Heinz Road Urban Renewal Plan. Prepared by: Wendy Ford, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5248 RESOLUTION NO. 14 -23 RESOLUTION TO APPROVE AMENDMENT #1 TO THE HEINZ ROAD URBAN RENEWAL PLAN TO ADD AN URBAN RENEWAL PROJECT. WHEREAS, on December 3, 2013, City Council adopted a resolution of necessity (Resolution No. 13 -331) contemplating an amendment to the Heinz Road Urban Renewal Plan to include an urban renewal project, said amendment being the 1 st amendment thereto; and WHEREAS, pursuant to Resolution No. 13 -331, consultation with all affected taxing entities was duly held and all required responses to the recommendations made by the affected taxing entities have been timely made as set forth in the report of the Economic Development Coordinator filed herewith and incorporated herein by this reference, which report is in all respects approved; and WHEREAS, pursuant to said Resolution No. 13 -331, a public hearing was held after due and proper notice of said public hearing was given, as provided by law, by timely publication in the Iowa City Press - Citizen. NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA: Section 1. This Council finds that the Amendment No. 1 to the Heinz Road Urban Renewal Plan conforms to the general plan for the development of the City as a whole; and. Section 2. That the Amendment No. 1 is hereby approved and adopted as "Amendment No. 1 to the Heinz Road Urban Renewal Plan "; and the City Clerk is hereby directed to file a certified copy of said Amendment No. 1 with the proceedings of this meeting. Section 3. That the Heinz Road Urban Renewal Plan, as amended herein, shall be in full force and effect from the date of this resolution until the later of the date of termination set forth in the Plan, as amended, or the date on which payment of all obligations issued or advances made to carry out the purposes thereof shall be fully provided for. Said Amendment No. 1 shall be forthwith certified by the City Clerk, along with a copy of this Resolution, to the Recorder for Johnson County, Iowa, to be filed and recorded in the manner provided by law. PASSED AND APPROVED this 21st day of .Tanuary 2014. ATTEST: 14� • tom% C CLERK MAYOR - App ved,bg. / C' Attorn 's Office Z -1- Resolution No. 14 -23 Page 2 It was moved by Mims and seconded by Payne the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton Amendment No. 1 Heinz Road Urban Renewal Plan City of Iowa City, IA Original Area Adopted 2002 Amendment No. 1 — 2013 Table of Contents Section 1 — Introduction Section 2 - Description of Urban Renewal Area Section 3 - Proposed Urban Renewal Projects Section 4 - Debt Section 5 - Urban Renewal Plan Amendments Section 6 - Effective Period Section 7 - Repealer Section 8 - Severability Clause Attachment No. 1 - Location Map: Heinz Road Urban Renewal Area Attachment No. 2 — Legal Description Section 1 - Introduction The Heinz Road Urban Renewal Plan ( "Plan ") for the Heinz Road Urban Renewal Area ( "Area "), as amended, is being further amended herein to add a proposed project to be undertaken within the Area. There have been no previous amendments to the plan. The purpose of this amendment is to add a project. The Heinz Road Urban Renewal Area remains unchanged. Except as modified by this Amendment, the provisions of the original Heinz Road Urban Renewal Plan are hereby ratified, confirmed, and approved and shall remain in full force and effect. In case of any conflict or uncertainty, the terms of this Amendment shall control. Section 2 - Description of Urban Renewal Area The legal description of the Area and map thereof are attached hereto as Attachment No. 2. Section 3 — Proposed Urban Renewal Projects Although certain project activities may occur over a period of years, in addition to the projects previously proposed in the City- University Project I Urban Renewal Plan, as previously amended, the Proposed Urban Renewal Projects under this Amendment include: 1. Economic Development Project Date Estimated Cost Rationale Developer's Agreement 2014 -2018 Not to exceed Economic Development: for TIF rebates to Alpla, $170,000 Additional jobs and taxable value. Inc. Administrative expenses 2014 Not to exceed $5,000 Section 4 — DEBT 1. (FY14) Constitutional Debt Limit: $ 233,415,950 2. Current general obligation debt: $ 67,055,000 Proposed amount of indebtedness to be incurred: A specific amount of tax increment debt to be incurred (including direct grants, loans, advances, indebtedness, bonds or other incentives) for projects over time has not yet been determined. The City Council will consider each request for financial assistance or a project proposal on a case -by -case basis to determine if it is in the City's best interest to participate. It is estimated that the City's cost for anticipated Proposed Projects discussed in Section 3 will be in the range of $175,000 . This is an estimate and in no event will the City Council exceed this estimated amount of indebtedness without amendment to 2 this Plan. This estimation is merely meant for planning purposes. Section 5 — Urban Renewal Plan Amendments If the City of Iowa City desires to amend this Plan, it may do so in conformance with applicable state and local laws. Section 6 — Effective Period This Urban Renewal Plan Amendment No. 1 will become effective upon its adoption by the City Council of Iowa City Notwithstanding anything to the contrary in the Urban Renewal Plan, any prior amendment, resolution, or document, the Urban Renewal Plan shall remain in effect until terminated by the City Council, and the use of incremental property tax revenues, or the "division of revenue," as those words are used in Chapter 403 of the Code of Iowa, will be consistent with Chapter 403 of the Iowa Code. Section 7: Repealer Any parts of the previous Plan, as previously amended, in conflict with this Amendment are hereby repealed. Section 8: Severability Clause If any part of this Amendment is determined to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity of the previously adopted Plan as a whole or the previous amendments to the Plan, or any part of the Plan not determined to be invalid or unconstitutional. Attachment No. 1 Heinz Road Urban Renewal Area Urban Renewal Area Boundary ® Urban Renewal Area N Attachment No. 2 Legal Description of the Heinz Road Urban Renewal Area Consisting of a tract of land described as follows: Commencing at the intersection of the northerly right -of -way Line of U.S. Highway 6 and the easterly right -of -way line of Scott Boulevard located in Section 19, Township 79 North, Range 5 West of the Fifth Principal Meridian, Iowa City, Johnson County, Iowa; said point of beginning; Thence, northeasterly and northerly along easterly right -of -way line of Scott Boulevard to a point on the southerly right -of -way line of the Heartland Rail Corporation; Thence northwesterly along said southerly right- of way line of the Heartland Rail Corporation to the most northwesterly point of Lot 4, BDI Fifth Addition; Thence, southeasterly and then southerly along the westerly property line of Lot 4, BDI Fifth Addition to the most southwesterly point of Lot 4, BDI Fifth Addition, which is also the most northwesterly point of Lot 4 Second Addition; Thence, southerly and then southwesterly along the westerly property line of Lot 4 BDI Second Addition to the most northwesterly point of Lot 1, BDI Fourth Addition; Thence, southwesterly along the westerly property line of Lot 1, BDI Fourth Addition to the intersection of the westerly property line of Lot 1, BDI Fourth Addition and the northerly right- of -way line of US Highway 6; Thence, to a point perpendicular with the southerly right- of -way of US Highway 6; Thence, southeasterly along the southerly right -of -way of Highway 6 to a point perpendicular to the easterly right -of -way of Scott Boulevard, Thence, northeasterly to the intersection of the northerly right- of -way of US Highway 6 and the easterly right -of -way of Scott Boulevard, which is said point of beginning. (This area is has also been referred to as the BDI Industrial Park Area.) 5 4 IT CITY OF IOWA CITY MEMORANDUM To: Tom Markus, City Manager From: Wendy Ford, Economic Development Coordinator Date: December 30, 2013 Re: Development Agreement with Alpla, Inc. Introduction Alpla, Inc. is a plastic bottle manufacturer with a plant located in the Heinz Road Industrial Area. They have chosen Iowa City over another of their locations for an expansion, in part, because of the City Council's March, 2012 Resolution of Intent to provide financial assistance for a local match to State funds. City Council must now consider a resolution accepting the Development Agreement stipulating the source and use of the funds. In short, the Development Agreement provides for four (4) years of TIF rebates, not to exceed a total of $170,000 in exchange for the company building a 10,000 square foot addition to the plant and adding 37 jobs to the existing 225. History /Background The company is headquartered in Austria and employs more than 12,000 people worldwide. They opened an Iowa City plant in 2003 with 35 employees, and now employ 225 with an annual payroll of approximately $11.4 million. The City of Iowa City assisted Alpla when they located here in 2003, and again in 2007 for an expansion. The first project was for the construction of an additional 86,000 square feet that enabled warehousing and distribution at the plant, and Council approved a 5 year TIF rebate with a maximum of $510,000. Performance measures to maintain 35 full time employees and increase the assessed value of the property were met and exceeded. The second project involved construction of another 82,200 square feet of manufacturing space, for which Council approved a 4 year TIF rebate with a cap of $600,000. Again, performance metrics of valuation and employment numbers were exceeded. Today, Alpla's assessed valuation of $9 million is $5.4 million more than it was in FY 2005. Discussion of Solution Alpla will invest $12.2 million in this expansion project. Approximately $1 million will be taxable valuation while the rest is in machinery, equipment and people. While the taxable value of the addition to Alpla is modest by comparison to earlier expansions, the new jobs and the research and technology going in to the new product is substantial. With respect to the last two projects, and the requirement for a local match to State funding, staff has calculated that 4 years of TIF rebates based on the new value created by the addition alone, would be approximately $170,000. 01'21-1'4" January 14, 2014 Page 2 Recommendation and Justification Staff recommends approval of the Development Agreement with Alpla for four years of TIF rebates on the new value created by their expansion, in exchange for the creation of 37 new jobs at the plant. Alpla is an innovator of new technologies and consistently seeks to compete in their industry. They are a responsible corporate citizen, having addressed and corrected neighborhood concerns of noise by installing baffles and screening. Assisting Alpla is aligned with the Iowa City Strategic Plan goal of striving to expand and diversify the economic base of the community, particularly in existing planned commercial and industrial areas that have established supporting infrastructure. It is also consistent with our adopted Economic Development Policies of attracting new development, retaining existing businesses, and encouraging and fostering spin -off business. The City Council Economic Development Committee voted 2 -0 (Hayek absent) on March 20, 2102 to recommend City Council support of the financial incentive request of an economic development grant that would provide 4 years of TIF rebates capped at $170,000. Prepared by Wendy Ford, Economic Development Coordinator, 410 E. Washington St., Iowa City, IA 52240 RESOLUTION NO._ RESOLUTION APPROVING AN REDEVELOPMENT BY AND BETWEEN AND ALPLA, INC. 14 -24 AGREEMENT FOR PRIVATE THE CITY OF IOWA CITY, IOWA WHEREAS, by Resolution No. 02 -195, on May 21, 2002, the City Council approved and adopted an urban renewal plan for the Project Area designated as the Heinz Road Urban Renewal Plan Area with stated objectives including rehabilitation, conservation, redevelopment, development or a combination thereof; and WHERAS, by Resolution No. 14 -23 , on January 21, 2014, the City Council approved and adopted Amendment #1 to the Heinz Road Urban Renewal Area to add an economic development project with Alpla, Inc., and WHEREAS, the City has received a proposal from Alpla, Inc. (the Developer), in the form of a proposed Agreement for Private Redevelopment (the "Agreement ") by and between the City and the Developer, pursuant to which, among other things, the Developer would agree to construct certain Minimum Improvements (as defined in the Agreement) on certain real property located within the Heinz Road Urban Renewal Plan Area as legally described in the Agreement hereto and incorporated herein by this reference (defined in the agreement as the "Development Property "), and upon said Minimum Improvements resulting in an increase in actual assessed value of the Development Property, the creation of additional jobs and maintenance of existing jobs, Developer will be eligible for an Economic Development Grant; and WHEREAS, the Agreement further proposes that the City provide up to four (4) consecutive annual Economic Development Grants commencing on June 1, 2016 and ending on June 1, 2019, the aggregate of all such grants not to exceed $170,000, under the terms and following satisfaction of the conditions set forth in the Agreement; and WHEREAS, the Iowa Code Chapters 15A and 403 (the "Urban Renewal Law ") authorize cities to make loans and grants for economic development in furtherance of the objectives of an urban renewal project and to appropriate such funds and make such expenditures as may be necessary to carry out the purposes of said Chapters, and to levy taxes and assessments for such purposes; and WHEREAS, the Council has determined that the Agreement is in the best interests of the City and the residents thereof and that the performance by the City of its obligations thereunder is a public undertaking and purpose and in furtherance of the Plan and the Urban Renewal Law and, further, that the Agreement and the City's performance thereunder is in furtherance of appropriate economic development activities and objectives of the City within the meaning of Chapters 403 and 15A of the Iowa Code. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: Section 1. That the performance by the City of its obligations under the Agreement, including but not limited to making of grants to the Developer in connection with the improvement of the Development Property and the creation and maintenance of jobs under the terms set forth in the Agreement, be and is hereby declared to be a public undertaking and purpose and in furtherance of the Plan and the Urban Renewal Law and, further, that the Agreement and the City's performance thereunder is in furtherance of appropriate economic development activities and objectives of the City within the meaning of Chapters 403A and 15A of the Iowa Code. Section 2. That the form and content of the Agreement, the provisions of which are incorporated herein by reference, be and the same hereby is in all respects authorized, approved and confirmed, and the Mayor and the Mayor Pro Tern and the City Clerk and the Deputy City Clerk be and they hereby are authorized, empowered and directed to execute, attest, seal and deliver the Agreement for and on behalf of the City in substantially the form and content now before this meeting, but with such changes, modifications, additions or deletions therein as shall be approved by such officers, and that from and after the execution and delivery of the Agreement, the Mayor and the Mayor Pro Tem and the City Clerk and the Deputy City Clerk are hereby authorized, empowered and directed to do all such acts and things and to execute all such documents as may be necessary to carry out and comply with the provisions of the Agreement as executed. Passed and approved this 21st day of January , 20_IA_. MAYOR Ap d-by) ATTEST: _ CITY-CLERK CityAtto neys Offic Z�Z7�L3 Resolution No. 14 -2 Page 3 It was moved by Payne and seconded by Mims the Resolution be adopted, and upon roll call there were: AYES: x x x x x x hGti_` -1 ABSENT: x Botchway Dickens Dobyns Hayek Mims Payne Throgmorton ORIGINAL AGREEMENT FOR PRIVATE REDEVELOPMENT By and Between THE CITY OF IOWA CITY, IOWA AND ALPLA, INC. AGREEMENT FOR PRIVATE REDEVELOPMENT THIS AGREEMENT FOR PRIVATE REDEVELOPMENT (hereinafter called "Agreement "), is made on or as of the 21St day of January , 2014, by and among the CITY OF IOWA CITY, IOWA, a municipality (hereinafter called "City "), established pursuant to the Code of Iowa of the State of Iowa and acting under the authorization of Chapter 403 of the Code of Iowa, 2013, as amended (hereinafter called "Urban Renewal Act ") and Alpla, Inc., having an office for the transaction of business at 2258 Heinz Road, Iowa City, Iowa 52240 (the "Developer "). WITNESSETH: WHEREAS, in furtherance of the objectives of the Urban Renewal Act, the City has undertaken a program for the revitalization of an economic development area in the City and, in this connection, is engaged in carrying out urban renewal project activities in an area known as the Heinz Road Urban Renewal Plan Area, which area is described in the Urban Renewal Plan approved for such area by Resolution No. 02 -195 dated May 21, 2002 and as subsequently amended by Resolution No. 14 -23 dated January 21, 2014; and WHEREAS, a copy of the foregoing Urban Renewal Plan has been recorded among the land records in the office of the Recorder of Johnson County, Iowa; and WHEREAS, the Developer owns or has the right to occupy certain real property located in the foregoing Urban Renewal Area as more particularly described in Exhibit A attached hereto and made a part hereof (which property as so described is hereinafter referred to as the "Development Property"); and WHEREAS, the Developer will cause certain improvements to be constructed on the Development Property and will cause the same to be operated in accordance with this Agreement; and WHEREAS, the City believes that the development and continued operation of the Development Property pursuant to this Agreement and the fulfillment generally of this Agreement, are in the vital and best interests of the City and in accord with the public -1- purposes and provisions of the applicable State and local laws and requirements under which the foregoing project has been undertaken and is being assisted. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: ARTICLE I. DEFINITIONS Section 1.1. Definitions. In addition to other definitions set forth in this Agreement, all capitalized terms used and not otherwise defined herein shall have the following meanings unless a different meaning clearly appears from the context: Agreement means this Agreement and all appendices hereto, as the same may be from time to time modified, amended or supplemented. Certificate of Completion means a certification in the form of the certificate attached hereto as Exhibit C and hereby made a part of this Agreement, provided to the Developer pursuant to Section 3.2 of this Agreement. Cily means the City of Iowa City, Iowa, or any successor to its functions. Code means the Code of Iowa, 2013, as amended. Construction Plans means the plans, specifications, drawings and related documents reflecting the construction work to be performed by the Developer on the Development Property and the other properties upon which the Public Improvements will be located; the Construction Plans shall be as detailed as the plans, specifications, drawings and related documents which are submitted to the building inspector of the City as required by applicable City codes. County means the County of Johnson, Iowa. Developer means Alpla, Inc., a corporation. Development Property means that portion of the Heinz Road Urban Renewal Plan Area of the City described in Exhibit A hereto. Economic Development Grants mean the Tax Increment payments to be made by the City to the Developer under Article VIII of this Agreement. -2- Event of Default means any of the events described in Section 10.1 of this Agreement. First Mortgage means any Mortgage granted to secure any loan made pursuant to either a mortgage commitment obtained by the Developer from a commercial lender or other financial institution to fund any portion of the construction costs and initial operating capital requirements of the Minimum Improvements, or all such Mortgages as appropriate. ALPLA, INC. - Alpla TIF Account No. 3 means a separate account within the Heinz Road Urban Renewal Tax Increment Revenue Fund of the City, into which shall be deposited all Tax Increments received by the City with respect to the Minimum Improvements on the Development Property described in Exhibit A. Minimum Improvements shall mean the construction of improvements to the existing structure and the construction of a new commercial building, together with all related site improvements as outlined in Exhibit B hereto. Minimum Improvements shall not include increases in assessed or actual value due to market factors. Mortgage means any mortgage or security agreement in which the Developer has granted a mortgage or other security interest in the Development Property, or any portion or parcel thereof, or any improvements constructed thereon. Net Proceeds means any proceeds paid by an insurer to the Developer under a policy or policies of insurance required to be provided and maintained by the Developer, as the case may be, pursuant to Article V of this Agreement and remaining after deducting all expenses (including fees and disbursements of counsel) incurred in the collection of such proceeds. Ordinance means Ordinance No. 02 -195 of the City, under which the taxes levied on the taxable property in the Project Area shall be divided and a portion paid into the Heinz Road Urban Renewal Tax Increment Revenue Fund. Project shall mean the construction and operation of the Minimum Improvements on the Development Property, as described in this Agreement. State means the State of Iowa. -3- Heinz Road Urban Renewal Tax Increment Fund means the special fund of the City created under the authority of Section 403.19(2) of the Code and the Ordinance, which fund was created in order to pay the principal of and interest on loans, monies advanced to or indebtedness, whether funded, refunded, assumed or otherwise, including bonds or other obligations issued under the authority of Section 403.9 or 403.12 of the Code, incurred by the City to finance or refinance in whole or in part projects undertaken pursuant to the Urban Renewal Plan for the Project Area. Tax Increments means the property tax revenues with respect to the Minimum Improvements that are divided and made available to the City for deposit in the Heinz Road Urban Renewal Tax Increment Revenue Fund under the provisions of Section 403.19 of the Code and the Ordinance. Termination Date means the date of termination of this Agreement, as established in Section 12.8 of this Agreement. Unavoidable Delays means delays resulting from acts or occurrences outside the reasonable control of the parry claiming the delay including but not limited to storms, floods, fires, explosions or other casualty losses, unusual weather conditions, strikes, boycotts, lockouts or other labor disputes, delays in transportation or delivery of material or equipment, litigation commenced by third parties, or the acts of any federal, State or local governmental unit (other than the City). Urban Renewal Plan means the Urban Renewal Plan, as amended, approved in respect of the Heinz Road Urban Renewal Area, described in the preambles hereof. ARTICLE II. REPRESENTATIONS AND WARRANTIES Section 2.1. Representations and Warranties of the City. The City makes the following representations and warranties: (a) The City is a municipal corporation and political subdivision organized under the provisions of the Constitution and the laws of the State and has the power to enter into this Agreement and carry out its obligations hereunder. -4- (b) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented by, limited by, in conflict with, or result in a breach of, the terms, conditions or provisions of any contractual restriction, evidence of indebtedness, agreement or instrument of whatever nature to which the City is now a party or by which it is bound, nor do they constitute a default under any of the foregoing. Section 2.2. Covenants Obligations, Representations and Warranties of Developer. The Developer makes the following representations and warranties: (a) Developer is a corporation duly organized and validly existing under the laws of the State of Georgia and has all requisite power and authority to own and operate its properties, to carry on its business as now conducted and as presently proposed to be conducted, and to enter into and perform its obligations under the Agreement. (b) This Agreement has been duly and validly authorized, executed and delivered by the Developer and, assuming due authorization, execution and delivery by the City, is in full force and effect and is a valid and legally binding instrument of the Developer enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization or other laws relating to or affecting creditors' rights generally. (c) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented by, limited by, in conflict with, or result in a violation or breach of, the terms, conditions or provisions of the certificate of incorporation and bylaws of Developer or its parents or subsidiaries of any contractual restriction, evidence of indebtedness, agreement or instrument of whatever nature to which the Developer is now a party or by which it or its property is bound, nor do they constitute a default under any of the foregoing. (d) There are no actions, suits or proceedings pending or threatened against or affecting the Developer in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could materially adversely affect the business (present or prospective), financial position or results of operations of the Developer or which in any manner raises any questions affecting the validity of the Agreement or the Developer's ability to perform its obligations under this Agreement. -5- (e) Developer has not received any notice from any local, State or federal official that the activities of Developer with respect to the Development Property may or will be in violation of any environmental law or regulation (other than those notices, if any, of which the City has previously been notified in writing). Developer is not currently aware of any State or federal claim filed or planned to be filed by any party relating to any violation of any local, State or federal environmental law, regulation or review procedure applicable to the Development Property, and Developer is not currently aware of any violation of any local, State or federal environmental law, regulation or review procedure which would give any person a valid claim under any State or federal environmental statute with respect thereto. (f) Developer will fully cooperate with the City in resolution of any traffic, parking, trash removal, excessive noise or public safety problems which may arise in connection with the construction and operation of the Minimum Improvements. (g) Developer would not undertake its obligations under this Agreement without the payment by the City of the Economic Development Grants being made to the Developer pursuant to this Agreement. (h) The Developer will cause the Minimum Improvements to be constructed in accordance with the terms of this Agreement and when constructed will comply with the Urban Renewal Plan and all local, State and federal laws and regulations, except for variances that may be necessary to construct the Minimum Improvements. (i) The Developer will use its best efforts to obtain, or cause to be obtained, in a timely manner, all required permits, licenses and approvals, and will meet, in a timely manner, all requirements of all applicable local, State, and federal laws and regulations which must be obtained or met in connection with the Project. 0) The Developer shall not, prior to the expiration of this agreement, cause or voluntarily permit the Development Property and/or Minimum Improvements to become other than taxable property by applying for or seeking any industrial property tax exemption, by being owned by a utility or any other entity of a type where the assessed value of taxable property of such entity is not treated as located within the Development Property, by being owned by any entity having tax exempt status or by applying for or seeking a deferral, abatement or exemption from property tax pursuant to any present or future statute or ordinance. ARTICLE III. DEVELOPMENT AND OCCUPANCY REQUIREMENT Section 3.1. Minimum Improvements. The Developer agrees to complete Minimum Improvements generally consisting of a 10,000 square foot addition to the Alpla building for industrial uses on the Development Property, all as more fully described on Exhibit B hereto. Section 3.2. Certificate of Completion. Upon written request of the Developer after issuance of an occupancy permit for the Minimum Improvements, or any discreet portion thereof, the City will furnish the Developer with a Certificate of Completion for such portion in recordable form, in substantially the form set forth in Exhibit C attached hereto. Such Certificate of Completion shall be a conclusive determination of satisfactory termination of the covenants and conditions of this Agreement solely with respect to the obligations of the Developer to construct such portion of the Minimum Improvements. A Certificate of Completion may be recorded in the proper office for the recordation of deeds and other instruments pertaining to the Development Property at the Developer's sole expense. If the City shall refuse or fail to provide a Certificate of Completion in accordance with the provisions of this Section 3.2, the City shall within twenty (20) days after written request to the Developer, provide the Developer with a written statement indicating with adequate detail, in what respects the Developer has failed to complete the Minimum Improvements in accordance with the provisions of this Agreement, or is otherwise in default under the terms of this Agreement, and what measures or acts will be necessary in the opinion of the City, to obtain such Certificate of Completion. ARTICLE IV. RESERVED -7- ARTICLE V. INSURANCE Section 5.1. Insurance Requirements. (a) Upon completion of construction of the Minimum Improvements and at all times prior to the Termination Date, the Developer shall maintain, or cause to be maintained, at its cost and expense (and from time to time at the request of the City shall furnish proof of the payment of premiums on) insurance as follows: (i) Insurance against loss and/or damage to the Minimum Improvements under a policy or policies covering such risks as are ordinarily insured through property policies against risk by similar businesses, including (without limitation the generality of the foregoing) fire, extended coverage, vandalism and malicious mischief, explosion, water damage, demolition cost, debris removal, and collapse in an amount not less than the full insurable replacement value of the Minimum Improvements, but any such policy may have a deductible amount of not more than $250,000. No policy of insurance shall be so written that the proceeds thereof will produce less than the minimum coverage required by the preceding sentence, by reason of co- insurance provisions or otherwise, without the prior consent thereto in writing by the City. The term "full insurable replacement value" shall mean the actual replacement cost of the Minimum Improvements (excluding foundation and excavation costs and costs of underground flues, pipes, drains and other uninsurable items) and equipment, and shall be determined from time to time at the request of the City, but not more frequently than once every three years, by an insurance consultant or insurer selected and paid for by the Developer and approved by the City. (ii) Comprehensive general public liability insurance, including personal injury liability for injuries to persons and/or property, including any injuries resulting from the operation of automobiles or other motorized vehicles on or about the Development Property, in the minimum amount for each occurrence and for each year of $1,000,000. (iii) Such other insurance, including worker's compensation insurance respecting all employees of the Developer, in such amount as is customarily carried by like organizations engaged in like activities of comparable size and liability exposure; provided that the Developer may be self - insured with respect to all or any part of its liability for worker's compensation. (b) All insurance required by this Article V to be provided prior to the Termination Date shall be taken out and maintained in responsible insurance companies selected by the Developer which are authorized under the laws of the State of Iowa to assume the risks covered thereby. The Developer will deposit annually with the City copies of policies evidencing all such insurance, or a certificate or certificates or binders of the respective insurers stating that such insurance is in force and effect. Unless otherwise provided in this Article V, each policy shall contain a provision that the insurer shall not cancel or modify it without giving written notice to the Developer and the City at least thirty (30) days before the cancellation or modification becomes effective. Not less than fifteen (15) days prior to the expiration of any policy, the Developer shall furnish the City evidence satisfactory to the City that the policy has been renewed or replaced by another policy conforming to the provisions of this Article V, or that there is no necessity therefor under the terms hereof. In lieu of separate policies, the Developer may maintain a single policy, or blanket or umbrella policies, or a combination thereof, which provide the total coverage required herein, in which event the Developer shall deposit with the City a certificate or certificates of the respective insurers as to the amount of coverage in force upon the Minimum Improvements. (c) The Developer agrees to notify the City immediately in the case of damage exceeding $250,000 in amount to, or destruction of, the Minimum Improvements or any portion thereof resulting from fire or other casualty. Net Proceeds of any such insurance shall be paid directly to the Developer, and the Developer will forthwith repair, reconstruct and restore the Minimum Improvements to substantially the same or an improved condition or value as they existed prior to the event causing such damage and, to the extent necessary to accomplish such repair, reconstruction and restoration, the Developer will apply the Net Proceeds of any insurance relating to such damage received by the Developer to the payment or reimbursement of the costs thereof. (d) The Developer shall complete the repair, reconstruction and restoration of the Minimum Improvements, whether or not the Net Proceeds of insurance received by the Developer for such purposes are sufficient. ARTICLE VI. COVENANTS OF THE DEVELOPER Section 6.1. Maintenance of Properties. The Developer will maintain, preserve and keep its properties (whether owned in fee or a leasehold interest), including but not limited to the Minimum Improvements, in good repair and working order, ordinary wear and tear excepted, and from time to time will make all necessary repairs, replacements, renewals and additions. Section 6.2. Maintenance of Records. The Developer will keep at all times proper books of record and account in which full, true and correct entries will be made of all dealings and transactions of or in relation to the business and affairs of the Developer in accordance with generally accepted accounting principles, consistently applied throughout the period involved, and the Developer will provide reasonable protection against loss or damage to such books of record and account. Section 6.3. Compliance with Laws. The Developer will comply with all laws, rules and regulations relating to the Minimum Improvements, other than laws, rules and regulations the failure to comply with which or the sanctions and penalties resulting therefrom, would not have a material adverse effect on the business, property, operations, or condition, financial or otherwise, of the Developer. Section 6.4. Non - Discrimination. In operating the Minimum Improvements, the Developer shall not discriminate against any applicant, employee or tenant because of race, creed, color, religion, sex, national origin, sexual orientation, age, disability, marital status or gender identity. The Developer shall ensure that applicants, employees and tenants are considered and are treated without regard to their race, creed, color, religion, sex, national origin, sexual orientation, age, disability, marital status or gender identity. Section 6.5. Continued Operation and Employment. Commencing upon the signing of the Agreement, the Developer agrees that it will operate a manufacturing plant at the Development Property and will continue operation of this business until at least the Termination Date set forth in Section 12.8 hereof. From January 21, 2014 until November 1, 2014 the Developer will maintain a minimum of 225 Full Time Employment Units at the Development Property. Commencing with the first certification on November 1, 2014 and continuing until at least the Termination Date set forth in Section 12.8 hereof, Developer agrees to employ an additional 37 new full time positions for a total of 262 Full Time Employment Units at the Development Property. The average hourly wage of all 262 Full Time Employment Units will be at $18.09 per hour or more, plus a competitive benefit package, until at least the Termination Date set forth in Section 12.8 hereof. A Full Time Employment Unit means the equivalent of employment of one (1) person for eight (8) hours per day for a five (5) day, forty (40) hour workweek for fifty -two (52) weeks per year. Section 6.6. Annual Certification. To assist the City in monitoring the performance of the Developer hereunder, a duly authorized officer of the Developer shall annually provide to the City: (a) proof that all ad valorem taxes on the Development -10- Property have been paid for the prior fiscal year; and (b) certification that such officer has re- examined the terms and provisions of this Agreement and that at the date of such certificate, and during the preceding twelve (12) months, the Developer is not, or was not, in default in the fulfillment of any of the terms and conditions of this Agreement and that no Event of Default (or event which, with the lapse of time or the giving of notice, or both, would become an Event of Default) is occurring or has occurred as of the date of such certificate or during such period, or if the signer is aware of any such default, event or Event of Default, said officer shall disclose in such statement the nature thereof, its period of existence and what action, if any, has been taken or is proposed to be taken with respect thereto. Such statement, proof and certificate shall be provided not later than November 1 of each year, conunencing November 1, 2014, and ending on November 1, 2017 both dates inclusive. Upon certification by the Developer on or before November 1, 2014, the City will certify debt to the County Auditor for the tax increment resulting from the new value created by the Minimum Improvements. Section 6.7 Taxation of Development Property. The Developer shall not, prior to the expiration of this agreement, cause or voluntarily permit the Development Property and/or Minimum Improvements to become other than taxable property by applying for or seeking any industrial property tax exemption, by being owned by a utility or any other entity of a type where the assessed value of taxable property of such entity is not treated as located within the Development Property, by being owned by any entity having tax exempt status or by applying for or seeking a deferral, abatement or exemption from property tax pursuant to any present or future statute or ordinance. ARTICLE VII. ASSIGNMENT AND TRANSFER Section 7.1. Status of the Developer; Transfer of Substantially All Assets. As security for the obligations of the Developer under this Agreement, the Developer represents and agrees that, prior to the issuance of the Certificate of Completion and prior to the Termination Date, the Developer will maintain existence as an adequately capitalized corporation and will not wind up or otherwise dispose of all or substantially all of the Development Property and Minimum Improvements, or assign its interest in this Agreement to any other party unless (i) the transferee partnership, corporation, limited liability company or individual assumes in writing all of the obligations of the Developer under this Agreement and (ii) the City consents thereto in writing in advance thereof. Notwithstanding the foregoing, however, or any other provisions of this Agreement, (a) Developer may transfer its interest in and to this Agreement to any affiliate which is controlled by, under common control with or controls Developer or to any entity that acquires all or substantially all of the assets of the Developer or to any corporate -11- successor to Developer by consolidation, merger, or otherwise, and (b) the Developer may (1) pledge any and/or all of its assets as security for any financing of the Minimum Improvements; (2) assign its rights under this Agreement to a third party, provided such assignment shall not release the Developer of its obligations hereunder, and the City agrees in writing that Developer may assign its interest under this Agreement for such purpose; and (3) the Developer may transfer its ownership interest to a third -party under an arrangement whereby Developer will lease the Development Property back and continue to satisfy the requirements of this Agreement provided that the City agrees in writing to such arrangement.. ARTICLE VIII. ECONOMIC DEVELOPMENT GRANTS Section 8.1. Economic Development Grants. (a) For and in consideration of the obligations being assumed by the Developer hereunder, and in furtherance of the goals and objectives of the Urban Renewal Plan for the Project Area and the Urban Renewal Act, the City agrees to snake up to four (4) annual grants to the Developer, subject to the Developer having received a Certificate of Completion and being and remaining in compliance with the terms of this Agreement and subject to the terms of this Article VIII. The annual grants shall commence on June 1, 2016 and end on June 1, 2019, or when the total of all grants is equal to $170,000, whichever is sooner. All annual grants shall be equal to one hundred percent (100 %) per fiscal year of the Tax Increments (unless the total grant amount of $170,000 is reached first) collected by the City with respect to the Minimum Improvements on the Development Property pursuant to Section 403.19 of the Urban Renewal Act under the terms of the Ordinance (without regard to any averaging that may otherwise be utilized under Section 403.19(6) and excluding any interest that may accrue thereon prior to payment to the Developer) during the preceding twelve -month period in respect of the Minimum Improvements, but subject to adjustment and conditions precedent as provided in this Article (such payments being referred to collectively as the "Economic Development Grants "). (b) The obligation of the City to snake an Economic Development Grant to the Developer in any year as specified above shall be subject to and conditioned upon the timely filing by the Developer of all previous annual statements, proofs and certifications required under Section 6.6 hereof and the City Manager's approval thereof. Beginning with the November 1, 2014 certification, if the Developer's annual statement, proof and certification is timely filed and contains the information required under Section 6.6 and the City Manager approves of the same, the City shall certify to the County prior to December 1 of that year its request for the available Tax Increments resulting from the -12- assessments imposed by the County as of January 1 of that year, to be collected by the City as taxes are paid during the following fiscal year and which shall thereafter be disbursed to the Developer on June 1 of the following fiscal year. (For example, if the Developer and the City each so certify on November and December 2014, respectively, the first Economic Development Grant would be paid to the Developer on June 1, 2016). (c) In the event that the annual statement, proof or certificate required to be delivered by the Developer under Section 6.7 is not delivered to the City by November 1 of any year, the Developer recognizes and agrees that the City may have insufficient time to review and approve the same and certify its request for Tax Increments to the County and that, as a result, no Economic Development Grant may be made to the Developer in respect thereof. The City covenants to act in good faith to appropriately review and consider any late certification on the part of the Developer, but the City shall not be obligated to make any certification to the County for the available Tax Increments or make any corresponding payment of the Economic Development Grant to the Developer if, in the reasonable judgment of the City, it is not able to give appropriate consideration (which may include, but not be limited to, specific discussion before the City Council at a regular City Council meeting with respect thereto) to the Developer's certification due to its late filing. In the event Developer fails to timely file an annual statement, proof or certificate due to an Unavoidable Delay and, as a result, an Economic Development Grant cannot be made, Developer may give written notice to the City and, if the City finds that Developer's failure is due to an Unavoidable Delay, the missed Economic Development Grant shall be made in the year succeeding the last scheduled Economic Development Grant under Section 8. 1, subject to Developer's filing under Section 6.6 and all other provisions of this Article VIII with respect to such grant, it being the intention of the parties to allow four (4) annual Economic Development Grants if Developer is in compliance with this Agreement. (d) The total, aggregate amount of all Economic Development Grants under this Agreement shall not exceed $170,000. Each Economic Development Grant shall be equal to one hundred percent (100 %) of all Tax Increments collected per fiscal year in respect of the assessments imposed on the Development Property due to the Minimum Improvements as of January 1, 2015, and on January 1 of each of the following four (4) years, until the total, aggregate of all such Economic Development Grants equals no more than the sum of $170,000. The final grant shall be adjusted, if necessary, if payment of 100% of Tax Increments for that grant would result in total, aggregate Economic Development Grants in an amount exceeding $170,000. Such Economic Development Grants shall at all times be subject to termination in accordance with the terms of this Article VIII and Article X. Thereafter, the taxes levied on the -13- Development Property and Minimum Improvements shall be divided and applied in accordance with the Urban Renewal Act and the Ordinance. It is recognized by all parties that the total aggregate amount set forth above is a maximum amount only and that the actual payment amounts will be determined after the Minimum Improvements are completed and the valuations of said Improvements have been determined by the City Assessor. (e) In the event that any certificate filed by the Developer under Section 6.6 or other information available to the City discloses the existence or prior occurrence of an Event of Default that was not cured or cannot reasonably be cured under the provisions of Section 10.2 (or an event that, with the passage of time or giving of notice, or both, would become an Event of Default that cannot reasonably be cured under the provisions of Section 10.2), the City shall have no obligation thereafter to make any further payments to the Developer in respect of the Economic Development Grants and may proceed to take one or more of the actions described in Section 10.2 hereof. Section 8.2. Source of Grant Funds Limited. (a) The Economic Development Grants shall be payable from and secured solely and only by amounts deposited and held in the ALPLA, INC. — Alpla TIF Account No. 3 of the City. The City hereby covenants and agrees to maintain the Ordinance in force during the term hereof and to apply the incremental taxes collected in respect of the Minimum Improvements and allocated to the ALPLA, INC. - Alpla TIF Account No. 3 to pay the Economic Development Grants, as and to the extent set forth in Section 8.1 hereof. The Economic Development Grants shall not be payable in any manner by other tax increment revenues or by general taxation or from any other City funds. (b) Notwithstanding the provisions of Section 8.1 hereof, the City shall have no obligation to make an Economic Development Grant to the Developer if at any time during the term hereof the City receives an opinion of its legal counsel or a controlling decision of an Iowa court having jurisdiction over the subject matter hereof to the effect that the use of Tax Increments resulting from the Minimum Improvements to fund an Economic Development Grant to the Developer, as contemplated under said Section 8. 1, is not authorized or otherwise an appropriate project activity permitted to be undertaken by the City under the Urban Renewal Act or other applicable provisions of the Code, as then constituted. Upon receipt of such an opinion or decision, the City shall promptly forward a copy of the same to the Developer. If the circumstances or legal constraints giving rise to the opinion or decision continue for a period during which two (2) Economic Development Grants would otherwise have been paid to the Developer under -14- the teens of Section 8. 1, the City may terminate this Agreement, without penalty or other liability to the Developer, by written notice to the Developer. (c) The City makes no representation with respect to the amounts that may finally be paid to the Developer as the Economic Development Grants, and under no circumstances shall the City in any manner be liable to the Developer so long as the City timely applies the Tax Increments actually collected and held in the ALPLA, INC. - Alpla TIF Account No. 3 (regardless of the amounts thereof) to the payment of the Economic Development Grants to the Developer, as and to the extent described in this Article. Section 8.3. Use of Other Tax Increments. Subject to this Article VIII, the City shall be free to use any and all Tax Increments collected in respect of increases in valuation on the Development Property unrelated to construction of the Minimum Improvements (i.e. increases in assessed or actual value due to market factors), any other properties within the Project Area, or any available Tax Increments resulting from the suspension or termination of the Economic Development Grants under Section 8.1 hereof, for any purpose for which the Tax Increments may lawfully be used pursuant to the provisions of the Urban Renewal Act, and the City shall have no obligations to the Developer with respect to the use thereof. ARTICLE IX. INDEMNIFICATION Section 9.1. Release and Indemnification Covenants. (a) The Developer releases the City and the governing body members, officers, agents, servants and employees thereof (hereinafter, for purposes of this Article IX, the "indemnified parties ") from, covenants and agrees that the indemnified parties shall not be liable for, and agrees to indemnify, defend and hold harmless the indemnified parties against, any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect in the Minimum Improvements. (b) Except for any willful misrepresentation or any willful or wanton misconduct or any unlawful act of the indemnified parties, the Developer agrees to protect and defend the indemnified parties, now or forever, and further agrees to hold the indemnified parties harmless, from any claim, demand, suit, action or other proceedings whatsoever by any person or entity whatsoever arising or purportedly arising from (i) any violation of any agreement or condition of this Agreement (except with respect to any suit, action, demand or other proceeding brought by the Developer against the City to enforce its rights under -15- this Agreement), (ii) the acquisition and condition of the Development Property and the construction, installation, ownership, and operation of the Minimum Improvements or (iii) any hazardous substance or enviromnental contamination located in or on the Development Property relating to conditions caused by Developer after the effective date of this Agreement. (c) The indemnified parties shall not be liable for any damage or injury to the persons or property of the Developer or its officers, agents, servants or employees or any other person who may be on or about the Development Property or the Minimum Improvements due to any act of negligence of any person, other than any act of negligence on the part of any such indemnified party or its officers, agents, servants or employees. (d) All covenants, stipulations, promises, agreements and obligations of the City contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of the City, and not of any governing body member, officer, agent, servant or employee of the City in the individual capacity thereof. (e) The provisions of this Article IX shall survive the termination of this Agreement. ARTICLE X. DEFAULT AND REMEDIES Section 10.1. Events of Default Defined. The following shall be "Events of Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used in this Agreement, any one or more of the following events: (a) Failure by the Developer to cause the construction of the Minimum Improvements to be commenced and completed pursuant to the terms, conditions and limitations of Article III of this Agreement; (b) Transfer of any interest in this Agreement or the assets of the Developer in violation of the provisions of Article VII of this Agreement; (c) Failure by the Developer to substantially observe or perform any covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement; -16- (d) If the holder of any Mortgage on the Development Property, or any improvements thereon, or any portion thereof, commences foreclosure proceedings as a result of any default under the applicable Mortgage documents; (e) If the Developer shall: (A) file any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under the United States Bankruptcy Act of 1978, as amended, or under any similar federal or state law; or (B) make an assigmnent for the benefit of its creditors; or (C) admit in writing its inability to pay its debts generally as they become due; or (D) be adjudicated a bankrupt or insolvent; or if a petition or answer proposing the adjudication of the Developer as a bankrupt or its reorganization under any present or future federal bankruptcy act or any similar federal or state law shall be filed in any court and such petition or answer shall not be discharged or denied within ninety (90) days after the filing thereof; or a receiver, trustee or liquidator of the Developer or the Minimum Improvements, or part thereof, shall be appointed in any proceedings brought against the Developer, and shall not be discharged within ninety (90) days after such appointment, or if the Developer shall consent to or acquiesce in such appointment; or (f) If any representation or warranty made by the Developer in this Agreement, or made by the Developer in any written statement or certificate furnished by the Developer pursuant to this Agreement, shall prove to have been incorrect, incomplete or misleading in any material respect on or as of the date of the issuance or making thereof. Section 10.2. Remedies on Default. Whenever any Event of Default referred to in Section 10.1 of this Agreement occurs and is continuing, the City, as specified below, may take any one or more of the following actions after (except in the case of an Event of Default under subsections (d) or (e) of said Section 10.1 in which case action may be taken immediately) the giving of thirty (3 0) days' written notice by the City to the Developer and the holder of the First Mortgage (but only to the extent the City has been informed in writing of the existence of a First Mortgage and been provided with the address of the holder thereof) of the Event of Default, but only if the Event of Default has not been cured within said thirty (30) days, or if the Event of Default cannot reasonably be cured within thirty (30) days and the Developer does not provide assurances -17- reasonably satisfactory to the City that the Event of Default will be cured as soon as reasonably possible: (a) The City may suspend its performance under this Agreement until it receives assurances from the Developer, deemed adequate by the City in its sole judgment, that the Developer will cure its default and continue its performance under this Agreement; (b) The City may terminate this Agreement; (c) The City may withhold the Certificate of Completion; (d) The City may take any action, including legal, equitable or administrative action, which may appear necessary or desirable to enforce performance and observance of any obligation, agreement, or covenant of the Developer, as the case may be, under this Agreement; or (e) The City shall be entitled to recover from the Developer, and the Developer shall re -pay to the City, an amount equal to the most recent Economic Development Grant previously made to the Developer under Article VIII hereof, and the City may take any action, including any legal action it deems necessary, to recover such amount from the Developer. Section 10.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the City is intended to be exclusive of any other available remedy or remedies, but each and every remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. Section 10.4. No Implied Waiver. In the event any covenant or agreement contained in this Agreement should be breached by any party and thereafter waived by any other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 10.5. Agreement to Pay Attorneys' Fees and Expenses. Whenever any Event of Default occurs and the party who is not in default shall employ attorneys or incur -18- other expenses for the collection of payments due or to become due or for the enforcement or performance or observance of any obligation or agreement on the part of the party in default herein contained, the party in default agrees that it shall, on demand therefor, pay to the party not in default the reasonable fees of such attorneys and such other expenses as may be reasonably and appropriately incurred by the party not in default in connection therewith. ARTICLE XI. OPTION TO TERMINATE AGREEMENT Section 11.1. Option to Terminate. This Agreement may be terminated by the Developer if (i) the Developer is in compliance with all material terms of this Agreement and no Event of Default has occurred which has not been cured in accordance with the provisions of Section 10.2 hereof; and (ii) the City fails to comply with any material term of this Agreement, and, after written notice by the Developer of such failure, the City has failed to cure such noncompliance within ninety (90) days of receipt of such notice, or, if such noncompliance cannot reasonably be cured by the City within ninety (90) days of receipt of such notice, the City has not provided assurances reasonably satisfactory to the Developer that such noncompliance will be cured as soon as reasonably possible. Section 11.2. Effect of Termination. If this Agreement is terminated pursuant to this Article XI, this Agreement shall be from such date forward null and void and of no further effect; provided, however, that the City's rights to indemnification under Article IX hereof shall in all events survive and provided further that the termination of this Agreement shall not affect the rights of any party to institute any action, claim or demand for damages suffered as a result of breach or default of the terms of this Agreement by another party, or to recover amounts which had accrued and become due and payable as of the date of such termination. In any such action, the prevailing party shall be entitled to recover its reasonable attorneys fees and related expenses incurred in connection therewith (but only, in the case of the City, to the extent permitted by applicable law). Upon termination of this Agreement pursuant to this Article XI, the Developer shall be free to proceed with the construction and operation of the Minimum Improvements at its own expense and without regard to the provisions of this Agreement. -19- ARTICLE XII. MISCELLANEOUS Section 12.1. Conflict of Interest. The Developer represents and warrants that, to its best knowledge and belief after due inquiry, no officer or employee of the City, or its designees or agents, nor any consultant or member of the governing body of the City, and no other public official of the City who exercises or has exercised any functions or responsibilities with respect to the Project during his or her tenure, or who is in a position to participate in a decision - making process or gain insider information with regard to the Project, has had or shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for work or services to be performed in connection with the Project, or in any activity, or benefit therefrom, which is part of the Project at any time during or after such person's tenure. Section 12.2. Notices and Demands. A notice, demand or other communication under this Agreement by any party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified snail, postage prepaid, return receipt requested, or delivered personally, and (a) In the case of the Developer, is addressed or delivered personally to the Developer at 289 Highway 155 S., McDonough, GA 30253. (b) In the case of the City, is addressed to or delivered personally to the City at City Hall, 410 E. Washington Street, Iowa City, Iowa, 52240, Attn: City Manager; or to such other designated individual or to such other address as any party shall have furnished to the other in writing in accordance herewith. Section 12.3. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections of this Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 12.4. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 12.5. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of Iowa. MKIII Section 12.6. Entire Agreement. This Agreement and the exhibits hereto reflect the entire agreement between the parties regarding the subject matter hereof, and supersedes and replaces all prior agreements, negotiations or discussions, whether oral or written. This Agreement may not be amended except by a subsequent writing signed by all parties hereto. Section 12.7. Successors and Assigns. This Agreement is intended to and shall inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns. Section 12.8. Termination Date. This Agreement shall terminate and be of no further force or effect on and after December 31, 2020. IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its name and behalf by its Mayor and its seal to be hereunto duly affixed and attested by its City Clerk, the Developer has caused this Agreement to be duly executed in its name and behalf by Alpla, Inc. (SEAL) CITY OF IOWA CITY, IOWA ATTEST: By: City Clerk By: A Mayor -21- ALPLA,,INC. a ATTEST: 7.,¢ d JA (title) STATE OF IOWA ) ) SS COUNTY OFhnsco ) r On this S day of Can e cl� , before me a Notary Public in and for said County, personally appeared Matt yek and Marian Karr to me personally known, who being duly sworn, did say that they are the Mayor and City Clerk, respectively of the City of Iowa City, Iowa, a Municipal Corporation, created and existing under the laws of the State of Iowa, and that the seal affixed to the foregoing instrument is the seal of said Municipal Corporation, and that said instrument was signed and sealed on behalf of said Municipal Corporation by authority and resolution of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said Municipal Corporation by it voluntarily executed. !<ELLIE K. TUTiLE v commission Number 221819 g�ly Com issi n Expires Notary public in and for Johnson County, Iowa �! -22- STATE OF G f0 r6), / -1 ) SS COUNTY OF aI T ` ) On this o2 day of J t V 0ecr �Z 2014, before me the undersigned, a Notary Public in and for said County, ins daf State, personally appeared hcAaq 1 A , loo ed %�&nd 6 ©1� �,c.,,` aa-t k//O Ito me personally known, who, being by me duly sworn, did say that they are the ,^ c' c c�/ i�d4� and r�vcuvc� 2' I of Alpla, Inc. and that said instrument was signed on b al�aid corporation; and ili t the said and _ , as such officers acknowledged the execution of said instrument to be the voluntary act and deed of said corporation, by them voluntarily executed. 111440 TA y �s, [• e a m: Notary Public in and for -2s - G Lunty and State s s I EXHIBIT A DEVELOPMENT PROPERTY The Development Property is described as consisting of all that certain parcel or parcels of land located in the City of Iowa City, County of Johnson, State of Iowa, more particularly described as follows: LEGAL DESCRIPTION The real property located in the County of Johnson, State of Iowa, and legally described as follows: Lot 4, BDI Second Addition to Iowa City, Johnson County, Iowa, as filed in Book 19, Page 80 of the Johnson County Recorder's Office; and Lot 1, BDI Fifth Addition to Iowa City, Johnson County, Iowa, as filed in Book 29, Page 74 of the Johnson County Recorder's Office. A -1 EXHIBIT B MINIMUM IMPROVEMENTS The Developer agrees to complete Minimum Improvements generally consisting of a 10,000 square foot addition to the Alpla building for industrial uses, together with all related site improvements, on the Development Property as legally described on Exhibit A hereto. . EXHIBIT C CERTIFICATE OF COMPLETION WHEREAS, the City of Iowa City, Iowa (the "City ") and ALPLA, INC., having an office for the transaction of business at 2258 Heinz Road, Iowa City, Iowa (the "Developer "), did on or about the day of , 2014, make, execute and deliver, each to the other, an Agreement for Private Redevelopment (the "Agreement "), wherein and whereby the Developer agreed, in accordance with the terms of the Agreement, to develop and maintain certain real property located within the City and as more particularly described as follows: LEGAL DESCRIPTION Lot 4, BDI Second Addition to Iowa City, Johnson County, Iowa, as filed in Book 19, Page 80 of the Johnson County Recorder's Office; and Lot 1, BDI Fifth Addition to Iowa City, Johnson County, Iowa, as filed in Book 29, Page 74 of the Johnson County Recorder's Office. WHEREAS, the Agreement incorporated and contained certain covenants and restrictions with respect to the development of the Development Property, and obligated the Developer to construct certain Minimum Improvements (as defined therein) in accordance with the Agreement; and WHEREAS, the Developer has to the present date performed said covenants and conditions insofar as they relate to the construction of said Minimum Improvements in a manner deemed by the City to be in conformance with the approved building plans to permit the execution and recording of this certification. C - I NOW, THEREFORE, pursuant to Section 3.2 of the Agreement, this is to certify that all covenants and conditions of the Agreement with respect to the obligations of the Developer, and its successors and assigns, to construct the Minimum Improvements on the Development Property have been completed and performed by the Developer and are hereby released absolutely and forever terminated insofar as they apply to the land described herein. The County Recorder of Johnson County is hereby authorized to accept for recording and to record the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of said Agreement with respect to the construction of the Minimum Improvements on the Development Property. All other provisions of the Agreement shall otherwise remain in full force and effect until termination as provided therein. (SEAL) CITY OF IOWA CITY, IOWA ATTEST: City Clerk C -2 Mayor STATE OF IOWA ) ) SS COUNTY OF JOHNSON ) On this day of , 2014, before me a Notary Public in and for said County, personally appeared Matt Hayek and Marian Karr, to me personally known, who being duly sworn, did say that they are the Mayor and City Clerk, respectively of the City of Iowa City, Iowa, a Municipal Corporation, created and existing under the laws of the State of Iowa, and that the seal affixed to the foregoing instrument is the seal of said Municipal Corporation, and that said instrument was signed and sealed on behalf of said Municipal Corporation by authority and resolution of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said Municipal Corporation by it voluntarily executed. Notary Public in and for Johnson County, Iowa C -3 01-21-14 10 Prepared by: Wendy Ford, Economic Development, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5248 RESOLUTION NO. 14 -25 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST COMPANION DOCUMENTS ASSOCIATED WITH THE CITY'S ECONOMIC DEVELOPMENT GRANTS FOR ALPLA, INC. AS REQUIRED BY THE STATE OF IOWA FOR JOBS CREATION FUNDING. WHEREAS, the City has approved a TIF development agreement with Alpla, Inc. for the expansion of their operations and, in association with said expansion, Alpla, Inc. has applied for funds from the State of Iowa's Economic Development Authority for jobs creation funding; and WHEREAS, the State of Iowa's job creation funding program requires local support and a local match; and WHEREAS, under the TIF development agreement, the City's local match will consist of property tax rebates on the expanded operations, not to exceed $170,000 over four years; and WHEREAS, the City Council finds that the public interest will be served by fulfilling the State of Iowa's requirements for the allocation of Iowa jobs creation funding for said project to create additional quality employment opportunities. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The Mayor is hereby authorized and directed to sign and the City Clerk to attest the Iowa Economic Development Authority agreement with Alpla, Inc., in duplicate, along with Alpla's original Business Financial Assistance Application indicating the local match the City will provide, in singular. Passed and approved this 21st day of January -120 14 MAYOR _ ApprSved -by .n ATTEST: �` a 7� . CITY CLERK ; `City Attor ey's Offic �_ Resolution No. 14 -25 Page 2 It was moved by Mims and seconded by Payne the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Botchway x Dickens x Dobyns x Hayek x Mims x Payne x Throgmorton ECONOMIC DEVELOPMENT FINANCIAL ASSISTANCE CONTRACT BY ALPLA, INC., THE CITY OF IOWA CITY, AND THE IOWA ECONOMIC DEVELOPMENT AUTHORITY CONTRACT NUMBER: 12 -TC -067 TABLE OF CONTENTS ARTICLE 1: CONTRACT DURATION ARTICLE 2: DEFINITIONS ARTICLE 3: AWARD TERMS ARTICLE 4: CONDITIONS TO DISBURSEMENT OF FUNDS AND ISSUANCE OF TAX Exhibit D - CREDIT NUMBER; DISBURSEMENT TERMS ARTICLE 5: SECURITY REQUIREMENTS ARTICLE 6: REPRESENTATIONS AND WARRANTIES ARTICLE 7: COVENANTS OF THE RECIPIENT ARTICLE 8: COVENANTS OF THE COMMUNITY ARTICLE 9: EVENTS OF DEFAULT; NOTICE AND OPPORTUNITY TO CURE; AND REMEDIES AVAILABLE TO IEDA ARTICLE 10: MISCELLANEOUS CONTRACT EXHIBITS Exhibit A - Recipient's Financial Assistance Application (on file with IEDA), Application # 12 -HQJP -044 Exhibit B -2 High Quality Jobs Program Special Conditions Exhibit C - Description of the Project and Award Budget Exhibit D - Job Obligations Exhibit E - Reserved Exhibit F - Reserved Contract # 12 -TC -067 - 2 - FmrApproved 12110 Economic Development Financial Assistance Contract RECIPIENT: ALPLA, INC. COMMUNITY: CITY OF IOWA CITY CONTRACT NUMBER: 12 -TC -067 AWARD DATE: APRIL 20, 2012 AWARD AMT. — TAX BENEFITS $646,000 This ECONOMIC DEVELOPMENT FINANCIAL ASSISTANCE CONTRACT (Contract) is made as of the Contract Effective Date by the Iowa Economic Development Authority (IEDA), 200 East Grand Avenue, Des Moines, IA 50309, and Alpla, Inc. (Recipient), 289 Highway 155 South, McDonough, GA 30253 and the City of Iowa City (Community), 325 E. Washington Street, Suite 101, Iowa City, IA 52240. WHEREAS, the Recipient submitted an application to IEDA requesting financial assistance in the financing of its Project as more fully described in Exhibit C, Description of the Project and Award Budget (the Project); and WHEREAS, the Iowa Economic Development Authority Board (IEDA Board) awarded the Recipient financial assistance for the Project from the funding sources identified herein (collectively, the Award), all of which are subject to the terms and conditions set forth herein; and NOW THEREFORE, in consideration of the mutual promises contained herein and intending to be legally bound, the Recipient, the Community and IEDA agree to the following terms: Contract # 12 -TC -067 -3 - Fmr Approved 12110 ARTICLE 1: CONTRACT DURATION This Contract shall be in effect on the Contract Effective Date and shall remain in effect until after completion of each of the following: (a) Through Project Period Completion Date. Through the Project Period Completion Date and for a reasonable period of time after Project Period Completion Date during which IEDA will conduct Project closeout procedures to verify that the Project was completed in compliance with Contact requirements. (b) Through Maintenance Period Completion Date and Contract Closeout. Through the Maintenance Period Completion Date and for a reasonable period of time after Maintenance Period Completion Date during which IEDA will conduct closeout procedures to verify that the Project was maintained in compliance with Contract requirements. (c) Repayment or payment Obligation. Until all outstanding amounts due to IEDA, if any, are received by IEDA or all outstanding obligations to IEDA are satisfied in full. (d) Contract End Date. Until IEDA has completed Contract closeout procedures and provided Recipient and Community with written Notice of Final Contract Closeout. This Contract shall terminate as of the date stated in the written Notice of Final Contract Closeout; such date shall be the Contract End Date. ARTICLE 2: DEFINITIONS The following terms apply to this Contract: "Award" means the sum of any and all assistance provided by IEDA for the Project under this Contract. "Award Date" means the date first stated in this Contract and is the date the IEDA Board approved the awarding of financial assistance to the Recipient for the Project. "Contract Effective Date " means the latest date on the signature page of this Contract. "Contract End Date" means the date stated in the Notice of Final Contract Closeout issued by IEDA pursuant to Article 1. Created Jobs " means the number of new, permanent, FTE Jobs the Recipient will add over and above the Recipient's Employment Base. "Full -time Equivalent (FTE) Job" means the employment of one person for 8 hours per day for a 5 -day, 40 -hour workweek for 52 weeks per year, including paid holidays, vacations and other paid leave; or the number of hours or days per week, including paid holidays, vacations and other paid leave, currently established by schedule, custom, or otherwise, as constituting a week of full -time work for the kind of service an individual performs for an employing unit, whichever is appropriate and identified in Exhibit D, Job Obligations. "Job Obligations" means the Recipient's Employment Base number and the new jobs to be created that pay the required wages and benefits, all as outlined in Exhibit D, Job Obligations. "Maintenance Period" means the period of time between the Project Completion Date and the Maintenance Period Completion Date. The Project must be maintained in Iowa for this period of time. Contract # 12 -TC -067 - 4 - Fm! Approved 12110 "Maintenance Period Completion Date" means the date 2 years from the Project Completion Date and is the date on which the Maintenance Period ends. "Project" means the description of the work and activities to be completed by the Recipient as outlined in Exhibit C - Description of the Project and Award Budget. "Project Completion Date" (sometimes referred to as the "Project Period Completion Date ") means the date 3 years from the Award Date by which the Recipient must complete the Project. "Project Period Completion" means the period of time between Award Date and the Project Completion Date. "Qualifying Jobs" are those Created or Retained Jobs that meet or exceed the Qualifying Wage Threshold Requirement established to qualify for program funding for the programs providing assistance to this Project. "Qualifying Wage Threshold" means the county wage or the regional wage, whichever is lower, as calculated by IEDA pursuant to statute or rule for each program that is providing financial assistance or tax credit benefits for this Project. The Qualifying Wage Threshold Requirement for this Project is outlined in Exhibit D, Job Obligations. "Recipient's Employment Base" means the number of jobs as stated in Exhibit D, Job Obligations that the Recipient and IEDA have established as the job base for this Project. The number of jobs the Recipient has pledged to create shall be in addition to the Recipient's Employment Base. "Retained Job" means an existing job that meets the Qualifying Wage Threshold Requirements and would be eliminated or moved to another state if the Project did not proceed in Iowa. "Sufficient Benefits" means that the Recipient offers to each FTE permanent position a benefits package that meets one of the following: 1. The Recipient pays 80 percent of the premium costs for a standard medical and dental plan for single employee coverage with a $750 maximum deductible; or 2. The Recipient pays 50 percent of the premium costs for a standard medical and dental plan for employee family coverage with a $1,500 maximum deductible; or 3. The Recipient provides medical coverage and pays the monetary equivalent of paragraph "1" or "2" above in supplemental employee benefits. Benefits counted toward monetary equivalent could include medical coverage, dental coverage, vision insurance, life insurance, pension, retirement (401k), profit sharing, disability insurance, child care services, and other nonwage compensation approved by the IEDA Board. "Sufficient Benefits Credit" means a benefits credit for which the Recipient qualifies if the Recipient provides Sufficient Benefits to each employee holding a Created or Retained job. The value of the Sufficient Benefits Credit for this Contract is as stated in Exhibit D, Job Obligations. This credit can be applied against the 130 percent Qualifying Wage Threshold requirement. The credit shall not be applied against the 100 percent Qualifying Wage Threshold requirement. "Tax Benefits " means the tax credits, refunds and other authorized benefits IEDA has awarded for this Project as detailed in Article 3. Contract # 12 -TC -067 - 5 - FmrApproved 12110 "Total Project Cost" means the cost incurred by the Recipient to complete the Project as described in Exhibit C. ARTICLE 3: AWARD TERMS 3.1 Total Award Amount. The IEDA Board has approved an Award to the Community and Recipient from the funding sources and in the maximum amounts shown below: TAX INCENTIVES High Quality Jobs Program Tax Incentives $ 646,000 TOTAL STATE TAX INCENTIVES: $646,000 3.2 Terms and Conditions of Award. The terms and conditions of the Award shall be as described in this Contract and the following incorporated exhibit(s): Exhibit B -2 High Quality Jobs Program Special Conditions ARTICLE 4: CONDITIONS TO AWARD; DISBURSEMENT AND ISSUANCE TERMS 4.1 Reserved. 4.2 Tax Benefits — Conditions to Issuance of Tax Credit Number. (a) Tax Credit Number Required to Claim Benefits. Recipient shall not claim the Tax Benefits described in Article 3 until IEDA has issued a tax credit number for this Project and Recipient has undertaken the activities described in this Contract and the applicable law to be eligible for such Tax Benefits. (b) Issuance of Tax Credit Number. Upon satisfaction of the conditions described in herein, IEDA will issue a tax credit number to the Recipient for this Project. The tax credit number shall be used in preparing any claims for Tax Benefits (c) Conditions to Issuance of Tax Credit Number. The obligation of IEDA to issue a tax credit number shall be subject to the conditions precedent described in Article 4. (d) Documents Submitted. IEDA shall have received the documents described in section 4.3, properly executed and completed, and approved by IEDA as to form and substance, prior to issuing any tax credit number. 4.3 Documents required. (a) Contract. Fully executed Contract. (b) Incorporation Documents. Copies of the Articles of Incorporation or the Articles of Organization, whichever is appropriate, of the Recipient, certified in each instance by its secretary or assistant secretary. (c) Certificate of Existence; Certificate of Authority. A certificate of existence for the Recipient from the State of incorporation or organization, whichever is appropriate, and a certificate of authority authorizing the Recipient to conduct business in the state of Iowa, if it is not organized or incorporated in Contract # 12- TC-067 - 6 - Fmt Approved 12110 Iowa. (d) Results of Lien and Tax Search and Documentation of Satisfactory Credit History. Financing statement, tax and judgment lien search results, in the Recipient's state of incorporation or organization, against the Recipient and /or the property serving as the Recipient's security under this Contract, and documentation of satisfactory credit history of the Recipient and guarantors, as applicable, with no judgments or unsatisfied liens or similar adverse credit actions. (e) Other Required Documents. IEDA shall have received such other contracts, instruments, documents, certificates and opinions as IEDA may reasonably request. (f) Solid or Hazardous Waste Audit. To comply with Iowa Code section 15A.1(3) "b," if the Recipient generates solid or hazardous waste, it must either: a) submit a copy of the Recipient's existing in -house plan to reduce the amount of waste and safely dispose of the waste based on an in -house audit conducted within the past 3 years; or b) submit an outline of a plan to be developed in- house; or c) submit documentation that the Recipient has authorized the Iowa Department of Natural Resources or Iowa Waste Reduction Center to conduct the audit. (g) Release Form — Confidential Tax Information. A signed Authorization for Release of Confidential State Tax Information form to permit IEDA to receive the Recipient's state tax information directly from the Iowa Department of Revenue for the purpose of evaluation and administration of tax credit programs and other state financial assistance programs. (h) Project Financial Commitments. The Recipient shall have submitted documentation acceptable to IEDA from the funding sources identified in Exhibit A committing to the specified financial involvement in the Project and received the IEDA's approval of the documentation. The documentation shall include the amount, terms and conditions of the financial commitment, as well as any applicable schedules and may include agreements and resolutions to that effect. (i) State Building Code Bureau Approval. If any part of the Award proceeds will be used for the construction of new buildings, bidding for construction shall not be conducted prior to the written approval of the final plans by the State Building Code Bureau of the Iowa Department of Public Safety, and only if either of the following applies: 1. The building or structure is located in a governmental subdivision which has not adopted a local building code; or 2. The building or structure is located in a governmental subdivision which has adopted a building code, but the building code is not enforced. 4.4 Suspension, Reduction or Delay of Award. Any one or more of the following shall be grounds for IEDA to delay the issuance of a tax credit number or receipt of other Tax Benefits: (a) Unremedied event of default. Upon the occurrence of an Event of Default (as defined in this Contract) by the Recipient, the IEDA may suspend the payment or issuance of the Award to the Recipient until such time as the default has been cured to IEDA's satisfaction. (b) Layoff, closure or relocation. In the event the Recipient experiences a layoff within the state of Iowa, relocates or closes any of its Iowa facilities IEDA has the discretion to reduce or eliminate some or all of the amount of financial assistance to be received. (c) Reduction, discontinuance or alteration of state funding /programs. Any termination, reduction, or delay of funds or tax benefits available due, in whole or in part, to (i) lack of, reduction in, or a Contract # 12 -TC -067 - 7 - Fmr Approved 1211 o deappropriation of revenues or tax benefits previously appropriated or authorized for this Contract, or (ii) any other reason beyond the IEDA's control may, in the IEDA's discretion, result in the suspension, reduction or delay of Award Fund or authorization or issuance of Tax Benefits to the Recipient. ARTICLE 5: RESERVED. ARTICLE 6: REPRESENTATIONS AND WARRANTIES 6.1 Representations of Recipient. The Recipient represents and warrants to IEDA as follows: (a) Organization and Qualifications. The Recipient is duly organized, validly existing and in good standing under the state of its incorporation or organization, whichever is appropriate, and is authorized to conduct business in the state of Iowa. The Recipient has full and adequate power to own its property and conduct its business as now conducted, and is duly licensed or qualified and in good standing in each jurisdiction in which the nature of the business conducted by it or the nature of the property owned or leased by it requires such licensing or qualifying, except where the failure to so qualify would not have a material adverse effect on the Recipient's ability to perform its obligations hereunder. (b) Authority and Validity of Obligations. The Recipient has full right and authority to enter into this Contract. The person signing this Contract has full authority on behalf of Recipient to execute this Contract and issue, execute or otherwise secure or deliver any documents or obligations required under this Contract on behalf of the Recipient; and to perform, or cause to be performed, each and all of the obligations under the Contract. The Contract delivered by the Recipient has been duly authorized, executed and delivered by the Recipient and constitute the valid and binding obligations of the Recipient and is enforceable against it in accordance with its terms. This Contract and related documents do not contravene any provision of law or any judgment, injunction, order, or decree binding upon the Recipient or any provision of the corporate governance documents of the Recipient, nor does this Contract contravene or constitute a default under any covenant, indenture or contract of or effecting the Recipient or any of its properties. (c) Subsidiaries. The Recipient has identified all Subsidiaries involved with the Project on the Contract Effective Date in Exhibit C. (d) Financial Reports. The balance sheet of the Recipient furnished to IEDA fairly presents its financial condition as at said date in conformity with Generally Accepted Accounting Principles (GAAP) applied on a consistent basis. The Recipient has no contingent liabilities which are material to it, other than as indicated on such financial statements or, with respect to future periods, on the financial statements furnished to IEDA. (e) No Material Adverse Change. Since the Award Date, there has been no change or the Recipient foresees no change in the condition (financial or otherwise) of the Recipient or the prospects of the Recipient, except those occurring in the ordinary course of business, none of which individually or in the aggregate have been materially adverse. To the knowledge of the Recipient, there has been no material adverse change in the condition of the Recipient (financial or otherwise) or the prospects of the Recipient. (f) Fill Disclosure; Recipient's Financial Assistance Application. The statements and other information furnished to the IEDA by Recipient in its Financial Assistance Application and in connection with the negotiation of this Contract do not contain any untrue statements of a material fact or omit a material fact necessary to make the material statements contained herein or therein not misleading. The IEDA acknowledges that as to any projections furnished to the IEDA, the Recipient only represents that Contract # 12 -TC -067 - 8 - Fmt Approved 12110 the same were prepared on the basis of information and estimates it believed to be reasonable. (g) Trademarks, Franchises and Licenses. The Recipient owns, possesses, or has the right to use all necessary patents, licenses, franchises, trademarks, trade names, trade styles, copyrights, trade secrets, knowhow and confidential commercial and proprietary information to conduct its business as now conducted, without known conflict with any patent, license, franchise, trademark, trade name, trade style, copyright or other proprietary right of any other Person. As used in this Contract, "Person " means an individual, partnership, corporation, association, trust, unincorporated organization or any other entity or organization, including a government or agency or political subdivision thereof. (h) Governmental Authority and Licensing. The Recipient has received all licenses, permits, and approvals of all Federal, state, local, and foreign governmental authorities, if any, necessary to conduct its business, in each case where the failure to obtain or maintain the same could reasonably be expected to have a material adverse effect. No investigation or proceeding which, if adversely determined, could reasonably be expected to result in revocation or denial of any material license, permit, or approval is pending or, to the knowledge of the Recipient threatened. (i) Litigation and Other Controversies. There is no litigation or governmental proceeding pending, nor to the knowledge of the Recipient threatened, against the Recipient which if adversely determined would result in any material adverse change in the financial condition, properties, business or operations of the Recipient, nor is the Recipient aware of any existing basis for any such litigation or governmental proceeding. 0) Good Title. The Recipient has good and defensible title to (or valid leasehold interests in) all of its property involved with the Project (including, without limitation, the Secured Property if real property is a security for this Contract) reflected on the most recent balance sheets furnished to the IEDA (except for sales of assets in the ordinary course of business). (k) Taxes. All tax returns required to be filed by the Recipient in any jurisdiction have, in fact, been filed, and all taxes, assessments, fees and other governmental charges upon the Recipient or upon any of its property, income or franchises, which are shown to be due and payable in such returns, have been paid, except such taxes, assessments, fees and governmental charges, if any, as are being contested in good faith and by appropriate proceedings which prevent enforcement of the matter under contest and as to which adequate reserves established in accordance with GAAP have been provided. The Recipient knows of no proposed additional tax assessment against it for which adequate provisions in accordance with GAAP have not been made on its accounts. Adequate provisions in accordance with GAAP for taxes on the books of the Recipient have been made for all open years, and for their current fiscal period. (1) Other Contracts. The Recipient is not in default under the terms or any covenant, indenture or contract of or affecting either the Recipient's business or any of its properties, which default, if uncured, would have a material adverse effect on its financial condition, properties, business or operations. (m) No Event of Default. No Event of Default, as defined in Article 9, has occurred or is continuing. (n) Compliance with Laws. The Recipient is in compliance with the requirements of all federal, state and local laws, rules and regulations applicable to or pertaining to the business operations of the Recipient and laws and regulations establishing quality criteria and standards for air, water, land and toxic or hazardous wastes or substances, non - compliance with which could have a material adverse effect on the financial condition, properties, business or operations of the Recipient. The Recipient has not received notice to the effect that its operations are not in compliance with any of the requirements of applicable federal, state or local environmental or health and safety statutes and regulations or are the subject of any governmental investigation evaluating whether any remedial action is needed to respond to a release of any toxic or hazardous waste or substance into the environment, which non - compliance or Contract # 12 -TC -067 - 9 - FmtApproved tzito remedial action could have a material adverse effect on the financial condition, properties, business or operations of the Recipient. (o) Effective Date of Representations and Warranties. The warranties and representations of this Article are made as of the Contract Effective Date and shall be deemed to be renewed and restated by the Recipient each time Tax Benefits are claimed by the Recipient. 6.2 Representations of Community. (a) Local Approvals Received; Authority and Validity of Obligations. The Community has secured all necessary local approvals and has full right and authority to enter into this Contract. The person signing this Contract has full authority on behalf of the Community to: 1. Sign this Contract, and 2. Perform each and all of the Community's obligations under this Contract. The Contract delivered by the Community has been duly authorized, executed and delivered by the Community and constitutes the valid and binding obligations of the Community and is enforceable against it in accordance with its terms. This Contract and related documents do not contravene any provision of law or any judgment, injunction, order or decree binding upon the Community, contravene or constitute a default under any covenant, indenture or contract of or effecting the Community or any of its properties. (b) Local Commitment. The Community represents that there are legally enforceable commitments in place for the Community local commitment identified for the Project in Exhibit C - Description of the Project and Award Budget. (c) No Material Adverse Change. Since the Award Date, there has been no material adverse change in the Community's ability to perform its obligations under this Contract. (d) Full Disclosure; Community's Financial Assistance Application. The statements and other information furnished to the IEDA by the Community in its Financial Assistance Application and in connection with the negotiation of this Contract do not contain any untrue statements of a material fact or omit a material fact necessary to make the material statements contained herein or therein not misleading. The IEDA acknowledges that as to any projections furnished to the IEDA, the Community only represents that the same were prepared on the basis of information and estimates it believed to be reasonable. (e) Governmental Authority and Licensing. The Community has received all licenses, permits, and approvals of all federal, state, local, and foreign governmental authorities, if any, necessary to perform its obligations under this Contract. No investigation or proceeding which, if adversely determined, could reasonably be expected to result in revocation or denial of any material license, permit, or approval is pending or, to the knowledge of the Community threatened. (f) Litigation and Other Controversies. There is no litigation or governmental proceeding pending, nor to the knowledge of the Community threatened, against the Community which if adversely determined would result in any material adverse change in the Community's ability to perform under this Contract nor is the Community aware of any existing basis for any such litigation or governmental proceeding. (g) No Event of Default. No Event of Default by the Community, as defined in Article 9, has occurred or is continuing. (h) Compliance with Laws. The Community is in compliance with the requirements of all federal, Contract # 12 -TC -067 -10- FmtApproved 12110 state and local laws, rules and regulations applicable to or pertaining to the operations of the Community and laws and regulations establishing quality criteria and standards for air, water, land and toxic or hazardous wastes or substances, non - compliance with which could have a material adverse effect on the financial condition, properties, business or operations of the Community. The Community has not received notice to the effect that its operations are not in compliance with any of the requirements of applicable federal, state or local environmental or health and safety statutes and regulations or are the subject of any governmental investigation evaluating whether any remedial action is needed to respond to a release of any toxic or hazardous waste or substance into the environment, which non - compliance or remedial action could have a material adverse effect on the financial condition, properties, business or operations of the Community. (i) Effective Date of Representations and Warranties. The warranties and representations of this Article are made as of the Contract Effective Date. ARTICLE 7: COVENANTS OF THE RECIPIENT For the duration of this Contract, the Recipient covenants to IEDA as follows: 7.1 Proiect Performance Obligations. (a) Reserved. (b) Meet and Maintain Eligibility Requirements. Recipient shall continue to meet and maintain all statutory eligibility requirements for the funding sources providing assistance under this Contract. (c) Project Time Period. This Contract covers the five (5) year Project time period from the Award Date through the Maintenance Period Completion Date. Recipient shall complete and maintain the Project within the Project time period shown below: COMPLIANCE Project Completion Period Project Completion Date COMPLIANCE MEASUREMENT Contract Closeout Award Date" MEASUREMENT POINT "Maintenance "Maintenance Period POINT Award Date Project Completion Period Project Completion Date Maintenance Period Maintenance Period Completion Date Contract Closeout Award Date" "Project "Project "Maintenance "Maintenance Period IEDA will conduct means the date Completion Completion Date" Period" means Completion Date" Contract Closeout first stated in this Period" means the means the date 3 the period of means the date 2 years procedures after all Contract and is period of time years from the time between from the Project events described in the date the between the Award Award Date. the Project Completion Date and Article 1 have been IEDA Board Date and the Recipient must Completion is the date on which met. approved the Project Completion complete the Project Date and the the Maintenance awarding of Date. by this date. Maintenance Period ends. "Contract End Date" financial Period means the date stated assistance to the At this point, IEDA Completion At this point, IEDA in IEDA's written Recipient for the will review the Date. The will review the Project Notice of Final Project. Project to verify Project must be to verify that it was Contract Closeout compliance with maintained in maintained in that is issued Contract terms and Iowa for this compliance with pursuant to Article 1. obligations. period of time. Contract terms and obligations. (d) Complete Project by Project Completion Date. By the Project Completion Date, Recipient shall complete the Project, make the total investment it pledged for the Project and in accordance with the Contract # 12 -TC -067 - 11 - Fmt Approved 12110 Award Budget as detailed in Exhibit C - Description of the Project and Award Budget, and comply with all other performance requirements described in this Contract. (e) Total Project Costs. By the Project Completion Date, Recipient shall have completed the Project with a Total Project Cost as detailed in Exhibit C - Description of the Project and Award Budget. (f) Maintain Project through Maintenance Period Completion Date. Recipient shall maintain the Project through the Maintenance Period Completion Date. (g) Maintain Project in Iowa During Contract Period. The Recipient shall at all times preserve and maintain its existence as a corporation in good standing and maintain the Project in Iowa. The Recipient will preserve and keep in force and affect all licenses, permits, franchises, approvals, patents, trademarks, trade names, trade styles, copyrights and other proprietary rights necessary to the proper conduct of its respective Recipient. (h) Employ Legally Authorized Workers. Recipient shall only employ individuals legally authorized to work in the state of Iowa 7.2 Taxes and Insurance. (a) Pay Taxes and Assessments. The Recipient shall duly pay and discharge all taxes, rates, assessments, fees, and governmental charges upon or against its properties, in each case before the same become delinquent and before penalties accrue thereon, unless and to the extent that the same are being contested in good faith and by appropriate proceedings and adequate reserves are provided therefore. (b) Maintain Insurance. The Recipient shall insure and keep insured in good and responsible insurance companies, all insurable property owned by it which is of a character usually insured by Persons similarly situated and operating like properties against loss or damage from such hazards or risks as are insured by Persons similarly situated and operating like properties; and the Recipient shall insure such other hazards and risks (including employers' and public liability risks) in good and responsible insurance companies as and to the extent usually insured by Persons similarly situated and conducting similar business. The Recipient will upon request of IEDA furnish a certificate setting forth in summary form the nature and extent of the insurance maintained pursuant to this Article. 7.3 Preserve Project and Protect Security. (a) Maintenance of Properties. The Recipient shall maintain, preserve and keep its properties in good repair, working order and condition (ordinary wear and tear excepted) and will from time to time make all needful and proper repairs, renewals, replacements, additions and betterments thereto so that at all time the efficiency thereof shall be fully preserved and maintained in accordance with prudent business practices. (b) Restrictions on Security. If Security is required pursuant to Article 5 of this Contract, the Recipient shall not, without prior written disclosure to IEDA and prior written consent of IEDA, which shall not be unreasonably withheld, directly or indirectly: 1. Sell, transfer, convey, assign, encumber or otherwise dispose of any of the Secured Property for this Project. 2. Place or permit any restrictions, covenants or any similar limitations on the Secured Property or in the Security Documents for the Project. 3. Remove from the Project site or the State all or substantially all of the Secured Property. Contract # 12 -TC -067 - 12- Fmt Approved 12110 4. Create, incur or permit to exist any lien of any kind on the Secured Property. 7.4 Recipient Changes. (a) No Changes in Recipient Operations. The Recipient shall not materially change the Project or the nature of the business and activities being conducted, or proposed to be conducted by Recipient, as described in the Recipient's approved application for funding, Exhibit A of this Contract, unless approved in writing by IEDA prior to the change. (b) Changes in Recipient Ownership, Structure and Control. The Recipient shall not materially change the ownership, structure, or control of the business if it would adversely affect the Project. This includes, but is not limited to, entering into any merger or consolidation with any person, firm or corporation or permitting substantial distribution, liquidation or other disposal of assets directly associated with the Project. Recipient shall provide IEDA with advance notice of any proposed changes in ownership, structure or control. The materiality of the change and whether or not the change affects the Project shall be as reasonably determined by IEDA. 7.5 Required Reports. (a) Review of Reports. The Recipient shall prepare, sign and submit required reports, in the form and content required by IEDA, as specified in this Contract. (b) Reports. The Recipient shall prepare, sign and submit the following reports to the IEDA throughout the Contract period: Report Due Date Annual Project Status Report The Annual Project Status Report will collect July 31St for the period ending June 30th information from the Recipient about the status of the Project. End of Project Report The End of Project Report will collect Within 30 days of Project Completion Date information from the Recipient about the completed Project. End of Maintenance Period Report The End of Maintenance Period Report will Within 30 days of the end of the Job collect information from the Recipient's Maintenance Period Completion Date continued maintenance of the Project. (c) Additional Reports, Financial Statements as Requested by IEDA. The IEDA reserves the right to require more frequent submission of reports if, in the opinion of the IEDA, more frequent submissions would provide needed information about Recipient's Project performance, or if necessary in order to meet requests from the Iowa General Assembly, the Department of Management or the Governor's office. At the request of IEDA, Recipient shall submit its annual financial statements completed by an independent CPA, or other financial statements including, but not limited to, income, expense, and retained earnings statements. 7.6 Compliance with Laws. Contract # 12 -TC -067 - 13- Fmt Approved 12110 (a) State, local and federal laws. Recipient shall comply in all material respects with the requirements of all applicable federal, state and local laws, rules, regulations and orders. (b) Environmental laws. Recipient shall comply in all material respects with all applicable environmental, hazardous waste or substance, toxic substance and underground storage laws and regulations, and the Recipient shall obtain any permits or, licenses and shall acquire or construct any buildings, improvements, fixtures, equipment or its property required by reason of any applicable environmental, hazardous waste or substance, toxic substance or underground storage laws or regulations. (c) Nondiscrimination laws. Recipient shall comply in all material respects with all applicable federal, state, and local laws, rules, ordinances, regulations and orders applicable to the prevention of discrimination in employment, including the administrative rules of the Iowa Department of Management and the Iowa Civil Rights Commission which pertain to equal employment opportunity and affirmative action. (d) Worker rights and safety. The Recipient shall comply in all material respects with all applicable federal, state and local laws, rules, ordinances, regulations and orders applicable to worker rights and worker safety. (e) Immigration laws. Recipient shall only employ individuals legally authorized to work in this state. In addition to any and all other applicable penalties provided by current law, all or a portion of the Award is subject to recapture by IEDA if Recipient is found to employ individuals not legally authorized to work in the state of Iowa. (f) Compliance with IEDA's Administrative Rules. Recipient shall comply with IEDA's administrative rules for the programs providing assistance to the Project and rules governing administration of this Contract. 7.7 Inspection and Audit. The Recipient shall permit the IEDA and its duly authorized representatives, at such reasonable times and reasonable intervals as the IEDA may designate, to: (a) Conduct site visits and inspect the Project. (b) Audit financial records related to the Project. (c) Examine and make copies of the books of accounts and other financial records of the Recipient related to the Project. (d) Discuss the affairs, finances and accounts of the Recipient with, and to be advised as to the same by, its officers, and independent public accountants (and by this provision the Recipient authorizes such accountants to discuss with the IEDA and the IEDA's duly authorized representatives the finances and affairs of the Recipient). 7.8 Maintenance and Retention of Records. (a) Maintain Accounting Records. The Recipient is required to maintain its books, records and all other evidence pertaining to this Contract in accordance with GAAP and such other procedures specified by IEDA. (b) Access to Records. Records to verify compliance with the terms of this Contract shall be available at all times, and made available to IEDA and its designees at places and times designated by IEDA, for Contract # 12 -TC -067 -14- Fmi Approved 12110 the duration of this Contract and any extensions thereof. Recipient shall make its records available to: (i) IEDA; (ii) IEDA's internal or external auditors, agents and designees; (iii) the Auditor of the State of Iowa; (iv) the Attorney General of the State of Iowa; and (v) the Iowa Division of Criminal Investigations and any other applicable law enforcement agencies. (c) Records Retention Period. Recipient shall retain the records for a period of three (3) years from the Contract End Date, unless the records are the subject of an audit, investigation, or administrative or legal proceeding. In those instances, the records shall be retained until the audit, investigation or proceeding has been resolved. 7.9 Reauired Notices from Recipient to IEDA. (a) Notice of Major Changes. The Recipient shall promptly provide IEDA with written notice of any major changes that would impact the success of the Project. (b) Notice of Meetings. The Recipient shall notify IEDA at least two (2) working days in advance of all meetings of the board of directors at which the subject matter of this Contract or the Project is proposed to be discussed and when the outcome of such discussion is likely to result in an adverse impact to the Project. The Recipient shall provide IEDA with copies of the agenda and minutes of such meetings and expressly agrees that a representative of IEDA has a right to attend those portions of any and all such meetings where the Project or this Contract is discussed. In any event, the Recipient shall notify IEDA immediately after and shall immediately provide IEDA with copies of the minutes of any meeting at which the Project is discussed and the outcome of such discussion is likely to result in an adverse impact to the Project. (c) Notice of Proceedings. The Recipient shall promptly notify IEDA of the initiation of any claims, lawsuits, bankruptcy proceedings or other proceedings brought against the Recipient which would adversely impact the Project. 7.10 Indemnification. The Recipient shall indemnify, defend and hold harmless the IEDA, the State of Iowa, its departments, divisions, agencies, sections, commissions, officers, employees and agents from and against all losses, liabilities, penalties, fines, damages and claims (including taxes), and all related costs and expenses (including reasonable attorneys' fees and disbursements and costs of investigation, litigation, settlement, judgments, interest and penalties), arising from or in connection with any of the following: (a) Any claim, demand, action, citation or legal proceeding arising out of or resulting from the Proj ect; (b) Any claim, demand, action, citation or legal proceeding arising out of or resulting from a breach by the Recipient of any representation, warranty or covenant made by the Recipient in this Contract; (c) Any claim, demand, action, citation or legal proceeding arising out of or related to occurrences that the Recipient is required to insure against as provided for in this Contract; and (d) Any claim, demand, action, citation or legal proceeding which results from an act or omission of the Recipient or any of their agents in its or their capacity as an employer of a person. 7.11 Repayment of Unallowable Costs. Recipient shall repay any Award received or realized that is determined by IEDA, its auditors, agents or designees, the Auditor of the State of Iowa, or similar authorized governmental entity to be unallowable under the terms of this Contract. Contract # 12 -TC -067 - 15- Fmt Approved 12110 ARTICLE 8: COVENANTS OF THE COMMUNITY For the duration of this Contract, the Community covenants to IEDA as follows: 8.1 Local Match. The Community shall provide the local financial assistance for the Project as described in Exhibit C, Project Description and Award Budget. 8.2 Notice to IEDA. In the event the Community becomes aware of any material alteration in the Project, initiation of any investigation or proceeding involving the Project, change in the Recipient' ownership, structure or operation, or any other similar occurrence, the Community shall promptly provide written notice to IEDA. ARTICLE 9: DEFAULTS AND REMEDIES 9.1 Default by Recipient. An unremedied Event of Default can result in termination of this Contract and repayment of all or a portion of the value of the Tax Benefits actually received, plus applicable default interest and costs. (a) Events of Default Any one or more of the following shall constitute an "Event of Default" under this Contract: 1. Nonpayment. Failure to make a payment when due (whether by lapse of time, acceleration or otherwise) for more than ten (10) business days of the due date thereof of any Loan or other payment required by this Contract; or 2. Noncompliance with Covenants. Default in the observance or performance of any covenant set forth in Article 7, for more than five (5) business days; or 3. Noncompliance with Security Documents. Default in the observance or performance of any term of any Security Document if required in Article 5 beyond any applicable grace period set forth therein; or 4. Noncompliance with Contract. Default in the observance or performance of any other provision of this Contract; or 5. Material Misrepresentation. Any representation or warranty made by the Recipient in this Contract or in any statement or certificate furnished by it pursuant to this Contract, or made in Exhibit A, Recipient's Financial Assistance Application, or in connection with any of the above, proves untrue in any material respect as of the date of the issuance or making thereof, or 6. Security Deficiencies. Any of the Security Documents that represent the Security pledged by Recipient to secure this Contract shall for any reason fail to create a valid and perfected priority security interest in favor of the IEDA; or 7. Judgment. Any judgment or judgments, writ or writs or warrant or warrants of attachment, or any similar process or processes entered or filed against the Recipient or against any of its property and remains unvacated, unbonded or unstayed for a period of 30 days which materially and adversely affects Recipient's ability to perform its obligations under this Contract; or 8. Adverse Change in Financial Condition. Any change shall occur in the financial condition of the Recipient which would have a material adverse effect on the ability of the Recipient to perform under this Contract; or Contract # 12 -TC -067 - 16- Fw Approved 12110 9. Bankruptcy or Similar Proceedings Initiated. Either the Recipient shall (i) have entered involuntarily against it an order for relief under the United States Bankruptcy Code, as amended, (ii) not pay, or admit in writing its inability to pay, its debts generally as they become due, (iii) make an assignment for the benefit of creditors, (iv) apply for, seek, consent to, or acquiesce in, the appointment of a receiver, custodian, trustee, examiner, liquidator or similar official for it or any substantial part of its property, (v) institute any proceeding seeking to have entered against it an order for relief under the United States Bankruptcy Code as amended, to adjudicate it insolvent, or seeking dissolution, winding up, liquidation, reorganization, arrangement, adjustment or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors or fail to file an answer or other pleading denying the material allegations of any such proceeding filed against it, or (vi) fail to contest in good faith any appointments or proceeding described below; or 10. Appointment of Officials. A custodian, receiver, trustee, examiner, liquidator or similar official shall be appointed for either the Recipient or any substantial part of any of its respective property, or a proceeding described above shall be instituted against either the Recipient and such appointment continues undischarged or such proceeding continues undismissed or unstayed for a period of sixty (60) days; or 11. Insecurity. IEDA shall in good faith deem itself insecure and reasonably believes, after consideration of all the facts and circumstances then existing, that the prospect of payment and satisfaction of the obligations under this Contract, or the performance of or observance of the covenants in this Contract, is or will be materially impaired; or 12. Failure to Submit Required Reports. The Recipient fails to submit complete reports by the required due dates as outlined in Article 7; or 13. Layoffs, Relocation or Closure. The Recipient experiences a layoff, relocates or closes any of its facilities within the state of Iowa; or 14. Hiring workers not authorized to work in state. The Recipient fails to only employ individuals legally authorized to work in the state of Iowa. If Recipient is found to knowingly employ individuals not legally authorized to work in the state of Iowa then, in addition to any and all other applicable penalties provided by current law, all or a portion of the assistance received is subject to repayment; or 15. Failure to Maintain Program Eligibility Requirements. Recipient fails to maintain a statutory eligibility requirement for a program providing assistance under this Contract. (b) Notice of Default and Opportunity to Cure. If IEDA has reasonable cause to believe that an Event of Default has occurred under this Contract, IEDA shall issue a written Notice of Default to the Recipient, setting forth the nature of the alleged default in reasonable specificity, and providing therein a reasonable period of time, which shall not be fewer than thirty (30) days from the date of the Notice of Default, in which the Recipient shall have an opportunity to cure, provided that cure is possible and feasible. (c) Remedies Available to IEDA. When an Event of Default has occurred and is not cured within the required time period, IEDA may, after written notice to Recipient: 1. Terminate this Contract. 2. Suspend or reduce pending and future disbursements. 3. Reserved. Contract # 12 -TC -067 -17- FmtApproved 12110 4. Reserved. 5. Revoke or reduce authorized Tax Benefits. 6. Require full repayment of all or a portion of the value of Tax Benefits received. (d) Reserved. (e) Default Interest Rate. If an Event of Default occurs and remains uncured, a default interest rate of 6% shall apply to repayment of amounts due under this Contract. The default interest rate shall accrue from the first date Tax Benefits are received. (f) Expenses. The Recipient agrees to pay to the IEDA all expenses reasonably incurred or paid by IEDA including reasonable attorneys' fees and court costs, in connection with any Default or Event of Default by the Recipient or in connection with the enforcement of any of the terms of this Contract. 9.2 Default by Community. An unremedied Event of Default can result in termination of this Contract and repayment by Community of all or a portion of the pledged local match, plus applicable default interest and costs. (a) Events of Default. Any one or more of the following shall constitute an "Event of Default by Community" under this Contract: 1. Noncompliance with Covenants. Default in the observance or performance of any covenants of the Community set forth in Article 8, for more than five (5) business days; or 2. Material Misrepresentation. Any representation or warranty made by the Community in this Contract or in any statement or certificate furnished by it pursuant to this Contract, or made by Community in Exhibit A, Recipient's Financial Assistance Application, or in connection with any of the above, proves untrue in any material respect as of the date of the issuance or making thereof; or (b) Notice of Default and Opportunity to Cure. If IEDA has reasonable cause to believe that an Event of Default has occurred under this Contract, IEDA shall issue a written Notice of Default to the Community, setting forth the nature of the alleged default in reasonable specificity, and providing therein a reasonable period time, which shall not be fewer than thirty (30) days from the date of the Notice of Default, in which the Community shall have an opportunity to cure, provided that cure is possible and feasible. (c) Remedies Available to IEDA. When an Event of Default by Community has occurred and is not cured within the required time period, IEDA may, after written notice to Community: 1. Suspend or reduce pending and future disbursements to Community. 2. Require repayment by Community for the amount of local financial assistance pledged to the Project but not provided. (d) Default Interest Rate. If an Event of Default occurs and remains uncured, a default interest rate of 6% shall apply to repayment of amounts due under this Contract. The default interest rate shall accrue from the first date Tax Benefits are received. (e) Expenses. The Community agrees to pay to the IEDA all expenses reasonably incurred or paid by IEDA including reasonable attorneys' fees and court costs, in connection with any Default or Event of Contract # 12 -TC -067 - 18- Fmt Approved 12 110 Default by the Community or in connection with the enforcement of any of the terms of this Contract. ARTICLE 10: MISCELLANEOUS. 10.1 State of Iowa Recognition. If the Project involves construction and there is signage recognizing the financial contributions made to the Project the Recipient agrees to include the Iowa Economic Development Authority on the list of entities providing assistance. For example, a sign or plaque indicating that the Project was funded in part by an Award from the State of Iowa and IEDA. 10.2 Choice of Law and Forum; Governing Law. (a) In the event any proceeding of a quasi-judicial or judicial nature is commenced in connection with this Contract, the proceeding shall be brought in Des Moines, Iowa, in Polk County District Court for the State of Iowa, if such court has jurisdiction. If however, such court lacks jurisdiction and jurisdiction lies only in a United States District Court, the matter shall be commenced in the United States District Court for the Southern District of Iowa, Central Division. (b) This provision shall not be construed as waiving any immunity to suit or liability, in state or federal court, which may be available to the IEDA, the State of Iowa or its members, officers, employees or agents. (c) This Contract and the rights and duties of the parties hereto shall be governed by, and construed in accordance with the internal laws of the State of Iowa without regard to principles of conflicts of laws. 10.3 Contract Amendments. Neither this Contract nor any documents incorporated by reference in connection with this Contract, may be changed, waived, discharged or terminated orally, but only as provided below: (a) Writing required. The Contract may only be amended if done so in writing and signed all the parties. Examples of situations requiring an amendment include, but are not limited to, time extensions, budget revisions, and significant alterations of existing activities or beneficiaries. (b) IEDA Board review. Requests to amend this Contract shall be processed by IEDA in compliance with the IEDA Board's rules and procedures applicable to contract amendments. 10.4 Notices. Except as otherwise specified herein, all notices hereunder shall be in writing (including, without limitation by fax) and shall be given to the relevant party at its address, e -mail address, or fax number set forth below, or such other address, e-mail address, or fax number as such party may hereafter specify by notice to the other given by United States mail, by fax or by other telecommunication device capable of creating a written record of such notice and its receipt. Notices hereunder shall be addressed: To the Recipient at: Alpla, Inc. Michael Koenig, CFO 289 Hwy 155 South McDonough, GA 30253 E -mail: Michael.Koenig @Alpla.com Telephone: 770.305.7639 Facsimile: 770.305.7200 To the IEDA at: Contract # 12 -TC -067 - 19- Fmr Approved 12110 Iowa Economic Development Authority Compliance 200 East Grand Avenue Des Moines, Iowa 50309 Attention: Business Development - Compliance E -mail: Compliance @iowa.gov Telephone: 515.725.3000 Facsimile: 515.725.3010 To the Community at: City of Iowa City Wendy Ford 325 E. Washington Street, Suite 101 Iowa City, IA 52240 E -mail: Wendy- Ford @iowa - City.org Telephone: 319.356.5248 Facsimile: 319.33 8.995 8 Each such notice, request or other communication shall be effective (i) if given by facsimile, when such facsimile is transmitted to the facsimile number specified in this Article and a confirmation of such facsimile has been received by the sender, (ii) if given by e -mail, when such e-mail is transmitted to the e- mail address specified in this Article and a confirmation of such e -mail has been received by the sender, (iii) if given by mail, five (5) days after such communication is deposited in the mail, certified or registered with return receipt requested, addressed as aforesaid or (iv) if given by any other means, when delivered at the addresses specified in this Article. 10.5 Headings. Article headings used in this Contract are for convenience of reference only and are not a part of this Contract for any other purpose. 10.6 Final Authority. The IEDA shall have the authority to reasonably assess whether the Recipient has complied with the terms of this Contract. Any IEDA determinations with respect to compliance with the provisions of this Contract shall be deemed to be final determinations pursuant to Iowa Code Chapter 17A, Iowa Administrative Procedure Act. 10.7 Waivers. No waiver by IEDA of any default hereunder shall operate as a waiver of any other default or of the same default on any future occasion. No delay on the part of the IEDA in exercising any right or remedy hereunder shall operate as a waiver thereof. No single or partial exercise of any right or remedy by IEDA shall preclude future exercise thereof or the exercise of any other right or remedy. 10.8 Counterparts. This Contract may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which together shall constitute but one and the same instrument. 10.9 Survival of Representations. All representations and warranties made herein or in any other Contract document or in certificates given pursuant hereto or thereto shall survive the execution and delivery of this Contract and the other Contract documents and shall continue in full force and effect with respect to the date as of which they were made until all of Recipient's obligations or liabilities under this Contract have been satisfied. 10.10 Severability of Provisions. Any provision of this Contract, which is unenforceable in any jurisdiction, shall, as to such jurisdiction, be ineffective to the extent of such unenforceability without invalidating the remaining provisions hereof or affecting the validity or enforceability of such provision in Contract # 12 -TC -067 -20- FwApproved 12110 any other jurisdiction. All rights, remedies and powers provided in this Contract or any other Contract document may be exercised only to the extent that the exercise thereof does not violate any applicable mandatory provisions of law, and all the provisions of this Contract and any other Contract document are intended to be subject to all applicable mandatory provisions of law which may be controlling and to be limited to the extent necessary so that they will not render this Contract or any other Contract document invalid or unenforceable. 10.11 Successors and AssiEns. This Contract shall be binding upon the Recipient and its respective successors and assigns, and shall inure to the benefit of the IEDA and the benefit of their respective successors and assigns. 10.12 Nonassignment. This Contract shall not be assigned, in whole or in part, by Recipient unless approved in writing by IEDA. 10.13 Termination. This Contract can be terminated under each of the following circumstances: (a) Agreement of the Parties. Upon written agreement of the Recipient, the Community and IEDA. (b) Unremedied Event of Default. As a result of the Recipient's or Community's unremedied Event of Default pursuant to Article 9. (c) Termination or reduction in funding to IEDA. As a result of the termination or reduction of funding to IEDA as provided in Article 4.4(c). 10.14 Documents Incorporated by Reference. The following documents are incorporated by reference and considered an integral part of this Contract: 1. Exhibit A - Recipient's Financial Assistance Application (on file with IEDA), Application # 12 -HQJP -044 2. Exhibit B -2 High - Quality Jobs Program Special Conditions 3. Exhibit C - Description of the Project and Award Budget 4. Exhibit D - Job Obligations 5. Exhibit E- Reserved 6. Exhibit F - Reserved 10.15 Order of Priority. In the case of any inconsistency or conflict between the specific provisions of this document and the exhibits, the following order of priority shall control: 1. Article 1 - 10 of this Contract. 2. Exhibit A - Recipient's Financial Assistance Application (on file with IEDA), Application # 12 -HQJP -044 3. [Exhibit B -2 High - Quality Jobs Program Special Conditions] 4. Conditions] 5. Exhibit C - Description of the Project and Award Budget 6. Exhibit D - Job Obligations Contract # 12 -TC -067 -21- FmtApproved 12110 7. Exhibit E - Reserved 8. Exhibit F - Reserved 10.16 Integration. This Contract contains the entire understanding between the Parties relating to the Project and any representations that may have been made before or after the signing of this Contract, which are not contained herein, are nonbinding, void and of no effect. None of the Parties have relied on any such prior representation in entering into this Contract. -This space intentionally left blank, signature page follows - Contract # 12 -TC -067 -22- Fmr Approved 12110 IN WITNESS WHEREOF in consideration of the mutual covenants set forth above and for other good and valuable consideration, the receipt, adequacy and legal sufficiency of which are hereby acknowledged, the parties have entered into this Contract and have caused their duly authorized representatives to execute this Contract, effective as of the latest date stated below (Contract Effective Date). FOR IEDA: M Deborah V. Durham, Director Date FOR THE COMMUNITY: Signature Matthew J. Hayek, Mayor Typed Name and Title I - /- /1V/ Date ,4, FOR RECIPIENT: BY Sign e e Typed Name and Title ((// Date Contract # 12 -TC -067 -23- FmrApproved 12110 LIST OF EXHIBITS Exhibit A - Recipient's Financial Assistance Application (on file with IEDA), Application # 12- HQJP -044 Exhibit B -2 High Quality Jobs Program Special Conditions Exhibit C - Description of the Project and Award Budget Exhibit D - Job Obligations Exhibit E - Reserved Exhibit F - Reserved Contract # 12 -TC -067 -24- FmrApproved 12110 EXHIBIT B — 2 High Quality Jobs Program Special Conditions to Contract # 12 -TC -067 The following additional terms shall apply to the Contract: SECTION 1: ADDITIONAL DEFINITIONS. The following additional terms are defined in this Contract as follows: "Capital Investment" means the investment spent on depreciable assets. The minimum Capital Investment required for this Project is as stated in Section 2 of this Exhibit. The allowable categories of expenditures for purposes of calculating Capital Investment are described in IEDA's administrative rule 261 IAC 174.10. "Investment Qualifying for the Tax Credit" means new investment directly related to jobs created or retained by the start-up, location, expansion or modernization for this Project. Not all of the expenditure categories used to calculate the "Investment Quaking for the Tax Credit" are included for purposes of claiming the tax credits. The allowable categories of expenditures for purposes of claiming the tax benefits are described in IEDA's administrative rule 261 IAC 174.10. "Qualifying Investment " means the statutorily- required minimum investment amount that must be met and maintained by the Recipient to receive High Quality Jobs Program tax benefits for this Project. This amount is as stated in Section 2 of this Exhibit. Not all expenditures count toward meeting the required Qualifying Investment. The categories of expenditures that can be included for purposes of meeting and maintaining statutorily- required investment requirements are described in IEDA's administrative rule 261 IAC 174.10. SECTION 2: TERMS AND CONDITIONS OF THE AWARD 2.1 Award. The Recipient is awarded the following Tax Benefits through the High Quality Jobs Program, based on the minimal investment requirements described herein: $646,000. 2.2 Minimum Investment Requirements. As a condition of receiving Tax Benefits, the Recipient shall meet the following minimum investment requirements: (a) Capital Investment. $ 12,200,000 (b) Qualifying Investment. $ 12,200,000 (c) Investment Qualifying for Tax Credits. $ 12,200,000 2.3 Additional Tax Benefits. The Recipient is eligible for additional incentives pursuant to Iowa Code sections 15.326, et. seq. pursuant to its participation in the High Quality Jobs Program and its obligations and rights under the Contract. The following Tax Benefits, in the maximum amounts shown for each authorized benefit, are so available to the Recipient: Authorized Benefits Included in Award Maximum Amt. Refund of Sales, Service, and Use Taxes. ® yeS ❑ No $ 36,000 Contract # 12 -TC -067 Exhibit B -2, Page 1 Fmt Approved 12110 Authorized Benefits Included in Award Maximum Amt. Refund of Sales Taxes Attributable to Racks, Shelving, ❑ yes $ 0 and Conveyor Equipment. ® No Corporate Tax Credit For Certain Sales Taxes Paid By ❑ Yes $ 0 Third Party Developer. ® No Investment Tax Credit (511o) ® Yes $ 610,000 ❑ No Research Activities Credit. ❑ Yes $ 0 ® No Local Property Tax Exemption Provided by Community ❑ Yes $ 0 ® No 2.4 Conditions for Authorized Benefits. The Recipient is responsible to seek these additional benefits through processes described in the applicable statues and corresponding administrative rules, ordinances and procedures. The following conditions shall apply to the benefits described in section 2.3 of this Exhibit. (a) Refund Of Sales, Service And Use Taxes Paid To Contractors Or Subcontractors. The Recipient is eligible for a refund of sales, service and use taxes paid to contractors and subcontractors as authorized in Iowa Code section 15.331A (2009 Supplement). 1. The Recipient may apply for a refund of the sales and use taxes paid under Iowa Code chapters 422 and 423 for gas, electricity, water or sewer utility services, goods, wares, or merchandise, or on services rendered, furnished, or performed to or for a contractor or subcontractor and used in the fulfillment of a written contract relating to the construction or equipping of a facility of the Recipient. 2. Taxes attributable to intangible property and furniture and furnishings shall not be refunded. 3. To receive a refund of the sales, service and use taxes paid to contractors or subcontractors, the Recipient must: i. Inform the Iowa Department of Revenue (IDR) in writing within two weeks of project completion. For purposes of claiming this refund, "project completion" means the first date upon which the average annualized production of finished product for the preceding ninety -day period at the manufacturing facility operated by the Recipient is at least fifty percent of the initial design capacity of the facility. ii. Within one year after Project Completion, as defined in sub - paragraph i above, make an application to the Department Revenue. (b) Reserved. (c) Reserved. (d) Investment Tax Credit. Contract # 12 -TC -067 Exhibit B -2, Page 2 Fmt Approved 12110 The Recipient may claim an investment tax credit as provided in Iowa Code section 15.333. Such credit may be claimed for a portion of the Qualifying Expenditures, as defined below in subparagraph (iii), directly related to job obligations, as described in Exhibit D, of the start-up, or location, expansion, or modernization of the business under this program. The Recipient shall not claim more than the amount authorized for this benefit as stated above and in Article 2.2(b). The credit is to be taken in the year the qualifying asset is placed in service. Any credit in excess of the tax liability for the tax year may be credited to the tax liability for the following seven years or until depleted, whichever occurs first. The tax credit shall be amortized equally over a five-year peri od as specified below: July 1, 2011 — June 30, 2012 $122,000 July 1, 2012 — June 30, 2013 $122,000 July 1, 2013 — June 30, 2014 $122,000 July 1, 2014 — June 30, 2015 $122,000 July 1, 2015 —June 30, 2016 $122,000 3. Only Qualifying Expenditures are eligible for the investment tax credit. For purposes of this benefit, "Qualifying Expenditures" means: i. The purchase price of real property and any buildings and structures located on the real property. ii. The cost of improvements made to real property which is used in operation of the business. iii. The costs of machinery and equipment, as defined in Iowa Code section 427A.1(1) "e" and "j," purchased for use in the operation of the business and which the purchase price may have been depreciated in accordance with GAAP. 4. If the Project includes leasing of new construction or major renovation of an existing building, the annual base rent paid to a third -party developer by a Recipient must be for a period equal to the term of the lease agreement but not to exceed the maximum term of the agreement, provided the cumulative cost of the base rent payments for that period does not exceed the cost of the land the third -party developer's costs to build or renovate the building for the Recipient. Limitations to annual base rent shall only be considered when the Project includes the construction of a new building or the major renovation of an existing building. The Recipient shall enter into a lease agreement with the third -party developer for a minimum of five years. (e) Reserved. (f) Reserved. SECTION 3: ADDITIONAL COVENANTS In addition to the Covenants described in Article 7 of the Contract, the Recipient shall be bound to the additional covenants: Contract # 12 -TC -067 Exhibit B -2, Page 3 Fmt Approved 12110 3.1 Job Obligations. By the Project Completion Date, the Recipient shall create and/or retain the number of FTE Created Jobs and Retained Jobs included in, for Retained Jobs, and above, for Created Jobs, the Recipient's Employment Base, as detailed in Exhibit D — Job Obligations, and maintain the jobs through the Maintenance Period. 3.2 Wage Obligations. The Qualifying Wage Threshold rates specific to this Contract that must be met are stated in Exhibit D, Job Obligations. By the Project Completion Date and through the Maintenance Completion Period Date, the Recipient shall: (a) For the Created Jobs, pay 100% of the Qualifying Wage Threshold at the start of the Project Completion Period, at least 130% of the Qualifying Wage Threshold by the Project Completion Date, and at least 130% of the Qualifying Wage Threshold until the Maintenance Period Completion Date. (b) For the Retained Jobs, pay at least 130% of the Qualifying Wage Threshold throughout both the Project Completion Period and the Maintenance Period. To meet the Qualifying Wage Threshold, the Recipient may add to each FTE wage the Sufficient Benefits Credit as shown in Exhibit D, Job Obligations. This value shall be credited against the amount of the 130 percent Qualifying Wage Threshold requirement that the Recipient is required to meet. For purposes of measuring compliance with the Job Obligations of this Contract, IEDA will only count those jobs that meet or exceed the 100% Qualifying 130% Qualifying Wage Threshold at the Project Completion Date and through the Maintenance Period Completion Date. 3.3 Provide Sufficient Benefits. The Recipient shall provide all employees included as part of the job and wage obligations with Sufficient Benefits. SECTION 4: ADDITIONAL DEFAULT PROVISIONS In addition to the default provisions included in Article 9 of the Contract, the following additional default provisions shall apply: 4.1 Repayment of Tax Benefits Received - High Ouality Jobs Program. IDR is the state agency responsible for collecting the value of any Tax Benefits received in violation of the terms of this Contract. The Community is the party responsible for collecting the value of the local tax benefits received in violation of this Contract. IEDA will determine if the Recipient has met the terms of this Contract. If there is an unremedied Event of Default, IEDA will provide written notice to IDR and the Community. Calculation of the amount owed may be based on a sliding scale in certain circumstances and may include penalty interest assessed by IDR. Those circumstances are as follows: (a) Failure to Meet Job Obligations by Project Completion Date. If the Recipient does not meet is Job Obligations as detailed in Exhibit D, Job Obligations by the Project Completion Date, Recipient shall repay a percentage of the Tax Benefits it has received. The repayment percentage will be equal to the percentage of jobs short of its Job Obligations. The percentage to be repaid is calculated based on the number of jobs that are at or above the Qualifying Wage Threshold. For example, if the Recipient meets 90% of its Job Obligations, the amount to be repaid is 10% of the value of Tax Benefits taken (plus any penalty interest assessed by IDR). Upon repayment of the amount due, IEDA will reduce the Recipient's Employment Base. This reduced employment base must be maintained through the Maintenance Period Completion Date. Contract # 12 -TC -067 Exhibit B -2, Page 4 Fmt Approved 12110 (b) Job shortfall at Maintenance Period Completion Date. If the Recipient does not maintain its adjusted Employment Base through the Maintenance Period Completion Date, Recipient shall repay an additional percentage of the Tax Benefits it has received. The repayment percentage will be equal to the percentage of jobs that the Recipient failed to maintain. The amount to be repaid will be calculated as described in subsection (a) above. (c) Less than Total Project Cost at Project Completion Date. If the Recipient does not complete the Project with a Total Project Cost as stated in Exhibit C, Project Description and Award Budget, by the Project Completion Date Recipient shall repay a portion of the Tax Benefits received. For example, if the Recipient's required Total Project Cost is 10% less than pledged, 10% of the value of the tax benefits received (plus any penalty interest assessed by IDR) must be repaid (d) Repayment Amount If Both Shortfall in Job Obligations and Less Than Total Project Cost. If the Recipient experiences a shortfall in its Job Obligations and the Total Project Cost is less than required, IEDA will calculate the percentage owing for the job shortfall and for less than the Total Project Cost. The higher of these two amounts shall be the amount Recipient shall repay to IDR. (e) Selling, Disposing, or Razing of Property. If, within five years of purchase, the Recipient sells, disposes of, razes, or otherwise renders unusable all or a part of the land, building, or other existing structures for which an investment tax credit was claimed, the income tax liability of the Recipient for the year in which all or part of the property is sold, disposed of, razed, or otherwise rendered unusable shall be increased by one of the following amounts plus any penalty interest assessed by IDR: 1. 100% of the tax credit claimed if the property ceases to be approved for the tax credit within one full year after being placed in service. 2. 80% of the tax credit claimed if the property ceases to be approved for the tax credit within two full years after being placed in service. 3. 60% of the tax credit claimed if the property ceases to be approved for the tax credit within three full years after being placed in service. 4. 40% of the tax credit claimed if the property ceases to be approved for the tax credit within four full years after being placed in service. 5. 20% of the tax credit claimed if the property ceases to be approved for the tax credit within five full years after being placed in service. (f) Qualifying Investment. If the Business does not meet its Qualifying Investment requirement as defined in Section 2 of this Exhibit, Recipient shall repay all or a portion of the value of Tax Benefits received. Repayment shall be calculated as follows plus any penalty interest assessed by IDR: 1. If the Recipient has met 50 percent or less of the Qualifying Investment requirement, Recipient shall repay the same percentage in Tax Benefits as the Recipient failed to invest. 2. If the Recipient has met more than 50 percent but not more than 75 percent of the Qualifying Investment requirement, the Recipient shall repay one -half of the percentage in Tax Benefits as the Recipient failed to invest. Contract # 12 -TC -067 Exhibit B -2, Page 5 Fmt Approved 12110 If the Recipient has met more than 75 percent but not more than 90 percent of the Qualifying Investment requirement, the Recipient shall repay one - quarter of the percentage in benefits as the Recipient failed to invest. - End of Exhibit B — 2 - Contract # 12 -TC -067 Exhibit B -2, Page 6 Fmt Approved 12110 DESCRIPTION OF THE PROJECT AND AWARD BUDGET (EXHIBIT C) Name of Recipient: Alpla, Inc. Name of Community: City of Iowa City Contract Number: 12 -TC -067 PROJECT DESCRIPTION Alpia, Inc. will expand its current building by 10,000 s.f. and the purchase two new machines and assembly equipment. AWARD BUDGET SOURCE OF FUNDS USE OF FUNDS Amount Cost IEDA Programs *Land Acquisition HQJP Component 'See Below *Site Preparation $300,000 *Building Acquisition *Building Construction $900,000 Business $12,200,000 cash/equity /debt *Building Remodeling as determined by *Lease Payments corporate office *Mfg Machinery and Equipment $11,000,000 Other Machinery and Equipment Racking, Shelving, etc. *Computer Hardware Computer Software *Furniture and Fixtures Working Capital Research and Development Job Training SUBTOTAL $12,200,000 SUBTOTAL $12,200,000 included as capital investment if awarded tax credit program SUBTOTAL $0 SUBTOTAL So TOTAL ALL FUNDS $12,200,000 $12,200,000 $646,000 estimated benefit value Other Funding Source of Funds Total Amount Form/Term Used as Match TIF Rebate $170,000.00 4 year 100% Yes Tax Abatement 260E Job Training In -Kind Contributions RISE RED Other Total Other Funding $170,000.00 FmtPpp —d Contract # 12 -TC -067 Fmt Approved 12110 EXHIBIT D — JOB OBLIGATIONS Recipient: Alpla, Inc. Community: City of Iowa City Contract Number: 12 -TC -067 This Project has been awarded benefits from the High Quality Jobs (HQJP) tax credit program. The chart below outline the contractual job obligations related to this Project. Data in the "Employment Base" column has been verified by the Authority and reflects the employment characteristics of the facility receiving funding before this award was made. Jobs to be retained as a part of this Project must be included in these calculations. Data in the "Jobs To Be Created" column outlines the new full -time jobs (including their wage characteristics) that must be added to the employment base and, if applicable, statewide employment base as a result of this award. At the Project Completion Date and through the Maintenance Period Completion Date, the Business must achieve (at a minimum) the numbers found in the "Total Job Obligations" column. HQJP JOB OBLIGATIONS Project Completion Date: April 30, 2015 Maintenance Period Completion Date: April 30, 2017 Employment Base Jobs To Be Created Total Job Obligations Total employment at project location 192 37 229 Average Wage of total employment at project location $17.46 Qualifying wage threshold requirement (per hr) $20.92 Sufficient Benefits Credit ( per hr) $2.10 Number of jobs at or above qualifying wage w /benefits 57 19 76 Average wage of jobs at or above qualifying wage w /benefits $24.59 Notes re: Oualifying Wages If the Sufficient Benefits Credit was added to the base wage to meet program wage threshold eligibility requirements, then any reduction in Sufficient Benefits Credit during the life of the Contract must be compensated for with salary to ensure that the Qualifying Wage rates are met. 2. Bonus or commission payments are not included when calculating the Qualifying Wage rate. If the Recipient uses or proposes to use a non - standard work week (8 hours a day, 5 days a week, 52 weeks a year including holidays, vacation and other paid leave), check the box below and describe that alternative schedule. The alternative schedule must meet the requirements of 261 IAC 173.2. ) By not checking the box and not providing the alternative schedule, IEDA will consider "Fall -time Equivalent (FTE) Job" to mean the employment of one person for 8 hours per day for a 5 -day, 40 -hour workweek for 52 weeks per year, including paid holidays, vacations and other paid leave. ❑ The Recipient shall use an alternative work week for purposes of its employees described in the Contract. The alternative work week is as follows: [description]. Fmt. Approved 11/09 3.1 Job Obligations. By the Project Completion Date, the Recipient shall create and/or retain the number of FTE Created Jobs and Retained Jobs included in, for Retained Jobs, and above, for Created Jobs, the Recipient's Employment Base, as detailed in Exhibit D — Job Obligations, and maintain the jobs through the Maintenance Period. 3.2 Wage Obligations. The Qualifying Wage Threshold rates specific to this Contract that must be met are stated in Exhibit D, Job Obligations. By the Project Completion Date and through the Maintenance Completion Period Date, the Recipient shall: (a) For the Created Jobs, pay 100% of the Qualifying Wage Threshold at the start of the Project Completion Period, at least 130% of the Qualifying Wage Threshold by the Project Completion Date, and at least 130% of the Qualifying Wage Threshold until the Maintenance Period Completion Date. (b) For the Retained Jobs, pay at least 130% of the Qualifying Wage Threshold throughout both the Project Completion Period and the Maintenance Period. To meet the Qualifying Wage Threshold, the Recipient may add to each FTE wage the Sufficient Benefits Credit as shown in Exhibit D, Job Obligations. This value shall be credited against the amount of the 130 percent Qualifying Wage Threshold requirement that the Recipient is required to meet. For purposes of measuring compliance with the Job Obligations of this Contract, IEDA will only count those jobs that meet or exceed the 100% Qualifying 130% Qualifying Wage Threshold at the Project Completion Date and through the Maintenance Period Completion Date. 3.3 Provide Sufficient Benefits. The Recipient shall provide all employees included as part of the job and wage obligations with Sufficient Benefits. SECTION 4: ADDITIONAL DEFAULT PROVISIONS In addition to the default provisions included in Article 9 of the Contract, the following additional default provisions shall apply: 4.1 Repayment of Tax Benefits Received - High Ouality Jobs Program. IDR is the state agency responsible for collecting the value of any Tax Benefits received in violation of the terms of this Contract. The Community is the party responsible for collecting the value of the local tax benefits received in violation of this Contract. IEDA will determine if the Recipient has met the terms of this Contract. If there is an unremedied Event of Default, IEDA will provide written notice to IDR and the Community. Calculation of the amount owed may be based on a sliding scale in certain circumstances and may include penalty interest assessed by IDR. Those circumstances are as follows: (a) Failtere to Meet Job Obligations by Project Completion Date. If the Recipient does not meet is Job Obligations as detailed in Exhibit D, Job Obligations by the Project Completion Date, Recipient shall repay a percentage of the Tax Benefits it has received. The repayment percentage will be equal to the percentage of jobs short of its Job Obligations. The percentage to be repaid is calculated based on the number of jobs that are at or above the Qualifying Wage Threshold. For example, if the Recipient meets 90% of its Job Obligations, the amount to be repaid is 10% of the value of Tax Benefits taken (plus any penalty interest assessed by IDR). Upon repayment of the amount due, IEDA will reduce the Recipient's Employment Base. This reduced employment base must be maintained through the Maintenance Period Completion Date. Contract # 12 -TC -067 Exhibit B -2, Page 4 Fmt Approved 12110 (b) Job shortfall at Maintenance Period Completion Date. If the Recipient does not maintain its adjusted Employment Base through the Maintenance Period Completion Date, Recipient shall repay an additional percentage of the Tax Benefits it has received. The repayment percentage will be equal to the percentage of jobs that the Recipient failed to maintain. The amount to be repaid will be calculated as described in subsection (a) above. (c) Less than Total Project Cost at Project Completion Date. If the Recipient does not complete the Project with a Total Project Cost as stated in Exhibit C, Project Description and Award Budget, by the Project Completion Date Recipient shall repay a portion of the Tax Benefits received. For example, if the Recipient's required Total Project Cost is 10% less than pledged, 10% of the value of the tax benefits received (plus any penalty interest assessed by IDR) must be repaid (d) Repayment Amount If Both Shortfall in Job Obligations and Less Than Total Project Cost. If the Recipient experiences a shortfall in its Job Obligations and the Total Project Cost is less than required, IEDA will calculate the percentage owing for the job shortfall and for less than the Total Project Cost. The higher of these two amounts shall be the amount Recipient shall repay to IDR. (e) Selling, Disposing, or Razing of Property. If, within five years of purchase, the Recipient sells, disposes of, razes, or otherwise renders unusable all or a part of the land, building, or other existing structures for which an investment tax credit was claimed, the income tax liability of the Recipient for the year in which all or part of the property is sold, disposed of, razed, or otherwise rendered unusable shall be increased by one of the following amounts plus any penalty interest assessed by IDR: 1. 100% of the tax credit claimed if the property ceases to be approved for the tax credit within one full year after being placed in service. 2. 80% of the tax credit claimed if the property ceases to be approved for the tax credit within two full years after being placed in service. 3. 60% of the tax credit claimed if the property ceases to be approved for the tax credit within three full years after being placed in service. 4. 40% of the tax credit claimed if the property ceases to be approved for the tax credit within four full years after being placed in service. 5. 20% of the tax credit claimed if the property ceases to be approved for the tax credit within five full years after being placed in service. (f) Qualifying Investment. If the Business does not meet its Qualifying Investment requirement as defined in Section 2 of this Exhibit, Recipient shall repay all or a portion of the value of Tax Benefits received. Repayment shall be calculated as follows plus any penalty interest assessed by IDR: 1. If the Recipient has met 50 percent or less of the Qualifying Investment requirement, Recipient shall repay the same percentage in Tax Benefits as the Recipient failed to invest. 2. If the Recipient has met more than 50 percent but not more than 75 percent of the Qualifying Investment requirement, the Recipient shall repay one -half of the percentage in Tax Benefits as the Recipient failed to invest. Contract # 12 -TC -067 Exhibit B -2, Page 5 Fmt Approved 12110 3. If the Recipient has met more than 75 percent but not more than 90 percent of the Qualifying Investment requirement, the Recipient shall repay one - quarter of the percentage in benefits as the Recipient failed to invest. - End of Exhibit B — 2 - Contract # 12 -TC -067 Exhibit B -2, Page 6 Fmt Approved 12110 DESCRIPTION OF THE PROJECT AND AWARD BUDGET (EXHIBIT C) Name of Recipient: Alpla, Inc. Name of Community: City of Iowa City Contract Number: 12- TC-067 PROJECT DESCRIPTION Alpla, Inc. will expand its current building by 10,000 s.f. and the purchase two new machines and assembly equipment. AWARD BUDGET SOURCE OF FUNDS USE OF FUNDS Amount Cost IEDA Programs *Land Acquisition HQJP Component 'See Below *Site Preparation $300,000 *Building Acquisition *Building Construction $900,000 Business $12,200,000 casWequity /debt *Building Remodeling as determined by *Lease Payments corporate office *Mfg Machinery and Equipment $11,000,000 Other Machinery and Equipment Racking, Shelving, etc. *Computer Hardware Computer Software *Furniture and Fixtures Working Capital Research and Development Job Training SUBTOTAL $12,200,000 SUBTOTAL $12,200,000 included as capital im tment if awarded tax credit program SUBTOTAL $0 SUBTOTAL $o TOTAL ALL FUNDS $12,200,000 $12,200,000 ' $646,000 estimated benefit value Other Funding Source of Funds Total Amount Form/Term Used as Match TIF Rebate $170,000.00 4 year 100% Yes Tax Abatement 260E Job Training In -Kind Contributions RISE RED Other Total Other Funding $170,000.00 FmtPpp..d Contract # 12 -TC -067 Fmt Approved 12110 EXHIBIT D — JOB OBLIGATIONS Recipient: Alpla, Inc. Community: City of Iowa City Contract Number: 12 -TC -067 This Project has been awarded benefits from the High Quality Jobs (HQJP) tax credit program. The chart below outline the contractual job obligations related to this Project. Data in the "Employment Base" column has been verified by the Authority and reflects the employment characteristics of the facility receiving funding before this award was made. Jobs to be retained as a part of this Project must be included in these calculations. Data in the "Jobs To Be Created" column outlines the new full -time jobs (including their wage characteristics) that must be added to the employment base and, if applicable, statewide employment base as a result of this award. At the Project Completion Date and through the Maintenance Period Completion Date, the Business must achieve (at a minimum) the members found in the "Total Job Obligations" column. HQJP JOB OBLIGATIONS Project Completion Date: April 30, 2015 Maintenance Period Completion Date: April 30, 2017 Employment Base Jobs To Be Created Total Job Obligations Total employment at project location 192 37 229 Average Wage of total employment at project location $17.46 Qualifying wage threshold requirement (per hr) $20.92 Ir �S Sufficient Benefits Credit( per hr) $2.10 Number of jobs at or above qualifying wage w /benefits 57 19 76 Average wage of jobs at or above qualifying wage w /benefits $24.59 Notes re: Oualifyin2 Waves If the Sufficient Benefits Credit was added to the base wage to meet program wage threshold eligibility requirements, then any reduction in Sufficient Benefits Credit during the life of the Contract must be compensated for with salary to ensure that the Qualifying Wage rates are met. 2. Bonus or commission payments are not included when calculating the Qualifying Wage rate. If the Recipient uses or proposes to use a non - standard work week (8 hours a day, 5 days a week, 52 weeks a year including holidays, vacation and other paid leave), check the box below and describe that alternative schedule. The alternative schedule must meet the requirements of 261 IAC 173.2. ) By not checking the box and not providing the alternative schedule, IEDA will consider "Full -time Equivalent (FTE) Job " to mean the employment of one person for 8 hours per day for a 5 -day, 40 -hour workweek for 52 weeks per year, including paid holidays, vacations and other paid leave. ❑ The Recipient shall use an alternative work week for purposes of its employees described in the Contract. The alternative work week is as follows: [description]. Fmt. Approved 11/09 lowkN", rrlrllulJllr DEVELOPMENT Debi V. Durham, Director Iowa Economic Development Authority Business Financial Assistance Application Business Finance Business Development Division Iowa Economic Development Authority 200 East Grand Avenue Des Moines, Iowa 50309 -1819 www.iowalifechanging.com Telephone: 515.725.3133 businessfinance (n! iowa.gov v.7.11.2011 Application Instructions To Complete Electronic Form: Click on TEXT BOX to add text. Double click on YES /NO boxes and select "Checked ". 1. All applicants must complete the Business Financial Assistance Application and attach 9& those additional sections for the components to which the applicant is applying. ❑ 130% Component (no npplement) ❑ 100% Component (no supplement) ❑ Entrepreneurial Component (and Supplement) Supplemental ii fommtion trqui rd Tax Credits - STATE of IOWA ❑ Enterprise Zone Program (EZ) Supplemental ii fommtion i- egmhrd Direct Financial Assistance - FEDERAL ❑ Economic Development Set -Aside Program (EDSA) ❑ Infrastructure Component (no ttpplenent) ❑ Value -Added Agriculture Component Srpplenental i✓ fwmation ixgniird ❑ Disaster Relief Component Supplemental ii fommtion srgniurd ® Hgh Quality Jobs Program (HQ) (no trpplenuect) ❑ Public Faclities Set -Aside Program (PFSA) 2. Please visit the IEDA Web site at www.iowalifechanging.com or contact IEDA at 515.725.3133 to confirm that this is the most current application version. 3. Before filling out this application form, please read all applicable sections of the 2009 Iowa Code and Iowa Administrative Code (rules). www .legisstate.ia.us /IovsnLaw.html 4. Onlytwed or computer - generated applications will be accepted and reviewed. Any material change to the format, questions, or wording of questions presented in this application will render the application invalid and it will not be accepted. 5. Complete the applicable sections of the application fully. If questions are left unanswered or required attachments are not submitted, an explanation must be included. 6. Use clear and concise language. Attachments should only be used when requested or as supporting documentation. 7. Anyinaccurate information of a significant nature may disqualifythe application from consideration. 8. The following must be submitted to Business Finance at IEDA in order to initiate the review process: • One original, signed application form and all required attachments • One electronic copy of the application form and all required attachments Facsimile copies will not be accepted. Business Finance Telephone: 515.725.3133 Iowa Economic Development Authority businessfinance0iowagov 200 East Grand Avenue Des Moines, IA 50309 -1819 Applications are must be submitted to IEDA Business Finance before 4:00pm on the fourth Monday of the month. Applications will be reviewed by the IEDA Board on the third Thursday of the following month. IEDA - Business Financial Assistance Application 2 v.7.112011 Public Records Policies Information Submitted to IEDA. The Iowa Economic Development Authority (IEDA) is subject to the Open Records law (,Iowa Code. Chapter 22). Treatment of information submitted to IEDA in this application is governed by the provisions of the Open Records law. All public. records are available for public inspection. Some public records are considered confidential and will not be disclosed to the public unless ordered by a court, the lawful custodian of the record, or by another person duly authorized to release the information. Confidential Records. IEDA automaticallytreats the following records as confidential and they are withheld from public disclosure: • Tax Records • Quarterly Iowa Eniployer'r Contribution mid Payroll Repoty prepared for the Iowa Workforce Development Department • Payroll Registers • Business Financial Statements and Projections • Personal Financial Statements Other information supplied to IEDA as part of this application maybe treated as confidential under Iowa Code section 22.7. Following are the classifications of records which are recognized as confidential under Iowa law and which are most frequentlyapplicable to business information submitted to IEDA: • Trade secrets [Iowa Code §22.7(3)] • Reports to governmental agencies which, if released, would give advantage to competitors and serve no public purpose. [Iowa Code §22.7(6)] • Information on an industrial prospect with which the IEDA is currentlynegotiating . [Iowa Code §22.7(8)] • Communications not required bylaw, rule or regulation made to IEDA bypersons outside the goverriment to the extent that IEDA could reasonably believe that those persons would be discouraged from making them to the Department if they were made available for general public examination. [Iowa Code $22.7(18)] Information supplied to IEDA as part of this application that is material to the application and /or the state program to which the applicant is applying including, but not limited to the number and type of jobs to be created or retained, wages for those jobs, employee benefit information, and project budget, are considered open records and will not be treated as confidential. Additional Information Available. Copies of Iowa's Open Record law and IEDA's administrative rules relating to public records are available from the IEDA upon request. IEDA — Business Financial Assistance Application 3 v.7.11.2011 Information Name of Business: Alpla, Inc Address: 289 Hwy 155 South City, State & Zip Code: McDonough, GA 30253 Contact Person: Michael D. Koenig Title: CFO Phone: 770 -305 -7639 Fax: 770- 305 -7200 Federal ID Number. 58- 2611718 NAILS Code for primary business operations: 326160 US DOT Number. Email: MichaelKoenig2Alpla com Does the Business file a consolidated tax return under a different tax ID number? ❑ Yes ® No If yes, please also provide that tax ID number. Is the contact person listed above authorized to obligate the Business? ® Yes ❑No If no, please provide the name and title of a companyofficer authorized to obligate the Business: If the application was prepared by someone other than the contact person listed above, please complete the following: Name of Business: Address: City, State & Zip Code: Contact Person: Title: Phone: Information Fax: Sponsor Organization: City of Iowa City Official Contact (e.g. Mayor, Chairperson, etc.): Wendy Ford Title: Address: 325 E. Washington Street - Suite 101 City, State & Zip Code: Iowa City, IA 52240 Phone: (319) 356 -5248 Fax: 319 - 338 -9958 Email: Economic Development Coordinator Email: Wend3,Ford@iowa- Cityorg If IEDA needs to contact the sponsor organization with questions, should we contact the person listed above? ® Yes ❑ No, please contact the following person: Name: City of Iowa City- Title: Address: City, State & Zip Code: Phone: Fax: Email: If necessary, please list information on additional sponsors in an attachment IEDA - Business Financial Assistance Application 4 v.7.11.2011 Certification & Release of Information I hereby give permission to the Iowa Economic Development Authority (IEDA) to research the Business' history, make credit checks, contact the Business' financial institutions, insurance carriers, and perform other related activities necessary for reasonable evaluation of this application. I also hereby authorize the Iowa Department of Revenue to provide to IEDA state tax information pertinent to the Business' state income tax, sales and use tax, and state tax credits claimed. I understand that all information submitted to IEDA related to this application is subject to Iowa's Open Record Law (Iowa Code, Chapter 22). I understand this application is subject to final approval by IEDA and the Project may not be initiated until final approval is secured. I understand that IEDA reserves the right to negotiate the financial assistance. Furthermore, I am aware that financial assistance is not available until an agreement is executed within a reasonable time period following approval. I hereby certifythat all representations, warranties, or statements made or furnished to IEDA in connection with this application are true and correct in all material respect. I understand that it is a criminal violation under Iowa law to engage in deception and knowingly make, or cause to be made, directly or indirectly, a false statement in writing for the purpose of procuring economic development assistance from a state agency or subdivision. For the Business: 4 March 13, 2012 Date ael D. Koeni�'- CFO, and Title (typed or pr For the Sponsor(s): Signature Da�ter� Matthew .7. Hayek. Mgvor Name and Title (typed or printed) /L; � �0 fv Please use the following if itmrz than aie sponsor is nrguinrd (For example, use this if a siguatmr fimi the local Entenp6se Zane Commission is nrguierd ie addition to the si8natmr f om the Nla� or of the .ponsoriu8 ritjs) Date Name and Title (typed or printed) IEDA will not provide assistance in situations where it is determined that any representation, warranty, or statement made in connection with this application is incorrect, false, misleading or erroneous in any material respect. If assistance has already been provided prior to discovery of the incorrect, false, or misleading representation, IEDA may initiate legal action to recover incentives and assistance awarded to the Business. IEDA- Business Financial Assistance Application 5 v.7.11.2011 Business Information Provide a brief description and history of the Business. Include information about the Business' products or services and its markets and/or customers. Alpla is a manufacturer of plastic packaging solutions. Products include plastic bottles and caps. We have been manufacturing products in Iowa for the past eight years and in the US. for ten years. We service major customers that include but are not limited to P&G, Unilever, Reckitt Benckiser and Clorox. Business Structure: ❑ Cooperative ® Corporation ❑ LimitedIrabdityGompany ❑ Not for Profit ❑ Partnership ❑ S- Corporation ❑ Sole Proprietorship State of Incorporation: Georgia Identifythe Business' owners and percent ownership: 100 Does a woman, minority, or person with a disability own the Business? ❑ Yes N No If yes, is the Business certified as a Targeted Small Business? ❑ Yes ❑ No List the Business' Iowa locations and the current number of employees at each location. 2258 & 2309 Heinz Road, Iowa City, Iowa Locations are adjacent buildings - Total employment is 190 full time employees. What is the Business' worldwide employment? Please include employees of patent company, subsidiaries, and other affiliated entities in this figure. 12,000 Project Information Project Street Address: 2309 Heinz Road Project City: Iowa Gty Type of Business Project: ❑ Startup ❑ New Location in Iowa Project County: Johnson N Expansion of Iowa Company ❑ Relocation from another State Brieflydescribe the proposed project for which assistance is being sought. (Include project timeline with dates, facilitysize, infrastructure improvements, proposed products/services, any new markets, etc.) We propose to expand the current building to fit additional machinery and equipment. Process will incorporate new technology. Product is proprietary and will be disclosed to the market at a later date. We will expand the current building 10,000 sq/ft, purchase two new machines and assembly equipment. Project Timeline add additional mwr ar needed Activity Completion Date New contract with customer April 15, 2012 Obtain board approval for expansion site Aril 30, 2012 Break ground/Order machinery and equipment/Begin training new employees June 1, 2012 Begin roduction September 1, 2012 Please identify the project management for the project location and experience. John Anderson - Plant Manager 20 years of experience. Has any part of the project started? ❑ Yes ® No If yes, please explain. Identify the Business' competitors. If any of these competitors have Iowa locations, please explain the nature of the competition (e.g. competitive business segment, estimated market share, etc.) and explain what impact the proposed project may have on the Iowa competitor. None - This is a new product introduction and will not replace current business or compete with any Iowa based business. Will any of the current Iowa employees lose their jobs if this project does not proceed in Iowa.) El Yes N No IEDA - Business Financial Assistance Application 6 v.7.112011 If yes, please explain why and identifythose jobs as "retained jobs" in the Project Jobs section. IEDA — Business Financial Assistance Application 7 v.7.11.2011 AMOUNT BUDGETED Use of Funds Cost Source A Source B Source C Source D Source E Source F Source G Land Acquisition 0 . 0 0 Withholding Source B: Other State (Community College, IDOT, etc. $ Site Pre aration 300,000 Source G Local Government $ Irrltind Contribution Source Bull ' Ac uisition 0 0 0 $12,200,000 1 Gs E ui /Loan 5% - 5 Year Arinroved I Depending upon cash flow. Source E: Building Construction 900,000 Source F: $ B ' Remode' 0 . 0 0 Source G: $ Mf .Machine &E u . 11,000,000 Other Mazhine &E ui . Backing, Shelving, etc.t Qnsputer Hardware Computer Software Furniture & Fixtures Woricing Capital Research &Develo men, ob T ' ' TOTAL $12,200,000 $ $ $ $ $ $ $ I Racking, shelving and conveyor equipment used in distribution center projects only Does the Business plan to lease the facility? ❑ Yes ® No If yes, please provide the Annual Base Rent Payment (lease payment minus property taxes, insurance, and operating/maintenance expenses) and the length of the lease agreement. PROPOSED FINANCING Source of Funds Amount Form of Funds Rate and Term Commitm ent Status Conditions /Additional Information Include when funds will be disbursed; If ban, whetherpaymentc are a keel term, balloon, etc (List tax benefice sepantelybelow, not as a source of direct financing) (Loan, Gant, In -Kind, Donation, etc.) Source A IEDA" $ Withholding Source B: Other State (Community College, IDOT, etc. $ Tax Increment Financing $170,000 Source G Local Government $ Irrltind Contribution Source D. Business $12,200,000 1 Gs E ui /Loan 5% - 5 Year Arinroved I Depending upon cash flow. Source E: Other Private Sources $ Source F: $ Source G: $ TOTAL $12,200,000 * Identify the collateral used to secure IEDA funds: TAX CREDITS AND INDIRECT FINANCING Source of Funds Amount Description Investment Tax Credit $610,000 Sales, Service & Use Tax Refund $36,000 Research Activities Credit 3% 10% Withholding Local Property Tax Exemption Tax Increment Financing $170,000 (3tyof Iowa G 4- ar TIF Rebate 260E job Training Funds Irrltind Contribution Otkter TOTAL $816,000 What measures were analyzed to determine the amount and form of assistance needed? Is the Business actively considering locations outside of Iowa? ® Yes ❑ No If yes, where and what assistance is being offered? State of Missouri, offering tax abatements, training and forgivable loans. IEDA— Business Financial Assistance Application 8 v.7.11.2011 There are three general justifiable reasons for assistance. Check the box next to the reason why assistance is en eded to complete this project. ❑ Financing Gap - The Business can only raise a portion of the debt and equity necessary to complete the project. A gap between sources and uses exists and state and /or federal funds are needed to fill the gap. ❑ Rate of Return Gap - The Business can raise sufficient debt and equity to complete the project, but the returns are inadequate to motivate an "economic person" to proceed with the project. Project risks outweigh the rewards. ® Location Disadvantage (Incentive) - The Business is deciding between a site in Iowa (site A) and a site in another state (site B) for its project. The Business argues that the project will cost less at site B and will require a subsidy to equalize costs in order to locate at site A. The objective here is to quantify the cost differential between site A and site B. IEDA- Business Financial Assistance Application 9 v.7.11.2011 List the jobs that will be created and/or retained as the result of this project. (A retained job is an existing job that would be eliminated or moved to another state if the project does not proceed in Iowa) For jobs to be created, include the sajpg and final hourly wage rate. For retained jobs, include the current hourly-wage rate. Is the hourlywage rate based on a 40 hour workweek, 52 weels peryear? ® Yes ❑ No If no please explain: Full-Time CREATED jobs Add additional roirr ar areded job Title Number of CREATED obs Starting Hourly Wage Hourly Wage at End of Year Three Machine Operator 12 17.25 18.85 Machine Packer 14 11.54 12.61 Maintenance 4 19.71 21.54 Forklift Operator 4 16.10 17.59 Operations Manager 1 34.00 37.15 Maintenance Manager 2 25.00 27.31 Total CREATED jobs 37 Full-Time RETAINED jobs lAdd additional rover m nadrd job 'ride Number of Gurrent Hourly RETAINED Jobs wage Total RETAINED jobs IEDA - Business Financial Assistance Application 10 v.7.112011 Benefits — Please see attached documents. We have several Please identifv all emolovee benefits orovided by and oaid for fm full or in Dart) by the Business. Does the Business offer a pension plan, 401(4 plan, and/or retirement -plan? ❑ Yes ❑ No If yes, please indicate the amount contributed on a per employee basis bythe Business to the plan for the last three years. For 401N plans, please provide information on the company match and indicate the average annual match per employee (show average as a percentage of salary). Year Ending Total Annual Cost Portion of Total 2 Employee (show on a per Annual Cost Paid Plan Provisions Benefits Provided employ ee basis ) by the Business by Business (Include coinstnance %, office visit on, Employee Family Employee Family Deductible payments, annual ont -of- pocket maximums face amounn etc. Employee 750 Out of pocket max $3,000 - Single Medical Insurance 3,800 11,400 3,000 8,300 Out of pocket max $6,000 - Nets rk F j y 1,500 $35 /office visit Rx- 10/35/50 Employee 0 All cleanings covered, all mhernork Dental Insurance 264 890 104 604 covered a 80% to a max of Fly 0 $3,000/ ar/covered individual Ernployee Offered but covered by employee Visionlnsuralce N/A N/A N/A N/A $70 /3earforsingle and$205 /3ear for Family farm) Life Insurance 60 N/A 60 N/A Alpla pays 100% at lx salary up to 8150100D. Short -tetra Alpla pays 100% Disab" 40 N/A 40 N/A Long-term Aph pays 100% Disability 49 N/A 49 N/A Health Savings Alpla pays of n ACCoun[ 11000 1,500 1,000 1,500 as the Employee has [he option [o contribute option co to account Does the Business offer a pension plan, 401(4 plan, and/or retirement -plan? ❑ Yes ❑ No If yes, please indicate the amount contributed on a per employee basis bythe Business to the plan for the last three years. For 401N plans, please provide information on the company match and indicate the average annual match per employee (show average as a percentage of salary). Year Ending Average Actual Match per Em to a /o 2009 2 2010 2 2011 2 Three -year Average:. 2 Current Match is — 100% on first 3%, 50% on next 2 %, and 100% on next 2 %. If the employee puts in 7% of wages, Alpla will put in 6% of wages. Does the Business offer a profit - sharing plan? ❑ Yes ® No If yes, please indicate total amount paid out each year for the past three years and then, determine the average annual bonus or Year Ending I • °r` r""""" ",." Note: Alpla offers educational assistance to all employees with a limit of $5,000 /year. IEDA — Business Financial Assistance Application 11 v.7.11.2011 Attachments Please attach the following documents: Al Business Plan At a minimum, include: • Marketing study • Feasibilitystudy • Projected profit and loss statements for three years into the future • Project budget • Production operations • Management structure • Personnel needs • Descriptions of product or process • Status of product /process development • Patent status (if applicable) (Any information outlined above not included in the business plan should be submitted as supplemental information via a separate attachment.) A2 Copies of the Business' Quarterly Iowa Employer's Contribution and Payton Report Summary Page (Page 1) for the past year and a copyof the most recent payroll report for one payperiod. The copy of the most recent payroll report for one pay period must be in Excel format and include the following information: • Companyname, date of payroll and source of payroll information • Employee name and/or employee identification number • Current hourly wage - do not include bonuses or other benefit values • Indicate if the employee is fall time (40 hours per week, 52 weeks per year) or part time. Asample Excel spreadsheet can be found at http: / /Nmw.iowahfechanging.com/ appl ications /bus_dev /plyroll_template.xls A3 Affidavit that states the Business has not, within the last five years, violated state or federal statutes, Hiles, and regulations, including environmental and worker safety regulations, or, if such violations have occurred, that there were mitigating circumstances or such violations did not seriously affect public health or safety or the environment. A sample affidavit can be found at httpJ /www.iowalifechanging.com/ applications /bus —dev /s inipleaffid.ivit.doc. A4 Financial Information (Existing Businesses Only • Profit and loss statements and balance sheets for past three year -ends; • Current YTD profit and loss statement and balance sheet, • Schedule of aged accounts receivable; • Schedule of aged accounts payable; and • Schedule of other debts. BC(011O1111, DEVELOPMENT IEDA — Business Financial Assistance Application 13 v.7.112011 Attachment A3 Affidavit State of Iowa County of Johnson I, Michael D. Koenig, depose and say that I have examined the following statement and have found it to the best of my knowledge to be accurate and true. Alpla, Inc. has not, within the last five years, violated state or federal statutes, rules, and regulations, including environmental and worker safety regulations, or, if such violations have occurred, that there were mitigating circumstances or such violations did not seriously affect public health or safety or the environment. I further depose that the signature below is Dated: April 17, 2012 Subscribed and sworn to before me on this 17" day of /-; � 2012 (Notary Public) C,. County My commission expires on /U-,4fV S own proper signature. p, 7 40TAgy '&N} Q Prepared by: Wendy Ford, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5248 RESOLUTION NO. 12 -184 RESOLUTION OF INTENT TO APPROVE AN ECONOMIC DEVELOPMENT GRANT IN THE FORM OF 4 YEARS OF TAX INCREMENT FINANCING REBATES NOT TO EXCEED $170,000, SHOULD ALPLA, 2258 HEINZ RD., IOWA CITY SELECT IOWA CITY FOR ITS EXPANSION PROJECT WHEREAS, the City of Iowa City has stated Economic Development policies which include attracting development of industrial uses, adding quality jobs and increasing economic activity, property values and tax revenues; and WHEREAS, the policies state the City will consider incentive programs including city and state funding, tax increment financing, public private partnerships and other tools to achieve expected results; and WHEREAS, an established global manufacturing company with a local plant is considering two locations to expand with Iowa City as one possibility and an out -of -state location as the other; and WHEREAS, the City Council Economic Development Committee heard a proposal for the expansion and supports the project that would be comprised of $12.2 million in capital expenses, $1 million in taxable valuation and 37 jobs with competitive wages, and WHEREAS, understanding the competitive nature of this proposal, the City Council Economic Development Committee voted 2 -0 (Hayek absent) at their meeting on March 20, 2012, to recommend to the City Council a request for financial assistance of an economic development grant in the form of a maximum of four years of tax increment financing rebates not to exceed $170,000 for a plant expansion, should Iowa City be chosen as the location for the expansion; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: It is the intent of this City Council to approve an economic development grant in the form of a maximum of four years TIF rebates, not to exceed $170,000 should the company select Iowa City as the location for its expansion project. 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N ro c co 0) O m U L fu 0 U — fa 0 LO 7 co co U c6 t ro n m E co V E 'a c N ro >- } UI� (na)� 0�0 °Cn °imam C) N I c O co x w N O O Q O i R ►O N N U c pi ro O n o c Q U 0 ~ N O -r- _ a) Ln C)7 Z3 z a, U cn � 0 C DO L c- � w W p O U "O -0 C ,--I C VI O o O aEE D 'l0 >, -0foLo- V U fl 0) E o O = N Q U U C C i E N E��-c C C O cn � T w >�Q"O"O C "C O X "O "O UILILW QQ �" `N" • COD a 0 co em Business Taxes IEDA is required to calculate the return on state and local government investments in this project. Data from other parts of the application Nvill be combined with the estimates requested below to calculate the required return on investment information. Please read the following directions carefully: • IEDA is asking for a best estimate on the increase in taxes associated with this project. • Estimates should only include the expected increase in tax liability resulting from this project. • At minimum, IEDA needs estimates for the first three years of the project. • Show data as if no tax abatements or tax credits awarded for this project were taken. • For partnership forms of ownership (e.g. limited partnerships, s- corporations, LLC, etc.), please estimate the partners' increase in Iowa tax liability due to this project. • Sales and use taxes refer to the taxes paid on materials, etc. that the Business purchases, not taxes you collect from sales to your customers. • Applicants will not be held to these numbers with respect to any award from or contract with IEDA. • This page of the application will automatically be treated as confidential. Increase in Tax Collections Associated with this Project State Business Taxes Year 1 Year 2 Year 3 Year 4 Year 5 State Corporate Income Tax* 116,000 116,000 116,000 116,000 116,000 State Business Sales and Use Tax 1,000 1,000 1,000 1,000 1,000 * insurance Uompames: 1 rovtoe Mate .insurance rrenuum Lax Local Business Taxes Year 1 Year 2 Year 3 Year 4 Year 5 Local Real Estate Property Tax 41,000 41,000 41,000 41,000 41,000 Local Option Sales Tax CONFIDENTIAL IEDA — Business Financial Assistance Application 12 v.7.11.2011 Business Taxes IEDA is required to calculate the return on state and local government investments in this project. Data from other parts of the application will be combined with the estimates requested below to calculate the required return on investment information. Please read the following directions carefully: • IEDA is asking for a best estimate on the increase in taxes associated with this project. • Estimates should only include the expected increase in tax liability resulting from this project. • At minimum, IEDA needs estimates for the fast three years of the project. • Show data as if no tax abatements or tax credits awarded for this project were taken. • For partnership forms of ownership (e.g. limited partnerships, s- corporations, LLC, etc), please estimate the partners' increase in Iowa tax liability due to this project. • Sales and use taxes refer to the taxes paid on materials, etc. that the Business purchases, not taxes you collect from sales to your customers. • Applicants will not be held to these numbers with respect to any award from or contract with IEDA. • This page of the application will automatically be treated as confidential. Increase in Tax Collections Associated with this Project State Business Taxes Year 1 Year 2 Year 3 Year 4 Year 5 State Corporate Income Tax* 116,000 116,000 116,000 116,000 116,000 State Business Sales and Use Tax 1,000 1,000 1,000 1,000 1,000 * Insurance Companies: Provide State Insurance Premium Tax Local Business Taxes Year 1 Year 2 Year 3 Year 4 Year 5 Local Real Estate Property Tax 41,000 41,000 41,000 41,000 41,000 Local Option Sales Tax CONFIDENTIAL IEDA — Business Financial Assistance Application 12 v.7.11.2011 Company Name: Alpla, Inc. Payroll Date: 4/6/2012 Source of Payroll Information: Corporate office Current Employment Status: Employee Name or Employee ID Hourly Wage Full Time (FT) or Part Time (PT) $ 62.74 FT $ 40.61 FT $ 36.97 FT $ 30.00 FT $ 30.77 FT $ 28.16 FT $ 31.25 FT $ 28.05 FT $ 27.65 FT $ 26.32 FT $ 27.32 FT $ 26.39 FT $ 29.03 FT $ 25.99 FT $ 25.29 FT $ 25.06 FT $ 25.00 FT $ 24.53 FT $ 23.81 FT $ 26.44 FT $ 23.62 FT $ 23.29 FT $ 23.26 FT $ 23.21 FT $ 24.35 FT $ 25.44 FT $ 22.98 FT $ 25.32 FT $ 22.78 FT $ 22.44 FT $ 22.39 FT $ 21.83 FT $ 24.28 FT $ 21.68 FT $ 24.03 FT $ 23.14 FT $ 21.20 FT $ 24.77 FT $ 21.79 FT $ 20.71 FT $ 20.09 FT $ 19.72 FT $ 19.32 FT $ 19.05 FT $ 19.03 FT $ 19.00 FT $ $ $ $ $ $ $ $ $ $ $ $ $ $ 19.50 FT 19.57 FT 19.50 FT 18.80 FT 18.80 FT 23.44 FT 21.11 FT 19.38 FT 18.54 FT 18.47 FT 19.19 FT 19.11 FT 18.75 FT 17.14 FT 18.86 FT 17.82 FT 16.70 FT 17.26 FT 16.61 FT 16.59 FT 17.16 FT 16.97 FT 16.82 FT 16.82 FT 16.74 FT 16.88 FT 16.76 FT 16.11 FT 1 6.76 FT 16.74 FT 16.74 FT 19.91 FT 16.50 FT 16.64 FT 16.74 FT 1 6.70 FT 16.68 FT 16.70 FT 16.48 FT 16.99 FT 16.25 FT 15.56 FT 16.23 FT 16.93 FT 22.20 FT 17.74 FT 15.05 FT 15.00 FT 15.02 FT 18.45 FT 15.44 FT 16.81 FT $ 15.34 FT $ 15.46 FT $ 15.45 FT $ 17.68 FT $ 14.96 FT $ 15.31 FT $ 15.30 FT $ 18.63 FT $ 16.06 FT $ 14.49 FT $ 16.70 FT $ 14.94 FT $ 14.90 FT $ 14.86 FT $ 14.11 FT $ 17.14 FT $ 18.06 FT $ 17.83 FT $ 13.45 FT $ 13.22 FT $ 14.58 FT $ 14.43 FT $ 13.37 FT $ 12.82 FT $ 13.39 FT $ 13.10 FT $ 13.37 FT $ 14.50 FT $ 17.14 FT $ 13.51 FT $ 12.94 FT $ 12.90 FT $ 13.30 FT $ 13.35 FT $ 14.82 FT $ 13.10 FT $ 15.38 FT $ 11.96 FT $ 11.95 FT $ 12.42 FT $ 11.91 FT $ 11.85 FT $ 11.84 FT $ 11.75 FT $ 11.83 FT $ 13.34 FT $ 11.60 FT $ 11.60 FT $ 15.08 FT $ 12.02 FT $ 11.91 FT $ 12.36 FT $ 11.96 FT $ 11.98 FT $ 11.91 FT $ 12.00 FT $ 13.47 FT $ 11.91 FT $ 11.91 FT $ 12.42 FT $ 13.63 FT $ 12.52 FT $ 11.94 FT $ 11.97 FT $ 11.98 FT $ 11.92 FT $ 11.56 FT $ 13.26 FT $ 12.50 FT $ 11.92 FT $ 13.09 FT $ 13.09 FT $ 13.06 FT $ 10.87 FT $ 12.73 FT $ 11.93 FT $ 11.83 FT $ 11.96 FT $ 12.21 FT $ 11.97 FT $ 11.91 FT $ 12.45 FT $ 16.70 FT $ 12.04 FT $ 11.91 FT $ 11.60 FT $ 13.37 FT $ 11.68 FT $ 10.80 FT $ 13.39 FT $ 11.97 FT $ 12.06 FT $ 14.48 FT $ 16.79 FT 192 SECURITY WORKSHEET ❑ UCC -1 financing statement: ❑ Blanket UCC -1, 16' position lien ❑ Blanket UCC -1, 2nd position lien ❑ Blanket UCC -1, 2nd position lien (subordinate only to senior lender) Estimated Value $ Estimated Value $ Estimated Value $_______________ ❑ Other e.g. ls' on specific machinery, equipment, accts. receivable (describe): ❑ Irrevocable Letter of Credit ❑ Corporate guaranty from -___ Address: Amt: ❑ Personal guarantee(s) from: Amt: $----------------------------------- - - - - -- --------------------------------- - - - - -- Amt: $------------------------------ --------------------------------- - - - - -- Amt: $------------------------------ --------------------------------- - - - - -- Amt: $------------------------------ ❑ Mortgage ❑ 16t position Estimated Value________ _______ ❑ 2nd position Estimated Value___ ____________ ❑ 2nd position lien, subordinate only to senior lender Estimated Value_ _____ ____ __ ___ ❑ Other (describe): Property description: ❑ Other collateral negotiated (e.g., certificate of deposit assignment agreement) Estimated Value $____________________ ❑ Debt Subordination - No. IEDA's financial assistance award will not be subordinate to any other lender ❑ Debt Subordination - Yes. IEDA's financial assistance award will be subordinate to senior lender ------------------------------------------ in an amount not to exceed $ ------------------------ (amt. of senior debt to which IEDA will be subordinate.