HomeMy WebLinkAbout2014-04-15 Resolution- 4b 15)
Prepared by: Marian K. Karr, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5043
RESOLUTION NO. 14 -89
RESOLUTION TO ISSUE DANCING PERMIT
BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that a Dancing
Permit as provided by law is hereby granted to the following named person and at the
following described locations upon his/her filing an application, having endorsed thereon
the certificates of the proper city officials as to having complied with all regulations and
ordinances, having a valid beer, liquor, or wine license /permit, to wit:
Loyal Order of the Moose Lodge # 1096- 3151 Hwy 6 E.
Passed and approved this 15th day of April , 20_L4
MAYOR
ATTEST:�usy�
CITY CLERK
Approved by
City Attorney's Office
It was moved by Mims 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
.C4
CITY OF IOWA CITY 4c(l)
AIR' MEMORANDUM
Date: April 4, 2014
To: Tom Markus, City Manager
From: Chief Sam Hargadine
Re: Pet License Renewal Notification
Introduction: Citizens of Iowa City are required to license with the City all pets owned and
renew that license on a regular basis. This licensing is directly related to proof of
vaccination against rabies. In the past the City has sent out reminders approximately
two months before expiration of the current license. While modification was being
completed on the notification form, a number of pet owners did not receive this notice
and were assessed a delinquent fee.
History /Background: The supervisor with the City's Animal Services division approached
the City's IT department to update the form sent to pet owners to remind them that their
pet license was about to expire. Pet licensing is required under City Ordinance 8 -4 -3.
Owners may purchase a one, two, or three year license, depending on the pet's rabies
vaccination records. Any owner who does not renew a license within 30 days of its
expiration, are to be assessed a delinquent fee. The amount of this delinquent fee is
determined by a Resolution passed by the City Council. The notification is not required
under the ordinance but is provided as a courtesy by the City. During the development,
design and implementation of the new system a number of pet owners did not get the
notification until after the pet license had expired. They were assessed the delinquent
fee when the new notification was sent out.
Discussion of Solutions: The Department would like to request authorization to credit the
collected delinquent fees towards the pet owner's next licensing fee.
As noted earlier the City is not obligated to provide the notification, however many pet
owners have come to rely on this notice as a reminder to keep them in compliance with
the City Ordinance. Had the owner received the notification in a timely fashion, many
would have paid the licensing fee before the expiration. Staff has discussed a number
of options and it was agreed that the most efficient way to address this issue would be
to send a letter to those affected. The letter would explain that any delinquent fee
assessed and paid during the time period where notification was not sent out would be
credited towards the next licensing fee.
Financial Impact: Best estimates are that $10,000 in delinquent fees would be credited towards
future licensing fees.
Recommendation: The City Council should direct the Animal Shelter to draft a letter to be
sent to those pet owners who received the delayed license renewal notice explaining
the situation. The Council should authorize the use of delinquent fees collected from
the delayed notification to be used towards the effected pet owner's next licensing fee.
r --
WE 14 CITY OF IOWA CITY 4c(2)
MEMORANDUM
Date: April 9, 2014
To: City Manager
From: Jeff Davidson, Economic Development Administrator
Re: Consider approving update of Economic Development Policies
Introduction /Background:
We continue to refine our policies related to financial incentives offered by the City of Iowa City
for development projects. It is best for all parties involved if there can be a clearly defined
expectation on when financial incentives will be considered. Chief among these financial
incentives is Tax Increment Financing (TIF).
Discussion of Solutions:
With the City Council's recent reconsideration of the City's Strategic Plan, we thought it
appropriate to examine our adopted economic development policies in light of the Strategic
Plan. The City's economic development policies should be consistent with and help implement
the goals of the Strategic Plan. We are attempting to represent to the development community
that TIF assistance is a partnership, not an entitlement. If developers are going to receive TIF
assistance, they should be prepared to address community objectives that are called out in the
City Council's Strategic Plan.
The attached Economic Development Policies dated April 2014 reflect the changes that were
approved by the City Council Economic Development Committee at their meeting on April 1,
2014. The revisions to the previous version can be summarized as follows:
1. It is stated that the City Council Strategic Plan is the basis for economic development
activities in Iowa City.
2. It states the purposes of our ED policies (attract new development, retain existing
businesses, encourage expansion of existing businesses, support new business
opportunities)
3. Reiterates the financial analysis that is required to be considered for public financial
assistance.
4. States that rebates are the preferred form of TIF assistance, and that security is required
for non - rebate assistance.
5. States the minimum standards that are expected to be met for projects receiving
financial assistance.
6. Provides attachments for better understanding the City's financial analysis process.
April 9, 2014
Page 2
Financial Impact:
The financial impact of the proposed amendments will be the possibility of continuing to grant
public financial assistance to projects that the City Council determines are worthy.
Recommendation:
Adoption of these policies will clearly indicate to the development community that financial
assistance from the City of Iowa City is a partnership, not an entitlement, and state our
intentions for achieving community objectives in granting financial assistance. Staff
recommends approval, and the City Council Economic Development Committee recommends
approval on a 3 -0 vote.
Bring any questions to the April 15, 2014 City Council meeting.
EDC April 1, 2014
MINUTES DRAFT
CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE
APRIL 1, 2014
CITY MANAGER'S CONFERENCE ROOM, CITY HALL, 8:00 A.M.
Members Present: Susan Mims, Michelle Payne, Matt Hayek
Staff Present: Wendy Ford, Tracy Hightshoe, Jeff Davidson, Tom Markus,
Eleanor Dilkes
Others Present: Andre Perry, Mission Creek;
RECOMMENDATIONS TO COUNCIL:
Payne moved to recommend the request for financial assistance from the Mission
Creek Festival per staff recommendation. Hayek seconded the motion.
Motion carried 3 -0.
Payne made the motion to recommend approval of the updates to the Economic
Development Policies as discussed. Hayek seconded the motion.
Motion carried 3 -0.
Hayek made the motion to deny the request for assistance from I -JAG.
Payne seconded the motion.
Motion carried 3 -0.
CALL MEETING TO ORDER:
The meeting was called to order by Chairperson Mims at 8:01 A.M.
CONSIDER APPROVAL OF MINUTES:
Minutes of the February 10, 2014, Economic Development Committee meeting were
reviewed. Payne noted that on page 3, in the paragraph where it states: "Payne asked
for an explanation of the difference between Scene One and Film Scene... ", and she
questioned the way this is worded. Ford stated that she would work on this wording and
will resubmit the minutes for the Committee's approval.
CONSIDER REQUEST FOR ASSISTANCE FOR MISSION CREEK FESTIVAL:
Ford introduced the item, noting that Mission Creek will be embarking on their ninth
annual festival this year. She briefly spoke to Members about the history of the festival
and how well it has been accepted. This year there will be an expansion of youth
activities and also the addition of a high -tech component with a lecture and a mini -tech
conference at the Englert Theatre. The request is for $5,000, and Ford noted that there
are funds in the Economic Development fund that could cover it. She invited Andre
Perry to speak to Members about the festival. He thanked the Members for their help
over the years, and began to explain what they can expect with the upcoming festival.
He added that this year is the biggest expansion of programming they have had, with the
high -tech component and working with local entrepreneurs and tech folks to bring that
EDC April 1, 2014 2
side of creativity to the festival. There will also be a full - fledged film component and
youth activities, according to Perry.
Perry noted that about 30% of their funds continue to be contributed income, while about
70% is earned income through ticket sales. Payne asked Ford about the Economic
Development fund and if this will be replenished July 1 with the new fiscal year. Ford
noted that it would be. Mims stated that she believes this event to be successful and
that it attracts people from around the region and beyond. Hayek agreed, stating that he
believes this is an excellent event for the City to invest in. He suggested that it be
included in long -term economic development funding.
Payne moved to recommend the request for financial assistance from the Mission
Creek Festival per staff recommendation.
Hayek seconded the motion.
Motion carried 3 -0.
CONSIDER UPDATE TO IOWA CITY ECONOMIC DEVELOPMENT POLICIES:
Davidson noted that these are olicies continual) reviewed and refined in accordance
p Y
with the Council's perspective on these issues. He stated that the City Manager wanted
to make sure that these policies reflect the Council's strategic plan objectives.
Therefore, after the Council's meeting in January where they reviewed their strategic
plan, staff has refined economic development policies to reflect the Council's objectives.
By doing this, Davidson stated it gives staff and developers a better guide to work with
when looking at projects.
Davidson continued, noting that staff just wanted to quickly step through these to see if
the Committee agrees with the policies being proposed. Mims brought up the cover
letter on staff's packet info, noting that it shows February 10 in the third paragraph. She
questioned if this shouldn't be April 1St, today's date. Ford noted that this issue was
previously scheduled to be discussed at the last meeting, but that there were a couple of
issues left to work out, so it was deferred. Markus and Davidson noted that other
communities handle their requests for financial participation in a less formalized way.
Iowa City uses a gap analysis to help determine funding requests. This can cover TIF
assistance, parking funds, land sale and acquisition, etc.
Davidson discussed the policies. Payne asked about the focus on the developer's
return. She stated that when she read this, she thinks it appears to convey our interest
in the developer making a profit. She finds this wording lacking clarity. It was suggested
to use 'scrutiny' in its place. Davidson continued the review, noting that use of TIF
rebates shall be considered highly preferable to cash up front. Dilkes proposed that in
the last sentence, "...upfront financing... additional security is required," to eliminate the
word 'additional' and move this sentence down to the paragraph at the bottom of the
page. Then on the second page, where the bullets are, it should note "all or some," not
"all" in the objectives. Davidson added that the final three bullets at the bottom of the
page are to provide additional clarification and information about the City's processes.
Payne noted that on the last page, top paragraph, the last few words say '...as
determined by the City Council.' She questioned this, stating that it is more what the
EDC April 1, 2014
staff has determined and the Council has approved. Davidson noted that they can clean
this up. Then the last bullet, under 'comprehensive planning,' Payne questioned if this
shouldn't say `strategic plan.' Davidson suggested they add "strategic plan" to this, in
addition to the comprehensive. Hayek added that also in this section, if we shouldn't
consider the order of these bullet items. Markus suggested adding wording that states
they are not in order of priority.
Davidson continued to discuss the policies of the City, noting that when they are up
against other states and areas for business competition, they need to be flexible in their
approach. He reiterated how these various projects and initiatives are taken from the
strategic planning document. Members continued to discuss ways to incent
development and ways to remain flexible while still accomplishing the overall goals and
objectives. Davidson noted that if the Economic Development Committee approves
these changes to the policy, it can then go before the full Council for approval.
Members continued to ask questions of staff concerning how they approach their work
with developers and how much the City can and cannot control. Mims spoke to the
perception that the public has with development and how much involvement the City
has, and she questioned ways to get the information and processes more accessible
and into the public realm. Dilkes suggested publishing more detailed analysis, showing
why such decisions have been made.
Payne made the motion to recommend approval of the updates to the Economic
Development Policies as discussed.
Hayek seconded the motion.
Motion carried 3 -0.
CONSIDER REQUEST FOR ASSISTANCE FOR I -JAG:
Mims stated that she is the one who asked to put this item on the agenda. She believes
they should remove this request at this time, until I -JAG gets their fundraising formalized
and other entities become a part of it. Currently other municipalities are not taking part
in this assistance. She added that they have growing private support. She asked if City
High still has the one class, and Ford noted that they have two classes now, with the
hope to start a third at West High. Hayek asked if they applied for assistance from
United Way, and Ford stated that they did not. Members continued to discuss this
situation, with staff noting what funding stream would be best for continued support.
Ford stated that they should respond to I -JAG, and she reiterated that they should go
through the Johnson County United Way joint funding application process, which will
begin again in the fall.
Hayek made the motion to deny the request for assistance from I -JAG.
Payne seconded the motion.
Motion carried 3 -0.
REVIEW ECONOMIC DEVELOPMENT FUND BALANCES:
Ford stated that this report focuses on three funds — Aid to Agencies, Community
Development, and Economic Development. She noted how each fund is different and
Prepared by: Jeff Davidson 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5232
RESOLUTION NO. 14 -90
RESOLUTION ADOPTING ECONOMIC DEVELOPMENT POLICIES OF THE CITY OF
IOWA CITY AND RESCINDING RESOLUTION NOS. 07 -39, 09 -343, AND 11 -394.
WHEREAS, the City of Iowa City has adopted economic development policies that express the
City Council's objectives in funding economic development projects in Resolution Nos. 07 -39,
09 -343, and 11 -394; and
WHEREAS, said policies are proposed to be amended to better reflect the goals and objectives
of the adopted City Council Strategic Plan; and
WHEREAS, it is best for all parties involved if there can be a clearly defined expectation on
when financial incentives will be considered; and
WHEREAS, if approved, City Staff will begin immediately using said policies in the negotiation
of financial assistance agreements with private developers.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, IOWA, THAT:
1. The attached statement of Economic Development Policies dated April 2014 are hereby
approved and adopted.
2. Resolution Nos. 07 -39, 09 -343, and 11 -394 are rescinded.
Passed and approved this 15th day of April , 2014.
MAYOR
Approved by
ATTEST: 'rain% y- {
CITY CLERK City Attorney's Office
Resolution No. 14 -90
Page 2
It was moved by Mims and seconded by Dobyns the
Resolution be adopted, and upon roll call there were:
AYES: MAYS: ABSENT:
x Botchway
x Dickens
x Dobyns
x Hayek
x Mims
x Payne
x Throgmorton
Q
Economic Development Policies a °;;�;oo ,F '
April, 2014 % ®w.
1
It shall be the policy of the City of Iowa City to use the City
Council Strategic Plan as the basis for its economic �� OF IOWA �1
development activities. Inherent in the plan is to attract
new development including residential, commercial and industrial uses to grow the tax base.
Further, the purpose of the plan is to retain the City's existing businesses and to encourage
business expansion. The City's Strategic Plan also supports organizations which help to
incubate, foster and grow new business operations by providing non - traditional collaborative
environments.
The expected result of these activities are: increased economic activity, more jobs, lower
unemployment, higher wages, greater property values, more tax revenues, more ownership and
entrepreneurial opportunities and revitalization of underutilized or blighted areas.
The City will consider the use of financial incentive programs including City, State and Federal
economic development funds, tax increment financing, public private partnerships and other
tools in order to achieve the expected results.
It will be the policy of the City of Iowa City to endeavor to attract, recruit, retain, foster and
develop business that is new to our region or metropolitan statistical area (MSA) through the
use of incentives. The City will not actively recruit business from other jurisdictions within our
MSA unless a business is seeking to expand or a business is considering relocation outside the
state. Should businesses from jurisdictions within our MSA wish to locate in Iowa City we
will notify our neighboring jurisdiction of the interest. It will be the general practice of the City
of Iowa City to not provide economic incentives to businesses wishing to relocate from another
jurisdiction within our MSA unless a business is seeking to expand or considering a relocation
outside the state.
Projects requesting City financial assistance will be subject to a financial analysis which
determines if City financial assistance is appropriate. The analysis will examine all financing
sources for a project and the project costs, with scrutiny of the developer's return based largely
on developer equity and the maximization of project debt. This process allows consideration of
public financing that fills a gap and precludes undue enrichment to the developer. Special
consideration may be given to projects where the City is competing outside our MSA for
interstate commerce business.
The use of TIF rebates shall be considered highly preferable to the alternative, "cash upfront"
TIF.
Additionally, various evaluative tools including financial pro- formas, written evaluation reports,
established benefit metrics, and other performance tools may be used to evaluate the use of
economic incentives from the early stages of project development through the issuance of an
incentive and post incentive to make sure the objectives are met.
Developers who receive incentives will be expected to enter into development agreements
which delineate the terms, conditions, understandings, expected results and the performance
measures required for receiving incentives. For up front financing security is required.
When incentive programs are used, they will be used to maximize the benefits to the City of
Iowa City. The dollar amount and time duration of the incentive shall be the smallest amount
necessary to achieve the maximum amount of city benefit as determined by the City.
In return for public financial assistance, developers will be expected to meet all or some of the
following minimum standards (not in priority order):
Achieve high quality architectural and site design
Offer energy efficiency and sustainability features beyond what is required through
adopted building codes
® If a residential project, the contribution to an affordable housing fund or the provision of a
certain percent of affordable housing units within the project
Creation and retention of high qualityjobs
Developer equity (not including debt) to be equal to or greater than the public financing
requested
The redevelopment of underutilized and /or blighted properties
Projects achieving public purposes as detailed in the comprehensive plan, Urban Renewal
Area planning documents, and /or the City Council adopted Strategic Plan.
Despite the need for the program to be flexible and nimble in order to respond to the ever
changing economic conditions of the marketplace, it will be the policy of the City to ensure that the
process of using incentives is an open and transparent public process which instills confidence in
the public's understanding of how economic development incentives are utilized.
See also companion documents:
Understanding Iowa City's Due Diligence Process for Gap Financing with TIF
Application for Gap Financing
Key Elements in Financial Analysis
omic Development Policies
April,
It shall be th olicy of the City of Iowa City to use the City
The expected result of these activities are: increased conomic activity, more jobs, lower
unemployment, higher wages, g ater property values, m e tax revenues, more ownership and
entrepreneurial opportunities and vitalization of underu ized or blighted areas.
The City will consider the use of Tina ial incentive rograms including City, State and Federal
economic development funds, tax incr ent Tina cing, public private partnerships and other
tools in order to achieve the expected res s.
It will be the policy of the City of Iowa City to endeavor to attract, recruit, retain, foster and
develop business that is new to our region or etropolitan statistical area (MSA) through the
use of incentives. The City will not activ recr it business from other jurisdictions within our
MSA unless a business is seeking to exp nd or co idering relocation outside the state. Should
businesses from jurisdictions within o MSA wish o locate in Iowa City we will notify our
neighboring jurisdiction of the interest. It will be the g eral practice of the City of Iowa City to
not provide economic incentives to businesses wishin to relocate from another jurisdiction
within our MSA unless a business ' seeking to expand considering a relocation outside the
Council Strat is Plan as the basis for its economic ��.� A ®W� r'-� -�
development acts 'ties. Inherent in the plan is to attract IOWA
new development eluding residential, commercial and industrial use to grow the tax base.
Furt
state.
Projects requesting City fi
determines if City financial
sources for a project and th
on developer equity and the
public financing that fills
consideration may be gi e
interstate commerce bus' e:
an al assistance will be subject
sistance is appropriate. The ana s
project costs, with scrutiny of the de
maximization of project debt. This pro(
gap and precludes undue enrichment
to projects where the City is comp
a financial analysis which
s will examine all financing
oper's return based largely
ss allows consideration of
the developer. Special
tin, outside our MSA for
The use of TIF /rebat shall be considered highly p referable to the alternat e, "cash upfront"
TIF.
Additionally, varialuative tools including financial pro- formas, written evalu ion reports,
established benrics, and other performance tools may be used to evaluate he use of
economic incentm the early stages of project development through the issua a of an
incentive and po tive to make sure the objectives are met.
Developers w o receive incentives will be expected to enter into development
which delinea e the terms, conditions, understandings, expected results and the F
measures required for receiving incentives. For up front financing security is required.
her, the purpose
f the plan is to retain the City's
existing bu i esses
and to encourage
business expansion.
he City's Strategic Plan also
supports rganizations
which help to
incubate, foster and
gro new business operations by
providi non
- traditional collaborative
environments.
state.
Projects requesting City fi
determines if City financial
sources for a project and th
on developer equity and the
public financing that fills
consideration may be gi e
interstate commerce bus' e:
an al assistance will be subject
sistance is appropriate. The ana s
project costs, with scrutiny of the de
maximization of project debt. This pro(
gap and precludes undue enrichment
to projects where the City is comp
a financial analysis which
s will examine all financing
oper's return based largely
ss allows consideration of
the developer. Special
tin, outside our MSA for
The use of TIF /rebat shall be considered highly p referable to the alternat e, "cash upfront"
TIF.
Additionally, varialuative tools including financial pro- formas, written evalu ion reports,
established benrics, and other performance tools may be used to evaluate he use of
economic incentm the early stages of project development through the issua a of an
incentive and po tive to make sure the objectives are met.
Developers w o receive incentives will be expected to enter into development
which delinea e the terms, conditions, understandings, expected results and the F
measures required for receiving incentives. For up front financing security is required.
When incc tive programs are used, they will be used to maximize the ben its to the City of
Iowa City. he dollar amount and time duration of the incentive shall be a smallest amount
necessary to a hieve the maximum amount of city benefit as determined by t City.
In return for publ� financial assistance, developers will be expected meet all or some of the
following minimum s ndards (not in priority order):
Achieve high q ality architectural and site design
Offer energy e iciency and sustainabilily features be and what is required through
adopted building c es
If a residential proje t, the contribution to an affordabl housing fund or the provision of a
certain percent of affo able housing units within the pr ject
• Creation and retention o high qualityjobs
• Developer equity (not in uding debt) to be equ to or greater than the public financing
requested
The redevelopment of underu '(ized and /or bligh d properties
Projects achieving public pure es as detail d in the comprehensive plan, Urban Renewal
Area planning documents, and /orloe City Co ncil adopted Strategic Plan.
Despite the need for the program to be
changing economic conditions of the market
process of using incentives is an open and
the public's understanding of how economic c
See also companion documents:
Understanding Iowa City's Due
Application for Gap Financing
• Key Elements in Financial Anal
and nimble in order to respond to the ever
it will be the policy of the City to ensure that the
)arent public process which instills confidence in
Lment incentives are utilized.
for Gap Financing with TIF
Marian Karr 4C(3)
1
From: Valde, Katherine J <katherine- valde @uiowa.edu>
Sent: Wednesday, April 09, 2014 4:48 PM
To: Marian Karr
Cc: McCarthy, Evan F; Bramel, Alec W
Subject: RE: UISG appointment
Hi Marian,.
I hope this email finds you well. Please find my nomination letter for Evan McCarthy to serve as the next UISG
City Council Liaison below.
The University of Iowa Student Government is pleased to recommend Evan McCarthy to serve as the City Council Liaison for the
2014 -2015 academic year. Evan is a rising junior at the University of Iowa from Iowa City, Iowa. UISG looks forward to continuing
to work together with the City of Iowa City through both the City and Vice City Council Liaison positions and is happy to have open
and numerous channels of communication between the two governing bodies.
Thanks for all of your help!
Best,
Katherine
Public Notice
Notice is hereby given that a public hearing
will be held by the City Council of Iowa
City, Iowa, at 7:00 p.m. on the 15th of
April, 2014, in Emma J. Harvat Hall, 410
E Washington St, Iowa City, Iowa or if
said meeting is cancelled, at the next
meeting of the City Council thereafter as
posted by the City Clerk; at which hearing
the Council will consider:
1. The Iowa City Housing Authority's
updated Annual Plan advising HUD, its
residents and members of the public of
the needs of low- income and very low -
income families, and their strategy for
addressing those needs in the upcoming
fiscal year; and, the Public Housing
Capitol Fund expenditures.
Copies of the plan and Capitol Fund
expenditures will be on file for public
examination in the office of the Iowa City
Housing Authority, City Hall, Iowa City,
Iowa, beginning February 19, 2014.
Persons wishing to make their views
known for Council consideration are
encouraged to appear at the above -
mentioned time and place.
MARIAN K. KARR, CITY CLERK
�,. CITY O F IOWA CITY 4c(6)
MEMORANDUM
Thursday, April 10, 2014
TO: Tom Markus
FROM: Doug Boothroy, Director, Neighborhood a d Devi op ent Services and
Steven J. Rackis, Housing Administrator ,2 72If
SUBJECT: Iowa City Housing Authority Fiscal Year 2014 Annual Report /Annual Plan
The Annual Report/Annual Plan provides details about the PHA's current programs and the
resident population served, as well as the PHA's strategy for addressing the housing needs of
currently assisted families and the larger community.
• A copy of the Fiscal Year 2014 Annual Report/Annual Plan is attached and is also
available in print in the ICHA Iowa City Housing Authority office. Once adopted by City
Council copies will be available on the internet via the e- documents section of the ICHA
website: www.icgov.or�icha
Annual Report — 2014
usin
UTH��
410 E. Washington Street
Iowa Citv • Iowa • 52240.1826
To improve quality of life, the Iowa City Housing Authority acts as a
community leader for affordable fordable housing family self - sufficiency, and
homeownership opportunities.
Date: April 15, 2014
Annual Report — 2014
Table of Contents
Staff
Executive Summary
Housing Choice Voucher (HCV) Program
Analysis of Public Housing
Family Characteristics
Family Characteristics and Working Families
Public Housing Waiting List
Housing Choice Voucher Waiting List
Promoting Family Self- Sufficiency (FSS)
FSS Program Coordinating Committee
Promoting Homeownership
Comparison of funding for Calendar Years 2012 & 2013
Housing Authority Funding Source Summary
Partnerships and Community Collaborations
Page 2
Pages
3
4 -5
6
7
8
9
10
II
12 -13
14
15
16
17 -18
19
Annual Report — 2014
Staff
Housing Program Assistant Robin Butler
Housing Program Assistant Denise Kinnison
Housing Program Assistant Carri Fox - Rummelhart
Housing Program Assistant Diana Huff
Office Manager Virginia Stroud
FSS Coordinator Mary Abboud
Public Housing/Homeownership Pat MacKay
Coordinator
Housing Choice Voucher Heidi Wolf
Program Coordinator
Housing Administrator Steven J. Rackis
Page 3
Annual Report — 2014
Executive Summary
Overview of the Fiscal Year 2014 Omnibus Ad
Public Housing Operating Fund:
The appropriations bill provides $4.4 billion for the Operating Fund for 2014,
about halfway between the $4.262 billion and $4.6 billion proposed by the
House and Senate respectively. The National Association of Housing and Reha-
bilitation Officials ( NAHRO) estimates that the bill would provide Housing Au-
thorities with approximately 88 percent of subsidy eligibility.
The bill also incorporates a cost - saving measure requiring Housing Authorities to
set flat rents no lower than 80 percent of Housing and Urban Development
(HUD) published Fair Market Rents (FMR), though these increases would be
phased in to ensure that a household's rental payments do not increase by more
than 35 percent per year as a result of this change.
Public Housing Capital Fund:
The bill increases funding for the Public Housing Capital Fund to $1.875 billion,
$98 million more than the FY 2013 level after accounting for sequestration. This
increase effectively restores program funding to the FY 2012 level.
Housing Choice Voucher (HCV):
Housing Assistance Payment (HAP) Funds: The appropriations act provides
$17.366 billion for HAP renewals, an increase of more than $1 billion over the
post - sequestration FY 2013 funding level. Although a final estimate will not be
available until all Housing Authority's 2013 Voucher Management System (VMS)
data is submitted and validated, NAHRO anticipates that this funding level will
sufficient to provide all Housing Authorities with at least 100 percent of their
eligibility, a significant increase over the 94 percent proration experienced in
2013
HAP Set -Aside Fund: The omnibus allows the Secretary to set aside up to $75
million for Housing Authorities that (1) experience a significant increase in re-
newal costs resulting from unforeseen circumstances or from portability, (2)
have vouchers that were not in use during the 12 -month period in order to be
available to meet Project Based Voucher (PBV) commitments, (3) experienced
costs associated with HUD -VASH, and (4) that despite taking cost - savings
measures would otherwise be required to terminate rental assistance as a result
of insufficient funding. In addition to set -aside funds, the appropriations act also
Page 4
Annual Report — 2014
gives the Secretary the authority to offset "excess" HUD -held HAP reserves for
purposes of preventing terminations.
Ongoing Administrative Fees: The appropriations act provides $1.5 billion in FY
2014, $200 million more than in FY 2013. Based on HUD's earlier estimates of
eligibility, NAHRO estimates that this funding is sufficient to provide PHAs with
approximately 75 percent of their ongoing admin fee eligibility. NAHRO remains
deeply concerned by the continuing deep prorations to Section 8 administrative
fees.
Additional Administrative Fees: The omnibus provides an additional $15 million
for additional administrative fees for administrative costs associated with Sec-
tion 8 tenant - protection vouchers, disaster - related vouchers, HUD -VASH vouch-
ers, and other incremental special purpose vouchers.
HCV Family Self - Sufficiency (FSS): The omnibus adopts the Administration's
recommendation and provides $75 million in stand -alone funding for a new
combined Public Housing and Housing Choice Voucher FSS, an amount equiva-
lent to the combined historic funding for both programs.
HUD -VASH: As in 2013, the omnibus provides $75 million for new HUD - Veterans
Affairs Supportive Housing (HUD -VASH) vouchers to support the goal of ulti-
mately ending homelessness among veterans.
HCV Cost - saving Measures in the FY 2014 Omnibus Act
The Act incudes three changes that directly impact Housing Authorities that
administer HCV Programs including: (1) enabling biennial Housing Quality Stand-
ards (HQS) inspections and allowing the use of alternative Federal inspection
standards to reduce duplication, (2) changing the definition of "extremely low -
income" to apply to families with incomes that are the higher of 30 percent of
the area median income or the federal poverty level, and (3) linking utility allow-
ances to the authorized voucher size of the family rather than the size of the
unit leased. The change to inspections would allow Housing Authorities to real-
ize administrative savings, while the changes to income - targeting and utility
allowances impact HAP expenditures.
HUD officials have indicated to NAHRO that, due to the complex nature of the
cost - savings measures, they anticipate releasing a separate implementation
notice within 60 to 90 days of the Act to provide Housing Authorities with spe-
cific guidance related to the policy changes.
Page 5
Annual Report - 2014
Housing Choice Voucher Program
The Housing Choice Voucher Program (HCV) is
funded by the U.S. Department of Housing and Ur-
ban Development (HUD) with the intent of increas-
ing affordable housing choices for low- income fami-
lies, the elderly, & persons with disabilities. Families
with a HCV voucher choose & lease safe, decent,
and affordable privately owned rental housing. Total
number of available HCV and Veterans' Affairs Sup-
portive Housing (VASH) vouchers = 1,265.
HCV Economic Impact: For Calendar Year 2013 (CY13), the Housing
Choice Voucher program paid approximately $5.8 million in Housing Assistance
Payments (HAP) to landlords /owners of rental properties in Johnson County.
The vouchers in use, as of 1/3 1 /2014, in Iowa City (793) represents 4.6% of the
total number of rental units (17,000) in the City of Iowa City.
Following is the Johnson County breakdown by city. Overall voucher utilization
in Johnson County shows: Nearly sixty percent (60.3 %) were households with-
out minor children; Forty percent (39.7 %) included minor children.
Voucher Utilization % of Total
by City As of Total Johnson County Total % Total Households % Total % Total
1/31/2014 (total Population Incorporated Vouchers Voucher without Vouchers Households Vouchers
= 1,170) Population By City Utilization Minors By City with Minors By City
Iowa City
67,862
61.9%
793
67.8%
498
62.8%
295
37.2%
Coralville
18,907
17.2%
199
17.0%
102
51.3%
97
48.7%
North liberty
13,374
12.2%
127
10.9%
71
55.9%
56
44.1%
Solon
1,037
1.9%
15
1.3%
12
80.0%
3
20.0%
Oxford
807
.7%
9
0.8%
6
66.7%
3
33.3%
Hills
703
.6%
6
0.5%
3
50.0%
3
50.0%
Lone Tree
1,300
1.2%
6
0.5%
3
50.0%
3
50.0%
Tiffin
1,947
1.8%
4
0.3%
2
50.0%
2
50.0%
Wellman, Riverside,
Kalona
N/A
N/A
8
0.7%
6
75.0%
2
25.0%
Amana, Marengo,
Williamsburg
N/A
N/A
3
0.3%
3
100%
0
0.0%
Johnson County Johnson County
Total Population 130,882 Incorporated 109,704
% of Johnson County Population living in Incorporated areas = 83.8%
Source: U.S. Decennial Census 2010 (2013 Report used American Fact Finder estimates
Page 6
Annual Report — 2014
Public Housing
Public housing was established to provide
affordable, decent and safe rental housing for
eligible low- income families, elderly persons,
and persons with disabilities. The U.S. Depart-
ment of Housing & Urban Development
(HUD) distributes federal subsidies to the
Iowa City Housing Authority (ICHA), which
owns and manages the housing.
The City of Iowa City owns eighty-one (8 1) low- density units, constructed to
conform and blend into the existing neighborhood architecture. The 81 Public
Housing units represent half of I% of the total number of rental units in the City
of Iowa City.
Public Housing Economic Impact for the City of Iowa City:
• Total CY 13 rental income from Public Housing properties = $184,165.
• Payment in Lieu of Taxes (PILOT) paid to the Johnson County Assessor for
the Public Housing properties in CY13 = $17,636.90.
• In CY13, the Housing Authority paid $285,616.93 to private sector Iowa
City contractors for the capital improvement, general maintenance and
repair of the Public Housing properties.
Total Occupied Units w/
Public Housing Total by Occupied Occupied Units minors (includes non -
Units Location 1/31/2014 No Minors school aged minors)
Grant Wood
31
28
0
28
Friendship
22
22
4
18
Village Green
I I
11
8
3
Washington Hills
5
5
0
5
Miller Orchard
3
3
0
3
Northside
2
2
0
2
Longfellow
2
2
0
2
Lucas Farms
2
2
0
2
Wetherby Friends
& Neighbors
I
1
0
1
Creekside
I
1
0
1
Pepperwood
I
1
0
1
TOTAL
81
78
12
66
Page 7
Annual Report — 2014
Family Characteristics
ICHA Participant Characteristics. Definition of Participant (participant
family): A person or family that has been admitted to the Iowa City Housing
Authority's HCV, VASH or Public Housing program and is currently assisted in
the program.
Head of Household (HOH) Characteristics. Total Families =
1,244 as reported to HUD: September 1, 2012 — December
31, 2013 (multiple category reporting eliminated — like char-
acteristics will equal 100 %):
• White HOH
= 746 (60%)
• Households Without Children
= 716 (58 %)
• One Person Household
= 659 (53 %)
• Working Households
= 572 (46 %)
• Disabled HOH
= 535 (43 %)
• Households with Children
= 528 (42 %)
• Non - Disabled /Non - Elderly HOH
= 506 (41%)
• Female HOH with Children
= 463 (37 %)
• Black/African American HOH
= 448 (36%)
• Elderly & Disabled HOH
= 129 (11%)
• Elderly HOH
= 74 (6%)
• Hispanic HOH
= 50 (4%)
• All Other Races HOH
= 37 (3%)
Income Sources: Total Families = 1,295 as reported to HUD:
September 1, 2012 — December 31, 2013 (All Family Members:
Many Families Have Multiple Sources of Income):
• Social Security (SS) /Supplemental Security (SSI) = 63%
• Employment = 46%
• Family Investment Program (FIP/Welfare) = 9%
• With any Other Income = 19%
• No Income = 4%
* Child Support, Self - Employment, Unemployment Insurance, Other Non -Wage
Sources.
As of February 4, 2014, only 20 of the total 1,305 assisted households are report-
ing FIP as the sole source of household income. This equals 1.5% of all currently
assisted households.
Page 8
Annual Report — 2014
Family Characteristics (continued)
Length of Participation as reported to HUD:
September I, 2012 — December 31, 2014:
• Less than I year
= 195 (16 %)
• 1 to 5 years
= 442 (36 %)
• 5 to 10 years
= 314 (25 %)
• 10 to 20 years
= 236 (19 %)
• Over 20 years
= 49 (4 %)
Residence prior to admission — Currently Assisted: Based on
the residence identified on the preliminary application and /or
prior residence for port -ins. Residency preference does not
apply to HUD/VASH participants (ICHA jurisdiction is Johnson
County, Iowa County, & Washington County North of HWY 92):
• ICHA Jurisdiction
= 1,103 (85 %)
• All Other State of Iowa Counties
= 82 (7 %)
• State of Illinois
= 67(5%)
• All Other States
= 34(3%)
• None Reported
= 19(1%)
Iowa City Community School District (ICCSD) information
2012 -2013; Total Enrollment & Free /Reduced (F /R) Lunch:
• Total ICCSD Enrollment PK -12
= 13,159.83
(3.0% increase from 2012 -2013)
• Total ICCSD Eligible for F/R (35.4% of total)
= 4,520
(8.3% increase from 2012 -2013)
• Total ICHA (All Programs) Minors K -12 *
= 857
(3.2% decrease from 2012 -2013)
• Total ICHA (All Programs) K -12 Eligible F/R
= 827
(3.9% decrease from 2011-2012)
• Total ICHA Minors K -12 (Public Housing only)
= 94
(1.0% decrease from 2012 -2013)
• Total ICHA Minor K -12 (Public Housing only)
Eligible F/R (1.0% decrease from 2012 -2013)
= 87
* Total may include children enrolled in the Clear Creek Amana School District, or chil-
dren who have received scholarships to attend Regina Elementary and High School.
Page 9
Annual Report — 2014
Public Housing Waiting List January 15, 2014
Applicant (applicant family): A person or family that has applied for admis-
sion to the Iowa City Housing Authority's Public Housing program but is not yet
a participant. Eligibility_ for housing programs is not established until applicants reach
the top of the waiting list and their Preliminary Application for Assistance is processed.
The Iowa City Housing Authority's jurisdiction is Johnson County, Iowa; Iowa
County, Iowa; and, Washington County, Iowa, North of Highway 92. The gen-
eral applicant pool from which the Housing Authority draws to determine pro-
gram eligibility are elderly, disabled, and families with children under the age of
18 who are residents (have a legal domicile) or are employed, in our jurisdic-
tion.*
When vacancies exist, the Housing Authority draws applicants from this pool by
date and time of application and only those applications of families who qualify
for the bedroom size of the available Public Housing units. The eligibility deter-
mination process includes verification of residency, family composition, eligibility
status, and a national criminal background check conducted through the Iowa
Department of Criminal Investigation and the Federal Bureau of Investigation.
The waiting list reopened on October 11, 2013.
Public Housing Waiting List
Number of % of Fami-
Families lies
Elderly, disabled, and families with children under the
age of 18 who are residents (have a legal domicile) or
are employed, in our jurisdiction. 422 @ 100%
Elderly
34
8%
Disabled
191
45%
Families w /minor Children
242
57%
White - Head of Household
185
44%
Black - Head of Household
186
44%
Multiple races or none reported —Head of Household
39
9%
All Other Races - Head of Household
12
3%
Hispanic
25
6%
@ An additional 3,329 applicants are on the list in lower preference categories.
Page 10
Annual Report — 2014
HCV Waiting List January 15, 2014
The HCV waiting list shares the majority of the characteristics described in the
Public Housing section. There is a great deal of duplication as the majority of
applicants apply to both lists. For HCV applications, bedroom size is not taken
into consideration. When vouchers are available, the Housing Authority draws
applications, by date & time of application, from the applicant pool that contains
elderly, disabled, and families with children under the age of 18 who are resi-
dents (have a legal domicile) or are employed, in our jurisdiction.*
The eligibility determination process includes verification of residency, family
composition, eligibility status, and a national criminal background check conduct-
ed through the Iowa Department of Criminal Investigation and the Federal Bu-
reau of Investigation.
The waiting list reopened on October 11, 2013.
Housing Choice Voucher Waiting List
Number of % of Fami-
Families lies
Elderly, disabled, and families with children under the
age of 18 who are residents (have a legal domicile) or
are employed, in our jurisdiction. 268 @ 100%
Elderly
15
6%
Disabled
107
40%
Families w /minor Children
181
68%
White - Head of Household
96
36%
Black - Head of Household
140
52%
Multiple races or none reported
25
9%
All Other Races - Head of Household
7
3%
Hispanic
19
7%
@ An additional 6,068 applicants are on the list in
lower preference categories.
Page I I
Annual Report — 2014
Program Coordinating Committee — 2013
Advisory Board for the Iowa City Housing Authority's Family Self- Sufficiency
Program (FSS).
• Jon Weih, Student Life Director, Kirkwood Community College.
• Karla Fay, Farmers & Merchants Savings Bank.
• Cindy Lynch, Midwest One
• Hanadi Elshazali, Neighborhood Centers of Johnson County.
• Jan Koch, 4Cs Home Ties.
• Ladiester LaMaster, Horace Mann Elementary Family Resource Center.
• Lynette Jacoby, Social Service Director, Johnson County.
• Laura Martinez, Neighborhood Centers of Johnson County.
• Shannon Miner, Iowa City Community School District..
• Bruce Teague, CEO, Caring Hands & More.
• Heidi Cuda, Mid - Eastern Iowa Council on Chemical Abuse (MECCA).
• Roger Goedken, Successful Living.
• Jessica Greving, Residential Mortgage Network, Inc.
• Ray Truitt, Iowa Workforce Development.
• Mary Ann Pedde, Domestic Violence Intervention Project (DVIP).
• Dana Lehman, Children of Promise Mentoring Program.
• LaTasha Massey, Community Projects Specialist, Johnson County.
• Anthony Moore, Public Housing Tenant.
• Judith Bryant, HCV Program Participant.
• Cathy Fitzmaurice -Hill, Horizons Consumer Credit Counseling Ser-
vices.
• Christine Thompson, Kirkwood Community College, Iowa City Learning
Center.
• Royceann Porter, Shelter House.
Page 12
Annual Report — 2014
Promoting Self- Sufficiency
The lack of safe, decent, and affordable housing
undermines quality education, public health, and
economic growth. Affordable housing is a contrib-
uting factor to stabilizing families. Stable families are
better equipped to take advantage of educational
opportunities. With opportunities for and access to
advanced education and training, families increase
their employability. Sustainable employment offers
opportunities to attain self - sufficiency. Economic
self - sufficiency leads to a better society and
strengthens the "sense of community."
Through our Self - Sufficiency programs, the Housing Authority is helping low
income families bridge the economic gap by building assets, improving employ-
ment opportunities, and transitioning from renters of units to owners of homes.
The Family Self- Sufficiency (FSS) Program: Promotes self - sufficiency
and asset development by providing supportive services to participants to in-
crease their employability, to increase the number of employed participants, and
to encourage increased savings through an escrow savings program.
Current FSS Enrollment Data (1 /31/2014):
• Total FSS participants =126
• Participants with an escrow savings account = 94 (75 %)
• Average monthly escrow savings deposit
(participants with an escrow balance) = $185
• Average escrow savings account balance
(participants with an escrow balance) = $2,582
• Highest escrow savings account balance = $20,304
Workshop Accreditations:
• "A Framework for Understanding Poverty — Bridges out of Poverty ": Na-
tional Association of Social Workers Continuing Education (NASW CE)
Approved.
• "Money Smart ": Federal Deposit and Insurance Corporation (FDIC).
FSS Workshops Conducted:
• April 2013: Money and Self - Sufficiency. Collaborated with Hawkeye Com-
munity Action Program (HACAP).
Page 13
Annual Report — 2014
Promoting Self- Sufficiency (Continued)
April 2013: "ARC'S OF RESEARCHING AND APPLYING FOR A JOB IN
2013 ". Collaborated with Shelter House, Iowa Department of Community
Corrections, AmeriCoprs, WiderNet Project, City of Iowa City Human
Rights Commission, Successful Living, and Iowa Workforce Development.
November 2013: Resume and Job Application Workshops: Collaborated
with Iowa City Public Library, Shelter House, City of Iowa City Human
Rights Commission, Broadway Neighborhood Centers, and Successful Liv-
ing.
Homebuyer Education Conducted in Partnership with the Io-
wa City Area Association of Realtors:
• The Homebuyer Education program was developed by the Iowa City Area
Association of Realtors and the Iowa City Housing Authority. It is available
via the internet. Those completing the course receive a Mortgage Readi-
ness Certificate. The course is required for families interested in participat-
ing in the Housing Authority's homeownership programs.
FSS Homeownership: Through our FSS program, many families have used
their escrow savings accounts and private mortgages to attain homeownership
independent of the Housing Authority programs. Fifty -nine (59) FSS graduates
have moved to homeownership; forty-seven (47) independent of the Housing
Authority Homeownership programs and twelve (12) participated in Housing
Authority Homeownership programs.
Page 14
Annual Report — 2014
Promoting Homeownership
HCV Homeownership Program: Eligible participants have the option of
purchasing a home with their HCV assistance rather than renting.
• Thirty -Five (35) HCV Vouchers were used to purchase homes since
January 2003; Nineteen (19) HCV Vouchers are currently active.
Tenant -to- Ownership Program (TOP): The Tenant -to- Ownership
Program is funded by HUD. The TOP program offers opportunities for low to
very low- income families to purchase single - family homes owned by the Housing
Authority.
• Twenty -six (26) homes were sold and ten (10) resold since May 1998.
Affordable Dream Home Ownership Program (ADHOP): The
Affordable Dream Home Ownership Program is operated, managed and funded
solely by the ICHA. It offers opportunities for income eligible families to pur-
chase newly constructed or newer homes.
• Sixteen (16) homes (10 "Universal Design" homes) were built and sold
since May 1999.
UniverCity Neighborhood Partnership: The UniverCity Neighbor-
hood Partnership is a cooperative effort of the City of Iowa City and the Uni-
versity of Iowa focusing on neighborhoods located near the University campus
that retain a single - family character and a demand for single - family housing, but
that also have a large renter population.
In May 2011, the Iowa City Housing Authority provided $102,276 to UniverCity
for down payment assistance. From May 2011 — April 2013, the City of Iowa
City provided $82,276 in down payment assistance to 12 families.
In Calendar Year 2013, the Iowa City Housing Authority provided $150,000 to
the UniverCity program for the rehabilitation of 3 homes purchased by the City
of Iowa City.
In Calendar Year 2014, the Iowa City Housing Authority is providing $40,000 to
the UniverCity program for the rehabilitation of I homes purchased by the City
of Iowa City.
Page 15
Annual Report — 2014
Comparison of Calendar Year (CY) 2013 & 2014 Funding
The United States Congress allocates funding and passes laws for all housing
programs. The U.S. Department of Housing and Urban Development's (HUD)
role in the locally administered housing programs is to allocate money to local
housing authorities and to develop policy, regulations, and other guidance that
interprets housing legislation. The Actual Funds Received for CY13 and
Estimated Funding for CY 14:
Housing Choice Voucher Program CY 13
• Annual Contributions Contract = $6,377,564
• Self- Sufficiency /Homeownership Grant = $121,721
• Port -in Administrative Fees = $2,105
Public Housing CY 13
• Operating Subsidy = $238,457
• Rental Income = $184,165
• Capital Funds Program (CFP) _ $102,356
Fraud Recovery CY 13 = $58,422
Total Housing Authority Funding CY 13 = $7,084,790
Housing Choice Voucher Renewal CY 14 (Estimate)
• Annual Contributions Contract = $6,987,389
• Self- Sufficiency /Homeownership Grant = $119,673
Public Housing CY 14 (Estimate)
• Annual Capital Funds Program (CFP) _ $102,356
• Rental Income = $193,088
• Performance Funding System Operating Subsidy = $252,274
Total Housing Authority Funding CY 14 (Estimate) _ $7.654,780
Page 16
Annual Report — 2014
Iowa City Housing Authority (ICHA) income and cash sources.
The uses of the cash sources are based on relevant HUD notic-
es and signed agreements between the Housing Authority and
HUD.
Public Housing Operations
Under Section 9(3) of the Housing Act of 1937, Operating Funds are available
to the ICHA for the operation and management of the Public Housing program.
These funds assist the ICHA in bridging the gap between the rent collected and the
operating expenses of the program. Operating cash is only available for the use
and benefit of public housing units and residents.
Housing Choice Voucher (HCV) Administrative Fees
Administrative fees are available to the ICHA for the operation and management
of the HCV program. Starting January 31, 2004, HUD and Congress, through the
approval of the Annual Appropriations Act, restricted the use of administrative fee
income to activities related to the HCV tenant -based rental assistance and related
development activities (PIH Notice 2008 -15).
Housing Assistance Payments (HAP)
HUD provided funds to cover the housing subsidy paid to owners /landlords
directly by the ICHA on behalf of the participating family. The family pays the
difference between the actual rent charged by the landlord and the amount sub-
sidized by the program. Under certain circumstances, if authorized by the ICHA,
a family may use its voucher to purchase a modest home.
Housing Authority Capitol Fund Grants
HUD provides funds to the ICHA to improve the physical condition, upgrade
the management and operation, and carry out other activities for Public Housing
developments. Capital Funds are calculated and allocated by an established for-
mula.
Public Housing & HCV Family Self- Sufficiency (FSS)
The FSS program is a tenant self - sufficiency incentive program. ICHA establishes
cash accounts for tenants that will be available to the tenant with the accrued in-
come if the tenant completes the program. ICHA's contributions to these accounts
are funded by HUD through the Authority's regular funding process. FSS cash is
not available to ICHA for any other use.
Page 17
Annual Report — 2014
Affordable Dream Homeownership Program (ADHOP)
On September 3, 1993, the ICHA entered into a Section 5(h) Agreement with
HUD. The purpose of this program is to create affordable home ownership oppor-
tunities throughout Iowa City. This agreement authorizes the ICHA to sell Public
Housing units and use the sales proceeds to construct or purchase homes for reha-
bilitation to continue the cycle. To ensure affordability, the ICHA provides a se-
cond mortgage for the homeowners.
Broadway Sales Proceeds
ICHA received approval from HUD for the sale of 18 units at 1926 / 1946 Broad-
way Street. Per the approved plan submitted to HUD, the sales proceeds were to
be used for the development of 18 low density scattered site replacement units that
would be more efficiently and effectively operated as lower income housing. There
is no other permissible use of these funds per the agreement.
Public Housing Tenant Security Deposits
The ICHA holds security deposits until tenants vacant units. At that time, the ten-
ants receive a full or partial refund depending on such factors as remaining rental or
other charges outstanding and reimbursement of damage repairs. Tenant security
deposit cash is not available to ICHA for any other use.
HUD/Veterans' Affairs Supportive Housing
Tenant based rental assistance funds targeting homeless veterans participating in
VA Case Management Services.
Page 18
Annual Report — 2014
Partnerships and Community Collaborations
• University of Iowa School of Social Work.
• Women's Resource and Action Center (WRAC).
• Montessori School.
• Goodwill of the Heartland.
• Farmers & Merchants Bank.
• Habitat for Humanity.
• Iowa Women's Foundation.
• Iowa City Junior Service League.
• Shelter House STAR Program.
• Iowa State University (ISU) Extension.
• Liberty Bank.
• Iowa City Area Association of Realtors.
• Hawkeye Area Community Action Program (HACAP).
• Midwest One Bank.
• Foster Grandparents Program.
• The Housing Trust Fund of Johnson County (HTFJC).
• "Good Neighbors- Strong Neighborhoods ".
• Reclaiming Roots.
• City of Iowa City Parks & Recreation.
• City of Iowa City Neighborhood Services.
• Iowa City Public Library.
• Iowa City Human Rights Commission.
• Domestic Violence Intervention Project (DVIP).
• Johnson County Department of Public Health.
• Horizons Community Credit Counseling.
Current Homeownership Programs Lender List:
• Midwest One Bank
• Liberty Bank
• West Bank
• Farmers & Merchants Bank
• Cornerstone Mortgage
• Freedom Security
• U. S. Department of Agriculture
(USDA)
• American Bank & Trust
• Hills Bank
• Countrywide Home Loans
• UI Community Credit Union
• Habitat for Humanity
• Residential Mortgage Network
Page 19
Annual Report — 2014
4 iy
9sin
HORITY
410 E. Washington Street
Iowa City • Iowa • 52240.1826
We provide:
• Information and education,
• Housing assistance,
• Public and private partnership opportunities.
Phone: (319) 356 -5400
FAX: (319) 356 -5459
Web: www.icgov.org /icha
Page 20
PHA 5 -Year and U.S. Department of Housing and Urban OMB No. 2577 -0226
Development Expires 4/30/2011
Annual Plan I Office of Public and Indian Housing
1.0
PHA Information
PHA Name: Iowa City Housing Authority PHA Code: IA022
PHA Type: ❑ Small El High Performing ❑ Standard ❑ HCV (Section 8)
PHA Fiscal Year Beginning: (MM/YYYY): 07/2014
2.0
Inventory (based on ACC units at time of FY beginning in 1.0 above)
Number of PH units: 81 Number of HCV units: 1,215
3.0
Submission Type
❑ 5 -Year and Annual Plan El Annual Plan Only ❑ 5 -Year Plan Only
4.0
PRA Consortia ❑ PHA Consortia: (Check box if submitting a joint Plan and complete table below.)
No. of Units in Each
Participating PHAs
PHA
Program(s) Included in the
Programs Not in the
Program
PH
HCV
Code
Consortia
Consortia
PHA 1:
PHA 2:
PHA 3:
5.0
5 -Year Plan. Complete items 5.1 and 5.2 only at 5 -Year Plan update.
5.1
Mission. State the PHA's Mission for serving the needs of low- income, very low- income, and extremely low income families in the PHA's
jurisdiction for the next five years:
5.2
Goals and Objectives. Identify the PHA's quantifiable goals and objectives that will enable the PHA to serve the needs of low- income and very
low- income, and extremely low- income families for the next five years. Include a report on the progress the PHA has made in meeting the goals
and objectives described in the previous 5 -Year Plan.
6.0
PHA Plan Update
(a) Identify all PHA Plan elements that have been revised by the PHA since its last Annual Plan submission:
See attached memorandum dated April 18, 2013.
(b) Identify the specific location(s) where the public may obtain copies of the 5 -Year and Annual PHA Plan. For a complete list of PHA Plan
elements, see Section 6.0 of the instructions.
410 E Washington Street
Iowa City, Iowa 52240
http: / /www.icgov.org / ?id =1213
7.0
Hope VI, Mixed Finance Modernization or Development, Demolition and/or Disposition, Conversion of Public Housing, Homeownership
Programs, and Project -based Vouchers Include statements related to these programs as applicable.
8.0
Capital Improvements. Please complete Parts 8.1 through 8.3, as applicable.
81
Capital Fund Program Annual Statement/Performance and Evaluation Report. As part of the PHA 5 -Year and Annual Plan, annually
complete and submit the Capital Fund Program Annual Statement/Performance and Evaluation Report, form HUD- 50075.1, for each current and
open CFP grant and CFFP financing.
8 2
Capital Fund Program Five -Year Action Plan. As part of the submission of the Annual Plan, PHAs must complete and submit the Capital Fund
Program Five -Year Action Plan, form HUD- 50075.2, and subsequent annual updates (on a rolling basis, e.g., drop current year, and add latest year
for a five year period). Large capital items must be included in the Five -Year Action Plan.
8.3
Capital Fund Financing Program (CFFP).
❑ Check if the PHA proposes to use any portion of its Capital Fund Program (CFP)/Replacement Housing Factor (RHF) to repay debt incurred to
finance capital improvements.
Page I of 2 form HUD -50075 (4/2008)
9.0
Housing Needs. Based on information provided by the applicable Consolidated Plan, information provided by HUD, and other generally available
data, make a reasonable effort to identify the housing needs of the low- income, very low- income, and extremely low- income families who reside in
the jurisdiction served by the PHA, including elderly families, families with disabilities, and households of various races and ethnic groups, and
other families who are on the public housing and Section 8 tenant -based assistance waiting lists. The identification of housing needs must address
issues of affordability, supply, quality, accessibility, size of units, and location.
City Steps 2011 - 2015 identified elderly, small related, large related, & all other households, renters /owners
=80% MFI & cost burdened at >30% & >50% as High Priority Needs.
9.1
Strategy for Addressing Housing Needs. Provide a brief description of the PHA's strategy for addressing the housing needs of families in the
jurisdiction and on the waiting list in the upcoming year. Note: Small, Section 8 only, and High Performing PHAs complete only for Annual
Plan submission witb the 5 -Year Plan.
10.0
Additional Information. Describe the following, as well as any additional information HUD has requested.
(a) Progress in Meeting Mission and Goals. Provide a brief statement of the PHA's progress in meeting the mission and goals described in the 5-
Year Plan.
On a calendar &/or fiscal year basis, the ICHA achieves a minimum of 98% of budget authority &/or voucher
utilization & lease -up rates for Public Housing. The ICHA scores for SEMAP & PHAS are High Performer. In
partnership with the local Veterans Hospital, we operate a HUD -VASH rental assistance program. The FSS
program maintains an average enrollment of 150 families & 68% of those families have an escrow savings
account. Through the ICHA's FSS & Homeownership programs, 131 families have become homeowners
since 1998.
(b) Significant Amendment and Substantial Deviation/Modification. Provide the PHA's definition of "significant amendment" and "substantial
deviation/modification"
federal statutory or regulatory change is made effective and, in the opinion of the Authority, has either
substantial programmatic or financial effects on the programs administered by the Authority, or creates
substantial obligations or administrative burdens beyond the programs under administration at the start of the
Ian year.
11.0 Required Submission for HUD Field Office Review. In addition to the PHA Plan template (HUD- 50075), PHAs must submit the following
documents. Items (a) through (g) may be submitted with signature by mail or electronically with scanned signatures, but electronic submission is
encouraged. Items (h) through (i) must be attached electronically with the PHA Plan. Note: Faxed copies of these documents will not be accepted
by the Field Office.
(a) Form HUD- 50077, PHA Certifications of Compliance with the PHA Plans and Related Regulations (which includes all certifications relating
to Civil Rights)
(b) Form HUD- 50070, Certification for a Drug -Free Workplace (PHAs receiving CFP grants only)
(c) Form HUD- 50071, Certification of Payments to Influence Federal Transactions (PHAs receiving CFP grants only)
(d) Form SF -LLL, Disclosure of Lobbying Activities (PHAs receiving CFP grants only)
(e) Form SF- LLL -A, Disclosure of Lobbying Activities Continuation Sheet (PHAs receiving CFP grants only)
(f) Resident Advisory Board (RAB) comments. Comments received from the RAB must be submitted by the PHA as an attachment to the PHA
Plan. PHAs must also include a narrative describing their analysis of the recommendations and the decisions made on these recommendations.
(g) Challenged Elements
(h) Form HUD- 50075.1, Capital Fund Program Annual Statement/Performance and Evaluation Report (PHAs receiving CFP grants only)
(i) Form HUD- 50075.2, Capital Fund Program Five -Year Action Plan (PHAs receiving CFP grants only)
Page 2 of 2 form HUD -50075 (412008)
r
CITY OF IOWA CITY
Th MEMORANDUM
DATE: April 18, 2013
TO: Tom Markus
FROM: Doug Boothroy, Director, Housing and Inspection Services and Steven J. Rackis,
Housing Administrator
SUBJECT: Updates and amendments to the Iowa City Housing Authority's Housing Choice
Voucher (HCV) Administrative Plan and Admissions and Continued Occupancy
(ACOP) Plan
INTRODUCTION:
The purpose of the HCV Administrative Plan is to:
• Establish policies for issues not covered under Federal regulations for the Section 8 Voucher, and
Family Self-Sufficiency programs;
• Govern administration of the Section 8 Voucher and Family Self - Sufficiency programs;
• Ensure conformance with HUD regulations. The Authority will comply with any subsequent
changes in HUD regulations pertaining to program administration. If such changes conflict with
the provisions of this policy, HUD regulations will have precedence.
ACOP defines the Iowa City Housing Authority's policies for the operation of the Public Housing
Program, incorporating Federal, State and local law. If there is any conflict between this policy and laws
or regulations, the laws and regulations will prevail.
HISTORY/BACKGROUND:
City Council is the governing board of the Iowa City Housing Authority. "Significant amendments" and
"substantial deviations /modifications" to the HCV Administrative Plan and ACOP require the approval of
City Council.
When City Council established the Housing and Community Development Commission (HCDC), the
duties included "review policies and programs of the Public Housing Agency and Community
Development Division and make recommendations regarding the same to the City Council ". On March 7,
2013, HCDC reviewed and approved the following changes with one modification in the Tenant Selection
criteria - expand Burglary in the 2nd Degree or higher to Burglary 3`d Degree or higher (non- automotive
related). This change is included in the following recommendations.
RECOMMENDATION:
The Iowa City Housing Authority and HCDC are proposing changes to the Housing Choice Voucher
(HCV) Administrative Plan and Admissions and Continued Occupancy (ACOP) Plan.
1. Proposed changes to HCV Section 4.8 /ACOP Section 8.4 Family/Tenant Selection Criteria:
Under federal regulations found at 24 CFR 982.552 and 24 CFR 960.204, the Housing Authority must
deny certain applicants and it has the discretion to deny others based on certain actions or inactions by
family members. The Housing Authority proposes the following changes to our selection criteria that falls
into the may deny category (complete HCV and ACOP selection criteria are attached):
Modify:
Add clarification that our policies for denial of assistance includes all laws enacted at every
governmental level for the following criminal activity:
➢ Criminal Street Gang Activity as defined in Chapter 723A of the Iowa Code or any
federal, state, or city law that substantially corresponds to this section;
➢ Theft in the 3`d degree or higher or fraudulent practice in the 3`d degree or higher as
defined in Chapter 714 of the Iowa Code or any federal, state, or city law that
substantially corresponds to this section;
➢ Forgery or fraudulent criminal acts as defined in Chapter 715A of the Iowa Code or
any federal, state, or city law that substantially corresponds to this section;
➢ Burglary in the 3 degree or higher (non- automotive related), as defined in Chapter
713 of the Iowa Code or any federal, state, or city law that substantially corresponds
to this section;
➢ Disorderly conduct as defined in Section 8 -5 -1 of the City Code or section 723.4 of
the Iowa Code or any federal, state, or city law that substantially corresponds to this
section; If the activity constitutes violent criminal behavior.
2. Proposed changes to HCV Section 10.1 Acceptable Methods of Verification /ACOP 12.0
Verification:
Housing and Urban Development (HUD) published NOTICE PIH 2013 -03 (HA) on January 22,
2013. This notice establishes guidelines intended to simplify the income determination and rent
calculation process, which, together, should reduce Housing Authority staff burden and lower
Housing Authority operating costs. If approved, the following changes will remain in effect until the
HUD established deadline of March 31, 2014, or if HUD extends the deadline or HUD makes the
changes permanent.
Add:
The Housing Authority will accept a family's declaration of the amount of assets less than $5,000,
and for the amount of income expected to be received from those assets. The Tenant Information
Packet will serve as the declaration.
If the family has net family assets in excess of $5,000, the PHA will obtain supporting documentation
(SEE 10.2 Types of Verification) from the family to confirm the assets.
°l-If.I'll �)
Prepared by: Steven J. Rackis, ICHA Administrator 410 E. Washington St., Iowa City, IA 52240; 319 -887-
6065
RESOLUTION NO. 14 -91
RESOLUTION TO ADOPT THE IOWA CITY HOUSING AUTHORITY'S
ANNUAL PLAN FOR FISCAL YEAR 2014
WHEREAS, the City Council of the City of Iowa City functions as the Iowa City Housing Authority and the
Department of Housing and Urban Development requires adoption of an updated Annual Plan; and,
WHEREAS, the Iowa City Housing Authority is required to update the Annual Plan under the Quality
Housing and Work Responsibility Act of 1998 ( "QHWRA "); and,
WHEREAS, the Annual Plan is submitted yearly; and,
WHEREAS, the Annual Plan is a comprehensive guide to the Iowa City Housing Authority's policies,
programs, operations and strategies for meeting local housing needs and goals;
WHEREAS, The Annual Plan also serves as the annual application for grants to support improvements to
public housing buildings (Capital Fund Program);
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY,
IOWA, THAT:
1. The Iowa City Housing Authority's Annual Plan for Fiscal Year 2014 is approved.
2. The City Clerk is hereby authorized and directed to certify appropriate copies of this resolution
together with any necessary certification as may be required by the Department of Housing and
Urban Development.
Passed and approved this 15th day of April
MAYOR
ATTEST:���,,]
CITY CLERK
2014.
Approved by
r ct~ � - (y-
City Attorney's Office
Resolution No. 14 -91
Page 2
It was moved by Mims and seconded by Dobyns the
Resolution be adopted, and upon roll call there were:
AYES:
x
x
x
x
x
x
x
NAYS:
FA
Botchway
Dickens
Dobyns
Hayek
Mims
Payne
Throgmorton
J-
4c(7)
Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030
RESOLUTION NO. 14 -92
RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO
ATTEST TO THE RELEASE OF THE SUBDIVIDER'S AGREEMENT FOR THE
PROPERTY LOCATED AT 1417 OAKLAWN AVENUE, IOWA CITY, IOWA.
WHEREAS, Fannie Mae is requesting that a release be recorded for improvements to 1417
Oaklawn Avenue under the subdivider's agreement;
WHEREAS, although Whiting Addition Part Three was subdivided in the late 1950's, the
abstract does not show that this lot was released, and the City has no such record either;
WHEREAS, the subdivider's agreement does not authorize the mayor to sign a release; and
WHEREAS, all improvements under the subdivider's agreement have been constructed and
this property should be released.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, IOWA, THAT:
The Mayor is authorized to sign and the City Clerk to attest the attached release
whereby the City does release the property located at 1417 Oaklawn Iowa City, Iowa
from an agreement recorded at Book 189, Page 222 of the Johnson County Recorder's
Office.
2. The City Clerk is authorized and directed to certify a copy of this resolution for
recordation in the Johnson County Recorder's Office, together with the attached
Release of Agreement, said recording costs to be paid by the City.
Passed and approved this 15th day of April , 2014.
MAYOR
ATTEST: 2A",,2 .
CITY tLERK
Approved by
City Attorney's Office
't--5 -t�-
Resolution loo. 14 -92
Page 2
It was moved by Mims 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
Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319)356 -5030
Return to: Same
RELEASE OF AGREEMENT
The City of Iowa City, Iowa does hereby release the property at 1417 Oaklawn Avenue, Iowa
City, Iowa, and legally described as follows:
Lot 34, Part Three, Whiting Addition to the City of Iowa City, Johnson County,
Iowa, according to the plat thereof
from an agreement recorded at Book 189, Page 222 of the Miscellaneous Records of the Johnson
County Recorder's Office.
CITY OF IOWA CITY, IOWA
By; )-p 24 , �7) 44--
Mathew J. Hayek, Mayor
By: 2?wrj�2
Marian K. Karr, City Clerk
STATE OF IOWA )
)ss:
JOHNSON COUNTY )
On this I -d' \day of f' I , 2014, before me, the undersigned, a Notary Public in and for said
County and State, persona ly appeared Mathew J. Hayek and Marian K. Karr, to me personally known, who
being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal
corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said
municipal corporation; that said instrument was signed and sealed on behalf of said municipal corporation
by authority of City Council of said municipal corporation; and that the said Mathew J. Hayek and Marian
K. Karr acknowledged the execution of said instrument to be the voluntary act and deed and said municipal
corporation, by it and by them voluntarily executed.
�,,�iAts KELLIE K. TUTTLE
P Commission Number 221819 Notary Public in and for the State of Iowa
j Pi; C issi n Expires
tori�4 �
04-15-14
4c(8)
Prepared by: Melissa Clow, Special Projects Administrator, 410 E. Washington St., Iowa City, IA 52240 319 - 356 -5413
RESOLUTION NO. 14 -93
RESOLUTION ACCEPTING THE WORK FOR THE IOWA CITY PUBLIC
WORKS WARM STORAGE BUILDING PROJECT
WHEREAS, the Engineering Division has recommended that the work for construction of the
Iowa City Public Works Warm Storage Building Project, as included in a contract between the City
of Iowa City and Septagon Construction Company, Inc. of Cedar Rapids, Iowa, dated August 21,
2012, be accepted; and
WHEREAS, the Engineer's Report and the performance and payment bond have been filed in the
City Engineer's office; and
WHEREAS, funds for this project are available in the Warm Storage Building, Napoleon Park
Public Works account # 3970; and
WHEREAS, the final contract price is $228,523.00.
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 15th day of April , 20 14
MAYOR
Approved by
ATTEST:
CITY CEERK tity Attorney's Office q(rll,,
It was moved by Mims and seconded by Dobyns the Resolution be
adopted, and upon roll call there were:
AYES:
x
x
x
x
x
x
x
Pweng /masters /acptwork.doc
4/14
NAYS:
ABSENT:
Botchway
Dickens
Dobyns
Hayek
Mims
Payne
Throgmorton
ENGINEER'S REPORT
April 2, 2014
City Clerk
City of Iowa City, Iowa
Re: Iowa City Public Works Warm Storage Building Project
Dear City Clerk:
I
-" - 4
lli A
4
CITY OF IOWA CITY
410 East Washington Street
Iowa City, Iowa 52240 -1826
(319) 356 -5000
(319) 356 -5009 FAX
www.icgov.org
I hereby certify that the construction of the Iowa City Public Works Warm
Storage Building Project has been completed by Septagon Construction
Company, Inc. of Cedar Rapids, Iowa in substantial accordance with the plans
and specifications prepared by Kueny Architects of Kenosha, WI.
The project was bid as a lump sum contract and the final contract price is
$228,523.00.
There were a total of three change orders for the project as described below:
1. Value Engineering of the building $ (14,582.00)
2. Materials and Labor for HVAC installation $ 32,580.00
3. Extension of Contract for MidAmerican gas installation $ 1,640.00
TOTAL $ 19,368.00
I recommend that the above - referenced improvements be accepted by the City
of Iowa City.
Sincerely,
Ronald R. Knoche, P.E.
City Engineer
CITY OF IOWA CITY 4c(9)
M EMORANDUM
Date: April 9, 2014
To: Tom Markus, City Manager
From: Geoff Fruin, Assistant City Manager
Re: Design Services Agreement for the Downtown Streetscape Project
Background:
The City Council formally adopted the Iowa City Downtown and Pedestrian Mall Master
Plan on March 25, 2014. Included with the plan was a 2014 implementation strategy
that included design work, and various 'quick start' projects that were selected to
address critical maintenance needs, inform future improvements and complete actions
that were widely supported in public meetings during the planning phase. Staff is
recommending approval of a contract for design services with Genus Landscape
Architects that will aid in achieving the goals and objectives of the master plan. Genus
was selected through a competitive process for the master planning phase of this
project. Staff was pleased with Genus' performance during that phase and recommends
continuing with them in the design phase. Their involvement in the master plan will
undoubtedly aid the City in developing designs that reflect the public and stakeholder
input that was collected over the past year.
Contract Overview:
The contract includes a variety of professional design services. The bulk of the
$247,250 can be attributed to schematic design services for Washington Street (Clinton
to Linn), Dubuque Street (Iowa to the Pedestrian Mall) and the Pedestrian Mall / Black
Hawk Mini Park in its entirety. Completion of schematic design will place the City in a
position to move forward quickly should the City Council wish to initiate a streetscape
project or should a large private redevelopment project provide an opportunity to
upgrade the streetscape in a manner consistent with the master plan. The next stage
after schematic design is detailed design, which includes the preparation of construction
documents. This contract does not include any detailed design services. At this time, it
is staffs expectation that a second contract for the detailed design of the Pedestrian
Mall and Black Hawk Mini Park will be drafted for Council consideration later in 2014.
Also, included in this contract is an urban tree evaluation for portions of the downtown
and the Pedestrian Mall. Staff feels that a third party expert evaluation of urban tree
conditions is critical. Such an evaluation will help the City and design team understand
the health and life expectancy of our existing trees. This information will guide decisions
on tree removal, preservation, trimming and planting. Other expenses in the contract
include necessary design work for a select number of quick start projects, including the
replacement of the playground surface in the Pedestrian Mall and selection of a covered
bike parking facility. Finally, the contract includes a $10,000 allowance for design
collaboration with an artist that will be selected to conceptualize a feature public art
piece near the Dubuque and Washington intersection and Black Hawk Mini Park. Staff
is currently considering options for securing an artist and is exploring the interest level
of University of Iowa School of Art faculty as well as considering a more traditional call
for artists.
April 9, 2014
Page 2
Financial Impact:
The contract in front of the City Council is a not to exceed amount of $247,250. Funds
are available in the approved 2014 Capital Improvement Plan and the charges generally
conform with those estimated in the master plan. At this time, staff anticipates that a
second contract for detailed design services of the Pedestrian Mall / Black Hawk Mini
Park may be developed later in 2014. This second contract will put the City in a position
to bid the project and perhaps begin construction work in 2015. As a reminder, the
approved FY 2015 budget does not include funds to construct improvements. As staff
reviews the budget in the fall of 2014, we will evaluate whether construction of the
project is financially feasible before making a recommendation to the City Council.
Recommendation:
Staff recommends approval of the professional design services contract with Genus
Landscape Architects. This is a critical step in the 2014 implementation plan and will
allow the City to move forward with designs for high priority locations that were identified
in the plan.
Prepared by: Geoff Fruin, Assistant City Manager, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5014
RESOLUTION NO. 14 -94
A RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST A
DESIGN SERVICES AGREEMENT WITH GENUS LANDSCAPE ARCHITECTS (DES MOINES, IA) FOR
PROFESSIONAL DESIGN SERVICES ASSOCIATED WITH THE DOWNTOWN STREEETSCAPE AND
PEDESTRIAN MALL PROJECT
WHEREAS, the City of Iowa City's strategic plan includes a strong urban core as a high priority
item of the City Council; and
WHEREAS, the City of Iowa City initiated a streetscape planning effort for the downtown area in
2013; and
WHEREAS, in furtherance of that effort, the City retained the consulting services of Genus
Landscape Architects to draft the Iowa City Downtown Streetscape and Pedestrian Mall Master
Plan, which the City Council formally adopted the on March 25, 2014; and
WHEREAS, the City has an interest in ensuring that future investments in the downtown area are
well coordinated and work together toward the common vision established in the master plan
document; and
WHEREAS, the City's FY 2015 Capital Improvement Budget contains $1,000,000 for
implementation of the quickstart projects that are listed in Chapter 8 of the Master Plan; and
WHEREAS, in order to effectively carryout the implementation strategy it is in the best interest of
the City to contract for professional design services; and
WHEREAS, the City will benefit immensely from the project specific knowledge and expertise
gathered by Genus Landscape Architects during the planning phase of streetscape project.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, THAT:
1. The attached design services agreement between the City of Iowa City and Genus
Landscape Architects is hereby approved as to form and content.
2. The Mayor and City Clerk are hereby authorized and directed to execute and attest the
attached agreement.
3. The City Manager is authorized to execute amendments to the agreement attached
hereto as they may become necessary during the development of the design phase.
Passed and approved this 15th day of Ayril , 20 14
MAYOR
Approved by
ATTEST: lcJi 9 lC ct
CITY CLERK City Attorney's Office y q, i4
Resolution No. 14 -94
Page 2
It was moved by Mims 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 Tbrogmorton
genus
[ landscape architects ]
325 EAST 5TH STREET
DES MOINES, IA 50309
T 515 284 1010
April 8, 2014
Mr. Geoff Fruin
Assistant City Manager
410 E Washington Street
Iowa City, IA 52240
E: Geoff -Fruin @iowa- city.org
RE: Professional Services Proposal
Iowa City Downtown Streetscape + Pedestrian Mall
Phase One Design Services
Mr. Fruin:
The professional consulting firm of genus is pleased to submit the
following professional services proposal for design services associated
with Phase One improvements to Downtown Iowa City's Streetscape and
Pedestrian Mall. The attached proposal outlines the specific tasks, work
plan and fees.
To complete the work, the following roster of highly qualified consultants
is offered for your consideration:
Landscape Architect
Urban Design Peer Review
Wayfinding + Branding
Lighting Design
Architect
Urban Tree Evaluation
Civil Engineering
Structural Engineering
Electrical Engineer
Weather Dance Plaza Artist
BHMP Public Artist
Genus Landscape Architects
StudiolNSITE
ArtHouse Design
Schuler Shook
Neumann Monson Architects
Gary Johnson I University of Minnesota
MMS Consultants
Raker Rhodes Engineering
KCL Engineering
Myklebust + Sears
To be selected with Client
If this proposal meets expectations, please return a signed agreement to
my attention. On behalf of the Genus Team, we look forward to
collaborating with you, City staff, and stakeholders on these meaningful
projects.
Respectfully submitted,
Brett Douglas, PLA, SLA, CLARB
Principal
WWW.GENUS- LA.COM I E: BDOUGLAS @GENUS- LA.COM
arvc City Phase One
Page 2 w 15
April 8,11014
PART 1
The firm of genus, hereinafter referred to as the Consultant, subject to the
approval and acceptance of this proposal by the City of Iowa City,
hereinafter referred to as the Client, agrees to provide Professional Services to
the Client as set forth below:
PROJECT NAME
Iowa City Downtown Streetscape + Pedestrian Mall
Phase One Design Services
Task 1 Urban Tree Evaluation
Task 2 Quick Start Projects
Task 3 Washington Street and Dubuque Street Schematic Design
Task 4 Pedestrian Mall and Black Hawk Mini Park Schematic Design
Task 5 Black Hawk Mini Park Public Art Collaboration
II. ASSUMPTIONS
A. Projects will be documented and bid separately, as determined by
evaluation of budgets and fundraising efforts.
B. A digital survey shall be provided by the Client prior to the start of
design work on streetscapes and the pedestrian mall.
111. PROFESSIONAL SERVICES
The Consultant shall coordinate the work and ongoing communication
with the Client throughout the timeline of the Projects to provide the
following services.
TASK 1 URBAN TREE EVALUATION
A. TREE EVALUATION
Evaluation of +/- 150 trees in Iowa City. The evaluation to include:
identification of the trees, sizing of the trees as closest d.b.h. inch,
condition rating of the tree canopy and tree trunk using the University
of Minnesota's 4 -point condition rating system with defects noted, a
narrative for each tree that addresses its relative health and ability to
tolerate the proposed construction activities and subsequent
damage to the trees as well as predicted stability issues and
maintenance requirements, recommendations for which trees should
be removed in light of the activities and relative state of health and
condition via standard visual assessment protocol.
All trees will be assigned a GPS coordinate, data will be linked and
exported into a GIS compatible file. This process will be managed by
Genus, with direct field oversight during tree evaluation field work.
Study Area
Pedestrian Mall
Clinton Street [ between Burlington Street and Iowa Avenue J
Washington Street [ between Clinton Street and Linn Street J
Iowa City Phase One
Pace 3 of 15
Huril8, 2014
Dubuque Street [ between Washington Street and Iowa Avenue ]
Meetings
Two (2) progress meetings with client via telephone.
One (1) final review meeting via telephone after submission of the
analysis.
Deliverable
Data to be assembled in a matrix format, an Excel spreadsheet or
equivalent. One electronic file of the analysis and hard copy report
will be submitted to the Client. A brief report will accompany the
matrix, outlining inventory process, evaluation criteria, methodology
and recommendations. The Client will be provided with a GIS
compatible file that references tree locations and associated data.
Schedule
April - May 2014
TASK 2 QUICK START PROJECTS
2.1 Pedestrian Mall Playground Surface Enhancement
Provide full design services, including construction documents, bid
phase services, and construction administration services for removal
and replacement of the existing playground rubberized surfacing
and subbase. Design documentation will utilize the new site survey
currently being prepared by MMS Consultants.
A. PROGRAMMING MEETING
1. Define Client requirements for design.
2. Understand relationships between spaces, daily user needs,
special events criteria and identify core criteria for design.
3. Meet with Client to understand facility needs and functional
goals. Gather and analyze information, identify programmatic
strategies, and establish quantitative requirements.
4. Understand ADA and playground safety requirements prior to
detailed design work.
B. DESIGN PHASE
1. Prepare design and pricing drawings to define design intent and
vision of the projects based on direction approved by the Client
at the conclusion of the programming phase.
Design documents shall include:
° Site Demolition Plan
° Site Materials and Layout Plan
• Site Grading Plan
• Details to convey design intent and for pricing
2. Design presentation to Client to convey overall design,
materiality, and design goals.
Iowa City Phase One
Page 4 of 15
April 8, 2014
C. BID PHASE
1. Prepare the necessary material for a competitive quote of the
project. The Client shall represent the project as required for Parks
Board and /or City Council informational presentations.
2. Respond to contractor questions and answer RFIs as necessary.
3. Assist with bid tab, bid evaluation and recommendation to
Council, as needed.
D. CONSTRUCTION DOCUMENTS
Develop the Client- approved Design Documents into a set of
construction drawings and specifications which will serve as the
Contract Documents. These documents will include:
° Site Demolition Plans
° Site Layout and Materials Plans
° Site Grading Plans
• Site Details
• Construction Specifications
E. CONSTRUCTION CONTRACT ADMINISTRATION
Provide services necessary for the administration of the
construction contract as set forth in the General Conditions of the
Contract for Construction. Services will consist of: Pre -
Construction, Construction, Substantial Completion and Closeout
Conference. The City shall provide playground inspection
services to review code compliance of playground equipment
during and after play surface installation.
F. PRE - CONSTRUCTION
1. Establish administrative procedures
2. Review contractor schedules with Contractor
3. Review general contractor requirements with Contractor
4. Review quality control procedures with Contractor
5. Review allowances /contingencies with Contractor
G. DURING CONSTRUCTION
1. Conduct scheduled visits
2. Participate in project meetings
3. Issue site observation reports
4. Send /respond to RFIs
5. Review contractor submittals
b. Review pay applications with Contractor
7. Monitor progress and quality of work
8. Review testing and inspection reports
9. Review change orders with City and Contractor
H. SUBSTANTIAL COMPLETION
1. Inspect project for substantial completion
2. Review contractor punch lists
3. Prepare certificate of substantial completion
Iowa City Prase One
Page 5 of 15
April 8, 2014
I. CLOSEOUT CONFERENCE
1. Review closeout documents
J. FINAL COMPLETION
1. Review contractor notice of final completion
2. Inspect project for final completion
Meetings
# 1 Programming
#2 Design Presentation / Review
#3 Pre - Construction Meeting [ if necessary ]
#4-9 Construction Administration [ maximum of 5 visits ]
Tentative visit outline:
Visit #4: Site Preparation /Demolition
Visit #5: Concrete Subbase Pour
Visit #6: Base Prep [ gravel and insulation ]
Visit #7: Surface Pour
Visit #8: Closeout
Deliverables
Design plans, probable cost opinion, competitive quote
documents and specifications. Documentation on competitive
quote services and construction phase services.
Schedule April - August 2014
2.2 Site Amenity Consulting
Assist the Client with selection and specifying of sheltered bike
parking as identified in the Downtown Streetscape + Pedestrian Mall
Master Plan Update, across Downtown for Summer 2014 installation.
Meetings
# 1 Review and map locations with Client
Deliverables
Product cut sheets, character rendering, and cost
material from manufacturer.
Prepare design and pricing drawings to define design intent and
vision of the project based on direction approved by the Client.
Schedule April - June 2014
2.3 Iowa Avenue Tree Grates and Literary Walk Maintenance Related
Enhancements
The Consultant will provide detailed inventory of existing tree grate
and related pavement. Design development level drawings will
be produced for specific installation details as required to
implement recommendations that can be replicated throughout
Downtown. The anticipated construction budget for this scope is
approximately $75,000 worth of improvements. At this time it is
anticipated that City staff will install improvements based on
Consultant recommendations and drawings. Where necessary, a
competitive bid process will be utilized for construction. The
ewo City Phase One
Page 5 or 15
April 0, 2014
Consultant will provide the necessary information for contractors to
bid the project.
Meetings
#1 Site Inventory + Reporting
#2 On -site review with Client
#3 Construction Administration Visit
Deliverables
Site inventory, photo analysis, and recommendations summary.
Design development level drawings of recommendations to guide
City staff with installation of improvements and to facilitate
competitive bids, as necessary.
Schedule April - July 2014
2.4 Pedestrian Mall Lighting and Plant Rail Mock Up
Utilizing design information prepared in the schematic design
phase for the Pedestrian Mall, the Consultant shall facilitate a
temporary installation for design options associated with site
lighting and decorative rail around tree planting area.
Lighting [ pedestrian scale, tree lighting, and ambiance ]
Working with the lighting designer, the Consultant will create
schematic design level drawings and supporting information to
guide the purchase and /or lease of lights to create an
installation(s) within the Pedestrian Mall to exhibit physical lighting
recommendations. The Consultant shall coordinate product
specification, ordering, and installation, as directed and approved
by the Client.
Plant Rail
The Consultant will create schematic design level drawings and
supporting information as necessary to guide installation of a
maximum of two planter rail systems in the Pedestrian Mall.
Coordination of material selection, contractor selection,
construction administration, and shop drawing review
are part of this scope. Specific location and design will be
coordinated with the Client.
Lighting Meetings
# 1 Contractor Coordination Meeting
#2 Review of Light Installation with Lighting Designer and Client
#3 Review of modified lighting- if required
Plant Rail Meetings
#1 Contractor Coordination Meeting
#2 Review of installations) with Client
Deliverables
Design plans, probable cost opinion, schematic level design
drawings to guide purchasing and installation of materials.
Schedule April - September 2014
owa %.ify Phase One
Page 7 of 1;
April F. 2014
TASK 3 SCHEMATIC STREETSCAPE DESIGN
3.1 Washington Street and Dubuque Street
The Consultant shall prepare a schematic streetscape design for
Washington Street [ Clinton Street to Linn Street j and Dubuque
Street [ Iowa Avenue to Washington Street ]. The design will consider
the existing site conditions, current and future projects, public input,
user needs, maintainability, tree evaluation, and previous studies.
3.2 Client Committee Meeting - Goals, Strategy, Info. Gathering
The Consultant will meet with the Client Committee and
representatives of City staff to establish their current views on the
goals and objectives to be accomplished in the design of the
streetscape. This meeting will also be an opportunity to confirm
strategy and schedule, as well as gather existing project plans,
maps, aerial photographs, studies, and related materials from the
City.
A. Client Committee Meeting #1
B. Prepare and distribute meeting notes within one week
3.3 Site Investigation and Analysis Utilizing Site Survey and Utilities
Analysis from Master Plan
The Consultant team will perform site investigation and utility analysis
of existing conditions, including but not limited to overhead utility
lines, signage, crosswalks, traffic signalization, lighting, vegetation,
pavement, sidewalks, site furnishings, drainage, architectural
patterns, existing cafe locations, ADA threshold issues, and adjacent
land use conditions.
3.4 Client Committee Meeting + Technical Workshop - Design Direction
The Consultant will meet with the Client Committee to develop
preliminary design direction as it relates to street section, materials,
utilities, amenities, maintenance, detailing, standards and safety.
This information will guide design plans throughout the project. This
task may be conducted during a single day of scheduled meetings,
or as independently scheduled meetings.
The Consultant will present design concepts and precedent
material.
A. Client Committee Meeting #2
B. Technical Workshop
C. Prepare and distribute meeting notes within one week
3.5 Draft Schematic Design Plan
Utilizing input from the Client meetings, The Consultant will prepare
schematic design level drawings for proposed enhancements.
Drawings shall include layout, paving materials, landscaping, street
furniture, signage, and utility modifications - including coal chutes,
lighting, drainage solutions, cafe layouts, ADA analysis and strategy
- specifically as they relate to cross walks and building entries.
A. Draft schematic streetscape plans
log ^;a Cav Phase One
Page 5 of 5
Ap.!�,2 i
3.6 Budget Controls
The Consultant will prepare preliminary cost estimates for the
schematic design plans. The presentation shall include alternatives
for various funding levels, giving the project flexibility to be resolved
in future design phases.
A. Preliminary cost opinion for streetscape improvements, including
costs associated with phasing scenario alternatives.
3.7 Client Committee Meeting — review of designs and cost opinions
The Consultant will meet with the Client Committee to review the
designs and cost estimates. Based upon input from this meeting, the
Consultant shall further refine the designs and cost estimates.
A. Client Committee Meeting #3
B. Refine designs and cost estimates
C. Prepare and distribute meeting notes within one week
3.8 Stakeholder Meeting with Business Owners and Property Owners
The Consultant will present both the schematic design proposal for
the streetscapes to merchants, property owners and business
associations to gather additional input. The presentation shall
identify alternatives for various funding levels.
A. Stakeholder Meeting
B. Prepare and distribute meeting notes within one week
3.9 Finalization of Schematic Design and Cost Opinions
The Consultant will update the schematic design and cost
estimates based on input received at the Stakeholder Meeting.
Graphic presentation material will be updated to align with the
proposed plans.
3.10 Client Committee Meeting - review of designs and next steps
The Consultant will meet with the Client Committee to review the
designs and cost estimates. Based upon input from this meeting, the
Consultant shall further refine the designs and cost estimates as
needed. This meeting will draw closure to the schematic design
process and define next steps.
A. Client Committee Meeting #4
B. Refine designs and cost estimates
C. Prepare and distribute meeting notes within one week
Deliverables
Schematic design plans, probable cost opinion, meeting minutes,
Summary report booklet to capture process and recommendations
to guide a future design development process.
Schedule May- October 2014
Iowa City Phase One
Page 9 of 15
April 8, 2014
TASK 4 PEDESTRIAN MALL -SCHEMATIC DESIGN
4.1 The Consultant shall prepare a schematic design for the Pedestrian
Mall, including Black Hawk Mini Park. The design will consider the
existing site conditions, current and future projects, public input, user
needs, maintainability, and previous studies.
4.2 Client Committee Meeting [ Goals + Strategy ]
The Consultant will meet with the Client Committee and
representatives of City staff to establish their current views on the
goals and objectives to be accomplished by the design. This
meeting will also be an opportunity to confirm strategy and
schedule. Information learned from the Urban Tree Evaluation will
be summarized.
A. Client Committee Meeting # 1
B. Prepare and distribute meeting notes within one week
4.3 Inventory Phase and Programming
The Consultant shall perform site investigation and analysis of existing
conditions as needed for specific areas of work, including but not
limited to signage, lighting, irrigation, vegetation, pedestrian
pavement, site furnishings, drainage, fire lanes, current cafe
locations, ADA threshold issues, and adjacent land use conditions.
The Consultant will review relevant data, site and utility surveys,
zoning, current and future projects, and applicable studies.
Anticipated Meetings [ including, but not limited to ]
Meetings
#1 Irrigation - meet with City maintenance and Parks Staff to
better understand specific issues related to watering plant
material and general maintenance.
#2 Stage Architecture - meet with the City, Summer of the Arts,
Sheraton Hotel and ICDD to understand programming
aspirations and to gain input on the materiality and character
of the stage structure.
#3 Lighting - meet with City staff to understand infrastructure and
maintenance issues.
#4 Weather Dance Fountain - meet with City staff to review existing
components of the fountain and maintenance.
4.4 Client Committee Meeting [ review of programming + initial design]
The Consultant will outline input to date and next steps related to
design. Stakeholders will be asked to approve the general design
direction.
A. Client Committee Meeting #2
B. Prepare and distribute meeting notes within one week
lowc. City Phase One
Page 10 of 15
April 8, 2014
4.5 Team Design Workshop
The Consultant will coordinate a series of design focused meetings
with team members to establish design direction, parameters, and
products for each specific element of the schematic design
package.
4.6 Schematic Design Advancement
Utilizing concepts produced at the design workshop and input from
Client meetings, the Consultant will work with the design team to
develop a draft schematic design plan for all elements of the
Pedestrian Mall and Black Hawk Mini Park. The Consultant will
prepare preliminary cost estimates for the schematic design
plans. This phase shall identify alternatives for various funding
levels.
The Consultant will develop a series of conceptual sketches based
on input received from the Client Committee. These sketches
shall convey design intent, materials and form.
Weather Dance Fountain Performance Stage
Pedestrian, Atmospheric and Special Event Lighting
Weather Dance Fountain Seating Area and Art Modifications
Site Furnishings - seating, litter, recycling
Electrical Capacity Diagram and Product Sheets
Blackhawk Mini Park Design
Programmed Spaces [ Eco Lab, Sound Garden, Video Garden ]
Irrigation and Horticulture
Wayfinding and Gateway
Outdoor Cafe Placement
ADA analysis and recommendations
4.7 Client Committee Meeting [ design presentation ]
The Consultant and team members will meet with the Client
Committee to review design work in advance of presenting to the
public.
A. Client Committee Meeting #3
B. Draft Schematic Design Package
C. Prepare and distribute meeting notes within one week
4.8 Stakeholder Meeting and Public Presentation
The Consultant will prepare a presentation and /or open house to
share design ideas and receive feedback. Details of this meeting
will be developed as input from the City and Client committee is
received. A second public presentation is proposed as part of a
subsequent design phase.
lovva City P hose One
Paae 11 of 15
April &, 2014
4.9 Schematic Design Refinement
Based on feedback received from the public presentation, and as
directed by the Client, the Consultant will refine the overall design
through individual consultant and team meetings, as necessary.
4.10 Client Committee Meeting -review of designs and cost opinions
The Consultant will meet with the Client Committee to review design
and cost estimates. Based upon input from this meeting, the
Consultant shall finalize the designs and cost estimates.
A. Client Committee Meeting #4
B. Present designs and cost estimates
C. Prepare and distribute meeting notes within one week
4.11 Finalization of Schematic Design and Cost Opinions
The Consultant and team shall finalize the designs and associated
cost opinions for key elements. The designs will be delivered to the
City in both digital and printed formats.
A. Finalize design / cost opinions
B. Schematic design summary report [15 -20 pages]
C. Phasing Diagram - options
D. Outline process for next steps
Deliverables
Schematic design plans, probable cost opinion and meeting
minutes. A summary report booklet will be prepared to capture
process and recommendations to guide future design phases. Up
to four (4) illustrative perspective renderings will be prepared to
convey design intent and to assist with fundraising efforts.
Schedule
April -August 2014
TASK 5 BLAWK HAWK MINI PARK PUBLIC ARTIST COLLABORATION
5.1 Artist Collaboration
As directed by the Client, the Consultant shall assist in the selection
of a public artist and lead a collaborative process to shape the
design of public art in Black Hawk Mini Park. The presentation of
design concepts and involvement with Client Committee will be
further defined with the art consultant. Involvement with the
University of Iowa and /or Iowa City Public Art Foundation is
anticipated. This scope item is structured as an allowance. In the
event that additional funds are necessary to complete the work,
the Consultant shall submit an additional service request to the
Client for consideration before additional work starts.
Artist selection schedule: April - May 2014
Iowa City Phase One
Page 12 of 15
April 8, 2014
IV. CONSULTING FEE
For Basic Services provided by the Consultant as described in Section
III, remuneration shall be billed on a percentage complete basis within
each of the following phases:
TASK 1 IIRRAN TRFF FVAI IIATION
Tree Evaluation - Full Scope
$ 16,900
Including Reimbursable Expenses
$ 300
Total Consulting Fee
$ 16,900
TASK 2 QUICK START PROJECTS I incl. reimbursables 1
2.1 Ped Mall Playground Surface Enhancement
$ 12,900
2.2 Site Amenity Consulting
$ 300
2.3 Iowa Avenue Tree Grates and Literary Walk
$ 6,500
2.4 Pedestrian Mall Lighting
$ 10,250
2.5 Plant Rail Mock Up
$ 3,150
Total Consulting Fee
$ 33,100
TASK 3 SCHEMATIC STREETSCAPE DESIGN I incl. reimbursables 1
3.1 Washington Street
$ 50,500
3.2 Dubuque Street
$ 38,000
Total Consulting Fee
$ 88,500
TASK 4 PEDESTRIAN MALL SCHEMATIC DESIGN incl. reimbursables
Ped Mall Schematic Design $ 98,750
Total Consulting Fee $ 98,750
TASK; RI ACKHAWK MINI PARK PUBLIC ARTIST
Allowance for Collaboration and Expenses
$
10,000
Total Consulting Fee
$
10,000
Reimbursable expenses will be invoiced directly to the Client at 1.0 %.
and are included in the fees noted above. These expenses typically
include mileage, long distance phone, postage, printing, approved
travel and lodging, and permit application fees.
V. EXCLUSIONS TO PROFESSIONAL SERVICES NOTED
A. The Consultant assumes no responsibility for the accuracy of
information or services supplied by the Client, the Client's
representative or an outside consultant not developed specifically
for this Project and shall not be liable for errors or omissions therein.
Should the Consultant be required to provide services due to errors
or omissions, such services shall be billed as additional services.
B. Geotechnical Investigation.
owc City Dhose One
Page 13 of 15
April 8, 2014
C. Survey services including boundary retracement, construction staking,
easements and platting, and as -built drawings.
Environmental reports
D. Traffic Study
VI. PAYMENT
All work shall be billed on a percentage complete basis not to
exceed the maximum amount specified. Fees, including
reimbursable expenses, are due and payable in full within 30 -days of
the invoice date. The Consultant reserves the right to charge a
service fee of 18% annum on the account if not paid within this
timeframe, or stop work until the account is paid in full. Additional
Services are services provided outside the scope of Basic Services
and shall be provided upon Client's written authorization.
VII. AGREEMENT
Signatures below by the Client and Consultant shall constitute
acknowledgement and acceptance of Part I and II of the Agreement.
Without signatures, this Proposal expires in 30 -days from the date of issue.
FOR THE CONSULTANT: A04 By: Brett Douglas � / ��
Title:
President and Principal Landscape Architect
Date: April 8, 2014
FOR THE CITY:
By: -moo
Title: Mayor
Date: April 15, 2014
ATTEST:
APPROVED BY:
City Attorney's Office
Date: /�� /�!
lowa City Phase One
Page 14 of 15
April 8, 20i4
PART II
The engagement of genus (the Consultant) by the Client is under the following terms and conditions
and is an integral part of the collective Agreement between the Client and the Consultant.
A. The Consultant shall not commit any of the following employment practices and agree to
prohibit the following practices in any subcontracts.
1. To discharge or refuse to hire any individual because of their race, color, religion, sex,
national origin, disability, age, marital status, gender identity, or sexual orientation.
2. To discriminate against any individual in terms, conditions, or privileges of employment
because of their race, color, religion, sex, national origin, disability, age, marital status,
gender identity, or sexual orientation.
B. Should the City terminate this Agreement the Consultant shall be paid for all work and
services performed up to the time of termination. The City may terminate this Agreement
upon seven (7) calendar days' written notice to the Consultants.
C. This Agreement shall be binding upon the successors and assigns of the parties hereto,
provided that no assignment shall be without the written consent of all Parties to said
Agreement.
D. It is understood and agreed that the retention of the Consultant by the City for the
purpose of the Project shall be as an independent contractor.
E. It is agreed by the City that all records and files pertaining to information needed by the
Consultant for the project shall be available by said City upon reasonable request to the
Consultant. The City agrees to furnish all reasonable assistance in the use of these records
and files.
F. It is further agreed that no Party to this Agreement shall perform contrary to any state,
federal, or local law or any of the ordinances of the City of Iowa City, Iowa.
G. At the request of the City, the Consultant shall attend meetings of the City Council relative
to the work set forth in the Agreement. Any request made by the City shall be given with
reasonable notice to the Consultant to assure attendance.
H. The Consultant agrees to furnish, upon termination of this Agreement and upon demand
by the City, copies of all basic notes and sketches, charts, computations, and any other
data prepared or obtained by the Consultant pursuant to this Agreement without cost,
and without restrictions or limitation as to the use relative to specific projects covered
under this Agreement. In such event, the Consultant shall not be liable for the City's use of
such documents on other projects.
I. The Consultant agrees that where practical to furnish reports, specifications, and drawings,
with the seal of a professional affixed thereto or such as required by Iowa law.
Iowa City Phase One
PULP, 15 of 15
Aord 8, ?014
J. The City agrees to tender the Consultant all fees in a timely manner, excepting, however,
that failure of the Consultant to satisfactorily perform in accordance with this Agreement
shall constitute grounds for the City to withhold payment of the amount sufficient to
properly complete the Project in accordance with this Agreement.
K. Should any section of this Agreement be found invalid, it is agreed that the remaining
portion shall be deemed severable form the invalid portion and continue in full force and
effect.
L. Original contract drawings shall become the property of the City. The Consultant shall be
allowed to keep reproducible copies for the Consultant's own use.
M. Fees paid for securing approval of authorities having jurisdiction over the project will be
paid by the City.
N. Upon signing this agreement, Consultant acknowledges that Section 362.5 of the Iowa
Code prohibits a City officer or employee from having an interest in a contract with the
City, and certifies that no employee or officer of the City, which includes members of the
City Council and City boards and commissions, has an interest either direct or indirect, in
this agreement, that does not fall within the exceptions to said statutory provision
enumerated in Iowa Code Section 362.5
O. The Consultant agrees at all times material to this Agreement to have and maintain
professional liability insurance covering the Consultant's liability for the Consultant's
negligent acts, errors and omissions to the City in the sum of $1,000,000.
44 C-00
Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030
RESOLUTION NO. 14 -95
RESOLUTION AUTHORIZING THE CITY MANAGER TO SIGN A CONSENT TO A
COLLATERAL ASSIGNMENT OF THE PARKING AGREEMENT WITH RBD IOWA
CITY LLC.
WHEREAS, in 1983, the City of Iowa City entered into a 99 -year agreement with the
previous owner of the hotel at 210 S. Dubuque Street for parking in the Dubuque Street
and Capitol Street ramps for hotel guests;
WHEREAS, RBD Iowa City LLC is the current owner of the Sheraton Hotel located at
210 S. Dubuque Street, and as part of a loan refinancing, the owner's lender is
requesting that the parking agreement be assigned to it as collateral;
WHEREAS, the parking agreement provides that the City's consent to an assignment
not be unreasonably withheld and only for the reasons it would deny an alcohol license;
and
WHEREAS, the City should consent to the assignment.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, IOWA, THAT:
Upon the direction of the City Attorney, the City Manager is authorized to sign a consent to the
collateral assignment of the parking agreement with RBD Iowa City LLC to West Bank.
Passed and approved this 15th day of "ril 2014.
MAYOR
ATTEST: A k
CITY CLERK
Approved by
City Attorney's Office
�r -t
Resolution loo. 14 -95
Page 2
It was moved by Mims and seconded by Dobyns the
Resolution be adopted, and upon roll call there were:
AXES: NAYS: ABSENT:
x Botchway
x Dickens
x Dobyns
x Hayek
x Mims
x Payne
x Throgmorton
4d(1)
Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030
RESOLUTION NO. 14 -96
RESOLUTION SETTING PUBLIC HEARING FOR MAY 6, 2014, ON A
PROPOSAL TO CONVEY A SINGLE FAMILY HOME LOCATED AT 1116
EAST BURLINGTON STREET.
WHEREAS, the UniverCity Neighborhood Partnership Program is a joint effort between the
University of Iowa and the City to encourage home ownership and reinvestment in designated
neighborhoods surrounding the University of Iowa; and
WHEREAS, the City purchases rental units located in designated neighborhoods surrounding
the University of Iowa, rehabilitates them, and then sells them to income - eligible buyers; and
WHEREAS, the City purchased and rehabilitated a single family home located at 1116 East
Burlington Street, Iowa City; and
WHEREAS, the City has received an offer to purchase 1116 East Burlington Street for the
principal sum of $189,000 (the amount the City paid to acquire the home), plus the "carrying
costs ", which are all costs incurred by the City to acquire the home, maintain it and sell it,
including abstracting and recording fees, interest on the loan to purchase the home, mowing
and snow removal, utilities, real estate taxes, and any costs in excess of $50,000 to repair and
rehabilitate the home; and
WHEREAS, this sale would provide affordable housing in a designated area surrounding the
University of Iowa; and
WHEREAS, this sale is conditioned on the family securing adequate financing for the purchase
of the home.
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 convey a single family home located at
1116 East Burlington Street, Iowa City, Iowa, also known as part of Lot 24, J. & J.W.
Clark's Addition, Iowa City, Iowa, for the sum of $189,000, plus the "carrying costs ".
2. A public hearing on said proposal should be and is hereby set for May 6, 2014, at 7:00
p.m. in Emma J. Harvat Hall of the Iowa City City Hall, 410 East 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, and that the City Clerk be and is hereby directed to cause
notice of said public hearing to be published as provided by law.
Resolution No. 14 -96
Page 2
It was moved by Mims 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
Passed and approved this 15th day of April , 2014.
Approved by
4` `-f -, If
City Attorney's Office
MAYOR
ATTEST: A&
CITY LERK
ad(a)
Prepared by: Dennis Bockenstedt, Finance Director, 410 E. Washington St., Iowa City, IA 52240 (319)356 -5053
RESOLUTION NO. 14 -97
RESOLUTION SETTING PUBLIC HEARING ON
AMENDING THE FY2014 OPERATING BUDGET.
BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that a public hearing will be
held in Harvat Hall, City Hall, 410 East Washington Street, at 7:00 p.m., May 6, 2014, or if said
meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City
Clerk, to permit any citizen to be heard for or against the proposed amendment to the FY2014
Operating Budget.
The City Clerk is hereby directed to give notice of said public hearing and time and place thereof
by publication in the Iowa City Press - Citizen, a newspaper of general circulation in Iowa City, not
less than ten (10) days and not more than twenty (20) days before the time set for such hearing.
Passed and approved this 15th day of Anril , 20 14.
ATTEST:
CITY CLERK
Atq-
MAYOR
Approved by
City Attorney's Office
It was moved by Mims I 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
r o4-
fi- CITY OF IOWA CITY 4d(5)
4:-NLW!4t
MEMORANDUM
DATE: April 4, 2014
TO: Tom Markus, City Manager
FROM: Ron Knoche, City Engineer
re: 2014 Storm Sewer Improvements Project
April 15, May 6 and June 3.
Introduction:
The City of Iowa City owns and operates the public storm sewer system within Iowa City
and University Heights. This sewer system is a significant capital asset for the city with
portions dating back to the 1800's. Both regular and preventative maintenance are
important to provide safe and reliable stormwater drainage.
History /Background:
Each year, the City budgets $200,000 for maintenance work on the storm sewer system.
This money is used for repairs to the storm sewer system throughout the City.
Discussion of Solution:
A storm sewer improvements project for 2014 has been designed and is ready to be bid.
Financial Impact:
The total estimated cost of construction is $200,000. Funding will be provided by storm
water utility revenues.
Recommendation:
Staff recommends proceeding with the project at the next city council meetings.
April 15 - Set Public Hearing
May 6 - Hold Public Hearing
June 3 - Award Project
cc: Rick Fosse, Public Works Director
Daniel Scott, Project Engineer
qC41 ( 5 I
Prepared by: Kim Sandberg, Project Coordinator, 410 E. Washington St., Iowa City, IA 52240, (319)356 -5139
RESOLUTION NO.
RESOLUTION SE NG A PUBLIC HEARING ON MAY 6, 2014, ON PLANS,
SPECIFICATIONS, F RM OF CONTRACT, AND ESTIMATE COST FOR
THE CONSTRUCTIO OF THE 2014 STORM SEWER IMP EMENTS PRO-
JECT, DIRECTING CI CLERK TO PUBLISH NOTICE F SAID HEARING,
AND DIRECTING THE C ENGINEER TO PLACE SA PLANS ON FILE FOR
PUBLIC INSPECTION.
WHEREAS, funds for this projeX are available }ri the Stormwater Utility account #
77770110S.
BE IT RESOLVED BY THE COUNCIL Old THE CjX`Y OF IOWA CITY, IOWA:
1. That a public hearing on the plans, s ecifications, form of contract, and estimate of cost
for the construction of the above- ntioned project is to be held on the 61h day of May,
2014, at 7:00 p.m. in the Emma J a at Hall, City Hall, Iowa City, Iowa, or if said meeting
is cancelled, at the next meetin of the City Council thereafter as posted by the City Clerk.
2. That the City Clerk is hereb authorized nd directed to publish notice of the public hearing
for the above -named proj ct in a newsp er published at least once weekly and having a
general circulation in th City, not less tha four (4) nor more than twenty (20) days before
said hearing.
3. That the copy of a plans, specifications, f rm of contract, and estimate of cost for the
construction of a above -named project is ereby ordered placed on file by the City
Engineer in 7dthis office of the City Clerk for publi inspection.
Passed and appro day of _'2014.
MAYOR
ATTEST:
CITY CLERK
pwengVnasters\setph.doc
1/11
by
s Office //® /� (
Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030
RESOLUTION NO. 14 -98
RESOLUTION AMENDING THE FEES FOR ANIMAL CONTROL SERVICES
APPROVED IN RESOLUTION NO. 97 -233 TO WAIVE SELECT DELINQUENT
LICENSE FEES.
WHEREAS, Resolution No.97 -233 approves a fee schedule for animal control services;
WHEREAS, a delinquent fee is required if a license is not renewed within 30 days of the
anniversary date of the issuance of the license;
WHEREAS, due to a computer programming error, many owners did not receive renewal
notices; and
WHEREAS, for those who received a late renewal notice, the fee should be waived for
those who have not paid and a credit should be given for those who have paid.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
IOWA CITY, IOWA, THAT:
Resolution No. 97 -233 is amended as follows:
1. For those owners who received a late license renewal notice for either the
2013 licensing year or for January through March 2014 and did not pay a
delinquency fee, the City waives the delinquency fee.
2. For those owners who received a late license renewal notice for either the
2013 licensing year or for January through March 2014 and paid a delinquency
fee, the City will credit the amount of the delinquency fee toward the fee due
for the next licensing cycle if requested by the owner at the next licensing
cycle.
Passed and approved this 15th day of April, 2014.
�a� rah
kh 101 '
ATTEST: ivtaA, cat2 &-
CITY CLERK
City Attorney's Office
Resolution No. 14 -98
Page 2
It was moved by Mims and seconded by
Resolution be adopted, and upon roll call there were:
AYES:
x
x
x
x
x
rA
Dickens the
ABSENT: ABSTAIN:
Botchway _
Dickens _
Dobyns _
Hayek _
Mims
Payne x
Throgmorton
Prepared by: Robert Miklo, Senior Planner, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5240 (SUB13- 00021)
RESOLUTION NO. 14 -99
RESOLUTION APPROVING FINAL PLAT OF
WESTWINDS SECOND ADDITION, IOWA CITY, IOWA.
WHEREAS, the owner, Willowwind Properties LLC, filed with the City Clerk the final plat of
Westwinds Second Addition, Iowa City, Iowa, Johnson County, Iowa; and
WHEREAS, said subdivision is located on the following- described real estate in Iowa City, Johnson
County, Iowa, to wit:
Beginning at the northwest corner of Lot 3 of The Westw.inds, to
Iowa City, in accordance with the Plat thereof recorded in Plat
Book 16, at Page 25 of the Records of the Johnson County
Recorder's Office; thence N89 004158 "E, along the north line of
said Lot 3, a distance of 273.39 feet; thence southeasterly,
31.58 feet, along the northeasterly line of said Lot 3 on a 20.00
foot radius curve, concave southwesterly, whose 28.40 foot chord
bears 545 °41107 "E; thence S00 °27'13 °E, along the east: line of
said Lot 3, a distance of 57.45 feet; thence southeasterly, 51.11
feet, along said east line on a 775.00 foot radius curve, concave
northeasterly, whose 51.16 foot chord bears S02 °20'42 "E; thence
SO4 014111 "E, along said east line, 70.86 feet; thence
S89 004'58 "W, 140.70 feet; thence N00 °55102 "w, 1.1.13 feet; thence
S89 055'42 "td, 159.87 feet, to a point on the crest line of said Lot
3; thence N00 °20'50 "w, along said west line, 186.02 feet, to the
point of beginning.
WHEREAS, the Department of Planning and Community Development and the Public Works
Department examined the proposed final plat and subdivision, and recommended approval; and
WHEREAS, a dedication has been made to the public, and the subdivision has been made with the
free consent and in accordance with the desires of the owners and proprietors; and
WHEREAS, said final plat and subdivision are found to conform with Chapter 354, Code of Iowa
(2013) and all other state and local requirements.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY,
IOWA, THAT:
1. The said final plat and subdivision located on the above - described real estate be and the
same are hereby approved.
2. The City accepts the dedication of the streets and easements as provided by law and
specifically sets aside portions of the dedicated land, namely streets, as not being open for
public access at the time of recording for public safety reasons.
3. The Mayor and City Clerk of the City of Iowa City, Iowa, are hereby authorized and directed,
Resolution No. 14 -99
Page 2
upon approval by the City Attorney, to execute all legal documents relating to said
subdivision, and to certify a copy of this resolution, which shall be affixed to the final plat after
passage and approval by law. The City Clerk shall record the legal documents and the plat at
the office of the County Recorder of Johnson County, Iowa at the expense of the
owner /subdivider.
Passed and approved this 15th day of April 2014.
MAYOR
ATTEST: �21! J k. :5 ` 4r
CITY CEERK
Approved by
� Ot �
City Attorney's Office 31gI /Y
It was moved by Payne and seconded by nobvns 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
pcdltemplateslFinal Plal- Resolution(2).doc.doc
na
Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319$56 -5030
Q r
RESOLUTION NO.
M, M
RESOL TION AUTHORIZING CONVEYA E OF A SINGLE FAMILML$ Cy
LOCAT D AT 430 SOUTH LUCAS STRE °°
w
WHEREAS, the UniverCity Neighborhood Partn rship Program is a joint effort between the
University of low and the City to encourage ho a ownership and reinvestment in designated
neighborhoods sur unding the University of low ; and
WHEREAS, the City 'ourchases rental units I
the University of Iowa, Akhabilitates them, and
WHEREAS, the City purc4sed and
Lucas Street, Iowa City; and
WHEREAS, the City has receive an c
sum of $165,000 (the amount the Cit
approximately $ which are
it and sell it, including abstracting
home, mowing and snow remov , L
$50,000 to repair and rehabilitate h
d in designated neighborhoods surrounding
sells them to income - eligible buyers; and
a single family home located at 430 South
Or to purchase 430 South Lucas Street for the principal
paid to acquire the home), plus the "carrying costs" of
costs incurred by the City to acquire the home, maintain
J recording fees, interest on the loan to purchase the
ties, real estate taxes, and any costs in excess of
: and
WHEREAS, this sale /as ovide afforda \publi in a designated area surrounding the
University of Iowa; an
WHEREAS, on April the City Cou a Resolution proposing to convey its
interest in 430 South reet, authoriziotice of the proposed conveyance, and
setting the date and ti public hearin
WHEREAS, followin the public hearing on the
that the conveyanc is in the public interest.
nce, the City Council finds
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUN L OF THE CITY OF IOWA
CITY, IOWA, that:
1. Upon the direction of the City Attorney, the Mayor and the City Clerk are authorized to
execute a warranty deed conveying the City's interest in 430 South Lucas Street, legally
described as Lot 5, Block 1, Berryhill's Second Addition, Iowa City, Iowa.
2. The City Attorney is hereby authorized to deliver said warranty deed and to carry out any
actions necessary to consummate the conveyance required by law.
=4r CITY OF IOWA CITY
- =201 MEMORANDUM
DATE: April 8, 2014
TO: Tom Markus, City Manager
FROM: Kirk Lehmann, Community Development Intern
Steve Long, Neighborhood Services Coordinator
RE: April 151h City Council meeting agenda item: sale of UniverCity Neighborhood Partnership
home
Introduction
On April 15th, City Council will hold a public hearing and vote on a resolution authorizing the conveyance
of 430 S. Lucas St. as part of the UniverCity Neighborhood Partnership Program. Once this home has
sold, the program will have 36 completed homes.
430 South Lucas Street
Under the UniverCity Neighborhood Partnership, the City proposes to sell 430 S. Lucas St. for $165,000
plus carrying costs of $11,600. "Carrying costs" are all the costs incurred by the City to acquire, maintain
and sell the home, including abstracting and recording fees, interest on the loan to purchase the home,
mowing and snow removal, utilities, and real estate taxes. City funds were used to rehabilitate and sell
the home as a single - family owner occupied home to an income - eligible buyer. Renovations included
electrical work, plumbing, some exterior repair, new light fixtures, an adjusted upstairs layout, updated
bathrooms, and a brand new kitchen with stainless steel appliances, new cupboards, and new counters.
The cost of renovations is not included in the sale price and forgiven once the homeowner has lived
there for five years. The home must also be owner - occupied for 20 years. Built in 1890, this historic
home has two bedrooms, a den, two bathrooms, a spacious backyard, and 1,543 square feet of finished
living space. The buyer will receive down payment assistance in the amount of $17,500.
Statement of Fiscal Impact
The assessed value of 430 S. Lucas St. at the time of purchase was $181,580 and the sale price is
approximately $176,600. There will be no impact on the General Fund for ongoing operating expenses.
Recommendation
The home is located on a street where there are many rentals and after the renovation the home has
become an asset to the neighborhood and community. Staff recommends approval of the resolution to
authorize the conveyance of 430 S. Lucas St. as part of the UniverCity Neighborhood Partnership
program.
April 8, 2014
Page 2
430 South Lucas Street — before renovations
430 South Lucas Street — after renovations
Prepared by: Susan Dulek, Assistant City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5030
RESOLUTION NO. 14 -100
RESOLUTION AUTHORIZING CONVEYANCE OF A SINGLE FAMILY HOME
LOCATED AT 430 SOUTH LUCAS STREET.
WHEREAS, the UniverCity Neighborhood Partnership Program is a joint effort between the
University of Iowa and the City to encourage home ownership and reinvestment in designated
neighborhoods surrounding the University of Iowa; and
WHEREAS, the City purchases rental units located in designated neighborhoods surrounding
the University of Iowa, rehabilitates them, and then sells them to income - eligible buyers; and
WHEREAS, the City purchased and rehabilitated a single family home located at 430 South
Lucas Street, Iowa City; and
WHEREAS, the City has received an offer to purchase 430 South Lucas Street for the principal
sum of $165,000 (the amount the City paid to acquire the home), plus the "carrying costs" of
approximately $11,600, which are all costs incurred by the City to acquire the home, maintain it
and sell it, including abstracting and recording fees, interest on the loan to purchase the home,
mowing and snow removal, utilities, real estate taxes, and any costs in excess of $50,000 to
repair and rehabilitate the home; and
WHEREAS, this sale would provide affordable housing in a designated area surrounding the
University of Iowa; and
WHEREAS, on April 1, 2014, the City Council adopted a Resolution proposing to convey its
interest in 430 South Lucas Street, authorizing public notice of the proposed conveyance, and
setting the date and time for the public hearing; and
WHEREAS, following the public hearing on the proposed conveyance, the City Council finds
that the conveyance is in the public interest.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, IOWA, that:
1. Upon the direction of the City Attorney, the Mayor and the City Clerk are authorized to
execute a warranty deed conveying the City's interest in 430 South Lucas Street, legally
described as Lot 5, Block 1, Berryhill's Second Addition, Iowa City, Iowa.
2. The City Attorney is hereby authorized to deliver said warranty deed and to carry out any
actions necessary to consummate the conveyance required by law.
Resolution No. 14 -100
Page 2
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
x
Passed and approved this
Approved by
City Attorney's Office
NAYS: ABSENT:
Botchway
Dickens
Dobyns
Hayek
Mims
Payne
Throgmorton
15th day of April 2014.
MAYOR
ATTEST:
CITY tLERK
04 -15 -14
8
Prepared by: John Yapp, Transportation Planner, 410 E. Washington St., Iowa City, IA 52240 (319) 356 -5252
RESOLUTION NO. 14 -101
RESOLUTION ADOPTING THE JOHNSON COUNTY MULTI - JURISDICTIONAL
HAZARD MITIGATION PLAN
WHEREAS, The City Council has deemed it desirable to have a Hazard Mitigation Plan that
identifies potential hazards and the actions that need to be taken to reduce or eliminate long term
risks to human life from those hazards for the citizens of Iowa City and Johnson County; and
WHEREAS, the federal government requires that the City adopt a local mitigation plan, as defined
in 44 CFR Section 201.6, in order to participate in FEMA hazard mitigation programs as a
subapplicant or subgrantee; and
WHEREAS, the Johnson County Multi- Jurisdictional Hazard Mitigation Plan 2014 was funded by a
Hazard Mitigation Grant Program planning grant; and
WHEREAS, The East Central Iowa Council of Governments (ECICOG), with the assistance of a
local Hazard Mitigation Planning Committee that included Iowa City staff, has prepared the hazard
mitigation plan; and
WHEREAS said plan is on the Johnson County website and has been placed in the City Clerk's
office until April 15 for public inspection; and
WHEREAS, a public hearing has been held in accordance with published notice of the same as
provided by law.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA
CITY, IOWA, THAT:
The above - mentioned Johnson County Multi- Jurisdictional Hazard Mitigation Plan 2014 be and is
hereby adopted.
Passed and approved this 15th day of Al2rii 20 14
!Lr� ZA,
MAYOR
ATTEST: a
CITY -ERK
s: \att \legal \sara g \planning \hmp plan 2014.doc
App : ved by
ity Attorney's Office . / ::2,
Resolution No. 14 -101
Page 2
It was moved by Mims and seconded by Dickens 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
The Council then considered the proposed action and the extent of objections thereto.
Whereupon, Council Member Payne introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE ISSUANCE OF NOT TO
EXCEED $3,200,000 GENERAL OBLIGATION BONDS, SERIES 2014 ", and moved:
x] that the Resolution be adopted.
to ADJOURN and defer action on the Resolution and the proposal to
institute proceedings for the issuance of bonds to the meeting to be held
at o'clock M., on the day of
, 2014, at this place.
Council Member Mims seconded the motion. The roll was called and
the vote was,
AYES: Throgmorton, RotrhwgV, Dickens, Dobyns,
NAYS:
Hayek Mims, Payne
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE ISSUANCE OF NOT TO
EXCEED $3,200,000 GENERAL OBLIGATION BONDS,
SERIES 2014
Resolution No 14 -102
WHEREAS, pursuant to notice published as required by law, this Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $3,200,000 General Obligation Bonds, Series 2014, for the essential corporate purpose of
paying costs of aiding in the planning, undertaking and carrying out of urban renewal projects,
including sidewalk, sanitary sewer, water main, traffic controls, storm sewer improvements and
streetscaping improvements, and has considered the extent of objections received from residents
or property owners as to the proposed issuance of bonds, and no petition was filed calling for a
referendum thereon. The following action is now considered to be in the best interests of the City
and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
-3-
Section 1. That this Council does hereby institute proceedings and take additional action
for the sale and issuance in the manner required by law of not to exceed $3,200,000 General
Obligation Bonds, Series 2014, for the foregoing essential corporate purpose.
Section 2. This Resolution shall serve as a declaration of official intent under Treasury
Regulation 1.150 -2 and shall be maintained on file as a public record of such intent. It is
reasonably expected that moneys may be advanced from time to time for capital expenditures
which are to be paid from the proceeds of the above Bonds. The amounts so advanced shall be
reimbursed from the proceeds of the Bonds not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in service.
Such advancements shall not exceed the amount authorized in this Resolution unless the same
are for preliminary expenditures or unless another declaration of intention is adopted.
PASSED AND APPROVED this 15th day of April, 2014.
ATTEST:
City Clerk-
Mayor
The Council then considered the proposed action and the extent of objections thereto.
Whereupon, Council Member Mims introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE ISSUANCE OF NOT TO
EXCEED $8,350,000 GENERAL OBLIGATION BONDS, SERIES 2014 ", and moved:
0 that the Resolution be adopted.
to ADJOURN and defer action on the Resolution and the proposal to
institute proceedings for the issuance of bonds to the meeting to be held
at o'clock M., on the day of
, 2014, at this place.
Council Member
the vote was,
Dickens seconded the motion. The roll was called and
AYES: Botchway, Dickens, Dobvns, Hayek, Mims
Payne, Throgmorton
NAYS: None
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE ISSUANCE OF NOT TO
EXCEED $8,350,000 GENERAL OBLIGATION BONDS,
SERIES 2014
Resolution No 14 -103
WHEREAS, pursuant to notice published as required by law, this Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $8,350,000 General Obligation Bonds, Series 2014, for the essential corporate purpose of
paying costs of:
a. the acquisition, construction, reconstruction, enlargement, improvement, and repair of
bridges, culverts, retaining walls, viaducts, underpasses, grade crossing separations, and
approaches thereto;
b. the opening, widening, extending, grading, and draining of the right -of -way of streets,
highways, avenues, alleys and public grounds; the construction, reconstruction, and repairing of
any street improvements; the acquisition, installation, and repair of sidewalks, storm sewer,
water mains and traffic control devices; and the acquisition of any real estate needed for any of
the foregoing purposes;
c. the rehabilitation and improvement of parks already owned, including the removal,
replacement and planting of trees in the parks, and facilities, equipment, and improvements
commonly found in city parks;
d. the equipping of the fire department;
e. the acquisition, construction, reconstruction, and improvement of real and personal
property, useful for the protection or reclamation of property situated within the corporate limits
of cities from floods or high waters, and for the protection of property in cities from the effects
of flood waters, including the development and beautification of the banks and other areas
adjacent to flood control improvements;
f. the remediation, restoration and improvement of property that has been damaged by a
disaster as defined in section 29C.2 and that is located in an area that the governor has
proclaimed a disaster emergency or the president of the United States has declared a major
disaster; and
g. the settlement, adjustment, renewing, or extension of any part or all of the legal
indebtedness of a city, whether evidenced by bonds, warrants, or judgments, or the funding or
refunding of the same, whether or not such indebtedness was created for a purpose for which
general obligation bonds might have been issued in the original instance,
and has considered the extent of objections received from residents or property owners as to the
proposed issuance of bonds; and, accordingly the following action is now considered to be in the
best interests of the City and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1. That this Council does hereby institute proceedings and take additional action
for the sale and issuance in the manner required by law of not to exceed $8,350,000 General
Obligation Bonds, Series 2014, for the foregoing essential corporate purposes.
-5-
PASSED AND APPROVED this 15th day of April, 2014.
ATTEST:
City Clerk
Mayor
Kill
u
The Mayor announced that this was the time for meeting on the matter of the issuance of
not to exceed $300,000 of General Obligation Bonds, Series 2014, in order to provide funds to
pay costs of the construction, reconstruction, enlargement, improvement, furnishing and
equipping of the City Hall, a general corporate purpose, and that notice of the proposal to issue
the bonds and the right to petition for an election had been published as provided by Section
384.26, of the City Code of Iowa; and, the Mayor then asked the City Clerk whether any petition
had been filed in the Clerk's Office, in the manner provided by Section 362.4 of the City Code of
Iowa, and the Clerk reported that no such petition had been filed, requesting that the question of
issuing the bonds be submitted to the qualified electors of the City.
Whereupon, the Mayor declared the hearing on the issuance of the bonds to be closed.
Whereupon, Council Member Botchway introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $300,000 GENERAL OBLIGATION BONDS, SERIES
2014 ", and moved:
that the Resolution be adopted.
to ADJOURN and defer action on the Resolution and the proposal to institute
proceedings for the issuance of bonds to the meeting to be held at
o'clock M. on the day of , 2014, at this place.
Council Member
the vote was,
Mims seconded the motion. The roll was called and
AYES: Dickens, Dobyns, Hayek, Mims, Payne
Throgmorton, Botc
NAYS: None
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $300,000 GENERAL
OBLIGATION BONDS, SERIES 2014
Resolution No 14 -104
-2-
WHEREAS, pursuant to notice published as required by law, the City Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $300,000 General Obligation Bonds, for a general corporate purpose, in order to provide
funds to pay costs of the construction, reconstruction, enlargement, improvement, furnishing and
equipping of the City Hall, and no petition was filed calling for a referendum thereon. The
following action is now considered to be in the best interests of the City and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1. That this Council does hereby institute proceedings and take additional action
for the authorization and issuance in the manner required by law of not to exceed $300,000
General Obligation Bonds, Series 2014, for the foregoing general corporate purpose.
Section 2. This Resolution shall serve as a declaration of official intent under Treasury
Regulation 1.150 -2 and shall be maintained on file as a public record of such intent. It is
reasonably expected that moneys may be advanced from time to time for capital expenditures
which are to be paid from the proceeds of the above Bonds. The amounts so advanced shall be
reimbursed from the proceeds of the Bonds not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in service.
Such advancements shall not exceed the amount authorized in this Resolution unless the same
are for preliminary expenditures or unless another declaration of intention is adopted.
PASSED AND APPROVED this 15th day of April, 2014.
ATTEST:
City erk
Mayor
-3-
12
The Mayor announced that this was the time for meeting on the matter of the issuance of
not to exceed $150,000 of General Obligation Bonds, Series 2014, in order to provide funds to
pay costs of the construction, reconstruction, enlargement, improvement, furnishing and
equipping of the Library, a general corporate purpose, and that notice of the proposal to issue the
bonds and the right to petition for an election had been published as provided by Section 384.26,
of the City Code of Iowa; and, the Mayor then asked the City Clerk whether any petition had
been filed in the Clerk's Office, in the manner provided by Section 362.4 of the City Code of
Iowa, and the Clerk reported that no such petition had been filed, requesting that the question of
issuing the bonds be submitted to the qualified electors of the City.
Whereupon, the Mayor declared the hearing on the issuance of the bonds to be closed.
Whereupon, Council Member Payne introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $150,000 GENERAL OBLIGATION BONDS, SERIES
2014 ", and moved:
that the Resolution be adopted.
to ADJOURN and defer action on the Resolution and the proposal to institute
proceedings for the issuance of bonds to the meeting to be held at
o'clock M. on the day of , 2014, at this place.
Council Member Botchway seconded the motion. The roll was called and
the vote was,
AYES: Dobyns, Hayek, Mims, Payne, Throgmorton,
Botchway. Dickens
NAYS: None
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $150,000 GENERAL
OBLIGATION BONDS, SERIES 2014
Resolution No 14 -105
-2-
WHEREAS, pursuant to notice published as required by law, the City Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $150,000 General Obligation Bonds, for a general corporate purpose, in order to provide
funds to pay costs of the construction, reconstruction, enlargement, improvement, furnishing and
equipping of the Library, and no petition was filed calling for a referendum thereon. The
following action is now considered to be in the best interests of the City and residents thereof-
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1. That this Council does hereby institute proceedings and take additional action
for the authorization and issuance in the manner required by law of not to exceed $150,000
General Obligation Bonds, Series 2014, for the foregoing general corporate purpose.
Section 2. This Resolution shall serve as a declaration of official intent under Treasury
Regulation 1.150 -2 and shall be maintained on file as a public record of such intent. It is
reasonably expected that moneys may be advanced from time to time for capital expenditures
which are to be paid from the proceeds of the above Bonds. The amounts so advanced shall be
reimbursed from the proceeds of the Bonds not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in service.
Such advancements shall not exceed the amount authorized in this Resolution unless the same
are for preliminary expenditures or unless another declaration of intention is adopted.
PASSED AND APPROVED this 15th day of April, 2014.
ATTEST:
City Clerk
gq�A
Mayor
-3-
The Mayor announced that this was the time for meeting on the matter of the issuance of
not to exceed $400,000 of General Obligation Bonds, Series 2014, in order to provide funds to
pay costs of any other purpose which is necessary for the operation of the city or the health and
welfare of its citizens, including plans for the public works facility and parks, a general corporate
purpose, and that notice of the proposal to issue the bonds and the right to petition for an election
had been published as provided by Section 384.26, of the City Code of Iowa; and, the Mayor
then asked the City Clerk whether any petition had been filed in the Clerk's Office, in the manner
provided by Section 362.4 of the City Code of Iowa, and the Clerk reported that no such petition
had been filed, requesting that the question of issuing the bonds be submitted to the qualified
electors of the City.
Whereupon, the Mayor declared the hearing on the issuance of the bonds to be closed.
Whereupon, Council Member Mims introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $400,000 GENERAL OBLIGATION BONDS, SERIES
2014 ", and moved:
that the Resolution be adopted.
to ADJOURN and defer action on the Resolution and the proposal to institute
proceedings for the issuance of bonds to the meeting to be held at
o'clock M. on the day of , 2014, at this place.
Council Member Botchway seconded the motion. The roll was called and
the vote was,
AYES: Hayek, Mims, Payne, Throgmorton,
NAYS
Botchway, Dickens, Dobyns
None
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $400,000 GENERAL
OBLIGATION BONDS, SERIES 2014
Resolution No 14 -106
-2-
WHEREAS, pursuant to notice published as required by law, the City Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $400,000 General Obligation Bonds, for a general corporate purpose, in order to provide
funds to pay costs of any other purpose which is necessary for the operation of the city or the
health and welfare of its citizens, including plans for the public works facility and parks, and no
petition was filed calling for a referendum thereon. The following action is now considered to be
in the best interests of the City and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1. That this Council does hereby institute proceedings and take additional action
for the authorization and issuance in the manner required by law of not to exceed $400,000
General Obligation Bonds, Series 2014, for the foregoing general corporate purpose.
Section 2. This Resolution shall serve as a declaration of official intent under Treasury
Regulation 1.150 -2 and shall be maintained on file as a public record of such intent. It is
reasonably expected that moneys may be advanced from time to time for capital expenditures
which are to be paid from the proceeds of the above Bonds. The amounts so advanced shall be
reimbursed from the proceeds of the Bonds not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in service.
Such advancements shall not exceed the amount authorized in this Resolution unless the same
are for preliminary expenditures or unless another declaration of intention is adopted.
PASSED AND APPROVED this 15th day of April, 2014
ATTEST:
City Clerk
Mayor
-3-
i
The Mayor announced that this was the time for meeting on the matter of the issuance of
not to exceed $550,000 of General Obligation Bonds, Series 2014, in order to provide funds to
pay costs of any other purpose which is necessary for the operation of the city or the health and
welfare of its citizens, including engineering and planning for flood prevention and the purchase
of downtown rental properties and improvement of said properties for return to single family
residence, a general corporate purpose, and that notice of the proposal to issue the bonds and the
right to petition for an election had been published as provided by Section 384.26, of the City
Code of Iowa; and, the Mayor then asked the City Clerk whether any petition had been filed in
the Clerk's Office, in the manner provided by Section 362.4 of the City Code of Iowa, and the
Clerk reported that no such petition had been filed, requesting that the question of issuing the
bonds be submitted to the qualified electors of the City.
Whereupon, the Mayor declared the hearing on the issuance of the bonds to be closed.
Whereupon, Council Member Payne introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $550,000 GENERAL OBLIGATION BONDS, SERIES
2014 ", and moved:
that the Resolution be adopted.
F1to ADJOURN and defer action on the Resolution and the proposal to institute
proceedings for the issuance of bonds to the meeting to be held at
o'clock M. on the day of , 2014, at this place.
Council Member Botchway seconded the motion. The roll was called and
the vote was,
AYES: Mims, Payne, Throgmorton, Botchway,
Dickens, Dobyns, Hayek
NAYS: None
Whereupon, the Mayor declared the measure duly adopted.
IWA
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION AND
ISSUANCE OF NOT TO EXCEED $550,000 GENERAL
OBLIGATION BONDS, SERIES 2014
Resolution No 14 -107
WHEREAS, pursuant to notice published as required by law, the City Council has held a
public meeting and hearing upon the proposal to institute proceedings for the issuance of not to
exceed $550,000 General Obligation Bonds, for a general corporate purpose, in order to provide
funds to pay costs of any other purpose which is necessary for the operation of the city or the
health and welfare of its citizens, including engineering and planning for flood prevention and
the purchase of downtown rental properties and improvement of said properties for return to
single family residence, and no petition was filed calling for a referendum thereon. The
following action is now considered to be in the best interests of the City and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1., That this Council does hereby institute proceedings and take additional action
for the authorization and issuance in the manner required by law of not to exceed $550,000
General Obligation Bonds, Series 2014, for the foregoing general corporate purpose.
Section 2. This Resolution shall serve as a declaration of official intent under Treasury
Regulation 1.150 -2 and shall be maintained on file as a public record of such intent. It is
reasonably expected that moneys may be advanced from time to time for capital expenditures
which are to be paid from the proceeds of the above Bonds. The amounts so advanced shall be
reimbursed from the proceeds of the Bonds not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in service.
Such advancements shall not exceed the amount authorized in this Resolution unless the same
are for preliminary expenditures or unless another declaration of intention is adopted.
PASSED AND APPROVED this 15th day of April, 2014.
ATTEST:
City Clerk
��� A
Mayor
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15
Council Member Throgmorton introduced the following Resolution entitled
"RESOLUTION DIRECTING THE ADVERTISEMENT FOR SALE OF $11,980,000
(DOLLAR AMOUNT SUBJECT TO CHANGE) GENERAL OBLIGATION BONDS, SERIES
2014, AND APPROVING ELECTRONIC BIDDING PROCEDURES AND OFFICIAL
STATEMENT" and moved its adoption. Council Member Payne seconded the
Resolution to adopt. The roll was called and the vote was,
AYES: Payne, Throgmorton, Botchway, Dickens,
Dobyns, Hayek, Mims
NAYS: None
Whereupon, the Mayor declared the resolution duly adopted as follows:
RESOLUTION DIRECTING THE ADVERTISEMENT FOR
SALE OF $11,980,000 (DOLLAR AMOUNT SUBJECT TO
CHANGE) GENERAL OBLIGATION BONDS, SERIES 2014,
AND APPROVING ELECTRONIC BIDDING PROCEDURES
AND OFFICIAL STATEMENT
Resolution No 14 -108
WHEREAS, the City of Iowa City, State of Iowa, is in need of funds to pay costs of.
a. the acquisition, construction, reconstruction, enlargement, improvement, and repair of
bridges, culverts, retaining walls, viaducts, underpasses, grade crossing separations, and
approaches thereto;
b. the opening, widening, extending, grading, and draining of the right -of -way of streets,
highways, avenues, alleys and public grounds; the construction, reconstruction, and repairing of
any street improvements; the acquisition, installation, and repair of sidewalks, storm sewer,
water mains and traffic control devices; and the acquisition of any real estate needed for any of
the foregoing purposes;
c. the rehabilitation and improvement of parks already owned, including the removal,
replacement and planting of trees in the parks, and facilities, equipment, and improvements
commonly found in city parks;
d. the equipping of the fire department;
e. the acquisition, construction, reconstruction, and improvement of real and personal
property, useful for the protection or reclamation of property situated within the corporate limits
of cities from floods or high waters, and for the protection of property in cities from the effects
-2-
of flood waters, including the development and beautification of the banks and other areas
adjacent to flood control improvements;
f. the remediation, restoration and improvement of property that has been damaged by a
disaster as defined in section 29C.2 and that is located in an area that the governor has
proclaimed a disaster emergency or the president of the United States has declared a major
disaster; and
g. the settlement, adjustment, renewing, or extension of any part or all of the legal
indebtedness of a city, whether evidenced by bonds, warrants, or judgments, or the funding or
refunding of the same, whether or not such indebtedness was created for a purpose for which
general obligation bonds might have been issued in the original instance,
essential corporate purpose projects, and it is deemed necessary and advisable that the City issue
General Obligation Bonds for such purpose to the amount of not to exceed $8,350,000 as
authorized by Section 384.25 of the City Code of Iowa; and
WHEREAS, pursuant to notice published as required by Section 384.25 this Council has
held a public meeting and hearing on April 15, 2014, upon the proposal to institute proceedings
for the issuance of the Bonds, and all objections, if any, to such Council action made by any
resident or property owner of the City were received and considered by the Council; and it is the
decision of the Council that additional action be taken for the issuance of not to exceed
$8,350,000 General Obligation Bonds, and that such action is considered to be in the best
interests of the City and the residents thereof, and
WHEREAS, the City is also in need of funds to pay costs of aiding in the planning,
undertaking and carrying out of urban renewal projects, including sidewalk, sanitary sewer,
water main, traffic controls, storm sewer improvements and streetscaping improvements, an
essential corporate purpose, and it is deemed necessary and advisable that General Obligation
Bonds to the amount of not to exceed $3,200,000 be authorized for said purpose; and
WHEREAS, pursuant to notice published as required by Sections 384.24 (3)(q) and
384.25 of said Code, this Council has held a public meeting and hearing on April 15, 2014, upon
the proposal to institute proceedings for the issuance of said Bonds, and no petitions for
referendum having been received, the Council is therefore now authorized to proceed with the
issuance of not to exceed $3,200,000 General Obligation Bonds; and that such action is
considered to be in the best interests of the City and the residents thereof, and
WHEREAS, the City is also in rieed of funds to pay costs of the construction,
reconstruction, enlargement, improvement, furnishing and equipping of the City Hall,
a general corporate purpose project, and it is deemed necessary and advisable that the City issue
General Obligation Bonds for such purpose to the amount of not to exceed $300,000, as
authorized by Section 384.26 of the City Code of Iowa; and
-3-
WHEREAS, the City has a population of more than 5,000 but not more than 75,000, and
the amount of the proposed bond issue is not more than $700,000.00; and
WHEREAS, pursuant to notice published as required by Section 384.26 (5), this Council
has held a public meeting and hearing on April 15, 2014, upon the proposal to institute
proceedings for the issuance of said Bonds, and no petition was filed in the manner provided by
Section 362.4 of the City Code of Iowa; and it is the decision of the Council that additional
action be taken for the issuance of not to exceed $300,000 General Obligation Bonds, and that
such action is considered to be in the best interests of the City and the residents thereof, and
WHEREAS, the City is also in need of funds to pay costs of the construction,
reconstruction, enlargement, improvement, furnishing and equipping of the Library,
a general corporate purpose project, and it is deemed necessary and advisable that the City issue
General Obligation Bonds for such purpose to the amount of not to exceed $150,000, as
authorized by Section 384.26 of the City Code of Iowa; and
WHEREAS, the City has a population of more than 5,000 but not more than 75,000, and
the amount of the proposed bond issue is not more than $700,000.00; and
WHEREAS, pursuant to notice published as required by Section 384.26 (5), this Council
has held a public meeting and hearing on April 15, 2014, upon the proposal to institute
proceedings for the issuance of said Bonds, and no petition was filed in the manner provided by
Section 362.4 of the City Code of Iowa; and it is the decision of the Council that additional
action be taken for the issuance of not to exceed $150,000 General Obligation Bonds, and that
such action is considered to be in the best interests of the City and the residents thereof, and
WHEREAS, the City is also in need of funds to pay costs of any other purpose which is
necessary for the operation of the city or the health and welfare of its citizens, including plans for
the public works facility and parks,
a general corporate purpose project, and it is deemed necessary and advisable that the City issue
General Obligation Bonds for such purpose to the amount of not to exceed $400,000, as
authorized by Section 384.26 of the City Code of Iowa; and
WHEREAS, the City has a population of more than 5,000 but not more than 75,000, and
the amount of the proposed bond issue is not more than $700,000.00; and
WHEREAS, pursuant to notice published as required by Section 384.26 (5), this Council
has held a public meeting and hearing on April 15, 2014, upon the proposal to institute
proceedings for the issuance of said Bonds, and no petition was filed in the manner provided by
Section 362.4 of the City Code of Iowa; and it is the decision of the Council that additional
action be taken for the issuance of not to exceed $400,000 General Obligation Bonds, and that
such action is considered to be in the best interests of the City and the residents thereof; and
M
WHEREAS, the City is also in need of funds to pay costs of any other purpose which is
necessary for the operation of the city or the health and welfare of its citizens, including
engineering and planning for flood prevention and the purchase of downtown rental properties
and improvement of said properties for return to single family residence,
a general corporate purpose project, and it is deemed necessary and advisable that the City issue
General Obligation Bonds for such purpose to the amount of not to exceed $550,000, as
authorized by Section 384.26 of the City Code of Iowa; and
WHEREAS, the City has a population of more than 5,000 but not more than 75,000, and
the amount of the proposed bond issue is not more than $700,000.00; and
WHEREAS, pursuant to notice published as required by Section 384.26 (5), this Council
has held a public meeting and hearing on April 15, 2014, upon the proposal to institute
proceedings for the issuance of said Bonds, and no petition was filed in the manner provided by
Section 362.4 of the City Code of Iowa; and it is the decision of the Council that additional
action be taken for the issuance of not to exceed $550,000 General Obligation Bonds, and that
such action is considered to be in the best interests of the City and the residents thereof, and
WHEREAS, pursuant to Section 384.28 of the City Code of Iowa, it is deemed
appropriate that the various general obligation bonds hereinabove described be combined for
purposes of issuance and sale in a single issue of corporate purpose bonds as hereinafter set
forth; and
WHEREAS, in conjunction with its financial advisor, Public Financial Management,
Inc., the City has caused a Preliminary Official Statement to be prepared outlining the details of
the proposed sale of the Bond; and
WHEREAS, the Council has received information from its Financial Consultant
evaluating and recommending the procedure hereinafter described for electronic, facsimile and
internet bidding to maintain the integrity and security of the competitive bidding process and to
facilitate the delivery of bids by interested parties; and
WHEREAS, the Council deems it in the best interests of the City and the residents
thereof to receive bids to purchase such Bonds by means of both sealed and electronic internet
communication.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF IOWA CITY, STATE OF IOWA:
Section 1. That the receipt of electronic bids by facsimile machine and through the Parity
Competitive Bidding System described in the Notice of Sale are hereby found and determined to
provide reasonable security and to maintain the integrity of the competitive bidding process, and
to facilitate the delivery of bids by interested parties in connection with the offering at public
sale.
-5-
Section 2. That the preliminary Official Statement in the form presented to this meeting
be and the same hereby is approved as to form and deemed final for purposes of Rule 15c2 -12 of
the Securities and Exchange Commission, subject to such revisions, corrections or modifications
as the Mayor and City Clerk, upon the advice of bond counsel and the City's Financial Advisor,
shall determine to be appropriate, and is authorized to be distributed in connection with the
offering of the Bonds for sale.
Section 3. That the Clerk is hereby directed to publish notice of sale of said bonds at
least once, the last one of which shall be not less than four clear days nor more than twenty days
before the date of the sale. Publication shall be made in the "Iowa City Press - Citizen ", a legal
newspaper, printed wholly in the English language, published within the county in which the
bonds are to be offered for sale or an adjacent county. Said notice is given pursuant to Chapter
75 of the Code of Iowa, and shall state that this Council, on the 6th day of May, 2014, at 7:00
o'clock P.M., will hold a meeting to act upon bids for said bonds, which bids were previously
received and opened by City Officials at 10:00 o'clock A.M. on said date. The notice shall be in
substantially the following form:
M
Publish 4/25
NOTICE OF BOND SALE
Time and Place of Sealed Bids: Bids for the sale of General Obligation Bonds, Series
2014, of the City of Iowa City, State of Iowa, will be received at the office of the Finance
Director, City Hall, 410 E. Washington, Iowa City, Iowa 52440 (the "Issuer ") before 10:00
o'clock A.M., on the 6th day of May, 2014. The bids will then be publicly opened and referred
for action to the meeting of the City Council in conformity with the TERMS OF OFFERING.
The Bonds: The bonds to be offered are the following:
GENERAL OBLIGATION BONDS, SERIES 2014, in the amount of
$11,980,000 *, to be dated June 3, 2014 (the "Bonds ")
*Preliminary; subject to change. The aggregate principal amount of the Bonds, and each
scheduled maturity thereof, are subject to increase or reduction by the City or its designee
after the determination of the successful bidder. The City may increase or decrease each
maturity in increments of $5,000 but the total amount to be issued will not exceed
$12,400,000. Interest rates specified by the successful bidder for each maturity will not
change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be
changed if the aggregate principal amount of the Bonds is adjusted as described above.
Any change in the principal amount of any maturity of the Bonds may be made while
maintaining, as closely as possible, the successful bidder's net compensation, calculated
as a percentage of bond principal. The successful bidder may not withdraw or modify its
bid as a result of any post -bid adjustment. Any adjustment shall be conclusive, and shall
be binding upon the successful bidder.
Manner of Bidding: Open bids will not be received. Bids will be received in any of the
following methods:
• Sealed Bidding: Sealed bids may be submitted and will be received at the office
of the Finance Director at City Hall, 410 E. Washington, Iowa City, Iowa 52440.
• Electronic Internet Bidding: Electronic internet bids will be received at the office
of the Finance Director at City Hall, 410 E. Washington, Iowa City, Iowa 52440.
The bids must be submitted through the PARITY® competitive bidding system.
• Electronic Facsimile Bidding: Electronic facsimile bids will be received at the
office of the Finance Director at City Hall, 410 E. Washington, Iowa City, Iowa
52440 (facsimile number: 319 - 341 - 4008). Electronic facsimile bids will be
sealed and treated as sealed bids.
Consideration of Bids: After the time for receipt of bids has passed, the close of sealed
bids will be announced. Sealed bids will then be publicly opened and announced. Finally,
electronic internet bids will be accessed and announced.
Sale and Award: The sale and award of the Bonds will be held at the Emma J. Harvat
Hall, City Hall, 410 E. Washington, Iowa City, Iowa at a meeting of the City Council on the
above date at 7:00 o'clock P.M.
Official Statement: The Issuer has issued an Official Statement of information pertaining
to the Bonds to be offered, including a statement of the Terms of Offering and an Official Bid
Form, which is incorporated by reference as a part of this notice. The Official Statement may be
obtained by request addressed to the Finance Director, City Hall, 410 E. Washington, Iowa City,
Iowa 52440: Telephone 319 - 356 -5053 or the Issuer's Financial Consultant, Public Financial
Management, Inc., 801 Grand Avenue, Suite 3300, Des Moines, Iowa, 50309; Telephone: 515-
243 -2600.
Terms of Offering: All bids shall be in conformity with and the sale shall be in accord
with the Terms of Offering as set forth in the Official Statement.
Legal Opinion: The bonds will be sold subject to the opinion of Ahlers & Cooney, P.C.,
Attorneys of Des Moines, Iowa, as to the legality and their opinion will be furnished together
with the printed bonds without cost to the purchaser and all bids will be so conditioned. Except
to the extent necessary to issue their opinion as to the legality of the bonds, the attorneys will not
examine or review or express any opinion with respect to the accuracy or completeness of
documents, materials or statements made or furnished in connection with the sale, issuance or
marketing of the bonds.
Rights Reserved: The right is reserved to reject any or all bids, and to waive any
irregularities as deemed to be in the best interests of the public.
By order of the City Council of the City of Iowa City, State of Iowa.
Marian K. Karr
City Clerk, City of Iowa City, State of Iowa
(End of Notice)
PASSED AND APPROVED this 15th day of April, 2014.
4
Mayor
ATTEST:
City Clerk
15
PRELIMINARY OFFICIAL STATEMENT DATED APRIL 7, 2014
New and Refunding Issue Rating: Application Made to Moody's Investor Service
Assuming compliance with certain covenants, in the opinion of Ahlers & Cooney, P.C., Bond Counsel, under present law and assuming continued compliance with the
3` Internal re t the Bonds is c gross income Cy m o on the Bonds is not antemoftax prefencefn p ofthe federal alternative m n mumim imposed on individuals and rporation; however. with respect to
! ons
w o (as defined f or I edero! income tax purposes), such in ores( is included in ad usted current earnin g for the purpose of determining the alternative minimum rax im pos ed
on
c$ a corporations. Interest on the Bonds is included in gross income for purposes oflowa State personal and corporate (but not¢anchise) income taxes. The Bonds will NOT be
L designatedas "gualrfiedtax- exemp( obligations ". See "TAXMATTERS" section hereinfor a more detailed discussion.
v CITY OF IOWA CITY, IOWA
=z"
E � a
$11,980,000* General Obligation Bonds, Series 2014
�aA
Ns
BIDS RECEIVED: Tuesday, May 6, 2014, 10:00 o'clock A.M., Central Time
AWARD: Tuesday, May 6, 2014, 7:00 o'clock P.M., Central Time
E .= Dated: Date of Delivery (June 3, 2014) Principal Due: June 1 as shown inside front cover
O o a
m 2 = , The $11,9801000* General Obligation Bonds, Series 2014 (the "Bonds ") are being issued pursuant to Division III of
au
E Chapter 384 of the Code of Iowa, and resolutions to be adopted by the City Council of the City of Iowa City, Iowa (the
9 .. "City "). The Bonds are being issued for various new money purposes and to provide funds to current refund, on July 1,
s W y 2014, $590,000 of the outstanding General Obligation Refunding Capital Loan Notes, Series 2006C (the "Series 2006C
=-m
5 > e Notes ") dated September 15, 2006 and $2,050,000 of the outstanding General Obligation Bonds, Series 2007A (the
0 0
° g "Series 2007A Bonds ") dated May 31, 2007. (See "AUTHORITY AND PURPOSE" section herein for more detailed
a project descriptions.) The Bonds will be general obligations of the City for which the City will pledge its power to levy
T direct ad valorem taxes for the repayment of the Bonds.
M a m
z § The Bonds will be issued as fully registered Bonds without coupons and, when issued, will be registered in the name of
s 9 Cede & Co., as nominee of The Depository Trust Company ( "DTC "). DTC will act as securities depository for the
Is - 3 Bonds. Individual purchases may be made in book - entry-form only, in the principal amount of $5,000 and integral
multiples thereof. Purchaser will not receive certificates representing their interest in the Bonds purchased. The City
o Controller, as Registrar and Paying Agent, will pay principal of the Bonds, payable annually on June 1, beginning
_ June 1, 2015, and interest on the Bonds payable initially on December 1, 2014 and thereafter on each June 1 and
von
a G .= December 1 to DTC, which will in turn remit such principal and interest to its participants for subsequent disbursements
8 to the beneficial owners of the Bonds as described herein. Interest and principal shall be paid to the registered holder of a
o a C bond as shown on the records of ownership maintained by the Registrar as of the 15`s day of the month preceding such
Y € r interest payment date (the "Record Date ").
z
a THE BONDS WILL MATURE AS LISTED ON THE INSIDE FRONT COVER
� G
z_o
v V
G y 9
5
g g ; MINIMUM BID: $11,854,860
S GOOD FAITH DEPOSIT: Required of Purchaser Only
� .__ 9 Y
Federal: Tax-Exempt
E A o TAX MATTERS: P
State: Taxable
$ ° W See "TAXMATTERS" for more
information.
a+ = T
ti The Bonds are offered, subject to prior sale, withdrawal or modification, when, and if issued and subject to the legal
s t! opinion of Ahlers & Cooney, P.C., Bond Counsel, of Des Moines, Iowa, to be furnished upon delivery of the Bonds. It is
s expected that the Bonds will be available for delivery through the facilities of DTC on or about June 3, 2014. This
o Z Preliminary Official Statement will be further supplemented by offering prices, interest rates, selling compensation,
i" ° o = aggregate principal amount, principal amount per maturity, anticipated delivery date and underwriter, together with any
.E 8 = other information required by law, and shall constitute a "Final Official Statement" of the City with respect to the Bonds,
5 a o as defined in Rule 15c2 -12.
8
*Preliminary; subject to change.
CITY OF IOWA CITY, IOWA
$11,980,000* General Obligation Bonds, Series 2014
MATURITY: June 1 as follows:
Year
Amount*
Year
Amount*
2015
$935,000
2020
$925,000
2016
2,175,000
2021
950,000
2017
2,185,000
2022
970,000
2018
900,000
2023
1,000,000
2019
910,000
2024
1,030,000
PRINCIPAL
ADJUSTMENT: * Preliminary; subject to change. The aggregate principal amount of the Bonds, and each
scheduled maturity thereof, are subject to increase or reduction by the City or its designee
after the determination of the successful bidder. The City may increase or decrease each
maturity in increments of $5,000 but the total amount to be issued will not exceed
$12,400,000. Interest rates specified by the successful bidder for each maturity will not
change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed
if the aggregate principal amount of the Bonds is adjusted as described above. Any change
in the principal amount of any maturity of the Bonds may be made while maintaining, as
closely as possible, the successful bidder's net compensation, calculated as a percentage of
bond principal. The successful bidder may not withdraw or modify its bid as a result of any
post -bid adjustment. Any adjustment shall be conclusive, and shall be binding upon the
successful bidder.
REDEMPTION: Bonds due after June 1, 2020 will be subject to call prior to maturity in whole, or from time
to time in part, in any order of maturity and within a maturity by lot on said date or on any
date thereafter at the option of the City, upon terms of par plus accrued interest to date of
call. Written notice of such call shall be given at least thirty (30) days prior to the date fixed
for redemption to the registered owners of the Bonds to be redeemed at the address shown
on the registration books.
INTEREST: December 1, 2014 and semiannually thereafter.
COMPLIANCE WITH S.E.C. RULE 15c2 -12
Municipal obligations (issued in an aggregate amount over $1,000,000) are subject to General Rules and Regulations,
Securities Exchange Act of 1934, Rule 15c2 -12 Municipal Securities Disclosure.
Preliminary Official Statement: This Preliminary Official Statement was prepared for the City for dissemination to
prospective bidders. Its primary purpose is to disclose information regarding the Bonds to prospective bidders in the
interest of receiving competitive bids in accordance with the NOTICE OF BOND SALE and TERMS OF OFFERING
contained herein. Unless an addendum is received prior to the sale, this document shall be deemed the "Near Final
Official Statement'.
Review Period: This Preliminary Official Statement has been distributed to City staff as well as to prospective bidders
for an objective review of its disclosure. Comments or omissions or inaccuracies must be submitted to Public
Financial Management, Inc. (the "Financial Advisor ") at least two business days prior to the sale. Requests for
additional information or corrections in the Preliminary Official Statement received on or before this date will not be
considered a qualification of a bid received. If there are any changes, corrections or additions to the Preliminary
Official Statement, prospective bidders will be informed by an addendum at least one business day prior to the sale.
Final Official Statement: Upon award of sale of the Bonds, the legislative body will authorize the preparation of a
Final Official Statement that includes the offering prices, interest rates, selling compensation, aggregate principal
amount, principal amount per maturity, anticipated delivery date and other information required by law and the identity
of the underwriter (the "Syndicate Manager ") and syndicate members. Copies of the Final Official Statement will be
delivered to the Syndicate Manager within seven business days following the bid acceptance.
REPRESENTATIONS
No dealer, broker, salesperson or other person has been authorized by the City to give any information or to make any
representations, other than those contained in the Preliminary Official Statement. This Preliminary Official Statement
does not constitute any offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Bonds by any
person, in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The
information, estimates and expressions of opinion herein are subject to change without notice and neither the delivery
of this Preliminary Official Statement nor any sale made hereunder, shall, under any circumstances, create any
implication that there has been no change in the affairs of the City since the date hereof. This Preliminary Official
Statement is submitted in connection with the sale of the securities referred to herein and may not be reproduced or
used, in whole or in part, for any other purpose.
This Preliminary Official Statement and any addenda thereto were prepared relying on information from the City and
other sources, which are believed to be reliable.
Bond Counsel has not participated in the preparation of this Preliminary Official Statement and is not expressing any
opinion as to the completeness or accuracy of the information contained therein.
Compensation of the Financial Advisor, payable entirely by the City, is contingent upon the sale of the issue.
(This page has been left blank intentionally.)
TABLE OF CONTENTS
NOTICE OF BOND SALE .................................................................................................................... ............................... i
TERMSOF OFFERING ......................................................................................................................... .............................ii
SCHEDULEOF BOND YEARS ............................................................................ ............................... ............................vii
INTRODUCTION.................................................................................................................................. ..............................1
AUTHORITY AND PURPOSE ........................................................................................................... ..............................1
OPTIONALREDEMPTION .............................................................................................................. ...............................
2
INTERESTON THE BONDS ............................................................................................................. ..............................2
PAYMENT OF AND SECURITY FOR THE BONDS ....................................................................... ..............................2
BOOK - ENTRY -ONLY ISSUANCE ................................................................................................... ..............................3
FUTUREFINANCING ...................................................................................................................... ...............................
4
LITIGATION; DEBT PAYMENT HISTORY ................................................................................... ...............................
5
LEGALITY; TAX MATTERS ........................................................................................................... ...............................
5
RATING............................................................................................................................................. ...............................
8
FINANCIALADVISOR ..................................................................................................................... ...............................
8
CONTINUINGDISCLOSURE .......................................................................................................... ...............................
8
CERTIFICATION............................................................................................................................... ...............................
9
CITY PROPERTY VALUES ............................................................................................................... .............................10
IOWA PROPERTY VALUATIONS .................................................................................................. .............................10
1/1/2012 VALUATIONS (Taxes Payable July 1, 2013 to June 30, 2014) .......................................... .............................10
2012 GROSS TAXABLE VALUATION BY CLASS OF PROPERTY ............................................ .............................10
TRENDOF VALUATIONS ............................................................................................................... .............................11
LARGERTAXPAYERS .................................................................................................................... .............................11
RECENT PROPERTY TAX LEGISLATION .................................................................................... .............................12
CITYINDEBTEDNESS ........................................................................................................................ .............................13
DEBTLIMIT ...................................................................................................................................... .............................13
DIRECTDEBT ................................................................................................................................... .............................13
OTHERDEBT .................................................................................................................................. ...............................
14
INDIRECT GENERAL OBLIGATION DEBT; DEBT RATIOS ...................................................... .............................15
LEVIES AND TAX COLLECTIONS; TAX RATES ........................................................................ .............................16
LEVY LIMTS; CITY FUNDS ON HAND (Cash and Investments by Fund as of January 31, 2014) ............................16
THECITY .............................................................................................................................................. .............................17
CITYGOVERNMENT ..................................................................................................................... ...............................
17
EMPLOYEESAND PENSIONS ........................................................................................................ .............................17
OTHER POST - EMPLOYMENT BENEFITS .................................................................................... .............................17
UNIONCONTRACTS ....................................................................................................................... .............................18
INSURANCE.................................................................................................................................... ...............................
19
GENERAL INFORMATION ............................................................................................................... .............................20
LOCATION AND TRANSPORTATION ........................................................................................ ...............................
20
LARGEREMPLOYERS .................................................................................................................. ...............................
20
BUILDINGPERMITS ...................................................................................................................... ...............................
20
U.S. CENSUS DATA ......................................................................................................................... .............................21
UNEMPLOYMENT RATES .............................................................................................................. .............................21
EDUCATION................................................................................................................................... ...............................
21
EFFECTIVE BUYING INCOME ....................................................................................................... .............................21
FINANCIAL SERVICES ................................................................................................................... .............................22
FINANCIAL STATEMENTS .......................................................................................................... ...............................
22
APPENDIX A - FORM OF LEGAL OPINION
APPENDIX B - JUNE 30, 2013 COMPREHENSIVE ANNUAL FINANCIAL REPORT
APPENDIX C - FORM OF CONTINUING DISCLOSURE CERTIFICATE
OFFICIAL BID FORM
Matt Hayek
Susan Mims
Kingsley Botchway II
Terry Dickens
Rick Dobyns
Michelle Payne
Jim Throgmorton
City of Iowa City, Iowa
Ma, o�tyy Council
Mayor
Mayor Pro Tern
Council Member
Council Member
Council Member
Council Member
Council Member
Administration
Term Expires January, 2016
Term Expires January, 2018
Term Expires January, 2018
Term Expires January, 2018
Term Expires January, 2016
Term Expires January, 2016
Term Expires January, 2016
Thomas M. Markus, City Manager
Dennis Bockenstedt, Finance Director
Marian K. Karr, City Clerk
City Attorney
Eleanor M. Dilkes
Iowa City, Iowa
Bond Counsel
Ahlers & Cooney, P.C.
Des Moines, Iowa
Financial Advisor
Public Financial Management, Inc.
Des Moines, Iowa
NOTICE OF BOND SALE
Time and Place of Sealed Bids: Bids for the sale of General Obligation Bonds, Series 2014, of the City of
Iowa City, State of Iowa, will be received at the office of the Finance Director, City Hall, 410 E. Washington, Iowa
City, Iowa 52440 (the "Issuer ") before 10:00 o'clock A.M., on the 6th day of May, 2014. The bids will then be
publicly opened and referred for action to the meeting of the City Council in conformity with the TERMS OF
OFFERING.
The Bonds: The bonds to be offered are the following:
GENERAL OBLIGATION BONDS, SERIES 2014, in the amount of $11,980,000 *, to be dated
June 3, 2014 (the "Bonds ")
*Preliminary; subject to change. The aggregate principal amount of the Bonds, and each scheduled maturity
thereof, are subject to increase or reduction by the City or its designee after the determination of the
successful bidder. The City may increase or decrease each maturity in increments of $5,000 but the total
amount to be issued will not exceed $12,400,000. Interest rates specified by the successful bidder for each
maturity will not change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if the aggregate
principal amount of the Bonds is adjusted as described above. Any change in the principal amount of any
maturity of the Bonds may be made while maintaining, as closely as possible, the successful bidder's net
compensation, calculated as a percentage of bond principal. The successful bidder may not withdraw or
modify its bid as a result of any post -bid adjustment. Any adjustment shall be conclusive, and shall be binding
upon the successful bidder.
Manner of Bidding: Open bids will not be received. Bids will be received in any of the following methods:
Sealed Bidding: Sealed bids may be submitted and will be received at the office of the Finance
Director at City Hall, 410 E. Washington, Iowa City, Iowa 52440.
Electronic Internet Bidding: Electronic internet bids will be received at the office of the Finance
Director at City Hall, 410 E. Washington, Iowa City, Iowa 52440. The bids must be submitted
through the PARITY® competitive bidding system.
Electronic Facsimile Bidding: Electronic facsimile bids will be received at the office of the Finance
Director at City Hall, 410 E. Washington, Iowa City, Iowa 52440 (facsimile number: 319 - 341 - 4008).
Electronic facsimile bids will be sealed and treated as sealed bids.
Consideration of Bids: After the time for receipt of bids has passed, the close of sealed bids will be
announced. Sealed bids will then be publicly opened and announced. Finally, electronic internet bids will be
accessed and announced.
Sale and Award: The sale and award of the Bonds will be held at the Emma J. Harvat Hall, City Hall, 410 E.
Washington, Iowa City, Iowa at a meeting of the City Council on the above date at 7:00 o'clock P.M.
Official Statement: The Issuer has issued an Official Statement of information pertaining to the Bonds to be
offered, including a statement of the Terms of Offering and an Official Bid Form, which is incorporated by reference
as a part of this notice. The Official Statement may be obtained by request addressed to the Finance Director, City
Hall, 410 E. Washington, Iowa City, Iowa 52440: Telephone 319 - 356 -5053 or the Issuer's Financial Consultant,
Public Financial Management, Inc., 801 Grand Avenue, Suite 3300, Des Moines, Iowa, 50309; Telephone: 515 -243-
2600.
Terms of Offering: All bids shall be in conformity with and the sale shall be in accord with the Terms of
Offering as set forth in the Official Statement.
Legal Opinion: The Bonds will be sold subject to the opinion of Ahlers & Cooney, P.C., Attorneys of Des
Moines, Iowa, as to the legality and their opinion will be furnished together with the printed bonds without cost to the
purchaser and all bids will be so conditioned. Except to the extent necessary to issue their opinion as to the legality of
the bonds, the attorneys will not examine or review or express any opinion with respect to the accuracy or
completeness of documents, materials or statements made or furnished in connection with the sale, issuance or
marketing of the Bonds.
Rights Reserved: The right is reserved to reject any or all bids, and to waive any irregularities as deemed to
be in the best interests of the public.
By order of the City Council of the City of Iowa City, State of Iowa.
City Clerk, City of Iowa City, State of Iowa
(End of Notice)
ii
CITY OF IOWA CITY, IOWA
TERMS OF OFFERING
Bids for the purchase of the City of Iowa City, Iowa's (the "City ") $11,980,000* General Obligation Bonds, Series
2014 (the "Bonds ") will be received on Tuesday, May 6, 2014 before 10:00 o'clock A.M. Central Time after which
time they will be tabulated. The City Council will consider award of the Bonds at 7:00 o'clock P.M. Central Time, on
the same day. Questions regarding the sale of the Bonds should be directed to the City's Financial Advisor, Public
Financial Management, Inc., 801 Grand Avenue, Suite 3300, Des Moines, Iowa 50309, or by telephoning 515 -243-
2600. Information can also be obtained from Mr. Dennis Bockenstedt, Finance Director, City of Iowa City, 410 East
Washington Street, Iowa City, Iowa 52240, or by telephoning 319 - 356 -5053. In addition to the provisions in the
NOTICE OF BOND SALE, the following section sets forth the description of certain terms of the Bonds as well as
the TERMS OF OFFERING with which all bidders and bid proposals are required to comply, as follows:
DETAILS OF THE BONDS
GENERAL OBLIGATION BONDS, SERIES 2014 in the principal amount of $11,980,000* to be dated June 3, 2014
in the denomination of $5,000 or multiples thereof, will mature June 1, as follows:
Year
Amount*
Year
Amount*
2015
$935,000
2020
$925,000
2016
2,175,000
2021
950,000
2017
2,185,000
2022
970,000
2018
900,000
2023
1,000,000
2019
910,000
2024
1,030,000
* Preliminary; subject to change. The aggregate principal amount of the Bonds, and each scheduled maturity thereof,
are subject to increase or reduction by the City or its designee after the determination of the successful
bidder. The City may increase or decrease each maturity in increments of $5,000 but the total amount to be issued
will not exceed $12,400,000. Interest rates specified by the successful bidder for each maturity will not
change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if the aggregate
principal amount of the Bonds is adjusted as described above. Any change in the principal amount of any maturity
of the Bonds may be made while maintaining, as closely as possible, the successful bidder's net compensation,
calculated as a percentage of bond principal. The successful bidder may not withdraw or modify its bid as a result
of any post -bid adjustment. Any adjustment shall be conclusive, and shall be binding upon the successful bidder.
TERM -BOND OPTION
Bidders shall have the option of designating the Bonds as serial bonds or term bonds, or both. The bid must designate
whether each of the principal amounts shown above represent a serial maturity or a mandatory redemption
requirement for a term bond maturity. (See the OFFICIAL BID FORM for more information.) In any event, the
above principal amount scheduled shall be represented by either serial bond maturities or mandatory redemption
requirements, or a combination of both.
OPTIONAL REDEMPTION OF THE BONDS
Bonds due after June 1, 2020 will be subject to call prior to maturity in whole, or from time to time in part, in any
order of maturity and within a maturity by lot on said date or on any date thereafter at the option of the City, upon
terms of par plus accrued interest to date of call. Written notice of such call shall be given at least thirty (30) days
prior to the date fixed for redemption to the registered owners of the Bonds to be redeemed at the address shown on
the registration books.
iii
INTEREST ON THE BONDS
Interest on the Bonds will be payable on December 1, 2014 and semiannually on the ls` day of June and December
thereafter. Interest and principal shall be paid to the registered holder of a bond as shown on the records of ownership
maintained by the Registrar as of the 15'' day of the month preceding such interest payment date (the "Record Date ").
Interest will be computed on the basis of a 360 -day year of twelve 30 -day months and will be rounded pursuant to
rules of the Municipal Securities Rulemaking Board.
GOOD FAITH DEPOSIT
A good faith deposit in the amount of $119,800 for the Bonds (the "Deposit ") is required from the lowest bidder only
of the Bonds. The lowest bidder is required to submit such Deposit payable to the order of the City in the form of
either (i) a cashier's check provided to the City or its Financial Advisor prior to the opening of bids or (ii) a wire
transfer as instructed by the City's Financial Advisor not later than 12:00 o'clock P.M. Central Time on the day of
sale of the Bonds. If not so received, the bid of the lowest bidder may be rejected and the City may direct the second
lowest bidder to submit a Deposit and thereafter may award the sale of the Bonds to the same. No interest on a
Deposit will accrue to the successful bidder (the "Purchaser "). The Deposit will be applied to the purchase price of
the Bonds. In the event a Purchaser fails to honor its accepted bid proposal, any deposit will be retained by the City.
FORM OF BIDS AND AWARD
All bids shall be unconditional for the Bonds for a price not less than $11,854,860, plus accrued interest, and shall
specify the rate or rates of interest in conformity to the limitations set forth under the "BIDDING PARAMETERS"
section. Bids must be submitted on or in substantial compliance with the OFFICIAL BID FORM provided by the
City. The Bonds will be awarded to the bidder offering the lowest interest rate to be determined on a true interest cost
(the "TIC ") basis assuming compliance with the "GOOD FAITH DEPOSIT" section. The TIC shall be determined by
the present value method, i.e., by ascertaining the semiannual rate, compounded semiannually, necessary to discount
to present value as of the dated date of the Bonds, the amount payable on each interest payment date and on each
stated maturity date or earlier mandatory redemption, so that the aggregate of such amounts will equal the aggregate
purchase price offered therefore. The TIC shall be stated in terms of an annual percentage rate and shall be that rate
of interest, which is twice the semiannual rate so ascertained (also known as the Canadian Method). The TIC shall be
as determined by the Financial Advisor based on the TERMS OF OFFERING and all amendments, and on the bids as
submitted. The Financial Advisor's computation of the TIC of each bid shall be controlling. In the event of tie bids
for the lowest TIC, the Bonds will be awarded by lot.
The City will reserve the right to: (i) waive non - substantive informalities of any bid or of matters relating to the
receipt of bids and award of the Bonds, (ii) reject all bids without cause and (iii) reject any bid which the City
determines to have failed to comply with the terms herein.
BIDDING PARAMETERS
Each bidder's proposal must conform to the following limitations:
1. Each annual maturity must bear a single rate of interest from the dated date of the Bonds to the date of
maturity.
2. Rates of interest bid must be in multiples of one - eighth or one - twentieth of one percent.
3. The initial price to the public for each maturity must be 98% or greater.
iv
RECEIPT OF BIDS
Forms of Bids: Bids must be submitted on or in substantial compliance with the NOTICE OF BOND SALE and
OFFICIAL BID FORM provided by the City or through PARITY® competitive bidding system (the "Internet Bid
System "). Neither the City nor its agents shall be responsible for malfunction or mistake made by any person, or as a
result of the use of the electronic bid or any other means used to deliver or complete a bid. The use of such means is
at the sole risk of the prospective bidder who shall be bound by the terms of the bid as received.
No bid will be accepted after the time specified in the NOTICE OF BOND SALE. The time as maintained by the
Internet Bid System shall constitute the official time with respect to all bids submitted. A bid may be withdrawn
before the bid deadline using the same method used to submit the bid. If more than one bid is received from a bidder,
the last bid received shall be considered.
Sealed Bidding: Sealed bids may be submitted and will be received at the office of the Finance Director at City Hall,
410 E. Washington, Iowa City, Iowa, 52440.
Electronic Internet Bidding: Electronic internet bids will be received at the office of the Finance Director at City Hall,
410 E. Washington, Iowa City, Iowa, 52440. Internet bids must be submitted through the Internet Bid System.
Information about the Internet Bid System may be obtained by calling 212 - 404 -8102.
Each bidder shall be solely responsible for making necessary arrangements to access the Internet Bid System for
purposes of submitting its internet bid in a timely manner and in compliance with the requirements of the NOTICE
OF BOND SALE and OFFICIAL BID FORM. The City is permitting bidders to use the services of the Internet Bid
System solely as a communication mechanism to conduct the Internet bidding and the Internet Bid System is not an
agent of the City. Provisions of the TERMS OF OFFERING and OFFICIAL BID FORM shall control in the event of
conflict with information provided by the Internet Bid System.
Electronic Facsimile Bidding: Electronic facsimile bids will be received at the Office of the Finance Director,
Finance Director at City Hall, 410 E. Washington, Iowa City, Iowa, 52440 (facsimile number: 319 - 341- 4008).
Electronic facsimile bids will be sealed and treated as sealed bids. Electronic Facsimile bids received after the
deadline will be rejected. Bidders electing to submit bids via facsimile transmission bear full responsibility for the
transmission of such bid. Neither the City nor its agents will assume liability for the inability of the bidder to reach
the above named facsimile numbers prior to the time of sale specified above. Time of receipt shall be the time
recorded by the facsimile operator receiving the bids.
BOOK - ENTRY -ONLY ISSUANCE
The Bonds will be issued by means of a book -entry -only issuance with no physical distribution of bond or note
certificates made to the public. The Bonds will be issued in fully registered form and one bond or note certificates,
representing the aggregate principal amount of the Bonds maturing in each year will be registered in the name of Cede
& Co. as nominee of The Depository Trust Company ( "DTC "), New York, NY, which will act as securities
depository of the Bonds. Individual purchases of the Bonds may be made in the principal amount of $5,000 or any
multiple thereof of a single maturity through book entries made on the books and records of DTC and its participants.
Principal and interest are payable by the Registrar to DTC or its nominee as registered owner of the Bonds. Transfer
of principal and interest payments to participants of DTC will be the responsibility of DTC; transfer of principal and
interest payments to beneficial owners by participants will be the responsibility of such participants and other
nominees of beneficial owners. The Purchaser, as a condition of delivery of the Bonds, will be required to deposit the
bond or note certificates with DTC.
v
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify for issuance of any policy of municipal bond or note insurance or commitment therefore at the
option of the bidder, the purchase of any such insurance policy or the issuance of any such commitment shall be at the
sole option and expense of the Purchaser. Any increased costs of issuance of the Bonds resulting from such purchase
of insurance shall be paid by the Purchaser, except that, if the City has requested and received a rating on the Bonds
from a rating agency, the City will pay that initial rating fee. Any other rating agency fees shall be the responsibility
of the Purchaser. Failure of the municipal bond or note insurer to issue the policy after the Bonds have been awarded
to the Purchaser shall not constitute cause for failure or refusal by the Purchaser to accept delivery on the Bonds. The
City reserves the right in its sole discretion to accept or deny changes to the financing documents requested by the
insurer selected by the Purchaser.
DELIVERY
The Bonds will be delivered to the Purchaser through DTC in New York, New York, against full payment in
immediately available cash or federal funds. The Bonds are expected to be delivered within forty-five days after the
sale. Should delivery be delayed beyond sixty days from date of sale for any reason except failure of performance by
a Purchaser, the Purchaser may withdraw their bid and thereafter their interest in and liability for the Bonds will
cease. When the Bonds are ready for delivery, the City may give the Purchaser five working days notice of the
delivery date and the City will expect payment in full on that date, otherwise reserving the right of its option to
determine that the Purchaser has failed to comply with the offer of purchase.
INFORMATION FROM PURCHASER
The Purchaser will be required to certify to the City immediately after the opening of bids: (i) the initial public
offering price of each maturity of the Bonds (not including sales to bond houses and brokers or similar persons or
organizations acting in the capacity of underwriters or wholesalers) at which price a substantial amount of the Bonds
(not less than 10% of each maturity) were sold to the public; or (ii) if less than 10% of any maturity has been sold, the
price for that maturity determined as of the time of the sale based upon the reasonably expected initial offering price
to the public; and (iii) that the initial public offering price does not exceed their fair market value of the Bonds on the
sale date. The Purchaser will also be required to provide a certificate at closing confirming the information required
by this paragraph.
OFFICIAL STATEMENT
The City has authorized the preparation of a Preliminary Official Statement containing pertinent information relative
to the Bonds. The Official Statement will be further supplemented by offering prices, interest rates, selling
compensation, aggregate principal amount, principal amount per maturity, anticipated delivery date and the identity of
the underwriters, together with any other information required by law or deemed appropriate by the City, shall
constitute a Final Official Statement of the City with respect to the Bonds, as that term is defined in Rule 15c2 -12
promulgated by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended,
(the "Rule "). By awarding the Bonds to any underwriter or underwriting syndicate submitting an OFFICIAL BID
FORM therefore, the City agrees that, no more than seven (7) business days after the date of such award, it shall
provide without cost to the senior managing underwriter of the syndicate to which each series of the Bonds are
awarded up to 30 copies of the Final Official Statement to permit each "Participating Underwriter" (as that term is
defined in the Rule) to comply with the provisions of such Rule. The City shall treat the senior managing underwriter
of the syndicate to which the Bonds are awarded as its designated agent for purposes of distributing copies of the
Final Official Statement to the Participating Underwriter. Any underwriter executing and delivering an OFFICIAL
BID FORM with respect to the Bonds agrees thereby that if its bid is accepted by the City, (i) it shall accept such
designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for
purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement.
A
CONTINUING DISCLOSURE
In order to permit bidders for the Bonds and other participating underwriters in the primary offering of the Bonds to
comply with paragraph (b)(5) of Rule 15c2 -12 promulgated by the Securities and Exchange Commission under the
Securities Exchange Act of 1934, as amended (the "Rule "), the City will covenant and agree, for the benefit of the
registered holders or beneficial owners from time to time of the outstanding Bonds, in the resolution of the Bonds and
the Continuing Disclosure Certificate, to provide annual reports of specified information and notice of the occurrence
of certain material events as hereinafter described (the "Disclosure Covenants "). The information to be provided on
an annual basis, the events as to which notice is to be given, and a summary of other provisions of the Disclosure
Covenants, including termination, amendment and remedies, are set forth as APPENDIX C to this Preliminary
Official Statement.
In accordance with the reporting requirements of paragraph (f)(3) of the Rule, the City is currently compliant in all
material respects with its continuing disclosure undertakings. However, the City inadvertently failed to timely file
certain required annual disclosure reports for fiscal years ended June 30, 2009, 2010, and 2011. As of October 24,
2012, the City became compliant and has since implemented procedures to assure future compliance with disclosure
covenants. The City has completely and timely filed for the last three years.
Breach of the Disclosure Covenants will not constitute a default or an "Event of Default" under the Bonds or the
resolutions for the Bonds. A broker or dealer is to consider a known breach of the Disclosure Covenants, however,
before recommending the purchase or sale of the Bonds in the secondary market. Thus, a failure on the part of the
City to observe the Disclosure Covenants may adversely affect the transferability and liquidity of the Bonds and their
market price.
CUSIP NUMBERS
It is anticipated that Committee on Uniform Security Identification Procedures ( "CUSIP ") numbers will be printed on
the Bonds and the Purchaser must agree in the bid proposal to pay the cost thereof. In no event will the City, Bond
Counsel or Financial Advisor be responsible for the review of, or express any opinion that the CUSIP numbers are
correct. Incorrect CUSIP numbers on said Bonds shall not be cause for the Purchaser to refuse to accept delivery of
said Bonds.
BY ORDER OF THE CITY COUNCIL
Dennis Bockenstedt, Finance Director
City of Iowa City, Iowa
410 East Washington Street
Iowa City, Iowa 52240
vii
SCHEDULE OF BOND YEARS
$11,980,000*
CITY OF IOWA CITY, IOWA
General Obligation Bonds, Series 2014
Bonds Dated: June 3, 2014
Interest Due: December 1, 2014 and each June 1 and December 1 to maturity
Principal Due: June 1, 2015 -2024
* Preliminary, subject to change.
viii
Cumulative
Year
Principal*
Bond Years
Bond Years
2015
$935,000
929.81
929.81
2016
2,175,000
4,337.92
5,267.72
2017
2,185,000
6,542.86
11,810.58
2018
900,000
3,595.00
15,405.58
2019
910,000
4,544.94
19,950.53
2020
925,000
5,544.86
25,495.39
2021
950,000
6,644.72
32,140.11
2022
970,000
7,754.61
39,894.72
2023
1,000,000
8,994.44
48,889.17
2024
1,030,000
10,294.28
59,183.44
Average Maturity
(dated date):
4.940 Years
* Preliminary, subject to change.
viii
PRELIMINARY OFFICIAL STATEMENT
CITY OF IOWA CITY, IOWA
$11,980,000* General Obligation Bonds, Series 2014
INTRODUCTION
This Preliminary Official Statement contains information relating to the City of Iowa City, Iowa (the "City ") and its
issuance of $11,980,000* General Obligation Bonds, Series 2014 (the "Bonds "). This Preliminary Official Statement
has been authorized on behalf of the City and its Finance Director and may be distributed in connection with the sale of
the Bonds authorized therein. Inquiries may be made to the City's Financial Advisor, Public Financial Management,
Inc., 801 Grand Avenue, Suite 3300, Des Moines, Iowa 50309, or by telephoning 515- 243 -2600. Information can also
be obtained from Mr. Dennis Bockenstedt, Finance Director, City of Iowa City, 410 East Washington Street, Iowa City,
Iowa 52240, or by telephoning 319 - 356 -5053.
AUTHORITY AND PURPOSE
The Bonds are issued pursuant to Division III of Sections 384.25 and 384.26 of the Code of Iowa, and a resolution to
be adopted by the City Council of the City. The Bonds proceeds will be used to pay the costs of aiding in the planning,
undertaking and carrying out of urban renewal projects, including sidewalk, sanitary sewer, water main, traffic
controls, storm sewer improvements and streetscaping improvements; the acquisition, construction, reconstruction,
enlargement, improvements, and repair of bridges, culvert, retaining walls, viaducts, underpasses, grade crossing
separations, and approaches thereto; the opening widening extending, grading, and draining of the right -of -way of
streets, highways, avenues, alleys and public grounds; the construction, reconstruction, and repairing of any street
improvements; the acquisition, installation, and repair of sidewalks, storm sewer, water mains and traffic control
devices; and the acquisition of any real estate needed for any of the foregoing purposes; the rehabilitation and
improvement of parks already owned, including the removal, replacement and planting of trees in the parks, and
facilities, equipment, and improvements commonly found in city parks; the equipping of the fire department; the
acquisition, construction, reconstruction, and improvement of real and personal property, useful for the protection or
reclamation of property situated within the corporate limits of cities from floods or high waters, and for the protection
of property in cities from the effects of flood waters, including the development and beautification of the banks and
other areas adjacent to flood control improvements; the remediation, restoration and improvement of property that has
been damaged by the disaster as defined in section 29C.2 and that is located in an area that the governor has
proclaimed a disaster emergency or the president of the United States has declared a major disaster; the construction,
reconstruction, enlargement, improvement, furnishing and equipping of the City Hall; the construction, reconstruction,
enlargement, improvement, furnishing and equipping of the Library; any other purpose which is necessary for the
operation of the City of the health and welfare of its citizens, including plans for the public works facility and parks;
engineering and planning for flood prevention and the purchase of downtown rental properties and improvement of
said properties for return to single family residence. In addition, the Bonds are being issued to provide funds to current
refund, on July 1, 2014, $590,000 of the outstanding General Obligation Refunding Capital Loan Notes, Series 2006C
(the "Series 2006C Notes ") dated September 15, 2006 and $2,050,000 of the outstanding General Obligation Bonds,
Series 2007A (the "Series 2007A Bonds ") dated May 31, 2007.
Name of Issue Maturities to
Principal
to be refunded Call Date Call Price be Refunded
Amount Coupon
Series 2006C Notes July 1, 2014 100% June 1, 2016
$295,000 3.75%
June 1, 2017
295.000 3.75%
$590,000
Name of Issue Maturities to
Principal
to be refunded Call Date Call Price be Refunded
Amount Coupon
Series 2007A Bonds July 1, 2014 100% June 1, 2016
$1,005,000 3.75%
June 1, 2017
1,045,000 3.75%
Total Uses
$2,050,000
The estimated Sources and Uses of the Bonds are as follows:
Sources of Funds
Par Amount of Bonds $11,980,000.00*
Existing Debt Service Funds on Hand 8,250.00
Total Uses $11,988,250.00*
Uses of Funds
Deposit to Project Fund
$9,153,215.00
Refunding Escrow Deposit
2,648,250.00
Underwriter's Discount
125,140.00
Cost of Issuance & Contingency
61,645.00
Total Uses
$11,988,250.00*
* Preliminary, subject to change.
OPTIONAL REDEMPTION
Bonds due after June 1, 2020 will be subject to call prior to maturity in whole, or from time to time in part, in any
order of maturity and within a maturity by lot on said date or on any date thereafter at the option of the City, upon
terms of par plus accrued interest to date of call. Written notice of such call shall be given at least thirty (30) days
prior to the date fixed for redemption to the registered owners of the Bonds to be redeemed at the address shown on the
registration books.
INTEREST ON THE BONDS
Interest on the Bonds will be payable on December 1, 2014 and semiannually on the I' day of June and December
thereafter. Interest and principal shall be paid to the registered holder of a bond as shown on the records of ownership
maintained by the Registrar as of the 15"' day of the month preceding such interest payment date (the "Record Date ").
Interest will be computed on the basis of a 360 -day year of twelve 30 -day months and will be rounded pursuant to
rules of the Municipal Securities Rulemaking Board.
PAYMENT OF AND SECURITY FOR THE BONDS
The Bonds are general obligations of the City and the unlimited taxing powers of the City are irrevocably pledged for
their payment. Upon issuance of the Bonds, the City will levy taxes for the years and in amounts sufficient to provide
100% of annual principal and interest due on all Bonds. If, however, the amount credited to the debt service fund for
payment of the Bonds is insufficient to pay principal and interest, whether from transfers or from original levies, the
City must use funds in its treasury and is required to levy ad valorem taxes upon all taxable property in the City
without limit as to rate or amount sufficient to pay the debt service deficiency.
BOOK - ENTRY -ONLY ISSUANCE
The information contained in the following paragraphs of this subsection "Book -Entry -Only Issuance" has been
extracted from a schedule prepared by Depository Trust Company ( "DTC') entitled "SAMPLE OFFERING
DOCUMENT LANGUAGE DESCRIBING DTC AND BOOK - ENTRY -ONLY ISSUANCE. " The information in this
section concerning DTC and DTC's book -entry system has been obtained from sources that the City believes to be
reliable, but the City takes no responsibility for the accuracy thereof.
The Depository Trust Company ( "DTC "), New York, NY, will act as securities depository for the securities (the
"Securities "). The Securities will be issued as fully- registered securities registered in the name of Cede & Co. (DTC's
partnership nominee) or such other name as may be requested by an authorized representative of DTC. One fully -
registered Security certificate will be issued for each issue of the Securities, each in the aggregate principal amount of
such issue, and will be deposited with DTC. If, however, the aggregate principal amount of any issue exceeds $500
million, one certificate will be issued with respect to each $500 million of principal amount, and an additional
certificate will be issued with respect to any remaining principal amount of such issue.
DTC, the world's largest securities depository, is a limited - purpose trust company organized under the New York
Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal
Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a
"clearing agency" registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC
holds and provides asset servicing for over 3.5 million issues of U.S. and non -U.S. equity issues, corporate and
municipal debt issues, and money market instruments from over 100 countries that DTC's participants (the "Direct
Participants ") deposit with DTC. DTC also facilitates the post -trade settlement among Direct Participants of sales and
other securities transactions in deposited securities, through electronic computerized book -entry transfers and pledges
between Direct Participants' accounts. This eliminates the need for physical movement of securities certificates.
Direct Participants include both U.S. and non -U.S. securities brokers and dealers, banks, trust companies, clearing
corporations, and certain other organizations. DTC is a wholly -owned subsidiary of The Depository Trust & Clearing
Corporation ( "DTCC "). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed
Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its
regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non -U.S. securities
brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a custodial
relationship with a Direct Participant, either directly or indirectly (the "Indirect Participants "). DTC has Standard &
Poor's rating: AA +. The DTC Rules applicable to its Participants are on file with the Securities and Exchange
Commission. More information about DTC can be found at www.dtcc.com and www.dtc.oriz.
Purchases of Securities under the DTC system must be made by or through Direct Participants, which will receive a
credit for the Securities on DTC's records. The ownership interest of each actual purchaser of each Security (the
"Beneficial Owner ") is in turn to be recorded on the Direct and Indirect Participants' records. Beneficial Owners will
not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected to receive
written confirmations providing details of the transaction, as well as periodic statements of their holdings, from the
Direct or Indirect Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership
interests in the Securities are to be accomplished by entries made on the books of Direct and Indirect Participants
acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership
interests in Securities, except in the event that use of the book -entry system for the Securities is discontinued.
To facilitate subsequent transfers, all Securities deposited by Direct Participants with DTC are registered in the name
of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative
of DTC. The deposit of Securities with DTC and their registration in the name of Cede & Co. or such other DTC
nominee do not affect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of
the Securities; DTC's records reflect only the identity of the Direct Participants to whose accounts such Securities are
credited, which may or may not be the Beneficial Owners. The Direct and Indirect Participants will remain
responsible for keeping account of their holdings on behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect
Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by
arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time.
Beneficial Owners of Securities may wish to take certain steps to augment the transmission to them of notices of
significant events with respect to the Securities, such as redemptions, tenders, defaults, and proposed amendments to
the Security documents. For example, Beneficial Owners of Securities may wish to ascertain that the nominee holding
the Securities for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative,
Beneficial Owners may wish to provide their names and addresses to the Registrar and request that copies of notices be
provided directly to them.
Redemption notices shall be sent to DTC. If less than all of the Securities within an issue are being redeemed, DTC's
practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed.
Neither DTC nor Cede & Co., nor any other DTC nominee, will consent or vote with respect to Securities unless
authorized by a Direct Participant in accordance with DTC's MMI Procedures. Under its usual procedures, DTC mails
an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s
consenting or voting rights to those Direct Participants to whose accounts Securities are credited on the record date
identified in a listing attached to the Omnibus Proxy.
Redemption proceeds, distributions, and dividend payments on the Securities will be made to Cede & Co., or such
other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit Direct
Participants' accounts upon DTC's receipt of funds and corresponding detail information from the City or Agent, on
payable date in accordance with their respective holdings shown on DTC's records. Payments by Participants to
Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities
held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such
Participant and not of DTC, Agent, or the City, subject to any statutory or regulatory requirements as may be in effect
from time to time. Payment of redemption proceeds, distributions, and dividend payments to Cede & Co., or such
other nominee as may be requested by an authorized representative of DTC, is the responsibility of the City or Agent,
disbursement of such payments to Direct Participants will be the responsibility of DTC, and disbursement of such
payments to the Beneficial Owners will be the responsibility of Direct and Indirect Participants.
A Beneficial Owner shall give notice to elect to have its Securities purchased or tendered, through its Participant, to
Tender/Remarketing Agent, and shall effect delivery of such Securities by causing the Direct Participant to transfer the
Participant's interest in the Securities, on DTC's records, to Tender/Remarketing Agent. The requirement for physical
delivery of Securities in connection with an optional tender or a mandatory purchase will be deemed satisfied when the
ownership rights in the Securities are transferred by Direct Participants on DTC's records and followed by a book -
entry credit of tendered Securities to Tender/Remarketing Agent's DTC account.
DTC may discontinue providing its services as depository with respect to the Securities at any time by giving
reasonable notice to the City or Agent. Under such circumstances, in the event that a successor depository is not
obtained, Security certificates are required to be printed and delivered.
The City may decide to discontinue use of the system of book -entry-only transfers through DTC (or a successor
securities depository). In that event, Security certificates will be printed and delivered to DTC.
FUTURE FINANCING
The City is currently negotiating a lease - purchase for the construction of a new parking garage facility. The City may
enter into the lease - purchase within 90 days of the date of the Preliminary Official Statement. The principal portion of
the lease is estimated to be $15 million and payments will be guaranteed from parking revenues
4
LITIGATION
The City is not aware of any threatened or pending litigation affecting the validity of the Bonds or the City's ability to
meet its financial obligations.
DEBT PAYMENT HISTORY
The City knows of no instance in which it has defaulted in the payment of principal or interest on its debt.
LEGALITY
The Bonds are subject to approval as to certain matters by Ahlers & Cooney, P.C. of Des Moines, Iowa as Bond
Counsel. Bond Counsel has not participated in the preparation of this Preliminary Official Statement and will not pass
upon its accuracy, completeness, or sufficiency. Bond Counsel has not examined nor attempted to examine or verify,
any of the financial or statistical statements, or data contained in this Preliminary Official Statement and will express
no opinion with respect thereto. The FORM OF LEGAL OPINION expected to be delivered at closing is set forth as
APPENDIX A to this Preliminary Official Statement.
TAX MATTERS
Tax Exemptions and Related Considerations: Federal tax law contains a number of requirements and restrictions that
apply to the Bonds. These include investment restrictions, periodic payments of arbitrage profits to the United States,
requirements regarding the proper use of bond proceeds and facilities financed with bond proceeds, and certain other
matters. The City has covenanted to comply with all requirements that must be satisfied in order for the interest on the
Bonds to be excludable from gross income for federal income tax purposes. Failure to comply with certain of such
covenants could cause interest on the Bonds to become includable in gross income for federal income tax purposes
retroactively to the date of issuance of the Bonds.
Subject to the City's compliance with the above referenced covenants, under present law, in the opinion of Bond
Counsel, interest on the Bonds is excludable from gross income of the owners thereof for federal income tax purposes,
and is not included as an item of tax preference in computing the federal alternative minimum tax imposed on
individuals and corporations. However, with respect to corporations (as defined for federal income tax purposes), such
interest is included in adjusted current earnings for the purpose of determining the federal alternative minimum tax for
such corporations
Interest on the Bonds is not exempt from present Iowa income taxes. Ownership of the Bonds may result in other state
and local tax consequences to certain taxpayers. Bond Counsel expresses no opinion regarding any such collateral
consequences arising with respect to the Bonds. Prospective purchasers of the Bonds should consult their tax advisors
regarding the applicability of any such state and local taxes.
Prospective purchasers of the Bonds should be aware that ownership of the Bonds may result in collateral federal
income tax consequences to certain taxpayers, including, without limitation, corporations subject to the branch profits
tax, financial institutions, certain insurance companies, certain S corporations, individual recipients of Social Security
or Railroad Retirement benefits and taxpayers who may be deemed to have incurred (or continued) indebtedness to
purchase or carry tax- exempt obligations. Bond Counsel will not express any opinion as to such collateral tax
consequences. Prospective purchasers of the Bonds should consult their tax advisors as to collateral federal income tax
consequences.
NOT - Qualified Tax - Exempt Obligations: The City will NOT designate the Bonds as "qualified tax - exempt
obligations" under the exception provided in Section 265(b)(3) of the Internal Revenue Code of 1986, as amended (the
"Code "), which affords banks and certain other financial institutions more favorable treatment of their deduction for
interest expense than would otherwise be allowed under Section 265(b)(2) of the Code.
Tax Accounting Treatment of Discount and Premium on Certain Bonds: The initial public offering price of certain
Bonds (the "Discount Bonds ") may be less than the amount payable on such Bonds at maturity. An amount equal to
the difference between the initial public offering price of Discount Bonds (assuming that a substantial amount of the
Discount Bonds of that maturity are sold to the public at such price) and the amount payable at maturity constitutes
original issue discount to the initial purchaser of such Discount Bonds. Owners of Discount Bonds should consult with
their own tax advisors with respect to the determination of accrued original issue discount on Discount Bonds for
federal income tax purposes and with respect to the state and local tax consequences of owning and disposing of
Discount Bonds. It is possible that, under applicable provisions governing determination of state and local income
taxes, accrued interest on Discount Bonds may be deemed to be received in the year of accrual even though there will
not be a corresponding cash payment.
The initial public offering price of certain Bonds ( "Premium Bonds ") may be greater than the amount of such Bonds at
maturity. An amount equal to the difference between the initial public offering price of Premium bonds (assuming that
a substantial amount of the Premium Bonds of that maturity are sold to the public at such price) and the amount
payable at maturity constitutes a premium to the initial purchaser of such Premium Bonds. Purchasers of the Premium
Bonds should consult with their own tax advisors with respect to the determination of amortizable bond premium on
Premium Bonds for federal income tax purposes and with respect to the state and local tax consequences of owning
and disposing of Premium Bonds.
Disclaimer Regarding Federal Tax Discussion: The federal income tax discussion set forth above is included for
general information only and may not be applicable depending upon a beneficial owner's particular situation.
Beneficial owners should consult their tax advisors with respect to the tax consequences to them of the purchase,
ownership, and disposition of the Bonds, including the tax consequences under federal, state, local, foreign, and other
tax laws and the possible effects of changes in federal or other tax laws.
State Tax Considerations: In addition to the federal income tax consequences described above, potential investors
should consider the state income tax consequences of the acquisition, ownership, and disposition of the Bonds. State
income tax law may differ substantially from the corresponding federal law, and the foregoing is not intended to
describe any aspect of the income tax laws of any state. Therefore, potential investors should consult their own tax
advisors with respect to the various state tax consequences of an investment in Bonds.
Information Reporting and Back -up Withholding: In general, information reporting requirements will apply with
respect to payments to an owner of principal and interest (and with respect to annual accruals of original issue
discount) on the Bonds, and with respect to payments to an owner of any proceeds from a disposition of the Bonds.
This information reporting obligation, however, does not apply with respect to certain owners including corporations,
tax - exempt organizations, and individual retirement accounts. In the event that an owner subject to the reporting
requirements described above fails to supply its correct taxpayer identification number in the manner required by
applicable law or is notified by the Internal Revenue Service (the "Service ") that it has failed to properly report
payments of interest and dividends, a backup withholding tax (currently at a rate of 28 %) generally will be imposed on
the amount of any interest and principal and the amount of any sales proceeds received by the owner on or with respect
to the Bonds.
Any amounts withheld under the backup withholding provisions may be credited against the United States federal
income tax liability of the beneficial owner, and may entitle the beneficial owner to a refund, provided that the
required information is furnished to the Service.
Related Tax Matters: The Service has an ongoing program of auditing tax - exempt obligations to determine whether, in
the view of the Service, interest on such tax - exempt obligations is includable in the gross income of the owners thereof
for federal income tax purposes. It cannot be predicted whether or not the Service will commence an audit of the
Bonds. If an audit is commenced, under current procedures the Service may treat the City as a taxpayer and the
bondholders may have no right to participate in such procedure. The commencement of an audit could adversely
affect the market value and liquidity of the Bonds until the audit is concluded, regardless of the ultimate outcome.
Current and future legislative proposals, including some that carry retroactive effective dates, if enacted into law, or
clarification of the Code may cause interest on the Bonds to be subject, directly or indirectly, to federal income
taxation, or otherwise prevent owners of the Bonds from realizing the full current benefit of the tax status of such
interest. As one example, legislation has been proposed by the Obama Administration that would limit the exclusion
from gross income of interest on obligations like the Bonds to some extent for taxpayers whose income is subject to
higher marginal income tax rates. Other proposals have been made that could significantly reduce the benefit of, or
otherwise affect, the exclusion from gross income of interest on obligations like the Bonds. The introduction or
enactment of any such legislative proposals or clarification of the Code may also affect, perhaps significantly, the
market price for, or marketability of, the Bonds. Prospective purchasers of the Bonds should consult their own tax
advisors regarding any pending or proposed tax legislation, as to which Bond Counsel expresses no opinion.
Changes in Federal and State Tax Law: From time to time, there are Presidential proposals, proposals of various
federal committees, and legislative proposals in the Congress and in the states that, if enacted, could alter or amend the
federal and state tax matters referred to herein or adversely affect the marketability or market value of the Bonds or
otherwise prevent holders of the Bonds from realizing the full benefit of the tax exemption of interest on the Bonds.
Further, such proposals may impact the marketability or market value of the Bonds simply by being proposed.
It cannot be predicted whether or in what form any such proposals might be enacted or whether if enacted it would
apply to bonds issued prior to enactment. In addition, regulatory actions are from time to time announced or proposed
and litigation is threatened or commenced which, if implemented or concluded in a particular manner, could adversely
affect the market value, marketability or tax status of the Bonds. It cannot be predicted whether any such regulatory
action will be implemented, how any particular litigation or judicial action will be resolved, or whether the Bonds
would be impacted thereby. It is possible that legislation will be proposed or introduced that could result in changes in
the way that tax exemption is calculated, or whether interest on certain securities are exempt from taxation at all.
Prospective purchasers should consult with their own tax advisors regarding any pending or proposed federal income
tax legislation. The likelihood of any pending or proposed legislation being enacted or whether the proposed terms
will be altered or removed during the legislative process cannot be reliably predicted.
The opinions expressed by Bond Counsel are based upon existing legislation and regulations as interpreted by relevant
judicial and regulatory authorities as of the date of issuance and delivery of the Bonds, and Bond Counsel has
expressed no opinion as of any date subsequent thereto or with respect to any proposed or pending legislation,
regulatory initiatives or litigation.
Enforcement: There is no bond trustee or similar person to monitor or enforce the terms of the resolution for issuance
of the Bonds. In the event of a default in the payment of principal of or interest on the Bonds, there is no provision for
acceleration of maturity of the principal of the Bonds. Consequently, the remedies of the owners of the Bonds
(consisting primarily of an action in the nature of mandamus requiring the City and certain other public officials to
perform the terms of the resolution for the Bonds) may have to be enforced from year to year.
The owners of the Bonds cannot foreclose on property within the boundaries of the City or sell such property in order
to pay the debt service on the Bonds. In addition, the enforceability of the rights and remedies of owners of the Bonds
may be subject to limitation as set forth in Bond Counsel's opinion. The opinion will state, in part, that the obligations
of the City with respect to the Bonds may be subject to bankruptcy, insolvency, reorganization, moratorium and other
similar laws affecting creditors' rights heretofore or hereafter enacted to the extent constitutionally applicable, to the
exercise of judicial discretion in appropriate cases and to the exercise by the State and its governmental bodies of the
police power inherent in the sovereignty of the State and to the exercise by the United States of America of the powers
delegated to it by the Constitution of the United States of America.
Opinion: Bond Counsel's opinion is not a guarantee of a result, or of the transaction on which the opinion is rendered,
or of the future performance of parties to the transaction, but represents its legal judgment based upon its review of
existing statutes, regulations, published rulings and court decisions and the representations and covenants of the City
described in this section. No ruling has been sought from the Service with respect to the matters addressed in the
opinion of Bond Counsel and Bond Counsel's opinion is not binding on the Service. Bond Counsel assumes no
obligation to update its opinion after the issue date to reflect any further action, fact or circumstance, or change in law
or interpretation, or otherwise.
RATING
The City has requested ratings on the Bonds from Moody's Investors Service, Inc. ( "Moody's "). The City's
outstanding General Obligation long -term debt is currently rated "Aaa" by Moody's. The existing ratings on long-
term debt reflect only the view of the rating agency and any explanation of the significance of such rating may only be
obtained from Moody's. There is no assurance that such rating will continue for any period of time or that it will not
be revised or withdrawn. Any revision or withdrawal of the rating may have an effect on the market price of the
Bonds.
FINANCIAL ADVISOR
The City has retained Public Financial Management, Inc., Des Moines, Iowa as Financial Advisor in connection with
the preparation of the City's issuance of the Bonds. The Financial Advisor is not obligated to undertake, and has not
undertaken to make, an independent verification or to assume responsibility for the accuracy, completeness, or fairness
of the information contained in the Preliminary Official Statement. Public Financial Management is an independent
advisory firm and is not engaged in the business of underwriting, trading or distributing municipal securities or other
public securities.
CONTINUING DISCLOSURE
In order to permit bidders for the Bonds and other participating underwriters in the primary offering of the Bonds to
comply with paragraph (b)(5) of Rule 15c2 -12 promulgated by the Securities and Exchange Commission under the
Securities Exchange Act of 1934, as amended (the "Rule "), the City will covenant and agree, for the benefit of the
registered holders or beneficial owners from time to time of the outstanding Bonds, in the resolution of the Bonds and
the Continuing Disclosure Certificate, to provide annual reports of specified information and notice of the occurrence
of certain material events as hereinafter described (the "Disclosure Covenants "). The information to be provided on an
annual basis, the events as to which notice is to be given, and a summary of other provisions of the Disclosure
Covenants, including termination, amendment and remedies, are set forth as APPENDIX C to this Preliminary Official
Statement.
In accordance with the reporting requirements of paragraph (f)(3) of the Rule, the City is currently compliant in all
material respects with its continuing disclosure undertakings. However, the City inadvertently failed to timely file
certain required annual disclosure reports for fiscal years ended June 30, 2009, 2010, and 2011. As of October 24,
2012, the City became compliant and has since implemented procedures to assure future compliance with disclosure
covenants. The City has completely and timely filed for the last three years.
Breach of the Disclosure Covenants will not constitute a default or an "Event of Default" under the Bonds or the
resolutions for the Bonds. A broker or dealer is to consider a known breach of the Disclosure Covenants, however,
before recommending the purchase or sale of the Bonds in the secondary market. Thus, a failure on the part of the City
to observe the Disclosure Covenants may adversely affect the transferability and liquidity of the Bonds and their
market price.
8
CERTIFICATION
The City has authorized the distribution of this Preliminary Official Statement for use in connection with the initial
sale of the Bonds. I have reviewed the information contained within the Preliminary Official Statement prepared on
behalf of the City by Public Financial Management, Inc., Des Moines, Iowa, and said Preliminary Official Statement
does not contain any material misstatements of fact nor omission of any material fact regarding the issuance of
$11,980,000* General Obligation Bonds, Series 2014.
* Preliminary, subject to change.
CITY OF IOWA CITY, IOWA
/s/ Dennis Bockenstedt, Finance Director
W
CITY PROPERTY VALUES
IOWA PROPERTY VALUATIONS
In compliance with Section 441.21 of the Code of Iowa, the State Director of Revenue annually directs the county
auditors to apply prescribed statutory percentages to the assessments of certain categories of real property. The 2012
final Actual 100% Valuations were adjusted by the Johnson County Auditor. The reduced values, determined after the
application of rollback percentages, are the Taxable Valuations subject to tax levy. For assessment year 2012, the
Taxable Valuations rollback rate was 52.8166% of Actual 100% Valuation for residential property; 59.9334% of
Actual 100% Valuation for agricultural property; and 100% of Actual 100% Valuation for commercial, industrial,
railroad and utility property.
The Legislature's intent has been to limit the growth of statewide taxable valuations for the specific classes of property
to 4% annually. Political subdivisions whose taxable values are thus reduced or are unusually low in growth are
allowed to appeal the valuations to the State Appeal Board, in order to continue to fund present services.
1/1/2012 VALUATIONS (Taxes payable July 1, 2013 to June 30, 2014)
Taxable Value
100% Actual Value (With Rollback)
Residential
$3,367,051,717
$1,776,096,066
Commercial
1,113,600,025
1,113,600,025
Industrial
72,834,630
72,834,630
Railroads
3,205,451
3,205,451
Utilities w/o Gas & Electric
10,816,940
10,816,940
Gross valuation
$4,567,508,763
$2,976,553,112
Less military exemption
(3,059,502)
(3,059,502)
Net valuation
$4,564,449,261
$2,973,493,610
TIF increment (used to compute
debt service levies and
constitutional debt limit)
$14,113,908
$14,113,908
Taxed separately
Ag. Land & Buildings
$2,655,640
$1,591,636
Gas & Electric Utilities
$87,100,183
$46,813,214
2012 GROSS TAXABLE VALUATION
BY CLASS OF PROPERTY'S
Taxable Valuation
Percent Total
Residential
$1,776,096,066
58.75%
Commercial, Industrial and Utility
1,197,251,595
39.60%
Gas & Electric Utilities
46,813,214
1.54%
Railroads
3,205,451
-0.11%
Total Gross Taxable Valuation
$3,023,366,326
100.00%
1) Excludes Taxable TIF Increment and Ag. Land & Buildings.
10
TREND OF VALUATIONS
Assessment
Payable
Type of Property/Business
Taxable Valuation
Taxable TIF
Year
Fiscal Year
100% Actual Valuation
(With Rollback)
Increment
2009
2010/11
$4,449,859,602
$2,731,041,904
$25,408,841
2010
2011/12
4,520,142,100
2,821,191,346
25,408,838
2011
2012/13
4,615,527,744
2,946,951,863
11,712,327
2012
2013/14
4,668,318,992
3,020,306,824
14,113,908
2013
2014/15
4,826,647,177
3,114,066,554
21,131,574
1) The City's 1/1/2013 valuations are now available from the State of Iowa and become effective July 1, 2014.
The 100% Actual Valuations, before rollback and after the reduction of military exemption, include Ag. Land &
Buildings, Taxable TIF Increment and Gas & Electric Utilities. The Taxable Valuations, with the rollback and after
the reduction of military exemption, include Gas & Electric Utilities and exclude Ag. Land & Buildings and Taxable
TIF Increment. Iowa cities certify operating levies against Taxable Valuation excluding Taxable TIF Increment and
debt service levies are certified against Taxable Valuation including the Taxable TIF Increment.
LARGER TAXPAYERS
Taxpayer
American College Testing
Mid American Energy Co.
Gerdin, Ann; Revocable Trustee
Dealer Properties IC LLC
Alpla, Inc.
Procter & Gamble Hair Care LLC
National Computer Systems Inc. (Pearson)
United Natural Foods, Inc.
Southgate Development Co., Inc.
Wal -Mart Real Estate
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11
1/1/2012
Type of Property/Business
Taxable Valuations
Commercial
$47,441,054
Utility
44,032,698
Commercial
22,005,980
Real Estate
17,339,180
Industrial
16,090,179
Industrial
15,440,570
Commercial
14,409,710
Commercial
12,902,550
Commercial & Residential
12,733,740
Real Estate
12,639,860
(The remainder of this page has been left blank intentionally)
11
RECENT PROPERTY TAX LEGISLATION
During the 2013 legislative session, the Iowa General Assembly enacted Senate File 295 (the "Act "), which the
Governor signed into law on June 12, 2013. Among other things, the Act (i) reduces the maximum annual taxable
value growth percent, due to revaluation of existing residential and agricultural property, from the current 4% to 3 %,
(ii) assigns a "rollback" (the percentage of a property's value that is subject to tax) to commercial, industrial and
railroad property of 95% for the 2013 assessment year and 90% for the 2014 assessment year and all years thereafter,
(iii) creates a new property tax classification for multi - residential properties (mobile home parks, manufactured home
communities, land -lease communities, assisted living facilities and property primarily used or intended for human
habitation containing three or more separate dwelling units) ( "Multi- residential Property") that begins in the 2015
assessment year, and assigns a declining rollback percentage of 3.75 percent to such properties for each subsequent
year until 2021 assessment year (the rollback percentage for Multi- residential Properties will be equal to the residential
rollback percentage in 2022 assessment year and thereafter) and (iv) exempts a specified portion of the assessed value
of telecommunication properties.
The Act includes a standing appropriation to replace some of the tax revenues lost by local governments, including tax
increment districts, resulting from the new rollback for commercial and industrial property. Prior to Fiscal Year 2017-
18, the appropriation is a standing unlimited appropriation, but beginning in fiscal year 2017 -18 the standing
appropriation cannot exceed the actual fiscal year 2016 -17 appropriation amount. The appropriation does not replace
losses to local governments resulting from the Act's provisions that reduce the annual revaluation growth limit for
residential and agricultural properties to 3% from 4 %, the gradual transition for Multi- residential Property from the
commercial rollback percentage (100% of Actual Value) to the residential rollback percentage (currently 52.8166% of
Actual Valuation), or the reduction in the percentage of telecommunications property that is subject to taxation.
Given the wide scope of the statutory changes, and the State of Iowa's discretion in establishing the annual
replacement amount that is appropriated each year commencing in fiscal year 2017 -18, the impact of the Act on the
City's future property tax collections is uncertain and the City is unable to accurately assess the financial impact of the
Act's provisions on the City's future operations.
In Moody's Investor Service US Public Finance Weekly Credit Outlook, dated May 30, 2013, Moody's Investor
Service ( "Moody's ") projected that local governments in the State of Iowa are likely to experience modest reductions
in property tax revenues starting in fiscal year 2014 -15 as a result of the Act, with sizeable reductions possible starting
in fiscal year 2017 -18. According to Moody's, local governments that may experience disproportionately higher
revenue losses include regions that have a substantial commercial base, a large share of Multi- residential Property
(such as college towns), or significant amounts of telecommunications property.
Notwithstanding any decrease in property tax revenues that may result from the Act, Iowa Code section 76.2 provides
that when an Iowa political subdivision issues general obligation bonds, "the governing authority of these political
subdivisions before issuing bonds shall, by resolution, provide for the assessment of an annual levy upon all the
taxable property in the political subdivision sufficient to pay the interest and principal of the bonds within a period
named not exceeding twenty years. A certified copy of this resolution shall be filed with the county auditor or the
auditors of the counties in which the political subdivision is located; and the filing shall make it a duty of the auditors
to enter annually this levy for collection from the taxable property within the boundaries of the political subdivision
until funds are realized to pay the bonds in full."
From time to time, other legislative proposals may be considered by the Iowa General Assembly that would, if
enacted, alter or amend one or more of the property tax matters described in this Preliminary Official Statement. It
cannot be predicted whether or in what forms any of such proposals may be enacted, and there can be no assurance that
such proposals will not apply to valuation, assessment or levy procedures for the levy of taxes by the City.
12
CITY INDEBTEDNESS
DEBT LIMIT
Article XI, Section 3 of the State of Iowa Constitution limits the amount of debt outstanding at any time of any county,
municipality or other political subdivision to no more than 5% of the actual value of all taxable property within the
corporate limits, as taken from the last state and county tax list. The debt limit for the City, based on its 2012 actual
valuation currently applicable to the fiscal year 2013 -14, is as follows:
2012 Actual Valuation of Property
$4,671,378,494
Less: Military Exemption
(3,059,502)
Net Actual Valuation of Property
$4,668,318,992
Legal Debt Limit of 5%
0.05
Legal Debt Limit
$233,415,950
Less: TIF Revenue Debt Subject to Debt Limit
(2,655,000)
Less: Total G.O. Debt Subject to Debt Limit
(60,605,000)
Net Debt Limit
$170,155,950
DIRECT DEBT
General Obligation Debt (Includes the Bonds)
1) The 2015 through 2016 maturities we be redeemed with cash on hand on July 1, 2014.
2) The 2015 maturity was redeemed with cash on hand and the 2016 through 2017 maturities will be current refunded by the
Bonds on July 1, 2014.
* Preliminary; subject to change.
13
Principal
Date
Original
Final
Outstanding
of Issue
Amount
Purpose
Maturily
As of 6/03/14
3/05A
$7,020,000
City Improvements
6/14
$0 ')
6/06A
6,265,000
City Improvements
6/14
0 1)
6/06B
1,000,000
City Improvements
6/14
0 ')
9/06C
3,350,000
Refunding
6/14
0 2)
5/07A
8,870,000
City Improvements
6/17
0 2)
6/08A
9,150,000
City Improvements
6/18
4,040,000
10 /08B
17,005,000
Refunding
6/18
5,975,000
6/09C
6,685,000
City Improvements
6/19
3,570,000
6/09E
5,840,000
Refunding
6/16
1,795,000
8/1013
7,420,000
City Improvements
6/20
4,550,000
6 /11A
7,925,000
City Improvements
6/21
5,610,000
6 /11C
10,930,000
Refunding
6/21
8,520,000
6/12A
9,070,000
City Improvements
6/22
7,440,000
7/13A
7,230,000
City Improvements
6/23
6,865,000
7/13B
520,000
City Improvements
6/15
260,000
6/14
11,980,000
City Improvements
6/24
11,980,000
Total General
Obligation Debt:
$60,605,000
1) The 2015 through 2016 maturities we be redeemed with cash on hand on July 1, 2014.
2) The 2015 maturity was redeemed with cash on hand and the 2016 through 2017 maturities will be current refunded by the
Bonds on July 1, 2014.
* Preliminary; subject to change.
13
Annual Fiscal Year General Obligation Debt Service Payments (Includes the Bonds)
Current Outstanding
Bonds
Total Outstanding
G.O. Debt
Fiscal
Original
Principal &
Final
Principal &
Amount
Principal &
Year
Principal
Interest
Principal*
Interest*
Principal*
Interest*
2014 -15
$8,115,000
$9,444,977
$935,000
$1,155,657
$9,050,000
$10,600,634
2015 -16
8,430,000
9,525,175
2,175,000
2,388,943
10,605,000
11,914,118
2016 -17
7,705,000
8,571,963
2,185,000
2,378,280
9,890,000
10,950,243
2017 -18
7,910,000
8,572,119
900,000
1,067,060
8,810,000
9,639,179
2018 -19
5,440,000
5,868,544
910,000
1,063,560
6,350,000
6,932,104
2019 -20
4,810,000
5,089,656
925,000
1,062,180
5,735,000
6,151,836
2020 -21
3,485,000
3,633,554
950,000
1,066,830
4,435,000
4,700,384
2021 -22
1,860,000
1,914,975
970,000
1,062,605
2,830,000
2,977,580
2022 -23
870,000
887,400
1,000,000
1,064,475
1,870,000
1,951,875
2024 -25
1,030,000
1,063,475
1,030,000
1,063,475
Total $48,625,000 $11,980,000* $60,605,000*
* Preliminary; subject to change.
OTHER DEBT
The City has revenue debt payable solely from the net revenues of the City's Urban Renewal Areas as follows:
Principal
Date Original Final Outstanding
of Issue Amount Purpose Maturity As of 6/03/14
11/12D $2,655,000 Developer Grant 6/32 $2,655,000
The City has revenue debt payable solely from the net revenues of the Municipal Parking System as follows:
Principal
Date Original Final Outstanding
of Issue Amount Purpose Matud1y As of 6/03/14
11 /09F $9,110,000 Parking 7/24 $7,145,000
The City has revenue debt payable solely from the net revenues of the Municipal Water System as follows:
Date
Original
Final
of Issue
Amount
Purpose
Maturi
10 /08D
$7,115,000
Water Refunding
7/24
5/09B
9,750,000
Water Refunding
7/25
6/12C
4,950,000
Water Refunding
7/22
Total
14
Principal
Outstanding
As of 6/03/14
$5,315,000
7,930,000
4.500.000
$17,745,000
The City has revenue debt payable solely from the net revenues of the Municipal Sewer System as follows:
Date
Original
Final
of Issue
Amount
Purpose
Maturily
10 /08C
$24,280,000
Sewer Refunding
7/22
5/09A
8,660,000
Sewer Refunding
7/25
4 /10A
15,080,000
Sewer Refunding
7/20
Total
INDIRECT GENERAL OBLIGATION DEBT
Taxing District
Johnson County
Iowa City CSD
Clear Creek -Amana CSD
Kirkwood Comm. College
1/1/2013 Percent
Taxable Valuation In City
$7,356,029,478 42.64%
5,471,006,291 57.33%
125,746,762 0.05%
22,848,558,972 13.73%
G.O. Debt 2)
$10,645,000
12,280,000
25,980,000
98,005,000
City share of total overlapping debt
1) Taxable Valuation includes Taxable TIF Increment; Ag Land & Building and all Utilities.
2) Excludes revenue supported debt, tax and aid anticipation certificates and school energy loans.
DEBT RATIOS
Principal
Outstanding
As of 6/03/14
$16,145,000
7,225,000
8.585.000
$31,955,000
City's
Pronortionate Share
$4,539,028
7,040,124
12,990
13,456,087
$25,048,229
1) Based on City's 1/1/2013 Actual Valuation; includes TIF Increment; Ag Land & Building and all Utilities.
2) Based on 2010 U.S. Census.
* Preliminary; subject to change.
15
Debt/Actual
Market Value
Debt/67,862
G.O. Debt
($4,826,647,177)
Population 2)
Total General Obligation Debt $60,605,000*
1.26 %*
$893.06*
TIF Revenue Debt $2,655,000
0.06%
$39.12
City's share of overlapping debt $25,048,229
0.52%
$369.11
1) Based on City's 1/1/2013 Actual Valuation; includes TIF Increment; Ag Land & Building and all Utilities.
2) Based on 2010 U.S. Census.
* Preliminary; subject to change.
15
LEVIES AND TAX COLLECTIONS
Taxes in Iowa are delinquent each October 1 and April 1 and a late payment penalty of I% per month of delinquency is
enforced' as of those dates. If delinquent taxes are not paid, the property may be offered at the regular tax sale on the
third Monday of June following the delinquency date. Purchasers at the tax sale must pay an amount equal to the taxes,
special assessments, interest and penalties due on the property and funds so received are applied to taxes. A property
owner may redeem from the regular tax sale but, failing redemption within three years, the tax sale purchaser is entitled
to a deed, which in general conveys the title free and clear of all liens except future tax installments.
TAX RATES
FY 2009 -10 FY 2010 -11 FY 2011 -12 FY 2012 -13 FY 2013 -14
$/$1,000
Collected During
Percent
Fiscal Year
LM
Collection Year
Collected
2009 -10
$45,393,197
$45,316,495
99.8%
2010 -11
47,788,547
47,782,881
99.9%
2011 -12
49,594,682
49,542,641
99.9%
2012 -13
50,407,375
50,832,407
100.8%
2013 -14
50,308,061
--- - - - -In Process of Collection
- - - - - --
Taxes in Iowa are delinquent each October 1 and April 1 and a late payment penalty of I% per month of delinquency is
enforced' as of those dates. If delinquent taxes are not paid, the property may be offered at the regular tax sale on the
third Monday of June following the delinquency date. Purchasers at the tax sale must pay an amount equal to the taxes,
special assessments, interest and penalties due on the property and funds so received are applied to taxes. A property
owner may redeem from the regular tax sale but, failing redemption within three years, the tax sale purchaser is entitled
to a deed, which in general conveys the title free and clear of all liens except future tax installments.
TAX RATES
FY 2009 -10 FY 2010 -11 FY 2011 -12 FY 2012 -13 FY 2013 -14
LEVY LIMITS
A city's general fund tax levy is limited to $8.10 per $1,000 of taxable value, with provision for an additional $0.27 per
$1,000 levy for an emergency fund which can be used for general fund purposes (Code of Iowa, Chapter 384,
Division I). Cities may exceed the $8.10 limitation upon authorization by a special levy election. Further, there are
limited special purpose levies which may be certified outside of the above described levy limits (Code of Iowa, Section
384.12). The amount of the City general fund levy subject to the $8.10 limitation is $8.10 for fiscal year 2013 -14. The
City does levy costs for operation and maintenance of publicly owned Transit, tort liability and other insurance, police
and fire retirement, FICA and IPERS and other employee benefits expenses in addition to the $8.10 general fund limit as
authorized by law. In addition, the City has not established an emergency fund levy for fiscal year 2013 -14. Debt
service levies are not limited.
CITY FUNDS ON HAND (Cash and Investments as of January 31, 2014)
City Operating Funds $154,466,917
City Restricted and Designated Funds 30,040,061
Total $184,506,978
16
$/$1,000
$/ 1 000
$/$1,000
$/$1,000
$/$1,000
Johnson County
7.38568
7.22207
6.98984
6.74909
6.73712
City of Iowa City
17.85262
17.75655
17.84150
17.26864
16.80522
Iowa City CSD
14.19136
14.68972
14.59055
14.07327
13.68792
Clear Creek -Amana CSD (Clear Creek)
15.67097
15.71002
15.54876
15.31063
15.31055
Kirkwood Comm. College
0.84042
0.92566
0.99870
1.07888
1.06473
City Assessor
0.23848
0.23472
0.24632
0.24453
0.25873
County Ag. Extension
0.08413
0.08307
0.08358
0.08146
0.08160
State of Iowa
0.00300
0.00340
0.00320
0.00320
0.00330
Total Tax Rate - City Resident:
Iowa City CSD
40.59569
40.91519
40.75369
39.49917
38.63862
Clear Creek -Amana CSD (Clear Creek)
42.07530
41.93549
41.71190
40.73653
42.26125
LEVY LIMITS
A city's general fund tax levy is limited to $8.10 per $1,000 of taxable value, with provision for an additional $0.27 per
$1,000 levy for an emergency fund which can be used for general fund purposes (Code of Iowa, Chapter 384,
Division I). Cities may exceed the $8.10 limitation upon authorization by a special levy election. Further, there are
limited special purpose levies which may be certified outside of the above described levy limits (Code of Iowa, Section
384.12). The amount of the City general fund levy subject to the $8.10 limitation is $8.10 for fiscal year 2013 -14. The
City does levy costs for operation and maintenance of publicly owned Transit, tort liability and other insurance, police
and fire retirement, FICA and IPERS and other employee benefits expenses in addition to the $8.10 general fund limit as
authorized by law. In addition, the City has not established an emergency fund levy for fiscal year 2013 -14. Debt
service levies are not limited.
CITY FUNDS ON HAND (Cash and Investments as of January 31, 2014)
City Operating Funds $154,466,917
City Restricted and Designated Funds 30,040,061
Total $184,506,978
16
THE CITY
CITY GOVERNMENT
The City is governed by a seven member Council; each member serves a four -year term. Elections are held every two
years allowing for continuation in office of at least three members in each biennial election. The Council members are
elected at large, but three members are nominated from specific districts and the other four are nominated at large. The
Mayor is elected by the Council from its own members.
EMPLOYEES AND PENSIONS
The City has 556 full and 59 permanent part -time employees and 400 temporary employees, including a police force of
82 sworn personnel and a fire department of 63 fire fighters. Of the City's 1,015 employees, 609 are enrolled in the
Iowa Public Employees Retirement System ( "IPERS ") pension plan administered by the State of Iowa. The City is
current in its obligation to IPERS, which has been as follows: $1,969,422 in fiscal year 2010 -11, $2,245,326 in fiscal
year 2011 -12, and $2,423,438 in fiscal year 2012 -13.
In addition to IPERS, the City is a participating employer in the Municipal Fire and Police Retirement System of Iowa
( "MFPRSI "), and is current in its contributions. MFPRSI contributions have been as follows: $1,826,791 in fiscal year
2010 -11 and $2,232,637 in fiscal year 2011 -12 and $2,428,631 in fiscal year 2012 -13.
OTHER POST - EMPLOYMENT BENEFITS
In addition to providing pension benefits, the City offers certain health care insurance benefits to its retirees.
Plan Description: The City operates one self - funded medical and dental for all employees, which is offered to current
and retired employees and their dependents. All full -time employees who retire or terminate /resign and their eligible
dependents are offered the following post - employment benefit options:
• Health insurance and dental insurance: The option of continuing with the City's health insurance plan at the
individual's expense. These benefits cease upon Medicare eligibility.
• Life insurance: The option of converting the employee's City -paid policy to an individual policy at the
individual's expense with the City's life insurance carrier.
• Long -term disability: For employees who terminate /resign and have been on the plan for a minimum of one
year, the option of converting the employee's City -paid group policy to a personal policy at the individual's
expense with the City's long -term disability insurance carrier.
The above options, while at the individual's own expense, are included within the City's overall insurance package,
which results in an implicit rate subsidy and Other Post - Employment Benefits ( "OPEB ") liability.
Funding Policy: The plan member's contribution requirements are established and may be amended by the City. The
City currently finances the benefit plans on a pay -as- you -go basis.
Annual OPEB Cost and Net OPEB Obli ag tion: The City's annual OPEB cost is calculated based on the annual required
contribution ( "ARC ") of the City, an amount actuarially determined in accordance with GASB Statement No. 45. The
ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal costs each year and
amortize any unfunded actuarial liabilities over a period not to exceed 30 years.
17
The following table shows the components of the City's annual OPEB cost for the year ended June 30, 2013, the amount
actually contributed to the plans, and changes in the City's net OPEB obligation:
Annual required contribution
$643,988
Interest on net OPEB obligation
94,038
Adjustment to annual required contribution
(89,560
Annual OPEB costs
$648,466
Contributions made
(29,638)
Increase in net OPEB obligation
618,828
Net OPEB obligation beginning of year
2,686,798
Net OPEB obligation end of year
3 3 2
For calculation of the net OPEB obligation, the actuary has set the transition day as July 1, 2008. The end of year net
OPEB obligation was calculated by the actuary as the cumulative difference between the actuarially determined funding
requirements and the actual contributions for the year ended June 30, 2013. The City's annual OPEB cost, the
percentage of annual OPEB cost contributed to the plans and the net OPEB obligation as of June 30, 2013 are
summarized as follows:
Year
Annual
Percentage of Annual OPEB
Net OPEB
Ended
OPEB Cost
Cost Contributed from City
Obli ag tion
June 30, 2011
$598,776
14.7%
$2,257,342
June 30, 2012
600,965
28.5%
2,686,798
June 30, 2013
648,466
4.6%
3,305,626
Funded Status and Funding Progress: As of July 1, 2012, the most recent actuarial valuation date for the period
July 1, 2012 through June 30, 2013, the actuarial accrued liability was $7,163,715, with no actuarial value of assets,
resulting in an unfunded actuarial accrued liability ( "UAAL ") of $7,163,715. The covered payroll (annual payroll of
active employees covered by the plans) was $34,992,423 and the ratio of the UAAL to covered payroll was 20.5 %. As
of June 30, 2013 there were no trust fund assets.
UNION CONTRACTS
The City currently maintains labor agreements with the American Federation of State, County, and Municipal
Employees ( "AFSCME ") and with Police ( "PLRO ") and Fire ( "IAFF ") bargaining units. Contracts have been negotiated
as follows below.
18
Contract Expiration
June 30, 2017
June 30, 2015
June 30, 2016
FY 2013 -14
Jul - 1
Jan - 1
AFSCME 1.25%
1.25%
PLRO 1.25%
1.25%
IAFF 1.25%
1.25%
18
Contract Expiration
June 30, 2017
June 30, 2015
June 30, 2016
INSURANCE
The City's insurance coverage is as follows:
Tyne of Insurance
Limit
General Liability
$20,000,000
Automobile Liability
$20,000,000
Wrongful Acts — Public Officials
$20,000,000
Law Enforcement Liability
$20,000,000
Boiler & Machinery
Blanket
$25,000,000
Extra Expense and Loss of use
$500,000
Property
Blanket
$265,000,000
Workers Compensation
Statutory
Employers Liability Each Person Accident
$2,000,000
Policy Limit Disease
$2,000,000
Each Person Disease
$2,000,000
Airport Commission
General Liability Each Occurrence
$5,000,000
Hangar Keepers Legal Liability
Each Aircraft
$1,000,000
Each Loss
$1,000,000
19
GENERAL INFORMATION
LOCATION AND TRANSPORTATION
The City, with a 2010 Census population of 67,862, serves as the County seat for Johnson County. The City lies at the
intersection of Highways 80 and 380. The City is approximately 115 miles east of the City of Des Moines, 20 miles
south of the City of Cedar Rapids and 55 miles west of the City of Davenport. The Cedar Rapids Airport, located 20
miles from downtown Iowa City is served by a number of national and regional air carriers. Rail service is provided by
the mainline of the Chicago, Rock Island and Pacific Railroad.
LARGER EMPLOYERS
A representative list of larger employers in the City is as follows:
Employer
University of Iowa
University of Iowa Hospitals
Iowa City Comm. School District
Pearson Educational Measurement
Hy -Vee 2)
ACT, Inc
Mercy Hospital
Veteran's Affairs Medical Center
City of Iowa City
International Automotive Components
Wal -Mart 2)
Systems Unlimited
Schenker Logistics Inc.
Johnson County Administration
Type of Business
Education
Healthcare
Education
Business Consulting
Grocery
Education Programs
Health Services
Health Services
Government
Plastic Foam Products
Retail - General Merchandise
Assisted Living
Transportation/Trucking
Government
1) Includes full and part-time as well as seasonal employees.
2) Includes locations in Iowa City and Coralville.
Source: Iowa City Chamber of Commerce 2014.
BUILDING PERMITS
Number of Employ')
18,650
12,154
1,700
1,200
1,166
1,181
1,187
1,562
1,015
785
678
890
600
561
City officials report the following construction activity as of December 31, 2013. Building permits are reported on a
calendar year basis.
20
2009
2010
2011
2012
2013
New Construction:
No. of new permits:
178
175
145
225
248
Valuation:
$44,124,541
$70,834,597
$57,910,359
$95,292,497
$151,138,166
Remodeling Repair
and Additions:
No. of new permits:
510
609
593
491
467
Valuation:
$31,023,251
$25,204,275
$23,789,433
$73,944,194
$33,738,686
Total Permits
688
784
738
716
715
Total Valuations
$75,147,792
$96,038,872
$81,699,792
$169,236,691
$184,876,852
20
U.S. CENSUS DATA
Population Trend
1980 U.S. Census 50,508
1990 U.S. Census 59,738
2000 U.S. Census 62,220
2002 Special City Census 62,380
2010 U.S. Census 67,862
Source: U.S. Census Bureau website.
UNEMPLOYMENT RATES
Source: Iowa Workforce Development website.
EDUCATION
Public education to the City is provided by the Iowa City Community School District, with certified enrollment of
12,774.3 for fiscal year 2013 -14. There are approximately 1,900 full and part time employees of the district. The district
owns and operates several pre - school sites, eighteen elementary schools, three junior high schools, two senior high
schools, and one alternative school for ninth through twelfth graders. Education is also provided through the Clear Creek
— Amana Community School District, with certified enrollment of 1,671.3 for fiscal year 2013 -14. Four year college
programs and vocational training are available throughout the area including University of Iowa and Kirkwood
Community College.
EFFECTIVE BUYING INCOME
Effective Buying Income and Retails Sales as reported for 2013 are as follows:
Iowa City
Johnson County
State of Iowa
Source: Claritas, Inc.
Total
EBI
$1,438,872,500
3,161,230,000
62,220,442,500
Median
Household EBI
$33,725
42,141
39,920
21
Total Retail
Retail Sales
Johnson
State of
$1,241,070,688
Iowa City
Coun
Iowa
Annual Averages: 2009
4.5%
4.3%
6.2%
2010
4.5%
4.4%
6.3%
2011
4.3%
4.2%
5.9%
2012
3.9%
3.8%
5.2%
2013
3.1%
3.3%
4.7%
Source: Iowa Workforce Development website.
EDUCATION
Public education to the City is provided by the Iowa City Community School District, with certified enrollment of
12,774.3 for fiscal year 2013 -14. There are approximately 1,900 full and part time employees of the district. The district
owns and operates several pre - school sites, eighteen elementary schools, three junior high schools, two senior high
schools, and one alternative school for ninth through twelfth graders. Education is also provided through the Clear Creek
— Amana Community School District, with certified enrollment of 1,671.3 for fiscal year 2013 -14. Four year college
programs and vocational training are available throughout the area including University of Iowa and Kirkwood
Community College.
EFFECTIVE BUYING INCOME
Effective Buying Income and Retails Sales as reported for 2013 are as follows:
Iowa City
Johnson County
State of Iowa
Source: Claritas, Inc.
Total
EBI
$1,438,872,500
3,161,230,000
62,220,442,500
Median
Household EBI
$33,725
42,141
39,920
21
Total Retail
Retail Sales
Sales
Per Household
$1,241,070,688
$43,282
2,260,513,988
41,301
46,733,146,874
37,713
FINANCIAL SERVICES
Commercial banking services are provided to residents of the City by Farmers & Merchants Savings Bank and
MidWestOne Bank') and branch offices of American Bank and Trust Company, N.A., Bank of the West, Corridor State
Bank, First American Bank, Hills Bank and Trust Company, Liberty Bank, FSB, U.S. Bank, N.A., Wells Fargo Bank,
N.A. and West Bank. Farmers & Merchants Savings Bank and MidWestOne Bank report the following annual deposits
as of December 31 of each year:
Farmers & Merchants
Year Ending Savings Bank
2008
$86,052,000
2009
81,823,000
2010
77,470,000
2011
82,982,000
2012
87,469,000
1) Formerly Iowa State Bank & Trust Company.
Source: FDIC official website.
FINANCIAL STATEMENTS
MidWestOne Bank')
$1,136,987,000
1,186,400,000
1,223,944,000
1,308,061,000
1,406,107,000
The City's June 30, 2013 COMPRENSIVE ANNUAL FINANCIAL REPORT is reproduced as APPENDIX B. The
City's certified public accountant has not consented to distribution of the audited financial statements and has not
undertaken added review of their presentation. Further information regarding financial performance and copies of the
City's prior Comprehensive Annual Financial Reports may be obtained from the City's Financial Advisor, Public
Financial Management, Inc.
22
FORM OF LEGAL OPINION
(This page has been left blank intentionally.)
AHLERS & COONEY, P.C.
100 COURT AVENUE, SUITE 600
DES MOINES, IOWA 50309 -2231
PHONE: 515-243-7611
FAX: 515- 243 -2149
WWW.AHLERSLAW.COM
We hereby certify that we have examined a certified transcript of the proceedings of the
City Council and acts of administrative officers of the City of Iowa City, State of Iowa (the
"Issuer "), relating to the issuance of General Obligation Bonds, Series 2014, by said City, dated
June 3, 2014, in the denomination of $5,000 or multiples thereof, in the aggregate amount of
We have examined the law and such certified proceedings and other papers as we deem
necessary to render this opinion as bond counsel.
As to questions of fact material to our opinion, we have relied upon representations of the
Issuer contained in the Resolution authorizing issuance of the Bonds (the "Resolution ") and in
the certified proceedings and other certifications of public officials furnished to us, without
undertaking to verify the same by independent investigation.
Based on our examination and in reliance upon the certified proceedings and other
certifications described above, we are of the opinion, under existing law, as follows:
1. The Issuer is duly created and validly existing as a body corporate and politic and
political subdivision of the State of Iowa with the corporate power to adopt and perform the
Resolution and issue the Bonds.
2. The Bonds are valid and binding general obligations of the Issuer.
3. All taxable property in the territory of the Issuer is subject to ad valorem taxation
without limitation as to rate or amount to pay the Bonds. Taxes have been levied by the
Resolution for the payment of the Bonds and the Issuer is required by law to include in its annual
tax levy the principal and interest coming due on the Bonds to the extent the necessary funds are
not provided from other sources.
4. Interest on the Bonds is excludable from gross income for federal income tax
purposes and is not an item of tax preference for purposes of the federal alternative minimum tax
imposed on individuals and corporations; however, such interest is taken into account in
determining adjusted current earnings for the purpose of computing the alternative minimum tax
imposed on certain corporations. The opinion set forth in the preceding sentence is subject to the
condition that the Issuer comply with all requirements of the Internal Revenue Code of 1986, as
amended, that must be satisfied subsequent to the issuance of the Bonds in order that the interest
thereon be, and continue to be, excludable from gross income for federal income tax purposes.
The Issuer has covenanted to comply with all such requirements. Failure to comply with certain
WISHARD & BAILY - 1888; GUERNSEY & BAILY - 1893; BAILY & STIPP - 1901; STIPP, PERRY, BANNISTER & STARZINGER - 1914; BANNISTER,
CARPENTER,
AHLERS & COONEY - 1950; AHLERS, COONEY, DORWEILER, ALLBEE, HAYNIE & SMITH - 1974; AHLERS, COONEY, DORWEILER, HAYNIE, SMITH &
AI I RPP P f. - 1000
City of Iowa City, Iowa
$ General Obligation Bonds, Series 2014
Page 2
of such requirements may cause interest on the Bonds to be included in gross income for federal
income tax purposes retroactively to the date of issuance of the Bonds.
We express no opinion regarding the accuracy, adequacy, or completeness of the official
statement or other offering material relating to the Bonds. Further, we express no opinion
regarding tax consequences arising with respect to the Bonds other than as expressly set forth
herein.
The rights of the owners of the Bonds and the enforceability of the Bonds are limited by
bankruptcy, insolvency, reorganization, moratorium, and other similar laws affecting creditors'
rights generally, and by equitable principles, whether considered at law or in equity.
This opinion is given as of the date hereof, and we assume no obligation to revise or
supplement this opinion to reflect any facts or circumstances that may hereafter come to our
attention, or any changes in law that may hereafter occur.
Respectfully submitted,
01008967 -1 \10714 -117
APPENDIX B
JUNE 30, 2013 COMPREHENSIVE ANNUAL FINANCIAL REPORT
(This page has been left blank intentionally.)
APPENDIX C
FORM OF CONTINUING DISCLOSURE CERTIFICATE
(This page has been left blank intentionally.)
CONTINUING DISCLOSURE CERTIFICATE
This Continuing Disclosure Certificate (the "Disclosure Certificate ") is executed and
delivered by the City of Iowa City, State of Iowa (the "Issuer "), in connection with the issuance
of $ General Obligation Bonds, Series 2014 (the "Bonds ") dated June 3, 2014.
The Bonds are being issued pursuant to a Resolution of the Issuer approved on May 6, 2014 (the
"Resolution "). The Issuer covenants and agrees as follows:
SECTION 1. Purpose of the Disclosure Certificate. This Disclosure Certificate is being
executed and delivered by the Issuer for the benefit of the Holders and Beneficial Owners of the
Bonds and in order to assist the Participating Underwriters in complying with S.E.C. Rule 15c2-
12(b)(5).
SECTION 2. Definitions. In addition to the definitions set forth in the Resolution, which
apply to any capitalized term used in this Disclosure Certificate unless otherwise defined in this
Section, the following capitalized terms shall have the following meanings:
"Annual Report" shall mean any Annual Report provided by the Issuer pursuant to, and
as described in, Sections 3 and 4 of this Disclosure Certificate.
"Beneficial Owner" shall mean any person which (a) has the power, directly or indirectly,
to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons
holding Bonds through nominees, depositories or other intermediaries), or (b) is treated as the
owner of any Bonds for federal income tax purposes.
"Business Day" shall mean a day other than a Saturday or a Sunday or a day on which
banks in Iowa are authorized or required by law to close.
"Dissemination Agent" shall mean the Issuer or any Dissemination Agent designated in
writing by the Issuer and which has filed with the Issuer a written acceptance of such
designation.
"Holders" shall mean the registered holders of the Bonds, as recorded in the registration
books of the Registrar.
"Listed Events" shall mean any of the events listed in Section 5(a) of this Disclosure
Certificate.
"Municipal Securities Rulemaking Board" or "MSRB" shall mean the Municipal
Securities Rulemaking Board, 1900 Duke Street, Suite 600, Alexandria, VA 22314.
"National Repository" shall mean the MSRB's Electronic Municipal Market Access
website, a/k/a "EMMA" (emma.msrb.org).
"Participating Underwriter" shall mean any of the original underwriters of the Bonds
required to comply with the Rule in connection with offering of the Bonds.
"Rule" shall mean Rule 15c2- 12(b)(5) adopted by the Securities and Exchange
Commission under the Securities Exchange Act of 1934, as the same may be amended from time
to time.
"State" shall mean the State of Iowa.
SECTION 3. Provision of Annual Reports.
(a) The Issuer shall, or shall cause the Dissemination Agent to, not later than two
hundred ten (210) days after the end of the Issuer's fiscal year (presently June
30th), commencing with the report for the 2013/2014 fiscal year, provide to the
National Repository an Annual Report which is consistent with the requirements
of Section 4 of this Disclosure Certificate. The Annual Report must be submitted
in such format as is required by the MSRB (currently in "searchable PDF"
format). The Annual Report may be submitted as a single document or as
separate documents comprising a package. The Annual Report may cross -
reference other information as provided in Section 4 of this Disclosure Certificate;
provided that the audited financial statements of the Issuer may be submitted
separately from the balance of the Annual Report and later than the date required
above for the filing of the Annual Report if they are not available by that date. If
the Issuer's fiscal year changes, it shall give notice of such change in the same
manner as for a Listed Event under Section 5(c).
(b) If the Issuer is unable to provide to the National Repository an Annual Report by
the date required in subsection (a), the Issuer shall send a notice to the Municipal
Securities Rulemaking Board, if any, in substantially the form attached as Exhibit
A.
(c) The Dissemination Agent shall:
(i) each year file the Annual Report with the National Repository; and
(ii) (if the Dissemination Agent is other than the Issuer), file a report with the
Issuer certifying that the Annual Report has been filed pursuant to this
Disclosure Certificate, stating the date it was filed.
SECTION 4. Content of Annual Reports. The Issuer's Annual Report shall contain or
incorporate by reference the following:
2
(a) The last available audited financial statements of the Issuer for the prior fiscal
year, prepared in accordance with generally accepted accounting principles
promulgated by the Financial Accounting Standards Board as modified in
accordance with the governmental accounting standards promulgated by the
Governmental Accounting Standards Board or as otherwise provided under State
law, as in effect from time to time, or, if and to the extent such financial
statements have not been prepared in accordance with generally accepted
accounting principles, noting the discrepancies therefrom and the effect thereof.
If the Issuer's audited financial statements for the preceding years are not
available by the time the Annual Report is required to be filed pursuant to Section
3(a), the Annual Report shall contain unaudited financial statements in a format
similar to the financial statements contained in the final Official Statement, and
the audited financial statements shall be filed in the same manner as the Annual
Report when they become available.
(b) A table, schedule or other information contained in the Official Statement under
the captions "City Property Values" and "City Indebtedness ".
Any or all of the items listed above may be included by specific reference to other documents,
including official statements of debt issues of the Issuer or related public entities, which have
been filed with the National Repository. The Issuer shall clearly identify each such other
document so included by reference.
SECTION 5. Reporting of Significant Events.
(a) Pursuant to the provisions of this Section 5, the Issuer shall give, or cause to be
given, notice of the occurrence of any of the following events with respect to the
Bonds in a timely manner not later than 10 Business Days after the day of the
occurrence of the event;
(1) Principal and interest payment delinquencies;
(2) Non - payment related defaults, if material;
(3) Unscheduled draws on debt service reserves reflecting financial
difficulties;
(4) Unscheduled draws on credit enhancements relating to the Bonds
reflecting financial difficulties;
(5) Substitution of credit or liquidity providers, or their failure to perform;
(6) Adverse tax opinions, the issuance by the Internal Revenue Service of
proposed or final determinations of taxability, Notices of Proposed Issue
3
(IRS Form 5701 -TEB) or other material notices or determinations with
respect to the tax - exempt status of the Series Bonds, or material events
affecting the tax - exempt status of the Bonds;
(7) Modifications to rights of Holders of the Bonds, if material;
(8) Bond calls (excluding sinking fund mandatory redemptions), if material,
and tender offers;
(9) Defeasances of the Bonds;
(10) Release, substitution, or sale of property securing repayment of the Bonds,
if material;
(11) Rating changes on the Bonds;
(12) Bankruptcy, insolvency, receivership or similar event of the Issuer;
(13) The consummation of a merger, consolidation, or acquisition involving the
Issuer or the sale of all or substantially all of the assets of the Issuer, other
than in the ordinary course of business, the entry into a definitive
agreement to undertake such an action or the termination of a definitive
agreement relating to any such actions, other than pursuant to its terms, if
material; and
(14) Appointment of a successor or additional trustee or the change of name of
a trustee, if material.
(b) Whenever the Issuer obtains the knowledge of the occurrence of a Listed Event,
the Issuer shall determine if the occurrence is subject to notice only if material,
and if so shall as soon as possible determine if such event would be material
under applicable federal securities laws.
(c) If the Issuer determines that knowledge of the occurrence of a Listed Event is not
subject to materiality, or determines such occurrence is subject to materiality and
would be material under applicable federal securities laws, the Issuer shall
promptly, but not later than 10 Business Days after the occurrence of the event,
file a notice of such occurrence with the Municipal Securities Rulemaking Board
through the filing with the National Repository.
SECTION 6. Termination of Reporting Obligation. The Issuer's obligations under this
Disclosure Certificate shall terminate upon the legal defeasance, prior redemption or payment in
full of all of the Bonds or upon the Issuer's receipt of an opinion of nationally recognized bond
4
counsel to the effect that, because of legislative action or final judicial action or administrative
actions or proceedings, the failure of the Issuer to comply with the terms hereof will not cause
Participating Underwriters to be in violation of the Rule or other applicable requirements of the
Securities Exchange Act of 1934, as amended. If such termination occurs prior to the final
maturity of the Bonds, the Issuer shall give notice of such termination in the same manner as for
a Listed Event under Section 5(c).
SECTION 7. Dissemination Agent. The Issuer may, from time to time, appoint or
engage a Dissemination Agent to assist it in carrying out its obligations under this Disclosure
Certificate, and may discharge any such Agent, with or without appointing a successor
Dissemination Agent. The Dissemination Agent shall not be responsible in any manner for the
content of any notice or report prepared by the Issuer pursuant to this Disclosure Certificate. The
initial Dissemination Agent shall be the Issuer.
SECTION 8. Amendment; Waiver. Notwithstanding any other provision of this
Disclosure Certificate, the Issuer may amend this Disclosure Certificate, and any provision of
this Disclosure Certificate may be waived, provided that the following conditions are satisfied:
(a) If the amendment or waiver relates to the provisions of Section 3(a), 4, or 5(a), it
may only be made in connection with a change in circumstances that arises from a
change in legal requirements, change in law, or change in the identity, nature or
status of an obligated person with respect to the Bonds, or the type of business
conducted;
(b) The undertaking, as amended or taking into account such waiver, would, in the
opinion of nationally recognized bond counsel, have complied with the
requirements of the Rule at the time of the original issuance of the Bonds, after
taking into account any amendments or interpretations of the Rule, as well as any
change in circumstances; and
(c) The amendment or waiver either (i) is approved by the Holders of the Bonds in
the same manner as provided in the Resolution for amendments to the Resolution
with the consent of Holders, or (ii) does not, in the opinion of nationally
recognized bond counsel, materially impair the interests of the Holders or
Beneficial Owners of the Bonds.
In the event of any amendment or waiver of a provision of this Disclosure Certificate, the Issuer
shall describe such amendment in the next Annual Report, and shall include, as applicable, a
narrative explanation of the reason for the amendment or waiver and its impact on the type (or in
the case of a change of accounting principles, on the presentation) of financial information or
operating data being presented by the Issuer. In addition, if the amendment relates to the
accounting principles to be followed in preparing financial statements, (i) notice of such change
shall be given in the same manner as for a Listed Event under Section 5(c), and (ii) the Annual
Report for the year in which the change is made will present a comparison or other discussion in
narrative form (and also, if feasible, in quantitative form) describing or illustrating the material
differences between the financial statements as prepared on the basis of the new accounting
principles and those prepared on the basis of the former accounting principles.
SECTION 9. Additional Information. Nothing in this Disclosure Certificate shall be
deemed to prevent the Issuer from disseminating any other information, using the means of
dissemination set forth in this Disclosure Certificate or any other means of communication, or
including any other information in any Annual Report or notice of occurrence of a Listed Event,
in addition to that which is required by this Disclosure Certificate. If the Issuer chooses to
include any information in any Annual Report or notice of occurrence of a Listed Event in
addition to that which is specifically required by this Disclosure Certificate, the Issuer shall have
no obligation under this Certificate to update such information or include it in any future Annual
Report or notice of occurrence of a Listed Event.
SECTION 10. Default. In the event of a failure of the Issuer to comply with any
provision of this Disclosure Certificate, any Holder or Beneficial Owner of the Bonds may take
such actions as may be necessary and appropriate, including seeking mandate or specific
performance by court order, to cause the Issuer to comply with its obligations under this
Disclosure Certificate. Direct, indirect, consequential and punitive damages shall not be
recoverable by any person for any default hereunder and are hereby waived to the extent
permitted by law. A default under this Disclosure Certificate shall not be deemed an event of
default under the Resolution, and the sole remedy under this Disclosure Certificate in the event
of any failure of the Issuer to comply with this Disclosure Certificate shall be an action to
compel performance.
SECTION 11. Duties, Immunities and Liabilities of Dissemination Agent. The
Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure
Certificate, and the Issuer agrees to indemnify and save the Dissemination Agent, its officers,
directors, employees and agents, harmless against any loss, expense and liabilities which it may
incur arising out of or in the exercise or performance of its powers and duties hereunder,
including the costs and expenses (including attorneys fees) of defending against any claim of
liability, but excluding liabilities due to the Dissemination Agent's negligence or willful
misconduct. The obligations of the Issuer under this Section shall survive resignation or removal
of the Dissemination Agent and payment of the Bonds.
SECTION 12. Beneficiaries. This Disclosure Certificate shall inure solely to the benefit
of the Issuer, the Dissemination Agent, the Participating Underwriters and Holders and
Beneficial Owners from time to time of the Bonds, and shall create no rights in any other person
or entity.
N
Date: day of , 2014.
ATTEST:
LN
City Clerk
CITY OF IOWA CITY, STATE OF IOWA
Mayor
EXHIBIT A
NOTICE TO NATIONAL REPOSITORY OF FAILURE TO FILE ANNUAL REPORT
Name of Issuer: City of Iowa City, Iowa.
Name of Bond Issue: $
Dated Date of Issue: June 3, 2014
General Obligation Bonds, Series 2014
NOTICE IS HEREBY GIVEN that the Issuer has not provided an Annual Report with
respect to the above -named Bonds as required by Section 3 of the Continuing Disclosure
Certificate delivered by the Issuer in connection with the Bonds. The Issuer anticipates that the
Annual Report will be filed by
Dated: day of
CITY OF IOWA CITY, STATE OF IOWA
By:
Its:
01008966 -1 \10714 -117
OFFICIAL BID FORM
TO: City Council of Sale Date: May 6, 2014
City of Iowa City, Iowa 10:00 o'clock A.M. Central Time
RE: $11,980,000* General Obligation Bonds, Series 2014 (the "Bonds ")
For all or none of the above Bonds, in accordance with the TERMS OF OFFERING, we will pay you
$ (not less than $11,854,860) plus accrued interest to date of delivery for fully registered
Bonds bearing interest rates and maturing in the stated years as follows:
Coupon Maturfty Cou on Maturi
2015 2020
2016 2021
2017 2022
2018 2023
2019 2024
* Preliminary; subject to change. The aggregate principal amount of the Bonds, and each scheduled
maturity thereof, are subject to increase or reduction by the City or its designee after the determination
of the successful bidder. The City may increase or decrease each maturity in increments of $5,000 but
the total amount to be issued will not exceed $12,400,000. Interest rates specified by the successful
bidder for each maturity will not change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if the
aggregate principal amount of the Bonds is adjusted as described above. Any change in the principal
amount of any maturity of the Bonds be made while maintaining, as closely as possible, the successful
bidder's net compensation, calculated as a percentage of bond principal. The successful bidder may not
withdraw or modify its bid as a result of any post -bid adjustment. Any adjustment shall be conclusive,
and shall be binding upon the successful bidder.
We hereby designate that the following Bonds to be aggregated into term bonds maturing on June 1 of the following years and
in the following amounts (leave blank if no term bonds are specified):
Years Aggre ag ted Maturity Year Agoreaate Amount
through
through
through
through
In making this offer we accept all of the terms and conditions of the TERMS OF OFFERING published in the Preliminary
Official Statement dated April 7, 2014. In the event of failure to deliver these Bonds in accordance with the TERMS OF
OFFERING as printed in the Preliminary Official Statement and made a part hereof, we reserve the right to withdraw our offer.
All blank spaces of this offer are intentional and are not to be construed as an omission.
Not as a part of our offer, the above quoted prices being controlling, but only as an aid for the verification of the offer, we have
made the following computations:
NET INTEREST COST:
TRUE INTEREST COST:
Account Manager:
Account Members:
% (Calculated to the dated date of June 3, 2014)
LN
The foregoing offer is hereby accepted by and on behalf of the City Council of the City of Iowa City, Iowa this 6h day of May
2014.
Attest:
Title: Title: