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ITEM 2. STUDENT LEADERSHIP AWARDS — Lincoln Elementary
Hayek: Would the Lions of Lincoln Elementary please come forward! Well how you
guys doing tonight? Good? Good! You know it was pretty cold today. I was
thinking there'd be a 2 -hour delay, but no such luck, huh? Your parents I'm sure
are grateful for that! Well we're, uh, glad to have you here. What we do
throughout the school year here at the City Council meetings is invite, uh, the
leaders of the elementary schools in Iowa City who get nominated by their
schools to come down to our meetings and we get to introduce you to, uh, the
audience and hear a little bit about you and ... and recognize what you do for your
schools. So we're really glad to have you here with us tonight! The first thing I
always look for when you walk up here is ... whether you're holding a piece of
paper in your hand and you are, so that's good! Check that box! So what I'd like
to do is, uh, give you the microphone and you can read your piece, and then I've
got an award to give to you!
Young: Hi, my name is Isaac Young. I want to start by thanking the City Council for
providing me with this amazing opportunity. I also want to thank my friends,
family, teachers, and coaches for helping me develop my leadership skills. To me
leadership is providing a role model for those around you and leading by example.
I have had the chance to show these traits through our school lunch server's
program, safety patrol, student council, doing my best in the classroom, and
encouraging others to do so, as well. A leadership doesn't stop at school.
Leaders, no matter what age, are needed in all areas of the world. I have had the
chance to be a leader in wrestling by working hard and leading by example. I
want to again thank the City Council, my family, my friends, my teachers, and my
coaches. Thank you for this great honor. (applause)
Jury: Hello, my name is Thomazin Jury and I would like to thank the Iowa City School
District, the City Council, Mayor Matt Hayek, Lincoln Elementary, my principal
Miss Langenfeld, my homeroom teacher Mr. Ritter, and my amazing parents. I
am very grateful to receive this award. I feel I have demonstrated leadership in
my school by serving as the ... as this year's student council president, being an
attentive safety patrol member, volunteering as a lunch server, supporting my
fellow classmates and peers when they are in need, as well as actively
participating in class conversations and projects. Outside of school I have a
hobby that I've been doing since I was little. Acting. Acting and performing
have given me great confidence and the ability to stand here before you today. I
really appreciate this honor, your time in allowing me to speak this evening.
Thank you. (applause)
Hayek: Well those are both wonderful pieces, and both of you have so much poise for...
for young individuals. I think it'd be very hard for lots of people to get up in front
of a crowd and ... and speak to us. So congratulations on that! You know, t he
things you are doing in school are pretty impressive and I remember when I was a
...a youngster. I went to Shimek and I did the safety patrol like you did, but I
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didn't do all these other things, and I can't imagine how busy you are in your day-
to-day lives, on top of the ... the books and ... and the homework that you, uh,
tackle as well. So, I'm really proud of you, and one of the reasons we want to
bring you down here is to show you off to the community so that everybody can
see the great things going on at Lincoln Elementary and the other schools, uh, that
we have in Iowa City. We're proud of you and I want to recognize your parents
and your teachers. Some of them are out in the crowd. They play a big role in
everything you've accomplished. So what we have is called a Student Leadership
Award and there's one for each of you and it reads as follows. For his or her
outstanding qualities of leadership within Lincoln Elementary, as well as the
community, and for his or her sense of responsibility and helpfulness to others,
we recognize you as an outstanding student leader. Your community is proud of
you. Presented by the Iowa City City Council. Isaac, here's yours! And
Thomazin, here's yours, and let me shake your hands ... and congratulate you!
And I encourage you to stick around if you want, or you can go do some
homework. Your call! Thank you so much! (applause)
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ITEM STATE OF THE CITY ADDRESS
Hayek: Okay, uh, it's ... we're gonna ... in between Item 2 and #3, we're going to give the
State of the City, or I'm going to give the State of the City Address, which by our
Charter has to be given by the end of February. So I will read it now! (reads
State of the City Address) (applause) All right, thank you for that.
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ITEM 3. CONSIDER ADOPTION OF THE CONSENT CALENDAR AS
PRESENTED OR AMENDED
Hayek: Let's move on to Item 3, which is consider adoption of the Consent Calendar as
presented or amended, with ... removal for separate consideration of 3d(1), uh, and
3d(10).
Mims: So moved.
Dickens: Second.
Hayek: Moved by Mims, seconded by Dickens.
Throgmorton: Matt, uh, are you going to mention some of the public hearings we're ... we're
setting like for the... (both talking)
Hayek: ...you can go ahead and do so, Jim, if you wanted to...
Throgmorton: Okay, uh, we're ... we're setting, uh, public hearings on four important topics, uh,
public hearings that will take place on March the 9th. So one has to do with the
budget, the three-year financial plan, and the capital improvements program.
Very big deal as, uh, Matt already alluded ... to. Uh, the second has to do with
proposed Comprehensive Plan amendments for the three blocks just to the ... well,
where am I thinkin' about? Just ... just on the, uh, the east side of Gilbert Street,
over to Van Buren, from Burlington up to Iowa Avenue. Uh, the third is the
Norman... Normandy Drive restoration project, and the last is, uh, the north
wastewater treatment plant salvage and demolition project, which I think some
people are going to be speaking about maybe, uh, in the public discussion period.
But anyhow, those ... those are going to be ... or did we already do that? We
haven't done that yet. So, um... so anyhow we're having those public hearings on
March the 9th
Hayek: Okay. Um, I know there's some people who want to address us on the items that
are on the Consent Calendar, um... among other things... among other things I
know the economic development communication protocol is up and I believe we
have representatives from ICAD here ... if they would care to step forward.
Nolte: Thank you, Mayor, Council. Um, Mark Nolte with the Iowa City Area
Development Group, joined by Tom Goedken, uh, CFO of ACT and Board Chair
for the ICAD Group. Uh, we wanted to just take a moment to, uh... uh, offer our
support. Uh, the Iowa City Area ... Area Development Group does not typically
take positions on issues, but this is one we felt, uh, was important to us. Uh, we
need as you... as you referenced in the City... State of the City Address with the
property tax changes coming, we need to make sure all the communities in this
area are working together, uh, whenever and however possible, and one of the
ways to increase the collaboration and coordination between those communities is
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to establish a communication protocol around economic development. Uh, what
we don't need is, uh, for other issues to, uh, to come to the bear and... and limit
our ability to work together, and so establishing this agreement, uh, is something
that we've been working behind the scenes on for the last couple years with the
three city managers — from Iowa City, Coralville, and North Liberty — uh, but now
it's time to move this forward and... and get a document in place. It's not a, um,
golden solution of any kind, but we feel it's a step of, uh, towards progress. It's
not about looking backwards but ... but starting anew and saying from here
forward we're going to make sure that projects don't pit one city against each
other or create a situation where, uh, it's not economically viable for... for a
business or project to relocate in this community. So ... uh, I'll let Tom offer
additional thoughts.
Goedken: Uh, we appreciate the leadership of Iowa City in ... in crafting this, um, and ... and
the City staff in crafting this agreement. Uh, the ICAD Group, we've took a look
at this, uh... uh, the actual language of it. As Mark says, it may not go, uh,
specifically all the way that we want to go (mumbled) good first step. Um, it's a
collaborative agreement. It defines the things that, uh, as communities we work
towards, uh, collectively, and ... and prohibit certain things, or at least, uh, put
those on the table so ... um, there's a chance to discuss those things before we start
moving some businesses around. So the Committee looked at it, um, they
recommended approval, and the ICAD Board unanimously, uh, approved, uh...
um, support for this. So ... we're thumbs -up on this.
Markus: This languished until ICAD kind of got involved in this process again and so my
compliments to ICAD to support this document and get it back in front of Council
to make this work.
Throgmorton: Would I be right in thinking that you're both going to, um, make similar
statements, expressions of support, before the Coralville and North Liberty city
councils?
Goedken: You would be right on that!
Throgmorton: Yeah! Great, great!
Hayek: Well we appreciate what you ... what you've done, uh... you know, ICAD is the
quintessential example of...of regionalism, and I think that's what brings you here
this evening. Um, you know, it's ... it's important to us to have had the
unanimous, uh... uh, Board endorsement, um, you know, all three cities are
represented on ... on that Board, urn ... and uh, we ... think this is important. It's,
you know, it ... it's a modest step, quite frankly (others talking) but it ... but it's an
important one! So ... thank you for your time this evening.
Mims: Thank you! Appreciate it!
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Hayek: Is there anyone else from the public who wishes to address us on the items that
are on the Consent Calendar?
ITEM 3e(7) NORTH PLANT SALVAGE AND DEMOLITION PROJECT —
RESOLUTION SETTING A PUBLIC HEARING ON MARCH 9, 2015 ON
PLANS, SPECIFICATIONS, FORM OF CONTRACT, AND ESTIMATE
OF COST FOR THE NORTH PLANT SALVAGE AND DEMOLITION
PHASE OF THE IOWA CITY WASTEWATER TREATMENT PLANT
RELOCATION PROJECT, DIRECTING CITY CLERK TO PUBLISH
NOTICE OF SAID HEARING, AND DIRECTING THE CITY ENGINEER
TO PLACE SAID PLANS ON FILE FOR PUBLIC INSPECTION.
Carberry: Good evening, City Council, uh, my name's Mike Carberry. I, uh... wear my
private citizen hat this evening. I'm, uh, very proud to live and be a citizen of
Iowa City, and thank you, Matt, and the Council and the staff. Uh, what a, uh, the
state ... the State of the City Address is wonderful and I, uh, see us moving
forward. What I'm particularly proud of is, uh... is what's going on down in the
Riverfront Crossings' area. I'm a firm believer in in -fill development and uh...
and many ecological things, and also I'm a... a big supporter of the arts, the
humanities, live theater, and music. One of the first times ever have spoke before
the City Council was ... in 2000 as part of the "Save the Englert" project. Where
we asked the City to help us out to save an old historic theater that has become a
jewel of Iowa City. A private, uh, non-profit, we raised $5 million in five years
and I ... I think you all would agree that everybody would agree that it was a... an
effort worth taking. It was a risk worth taking! I'm here to ask you to do that
again, and uh, what specifically I'm referring to on the agenda is Item 3e(7),
regarding the north plant salvage and demolition project, specifically the control
house of the north waste water treatment plant. As many of us look at that
building as a ... a potential, another jewel, for Iowa City and we would like to
possibly use that as a center, or a hub, for the arts, culture, humanities, music,
theater, ecological education, and many more uses we haven't even thought of
yet. What we need is some time. The park will, according to the City's plan, will
basically, until funds are... secured, lay fallow for three or four years. Well we
think that building is worth saving, and we don't think the City should be in a
hurry to do that, to take it down. What we'd like to do is to possibly start a non-
profit group with all of these groups together. The environmental groups, the arts
groups, the theater groups, and other sorts of groups, to raise money ... what we
know that it will take, according to the City's figure, $554,000 to renovate the
building, uh, restore it, but it also needs renovation. It needs to be handicap -
accessible. It needs an elevator. It needs a lot of other things. Just on the back of
a napkin I figured it's going to take at least a million dollars, but we've done that
before. It's a challenge, but I think we're up to that challenge. You know, and
it's also, I mean, one of the arguments might be that it's in the flood plain. Well
of course it's in the flood plain, but uh... we can design it so the first floor is
floodable. We have architects that worked with us on the Englert project. He's
working with us on this project. We can also put sand, uh, sand bags and Hesco
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barriers up around one building. So what we do ... what I'm asking for is to seek
an amendment to the grant from the Iowa Flood Mitigation Program, the IFMP.
(noises on mic) It really doesn't matter whether the building, it was built in 1935,
is of historic note. It is, I think, but it is eminently useful for the community and
could be the jewel of the Riverfronts Crossings' area. So we're asking for some
time and the patience of the City Council, and the staff, and the citizens and the
City will be well rewarded. Thank you.
Hayek: Thank you for your comments. Anyone else who wants to speak on this item can
certainly come forward. I will remind the audience that this is merely to set a
public hearing and there will be an opportunity at the March 91h meeting, uh,
where we'll get into this in more detail, but if you're here to speak on this issue
and would like to address us on it, uh, now would be the time to come forward.
Biggers: My name is Jeff Biggers. Uh, I'm a writer, a historian and journalist, and, uh,
very proud to be from the City of Literature as a writer! But I'm also here as a
father. I'm raising my kids. My kids are at Shimek and Southeast, uh, Junior
High, and I'm working very hard to, uh, get, uh, national attention that we're the
City of Climate Action. In fact we were on National Public Radio as part of our
narrative projects to move in that direction to talk about the amazing sustainability
efforts we're already doing in our town! And so many things are afoot, both with
the campus and the City to be very proud of. Uh, I came a month ago and I
promised not to make this a habit to keep coming to and testifying, but I ... I came
down for the first time in my life to testify for a developer. You gave him $1.8
million of our tax dollars in TIF for a private development in the Riverfront
Crossings District. Because of two things from me, it was, uh, an incredible
developer who was doing it right and I really wanted to thank you! To give our
taxpayer money as a down payment for our kids' future! He was using
inclusionary zoning to make sure 15% of the housing was low-income, and Kevin
Hanick agreed to put up 700 solar panels. As a legacy project, the first complex
that will be looking at solar energy, and for me this was huge! This was a legacy
project and I really wanted to say thank you very much for doing it. And I've
come here to ... with the same aspirations. To talk about the Riverfront Park and
exactly what Mike is bringing up with the control house. As we know, we lost
billions of dollars in the region because of the historic flood of 2008 and that is
why we're creating that park, because of climate change. And as a historian I
look at buildings like the control house, and ask why did they even build it? It's
because of you, the City Council. I'm ... I'm sure you remember it well in 1934!
(laughter) We had this urgent environmental crisis! Open sewers were polluting
our river. Making us sick. And the City Council was bold, and you went and got
a federal grant ... and you sent some big guys over and shook down the University
and they paid 40%, and you built the waste treatment plant and this beautiful
control house. This PWA building, a jewel of architecture. These things are built
to last! They'll last even through the rapture! (laughter) And the rapture's
coming now! (laughter) And that is why we're here to say there are groups who
want to make this a jewel of arts. There are groups who want to make it for
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environmental education. We believe the park has to be a commitment to climate
action and permaculture. A way we can mitigate the flooding. Not just do what
we're doing down at City Park, but more importantly a public space where we
come together to train our children. My kids at Shimek, my kids at Southeast, to
understand this city is going to be in the forefront of climate energy, climate
action, with renewable energy, with permaculture, with resiliency, with a public
space that really brings us together year-round. Now today I didn't go to City
Park, and I hope none of you did either. It was too cold! We don't go to our
parks three months of the year. Now if we had the control house as a public
space ... where we had workspaces and demonstration and events, it becomes a
year-round place to bring the community, one of the few places that would bring
the diversity of the community together — college students — too meet everybody
in the rest of the city. And this is an economic driver for the neighborhood ... to
have a year-round magnet, an anchor that would give the vision to the park. So
we ask you to please consider a stay of execution (laughter) Just give us a little
time, an amendment to your agreement, and we know it's a hassle! We know...
we're down already in this process. But it really would matter! It would remind
you of what happened in 1934 when a very bold City Council met this
environmental crisis and left this legacy project. And you are going to take this
legacy project for our generation, for these kids ... these very kids. This is what
the Riverfront Park is for. So we very much encourage you and hope you can do
that. Thanks for your time.
Hayek: Thank you for your comments.
Knox: Hi, I'm Patricia Knox. Um ... and I'm going to speak about a different building
tonight. Um, I'm the President of the Board of Arts Iowa City. It's a 40 ... almost
40 -year-old arts organization that many of you will recognize the name of that
organization. We're a 501C(3).
Hayek: Ma'am, could I interrupt you?
Knox: Yes!
Hayek: Are ... is ... does this relate to the Consent Calendar items?
Knox: It relates to preservation of the Unitarian Church. Is that...
Hayek: I think that's probably community comment (both talking) You know what,
would you mind coming back in about... whenever we finish up with this item,
just ... cause we need to take you up under "Community Comment."
Knox: Okay. When will... all right.
Hayek: Yeah, I'll ... I'll look to you and ... you'll be the first up! Sorry about that! Is there
anyone else who wants to address us on the items that are on the Consent
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Calendar? (unable to hear people speaking in audience) There's an item later in
the agenda, uh, I think that addresses that, so ... you'll hear us talk about that.
What I'm referring to are the items under Item 3.
Michaud: Um, this is, uh, Pam Michaud and I just want to ... uh, encourage you to have, uh,
more time to think about the purpose for the, uh, control center. It is a WPA
building, or at least that era. It's, uh, in good condition. It does not have a
basement to flood. It has at least two large, uh, truck stalls that could be
repurposed as suggested for a destination in cold weather for food trucks.
Portland, Oregon has a lot of, not food carts. They're small. They're not
vehicles. They're just pushed in and they could rent spaces within that, and then
if there was an ice skating rink or, you know, later on apple orchards or paw -paw
orchards, um, it would be great for instructing people about organic and
sustainable farming. I'm thinking the third floor could be, uh, converted to, um,
skylights and greenhouse. So I think it has a lot of potential, because it's... seems
to be still in very sound condition. Thanks very much!
Hayek: Thank you for your comments. Anyone else? Okay. Council discussion? Roll
call, please. Passes 7-0. Uh, so now we'll take up the two items, sub -items under
Item 3 that we removed, for separate consideration. One is, uh, Item 3d(1).
ITEM 3d(1) AGREEMENT WITH SCHOOL DISTRICT RE: SYCAMORE
STREET - RESOLUTION AUTHORIZING EXECUTION OF A 28E
AGREEMENT BETWEEN THE IOWA CITY COMMUNITY SCHOOL
DISTRICT AND THE CITY OF IOWA CITY, IOWA REGARDING
CONSTRUCTION OF SITE PLAN IMPROVEMENTS FOR THE SOUTH
ELEMENTARY SCHOOL NOW KNOWN AS ARCHIBALD
ALEXANDER ELEMENTARY SCHOOL LOCATED AT 3571 SOUTH
SYCAMORE STREET AND RECONSTRUCTION OF SYCAMORE
STREET.
Throgmorton: Move approval.
Dobyns: Second.
Hayek: Moved by ... Throgmorton, seconded by Dobyns. Discussion? We pulled this
because Council Member Botchway is going to, uh, abstain. Further discussion?
Roll call, please. Okay, passes 6-0. Uh, and then the other item was 3d(10, which
reads as follows.
ITEM 3d(10) WASHINGTON STREET AND NORTH PEDESTRIAN
MALL DOWNTOWN STREETSCAPE - RESOLUTION APPROVING,
AUTHORIZING AND DIRECTING THE MAYOR TO EXECUTE AND
THE CITY CLERK TO ATTEST AN AGREEMENT BY AND BETWEEN
THE CITY OF IOWA CITY AND GENUS LANDSCAPE ARCHITECTS,
PC, OF DES MOINES, IOWA TO PROVIDE CONSULTANT SERVICES
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FOR THE WASHINGTON STREET AND NORTH PEDESTRIAN MALL
PORTIONS OF THE DOWNTOWN STREETSCAPE PLANNING
PROJECT.
Mims: Move approval.
Dickens: Second.
Hayek: Moved by Mims, seconded by Dickens. Discussion? Jim, you were going to bow
out of this one.
Throgmorton: Yeah, I ... I need to recuse myself from this, uh, particular vote because I served
on the committee that involved selection, or recommendation of the, uh, artist for
the ... for the ped mall project. I feel like I'm too close to it, uh, to be able to vote
correctly.
Hayek: Further discussion? Roll call, please. Passes 6-0, Throgmorton abstaining.
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ITEM 4. COMMUNITY COMMENT (ITEMS NOT ON THE AGENDA). [UNTIL 8
PM]
Hayek: Okay, now we are moving out of Item 3 and not Item 4, Community Comment.
So this is the opportunity at each City Council meeting for members of the
audience to address the Council on items that are not on the agenda. So, Miss
Knox, come on up! Uh, we invite people to ... to come forward if they would like
to bring something to our attention that's not on tonight's agenda, and as with our
protocol, we ask that you sign in, uh, and (noises on mic) verbally give us your
name, and also keep your comments to five minutes or less!
Knox: Okay, all right, Patricia Knox, uh, President of a Board of Arts Iowa City. Um,
we have seven Board Members here with us tonight, uh, in support. There are 12
of us all together. Um ... Arts Iowa City is, as I said, is a nearly 40 -year-old
organization, a 501C(3). Um, and through our project, the Artifactory, which
I've ... I've passed out our card of introduction, um, we are working to establish a
multi -disciplinary community art center. Um, in the downtown, preferably in the
downtown of Iowa City. Um ... we have toured the Unitarian Church and the
auxiliary (mumbled) building and we find its location and its ho ... its whole
architecture and space to be an excellent space for an art community, community
art center. Um, and given that, um... speaking about, uh, economic development,
um, in the corridor, arts' businesses generated $80 million in revenue, um, and
they spent over sel... over $7 million. Um, art is a generator of business. Um...
this would, this location would function as an excellent art center and we advocate
putting it on the Natul ... National Registry of Historic Places to preserve it for
those purposes. Thank you!
Hayek: Thank you for your comments.
Karr: Motion to accept correspondence.
Dickens: So moved.
Dobyns: Second.
Hayek: Moved by Dickens, seconded by Dobyns. Discussion? All those in favor say
aye. Opposed say nay. Motion carries.
Perez: Hi, um, my name is Kevin Perez. Um, I, uh, am the owner of Shorts and Stella
and, uh, we just opened Ride and ... uh, Shorts East, I guess. Um, I've been in
business in Iowa City for... since about 1992 I think we opened the Pizza Fool and
over the weekend, just last Friday, we got, uh, busted for this sting and I looked
through the, uh, security tapes and ... uh, he I.D.'d `em and... he's... made a
mistake. Um, but we were ... we were busted at Short's six years ago. We
had ... we redid our, how we did our I.D.ing process and haven't had any
problems. Well my point is, what I want to get at, for six years and ... 30 stings
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and 40 bar checks, we haven't had any PAULAs. We've, you know, we ... if the
kitchen's open, you're allowed to be in there. If the kitchen's not open and you're
not 21, you're not allowed to be in there. We try to be a responsible, uh, business,
uh, you know, try to make, you know, the image of Iowa City, really tried to be a
part of that. Um ... I opened 126 and Mammas and all kinds of different things,
but ... the ... it seems like to me it's only punitive. We only have a punitive system
in this sting. Now for a year if somebody else makes a mistake, I can lose my
liquor license, and ... but there's no, for the 30 stings that we got passed or no
PAULAs at all, we don't get ... I get a letter from the Chief. `Thanks, you passed.'
But for the other places that ... you know, we don't have (mumbled) We don't do
anything like that. We try to be really responsible in what we do because we're
not ... that's not ... our goal is not to ... is not to get people drunk. It's to have a
burger and, you know, a beer if you're of age. But ... there's nothing ... when we
were going through all that, uh, 500 -foot rule and all that other stuff going on, we
did all these really kind of punitive... punitive things, and there's nothing that ever
works, uh... I want to say like, uh, so `hey, good job,' or whatever, you know,
some ... cause the guy that looked at it, he made a mistake, just got on, but ... now
for a whole year (mumbled) another 24 -year-old kid makes a mistake, we lose our
liquor license for a month! You know? If we have weather like this for the next,
you know, if it happens again next year, you know, that could be .... they decide to
close us in May, we could close, you know? It's, you know, it's a little dramatic
but ... it's a liv... you know, the $750 fine for the bartender or the $750 fine for the,
uh, for the restaurant, you know, you don't ever like ... if you pass a sting the
bartender doesn't get 25 bucks and `hey, good job!' You know? There's
nothing ... it's always stick, stick, stick, stick! There's no carrot! And so ... uh,
you know, we were guilty; we're going to pay our fine. But ... you know, living in
fear of another 24 -year-old kid or 21 -year-old kid making a mistake ... I think it's
a little harsh! You know? I think there should ... as we're ... look at all the liquor
laws and things that we've done, uh... I ... I think the puni.... the ... I just think you
ought to ... look into something to, uh, maybe reward. You know, cause if...if,
you know, say another place gets busted every January, every January, every
January ... well, and we don't and we ... but we're still on equal footing the
following year. So ... that was my point. I just wanted to bring it up. We were
guilty, but I also think we've done a pretty good job representing Iowa City
(mumbled) so ... and I don't want, uh, somebody else to make a mistake ... down
the line! That's it! Thanks!
Hayek: Appreciate your comments!
Throgmorton: Can we talk about that any amongst ourselves?
Hayek: Well not in much detail. It's not on the agenda.
Throgmorton: Yeah. May ... maybe it could be ... maybe it could be revisited at some point in the
future.
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Hayek: Yeah!
Throgmorton: Yeah.
Hayek: Hello!
Beadleston: Hello, my name is Joy Beadleston and I'm here today to talk about the Iowa City
Transit disabled bus program. Um, the reason I'm here is the document that they
use to determine if you're ... can have this pass, um, is worded in a way that
prevents people with disabilities from ... many people with disabilities, from being
able to use the pass that's ... they are deserving of. So the pass, um, program says
on it ... a disability is defined as a physical or a mental condition, of a person
which constitutes a substantial handicap, and substantial is in bold and underlined.
The example they give of a substantial handicap is a person with a positive HIV
test result is also deemed to be disabled; according to this definition they tell the
doctor is your patient disabled. This term substantial has to be clearly defined.
Medical doctors are reluctant or decline to sign the document due to the confusion
of the term `substantial.' This causes a person with disabilities long delays in
getting a pass, or they are completely denied the pass, due to the choice of words
used on this form. The doctors and nurses are often on strict cri... time constraints
and decline spending the time and the effort to deal with researching the
definition of `substantial' disability. The ADA definition is about seven pages of
what the word `substantial' isn't, finally leading to two sentences of the real
definition. The confusion of the disabled bus program causes people with
disabilities and taxpayers further financial burden with the cost of unnecessary
doctor visits. It also pushes people with disabilities further into the depth of
poverty, making them spend money they may desperately need for medical, um,
and food. Uh, instead they have to pay full fare for the bus pass. Um ... this keeps
valuable people with disabilities who want to stay active and independent,
healthy, and contribute positively to the Iowa City community severely isolated. I
had called the Human Rights Division of Iowa just to try to research the definition
of this term `substantial disability' for my medical doctor. This would not be
necessary if the document was clear. I am requesting that the Iowa City Council
take action and change the Transit Division disab... disabled bus pass program to
be clearly defined and use such ... not use such constraining words as `substantial.'
The result would open the door to giving more opportunities for independence
and accessibility to people with disabilities, keeping them free to contribute
joyfully to our community. Thank you for your time.
Hayek: Thank you for your comments. Could we have staff look ... look at this, and
Transportation Services and...
Dickens: We have a paratransit meeting next ... uh, Tuesday the 10th, so if we could have
some information for that meeting, that would be great.
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Hayek: Thank you. Is there anyone else during community comment? Okay! We'll
move on to Planning and Zoning Matters.
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ITEM 5. PLANNING AND ZONING MATTERS.
ITEM 5a REZONING SADDLEBROOK, PADDOCK CIRCLE AND
HEINZ ROAD — ORDINANCE CONDITIONALLY REZONING 21.24
ACRES OF PROPERTY FOR A PLANNED DEVELOPMENT
OVERLAY/HIGH DENSITY SINGLE FAMILY RESIDENTIAL
(OPD/RS12) ZONE TO ALLOW 72 MULTI -FAMILY DWELLING UNITS
LOCATED SOUTH OF PADDOCK CIRCLE AND WEST OF HEINZ
ROAD. (REZ14-00010) SECOND CONSIDERATION)
Hayek: This is second consideration, but the applicant has requested expedited action.
Mims: I move that the rule requiring that ordinances must be considered and voted on for
passage at two Council meetings prior to the meeting at which it is to be finally
passed be suspended, that the second consideration and vote be waived, and that
the ordinance be voted on for final passage at this time.
Botchway: Second.
Hayek: Motion from Mims to collapse, uh, seconded by Botchway. Discussion? Any ex
parte from the last reading? And we don't have any new... correspondence or
input. Is there anyone (both talking)
Karr: ...going to accept correspondence from the applicant requesting expedited action,
but no.
Hayek: Right. Anyone here from the audience? Further discussion? Roll call, please.
Mims: I move the ordinance be finally adopted at this time.
Dickens: Second.
Hayek: Pass and adopt moved by Mims, seconded by Dickens. Discussion? Roll call,
please. Passes 7-0.
Karr: Motion to accept correspondence.
Botchway: So moved.
Dickens: Second.
Hayek: Moved by Botchway, seconded by Dickens Discussion? (people speaking in
background) All those in favor say aye. Opposed say nay. Motion carries.
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ITEM 5b REZONING EXPANDING NORTHGATE CORPORATE PARK
— ORDINANCE REZONING 34.21 ACRES OF PROPERTY FROM
INTERIM DEVELOPMENT RESEARCH PARK (ID -RP) ZONE TO
COMMERCIAL OFFICE (CO -1) ZONE LOCATED NORTH OF
NORTHGATE DRIVE. (REZ14-00023) (SECOND CONSIDERATION)
Hayek: This is second consideration and we also have an applica... a request for expedited
action.
Mims: I move that the rule requiring that ordinances must be considered and voted on for
passage at two Council meetings prior to the meeting at which it is to be finally
passed be suspended, that the second consideration and vote be waived, and that
the ordinance be voted on for final passage at this time.
Dickens: Second.
Hayek: Pass and adopt moved by Mims, seconded by Dickens. Discussion? Any ex parte
from the last reading? Anyone here from the audience on this? Further
discussion? Roll call, please.
Mims: Move adoption.
Dickens: Second.
Hayek: Pass and adopt moved by Mims, seconded by Dickens. Discussion? Roll call,
please. Passes 7-0.
Karr: Motion to accept correspondence.
Botchway: So moved.
Mims: Second.
Hayek: Moved by, uh, moved by Botchway, seconded by Mims. Discussion? All those
in favor say aye. Opposed say nay. Motion carries.
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ITEM 5c HIGHLANDER FOURTH ADDITION — RESOLUTION
APPROVING PRELIMINARY PLAT (SUB15-00001)
Dickens: Move the resolution.
Hayek: Moved by Dickens.
Mims: Second.
Hayek: Seconded by Mims. Discussion? Mr. Yapp!
Yapp: Uh, good evening, John Yapp, Development Services. Uh, this subdivision is
located at the north end of Northgate Drive, as shown on the, uh, overhead. Uh,
this is the preliminary plat proposal, uh, for which you just had the re ... the
rezoning earlier on your agenda. Uh, it's a 17 -lot commercial office, uh,
subdivision. Initially the only access to this, uh, subdivision will be via Northgate
Drive. Uh, but the property is set up with, uh, streets abutting both to the east and
the west, and across the north end of the plat, uh, it will include right-of-way, uh,
for a segment of Oakdale Boulevard, uh, which is planned to ultimately extend,
uh, to the west to connect to Highway 1, uh, and further west from Highway 1 and
to the east to ... uh, provide access to additional property to the east. Uh... both
staff and the Planning and Zoning Commission have recommended approval. Uh,
there was some discussion in the staff report and in the minutes from the
Planning and Zoning Commission regarding the, uh, street name ... of the east -
west street through the middle of the property. Uh, this street, uh, when the
property to the west develops would extend to Highway 1, uh, at the Highway 1
intersection with Moss Ridge Drive. Uh, the, uh, the developer has requested this
street have a different name from Moss Ridge Drive, uh, for two reasons. Uh, one
is that at this time it does not connect to Moss Ridge Drive and may not connect
for quite some time. Uh, the second reason is that Moss Ridge Drive is very
associated with the Moss Ridge Office Park. Uh, which could lead to some
confusion in wayfinding, uh, for the street in this office park. Uh, we have
discussed this, uh, as staff and ... and we are comfortable with a ... a different street
name in this situation. Be glad to take any questions!
Dickens: Have they recommended a street name yet or not?
Yapp: Uh, Clear Ridge Avenue I believe, but the ... the street name would be finalized
with the final plat... for the property.
Dobyns: John, we had an earlier rendition today from the School District. I ... I'm not sure
but this is close to an area that ... would be going to West High School, and I'm
not sure where on the border it is. Is it ... does it have a...
Hayek: No, I don't think this one...
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Dobyns: This is not ... okay! This is (several talking)
Yapp: And this is a commercial subdivision.
Hayek: Yeah...
Dobyns: Okay! And there's no residential, okay! All right.
Hayek: This is the one just north of Highlander.
Botchway: Who comes up with the naming of the streets?
Yapp: Uh, the, uh, developer or property owner initially proposes street names, and
those are reviewed by staff.
Botchway: If there's any thought on Kingsley Avenue (laughter)
Yapp: Uh, we'll keep that in mind! (laughs)
Throgmorton: You gotta wait about 40 years.
Hayek: That's a first! (laughter) Okay, any other questions for Mr. Yapp? Thanks, John!
Anyone from the audience on this item? Mr. Hughes.
Hughes: Good evening, I'm Joe Hughes with Southgate Companies. We are the developer
and the applicant. So thank you for consideration of this. Um, not opposed to
Kingsley Avenue! Um ... specifically we, uh, yeah, we just request that, uh, the
street going across our subdivision not be named after the, um, the ... the
commercial subdivision across the street. If it's going to be named Moss Ridge
Development, we prefer to not have Moss Ridge Road running across our
development. So we've proposed, uh, Clear Ridge, um, but we're open to, you
know, uh, recommendations from... from the Council or... or staff. So, um, we,
uh, look forward to, uh, working towards this. You've, uh, also approved a, uh,
a ... applying for RISE funds and we're working through that with the DOT at this
time, as well. So, thank you for your consideration!
Hayek: Thank you. Anyone else from the audience? Council discussion?
Throgmorton: Not ... not to leave Kingsley in a state of disappointment. I want to report that, uh,
when I was growing up in Louisville, Kentucky, I lived about five blocks away
from Kingsley way (laughter) so there are places in this country that, you know,
have the name.
Hayek: Hope springs eternal! (laughs) Further discussion? Roll call, please. Passes 7-0.
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ITEM 6. UNIVERCITY SALE, 601 SOUTH GOVERNOR - AUTHORIZING
CONVEYANCE OF A SINGLE FAMILY HOME LOCATED AT 601
SOUTH GOVERNOR STREET.
a. PUBLIC HEARING
Hayek: This is a public hearing. The hearing is open. (bangs gavel) This is yet another
conveyance through our UniverCity Program. Amount of the same will be
$199,500. Anyone from the audience? Public hearing is closed. (bangs gavel)
b. CONSIDER A RESOLUTION
Mims: Move the resolution.
Botchway: Second.
Hayek: Moved by Mims, seconded by Botchway. Discussion? Roll call, please. Passes
7-0.
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ITEM 7. FIRST AVENUE GRADE SEPARATION — APPROVING PLANS,
SPECIFICATIONS, FORM OF CONTRACT, AND ESTIMATE OF COST
FOR THE CONSTRUCTION OF THE FIRST AVENUE GRADE
SEPARATION PROJECT [STP -U-3715(636)--70-52], ESTABLISHING
AMOUNT OF BID SECURITY TO ACCOMPANY EACH BID,
DIRECTING CITY CLERK TO PUBLISH NOTICE TO BIDDERS, AND
FIXING TIME AND PLACE FOR RECEIPT OF BIDS.
a. PUBLIC HEARING
Hayek: This is a public hearing. The hearing is open. (bangs gavel) Anyone from the
audience? Public hearing is closed. (bangs gavel) Need a resolution.
b. CONSIDER A RESOLUTION
Mims: Move the resolution.
Botchway: Second.
Hayek: Moved by Mims, seconded by Botchway. Discussion? This is an important step
forward.
Botchway: It's huge!
Hayek: Something we've been talking about for years and years and years! Glad to see it
happening! Further dis...
Mims: Yeah, I just want to ask a question. Tell me if this is not a good time to do this.
Are we going to get more detail on ... the schedule and closure of the road and that
sort (both talking)
Markus: We can provide that.
Mims: Okay.
Markus: We will get that (several talking)
Mims: Cause I know we got a letter from somebody who's expressed some real concerns
and ... way back in the early stages of this it sounded like the road was going to be
kept open and I'm not sure if that's changed. So...
Markus: That person was a part of the original (both talking)
Mims: I know! That's what I heard.
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Hayek: No, but it will be important once we get into this to have lots and lots of
communication with the community about the schedule and ... what's open, what's
closed (both talking)
Mims: ...and when! Yeah.
Hayek: ... School District...
Mims: Yeah.
Hayek: ... all of that.
Markus: Mr. Knoche is responding to the letter, so you'll get a copy of that.
Mims: Okay!
Hayek: Yep.
Mims: Thank you very much!
Hayek: Uh, further discussion? Roll call, please. Passes 7-0.
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ITEM 8. EQUITY REPORT ACTION PLAN - RESOLUTION APPROVING THE
IMPLEMENTATION OF THE 2013 EQUITY REPORT ACTION PLAN
INCLUDING THE ACTION PLAN FOR THE POLICE DEPARTMENT
AND THE FIVE AREAS OF FOCUS FOR RELATIONSHIP BUILDING
AS PRESENTED BY CITY STAFF AT THE CITY COUNCIL WORK
SESSION HELD ON JANUARY 13, 2015 (RACIAL EQUITY &
DIVERSITY ISSUES).
Mims: Move the resolution.
Botchway: Second.
Hayek: Moved by Mims, seconded by Botchway. Discussion?
Throgmorton: Could, uh, could we ... could we (both talking)
Hayek: I know there was some ... at least one person from the audience who may have ... I
see multiple people so ... did you want to say something before (both talking)
Throgmorton: I was wondering if, uh, Stefanie might be able to give us a briefing, uh, the public
a briefing about what the components of the resolution are. Uh, I know I saw
her ... oh, there she is! Uh...
Hayek: Sure.
Throgmorton:... hope I'm not catching you off guard, Stefanie, but uh, it's not ... it wouldn't be
clear to the public as a whole what ... what's involved in this.
Bowers: So the ... the resolution that is before you this evening incorporates the action plan
from the 2013 Equity Report, which includes what I call general City initiatives,
as well as specific initiatives of the Police Department. They also incorporate, uh,
recommendations that were established, uh, at a work session held here on
January 13th, um, by, uh, City staff and also Council Members and it incorporates
t hose also in the resolution. So I don't know if you want me to get more specific
as to items in the resolution or...
Throgmorton: If nobody minds, I ... I think that'd be a good thing to do.
Bowers: Okay, sure, sure! So the ... the action plan from the Equity Report, uh, looking at
City operations look at, um, increasing the, uh... diversity of City staff, of City
boards and commissions. Um, doing training with City staff, employees, um, not
just cultural competency but trying to get also implicit bias -type training to City
employees, where their understanding is, um, measured by pre -evaluations and
post -evaluations so people just aren't receiving training, but so that we have some
level of, uh, knowledge that people are actually, um, understanding the training
and learning from the trainings, as well. Um, the initiatives that were discussed,
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um, as part of the January 13th work session I think are probably what I would call
action plans more that are catered at the community, and include, um,
recommendations for the City Council to participate in listening posts. Also for
City staff to have, uh, roundtables, uh, with groups and organizations here in Iowa
City that are committed to social justice and racial equity. It also has some
outreach as far as the Police Department in expanding `Coffee With a Cop.' Um,
also continuing to participate in the St. Ambrose, uh, study, which looks at, uh,
officer stops, uh, by the race of the occupant... or the driver I should say of the
vehicle. Um ... and then... reviewing and discussing committee reports from the
Criminal Justice Coordinating Committee of Johnson County, uh, providing
support and resources for the Community I.D. Program, which I believe Johnson
County is currently working on. Um, the, uh... Police Department also has
applied to participate in a pilot program with the Department of Justice, called the
National Initiative for Building Community Trust in Justice, and then the,
um... City staff is also recommending that we participate in, um, the Government
Alliance on Race and Equity. So that is kind of an overview of what the
resolution in front of you involves this evening.
Hayek: Thank you, Stefanie.
Throgmorton: Thank you!
Hayek: Okay, if there are members of the audience who want to address us on this item, I
invite you to come forward.
Hernandez: Um, my name is Maria Hernandez. This is my first time at a City meeting and
I've been a resident of Iowa City since 1992. Came here as a student.
Um... during that time there was, um, so little diversity. I remember black
students on campus used to say `hi' to one another, just as a sign of solidarity.
Um ... I had a couple of black friends that used to have, um, signals because
they ... were, urn ... didn't want to be harassed by the police. The fact that there's
prejudice in this country, Ferguson, etc., etc., um ... all I can say is that Johnson
County and Linn County are... depending on how you want to look at it, number
one in the nation as far as inequality between how, uh, people of color are
prosecuted versus their... non -color (laughs) counterparts. Um, I was stopped by
the Iowa City Police (laughs) about ... little over two weeks ago. The officer who
stopped me was maybe ... he wasn't under 30 ... he wasn't over 30. Um ... I'm 46
and I don't know if he just did not look at my driver's license but I just kept
thinking ... I can't be much younger than his mother, and I wonder if he would
have treated his mother the way he treated me. I felt he was completely, um...
I'm sorry, incompetent. Not well trained. He, um ... read over the instructions
like he was reading cue cards for an SAT test. Um ... I couldn't help but to think
that the reason I was stopped, even though the reason I was given was that I did
not turn on my headlights, uh, quick enough after I'd gotten in the car or ... didn't
remember quick enough that I had forgot to put `em on, and that I did not make a
complete stop at a stop sign, making a route that I have been making for ... 20
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years. Um, I urge you very strongly (laughs) um, to collaborate with other ... I see
an influx of people of color here in the city. I've never seen the city more diverse,
nor have I seen ... more pain personally for the inequalities that are in the city.
Affordable housing is an issue everywhere, but ... if you don't think that rezoning
and social inequality go together ... I don't know. I just see enormous potential for
development of existing structures, for affordable housing. I love this new thing
that you have just passed, getting urn... cooperating, I believe, with the University
and Habitat for Humanity for providing, uh, low-income housing that is owned,
rather than rented. Landlords in the city as well as Linn County, um ... I can tell
you I have never had a good experience with `em. Um, I don't hear anybody
having a good experience with `em. Urn ... I don't know. I'm nervous and I'm
probably surpassing my five minutes, but I do ... do ... do urge you to train your
officers better, to train your officers on, um, cultural diversity in people who grow
up in basically third world conditions, who ... urn ... are basically political refugees
in this area. I met a woman at the Food Bank that made a 14 -hour trip from the
Congo. I had a, the night that the police officer stopped me and who said I had
one drink ... less than the limit, so I had to walk home. Still don't get that. I don't
know who to report this officer to. I can't even remember his name! So, um ... I
also urge you to work with, um, a lot of the people who are coming in.
Everybody knows of this ongoing migration from the south of Chicago, as things
has become, uh, I think tougher and, um, more war -like and more desperate and
disenfranchised, urn ... and that there's jobs here! Um, I think that attracts a lot of
diversity and you could be adding a lot of that, but not when you have a police
off ...a police force that is, uh, concentrating on force and use of force instead of,
uh, communication and peaceful resolutions for very simple things and having
common sense!
Hayek: Ma'am, I do ... I do need to interrupt you. You're at your five minutes, but I
encourage you to look up the Citizen Police Review Board, which is an avenue
that ... anyone who lives in or visits Iowa City can avail themselves of, uh, to
report... unfortunate interactions with police officers, and there's a process for
that. And I ... and I would urge you to follow up with City staff on that. You can
(both talking)
Hernandez: I will do my best ... I will do my best considering my own circumstances.
Hayek: Thank you ver ... thank you for your comments!
Palmer: I hadn't planned to speak to this item but I didn't hear the schools mentioned in
this scope...
Mims: Your name please, ma'am.
Palmer: Jan Palmer! I'm sorry! Um, I did not hear the schools mentioned in the scope of
the item before you. And if they are not excluded from the definition of what
you're doing, I ... deeply encourage you to include them. Urn ... I think that ... for
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the sake both... for the sake of all of the students in the Iowa City public schools,
we need more diversity in the faculty. That's extraordinarily important to the
people of color who ... who would greatly value for models of persons of color
and... and a sense of inclusion by having significantly more faculty. Um, so they
don't feel like, you know, some of the feelings I heard described. I also want to
say, well I want to make two specific examples. One kind of comes at it from the
opposite direction, which is that I had the privilege of spending a day in the
elementary school classroom of an African-American teacher, on the west side I
believe, and...that was a diverse classroom. I do not remember there being many
students of color, although there were, uh, several of different races. And
everyone adored her! And I thought as a professional educator, I thought she was
an exemplary teacher! The power of the relationship between her and the
students was profound! And so not only is it an asset for... and only fair to the
children of color, it's also a great way of bridging... misunderstandings and
building a sense of, um ... appreciation ... among persons of non -color! You know,
so, um, and the other ... uh, specific thing that I would like to refer to, and the
reason I bring the schools up as ... in this context, is prior to Kingsley's tenure,
um, at the schools. I was ... I attended a staff training event at the District offices,
and it is the only time in my life ... that I have made an equity complaint of any
kind. And I was so upset by a racially... ignorant and irresponsible video that was
shown as "an attempt to bring some humor into a dry topic," that I ended up
sobbing in the restroom and not only reported it, but requested time with the
Equity Director. Having taught with professional blacks in Chicago, and having
worked with inner-city youth, what I saw ... by a central office administrator ... had
me sobbing in the bathroom. So ... um ... I encourage you to consider the schools
within the scope of this effort to bring greater balance and, uh... inclusivity in City
services.
Hayek: Thank you for your comments.
Hall: Good evening, my name is Joseph Hall. Um ... I wanted to ... uh, thank the
Council and the staff, uh, for acknowledging racial inequities and disparities in
Iowa City, and for taking it seriously and outlining some steps to address them in
this resolution. Um, I think taking them seriously and looking at the resolution
indicates that it's going to be a lot of work. And I look forward to seeing
progress, seeing outlines for deadlines, outlinings for benchmarks on how to
monitor progress, look forward to the ... the quarterly reports and I look forward to
seeing, uh, den... demonstrable equitable change here in Iowa City for racial
justice. Thank you!
Hayek: Thank you for your comments.
Eastham: My name is Charlie Eastham. I'm speaking on behalf of the Consultation of
Religious Communities, which I happen to be the President of this year. Uh, like
to thank the ... the Equity Director Stefanie Bowers, City Manager Tom Markus,
and the City Council for bringing this resolution before, uh, the community
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tonight and I'm ... understand you'll adopt it (mumbled) very pleased with that.
The action steps, I think, are very, um, very worthwhile and very beneficial.
There's a couple that I'd just like to point out. One, supporting the community,
the regional community I.D. program, which is a ... a major step forward for the
community as a whole, and encouraging and supporting our diverse residents.
The other has to do with the, uh, plan to, uh, evaluate a racial equity toolkit, or
tool approach. Uh, I think that the racial equity analysis is very ... has proved to
be very powerful for many communities, and we're looking forward to working
with the Council and the staff as we go ahead with this approach. Uh, also the,
uh, inclusion of, uh, people of color in the community in the roundtable
discussion, um, I think that's ... that will be very helpful as we go forward. So, uh,
again ... I commend the Council for doing this! It's a great step forward for us.
Hayek: Thank you for the comments. Anyone else? Council discussion?
Botchway: Uh, I just want to mention a couple of things. I would agree with Charlie's
comments — I appreciate this step as well. Um, the one thing that I think was
mentioned, um, in the comment before was just the deadlines or, um ... uh, follow
up in regards to some of the comments and, uh, you know, Stefanie, I don't know
if you need to come up, but I think ... I believe the date that was thrown out at the
work session was April 1St, um, in regards to, um, you know, having some
feedback, um, about these recommendations.
Bowers: To answer your question, the DIF or the Diversity Implementation Form, it would
be a continuation of.. the Ad Hoc Diversity Committee's original
recommendations, and then it will incorporate the new...
Botchway: Right!
Bowers: ...uh, recommendations. Um, you know, by April 1St I'm not sure how much
progress, you know, we would show from these that are, you know, being
considered tonight, but they'll be included on the form.
Botchway: Okay.
Bowers: So...
Botchway: I just wanted to make an acknowledgement of that going forward, so...
Hayek: Thank you, Stefanie! Further discussion?
Throgmorton: I'd like to, uh, thank the first speaker. Was her name Maria? Yeah. Uh, I'd like
to thank Maria for expr... sharing her experiences and expressing her concerns
and desires, and in fact it's that set of, uh, concerns and desires and experiences
that, uh... led us to move in this direction, and I ... I want to express my pride in
what the City staff has done in terms of putting this action plan together. I want
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to thank Stefanie for doing the work required to put it together. I think the
components of the action plan mark a ... a very significant step forward for this
city and I ... I couldn't be prouder, uh, about that, and I want to, uh, thank
everybody involved in putting it together and I look forward to seeing, uh, you
know, the assessments of progress over time.
Hayek: Further discussion? Roll call, please. Passes 7-0.
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ITEM 9. 316 MADISON DEVELOPMENT AGREEMENT - RESOLUTION
APPROVING A DEVELOPMENT AGREEMENT WITH 316 MADISON,
LLC FOR A MIXED USE BUILDING AT 316 MADISON STREET.
Mims: Move the resolution.
Botchway: Second.
Hayek: Moved by Mims, seconded by Botchway. Discussion? Mr. Davidson!
Davidson: Good evening, Mr. Mayor and Members of the City Council. I'm Jeff Davidson,
the Economic Development Administrator for the City. Item 9 on your agenda
this evening is a request from Charlie Graves and Joe Clark who are local
developers, representing 316 Madison LLC. What they have proposed is a $40
million multi -family student housing project at 316 S. Madison Street. Here you
see an image of the proposed building. This, uh, will be somewhat familiar to
you. A couple of months ago they came with this same project and requested a
density bonus, which is allowed under the Riverfront Crossings' form based code.
It was the first one that we've had and you did approve that. Uh, the height bonus
was, uh, granted for the provisions in the form based code relating to, uh, student
housing, high density student housing in areas that are deemed appropriate for
that, and this is one of those areas, uh, in the Riverfront Crossings Master Plan.
Urn ... and then also for the project to be constructed to ... uh, LEED Gold
standards, uh, which the developer has committed to a well, so ... as well, so, uh,
five stories for the student housing, uh, provision and two stories for the provision
to have it, uh, built to LEED Gold standards, uh, resulting in the request then for a
15 -story building. Urn ... the developer's on a very tight timeframe for this
project. They will ... they have indicated they will literally begin, uh, work, uh,
yet this month, if you are to approve this request, uh, this evening. Uh, this is
obviously a very complicated building to construct. High-rise construction, steel
construction, uh, and their goal of course, very important goal, is for fall 2016
occupancy. Uh, so a very tight schedule, uh, on the project. Uh, a little bit then
about the, just a little bit of background for the project. Um, the building is
designed to offer 154 furn... uh, furnished apartments for rent. Uh, cons ... uh,
consisting of 53 studios, 16 one -bedrooms, 77 two -bedrooms, and eight three-
bedroom apartments. So, you know, obviously we have things built into the
zoning code to discourage the three-bedroom apartments, and to provide units
that, uh, can realistically be used for the general population, as well as the student
population, and that is what the developer has indicated their intentions are for
this, uh, building. Uh, the building is ... is obviously architect -designed. Uh, it
will have several features that, uh, the, uh, developer has indicated are not present
in, uh, residential housing for students in Iowa City at the present time. These
include, uh, a rather elaborate lobby that will be a... a welcoming place for the, uh,
building, serve as the nerve center of the building. There will be 24/7
management on site. Uh, there will be a mailroom. Uh, the first floor will also
include a small retail area that they hope to have a coffee shop, and you can see
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the, uh, retail areas there on the first floor of the building. That is required by the
zoning code to have, uh, non-residential uses there. Um... and, uh, there will be
several special features. One of the things that the project does in ... in downtown
and Riverfront Crossings we like to see enhancements made to open space and
um, opportunities, uh, which this building will include, uh, outdoor rooftop patio
and a sun deck at the, uh, sixth floor. There's a stepback required, uh, by the form
based code at that level, and that will be, uh, incorporated into, uh, open space for
the building. Will be a large lobby study lounges, computer labs, and a movie/
gaming room. So ... um, the point we're trying to make is that it will be a very
nicely enhanced, uh, building, uh... um, and ... and a product that is not currently
provided, uh, in Iowa City. Urn ... as we mentioned, the ... the two story height
bonus was, uh, granted for, uh... uh, building the project to LEED Gold, uh,
standards. Uh, the ... the two attachments in your materials that you received, uh,
include in addition to the staff report that went to the Economic Development
Committee, uh, you have the developer's official request for, uh, TIF funding, and
you have the National Development Council's, uh, report, uh, looking over the
financial aspects of the project, and making a recommendation regarding the TIF
request. There has been a TIF request, uh, made, initially and in ... and in the
report that the Economic Development Committee received, uh, it is ... was for
$4.45 million. This was the, uh, gap that was identified in the National
Development Council's report. Uh, that has been changed and ... and is, uh... uh,
called out in the cover, uh, memo that you received, uh, from me in your, uh,
materials, your packet materials. Urn ... related to the provision of affordable
housing for the project. Urn ... if you read the initial staff report, you will note
there is no mention of affordable housing and this was ... this project, although it's
been ... we have been in negotiations with the developer for quite some time, it
was during your discussion of affordable housing in Riverfront Crossings that we
were finalizing this project, and in fact the packet had been finalized to go to the
Economic Development Committee the evening of the City Council meeting
where you decided you would put the provision, uh, in the zoning code in this
area for the 10% requirement for residential projects, uh, in Riverfront Crossings.
Uh, the next day the developer called and wanted to know the significance of
their ... of that for their project, and I indicated that because the materials were all
set to go to the Economic Development Committee that I would be willing, that
City staff would be willing, obviously discussed it with the City Manager's office,
to basically say that we were in before, uh, your decision to have the 10%
requirement. The developer said that they wanted to voluntarily, uh, comply with
the 10%, uh, ruling that you put into place, and so at the Economic Development
Committee meeting they made their presentation of what they proposed to do for
affordable housing, which is to adhere to your 10% provision that you have in
place now for Riverfront Crossings. Uh, we did have some negotiations with
them. We happened to land on a week where Tom Jackson of the National
Development Council was here and he was able to offer us some great insight.
What we landed on was a proposal that there will be five units within the
building, uh, that will be rented at rates less than or equal to the home fair market
value, uh, for those units, and in the memo you received, uh, it indicated that these
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would be one -bedroom units. We have since in the ... in the negotiation of the
development agreement, which is also the final thing that's attached in all of your,
um ... uh, your packet materials and it's of course the document that you're being
asked to consider approval of tonight, uh, in that document we did change that to
basically any units. It could be efficiencies, ones, twos, or threes, uh, at the
developer's discretion and they will be rented at the appropriate HUD -designated
rate, uh, representing 80% of median income or below. For the remaining... so
that's five of the units, and 10% represents 16. The developer did point out that
we rounded up, rather than down, but it's 16 units rounding up from 154 at 10%.
For the remaining 11 units, the, uh, developer, uh, and... and obviously the five
units are intended to be, um ... rented to RA's which will live on site that meet the
income requirements. If they cannot find RA's that meet the income
requirements, they will be required to rent those units to other people, at the
HUD -designed, uh, rates. For the balance then of 11 units, uh, we negotiated a
fee in lieu of, which came to, uh, $450,000 over the 20...21 -year TIF period, and
um, the ... the, that was calculated by the differential in rents between the HUD
...HUD level rents and the market rents, over that TIF period, and that totaled
$250,000. What we negotiated is that half of it would come out of the developer
fee that is part of the project, and that's a legitimate expense that all projects have
in them that the National Development Council scrutinizes, and half of it will be
built into the financial gap, and that's the reason that although the ... the EDC
materials all refer to a financial gap of $4.45 million, it is moved up to $4.7
million because of this affordable housing provision and half of that fee in lieu of
be in ... being taken, uh, from the, uh, built into the financial gap of the project.
So, that's why the original EDC materials refer to a gap of $4.45 million. The
cover memo, uh, refers to $4.7 million. It is because of this provision of
affordable housing, and we can certainly, uh, speak more, uh, speak more of that,
urn ... as we, uh, walk through the report here. Um, what I want to do then is just
spend a ... a couple of minutes here, uh, talking about the TIF request specifically,
and, um, no different than ... than probably anyone, when ... when we had the
request for TIF funds for a high-rise virtually 100% residential building. This is
of course at the same time that we're negotiating our project on the Court -Linn
site. High-rise student housing project that does not have TIF request associated
with it, and so logical question was why can that project be built without a TIF
request and this one can't, and it comes down to two reasons predominantly. One
is the scale of the projects. The Court -Linn, depending on what developer we
finally land on, will be 700 to 900 units likely, and this developer has indicated if
they had a site that was large enough to built 700 to 900 units, there would be
scale economy such that they wouldn't need TIF assistance either. So that's one
very significant factor — the scale of the project. The second thing is the student
housing developers we are dealing with on the Court -Linn site are very well
established national developers, and as I think you may recall from their
presentations, they have, um, access to capital that our local developers do not
have access to. If you recall, one of the Court -Linn, uh, proposals involves an
individual basically that makes, uh, loans of very substantial amounts, uh,
negotiates each project on a case-by-case basis, with the company; has a long,
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urn ... uh, a long relationship with them and basically enables them to use sub-
market rate financial, uh, tools for their projects. The other developer has a
consortium of five national banks, all names we've heard of, and they basically
compete for each project, and again it results in sub -market rate financing for
those projects that our local people who are going to local banks, such as this
developer, um, do not have access to. So those are the two reasons why there is a
TIF request that the National Development Council has deemed, uh, is legitimate
for this project and not for the Court -Linn site. Um ... in looking at the TIF
request then in more detail, the developer acknowledged that it was going to be a
difficult sell, uh, for this project. Uh, just because in general a residential project
is not going to be looked at as favorably as one that includes office space or
commercial space. And so what they volunteered to do, and what we have put in
graphic form, uh, in the materials re ... you received, um, this, uh, this graph has
actually been updated, uh, to re ... to reflect the $4.7 million request. The one in
your materials request, uh, reflects the $4.45, but uh, if I can just walk you
through this real quickly, what the ... what the developer has offered and is in the
proposal here ... just to point out some of the ... some of the lines here. This line at
the very bottom of the graph represents the former, uh... uh, car repair building
that was in a metal pole building that generated about $7,000 a year, uh, in
property taxes. What the developer has indicated is that although they cannot
build a 15 -story high-rise building without financial assistance, they could build a
five -story building and have it be a profitable project, without financial assistance,
and what a five -story building would result in is this line right here. Uh, property
taxes beginning at about $112,000 a year, so a substantial amount over the $7,000
of the former building, but right here you can see it reflected on the graph, and so
that is a project that they can build without financial assistance. What they would
like to build is this project reflected on this property tax line up here.
Substantially higher, uh, starting, you know, between $400,000 and $500,000 in
year one and then going up, I believe, uh, at the end of the proposed TIF interval
it's around, uh... uh, well over $500... slightly over $500,000 as you can see here.
518 I believe ... oh, yeah, right there, 518,000. Um, what the developer has
offered is a project and that's this area right in here, that would basically reflect as
though a five -story building had been built, without financial assistance on the
site and carve out that amount of taxes and immediately, beginning in year one,
have that distributed to the three taxing entities — the County, the City, and the
School District — as though a building had been built without financial assistance
there, okay? What would then occur is that the TIF increment would be taken
from the amount above that, okay? So that's what ... that's what the blue area is
here. Now that necessitates going out further with the TIF than we would had the
entire increment been taken. I believe with the entire increment taken we were
down around 12 or 14 years. It goes out to .... at the 4.7 million amount, out to 21
years, as you can see here, and then ... after the TIF comes off. The TIF is
represented by the blue area here. After that comes off in year 21, there is a much
larger, a much larger tax increment, around $520,000, $518,000 that would then
accrue to the three taxing entities, as opposed to down at this level if a five -story
building is built without financial assistance. So basically what ... what you're
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being asked to do is leverage, okay, with the ... with the use of this ... tax incentive,
leverage the ability to then in the future capture this much larger property tax
amount, which then goes out into perpetuity. We're building a steel construction
building. You hear the term `100 -year building.' Realistically this is a 100 -year
building, steel construction, uh, that ... that will then have this much larger tax
increment associated with it, as opposed to the five -story building tax increment,
which is down here. So, any questions about what this graph represents and what
you're being asked to consider this evening? Okay.
Botchway: Yes. Um...
Davidson: Kingsley!
Botchway: ...just one quick question. So based on the fact that we would be extending it out
from the kind of quasi -thing that you're proposing, it goes from 14 to 21 years?
Davidson: Yes.
Botchway: Okay.
Davidson: Right, if... if this entire... if the TIF also captured... oh, the dark green area down
here is what's called a protected levy, which ... which basically still goes to the
taxing entities for I think debt service that they have on ... on various things. So if
this light green area in here was part of the TIF increment, then that TIF would be
chopped off, you know, in other words the ... the 4.7 million would be able to be
paid out in a shorter timeframe. It takes longer because the taxing entities will
immediately, starting in year one, receive the equivalent of a five -story building.
Markus: The reason we did that is that ... a five -story building could come in and get
approval right now and not ask for any TIF. So the idea was, well, let's take that
scenario on this particular project, let's protect the five -story, uh, increment that
would occur and capture that back to the taxing jurisdictions so that they didn't
lose anything. So the School District, the County, and the City would get the
normal distribution that they would have gotten if a five -story building came in.
And then everything above that five -story building, um, would go into a ... a TIF,
which creates the amount of TIFing that will be provided to the developer to
create the extra project. Then at the end of that period, we actually end up with a
lot more money because that value then comes on and gets distributed to the three
taxing jurisdictions.
Davidson: And ... and it's even ... it's even a bit more lucrative because if there was no TIF
project then there would obviously be no protected levy, and the amount of
property taxes generated to the three taxing entities would begin at this point, at
$112,000. Because there's a TIF project, the taxing entities will receive the
protected levy, plus they're up here around, uh, the $200,000 level, uh, with that
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five -story building that's on top of the protected levy, because there's a TIF
project.
Botchway: Well I guess my other question, how many TIFs do we have that's over ... or
around 20 years?
Davidson: Uh, that's a long one! That's... that's... would be a (both talking)
Botchway: ...this is a rare...
Davidson: Yes! This would be a rare occasion (several talking)
Botchway: ...usually it's like 10 to 12 or something (both talking)
Davidson: ...had some, that Sycamore Mall's is six. The one you just approve fairly
recently, yeah, so and... and some of our industrial TIFs have been the four-year
magnitude. The... the... the high-rise projects downtown have been in that 14 to
20 range. (several responding)
Throgmorton: Jeff, can you ... can you go back to the... architect's rendering of the building? So
to my eye, it looks pretty attractive from the ... I guess west, northwest looking to
the south, southeast. Uh, especially the first five or so floors. But what I wonder
about is the south face of the building and the east face of the building. We don't
see them. I'd like to know whether they will be blank walls like some other...
fairly large buildings in our city, uh, have or whether their features that look
anything like what we see here.
Davidson: Yeah, the ... the developers, uh, the developer is here, Jim, and I ... I think if you
can wait till the end of my presentation I'm going to have them speak to that. I
believe the alley side is a relatively blank fagade, as many alley facades are, but
again I'd like to have the developer, uh, elaborate on that, and then the south side
of the building that we can't see. I believe ... Joe, there are openings in that side of
the building, are there not? Yeah, there are windows and openings, and it is set
back on that side of the building.
Throgmorton: Yeah, well I ask because, you know, it's a 15 -story building, so that's 15 stories
of a blank wall...
Davidson: Right.
Throgmorton:... uh, which is, uh...
Davidson: Yeah, this ... and I believe it came up during your discussion of the height bonus,
but this building will be slightly shorter than the tallest stack on the University's
power plant, which is just a block away. Just to put it into perspective for you.
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Throgmorton: Okay, and I'd like to ask another question, two maybe, which kind of go to the
heart of the rationale between providing TIF support for any project, uh, like this
in ... in a location kind of like this. Okay, so ... uh... I guess I want to say first, uh,
we've done so much good work tonight, you know, it really... disappoints me that
I've gotta ... I have a fairly negative view toward this particular project. Uh, in
many ways I feel like Alice in Wonderland, uh, Alice in Wonderland who's just
fallen down a rabbit hole and things look curiouser and curiouser. I cannot make
sense of this project as something that should be supported financially by the City.
So maybe ... maybe by pushing some questions I can be persuaded otherwise. So,
I ... I read...this afternoon I read the Riverfront Crossings Master Plan carefully,
uh, especially with regard to the, um ... uh, south of downtown district in which
this project is located. So page 49 of the ... of the Riverfront Crossings Plan
displays four photos of the kinds of student housing it encourages for the south
downtown subdistrict. Three of them show four to five story buildings. One of
the photos shows a building that's maybe 14 stories. So the image that one gets
when reading that part of the plan is we're talking moderately sized, moderate
height buildings. Uh, page 60 says, uh, that area should have development
characters similar in intensity to the downtown. And there are very, very few
buildings downtown that are of this intensity. With regard to the block in which
the proposed development is located, uh, the plan basically says, well, it provides
a bird's eye view which shows four seven -story, uh... no I'm sorry, four four- to
seven -story buildings surrounding a courtyard with an estimated market yield of
114 units, and this particular project alone, tell me if I'm wrong, Joe, is going ... is
supposed to provide 154 units. So ... something strikes me in my Alice in
Wonderland, tumbling down the rabbit hole view, something strikes me as being
oddly ... out of sync, uh, between this project ... and the Riverfront Crossings Plan
that we adopted in 2013.
Davidson: I think the one other factor, Jim, that has to be considered is the height bonus,
which you as a City Council considered. Um, you're absolutely right in that by
right a four- to seven -story building is what developer has the right to here.
However, there is the provision in the form based code, based on an assessment
that a high-rise structure is appropriate in this location, which offers the
possibility at the City Council's discretion of the height bonus, which has been
granted.
Throgmorton: True, so it really... that's another part of my, uh, tumbling down the rabbit hole.
Uh, it really puzzles me why we would be providing density bonuses which
ultimately demand tax increment financing support. That seems like ... two ways
of, uh, I don't want to ... uh, two, um ... forms of, uh, two ... two types of incentive
that ... do not necessarily belong together, and in my view they don't. If we
provide a density bonus, that provides a... a considerable enhancement to the
value of the property, and... and therefore makes it unnecess... should make it
unnecessary for us to provide financial assistance to support the project. And then
a further thing, uh, just in the spirit of kind of going to the heart of, uh, of the
rationale behind the pro ... behind this particular project, and ... and providing
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financial support for it, it puzzles me why we would provide TIF support when to
my eye, again as Alice tumbling down the rabbit hole, this project can scarcely be
described as one that alleviates blight or develops the local economy. I ... I don't
see how either of those ... are produced by this particular project. So I do not
understand why we would be providing tax increment financing for it.
Markus: Once you get above five -stories, you're going to a much more intense and
expensive type of construction for these facilities.
Throgmorton: I understand that!
Markus: And so ... that cost per square foot, in my opinion, demands the analysis that
results in a TIF on this project, and when you talk about blight, one of the reasons
that I think density closer to the University, and specifically in areas like this is, to
move the population of students out of some of the neighborhoods. That gives
them the opportunity to gentrify...
Throgmorton: (both talking) ...yeah, Tom...
Markus: ... single family, and I think that does (both talking)
Throgmorton:... totally understand that, cause we've talked about that before, and I, you know, I
understand the rationale by trying to ... trying to ... enable students to live in good
quarters, down there rather than a couple core neighborhoods. But ... what this is
calling for is a concentration of 154 units in one building, on one site, instead of
what the Riverfront Crossings Plan indicates, which is four, basically four- or
five -story buildings around a courtyard ... in ... in one block, which is a very
different scale and mass, and ... and distributes, uh, the ... probably an equivalent
number, almost an equivalent number, of units over a larger area, but provi... it
still provides substantial density and substantial, um, housing opportunities for
students.
Hayek: Jim ... Jim, it seems ... but it seems to me that, I mean, what is ... what is proposed
ac ... actually is squarely within what the Riverfront Crossings Plan (both talking)
Throgmorton: I don't think so!
Hayek: Well ... no, they've got ... they've got five density ... five additional stories based
on... on one criterion, and... and two based on another criterion, both of which
are ... are part of the plan.
Throgmorton: That's the form based code, not the Riverfront Crossings (both talking)
Hayek: All right, I'm referring to the code, okay? But... but... but, which we all ... which
we supported as a... as a Council. If your... if your... if your unhappiness is with
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the TIF side of it, I understand it and you should vote against it. But I'm not sure
I fol ... I'm tracking you on ... on the other side of that argument.
Throgmorton: I proposed amendments to the form based code that would reduce the maximum
building height in certain districts and ... and I lost that vote, so I'm not being
inconsistent by bringing this point up, in general, but with regard to tax increment
financing as applied to this particular project, which is what ... what's before us
right now, I do ... I can ... I am not, simply not persuaded that this kind of project in
this location requires a $4.7 million TIF, and ... and I know I'm not alone because
I've not talked to a single person who thinks this is a good idea.
Mims: I'll tell you where I come from on it, Jim.
Throgmorton: Sure!
Mims: In terms of the Riverfront Crossings and the size of the building, I think it fits in
with what we've done with the ... the plan for the Riverfront Crossings and the
form based code. I mean, I think we identified zones there where we said, you
know, we wanted to allow for these bonus heights, whether it was for, you know,
environmental issues, whether it was student housing, various things, and we
identified some student housing areas. So I'm totally comfortable with the bonus
height that we've given for this building and... and in fact I can't in many ways
think of a better location in Riverfront Crossings to have the kind of height bonus
that we've given than in this location. One, it's not on top of the hill! So that's
nice. It's not, you know, it's not sticking up. It's down there near the bottom. It
is right across the street from University property. Students can't get any closer
to the University than, unless they were living in a dorm, basically. Um, reduces
the need for cars because they are so close. Uh, they're right across from the
Wellness Center. So I think the location is fantastic. It's down lower, um, and so
it...it fits in with the density bonus and the height bonuses that ... that we've
approved, okay? Not unanimous, but we approved them, okay? Secondly
on ... the tax increment financing. If somebody had asked me ... three months,
maybe I ... maybe you go back six months ago if I would support tax increment
financing for a building that was basically designed for student housing, I would
have told them probably never, okay? I mean that was my feeling on the idea that
there was no way I would be supporting tax increment financing on basically
student housing development. But when I look at this one, and ... the developers
are constrained by a small lot size, okay? They could go in there and put up a
five -story building that, you know, with the graph that Jeff has shown us would
generate, um, a certain amount of, uh, property tax revenues over the next, you
know, 30 years or so, and it would then become, um, you know, one of our older,
less than desirable, uh, probably student housing buildings, kind of run down
as ... as we're getting to ... where a lot of them are (both talking)
Throgmorton:... with the form based code.
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Mims: Still doesn't, I mean ... the form based code still, there's still ways there that it's
not necessarily going to be, uh, you know, the highest of quality. There's certain
things there, but still ... I look at that and the idea that we can have the extra
density, have the students close to the University, help alleviate some of the
pressure on particularly our north side neighborhoods, and ... with staff and the
developer working together have been able to construct, um, a TIF arrangement
that allows the City and the County and the School District to still get all of the
property tax revenue that they would get if the developer had built only a five -
story building, okay? So we're not keeping them from getting any of that money.
They're still getting all that money. And ... with the additional property tax
revenue, we're able to TIF that back in a rebate to the developer, so if they don't
get the assessments they need, they're not going to get the revenue, and while this
TIF is definitely longer than I would like to see, in a 20, 21 -year TIF, we're
looking at as staff have characterized probably a I00 -plus -year building. And so
when you look at simply from a numbers perspective, how does this benefit the
City, the County, and the School District in terms of property tax revenues over
the next 30, 40, 50, 80 years ... to me it becomes an absolute no-brainer to support
this. We are going to be, you know, I think continually crunched in terms of
revenues, urn ... and so to put a four- or five -story building on there, versus what
we can get out of this long-term, I think makes perfect sense.
Throgmorton: With due respect, Susan, I ... it ... I can, I mean I understand a lot ... a lot of what
you're saying (clears throat) but ... if, correct me if I'm wrong, for 20, 21 years we
will not be seeing that ... that expanded increment of property tax revenue. It's
only after year 21 ? Is that right?
Mims: Yeah, there ... well, yeah, because we have to do the debt levy.
Throgmorton: Okay, so...
Mims: So we're getting at least that much or a little (both talking)
Throgmorton: ... what ... what you're doing in saying is a no-brainer is ... is saying ... we know
what the situation will be like 21 years from now, and we know that we're going
to be getting this very large property tax increment 21 plus years from now ... I ... I
don't think we can make ... pro ... I don't think we can promise ourselves or the
City that. That's a mighty long ways into the future.
Markus: But you are guaranteed the five years, and going back to your point about the four
buildings that were seven stories.
Throgmorton: Yep.
Markus: You're talking about...
Throgmorton: No they weren't seven. They were four to seven. One of `em was seven stories.
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Markus: Okay! Well here's the point I would make to you. Land assemblage is one of the
most difficult parts of economic development. So, to accomplish that not only did
you have to acquire this site, you had to acquire the Kum n' Go site. Any idea
what the Kum n' Go site'd go for? And then you'd have to acquire the Pentacrest
Gardens Apartments to do the project that was contemplated on that. I'll bet your
land costs would drive a TIF project that would drive this even higher or longer
term than parts of this particular project. You would not have done that without a
TIF project!
Botchway: Sol...I guess I want to go back cause I ... I can agree with some of the points that
Susan was talking about, cause that's kind of along the lines of where I'm seeing
as well, but I ... Jim's point about the fact that we would be providing a density
bonus, and then paying ... I still can't ... that I can't get over.
Davidson: You know that's a ... that's a ... that's a ... a very good point to bring up, because I
think there ... if you read the National Development Council's report, there is a
clear tie between the height bonus that you granted and the conditions of that
height bonus, which Eleanor has memorialized in the development agreement. It
basically makes the project more expensive. And by making it more expensive,
drives the financial gap in the project, which we, as we do with any TIF project,
we're using TIF as a tool to fill that financial gap. But it is very much driven by
the height bonus that you granted, because that makes it a much more expensive
project, and every one of those things that the developer agreed to ... I think it's
every one of them, uh, as part of the height bonus, Eleanor has memorialized that
in the development agreement to make sure that the developer is held to their part
of the bargain, in exchange for the TIF.
Botchway: (several talking) Oh, go ahead.
Throgmorton: Sorry!
Botchway: The other question I had was ... so ... saying that I'm in agreement with this, and
I ... I, you answered the question, but still I just ... makes me weird! Um ... the
affordable housing component, we get five units that are managed by whom?
Davidson: The developer.
Botchway: The developer. That could be rented out to RAs? That's associated with the
property.
Davidson: That meet the income requirements.
Botchway: But presumably... that could be a student that could meet the income
requirements.
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Davidson: Certainly!
Throgmorton: (mumbled)
Botchway: Um ... and then, so then the other issue that I have is, we would then get money in
lieu of, which is about $450,000, over the life of the...
Davidson: Yes!
Botchway: ...over the life of the TIF, but ... but that then increases the financial gap? From
4.5 to 4.7?
Davidson: Partially. Part of it's taken out of the ... built into the financial gap. Part of it's
taking out of...taken out of the developer fee. We negotiated that.
Botchway: (both talking) ....already get regardless.
Hayek: No we don't.
Davidson: They get. Developer gets. That's less money going to the developer.
Markus: Remember something, Kingsley. When we talked about... affordable housing
going into Riverfront Crossing, the point we made was that that is a public
purpose. To achieve a public purpose, you can try and impose that on the private
sector and see if they'll just come up with it, or you can step up to the plate and
recognize that when you're creating a public purpose, the public has a
responsibility to participate in the cost of that public purpose. To not do that,
you're going to drive development to neighboring jurisdictions that have no
commitment to affordable housing, or participating in the payment of it. So there
is a quid -pro -quo there, and I think we recognize that and in this particular case, I
fully acknowledge that this project was evolving before we got into a serious
discussion about the requirement for the 10%. In fact it's still not ensconced in
ordinance at this point.
Dilkes: Actually the conversation that was had was including the 10% when we were
providing TIF. There's a study going on about what to do with a zoning code
amendment.
Markus: Yeah. So ... yeah, I ... I get the connection there, but if you're going to achieve
scattered site housing in this community, I think... and... and we've kind of looked
at this whole Riverfront Crossing area as a, kind of our model area to try and see
if this works. I think you're going to have to step up and provide public
financing, and TIF contemplates using TIF financing for affordable housing. I
think it's one of the, probably one of the more acceptable public uses for TIF to
begin with. So ... if you wanted scattered site, and I think we do, and when we
talk about schools, and we want a balanced neighborhood with balanced, you
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know, economics going into all of our schools, the best way to accomplish that is
through scattered site, and so achieve that, you're going to have to step up to the
plate and our other jurisdictions are going to have to step up to the plate in terms
of TIFing those projects.
Dickens: Jeff, were they not required to do the 10%?
Davidson: Not required. (several talking)
Dickens: But they chose to do it.
Davidson: Yeah, if real quickly ... and I won't elaborate with the lateness, uh, of the night
here, but ... uh, just real quickly I'm almost finished and then we can open up
(mumbled) questions. Um, in terms of your economic development policies and
the City Council adopted strategic plan, uh, we believe this project is consistent
with both of those, and I'm happy to highlight those if you wish. They're in the
materials that you received. Uh, but that was pretty much everything I wanted to,
uh, walk through before opening it up for questions, uh, and of ..and of course
(mumbled) enough, but what is proposed is a TIF rebate, no money up front, uh,
the rebate over the 21 -year period, to the $4.7 million amount. Um... are there
any questions? The developer is here if you have, uh, questions for him, but
otherwise, uh, any further questions for me?
Dobyns: Well, Jeff, in general I think the ... this follows the standard format that the City
has used, um, to evaluate and award tax increment financing when necessary. I
mean, my sense is ... is Iowa City still fairly different from other, you know,
municipalities in general in the area and in Iowa in terms of our percentage of
taxable income that is currently under tax increment financing?
Davidson: Yes, and I appreciate being tipped off earlier, Rick, that you might be asking that
question, so we quickly put together just a couple of, uh, graphs here. Here's the
dollar value of TIF increments in... in Johnson County amongst all Johnson
County municipalities that have used TIF. Uh, you can see Iowa City here
highlighted in yellow. Uh, so this is the dollar value of...of, uh, all TIF
increments of Johnson County municipalities. Here's the percent of each
community's total value, which is, uh, TIF'd basically, and you can see we are
under I%, actually the lowest in, uh, Johnson County, and then you see the range
of the other, uh, municipalities. Uh, and then one final one, here's the percentage
of all Johnson County TIFs and you can see how that sorts out. Iowa City, uh,
relatively modest, uh, 2%.
Dobyns: So when I take a look at that, Jeff, what I consider as sort of...when I was
listening to Kingsley sort of say `balance' here, there are some issues about tax
increment finance, uh, in general, and specific to this project, which are relevant,
but there are many aspects of tax increment financing that I can ... think are very
positive. I think Iowa City has overwhelmingly demonstrated responsible
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evaluation of tax increment financing, and I ... I think to look at this as not being a
balance but rather being overwhelmingly, um, negative in terms of this, compared
with the ... you know, historic evaluation of Iowa City is ... is radical.
Davidson: Well we have ... made the point over and over again, Rick, that we are not anti -
TIF.
Dobyns: Uh huh.
Davidson: We think TIF is an excellent tool for achieving the City Council's objectives, uh,
through financial incentives. Uh, it is really our only significant tool that the State
gives us to work with and we feel that we have been very responsible in the use of
it.
Dobyns: As this, uh, oper... uh, this is a good example of that. To think so otherwise I
think is, uh, just, you know, very deviant from past practices of how Iowa City's
looked at things.
Davidson: Any other questions for me?
Hayek: Is there anyone from the (several talking) Well let ... let's just see if there's any
audience input before we continue the Council discussion at this point. Is there
anyone from the audience?
Byler: Um, my name's Peter Byler. I just, um, I was reading through the ... the reports
and everything. I want to start out by saying I think this is a fantastic project.
Um, you know, the ... the height, uh, concerns aside and everything, I think that
Iowa City needs more housing, period, um, especially near campus. I think that,
you know, more housing in general is what's going to lead to housing being more
affordable, just kind of like (mumbled) kind of things in my mind. Um, I was
reading through the ... the actual, uh, letter from the NDC which, um, has ... a, just
arithmetic mistake on page 2, which is a $10 million arithmetic mistake, which
makes me think that ... we shouldn't rely so much on these NDC letters, cause
there's literally a $10 million arithmetic mistake on page 2. Um, you know, their
calculations are not shown in this letter. Um ... you know, I'm ... I don't know
anything about this organization and I'm sure that they're probably very
upstanding and stuff but ... uh, I hesitate to put too much weight on that. Um, you
know, this ... this project has apparently found the sweet spot of...non-profitability
in between five stories and 900 units. Um, you know, I develop apartments too. I
know that, you know, in Midwestern markets it's hard to make things... things
work, uh, financially for new development. Uh, I just wanted to make a couple
points very quickly. Um, I think it's a little bit of a dangerous precedent to set to
let the developer buy-out of the affordable housing units. Um, I know it wasn't
required so he's kind of like buying out of his own, um ... or the developers buying
out of its own, um, sort of good will, but I just think that's a little bit of a das...
dangerous precedent because you know as was said, we're not ... we're not
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actually using public money to create affordable housing. We're using public
money to buy out of creating affordable housing, which is kind of a little bit, um,
against... against the, uh, point of that. Um ... that's ... that's really all I had to say
about ... about this one. I think it's interesting to read all of these, uh, reports, um,
that are asking for the TIF money, um, I think the developer fees are one
interesting part of that, because if you drive up your developer fee you're... you're
...you're eligible for more TIF, which does not apply to this agreement because
the developer's putting in far more equity than he's asking for in TIF. Um, but
some of the agreements that you're going to be considering, the developer's
equity and the TIF amount are exactly equal. So you have to look a little bit
carefully at the ... that development fee, cause sometimes it's like 25% of the ... of
the money that's being asked for, which you have to think about a little bit, um, in
terms of, you know, kind of the thing at the fair, like where's the button or
whatever. Um... so again, I think ... I think this is fantastic for 154 units. Um, I
think it's going to look great on this site, um, obviously a beautiful building and
uh, it's something good to support with just those few caveats. Thank you.
Hayek: Thank you for the comments.
Throgmorton: Um, I'd like to say one more thing, Matt. Um...
Mims: Let's see if there's anybody else from the public, Jim.
Throgmorton: Oh, I'm sorry! Thought he was the last person. (mumbled)
Seiple: My name's Emily Seiple, and I'm representing the Johnson County Affordable
Homes Coalition, um, and I've lived in Iowa City for six years and went to the
University, graduated in 2013. Um, just getting to hear, um, not only this meeting
but, um, so much momentum going into all the discussions about, um, wanting to
see if the inclusionary, um, zoning policy, um ... yeah, in ... in the pilot project with
Riverfront Crossings, just getting to see all of that leading into this, um, I kind of
echo some of the concerns of Councilman Throgmart ... morton, sorry (laughs)
and Botchway, um, that though I agree we should be stepping up to fund a public
good, possibly with public money, I don't see exactly how five units for, um,
most likely students, um, in the affordable housing is, uh, a good precedent, also
echoing the comments of the person right before me. Um, and I do agree as well
that potentially with, um, just the blank walls on two sides of the building, this is
a very large aesthetic statement and financial statement to make in an area, um,
where we don't want only students to feel comfortable and only students to feel
that this is their home. Um, when I was a freshman I got to be part of a debate in
a rhetoric class about, um, just the potential plans for this neighborhood and it was
a very exciting to think about a mixed use, um, residential area, um ... well, mixed
use with retail and different... different kinds of families, people living there who
could be in proximity to downtown and I think with ... with something this large,
something this, um, high density, high density, um, that ... people moving in or
considering this place would see it as a like a student dominated area and the first
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thing this is a strength because it would draw students away from the north side of
town. I think are kind of drawing that problem to a new place where people, um,
you know, the kind of families we'd love to see taking, uh, reclaiming and ... and
in some way, um, the north side of town would possibly be, um, scared off from
this part of town as well. Um, and I just had a question which maybe was
discussed in the presentation before me (mumbled) didn't quite get it. Where
does the $450,000 go? Does that go towards ongoing affordable housing projects
or where does it go?
Davidson: Uh, that will come to the City, be used for affordable housing programs that are
developed, not specified currently.
Hayek: Thank you for the comments.
Eastham: Charlie Eastham. Um, just ... I'm a little puzzled about how the finances for these
projects are put together. Um, Tom, does the ... do the revenue
projections... which we start with, which establish which are revenues against cost
(mumbled) establish the gaps, are the revenue projections, uh, fixed? Do they...
if, if the revenue projections are higher ... or, if the actual revenue is higher over
the 20 years, does that affect the actual amount of the TIF?
Markus: There are the potentials in the agreements to ... to adjust the amount of TIF, um,
determining, you know, based on actual experience. That's what your question is,
right?
Eastham: I think that's (both talking)
Markus: And I don't think this one accommodates that sort of issue. There's... there's
things like claw -backs and other things that you can build into these agreements,
but that isn't something that we've done necessarily. Eleanor, you want to...
Dilkes: No, I think that's right. It's a ... it's a set amount or 21 years, whichever comes
first.
Eastham: Well as a matter of public policy to ... to me if the Council were to look at,
uh... uh, an agreement, a TIF agreement, that actually allows the City to recover,
um, more property taxes because revenues are actually higher than originally
(both talking)
Markus: If they did better than projected.
Eastham: (both talking) ...than projected, to me that ... that would be a (both talking)
Markus: We'll inter ... we'll internalize that discussion. It's a good point! And I think the
other ... the gentleman that ... that talked about the summation error, he's accurate.
The summation error is correct. It's an addition error, but it doesn't, and I think
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he'll acknowledge this, I don't think it changes the bottom line of the project. It's
just that he made a bad addition error, but when you go back and do the math,
what he was showing was the revenues to the project versus the project costs, and
they balance out when you use the correct addition.
Hayek: I feel like we addressed that at the EDC meeting.
Markus: I don't know if we did or not catch that then or not.
Dilkes: Yeah, it doesn't have an impact on the analysis.
Markus: Exactly! But it was a fair comment! The addition was wrong.
Hayek: Anyone else from the audience? Okay. Council!
Botchway: (both talking) Sorry, I know you're going to go, Jim, but I have a question.
Throgmorton: Go ahead!
Botchway: So ... another issue that I think the gentleman brought up that now I'm ... this is
kind of a sticking point now, um ... is ... the fact that we'd be paying ... or, we
would be asking for affordable housing units, and I understand that it was
voluntary, but this is an important project. It'd be $450,000 over the 21 years
... of the TIF, correct?
Mims: It's basically a one-time 450.
Botchway: Yeah, that ... that's what I have a problem with because we...
Dilkes: No, it's $25,000 over 18 years.
Markus: That's right.
Botchway: Okay. But that is based on the math that we do from the market rate, the HUD
market rate, compared to what the market rate is ... generally.
Davidson: Right!
Botchway: Okay. My issue is that we are exchanging ... we ... that ... that fee or that payment
stops at the 18 or 21 year mark, so we no longer have any more, and Tom, we
talked about that a little bit because we'd be losing the ... the value of the
affordable housing unit. At that point. That makes sense. Maybe I'm wrong, but
we would be losing that value, and so ... potentially...
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Dilkes: But we use ... any affordable housing that's tied to a TIF agreement will end at the
termination of the TIF agreement anyway. So the five affordable units in ... the
building are only a condition for the length of the TIF.
Davidson: Yeah, the only way to extend it beyond that, Kingsley, I mean and that's no
different (both talking)
Markus: (mumbled)
Davidson: ...like a federal ... a federal housing program has that same, you know ... term at
which they revert to market -rate units. The City has to purchase the unit to ensure
that the affordability goes out into perpetuity or a non-profit purchase it.
Dilkes: That was in the project that we just did, the wraparound project for the,
um ... Harrison Street parking facility. That was going to be a sale to a ... an
affordable housing provider, rather than renting by the developer, and that of
course had... presumably has a much longer affordability period.
Davidson: The ... the proposal for the Chauncey project is for five units that the City would
purchase.
Hayek: But like the Emrico one we did on Riverside, I believe, runs the duration of (both
talking)
Dilkes: The duration of the TIF agreement.
Davidson: That's correct.
Markus: That's correct.
Davidson: And those are negotiated on a case-by-case basis. And subject to, you know,
policy that ... that you all establish.
Botchway: The last question, all right I guess I have maybe right for now is ... does the
numbers that we have equate to the loss in property taxes that would be associated
with the particular property? So I mean, this is a multi -residential property.
Markus: You mean currently?
Botchway: Yes. Like ... when you put that analysis in there for how much we could be
making, don't we ... didn't we for the last discussion, I think at the Court and Linn,
ask them to give us, um, you know, how that would...
Dilkes: I think the answer's yes.
Botchway: Okay!
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Dilkes: And, Dennis, you can correct me if I'm wrong, but when the projections for how
much tax was going to be generated over the course of the years, included the
90% for, um, commercial.
Botchway: Okay.
Davidson: Oh, yeah, it includes all the rollbacks.
Botchway: Okay, that's what I ... that was my question.
Davidson: We always ... when we do these analyses, Kingsley (several talking) we use the
worst ... worst case scenario...
Botchway: Okay.
Davidson: ...rollback. Yeah.
Hayek: Further discussion?
Throgmorton: Yeah, I want to toss in two more cents worth and I ... I ... back in ... in 2013, I think
it was October but I'm not sure, when we adopted the Riverfront Crossings Plan,
I'll bet ... well, I ... I doubt that any of us pictured a 15 -story building, supported by
very large TIF, at this site and I know if you look carefully at the Riverfront
Crossings Plan, your eyes will not reveal this kind of development. The text will
not reveal this kind of development. So there's some slippage there between the
Riverfront Crossings Plan and the form based code that I think is really important
and a really important slippage that we need to be conscious of. In any event, I
know I was not aware, and I ... I mean, I know I did not envision a 15 -story
building supported by a large TIF when we adopted the Riverfront Crossings
Plan. So in my view, with regard to the specific resolution before us, I think it is
a mistake to use TIF funds to support construction of a building of this size, in
this location, for this purpose. The site is not blighted. The project will not help
develop the local economy, and I cannot support the proposal.
Dickens: I think, Jim, when you look at a lot of the pictures and things in the ... the overall
thing were concepts and then we built it into a... a plan, and it still is a plan. Uh,
maybe your visions were different than mine, and I've seen the ... the visions
change already with the, uh, Court and Linn property, going to a little higher site.
This property is set way down low. The height density ... or the height of the
building really is dwarfed by the hill itself. I ... I don't think it's ... you're
expecting it to stand out. We have tall buildings in downtown Iowa City. In fact
we've got quite a few and we're going to have a quite a few more. I don't think
this is out of place in that area. I think it fills the area very nicely. As far as
blighted, the property that was there was ... was not a real enhancement. I'm not
downplaying the ... the owner that owned that property before. But he hadn't
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invested any money into that. This is a great opportunity to invest money that
will come back to us, even at a higher rate than most TIFs have done in the past.
There's that ... the extra gap that we're going to be collecting that not only comes
to Iowa City but the Schools and the County. So ... I guess we have a little
difference of opinion as far as the concept and the plan as we go forward, but I see
it as a great addition to this area. The location is really good for students, um, and
I do see it maybe opening up some of our other neighborhoods that, you know,
there's a fear that it's going to draw different people to that area. I think it's
going to add to the diversity of that neighborhood. You're going to have students
there; we're going to have different kind of housing all throughout that area. This
particular area is very close to the University and it ... I ... I feel it should be student
oriented. As far as a TIF, I think we have been so careful about not spending a lot
of money on TIFs that we ... we're almost to the point where we're burying
ourselves in the sand, we're ... we're falling behind some of the other areas, and I
don't want to compare ourselves to the other cities around us because I think it's
too important that we keep our identity. We're very conservative and that shows
in our Moody ratings, but I think this is a project (noises on mic) will only help...
help, uh, spur some more development in that area and uh, we're gonna have
taller buildings at the top of the hill there when the new hotels go in. They're
going to be more than the ... the five to seven stories, uh, conceptually right now.
We haven't seen the final on those, but ... I ... I think it's a great project.
Botchway: Can I do something weird? Or just ask a question...
Dickens: Well, you can be weird! (laughter)
Botchway: Do you have anything to say about this (mumbled) I just want to know his
thoughts, cause I didn't ... I mean if I would have known that we were ... I knew we
were talking about it but I didn't ... just want to hear...
Hayek: Alec, why don't you introduce yourselves for the viewing audience. (several
talking and laughing) Evan!
Mims: You're a year behind! (laughter)
Hayek: I'm thinking of the guy who ... yeah! (several talking and laughing) You're not
Alec Bramel, you're Evan McCarthy! (laughter)
McCarthy: Not Alec Bramel, but um, I don't know, I'm honestly kind of...of two minds
about this, because I agree with the concerns that Jim and Kingsley have raised
about ... TIF and I think that if...I mean, honestly you all know this but the
Council gets a lot of flack just for the perception of irresponsibility or preferential
treatment with TIF, and I think that's something that you're going to get from
this. I mean I'm not pretending to be an expert about it, but it's just the ... the
numbers seem off to me. It seems like ... like, I'm sorry, I forgot your name, but
like the shell game at the fair. It's... it's... just something seems strange about this
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and I admit that I don't have all of the information, but ... putting on my citizen of
Iowa City hat, I suppose this is just something that, I don't know, it...it leaves a
bad feeling sort of just in my gut. On the other hand, putting on my USG hat and
my student hat, this is a demonstrable need. There is a need for student housing.
There is a need for this type of student housing. I would continue to advocate for
affordable student housing. I think that maybe that I... commend the developer
for volunteering the affordable housing units that he has, but ... I think that while
yes this does serve a particular market of students, that we really need to examine
if anything TIF financed, that... if we're going to do that we should, I think,
dedicate more to affordable housing, not just for students, not even primarily for
students I would say, again, returning to citizen of Iowa City mode, but since this
is something that affects so many people, not just students, but workers, people
who are looking to move here, people who are looking to stay here if they're not
going to move away. Um ... I don't know, it seems like a long-term investment...
it, the ... it seems to me that the City would be better served by a long-term
investment in something... more... honestly equitable. More... catering to the
larger segment of the population, but I do recognize the need for this. I think this
is a very good project going forward. It's just the numbers sort of leave a bad
taste in my mouth. I recognize that going forward it probably will be a good thing
for the City, but ... I don't know. I guess to sum up this has been sort of
incoherent. I'm sorry, but to sum up I would say that in the future, I would
appreciate more of a look at maybe the long-term effects of say this sort of
financing on the livability of the city for people who aren't necessarily as affluent.
I couldn't afford to live in this development. I recognize that I'm not all of my
peers in the student body, but ... I think that for people like me, and this is a point
that I've raised before, for people like me it does feel sometimes like the
community does not accommodate those needs. And I think that's something that
a lot of people would articulate, not just students, and that's something that I
really think needs to continue to be brought to the fore of the discussion on things
like this.
Botchway: He brought... and the reason why I... I didn't know he was going to say it, but he
brought that point up, uh, when we were talking about Court and Linn as well, as
far as ... um, and one of the questions was was it going to be affordable, cause we
were talking about, and one of your points, Susan, was bringing the students out
of those neighborhoods, but again, if it's not affordable to do so, then you know,
me as a student or whoever as a student wouldn't do it. So we're ... I just, I don't
know, I'm just ... I don't know. I'm perplexed by the ... this particular proposal.
(both talking)
Mims: Well I think part of it also goes back to what Tom said, you know, unless the...
unless as a city we are going to subsidize the housing, okay, then it's going to be
at market rate, okay, and these developers of student housing are going to build...
they've... they've analyzed the market in terms of what students can pay, and...
we ... we have a significant percentage of our student body that, urn ... and this is,
you know you can look at the Regents' funding...
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Botchway: Right.
Mims: ... and all those issues that are coming up, we have a lot of out of .. maybe more
out-of-state students than in-state students that come from very affluent families.
Um, have a lot of disposable income and so the developers are looking at that and
they are building housing that they are sure there are going to be students here
who can afford. Could I afford it when I was in school? Heck no! I was living
on my dad's social security when I went to college. Um ... but ... it still comes to
that line of what is ... what are we going to spend our public dollars on, and I look
at this as a project, again, that can open up maybe ... if it takes some of the demand
off areas like the northside, maybe the rent becomes cheaper in some of those
areas for students. I look at that graph up there on the wall and I look at what that
does to our revenue stream for the City, just off this one property, um, over the
long haul, and ... and Jeff, if I could ask you one question. Excuse me just a
second, Jan. When we take that first 20 years and we have that protected debt
levy amount, and then we have the ... the other green strip above it, okay, that
we're getting, that protected debt levy amount, is that... distributed to the City, the
County, and the School? Okay. So ... basically the City, the County, and the
School in those first 20 years are getting twice the amount that they would get on
a five -story building.
Davidson: Roughly, yes.
Mims: Okay. I don't think that was clear before. (several talking)
Davidson: I tried to make that point, but apparently not very well (both talking)
Mims: Well, and I think it isn't ... I think it isn't clear because we ... we were talking about
the protected debt levy and so that...
Davidson: Yeah, because (both talking)
Mims: ... it has to be protected because of TIF. I get that (both talking)
Davidson: Without the TIF project, there is no protected debt levy and so that's when it
would then go down to the taxes being accrued down at this level here.
Mims: Right. So...
Throgmorton: Could I follow up on that, cause I'm just...
Mims: Yeah!
Throgmorton: ... make sure that I (both talking)
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Hayek: You know, let's ... let's do this, guys! We ... we're ... we're sort of blending public
comment with ... with Council discussion.
Mims: (laughs) Yeah. Sorry.
Hayek: If...ma'am, if you would like to speak to this, and you're the last one that's okay,
but then I want to stop the community input and have Council deliberations and...
Botchway: Oh, I thought we had!
Hayek: ...and make a decision, so ... (unable to hear person speaking from audience) It...
Mims: No, go ahead, Jan! That's fine!
Hayek: Go ahead!
Palmer: Jan Palmer. Urn ... many a time I've rued the fact that I didn't take economics. So
forgive me, but this endeavor is going to generate $518,000 per year just in taxes.
Okay? And ... that's very impressive from the point of the view of what the City
gets. But the gentleman, uh, that ... the developer who commands the kind
of...capital that he can amass, and the resources behind him that were identified,
didn't get there by losing money on his projects. So my question would be ... if
that money, if there's that much just in taxes, how much money and profit is
leaving the community because we're using an outside developer? And I ... I
honestly I don't understand the economics, but ... I mean...
Markus: This is a local developer.
Throgmorton: ... not an outside (several talking)
Palmer: Oh, this is a (several talking)
Throgmorton: He's right back there! (laughter)
Palmer: My apologies! (several talking)
Markus: He ... he lives in the city limits!
Palmer: Okay. I ... I withdraw my comments! (laughter)
Hayek: All right, thank you! So at this point let's close it down for Council discussion,
and then we'll... there's a motion on the floor and we'll take a vote ... when we're
done discussing it.
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Dilkes: Can I clarify one thing about the affordable housing? The, um ... a ... an
undergraduate student who is ... comes from an affluent or semi -affluent middle-
class household is not going to qualify for these affordable housing units.
Botchway: Why not?
Dilkes: Because they won't meet the income guidelines that the ... that are required to
follow. So, they will be available, I mean, these units will be available for ... for
students or others who meet those income qualification guidelines, and it's not
just going to be based on, you know, selling pizza for five hours a week or
something. So...
Markus: (mumbled)
Dilkes: Five units. Yeah.
Hayek: Sol...(sighs)...I think the, you know, I ... I'm ... I concur with Susan, you know,
six months ago I would not of.. I ... I would not of, uh... anticipated us looking at
a ... a TIF on a residential, um, development like, uh, in Iowa City because ... and
we ... and we ... we've started that! We ... we did with Emrico and ... and we've
looked at it in others, and ... and this is one of them. Um ... this ... I think the ... the
interesting part about this is this approach being taken with respect to, urn ... the...
the carve -out or however you would describe it, um ... to ... to ensure that we are
not losing the taxes that would accrue from a by rights building, i.e., a ... you
know, a five -story building, which we ... we recognize is essentially the ... the, um,
the cap on a ... on a stick -built, wood, you know, wood built structure. Um, and
I ... and I think the approach in that respect is ... is novel. Um, I'm not going to
make a lot more commentary about it cause I looked at this at the EDC level, I...
and I had my questions answered there. Um, and ... and I ... and I am supportive of
this. Um, we're getting, uh, the housing aspect. We're getting, you know, the
Gold LEED certification. We're getting the quality of structure that we want for
this area. Um, my read is that it is consistent with ... with what we've envisioned.
I don't think we're going to have, uh, a limitless supply of these kinds of
structures in Riverfront Crossings, but I think we will have at least some. Um,
and I think it accomplishes a number of the things we're hoping to accomplish,
uh... uh, in a ... in an important area, and I think, uh, and one thing that hasn't been
pointed out is that, you know, one of the things that sets Iowa City apart with
respect to its TIF approach is that by and large when a ... when an individual TIF
project has ... has paid itself off, we release it in full. Um, and ... to ... to, and that
helps the Schools. It helps the County. Um, it helps us. We don't retain, uh,
the ... the, uh, the diversion of taxes in perpetuity, which is what you see in a lot of
places around, uh, this area. Um, but in particular with this, you're protecting all
three of those entities from the get -go and for the duration of, uh, the TIF project
itself. I think that's novel. Um, and I think it's compelling!
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Botchway: I have one more question, sorry! What if we ... is there any way we would
just ... so that ... that little money or that gap right there, that 112 the first year that
goes through year 20. If we decided to ... then give it back to the developer in ... in
normal TIF fashion, would that reduce the TIF (unable to hear response) To
like ... to what?
Hayek: Fourteen years, that's...
Davidson: I believe it was 12 to 14 years, Kingsley.
Botchway: No, but how much would be the amount? It would still be 4.5? Or what...
Davidson: 4.7, yes.
Botchway: 4.7.
Davidson: Yeah.
Hayek: It's the same amount. It would just get rebated sooner.
Dilkes: The way it (several talking) The way it reads is we're only rebating 63% of the
tax ... of the increment, as opposed to 100% of the increment. If we ... if we
rebated 100%, you'd get down to that shorter period.
Botchway: I want ... I mean, I want the ... I want the units. It ... can we at least agree on
changing the... the... that mechanism possibly, instead of having the fee in lieu of?
Mims: I think what we need to do is given that ... this one was so far along before we
even really got started talking about those. And ... the developer voluntarily said
they would do something with the affordable housing. And we have an
agreement ready to be signed. I think we take this one the way we've got it.
We're having discussions soon about what we're going to do with Court -Linn. I
mean we ... we had some of that in the internal committee a couple weeks ago
about how we wanted to handle it there. I don't think as far as this one ... as far
along as this one is and the cooperation of the developer on the affordable housing
units, I'm not willing to ... hold this one up to make a change in it.
Botchway: Well ... can I ask a question of the developer then?
Hayek: Sure!
Botchway: Can you come up real quick? So I have two questions. One, it goes back to Jim's
point about, you know, the facade. I mean this is a ... Jeff brought up it's a 100 -
year building. Have there ... has there been any thoughts to Jim's comments about
possibly changing it in any type of aspect, based on what he mentioned, since it's
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going to be, you know, a building that's going to, you know, have some longevity
to it.
Clark: So you're asking me whether we'd change the ... the affordable housing
component or the....
Botchway: No, I'm talking about now the design.
Hayek: The exterior look.
Botchway: Yeah, the exterior.
Clark: The exterior, I mean, just to answer your question, I mean, the exterior hasn't
been finalized at this point. Um, we actually are looking at several options that
could go on the outside, but to answer your question, the ... the front side — and I
have views from all angles that you can take a look at, um, from our architect, and
it has balconies and, uh, windows, and it's ... it's the same look on the front as it is
on the sides. The only thing I'd point out is, um, next to the Kum n' Go on the
left side, um, you're... you're not going to see a whole lot of ..cause it's going to
be covered by a structure there, and if redevelopment ever happens next door, that
would be ... there's ... oh you have another picture?
Davidson: Yeah, I just ... I wanted to point out. This blank wall is required ... by the zoning
ordinance, because the idea it will have a building up next to it (both talking)
Mims: Up next to it.
Davidson: ...other site redevelops. So we ... we are requiring this blank fagade up to the
second level, and...
Mims: So is the building built right up to the property line then?
Davidson: To this point, and then it's set back to allow...
Mims: Okay!
Davidson: ...the, uh, balconies and windows on the sides.
Mims: Okay.
Clark: So to finish with that, we ... we're looking at a ... a sort of, uh, quartz -look on
the... on the building where you're seeing kind of the, um... (mumbled) show you
on this. So this area would be kind of a quartz -look. Um, this is a stone, uh, on
the bottom side here, uh, as well. Solid stone. The quartz could be an epoxy, um,
it depends on what we go with with the walls. We're looking at possible... metal
insulated walls that would have an epoxy, um, on it, kind of a granite or a quartz
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look. So it's ... it's going to be a nice -looking ... to answer your question, it should
be a very nice looking exterior or skin of the building.
Hayek: I think Jim's concern is what's on all four sides...
Clark: And it would be...
Hayek: ... and I think it's a legitimate concern.
Throgmorton: Yeah. One side's going to be a blank wall, right? Just a flat wall?
Clark: No.
Throgmorton: So...
Clark: No. So the whole thing is going to look, uh, similar to ... to what you have looking
on the front. Yes, the backside isn't going to be ... you're not going to have the
stone. I can get this ... you're not going to have this going along the backside.
You're going to have this ... going along the backside.
Dickens: So there will be windows (several talking)
Clark: Yeah, windows and ... there's no balconies going off the back, but there are
balconies on ... it'd be the south -facing side (several talking)
Hayek: I think the concern is that it would be a... a monolithic, windowless... fagade on
one side.
Mims: So basically the north and south sides are going to be very similar, and the east
and west sides are going to be very similar.
Clark: That's correct... barring the ... if you look at the balconies...
Mims: Sure!
Clark: ... there's ... there's going to be a little bit of...difference there. You can see on
the right-hand side there's not a lot of wrap-around balconies. On the other side
there's balconies, windows ... it's the same sort of look as the left side, just a little
bit, um ... just a little bit different. (several talking)
Botchway: Second question is ... do you feel any type of way about just providing the units
instead of the fee in lieu of or the money?
Clark: Well...
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Botchway: Does it, I mean, is there added cost from a management perspective, I mean,
that's what I'm trying to...
Clark: What we've agreed upon and what we negotiated is to have the five units, and
then have the 11 in ... in lieu of. Um, am I willing to change that? I don't think at
this point I am. Um, and I think we had a discussion early on and ... and actually I
tailored some of this around a discussion that I had with you, um, in
that ... we ... we agreed that this location isn't necessarily, you know, a location for
affordable housing. But ... we do want to have that aspect, or that component, to
this project, and so we did add it to a certain extent, but ... but having 16 of `em as
opposed to five really changes the financials of this project, and could actually put
the whole project in jeopardy. So ... with that being said, I think we're going to
stick with the ... the five and the 11, um, on this project.
Botchway: Thanks!
Hayek: Thank you. Any further discussion?
Botchway: Is there like any ex parte communication, cause we did talk, like a (both talking)
Hayek: It's not a rezoning.
Botchway: Okay. Just wanted to make sure!
Hayek: Roll call, please. Uh, then Item 9 passes 6-1, Throgmorton in the negative.
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ITEM 14. CITY COUNCIL INFORMATION
Hayek: Start down with you, Kingsley!
Botchway: Um, I think I mentioned during the work session that, um ... on Wednesday,
starting at I think 7:30, um, I hope that time's right, um, Ta-Nehisi Coates will be
speaking about, um ... uh, racial issues, uh, specifically that, you know, um, his
work and those types ... type of things at the Englert. It's a free event. I ... I think
you should get there early. I think it's going to be a... an exciting one and one
that's going to be packed. So, um, and there's going to be some type of
community discussion afterwards as well, so ... um, if you see me stutter or, you
know, fumble over my words and stuff like that it's just because it's going to be a
fun event with a lot of people.
Hayek: Jim?
Throgmorton: Nothing. Thanks!
Mims: Um, wish I could be there Wednesday night, but there's an ICAD event I was
already invited to, um, having ... also having dinner with a number of, uh, women
in the community, including, um, Debbie Durham from the Iowa Economic
Development Board, so ... (mumbled) to that.
Dickens: Somebody mentioned the jewel of downtown Iowa City, the Englert. I just want
to, uh, reiterate that the ... it's such a great ... part of Iowa City, that, uh, take
advantage of it and keep it alive!
Hayek: Michelle?
Payne: Nothing for me tonight, Matt. Thanks!
Hayek: Okay. I just wanted to mention, uh, three things all relating to education. First,
uh... uh, Jerry Arganbright, the principal at West High, has announced his
retirement and I want to thank him for his several decades of excellent service to
the School District. Um, last week I, uh, had the pleasure of attending a Sertoma
event, uh, which is a local, um ... uh, service group, and they were recognizing
eighth graders from the various, uh, junior highs in the area who competed, uh, on
a, uh, First Amendment, basically know your Constitution contest, um, and
submitted some excellent essays, uh, on the First Amendment. Um, and so kudos
to those eighth graders, and then speaking of eighth graders, I also later in the
week, uh, met with eighth graders from, A ... uh, Anna Austin's class. She's a
teacher at Northwest Junior High and they invited me to that class where these
eighth grade students gave presentations, um, on how they would improve, uh, the
community. Um, and... remarkably every single thing they suggested we have
looked at. Now their ideas might have been slightly grandiose and the
discus ... the, uh, the (noises on mic) means of funding those ideas, uh... uh, not
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quite there, but the concepts themselves, whether transit, um, or road diets or... or
you name it they've ... they had thought about, and so I ... I want to congratulate
the students (laughs) from that junior high who, uh, they're (mumbled) or they're
reading our minutes and studying what our urban planners are talking about, uh,
because they were spot-on right! So, with that ... City Manager?
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ITEM 15. REPORT ON ITEMS FROM CITY STAFF
a) City Manager
Markus: Yes, the 1000 Friends of Iowa awarded the Best Mixed Use Award for the
historic Packing and Provision Building in Iowa City. Anybody know what
building that is? It's the old Vito's building (several talking) which now houses,
um ... what is it (several talking) Film Scene...
Hayek: Velvet Coat and...
Markus: ...and class A offices. There's an engineer's office up on the second floor. And
the Velvet Coat, um, retail store, so, um ... this is a Moen project and ... we're...
kind of talking a lot about saving historic buildings. That's a wonderful example
of saving and reusing a historic building in the downtown. And I don't know if
this was mentioned, but Eleanor's son won a prestigious debate award. Did that
ever get (several talking and laughing) get announced?
Hayek: State champs! (several talking)
Markus: Did you know that? Yeah! That (mumbled) right up your alley!
Hayek: Has he won yet another one? Okay! So yes, our City Attorney's son won the
State Policy Debate Contest, representing City High (several talking and
laughing) uh, and that is a huge, huge deal. One of my law partners is a, uh, is a
former State Debate Champion, and she told me that they can forget all sorts of
contests you've won, but when you're a State Champ they never forget that! So,
we're proud of him!
Markus: Congratulations!
Dilkes: Thank you.
Hayek: Anything else ... GeofP Eleanor?
Karr: Just a reminder we have the Charter Review Commission forum tomorrow
evening, 6:30 here in the ... Harvat Hall!
Hayek: Thank you! Need a motion.
Mims: Motion to adjourn.
Botchway: Second.
Hayek: Moved by Mims, seconded by Botchway. Discussion? All those in favor say
aye. Opposed say nay. We are adjourned! Have a good evening!
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