City Council Minutes October 26, 2010

Minutes
North Liberty City Council
October 26, 2010
Regular Session

Call to order.  At 7:00 p.m., Mayor Salm called the October 26, 2010, Regular Session of the North Liberty City Council to order. Council members present: Chipman, Donahue, Hoffman, Kuhl, Wayson; absent – none.

Others present: Ryan Heiar, Tracey Mulcahey, Dean Wheatley, Kevin Trom, Scott Peterson, Erika Harper, Steve McCoy, Dick Noble, Steve Gordon, Ken Madole, Gary Metz, Don Strabala, Alan Marks, Tredd Schnoor, Duane Musser, Kevin O’Brien and other interested parties.

Approval of the Agenda.  Donahue moved, Hoffman seconded to approve the agenda. The vote was: ayes –  Hoffman, Wayson, Kuhl, Donahue, Chipman; nays – none. Motion carried.

Consent Agenda.  Kuhl moved, Chipman seconded to approve the Consent Agenda including City Council Minutes of the Regular Meeting on October 12, 2010; the attached list of Claims; September Revenues; Highway 965 Project, Phase I, Metro Pavers, Pay Request Number 8 – $183,441.62; Cedar Springs Lift Station Project, Wendler Engineering & Construction,  Change Order Number 1 – ($9,712.00); Cedar Springs Lift Station Project, Wendler Engineering & Construction, Change Order Number 2 – $14,260.00. The vote was: ayes – Wayson, Kuhl, Donahue, Chipman, Hoffman; nays – none. Motion carried.

Public Comment.  Steve McCoy asked about following up on his email relating to the purchase of the Parks Department pick up and skid loader. City Attorney Peterson will respond to Mr. McCoy.

City Attorney Report. City Attorney Peterson offered to answer any questions Council might have.

City Engineer Report. City Engineer Trom reported that construction is winding down in subdivisions.  The Dubuque Street Trail Project plans have been submitted to IDOT this week for a spring letting date.  Staff met with JCCOG, Penn Elementary and the public to review plans for the trail project.  Other projects being designed include the Penn Street widening, Jones Boulevard reconstruction from Penn Street north to St. Andrews Drive, Golfview Drive connection project and the Penn Meadows Park Rain Garden project.

City Administrator Report City Administrator Ryan Heiar reported that the Highway 965, Phase I Project is progressing. The grading is complete at Golfview Drive. The contractor will be paving as soon as possible depending on weather. The contractor continues to work on crosswalks and patches through the construction area. Stoplight installation is anticipated by mid-November.  The intersections are developing with landscaping and streetscaping features.

On October 27, Council will meet in closed session regarding union negotiations at 5 p.m. at the Community Center.

A memo regarding codification is in Council’s supplement packet tonight.  The memo is a highlight of the updates.  Heiar suggested that if there are questions, to please contact Mulcahey or Heiar.  On November 9, the public hearing and first consideration will be on the agenda.
Heiar highlighted that the budget goal setting session is planned for November 16.  Council will present goals for upcoming budget season to staff. Goals from department heads will be presented. The meeting will begin at 6:00 p.m. in Council Chambers.

Mayor Report.  Mayor Salm had nothing to report tonight.

Economic Development Project.
At 7:10 p.m., Mayor Salm opened the public hearing pursuant to Iowa Code Section 364.7 regarding a proposal to acquire and transfer an interest of the property.   .

Dick Noble of the University of Iowa Community Credit Union thanked council for their support. He reported on the growth of the credit union and expansion into Linn Co. He stated that this provides a quality central location.  Councilor Chipman asked about the job prospects of this development. Mr. Noble reported that they will be moving 125 people here immediately to centralize operations.  Future growth and job additions will be based on growth of the business. In the last 10 years, asset growth averaged 15-17%. Staff support growth has averaged 12%.  The Credit Union is looking for site to have room for expansion.

Councilor Hoffman read a statement regarding the responses to the progression of this development.  

Steve Gordon expressed concerns regarding the financing of the project and distributed a chart to council.
He is concerned that the project is not revenue neutral. Heiar clarified that the project was never promoted as revenue neutral rather not raising taxes to make it happen. Heiar stated that other available TIF revenue will be used for this project. As properties develop, the amount of TIF used from other properties will be reduced.  The property sales will reduce debt from back end by reducing the principal owed.  Mr. Gordon stated his concerns with use of TIF from other properties.

Ken Madole of 50 Zeller Court presented a petition with 132 signatures. He requested tabling of further action on this property until an election is held on the issue.  City Attorney Peterson stated that the petition represents input from citizens and they have the right to petition.  It does not change the responsibilities of city council regarding making this decision. There is no referendum process available. The decisions made on this issue are made by the City Council.

Gary Metz, a business owner in North Liberty for about 25 years, stated that his taxes went up this year. He doubts that this is going to be a good thing and urged council to really think about it before they vote.

Don Strabala, 125 North Highway 965, is concerned about this agenda item. He hopes to persuade council to change their direction on this issue.  He asked the Credit Union to consider paying for the land.  

At 7:36 p.m., the public hearing was closed.

Chipman moved, Kuhl seconded to approve Resolution Number 10-148, A Resolution Approving Development Agreement, Authorizing Economic Development Grant and Approving Grant and Development Agreement. After discussion, the vote was: ayes – Kuhl, Chipman, Wayson; nays –Donahue; abstain – Hoffman. Motion carried.

Kuhl moved, Chipman seconded to approve Resolution Number 10-149, A Resolution approving and ratifying the purchase of real estate from N. Liberty, L.L.C. and assignment and transfer of City’s interest to 380 Development Group. After discussion, the vote was: ayes – Wayson, Chipman, Kuhl; nays – Donahue; abstain – Hoffman. Motion carried.

At 7:50 p.m., Mayor Salm opened the public hearing on Urban Renewal Tax Increment Revenue Bonds.

Steve Gordon stated the speculative nature doesn’t seem like using taxpayer dollars as a smart investment. He asked about the 380 Development Group’s residency and the mortgage on the remaining land.
Alan Marks of Midwest Development is very excited about this project. There are many uses that would dampen the value of property his group owns, and this is not one of them. He offered an explanation about TIF being self perpetuating. At 7:54, the public hearing was closed.

Kuhl moved, Wayson seconded to approve Resolution Number 10-150, A Resolution authorizing the issuance of an Annual Appropriation Urban Renewal Tax Increment Revenue Bond (Taxable), pledging to the payment of the bonds funds and portions of taxes (subject to non-appropriation) created pursuant to the authority of Subsection 2 of Section 403.19 of the Code of Iowa and providing for the securing of the bonds.  After discussion, the vote was: ayes – Chipman, Kuhl, Wayson; nays – Donahue; abstain – Hoffman. Motion carried.

Chipman moved, Kuhl seconded to approve Resolution Number 10-151, A Resolution authorizing the issuance of an Urban Renewal Tax Increment Revenue Bond (Taxable), pledging to the payment of the bonds funds and portions of taxes (subject to non-appropriation) created pursuant to the authority of Subsection 2 of Section 403.19 of the Code of Iowa and providing for the securing of the bonds. After discussion, the vote was: ayes – Kuhl, Wayson, Chipman; nays – Donahue; abstain – Hoffman. Motion carried.

Mercy Care Commercial Site Plan.  Wheatley made the presentation of Mercy Care’s Commercial Site Plan application. Mausser reported that the Planning Commission recommended approval with no conditions.

Tredd Schnoor made the applicant presentation of Commercial Site Plan. Council discussed the future stop light on Penn Street and screening of air handlers.  

Donahue moved, Hoffman seconded to approve Resolution Number 10-165, A Resolution Approving the Commercial Development Site Plan for 1765 Lininger Lane, North Liberty, Iowa.  The vote was: ayes – Wayson, Chipman, Hoffman, Donahue, Kuhl; nays – none. Motion carried.

Grand North Commercial Site Plan.  Wheatley made the presentation of Grand North Commercial Site Plan application.  Mausser reported that the Planning Commission recommended approval with the condition that the north elevation be revised.

Kevin O’Brien and Duane Musser made the applicant presentation of Commercial Site Plan. Council discussed the location of the McDonalds in the building, air handling units and employee numbers.  

Chipman moved, Kuhl seconded to approve Resolution Number 10-166, A Resolution Approving the Commercial Development Site Plan for 675 Pacha Parkway, North Liberty, Iowa. After discussion, the vote was: ayes – Hoffman, Kuhl, Donahue, Chipman, Wayson; nays – none. Motion carried.

Harvest Estates II Preliminary Plat. Wheatley made the presentation of Harvest Estates II Preliminary Plat application. Mausser reported that the Planning Commission recommended approval with no conditions.

Alan Marks made the applicant’s presentation of the Preliminary Plat application.

Hoffman moved, Wayson seconded to approve the Resolution Number 10-167, A Resolution Approving the Preliminary Plat of Harvest Estates II, North Liberty, Iowa. After discussion, the vote was: ayes – Donahue, Chipman, Wayson, Kuhl, Hoffman; nays – none. Motion carried.

Hoffman moved, Wayson seconded to approve Resolution Number 10-168, A Resolution Approving the Preliminary Plat Agreement between the City of North Liberty and Midwest Development, Glynmor L.L.C. that establishes the terms and conditions under which Harvest Estates II will be developed in the City of North Liberty, Iowa. The vote was: ayes – Chipman, Wayson, Kuhl, Hoffman, Donahue; nays – none. Motion carried.
Allalone Second Subdivision Rezoning.  Wheatley made the presentation of the Johnson County rezoning request of the Allalone Second Subdivision from R3 & A to R10. Mausser reported that the Commission recommended approval with the annexation note being required.

Chipman moved, Hoffman seconded to approve Resolution Number 10-169, A Resolution recommending Approval to the Johnson County Zoning Commission for the rezoning of property known as Allalone Second Subdivision, Johnson County, Iowa. After discussion, the vote was: ayes – Kuhl, Donahue, Wayson, Hoffman, Chipman; nays – none. Motion carried.

Arlington Ridge, Part Four Final Plat.  Wheatley made the presentation of Arlington Ridge, Part Four Final Plat.  Mausser reported that the Commission recommended approval with no conditions.

Donahue moved, Wayson seconded to approve Resolution Number 10-170, A Resolution approving the Final Plat of Arlington Ridge, Part Four, North Liberty, Iowa.  After discussion, the vote was: ayes – Hoffman, Chipman, Donahue, Wayson, Kuhl; nays – none. Motion carried.

Assessment Resolution.  Kuhl moved, Donahue seconded to approve Resolution Number 10-171, A Resolution authorizing the assessment of delinquent amounts owed to the City of North Liberty, Iowa to individual property taxes.  The vote was: ayes – Wayson, Donahue, Kuhl, Chipman, Hoffman; nays – none. Motion carried.

Old Business.  No old business was brought forward.

New Business.   Councilor Kuhl reported that the JCCOG meeting is tomorrow, October 27.  North Liberty is hosting at the Community Center.

Adjourn.  At 8:30 p.m., Chipman moved, Wayson seconded to adjourn. All ayes. Meeting adjourned.