City Council - Regular Meeting

[music] I'd like to call this move to order. Seeing no one is signed up for the open forum, we'll go on to the consent items. Approve. Second. Who said the first? Okay. Pat, Erin Holtz. Hi. Jackson. I Sloan. I Waitri. I sick. All right. Under new business, item A is presentation of the Greenwood Financial Feasibility Analysis.

Yes, that will be me. I had this set up and then changed it and now we're uh struggling to get it going here. So, now it's starting to come up. Okay, just give me a couple seconds here. The consent items.

No, we did. We've already done the consent. I'm going to play around with a little bit. If you want to go ahead and just my apologies. I had it I had it working. Honestly did. Did you give it the old unplug plug back in connection situation? Been doing that. [laughter]

I call it, but they just tell me to shut it down or turn back on. Fix my voice to control delete. That's what my voice said. [laughter] Control delete. Yep. Yeah, it was working. Um, you see, what's the F1 key?

I hate to not hate to not have it and I hate to hold everything up. So, you want to Scott has it.

It's got to be HDMI 1, two, or three. versus

try the other two HDMI sources. No, it was working. Yeah.

No, I don't. I have the C and that's it.

I told the high school girls this would be two and a half, three hours. [laughter] Well, I'm working towards that. I'm working towards that. [laughter]

That's funny.

I'll [snorts] try starting mine again. You want to uh should we move to number two? Going to jump down to the red line. Let's uh go ahead Terry. Let's go ahead and have red line. Sorry, I thought it already went back.

Is this the podium? I get feel like I'm preaching. Uh I'm Terry D'vor with Red Line Renewables. Um people just call me the solar guy. Um we looked at uh and I'm here to talk about a potential solar project with you uh in very similar fashion as we've done through almost 50 different cities and schools throughout the state over the last 10 years. Uh the closest one that you probably all are aware and seen is City Perry. We got solar canopies and arrays all over that town. So, um, we looked at, uh, it's been a few months. Um, Scott reached out to me and we started looking at, hey, what can what can we do for the city of Jefferson? And we looked at all 47 electric meters that you've got and we came up that there's 11 that have good potential to actually through our program save you some money. So hopefully, you know, depending on what we choose here tonight, um we've got the potential to save you 27,000 bucks a year with no out of pocket for this city. Um it's privately funded. And then over the 30-year life of the project could save you 2.9 to 3 million bucks off of your electricity budgets. Uh that's the skinny. Now, if you want some details, I don't know what you've got in front of you. Do you have the proposal in front of you? Okay, great. Well, I'm just going to kind of walk through uh the different sites. Um, first thing is how this actually works. Um, for those who don't know, I mean, there are tax credits available for solar projects. Uh, you as a city can't get them directly. [clears throat] Um, there is a program that may or may not still be out there, but there are a lot of hoops to get it. Uh we've been doing this a long time. So we've got

investors out there that are making their money doing something else. Um they like some tax credits and they like their tax liability to go to a a project that actually helps people instead of a road to nowhere. And so we take advantage of that. Uh the only thing that you're doing is you're just buying electricity. So you're buying it from Red Line Renewables at a cheaper rate than you're buying it from Alliant. And that's where your savings are. Uh, we own it, we operate it, we ensure it, we take care of it, we maintain it. Take all that risk out that you don't have as an owner because you don't have to check on it and make sure is it still working or is it doing what it's supposed to do? When something goes bad, do I got to fix it? That's what I get to do. And you just get to enjoy having a lower electricity rate. So, that's kind of the skinny of it. And feel free to ask questions along the way. Um, this is like the fourth presentation I've done in two days. So, they all kind of run together. Uh, the first location is right here, city hall. Uh, we can put it on the roof of city hall between the city hall and the fire station is all one meter. About 2/3 of the roof is needed. It would be a a ballasted system. So, it's just weighted down with bricks. So, no roof penetrations. We just waited down with bricks. I don't like roof penetrations because eventually they leak. Um 35 kilowatts here. Very simple system. Keep running through. The next one is the rec center. And uh you've got this city lot that you're looking to purchase. Um used to be across from the old middle school. I think that's what that building was. Um we went through a couple options. This makes a lot of sense. would put a big carport canopy in that uh new parking lot. Part of that would take care of the rec center and the other part of that

parking lot would take care of the pumps that you got. You got three well pumps that are all tied together. One of them is that building right there in that lot. And we would tie into that to offset its electric usage. The other would go to the rec center to offsets its electrical usage. And these are ones you're going to park under. So, if you've been down to Perry, it' be very similar to that. Park underneath that. We put them 14 ft in the air so buses and RVs and fire trucks and all that can get underneath there without any issues. Uh the next one is the library. Um we propose putting it up on the roof of that library. Uh easiest system. It doesn't do 100% but it it's 80 something% of your current usage. Uh I do recognize that you're got a renovation coming up. So before we actually move forward with finalizing that, we want to make sure that the renovation is somewhat understood and can integrate so we can uh modify as necessary. Speaking of that, so yeah, we just had that meeting about different things with the library and I mean there's no plans being finalized, but there was at least talk of maybe doing a second story on the 1966 part or this or that or whatever.

Okay. Um let's say something's put in and you're talking about ballast. Can it be moved very easily or? It can. It's an erector set, so you just take it apart just like it would on a re-roof. Now, I would we would want to figure this out before we went to permitting and all that stuff. Um, and

there is and I forgot to mention one of the the reasons that we've pushed now versus later is that the tax credits that we deal with are going away. we have to be under construction in June in order to get them. Um, which means the last time I did a large project with Alliance, they took four months to approve a couple of our applications. So, if you start backing that up, that's why we're trying to get moving on it now so that we can make sure that we can get through that, go through any hiccups, be under construction, capture that tax credit because that's what really gets you the savings that we're trying to get you. So,

are there upfront costs to the city? No, other than pay your attorney to review the contract. Okay. So, unless he works for free, I don't know. So, in a sense, this is um you know that we're a very high-end market for your product and so that's why or I mean we have potential for your product is what Yeah. I mean this Yeah. So that's what you're like you said we looked at 40 something meters. It doesn't work everywhere, right?

And and we'll get to you know wastewater treatment is a great example. I can't save you money there. So we did not include we looked at it. We analyzed it. We went through some options. None of them were very good. And in the end, it wasn't going to save the city any money. So, we left that out. I mean, some people will tell me, "Hey, it's too good to be true." Well, if that were the case, we'd have it on every meter that you got. Mhm.

It doesn't work everywhere. Okay. And save you money. And I don't do projects that don't save you money. So, that's the the intent is Yes. We want to be able to to save you money. We want to do it in clean energy, which also hedges your bets against future rate increases because we all had them. So, it also kind of gives you that insurance policy. For construction starting in June, do you consider the city of Jefferson a project on the whole, meaning that if you can start on one location, one of the 11? I do. And that would consider Okay. So, there were some that needed to catch up. I'm just thinking about your question about the library. you know that if that was a later part of the project

I do and it's a good interpretation. Um I'd like to have all the applicates applications in for through all you know in that process I have to buy 5% of the equipment basically that qualifies me to have a start of construction. So if I buy 5% of library and it, you know, doesn't work out and we got to use those 5% somewhere else within the project, that should be fine. And then I have till the end of 27 to actually have them operating. So it buys us some time. Yes.

Um but we don't want to do a project and then a year later modify it. Right. So, I'd like to get the library figured out before we Well, I we're that close to at least what the plans are going to be.

So, uh the next one is the swimming pool. Uh swimming pool, we would uh put a canopy over where you can sit on the west side of the pool. We'd have the posts outside the fence and they would can [clears throat] of lever over so that you could be sitting in the shade while your kids are swimming in the pool or you take a break in the shade. Uh we actually have a a picture on there which is what I did in Wapo. Exact same thing. Uh and they love it. Mothers love to have their kids in there and they can sun, you know, they can sit in the shade. Teenagers will sit outside the shade. Sometimes they'll go back in have their snack yada yada. So, I mean, it just it works. And a canopy is the only thing that really works at the pool just because it's treed. There's not enough real space. It's either there in the parking lot, which we looked at. We kind of went towards uh the shade for the patrons. Now the caveat at the swimming pool is when we met with finance committee uh an option came up to hey what if we tied that meter into the wastewater treatment plant. We're going to look at that with Alliant cuz if we can do that that's actually a better economic situation. It costs about $40,000 to do it but it would save you 8,500 bucks a year. So the payback is like five years, four or five years. I give it 40% chance that Alliance's going to approve us doing that because of the proximity and cross the road and all this. But we'll give it a shot and if and we'll move forward contractually with the pool with solar and if we can get that to work then we just yank that out. So we substitute because that'll be a better economic deal for you guys. less solar for me, but it's a better deal for you.

Uh the next one is the street shop and the water plant. Um these two in close proximity, we're going to try and tie those two together as one meter and then we use the roof of the street shop and the cold storage building right next to it to take care of both of it. We've got to tie that together electrically in order for to approve the water plants on top of the street shop building. So, that's why you see that. Um, if for some reason they don't approve that, then we'll come back and we'll look at either a ground mount or maybe making a dry storage bin or something else. But I think that one will get approved cuz they're budded up right next to each other. Uh, next one is the animal shelter. Uh, pretty simple one. Metal roof, put it on the roof. Takes care of the animal shelter's needs. We took out a couple of lift stations. The North Wilson Street lift station we left in um just an an elevated You see ground mounts at all these farms. These would just be elevated so they're 7 ft up in the air. Um so that we don't have to have a fence around it. So if we get it high enough, we don't have to have a fence for code reasons. And that picture there is of the one we have uh down Dallas Center. We did it down there because I'd keep it above the flood plane, but if you drive down in the wellfield, you can see that it's out of the ground. Uh, next one, the pump station out on East Highway 30. Uh, pretty straightforward ground mount system. That's that's one of the simplest ones we've got. And then last but not least is the golf course. Um, a ground mount system down by the the cart sheds uh would take care of it. Most of that electricity is up at the clubhouse and

understand we may want to take this one out because uh you're changing the clubhouse. All right, any questions so far before I get into some numbers? Um, yes. Um, are all the roof tops balanced or are you going to be penetrating?

The metal roofs are fastened to the roof with screws, but they've got a neoprene u gasket on them. Um, I don't think we had any standing seam roofs on these and those we would clamp onto the seam. Love those, but uh that'd be the only ones. If it's a flat roof, we go with the ballast system. And everything is rated for 110 mph wind. So, unless we have a brunt of a datio, which I have had, when it hits 140 mph, they don't like it. But, um, we've had plenty of 80 mph winds that didn't cause any problems. And I insure for wind and hail. So, as the owner of them, that's what I take care of. What's the risk about toxic waste coming down and onto into the pool area?

Uh about as much risk as toxic waste coming out of your windshield in your car. There's probably more risk of any of those u canopy uh canvas umbrellas and the dyes that come out of those and the waterproofing that comes out of those than you would out of my equipment. Is that like an online question? No. Oh, just a question. I heard Great question.

I've heard that too. Yeah, I mean there's some nasty stuff inside them. Uh, don't break them and lick them there. There's so many layers of domination in there, I don't even know how you get it out there. Good question. Any other questions so far? Um, the skinny on this is you take all these, we're at, we're selling you electricity. Uh, the spreadsheets's got it. 13 cents at city hall, 16 at the for the canopies at the rec center and that pump combination, 14 at the library, 16 at pool cuz it's a cami ca canopy. Uh 14 and a half at the street shed, 13 [clears throat] at the water plant, 13 at the animal shelter, 14 at the lift station, 13 at the highway 30 lift station, and 14 half at the golf course. Add that all up, your savings should be about 27,000 bucks. So you're you're reducing your alliance bill by 144, but I'm charging you 117. So that's 27,000 a net savings over a year. [clears throat] And if you take that out for 30 years, 20 years of contract, another 10 years of that 140 something,000, that adds up to $2.9 million.

Just talk real quick about net metering and how this works that way.

Sure. uh the net metering program which is going away um after 27 at the end of 26. So any if if you waited another 2 years you wouldn't get the net metering. It gets grandfathered in. So once we're in we're in what that is is I don't have to we don't have to worry about the timing. So we produce extra during the day that you didn't consume at the time that solar is being produced. It goes back to the grid to align to energy through their meter. They keep track of it. It ends up going to the neighbors. They use it up. Um, but you get credit one to one. So, every kilowatt hour going out offsets a kilowatt hour you pulled from them at the end of the month. They net them out and then you can carry them forward. So, in the summer, you know, August when we've got, you know, 16 hours of usable sunlight, you're going to produce more than you need, we're going to start banking those hours. So, we'll use that. We'll have a a bank credit on our Alliant bill in August and September. We'll start using them up October, November, December. So, we look at it in an annual basis. And the cool thing is with that um you know, we don't have to worry about timing that net program means that that alliance our battery. We can produce extra during the day, use it up at night. Produce extra in August, use it up in December. That's a simplified way of thinking of it.

Great. Thanks. What other questions you got? Yes. If the pool is only used 3 months out of the year, does it still continually get uh energy stored up through those panels when in the offseasons when it's not being used? No. what will happen at the pool and we reduce the savings rate that you would have at the pool because of this because in essence uh Alliant looks at their year usually April 1 to April 1 but you can select January 1 to January 1 January 1 December 31st which we would for the pool okay

so we can start making juice in January start banking it up so come Memorial Day you start using it right summer you're going to suck it all down as we use it. But then you got pool closes Labor Day. Then you got this 3 months that you guys don't really use electricity. Use some, you know, some minimal amount, right? Um you're still paying me for it and it's kind of kind of lost to you. Okay.

But we've adjusted that in how much if you could use it all year round, your savings would be a little bit better than what I'm projecting. So I'm already accommodating that. But it's a good question because when you get that bill in December going, "Wait a minute. I'm getting a bill from Red Line and I'm not getting anything out of line." That's true. But we've projected for them. Got it. Does that make sense? Yep. Yep. It's a good one. And that's for pools. That's an important one. That kind of seasonality. Where did it come from to kill this nail or uh this net thing? Was that from the big alliance or

state thing? So that was the net metering was always a pilot program um that supposed to end in 26 and then it's supposed to be replaced with a value of solar program. So they were supposed to take all this time to study it and determine what the value of solar is so that in the future and and nobody knows. It hasn't been given. um if you put solar on, they're supposed to pay you back. You know, just like if you're an REC, if if you're, you know, outside of Alliance territory in one of the rec. It's not net me. So, if I produce extra on Sunday in the summer, send it back to them, they just pay you 2, three cents for it, whatever their wholesale rate is. The value of solar is supposed to make that 2 cents. What it's valued at, which we know is not going to be 18 cents that you're paying now. Maybe it'll be five, maybe four, three, who knows? But that's what the Iowa law was is, hey, we've got this pilot program. The net meaning was a pilot program for the two um um investorowned utilities, which is Mid-Americ. uh didn't require it on anybody else, although some of them act like it. And uh it was just a pilot and that's people forget that that expires at the end of 26. Good questions. Any questions, concerns on the locations or which ones to keep, which ones not to keep? Just just a comment for everybody is is that you know like uh like you were saying we have like 42 meters or whatever and they ran the analysis on them and come up with several different sites that that this would work. There's several more that they proposed locations at that as staff we weren't

really interested in. Couple of them at lift station sites where we don't own enough property around the lift station to accommodate that. Okay. The other three that uh that are still included in here, but would need to have certainly have special arrangements would be the library if anything were to happen to the library, the golf course if anything were to ever come of anything pertaining to the uh to the clubhouse. And then the third one is that that parking lot downtown. The power services the rec center, but this creates a covered parking lot to the to the east of the middle school. Okay, we don't own that property yet, you know. So as we uh uh work through this, those are certainly things that we would need to address.

Assuming to move forward, something needs to happen tonight.

Yeah. So what the council has before tonight is simply setting a public hearing on the easement. So it's not agreeing to any service agreement or anything like that with Red Line. This is would be an initial step to set the public hearing because if you're going to be granting an easement for a term of years, of course, you have to have your disposal per Iowa code just like you would if you were going to be selling something, right? And so, you have your public hearing and then at that hearing, you would have your resolution to grant the easement probably coupled with the service agreement and the purchase agreement for the electricity that be generated by the solar panels. Right? That would be done at a later meeting. It would be done at the per the first meeting in January if that's what the council decides to do tonight. Um to allow red line enough time to be able to get their permits done and then be able to get their building done by so so by setting the public hearing tonight. You're not agreeing to anything other than to hold a public hearing.

How are we build through Red Lion? You'll get a monthly bill from me. Okay. And it's bas a meter with it's all cellular modem. So, I'm not relying on any of your Wi-Fi or anything like that. I have meters on my solar arrays so I know what I produce and that's what I build you off of. I move to set the public hearing. Second, Mr. Mayor. Question. is what the council has as far as the layouts and locations and everything, will that be put online somewhere so the folk that want to come to the public hearing have access to that so they know ahead of time where everything's going to be at?

Yeah. So, the the resolution would include the addresses for all of them and then there would be a published notice like there would with any other easement that would have the locations. If you're talking about a map, I probably can't speak to that, but the public notice would include all the different locations. Okay. The the other thing about that cool training though is that [clears throat] the proposal was included in the council packet for tonight council packet on the website. Anybody can go get it. I didn't know if it was going to be singled out for people ahead of the next meeting. So you guys don't meet for a whole entire month. So people might might forget about it before it comes back up in January. So thank you. Hi Sloan. Hi

Jackson. Hi. All right. Thank you. Thank you. Thank you. And if you have questions along the way, got my number. Great. Yes. That's all right. I'm going to talk you out of here. Thank you, Terry. So, that date [snorts] then is the um second Tuesday because January 3rd, right? January 13th at 5:30. 13th at 5:30. Yep. Yes. Jim, are you ready?

I think so. All right. Uh, thank you. My name is James Lighting. Most you know of those online um with Bolton Mink. And this is the uh financial feasibility analysis for the uh Greenwood Community Community Center and Jefferson Golf Course Development Study. uh overview um was to explore the transformation of the uh underutilized community center at uh Greenwood and use it as a uh potential for a golf course clubhouse. uh enhance the surrounding site amenities um and then develop an adjacent land um to the west of the Greenwood facility uh for a potential uh residential housing development. So the first task was just our client coordination and and project management. We had a meeting in April uh with uh stakeholders uh Jefferson City staff, Greenwood uh board members to discuss potential layouts, ideas, things of that nature. [clears throat] Met again in July to review what we had put together. refined those layouts to a preferred uh option or combination of options into preferred items. And the options were for each uh section, which was the uh clubhouse or the the community center

remodel, uh the surrounding area amenities, and then the uh uh subdivision layout. Um, in November we had this report put together as a preliminary report, sent it to city staff in Greenwood for for their review. They had comments, revisions that they were looking for. Uh, got that put together and revised and so submitted the final in November and then tonight we're doing the presentation. So, next please. Yes. So, community center res renovation. The objective was to uh convert that center [cough] [clears throat] uh lower level into a golf course clubhouse. The upper level uh pretty much was uh initially looked at to do some things and and and eventually it was pretty much stayed um as is with just updates to uh what they have there. Um estimated total renovation cost was 834,000. You can see the breakdown um for 774 furniture and then uh optional golf simulators. That 40,000 is for two potential golf simulators. So, uh next slide please. So, uh details we had on the on the primary floor, like I said, was basically just a renovation. New paint, flooring, ceiling tiles. Um we looked at trying to relocate the laundry. Right now, it's currently in the basement that is used by Congret Meals. Get that relocated to the main floor. Get some new exterior doors in and a new comm new kitchenet for the community room. Um, essentially there are no changes to the apartment or to the uh congregate meals kitchen area and to the bathrooms on that floor. In the basement, that was more of a full remodel. Um, we looked

at, uh, having sound deadening insulation where it would be, you know, under the apartment to try and help alleviate any noise issues. Uh, multi-stall bathrooms in the in the lower level. Um, new flooring, ceiling fixtures, uh, golf simulator space, which would require the a removal and lowering of the slab in those areas. uh new exterior doors, a second exit and uh improved storage and access. So next slide you can see uh this is the upper level. So the crosshatch area on the left side is the area that basically is no changes. So no changes to the bathroom, the kitchen or the apartment. The other area on the main floor we looked at like I said item C there is the where we were would look at putting the laundry and some storage there. and then uh put the uh freezers inside of a wall with doors so that they were a little more secured. Um and then put a kitchenet on that south wall and then just have this same essentially the same layout tableing and seating areas on the on the east half. Uh next one please. Uh basement. So the area B and C are the existing storage room and the existing mechanical. They pretty much stay the same. We just relocate doors so that it's kind of a you don't have to walk through everything else to get into those. Uh the bathrooms are underneath the entry area. Uh two stall and a stall urinal. Uh so a little upgrade and then a kitchenet bar. Uh the pro shop is to the west side. Um and then the east side is the simulators and then uh seating area lounge uh for that

uh clubhouse uh site concepts. So, this is the area outside of the building itself um surrounding uh the community center and then making some adjustments to cart paths and such for the uh actual golf course. Um there would be some switching of hole numbering and things like that to make it flow better with the change. Um the construction subtotal was uh 365750 with contingency and engineering. It was 482845. Um that's earthwork, road control, tree removals, uh the new driveway, parking area, sidewalks, and cart paths. Uh this did also include a lower deck, stairs, handrails, sight furnishings, and the upper wooden deck. Um, and then landscaping and permitting. Um, yes, this one's a little harder to see, but you can see the existing building and the parking lot to the east side. Um, and then sidewalk access maintaining ADA compliance to get down to the lower level and basically that southeast corner of the building. I'll try and point, but I shake so bad it'll be a general area thing. Uh, back in that corner there, it'd be the entrance to the lower level clubhouse, uh, pro shop area. Um, we do show cart storage over here. I think that would get modified a little bit and probably be not that far to the west. Um but there would be cart storage uh just uh a slab cart storage

for that and then modification of the trail for going across and coming down to this and I think the reing I can't remember exactly one to six and um that so that [clears throat] you would start and then be able to flow through the system and come back here so you wouldn't drive way to the number current number one to start playing. Um the the lower level deck patio area with some you know seating elements and stuff like that as well. Um next slide please. Uh the land development uh basically is the area to the west uh includes the the current clubhouse area. Um the concept was developed for uh seven lots which would equal 14 duplexes and full public infrastructure. So uh full width street, concrete street, uh sewer, water, storm sewer, all all in there. The developed uh estimated cost is 1,179,975. Um that's clearing, grading, utilities, all that, street paving, uh clubhouse demolition and site prep and engineering design and administration. Uh next slide, please. Layout here, you can see uh there's the existing clubhouse. So, we were looking at three on the south, three on the north, and then a seventh one over on the west side. Um, we didn't get a lot into the design of the actual

uh duplexes just in that this is kind of the footprint we would be looking at. The ones at the south side would have a walk out basement to the south and a uh drive entrance to the garage on the north side. The ones on the north would have a garage entrance and be kind of the the lower level would be the ground level. So they're not necessarily a basement. They would be a walk out to the front of the building. And so you would pull in and then have two stories up from that um main floor and an upper level. So that was basically what we put into it just to be able to kind of get a a square footage and and what we were um estimating for costs and and that. So uh the actual feasibility study uh was basically to evaluate uh the proposed improvements are financially val uh viable. Um integrate everything we were looking at. Um and that initially was all three all three parts in one uh for the revised portion and for this. Now we are looking at this as uh essentially two projects. The land development portion as one and the modifications to the community center and the surrounding site of the community center as a separate one. Um so uh property building valuation uh it was valued at 1.2 on uh per the county. Um using the income approach apartment [snorts] is valued at between

63 and 81. Um the event space is valued at 55 to 70. Uh there was not a lot of information or comparable sales in the area for event spaces. So it's a pretty limited comparison. Um so combined estimate is between 118 and 151. Um and and we would suggest if this were to move farther along than a certified appraisal would be recommended for for that to be able to move ahead if you were going at acquisition or to just better refine the the financial model. This one please. Uh residential lot market analysis. Um excuse me. [cough] the uh cost per lot. If you take the uh 1.1 million by 14 lots or seven lots, but 14 units, the cost per unit is 84,000. Um lot sales in Jefferson range typically 30 to 50 is is what we were able to find. Uh so there's a large funding gap per lot on that portion of it. um developer would have the same funding gap even if you assumed a zero acquisition for the land. um external funding would be necessary in in this situation to be able to uh close the gap. And those are a list of some of the sources. Uh Iowa Finance Authority, Economic Development, HUD, Grow Green, Workforce Housing. Um so

property tax revenue potential. Um at the levy rate of 14.88 per thousand uh the 14 units would generate between 41 and 73 annually depending on the unit valuations and we did valuations at 200 250 300 350. So that's why you're seeing the range uh basically depending on how uh how the how the end cost of each of those uh duplex units would be uh over the year with 2% valuation. Uh the tiff revenue potential ranges from 450 to 800. Uh there is an LMI set aside. I think the 40% range is typical. uh that would need to be verified if you got into it further. Um so that puts that at about 183 to 319 uh that would be have to be set aside through the tiff revenue for other low uh low to moderate income uh options. Um, so the total estimated public investment is 1.3 million. That is the 834,000. Oh, I think that is a No, I think you are right. All right. Sorry. Was thinking the wrong number. Um, so 1.3 million is the total public investment. That is for the clubhouse renovation and for the site improvements. Does not include the residential development. Um these are you know a very conservative highcost scenarios uh for a planning benchmark. Um as part of some of this cost integration and working through things uh the golf simulators

uh would in would allow the golf course to operate more in a year round rather than just a a primary season. um those extended hours and additional food and beverage and those costs would be about $25,000 a year we estimated. So, uh entitlement process um zoning is RM3. It uh supports the duplexes and public clubhouse use. There's some other key steps to, you know, going through similar to what uh David was talking about with the uh the uh red line easements and stuff. There is a process for the steps you have to do if you're going to acquire property or sell it to somebody else or those. So, those are just some of the steps. uh plat survey, preliminary and final approvals, uh [snorts] plat approvals, uh site plan reviews, public hearings and resolutions, um and then permitting. And this would include, you know, to get to this if if you were moving to this point, it would include a lot of coordination between the city and the Greenwood board on on that. So uh but this process is is more detailed in the report and does ensure a legal compliance with and and transparency with the process. So uh feasibility study um final memo um as it sits right now this project is not financially self- sustaining under the current market conditions. Um the lot sale prices for the subdivision or development area are below development costs and uh right now the golf course

is operating operates under a deficit and even if we add in the additional revenues potential for uh making it year round usage and additional events being held um at the community center and things like that. there still is a definite. It does decrease that deficit uh but does not um take it completely. Um that is to say that there is uh there's tracking for what's going on out there. Uh but there's not a lot of detail. So some of our estimates are uh a little bit um in the this is our our our best estimate for that you know situation for what potentially a uh two simulators could in improve. It doesn't include you know if that increases membership because you have those simulators there and you have increased membership because of that and things like that. some of that is not necessarily included. So there is a potential for higher revenue. But from the numbers we had, this is where we came out that even at a very aggressive uh uh um estimate for increasing the go the revenues. Uh I think we were estimating at that one uh 15,000 more from golf simulators. um 9,000 more for um oh I'm gonna forget uh and then I think it was 15,000 for additional revenue for uh food and beverages and things of that and that still you know is not enough to cover the deficit but it does get it closer. um our recommendations uh you know further discussion and uh determinations

with Greenwood for whether this moves forward and then how the acquisition or operations and community center functions would be a critical part of this. Um you would definitely have to review and secure uh external funding sources uh like the grants, the tiffs, the tax credits. um work on operational improvements um both the community center and the golf course to reduce minimize uh the current deficit losses. Um, get formal appraisals done on the building to to make sure that you can refine the financial model and also engage developers to see if they have, you know, other layouts, methods that they can use that would help reduce that initial uh, financial cost for the development and then potentially explore cost reduction strategies. Is there a way to do a phased implementation or higher density on the development or reduced infrastructure that would allow this to be a more viable option? So,

seems like maybe there's two different things here. The renovation of the community center versus the development of the land around the golf course. Yep. Um, would you I I really can't see a developer that's, you know, kind of operating just, you know, probably at a break even point of And maybe that's not what you were implying of wanting to do the community center renovation. No, they're two separate things. Yeah. It would be a developer for the land development and then it would be through that would be more of a private development. Sure.

Through the city land and where the the community center renovations and stuff would be more the city taking that responsibility on along with Greenwood or that would have to be determined

and that's 1.3 million to do this. Yeah. So, [clears throat] you know, as you as you took a look at that and Jim did a nice job of of presenting that and I think the the study was very thorough in the way that that they examined things. I would tell you that as as we got into this study and and Jim was was talking basically about about how the study would proceed, you know, it was done in most likely the most conservative means possible. Like Jim, they had prepared some different options for housing. that shows more units there. We'd requested again a conservative estimate when when this study comes out. So there there's different alternatives there. It's just uh um again when when they finished the study, it was intentionally um done basically using the most conservative type of estimates. So but but the fact of the matter is the the financial end of the study doesn't look uh doesn't look very positive. And so, you know, as we think about what next steps are, really the only thing I've asked the council to do is is to receive the uh receive the report today and then and then we place this in committee. And I'd suggest we really want to place this in the housing committee. that as you're talking Darren about this really being two separate projects that before we would ever take a look at anything pertaining to the to the Greenwood Center um it would seem like we would would want to focus more on the housing side of things and if we would have a developer in pocket that's going to come do this things look different but uh fact is we don't have anybody right now but that may be one of the next things that that we would want to work on

is this something that GCD DC for it would be something for us to task them to certainly they would be they would be a partner on it being involved. Shouldn't we have G or development corporation worry about getting jobs to us so then we can develop land and build housing and then maybe they could develop something, you know, cuz we got the apartments coming possibly the other apartments. Where are these people going to work? The city should not be in the business of building houses. Well, I agree with that completely. The

city isn't building houses in this project,

but we're going to try to focus and bring everything to it so you can have a developer do whatever they want and do it. I I guess I would would tell you my my my thoughts as we would enter into this is if we work with the private developer, it's to do a private development as in the maybe there is some deal on the land but the but the uh the developer is responsible for installation of of infrastructure and they would develop things the way that they see fit. That's my preliminary thoughts about how we would enter into this. it. I would not see the the city being the developer on this. No, I don't think so either. But if we can attract a developer and that they make that make sense, I don't know.

Sure. Because that would change property values out there, too. But I mean, that seems from what you're saying probably up high in the sky.

Not necessarily. I mean, like like Scott said, we did it conservatively. So, we have, you know, the layout's got full street. The big thing with if you're doing a development out there is access to the storage units for the golf course are down there. So, there has to be maintained access through there. But if they were able to do more of a private development where it would not be turned over to the city, then there's potential for cost savings because they wouldn't have to build to the city standards, which would be some savings. Or they could lay it out differently. So there's less road, more driveway, things of that nature. I mean, this is just one layout.

Yeah. And I guess I wouldn't be leaping at, you know, changing roads or sewer or um, you know, things out there either. You know, I'm sure a developer would like all that stuff in place before they came, but [clears throat] I don't think we'd need to do that now. [snorts] No. And and that's what this is showing is that yeah, that 1.1 is what a developer would would cost them to put the infrastructure in as as we have estimated it. So I would entertain a motion to accept the report as presented. So moved. I'll second

I Jackson. Iron Holtz. Hi. Solid. Hi. Hi. Thank you. Thank you.

Item B is considered forgivable loan for Doc Stadium. Yeah, the uh [clears throat] city has received a forgivable loan application from Brett Cranson's for Doc Stadium Barn Grill. Uh roof is in in poor condition there and the H highback system is outdated. needs updated and he has asked uh for a forgivable loan of $72,500 to replace the roof and to replace the HVAC system in his building. And so this would be where we would have a development agreement for 10 years and he would have to operate um his his business according to the according to that agreement. Um, this was uh presented to the uh downtown building committee and was recommended the council.

Very similar to lots of other things similar to other ones. Yeah, this a little different. This has HVAC in it. Um, we are able to do that through our ordinance. Um, but we have done some roofs before on some of the buildings downtown. want to approve. And just an important caveat, the agreement has not been this is the council deciding to move forward. Yep. This is just the this this is approval. We've given staff to draft documents. There's no agreement that's been struck. That that'll have to be reviewed by committee, right? Mhm. I move to approve that. Second hi

swung abstain holtz. Hi Jackson. I Wait. Hi. Item E is authorized extension to people's service agreement until December 31st, 2025.

Yeah. A little update on on water plant staffing. First first thing is that the next thing on the agenda is to hire [clears throat] a water operator. Okay. So Jack Neman is proposed to be hired as as water operator. We have not yet done anything with a water superintendent. Okay. So uh we have readvertised again for for water superintendent with the intent to proceed forward with that as as really as quickly as we can. Noting that again it's it's proving difficult to find a good candidate. So, oh, go ahead.

Just as So, what we'll look at here and what we'll ask the council to do is we're under this agreement with people's service. It's just a week-toeek agreement where they provide provide staffing and the compliance at the water plant and uh cost of $3,000 a week. But this would continue then through the end of December. At that time, they're they're not able to continue to provide that same level of service. the guy who's been helping us up has other obligations then with the company. So either by that time we'll be looking at having having our own superintendent and proceeding forward in that way or looking forward at some type of longer arrangement with uh with people service. What we would likely look at is what they call a consultation agreement. It's where we still have our own staffing and they provide the compliance and they'll provide mentoring for the for the staff as far as you know keeping keeping everything operating but they're really mentoring the staff to get them up to speed to take the exams so that they can be the needed grades for us. So, uh, again, short term, we we're just asking the, uh, the council to, u approve the extension through the through the end of December, and then, uh, we'll have some some different alternatives ready to go in in early January as far as what that looks like. Either hire somebody or something different with people service. But, uh, with that, you you'd see, uh, there was a proposal in in your packet, and this laid out the the different types of of proposals that people service can use because they can they can we could contract the entire operations out for them. But, as we worked with with our water sewer committee and with our with our finance committee, that did not seem to be the the chosen option. We would still look to have city staff. And main

reason why we would would want city staff is for for water operations, but of course it then is for use within other aspects of public works. I guess that's what I was going to ask. In these uh last two snow events, it seemed like things got cleared up pretty efficiently. How, you know, how many other city staff were pulled from what their normal um duties are? just that any anybody associated with the public works department would would be involved with snow removal then too.

So uh for the most part sanitation and recycling don't participate in that much but as they can they will and then uh wastewater does at during some points. They usually do the second days but the everybody just kind of came to bat and just got it all attended to because they know that we're short. This last goound this this previous weekend Jack Seaman has been working for us and Jack was out working and and [clears throat] did a fine job. So of course people service wouldn't do those things but would that would be an expectation of people that work at the water plant? Certainly. Yeah. Very much. Yeah.

I'd move we can we uh continue our existing arrangement with people up through December 31. Cold Trains Canada. Um, since you all don't meet again until January 13th, does this extension cover those dates for people service to still do its job or this will take it through the end of end of December? If we don't have any arrangement with them by then, then then we know they would not be working for us then as of the 1st of of January. We' just be managing our own department. Okay. And and DNR would allow that to happen, right? short short-term stuff like we had had done before as far as um the transition period between between persons like

so the city would still be covered. Yes. In that interim period before you come back. Okay. True. What why did Seward and and Water and all that decide that going with people's service wasn't going to be viable? you know, to have them just contract with them all the time cuz we needed employees for the rest of Yeah. Yeah. If if people's uh is involved with operation of the total plant and that's their employees and they're they're not going to turn their employees loose to of course clear snow and whatever, right? How many people is that from the water plant?

So we staff we staff with the superintendent and two other people. Yeah. that the the other thing to think about as with with people's service, if you contract people's service with them, okay? You don't contract for three people. You contract for them to accomplish a scope of service. And it it may not be that they have three people, you know, and and that's their argument is through their efficiencies, that's how they make their money, right? And so again, you're you're you're not contracting necessarily for people. You're contracting for them to do a scope of work. I'll second Somali. Hi Sloan. Hi Jackson. I trick. Hi.

Hi. Item F. Hire Walter Jack Seaman as a water employee. Yeah. Recommended for hire and uh [clears throat] again look forward to great things with Jack. Move to approve. Second. Do we have uh any leads on water superintendent? Yes. Yes, we do. And I'll be happy to help. I won't ask anymore here then. We hi Sloan. Hi. Aaron Holtz. Hi. Smallic. Hi. Jackson. I.

Item G is consider approval of pay estimate number 33 to Shank Constructors Incorporated of $17,154.72 for the wastewater treatment plant project. Yes. So, this is for work through uh the end of November. Uh basically down to just one item remaining and it's the uh um change order 9 which dealt with field order 26 which was a a number of miscellaneous items that needed to be completed. Um, I do not have specifics on what items were done as far as uh the 17,000. Um, but we are getting very close to having everything put together and we would recommend payment.

Approve. Second. Sloan. Hi. Jackson. I Aaron Holtz. Hi. Dietrich. Hi. Small. Hi.

Under reports Jim. Uh just one clarification for the Westwood project. I uh after the last meeting or at the last meeting I had mentioned that we had gone out and got some survey data. Um when I read in the paper it said we had surveyed the residents. That is not what we had done. We went out and got survey data on the rightway and property corners to be able to determine if the road was centered in the rightway and what. So uh we're reviewing that and we'll have a discussion at street committee next week regarding that. So that's okay. No report. David, no report. Scott,

see I'm passing around a a sheet here. And this sheet that I'm passing around is deals with their health insurance. And uh we have got our our renewal rates on on health insurance. So what I'm passed around then it's in the blue. Good renewal that that shows our renewal rate actually declining roughly a half a percent 52%. see at the bottom line there of the blue. We have done some exploration though about still making some other changes that can reduce the premiums on that a little bit more and that would be in the green column and then as you see down there the uh the premiums could go down 8 8.34%. Okay, there's there's a couple of of changes to the policy that uh that affect the the cost of course and that's why the premium would go down. Okay. We'd need to work with with the union about being able to implement some of those changes. So, that's where where we're at. We've asked had some consultation with them about making this change. The renewal on our health insurance is January 1st. Okay. We just uh passed our consent agenda that says we're not going to meet for a second time in in the month. Okay. My my uh proposal to the to the council though is that if if we can get to the point where we would agree that we can move to the green plan, I would like to have a special meeting and have the council uh authorize that. Otherwise, if it looks like we just are going to renew under the blue plan, we would just go ahead and renew and uh take action on that later. But uh um just a little update on that and we do need to we'll move forward on that quickly because like I say, it renews on the first of the year. Okay. Uh, [clears throat] seeing nothing. See Greg's not here. Mark, you got anything?

No report. Dad, no report. Barry, no report. Matt, just a nod to uh everybody. I working literally all night on cleaning up snow last couple weekends. So, hat tip to them. It's a J report another library uh met the with the architects. They came in with nine different per um plans for us to look at and we whittleled it down to two and so um I mean they are they're a good group. Cool. Those architects.

Anything else? Nope. Um, I [clears throat] have nothing except excuse me, Matt. On behalf [clears throat] of the city, we would like to present you this plaque for your enduring excellence on the city council. Thank you. [applause]

And we're done. and patch done. Well, maybe maybe

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