Waukon City Council - regular session Tuesday, Feb. 22

The Waukon City Council met in regular session Tuesday, Feb. 22. The council’s regular Monday session was delayed due to the President's Day holiday. The council held two public hearings, one concerning the proposed plans, specifications, and form of contract and cost estimates for the 11th Avenue SW Street Improvement Project, and the other concerning an amendment to the current fiscal 2005 city budget. There were no objections to either and the council continued with both items.

Continuing action on the 11th Street SW Street Improvement Project, the council accepted the lowest of four bids from Wicks Construction, Decorah, which was $495,531.16. This paving project is targeted to be complete by September this year. The city plans to fund this amount largely with TIF (Tax Increment Financing) dollars.

The council also continued action on amending the current fiscal year budget. The amendment is necessary because the city must properly match both revenue and expense items in its report to the state auditor. These four items include: the Gundersen Clinic project in the amount of $1.5 million dollars, the PEC/TIF debt settled in 2004, the insurance revenue for the lightening strike at the pump house, and the insurance payment for damages to the ambulance garage roof. The council will continue action on the budget amendment at its March 7 meeting.

The Gundersen Clinic project was again on the agenda. The council approved the contract and performance and payment bonds for Phase Five of the project, and also approved a contract change order in the amount of $9,500 relating to Phase One. The change order was due in large part because the contractor encountered an old house foundation that needed to be removed in order to secure the foundation of the clinic.

Concluding action on the project, the council approved payment to Henkel Construction Company, the construction manager, in the amount of $64,519. City Attorney Jim Garrett has been diligently tracking all expenses turned into the city. He stated that after speaking with a representative of Henkel Construction, the city's previously approved expense items were better understood by both parties. Garrett will continue to monitor the expenses submitted and report back to the council. The council scheduled March 21 as the date for the public hearing for the proposed $1.5 million financing arrangement.

Ken Proctor with Hagen and Kallevang presented the audit report of the city's budget for fiscal 2004, which includes July 1, 2003 to June 30, 2004. He noted the city performed well financially and properly accounted for its revenue and appropriate expense items well within budget. He also stated the city’s auditor report will be available for review on-line at the Iowa State Auditor's website for anyone interested.

Councilman Joe Cunningham inquired as to whether or not comparative statements and ratio analysis were available for the city's review. Cunningham continued, “It's important to measure the city’s economic vitality, not only its ability to stay within budget.” He stated that it would be interesting to see how the City of Waukon compares financially to other cities of approximately the same size. Proctor stated that he was not aware of any specific available information, however, he would investigate and report back if any is found. The council approved the fiscal year 2004 audit.

The fire station lease was also discussed at Tuesday’s meeting. The council’s representatives, Rodney Petersen and Joe Cunningham, reported that negotiations with the Rural Fire Board are proceeding very nicely. They are impressed with the cooperation and positive feedback they are receiving from the Rural Fire Board. They suggested to the council that the city remove its rent escalation clause in the interim extension agreement and replace it with a flat $500 per month rental amount through December of this year. The council unanimously approved the new rental amount.

Under miscellaneous items, the council proposed the vacation and conveyance of the cul-de-sac on Fifth Street SE. This was done last fall in order to better extend Fifth Street into the new Straate/Goltz Subdivision. They also approved the property tax exemption applications for Robert and Mary Axmear and Ron Liddiard.

To conclude the meeting, the council approved the billing practices of Waste Management, Inc. These billing practices did not change from the previous contract. The council also appointed Bill Roe, Jr. to the City's Planning and Zoning Board of Adjustment for a five-year term. There is one remaining vacancy on the Board, which meets the fourth Tuesday each month at 5:30 p.m., or as needed. Anyone interested in serving on the Board should contact Mayor Dwight Jones or City Clerk Diane Sweeney at City Hall.