Subject to change as finalized by the City Clerk. For a final official copy, contact the

City Clerk's office at (319) 753-8124.

MINUTES OF THE PROCEEDINGS

OF THE BURLINGTON, IOWA CITY COUNCIL

Meeting No. 9

May 6, 2002

The Burlington City Council met in regular session at 7:00 p.m. with Mayor Scott, Council Members Baker, Edwards and King present. Council Member Kellogg was absent.

BURLINGTON CITY COUNCIL

CITY COUNCIL RECOGNITION OF BURLINGTON'S UNSUNG HEROES: Dave Walker, Tom Walz, Dal and Nita Sweptson, and Mike and Dee Dee Warner

PROCLAMATIONS:

* Police Week - Chief of Police Dave Wunnenberg

* Historic Preservation Week - Dennis Wilson

* National Association of Letter Carriers and Local No. 222 Day - Kathleen Hemmesch

CONSENT AGENDA: To the Public:

All matters listed under Item I., Consent Agenda, having been discussed were considered to be routine by the City Council and were enacted by one motion. There was not separate discussion of these items. If discussion was desired, that item was removed from the Consent Agenda and was considered separately.

MOTION: To approve all items listed under Item I., Consent Agenda.

DISCUSSION: Mayor Scott reviewed the items listed on the consent agenda to the viewing audience. All present had opportunity to speak and nothing additional was filed in the office of the City Clerk.

(VOTES: 4 - "AYES") CARRIED

HEARINGS:

1. Statement: Consideration of Issuance of $3,970,000 General Obligation Essential Corporate Purpose Bonds

COMMENTS: The Deputy City Manager reviewed with the Council and the viewing audience the first hearing regarding the issuance of $3,970,000 General Obligation Essential Corporate Purpose Bonds, which is considered to be "essential corporate purposes" under Iowa law. He stated that the Council will sell the bonds to finance projects or equipment purchases. He stated that the second hearing is for $430,000 for two projects (Forestry Vehicle in the amount of $130,000 and the Auditorium Air Conditioning in the amount of $300,000) which are considered "general corporate purposes". He stated that the remaining $319,000 will cover the cost of issuance, the first year's interest and any contingencies. The first six years of the repayment schedule will be interest only and the principle will be paid off rapidly over the next nine years. He stated that based upon current property valuation, this will result in a small increase of approximately $0.33 in the debt service levy initially and will maintain the levy at a fairly consistent level as principle retirement begins. He stated that the rate could be lower, depending on what interest rate is received at the sale. He stated that these bonds will be sold on June 3, 2002. All present had opportunity to speak and nothing additional was filed in the office of the City Clerk.

Motion to Close CARRIED

2. Statement: Consideration of Issuance of $430,000 General Obligation General Corporate Purpose Bonds

COMMENTS: The Deputy City Manager explained with the Council and the viewing audience the $3,970,000 General Obligation Essential Corporate Purpose Bonds and the $430,000 General Obligation General Corporate Purpose Bonds will be combined in the amount of $4,400,000 for the bond sale. Leon Shahan of 1821 Mt. Pleasant Street questioned when the bond issues are combined, what the debt level would be. The Deputy City Manager stated that the GO debt would be approximately $22,000,000. He further stated that the city's borrowing needs are going to drop substantially over the next few years. All present had opportunity to speak and nothing additional was filed in the office of the City Clerk.

Motion to Close CARRIED

Resolution Combining $3,970,000 General Obligation Essential Corporate Purpose Bonds and $430,000 General Obligation General Corporate Purpose Bonds and Fixing the Time and Place for Receiving and Canvassing Bids and Considering and Passing A Resolution for the Award of a Single Issue of General Obligation Corporate Purpose Bonds, Series 2002, in the Amount of $4,400,000 and Providing for the Advertisement of Such Sale

DISCUSSION: None.

(VOTE: 4 - "AYES") ADOPTED

RESOLUTIONS:

1. Introduce Resolution of Necessity for the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

DISCUSSION: None.

2. Resolution Tabling Resolution of Necessity for the 2002 Residential Street Improvement Program to the June 3, 2002 City Council Meeting for the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

DISCUSSION: None.

(VOTE: 4 - "AYES) ADOPTED

3. Introduce Resolution of Necessity for the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II

DISCUSSION: None.

4. Resolution Tabling Resolution of Necessity for the 2002 Residential Street Improvement Program to the June 3, 2002 City Council Meeting for the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II

DISCUSSION: None.

(VOTE: 4 - "AYES) ADOPTED

5. Introduce Resolution of Necessity for the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

DISCUSSION: None.

6. Resolution Tabling Resolution of Necessity for the 2002 Residential Street Improvement Program to the June 3, 2002 City Council Meeting for the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

DISCUSSION: None.

(VOTE: 4 - "AYES) ADOPTED

7. Introduce Resolution of Necessity for the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

DISCUSSION: None.

8. Resolution Tabling Resolution of Necessity for the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

DISCUSSION: None.

(VOTE: 4 - "AYES) ADOPTED

9. Resolution Calling for a Special Election for Imposition of Local Option Sales Tax in the Amount of One Percent (1%) to be Effective January 1, 2003 Through December 31, 2012 and Specify the Purpose to Which the Revenue Should be Applied

DISCUSSION: The City Manager stated that the proposed resolution is an extension of the one perscent local option sales tax from January 1, 2003 through December 31, 2012. Leon Shahan of 1821 Mt. Pleasant Street stated that he feels that the sales tax is paying for the downtown development. He stated that he doesn't want to continue to spend money on downtown development when other competing facilities are being developed on the west side of town. The Deputy City Manager stated that if there was no local option sales tax, the property taxes would have gone up a considerable more amount than what it already has. Dave Hanrahan of 1709 Oak Street stated that he is not favorable of the local option sales tax. He questioned if the wording on the ballot at the time of the election will be stated exactly as it is stated in the resolution. He stated his concern was that the resolution is so general. The Deputy City Manager stated that the local option sales tax made street improvements possible. Mayor Scott explained that the council is not required by law to spend the monies as stated. He stated that the council will follow policy as they have done in previous times. He stated that they will let citizens know how they are intending on spending the monies. Dave Hanrahan stated that another of his concerns was that if years to follow, the City Council could do anything. Mayor Scott stated that citizens can petition for a special election to have the local option sales tax repealed if they feel that the council is not spending the monies as it was planned. Council Member Baker stated that she would rather have a five year agreement rather than a ten year agreement. Council Member Edwards stated that he is a member of an advisory committee that will review requests prior to the election. After considerable discussion, the Resolution Calling for a Special Election for Imposition of Local Option Sales Tax in the Amount of One Percent (1%) to be Effective January 1, 2003 Through December 31, 2012 and Specify the Purpose to Which the Revenue Should be Applied was unanimously approved. All present had opportunity to speak and nothing additional was filed in the office of the City Clerk.

(VOTE: 4 - "AYES") ADOPTED

COMMENTS FROM AUDIENCE: Dan Carlson of 214 South Gunnison Street stated that he would like to see the US flag that is currently hanging in Council Chambers replaced with a new one, due to its condition.

Adjournment: 8:20 p.m. Approved: May 20, 2002





Katie Gerling, Computer Specialist for Timothy E. Scott

Kathleen P. Salisbury Mayor

City Clerk, CMC

(See tapes on file in the office of the City Clerk for complete discussion and documentation.)

ITEM I.

Consent Agenda

FINANCES AND MISCELLANEOUS

Minutes of Previous Meetings

Payroll and City Claims

*Resolution Approving Final Acceptance, Final Payment and Release of Retention Monies for the 2001 Angular/Main and Division/Plane Traffic Signals

BEER, LIQUOR, WINE AND CIGARETTES

REPORTS AND BONDS

RESOLUTIONS:

1. Resolution Approving Demolition Assessment

2. Preliminary Resolution for the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

3. Resolution Ordering Notice to Waterworks Board of Trustees, Utility Companies and Property Owners to Make, Repair, or Relocate Any Water or Other Utility Connections for the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

4. Resolution Determining the Valuation of Each Lot for the Special Assessment of the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

5. Resolution Adopting the Schedule and Estimated Cost for the Special Assessment of the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I

6. Preliminary Resolution for the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II

7. Resolution Ordering Notice to Waterworks Board of Trustees, Utility Companies and Property Owners to Make, Repair, or Relocate Any Water or Other Utility Connections for the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II

8. Resolution Determining the Valuation of Each Lot for the Special Assessment of the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II



9. Resolution Adopting the Schedule and Estimated Cost for the Special Assessment of the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II

10. Preliminary Resolution for the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

11. Resolution Ordering Notice to Waterworks Board of Trustees, Utility Companies and Property Owners to Make, Repair, or Relocate Any Water or Other Utility Connections for the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

12. Resolution Determining the Valuation of Each Lot for the Special Assessment of the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

13. Resolution Adopting the Schedule and Estimated Cost for the Special Assessment of the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III

14. Preliminary Resolution for the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

15. Resolution Ordering Notice to Waterworks Board of Trustees, Utility Companies and Property Owners to Make, Repair, or Relocate Any Water or Other Utility Connections for the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

16. Resolution Determining the Valuation of Each Lot for the Special Assessment of the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

17. Resolution Adopting the Schedule and Estimated Cost for the Special Assessment of the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street

SET DATE FOR PUBLIC HEARINGS:

1. Consideration of Budget Amendment No. 1 to the Fiscal Year 2001-2002 Budget (May 20, 2002)

2. Consideration of Sale of 830 Washington Street, legally described as West of Lot 941-A, Original City to Arthur F. Zaiss (May 20, 2002)

3. Consideration of Plans and Specifications for Fire Station No. 1 Renovation and Expansion (May 20, 2002)

4. Consideration of Plans and Specifications for the 2002 Residential Street Improvement Program, Cottonwood Court, Flint Hills Drive to Cul-de-sac, Division I (June 3, 2002)

5. Consideration of Plans and Specifications for the 2002 Residential Street Improvement Program, Gertrude Street, Spray Street to Amelia Street, Division II (June 3, 2002)

6. Consideration of Plans and Specifications for the 2002 Residential Street Improvement Program, 7th Street, Acres Street to Louisa Street, Division III (June 3, 2002)

7. Consideration of Plans and Specifications for the 2002 Alley Reconstruction, from West Avenue to Chamberlain Street between Summer Street and White Street (June 3, 2002)

APPOINTMENTS:

Burlington Regional Airport Authority: Charles E. Walsh

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