City Council approves $40 million budget

By Kelly Terpstra, kterpstra@charlescitypress.com

Big projects are on the horizon for Charles City.

It’s the key reason the city’s budget rose to over $40 million for the upcoming 2020 fiscal year.

The City Council approved that budget Monday during its regular meeting.

This larger-than-usual budget could help pave the way for two large projects — a $11.5 million fiber-to-the-home broadband internet project, and the $20.5 million water resource recovery facility (WRRF) that has a planned completion date of 2022.

The Wayfinding Signage Project and Charley Western Bridge replacement are also substantial undertakings that are factored into that budget.

“We’ve completed the process — going through the fiscal year ‘20 budget,” said City Administrator Steve Diers.

The total of all expenditures in the budget for fiscal year 2020 — which runs from July 1, 2019, until June 30, 2020 — is $40,251,814. That is an increase of almost $15 million from the current year.

“I was just wondering how long we’re going to be able to keep doing that with the budget, though,” said council member DeLaine Freeseman. “It’s going to be real tough as years move on.”

Diers replied to Freesemen’s statement about the roughly $15 million added to the upcoming fiscal year’s budget.

“It doesn’t get any easier, that’s for sure,” said Diers.

The city’s total revenues and other sources are $41,917,092 and the total of all expenditures and transfers out equaled $42,362,427.

The proposed property tax levy rate jumped 7 cents from $15.83 to $15.90 per $1,000 of taxable valuation.

“This year our evaluations are up, which is helpful. They usually tick up — not always,” Diers said. “That helps with inflation because you always have expenses that are growing.”

Diers said the major driver for the small property tax rate increase is the city sharing in the cost of taking over the transit bus service with NIACOG (North Iowa Area Council of Governments).

“I want to thank the staff and everybody for the work we’ve done with getting that put together,” said Mayor Pro Tem Jerry Joerger, who filled in for Mayor Dean Andrews to lead the council meeting.

The council also approved the preliminary plans and specifications for the South Main sidewalk extension project. A bid-letting date of March 28 was set and hearing for the final plans was scheduled for April 1. The work will extend the sidewalk on the west side of South Main Street from 9th Street to the Floyd County Medical Center.

City Engineer John Fallis also said two add alternates would also be included as part of the South Main Sidewalk Extension Project. Those are the mid-block crosswalk in the 400 block of North Main near the Charles Theatre and curb and gutter improvements to control drainage at 800 First Avenue.

The North Missouri Avenue Area Subdrain Project also saw its preliminary plans and letting dates approved. The project will extend 6-inch sub-drains from storm water intakes along the east and west sides of Missouri Avenue. Work will also be done on the west side of North Grand Avenue. The bid date is set for March 28 and April 1 for the hearing on the final plans.

Other action taken at the meeting included:

– The third and final reading to vacate portions of Sixth Avenue and alleyways at 500 North Grand was approved.

– The first reading of Ordinance 1128 was approved that would allow residents to connect their sump pump discharge piping to the storm sewer system.

– The homeowner of 601 South Jackson Street participated in the 2012 CDBG (Community Development Block Grant) owner-occupied rehabilitation program. A total of $24,371 was done on improvements to that home. A lien was approved to be released on the property.

– A new slaker was approved to be purchased at a cost of $17,716 for the water department. Slakers are units that feed the lime into clarifiers to soften water.

– An audit of the Floyd-Mitchell-Chickasaw Solid Waste Management Agency was approved. Charles City is a member of the 28E-agreement agency.

– The council went into closed session to discuss possible purchase of property under Iowa Code Chapter 21.5.