Burlington Trailways Service Agreement RequestTO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Burlington Trailways
DATE: February 24, 2009
Within the last few months, City staff has been working towards a common goal of
establishing a new ticket sales location for Burlington Trailways. After quite an
extensive search for suitable properties, Burlington Trailways chose the property
located at 400 Rhomberg Avenue because it provides the required passenger waiting
area, ticket sales counter and adequate bus and customer parking. The monthly lease
amount for this property is $1,300, including taxes. Burlington Trailways has stated that
due to the limited revenue generated from the Dubuque area ticket sales, they can only
afford a $500 per month lease.
Economic Development Director Dave Heiar recommends the creation of a service
agreement between the City of Dubuque and Burlington Trailways. Burlington would
lease the building and the City would have a Purchase of Service agreement with
Burlington for the $800 per month rent.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David J. Heiar, Economic Development Director
THE CITY OF Dubuque
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Masterpiece on the Mississippi
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TO: Michael C. Van Milligen, City Manager ((~~
FROM: David J. Heiar, Economic Development Director`
SUBJECT: Burlington Trailways
DATE: February 24, 2009
PURPOSE
This memo will summarize the current status of the Burlington Trailways relocation
project.
DISCUSSION
Within the last few months, several City staff members have been working towards a
common goal of establishing a new ticket sales location for Burlington Trailways. The
City's legal department has granted Burlington a stay for their current location until a
suitable location can be acquired.
The City Council approved a City initiated amendment to the Zoning Ordinance to allow
passenger transfer facilities as a conditional use in C-2 districts. After quite an extensive
search for suitable properties, Burlington Trailways chose the property located at 400
Rhomberg Avenue because it provides the required passenger waiting area, ticket sales
counter and adequate bus and customer parking. Subsequently, Burlington Trailways
submitted an application for a conditional use permit for the C-2 zoned property at 400
Rhomberg Avenue. The conditional use permit request will be heard at the March 3,
2009 Zoning Board of Adjustment meeting.
The monthly lease amount for said property is $1300 (including taxes). Burlington
Trailways has stated that due to the limited revenue generated from the Dubuque area
ticket sales, they can only afford a $500 lease.
RECOMMENDATION
The Economic Development Office recommends the creation of a service agreement
between the City of Dubuque and Burlington Trailways. Burlington would lease the
building and the City would have a Purchase of Service agreement with Burlington for
the $800/month rent.
Burlington Trailways
February 24, 2009
Page 2
Funding for this agreement can come from the sustainability coordinator office savings
(CIP 3502027). $3200 is estimate for FY 2009. FY 2010 would be funded through the
additional annual savings of $20,000 the City is realizing above estimates from the
multifunction printer/copier replacement project.