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Capital Loan Notes (SRF Program) $18M Upper Bee Branch Creek Railroad Culverts Project Stormwater Copyrighted January 7, 2019 City of Dubuque Items to be set for Public Hearing # 2. ITEM TITLE: Upper Bee Branch Creek Railroad Culverts Project Stormwater Capital Loan Notes (SRF Program) SUMMARY: City Manager recommending that the City Council set February 18, 2019 for a public hearing on the proposition of selling not to exceed $18,000,000 in Stormwater Utility Revenue Capital Loan Notes (State Revolving Loan Fund Program)for the Upper Bee Branch Creek Railroad Culverts Project and Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Sponsorship Project. RESOLUTION Fixing date for a meeting on the authorization of a Loan and DisbursementAgreement and the Issuance of Not to Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes of the City of Dubuque, State of I owa, and providing for publication of notice thereof SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s), Set Public Hearing for February 18, 2019 ATTACHMENTS: Description Type Set Public Hearing on Upper Bee Branch Creek Railroad City Manager Memo Culverfs Project-MVM Memo Staff Memo Staff Memo Letter of Instruction Supporting Documentation Resolution Fixing the Date of Proceedings Resolutions Notice of Hearing Supporting Documentation THE CTTY OF Dubuque �" ui��eNe�ary DUB E 'il��i;' Masterpiece on the Mississippi Z°°' Z°'Z 2013 2017 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Proceedings to Set Public Hearing on the Issuance of Not to Exceed $18,000,000 Storm Water Utility Revenue Capital Loan Notes (State Revolving Loan Fund Program) for Upper Bee Branch Creek Railroad Culverts Project and Midtown Transfer and Caffish Creek Watershed Pervious Alley Construction Sponsorship Project DATE: January 3, 2019 Finance Director Jean Nachtman recommends the City Council set February 18, 2019, for a public hearing on the proposition of selling not to exceed $18,000,000 in Stormwater Utility Revenue Capital Loan Notes (State Revolving Loan Fund Program) for the Upper Bee Branch Creek Railroad Culverts Project and Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Sponsorship Project. The lowa Finance Authority has agreed to make the City a low-interest loan under the following terms: The State Revolving Capital Loan Notes will carry an annual 1 .75% interest rate for 20 years, with an annual servicing fee of 0.25%. There is also a one-time 0.5% upfront loan origination fee. The Upper Bee Branch Creek Railroad Culverts Project (Project) represents the final contract associated with the Bee Branch Creek Restoration Project. The improvements will allow for the efficient flow of floodwaters from the recently competed Upper Bee Branch creek improvements, through the railroad yard on Garfield Avenue, to the Lower Bee Branch Creek. Since 2007, the City has been corresponding with the owner of the Dubuque Works rail yard at 506 Garfield Avenue. During that time, the ownership of the railroad changed hands two times. After years of negotiations, the City has reached an agreement with Canadian Pacific and can move forward with the project. The Project involves the installation of six, 8-foot diameter culverts under the railroad tracks using tunneling methods. This will allow the railroad operation to continue unimpeded by the construction of the Project. In addition to the culverts under the railroad tracks, the Project includes the extension of the box culverts installed under Gartield Avenue as part of the Upper Bee Branch Creek improvements to a new buried junction chamber, or transition structure where the flow from the Upper Bee Branch will join with flow from the Bee Brach storm sewer from Pine Street. The combined flow will then flow under the railroad track through the tunneled pipes mentioned previously into the Lower Bee Branch Creek. An outfall structure will be constructed where the water will flow inter the Lower Bee Branch. This will include a headwall for the culverts, a flood gate with the pump station to control the depth of water in the Upper Bee Branch Creek, topped by a concrete pad that will allow access to the culverts and gate from above wile also providing a plaza area for citizens to overlook the Lower Bee Branch Creek. The Project also incorporated the existing box culverts underneath the railroad tracks into the flood control system. The design will allow the existing box culverts to serve dual functions: flood control and as a hike/bike function as a spillway should floodwaters overflows within the Upper Bee Branch Creek. It will also serve as a surtace access to the existing box culverts for maintenance and for a public hike/bike path. In addition to retaining wall, the Project also includes lighting and security cameras. In August of 2017, the City Council adopted Resolution 294-17 authorizing the submission of a Clean Water SRF Sponsorship program application in order to secure $1 ,000,000 in funding for green alley construction in the Bee Branch and Catfish Creek watersheds. Funding would also be used to pay for the pervious drives associated with the proposed Midtown Transfer. While funding was initially deferred due to the number of applications, in May of 2018 the City's application was approved. The sponsorship program is made possible through Clean Water State Revolving Fund (CWSRF) loans. On a typical CWSRF loan, the City would borrow the principal using it to construct the improvements and repays principal (the loan) plus interest and fees. On a CWSRF loan with a sponsored project, the principal loan is increased to pay for both the original improvement project and the sponsored project. However, through an interest rate reduction, the interest on the loan is reduced such that the City does not pay any more than they would have for just the original improvements. Instead, two water quality projects are completed for the cost of one. The maximum amount allowed for sponsored project is the lesser of 10°k of the amount of the loan request at the time of the sponsored project application, 10°k of the FINAL amount drawn on the loan, or the calculated amount determined by the reduction of the interest rate by up to 1°k. I concur with the recommendation and respectfully request Mayor and City Council approval. 1�.1�t��'�+�1 �Gv►, /��t�ts�. Mic ael C. Van Milligen '� � 2 MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manager Cori Burbach, Assistant City Manager Jean Nachtman, Finance Director 3 THE CTIY OF Dub�u'c]ue Dus E °"�� ' �II ��' Masterpiece on the Mississippi ,00,.,o,=•,�„ TO: Michael C. Van Milligen, City Manger FROM: Jean Nachtman, Finance Director SUBJECT: Proceedings to Set Public Hearing on the Issuance of Not to 6cceed $18,000,000 Storm Water Utility Revenue Capital Loan Notes (State Revolving Loan Fund Program) for Upper Bee Branch Creek Railroad Culverts Project and Midtown Transfer and Catfish Creek Watershed Pervious Alley Construdion Sponsorship Project DATE: January 2, 2019 INTRODUCTION: The purpose of this memorandum is to provide suggested proceedings for a public hearing on the issuance of a not to exceed $18,000,000 Stormwater Revenue Capital Loan Notes. The proceedings of which will be used to pay the costs for the Upper Bee Branch Creek Railroad Culverts Project and a sponsorship project for Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Project. A letter from attorney Kristin Cooper detailing information on the public hearing is enclosed. BACKGROUND Since 1999 there has been six Presidential Disaster Declarations which included the Bee Branch Creek Watershed. The Drainage Basin Master Plan, completed and adopted by the City Council in 2001, established that there are more than 1,100 properties at risk of flood damage as a result of the flash flooding. Based on a subsequent study in 2009 by the Federal Emergency Management Agency (FEMA), there are 1,373 properties in the flood prone area. In addition to homes, there are over 70 businesses in the at-risk area with over $500 million in annual sales. Eighty-five percent (85%) of the impacted properties have buildings that are potentially eligible for listing on the National Register of Historic Places, the official list of the Nation's historic places worthy of preservation. In fact, fifty-seven percent (57%) of the buildings are more than 100 years old. The flood prone area in the Bee Branch Watershed encompasses historic neighborhoods offering some of the community's most affordable wnrkforce housing. Most residents are working families, many are elderly -- those least likely to recover from repetitive flood loss. Repetitive flood damage leads to disinvestment; from 2004 to 2009, while commercial property values grew by 39% citywide, they fell by 6% in the Bee Branch Watershed flood prone area. Since 2001, the City has implemented many of the improvements outlined in the Drainage Basin Master Plan. But since 2001 several intense, storm events have occurred in the Dubuque metropolitan area so that revisiting the predicted hydrology and hydraulic behavior of the Bee Branch Watershed was appropriate. Over a twelve-year period starting in 1999, there have been three 100-year storms, two 50-year storms, one 25-year storm, and one 10-year storm. Finally, it is important to consider how additional flood mitigation efforts undertaken by the City since 2001 fit with the overall effort to mitigate flooding. Therefore, work began to update/amend the Drainage Basin Master Plan. On November 18, 2013 the City Council passed Resolution 335-13 adopting the 2013 Drainage Basin Master Plan Amendment. The 2013 Amendment did not replace the 2001 Drainage Basin Master Plan. Instead, it built upon its foundation. The amended Drainage Basin Master Plan outlined several improvements throughout the Bee Branch watershed to mitigate the effects of future flooding and disasters. Collectively, the improvements form the basis of the Bee Branch Watershed Flood Mitigation Project outlined in Table 1 below. Table 1. Twelve phases of the Bee Branch Watershed Flood Mitigation Project Phase Description 1 Carter Road Detention Basin Complete 2 West 32"d Street Detention Basin Complete 3 Historic Millwork District Complete 4 Lower Bee Branch Creek Restoration Complete 5 Flood Mitigation Gate Replacement 6 Impervious Surface Reduction (Green Alleys) Under Construction 7 Upper Bee Branch Creek Restoration Partially Complete' g 22"a Street Storm Sewer Improvements Under Construction 9 Flood Mitigation Maintenance Facility 10 North End Storm Sewer Improvements 11 Water Plant Flood Protection 12 17�h Street Storm Sewer Improvements Under Construction 'Upper Bee Branch Creek Restoration Project includes improvements through the railroad property at 506 Garfield Avenue also known as the Upper Bee Branch Creek Railroad Culverts Project The Bee Branch Watershed Flood Mitigation Project will prevent an estimated $582 million in damages over the 100-year design life of the project. Due to the contributions of local, state, and federal funding partners, Dubuque citizens will see a return on their investment of more than $8 for each $1 spent. The Bee Branch Watershed Flood Mitigation Project represents a multi - phased, fiscally responsible investment. It reflects a holistic approach to mitigate flooding as it will also improve water quality, stimulate investment, and enhance the quality of life of watershed residents. On December 4, 2013, the lowa Flood Mitigation Board voted to approve the City's use of $98,494,178 for the Bee Branch Watershed Flood Mitigation Project. This funding will allow much of the protection to be provided over the next six years, instead of over the next 20 years (only some of the 240 alleys will take up to 20 years). On February 3, 2014 2 the City Council adopted Resolution 31-14 authorizing the execution of an agreement with the State of lowa Flood Mitigation Board and authorizing the City's use of sales tax increment funding for the Bee Branch Watershed Flood Mitigation Project. In December of 2004, the City Council adopted the alignment for the Bee Branch Creek Restoration Project based on the work and recommendation of the Bee Branch Citizen Advisory Committee. The adopted alignment crossed the railroad yard at 506 Garfield Avenue now owned by Canadian Pacific. In August of 2008, the City Council authorized the hiring of Strand & Associates (Madison, WI), in association with IIW Engineers (Dubuque, IA) and Ken Saiki Design (Madison, WI), to prepare the final design of the Bee Branch Creek Restoration Project which included the section through the railroad property at 506 Garfield Ave. CP's January of 2015 response was considered a conditional approval of the design, citing four minor issues for the City to address. The improvements conditionally approved by CP are shown in Figure 1. While the City was in a position to move forward negotiating a Construction Agreement with CP and possibly moving forward with the improvements through CP property, doing so would have delayed the upstream improvements such that the City would risk the loss of $4 million in grant funding (EDA, IDOT, & RECAT). Therefore, the City proceeded with completing the Upper Bee Branch Creek project upstream of the railroad property. r' .. - � . o . _ . f ;�{i-= .. � - ' a � � �� , . .�_ . . � -u�. . -� �' - Bee Branch _�- . '`__^ . . .�, ,_ I Creek "� '� � ' - , � , , � � _, � .' �„ � ' � , ._ :.... - � � � _ , ` -- .�`� . ._ . � i � ��, � � — i�� Lower � Bee Branch ,�� i �� Creek �mI ��_ // �V � � Proposed improvements conditionally approved by CP in 2015 Figure 1. Extent of improvements conditionally approved by CP in early 2015. Completed through multiple contracts, again due to funding, the City proceeded with the construction of the Upper Bee Branch Creek Restoration Project. In May of 2015, the City Council adopted Resolution 176-15 awarding the contract for the Upper Bee Branch Creek - Channel, Streets, & Utilities Project. In May of 2015, the City Council adopted Resolution 3 177-15 awarding the contract for the Upper Bee Branch Creek — Structures Project. In October of 2015, the City Council adopted Resolution 351-15 awarding the contract for the Upper Bee Branch Creek Mississippi River Trail Project, the third contract associated with the Upper Bee Branch Creek Restoration Project. In December of 2015, the City Council adopted Resolution 422-15 awarding the contract for the Bee Branch Creek Basin Overlook & 22"d Street Parking Lot Project, the fourth and final contract associated with the Upper Bee Branch Creek Restoration Project. The improvements were substantially complete by July of 2017. One of the consequences of moving forward with the construction of improvements upstream of CP property is that some of the improvements that were to be constructed as part of the plans previously reviewed by CP were constructed as part of the Upper Bee Branch Creek Restoration Project. Figure 2 shows a few of those elements. Therefore, the plans and specifications (bidding and construction documents) for the improvements through CP property needed to be reworked and re-designed to a certain extent to reflect the improvements in place as a result of the Project. Because of the improvements now in place, the size and nature of some of the improvements previously required are no longer necessary. For example, the transition structure and the level control structure could be reduced in size which would result in cost savings. , � ... _ ... `f .p4:r_.. ., .. . .. . -m � l J' I. 1� �� , . ._ _ y _ � :� �i � i \ Bee Branch �- i�� i � . � . Creek � ', ,;";� �� . — . . �i %-- �� ' �% 7 i - -- _i;�" . � � ,/� � �. ' � _ J ( � � 1 "_ . .. . I � ._ '�� ' � _ _�q � Lower � . a// � — �� Bee Branch / �d j � _ �_ �I� Creek m` . __- � �_ '-. � , � Improvements constructed as part of the Upper Bee Branch Creek Project contracts Figure 2. Improvements previously reviewed as part of the improvements through CP property that were constructed as part of the Upper Bee Branch Creek Restoration Project. In April of 2015, the City Council authorized a partnership with lowa Economic Development Authority (IEDA) regarding the State's submission of the first phase of the competition to secure US Department of Housing and Urban Development (HUD) National Disaster Resilience Competition (NDRC) funding. The hope was to secure funding to help 4 mitigate the flooding in the Bee Branch Watershed. Based on the first phase application, IEDA (and the City) was invited to proceed to phase II of the competition. In November of 2015, the City Council authorized the submission of an application for HUD NDRC funding for the (Upper) Bee Branch Railroad Culvert Infrastructure Improvements. In January 2016, the State was awarded $95.7 million in HUD National Disaster Resiliency Competition grant funds. Per the award, the City of Dubuque is to receive $8.4 million for a comprehensive "Bee Branch Healthy Homes Resiliency Program" to help residents address residual impacts from the flooding experienced within the Bee Branch Watershed. The City is also to receive $23.1 million for storm water infrastructure improvements associated with the Bee Branch Watershed Flood Mitigation Project. The infrastructure improvements included the (Upper) Bee Branch Railroad Culvert Infrastructure Improvements through Canadian Pacific property at 506 Gartield Ave. In order to remain eligible for the HUD funding for the Bee Branch Railroad Culvert improvements, the City had to delay moving forward towards developing the final design of the improvements or move forward with acquiring property necessary for the project. The City first had to wait until a grant agreement was in place. In addition, the City had to follow the HUD rules and regulations as they relate to procuring engineering and legal services. In October of 2016, the City Council adopted Resolution 362-16 authorizing the execution of a contract with the lowa Economic Development Authority (IEDA) in order for the City to utilize $23,293,253.00 in HUD National Disaster Resiliency Competition grant funds for the Bee Branch Watershed Flood Mitigation Project with $9,000,000 specifically for the proposed culverts from the Lower Bee Branch Creek, through Canadian Pacific Railway property, to the Upper Bee Branch north of Garfield Avenue. This phase of the Bee Branch Creek Restoration Project is also referred to as the Bee Branch Railroad Culvert Infrastructure Improvements Project. The contract with IEDA requires that the City complete all of the improvements by June of 2021 . In March of 2017, in accordance with HUD requirements, the City executed a new contract with Strand to provide engineering design services as required for the Upper Bee Branch Railroad Culvert Infrastructure Improvements Project. In June of 2017, the City Council authorized the hiring of Ahlers & Cooney law firm to provide legal services pertaining to the negotiations with CP and other property acquisitions necessary for the Bee Branch Railroad Culvert Infrastructure Improvements Project. In July of 2017, the City and CP executed the Amended and Substituted Service Agreement reflecting the current approach to install the tunneled culvert system and establishing a new expiration date of December 31 , 2018. Under the terms of the original agreement, the City paid CP $100,499.56 for their reimbursable expenses. Per the amendment, both agreed that reimbursable expenses for CP services incurred after December 30, 2014 shall not exceed $50,000, unless agreed upon through a subsequent amendment. 5 DISCUSSION The Upper Bee Branch Creek Railroad Culverts Project (Project) represents the final contract associated with the Bee Branch Creek Restoration Project. The improvements will allow for the efficient flow of floodwaters from the recently competed Upper Bee Branch creek improvements, through the railroad yard on Gartield Avenue, to the Lower Bee Branch Creek. Since 2007, the City has been corresponding with the owner of the Dubuque Works rail yard at 506 Gartield Avenue. During that time, the ownership of the railroad changed hands two times. After years of negotiations, the City has reached an agreement with Canadian Pacific and can move forward with the project. The Project involves the installation of six, 8-foot diameter culverts under the railroad tracks using tunneling methods. This will allow the railroad operation to continue unimpeded by the construction of the Project. In addition to the culverts under the railroad tracks, the Project includes the extension of the box culverts installed under Garfield Avenue as part of the Upper Bee Branch Creek improvements to a new buried junction chamber, or transition structure where the flow from the Upper Bee Branch will join with flow from the Bee Brach storm sewer from Pine Street. The combined flow will then flow under the railroad track through the tunneled pipes mentioned previously into the Lower Bee Branch Creek. An outfall structure will be constructed where the water will flow inter the Lower Bee Branch. This will include a headwall for the culverts, a flood gate with the pump station to control the depth of water in the Upper Bee Branch Creek, topped by a concrete pad that will allow access to the culverts and gate from above wile also providing a plaza area for citizens to overlook the Lower Bee Branch Creek. The Project also incorporated the existing box culverts underneath the railroad tracks into the flood control system. The design will allow the existing box culverts to serve dual functions: flood control and as a hike/bike function as a spillway should floodwaters overflows within the Upper Bee Branch Creek. It will also serve as a surtace access to the existing box culverts for maintenance and for a public hike/bike path. In addition to retaining wall, the Project also includes lighting and security cameras. The project funding is summarized as follows: Funding Source Amount HUD CDBG NDR Grant $10,563,823 U.S. EPA Clean Water SRF Loan 16,300,000 ''z State Sales Tax Increment Funding 2,629,949 State Sales Tax Increment Bond 714,659 Total $30,208,431 �$16.3 million is the maximum amount of SRF debt the City will utilize. Through the FY20 budget process, the City is looking at using stormwater utility fee revenue to minimize the amount of the SRF debt. zThe U.S. EPA Clean Water SRF loan will be paid back using stormwater utility fee revenue. 6 In FW gust of 2017, the City Council adopted Resolution 29417 authorizing the submission of a qean Water SRF Sponsorship program application in order to secure $1,OOQ000 in funding for green alley construction in the Bee Branch and Catfsh Creek watersheds. Funding would also be used to pay for the pervious drives associated with the proposed Mid[own Transfer. While funding was initially deferred due to the number of applications, in May of 2018 the City's application was apprwed. The sponsorship program is made possible through Clean Water State Revolving Fund (CWSRF) loans. On a typical CWSRF loaq the City would borrow the principal using it to construct the improvements and repays principal (the loan) plus interest and fees. On a CWSRF loan with a sponsored project, the principal loan is increased to pay for both the original improvement project and the sponsored project. However, through an interest rate reduction, the interest on the loan is reduced such that the City does not pay any more than they would have Por just the original imprwements. Instead, two water quality projects are completed for the cost of one. The ma�cimum amount allowed for sponsored project is the lesser of 10 h of the amount of the loan request at the time of the sponsored project applicatioq 10% of the FINAL amount drawn on the loan, or the calculated amount determined bythe reduction ofthe interest rate by up to 1 h. The chart below displays a visual on how a sponsorship project is financed with no additional werall cost. ns000mo S�xav,av prmopai Se,000,000 ��renane ta,000000 p �a 5- 5]G9mllliorWJSPFIoar 5163m�• omorea Est Loan Funtletl ImprovemeMs Principal Amoun[ Upper Bee Branch Creek Railroad Culverts Project $1 Q30Q000 Loan Principal for Green Alleys $ 1,000,000 Total $17,30Q000 The recommendation is to approve the selling of up to $iQ00Q000 in Stormwater Utility Revenue Capital Loan Notes to provide contingency funding. 7 ACTION TO BE TAKEN I respectfully recommend the adoption of the enclosed resolution fixing the date of February 18, 2019 for a public hearing on the proposition of selling not to exceed $18,000,000 in Stormwater Utility Revenue Capital Loan Notes (State Revolving Loan Fund Program) for the Upper Bee Branch Creek Railroad Culverts Project and Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Sponsorship Project. Attachments cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manger Cori Burbach, Assistant City Manger Jenny Larson, Budget Director Gus Psihoyos, City Engineer Deron Muerhing Civil Engineer 8 Ahlers&Cooney,P.C. A H L E R S C O O N E Y Attorneys at Law 100 Court Avenue, Suite 600 A T T O R I�! E Y S Des Moines, lowa 50309-2231 Phone: 515-243-7611 Fax: 515-243-2149 www.ahlerslaw.com Kristin B. Cooper 515.246.0330 kcooper@ahlerslaw.com January 2, 2019 VIA EMAIL � Ms. Jenny Larson Budget Director City of Dubuque 50 West 13th Street Dubuque, Iowa 52001 RE: Dubuque, Iowa-Not to Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan) Dear Jenny: We have now prepared and are enclosing herewith suggested proceedings to be acted upon by the City Council in fixing the date of a meeting on the proposition to issue the above mentioned Capital Loan Note and ordering publication of a notice of hearing consistent with the provisions of Code Section 384.84A. As you may know, the borrowing of loan funds by the City through the Iowa Water Pollution Control Works Financing Program involves the same procedures applicable to the issuance and sale of municipal bonds generally. In this instance,the Iowa Finance Authority (the "Authority")has agreed to make the City a low-interest loan under the terms of a Loan and Disbursement Agreement, which will be secured and evidenced by a Stormwater Management Utility Revenue Capital Loan Note that will be issued to the Authority at the time the loan is closed. The Authority has advised that all Revolving Fund loans are subject to additional procedural requirements, most notably- compliance with prevailing wage (Davis-Bacon) provisions. We'll coordinate with the Authority on your behalf to properly document this loan program, but will defer to your engineers for contract compliance requirements. At any time before the date of the hearing, a petition may be filed with the Clerk requesting that the issuance of the Notes be submitted to an election. To qualify, a petition must be signed by at least three percent (3%) of the registered voters of the City. WISHARD Ei BAILY - 1888; GUERNSEY & BAILY - 1893; BAILY $i STIPP - 1901; STIPP, PERRY� BANNISTER Si STARZINGER - 1914; BANNISTER, CARPENTER, AHLERS Si COONEY - 1950; AHLERS, COONEY, DORWEILER, ALLHEE, HAYNIE $i SMITH - 1974; AHLERS� COONEV, DORWEILER, HAYNIE, SMITH & ALLBEE, P.C. - 1990 January 2, 2019 Page 2 Notice of this meeting must be published at least once in a legal newspaper, printed wholly in the English language,published at least once weekly, and having general circulation in the City. The date of publication is to be not less than thirty (30) clear days before the date of public meeting on the issuance of the Notes. In computing time, the date of publication should be excluded. If the last day falls on Sunday, the whole of the following Monday should be excluded. As always, we would appreciate having certified copies of the enclosed Resolution returned to us following the Council's action for our transcript of the action taken, as well as copies of the publisher's affidavit with respect to the publication of the notice once it becomes available. We will prepare and forward to you in the near future, suggested procedure to be acted upon on the date of hearing. If you have any questions pertaining to the proceedings enclosed or the above instructions,please do not hesitate to either write or call. Very truly yours, Ahlers & Cooney, P.C. � Kri tin Billingsley ooper FOR THE FIRM KBC:seb Enclosures cc: Alexis Steger, Senior Budget Analyst, City of Dubuque Jean Nachtman, Finance Director, City of Dubuque Tami Lansing, Assistant Finance Director, City of Dubuque Anita Gonyier, Confidential Account Clerk, City of Dubuque Tionna Pooler, Independent Public Advisors, LLC Deron L. Muehring, Civil Engineer, City of Dubuque Kevin S. Firnstahl, City Clerk, City of Dubuque 01551432-1\10422-198 ITEMS TO INCLUDE ON AGENDA CITY OF DUBUQUE, IOWA Not to Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan) • Resolution fixing date for a meeting on the proposition to authorize a Loan and Disbursement Agreement and the issuance of Notes to evidence the obligations of the City thereunder. NOTICE MUST BE GIVEN PURSUANT TO IOWA CODE CHAPTER 21 AND THE LOCAL RULES OF THE CITY. January 7, 2019 The City Council of the City of Dubuque, State of Iowa, met in regular session, in the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa, at 6:00 o'clock P.M., on the above date. There were present Mayor Buol in the chair, and the following named Council Members: Luis Del Toro, Ric Jones, Kate Larson, David Resnick, Jake Rios, Brett Shaw Absent: 1 Council Member Jones introduced the following Resolution entitled "RESOLUTION FIXING DATE FOR A MEETING ON THE AUTHORIZATION OF A LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO EXCEED $18,000,000 STORMWATER MANAGEMENT UTILITY REVENUE CAPITAL LOAN NOTES OF THE CITY OF DUBUQUE, STATE OF IOWA, AND PROVIDING FOR PUBLICATION OF NOTICE THEREOF", and moved that the same be adopted. Council Member Resnick seconded the motion to adopt. The roll was called and the vote was, AYES: Rios, Jones, Larson, Shaw, Del Toro, Resnick, Buol NAYS: Whereupon, the Mayor declared the Resolution duly adopted as follows: RESOLUTION NO. 17-19 RESOLUTION FIXING DATE FOR A MEETING ON THE AUTHORIZATION OF A LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO EXCEED $18,000,000 STORMWATER MANAGEMENT UTILITY REVENUE CAPITAL LOAN NOTES OF THE CITY OF DUBUQUE, STATE OF IOWA, AND PROVIDING FOR PUBLICATION OF NOTICE THEREOF WHEREAS, it is deemed necessary and advisable that the City of Dubuque, State of Iowa should provide for the authorization of a Loan and Disbursement Agreement and the issuance of Stormwater Management Utility Revenue Capital Loan Notes, in the amount of not to exceed $18,000,000, as authorized by Section 384.84A of the Code of Iowa, as amended, for the purpose of providing funds to pay costs of carrying out projects as hereinafter described; and WHEREAS, the City has applied for a loan through the Iowa Water Pollution Control Works Financing Program pursuant to which the Iowa Finance Authority has agreed to purchase the City's Notes and has requested that such Notes be issued as a single Note in a denomination equal to the total amount of the issue as authorized by Chapter 384 of the Code of Iowa; and WHEREAS, the Loan and Disbursement Agreement and Note shall be payable solely and only out of the Net Revenues of the Stormwater Management Utility System and shall be a first lien on the future Net Revenues of the Utility; and shall not be general obligations of the City or payable in any manner by taxation and the City shall be in no manner liable by reason of the failure of the Net Revenues to be sufficient for the payment of the Loan and Disbursement Agreement and Note; and 2 WHEREAS, before the Loan and Disbursement Agreement may be authorized and Stormwater Management Utility Revenue Capital Loan Notes may be issued to evidence the obligation of the City thereunder, it is necessary to comply with the provisions of the Code of Iowa, as amended, and to publish a notice of the proposal to issue such notes and of the time and place of the meeting at which the Council proposes to take action for the authorization of the Loan and Disbursement Agreement and Notes and to receive oral and/or written objections from any resident or property owner of the City to such action, and the right to petition for an election thereon. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, STATE OF IOWA: Section 1. That this City Council meet in the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa, at 6:00 o'clock P.M., on the 18th day of February, 2019, for the purpose of taking action on the matter of the authorization of a Loan and Disbursement Agreement and the issuance of not to exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes to evidence the obligations of the City thereunder, the proceeds of which will be used to provide funds to pay the costs of acquisition, construction, reconstruction, extending, remodeling, improving, repairing and equipping all or part of the Stormwater Management Utility, including land acquisition, engineering and construction of the Upper Bee Branch Creek Railroad Culverts Project, part of Phase 7 of the Bee Branch Watershed Flood Mitigation Project, also known as the Upper Bee Branch Creek Restoration Project and water restoration project costs related to the Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Project. The Notes shall bear interest at a rate not exceeding the maximum specified in the attached notice. Section 2. That the Clerk is hereby directed to cause at least one publication to be made of a notice of the meeting, in a legal newspaper, printed wholly in the English language, published at least once weekly, and having general circulation in the City. The publication to be not less than thirty days before the date of the public meeting on the issuance of the Notes. Section 3. The notice of the proposed action to issue the notes shall be in substantially the following fon-n: 3 (To be published on or before January 16, 2019) NOTICE OF MEETING OF THE CITY OF DUBUQUE, IOWA ON THE MATTER OF THE PROPOSED AUTHORIZATION OF A LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO EXCEED $18,000,000 STORMWATER MANAGEMENT UTILITY REVENUE CAPITAL LOAN NOTES, AND THE PUBLIC HEARING ON THE AUTHORIZATION AND ISSUANCE THEREOF PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, Iowa, will hold a public hearing on the 18th day of February, 2019, at o'clock .M., in the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa, at which meeting the City Council proposes to take additional action for the authorization of a Loan and Disbursement Agreement by and between the City and the Iowa Finance Authority, and the issuance to the Iowa Finance Authority of not to exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes to evidence the obligations of the City under the Loan and Disbursement Agreement, bearing interest at a rate of not to exceed 3.00% per annum, in order to provide funds to pay the costs of acquisition, construction, reconstruction, extending, remodeling, improving, repairing and equipping all or part of the Stormwater Management Utility, including land acquisition, engineering and construction of the Upper Bee Branch Creek Railroad Culverts Project, part of Phase 7 of the Bee Branch Watershed Flood Mitigation Project, also known as the Upper Bee Branch Creek Restoration Project and water restoration project costs related to the Midtown Transfer and Catfish Creek Watershed Pervious Alley Construction Project. The Notes will not constitute general obligations or be payable in any manner by taxation, but will be payable from and secured by the Net Revenues of the Stormwater Management Utility System. Pursuant to Title 13, Chapter 4 of the Dubuque City Code, stormwater management charges are imposed upon and collected from the owners or occupants of all lots, parcels of real estate and buildings that discharge stormwater or surface or subsurface waters to the City's Stormwater Management Utility System. Separate charges, based on a single family unit ("SFU") rate, are imposed on single-family residential property, non -single family residential property, and nonresidential property. The SFU rate is the dollar value periodically determined and assigned to each single family unit (being the average impervious area of a single-family residential property located within the City, currently 2,917 square feet), as a charge for stormwater management services, and is expressed as $X.XX per SFU. The SFU rates are described in said Title 13, Chapter 4 and may be adjusted from time to time as set forth therein. At the above meeting the City Council shall receive oral or written objections from any resident or property owner of the City, to the above action. After all objections have been received and considered, the City Council will at this meeting or at any adjournment thereof, take additional action for the authorization of the Loan and Disbursement Agreement and the issuance of Notes or will abandon the proposal to issue the Notes. 4 At any time before the date of said meeting, a petition asking that the question of issuing such Notes be submitted to the legal voters of said City may be filed with the clerk of said City, pursuant to the provisions of Section 384.84A of the Code of Iowa. This Notice is given by order of the City Council of the City of Dubuque, Iowa, as provided by Section 384.84A of the Code of Iowa. Dated this day of , 2019. Mayor (End of Notice) 5 PASSED AND APPROVED this 7th day of January, 2019. ATTEST: Mayor 6 STATE OF IOWA COUNTY OF DUBUQUE CERTIFICATE ) SS I, the undersigned City Clerk of the City of Dubuque, State of Iowa, do hereby certify that attached is a true and complete copy of the portion of the corporate records of the City showing proceedings of the City Council, and the same is a true and complete copy of the action taken by the Council with respect to the matter at the meeting held on the date indicated in the attachment, which proceedings remain in full force and effect, and have not been amended or rescinded in any way; that meeting and all action thereat was duly and publicly held in accordance with a notice of public hearing and tentative agenda, a copy of which was timely served on each member of the Council and posted on a bulletin board or other prominent place easily accessible to the public and clearly designated for that purpose at the principal office of the Council (a copy of the face sheet of the agenda being attached hereto) pursuant to the local rules of the Council and the provisions of Chapter 21, Code of Iowa, upon reasonable advance notice to the public and media at least twenty-four hours prior to the commencement of the meeting as required by law and with members of the public present in attendance; I further certify that the individuals named therein were on the date thereof duly and lawfully possessed of their respective City offices as indicated therein, that no Council vacancy existed except as may be stated in the proceedings, and that no controversy or litigation is pending, prayed or threatened involving the incorporation, organization, existence or boundaries of the City or the right of the individuals named therein as officers to their respective positions. WITNESS my hand and the seal of the City hereto affixed this 8th day of January 2019. City Clerk, t ity of Dubuque, State of Iowa ROLL CALL ORDER FOR MEETING OF January 7, 2019 Rios, Jones, Larson, Shaw, Del Toro, Resnick, Buol CITY OF DUBUQUE, IOWA CITY COUNCIL MEETING Historic Federal Building Second -Floor Council Chambers 350 W. 6th Street January 7, 2019 Council meetings are video streamed live and archived at www.cityofdubuque.orq/media and on Dubuque's CityChannel on the Mediacom cable system at cable channel 8 and digital 117.2 REGULAR SESSION 6:00 PM PLEDGE OF ALLEGIANCE PROCLAMATION(S) 1. Human Trafficking Prevention Month (January 2019) CONSENT ITEMS The consent agenda items are considered to be routine and non -controversial and all consent items will be normally voted upon in a single motion without any separate discussion on a particular item. If you would like to discuss one of the Consent Items, please go to the microphone and be recognized by the Mayor and state the item you would like removed from the Consent Agenda for separate discussion and consideration. 1. Minutes and Reports Submitted Catfish Creek Watershed Management Authority of 12/21; City Council Proceedings of 12/17; Five Flags Civic Center Commission of 12/20; Historic Preservation Commission of 12/20; Park and Recreation Commission of 12/11; Zoning Board of Adjustments of 12/20; Proof of publication for City Council Proceedings of 11/26; Proof of publication for City Council Proceeding of 12/3; Proof of publication List of Claims and Revenues for Month Ending 11/30. Suggested Disposition: Receive and File 2. Notice of Claims and Suits Dittmer Recycling, Inc. for property damage and Jesse Drolema for vehicle damage. Suggested Dlcp VSt�Vl1• Receive and File; Refer tV City Att.,rl ley 3. Disposition of Claims Pg. 1 CERTIFICATE STATE OF IOWA ) SS COUNTY OF DUBUQUE I, the undersigned, do hereby certify that I am now and was at the times hereinafter mentioned, the duly qualified and acting Clerk of the City of Dubuque, in the County of Dubuque, State of Iowa, and that as such Clerk and by full authority from the Council of the City, I have caused a NOTICE OF MEETING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, STATE OF IOWA, ON THE MATTER OF THE PROPOSED AUTHORIZATION OF A LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO EXCEED $18,000,000 STORMWATER MANAGEMENT UTILITY REVENUE CAPITAL LOAN NOTES, SERIES 2019, OF THE CITY OF DUBUQUE, AND THE PUBLIC HEARING ON THE AUTHORIZATION AND ISSUANCE THEREOF of which the clipping annexed to the publisher's affidavit hereto attached is in words and figures a correct and complete copy, to be published as required by law in the Telegraph Herald, a legal newspaper published at least once weekly, printed wholly in the English language, published regularly and mailed through the post office of current entry for more than two years and which has had for more than two years a bona fide paid circulation recognized by the postal laws of the United States, and has a general circulation in the City, and that the Notice was published in all of the issues thereof published and circulated on the following date: January 11, 2019. ITNESS my official signature at Dubuque, Iowa, this day of 2019. 01551458-1\10422-198 City Clerk, ' ity of Dubuque, State of Iowa STATE OF IOWA {SS: DUBUQUE COUNTY CERTIFICATION OF PUBLICATION I, Suzanne Pike, a Billing Clerk for Woodward Communications, Inc., an Iowa corporation, publisher of the Telegraph Herald, a newspaper of general circulation published in the City of Dubuque, County of Dubuque and State of Iowa; hereby certify that the attached notice was published in said newspaper on the following dates: January 11, 2019, and for which the charge is $57.76 Subscribed to before me, a Notary Public in and for Dubuque County, Iowa, this /.5 day of Notary Pub ,20/? in and for Dubuque C y, Iowa. e„ MARY K WESTERMEYER Commission Number 154885 My Commission Exp. Feb. 1, 2020 ciTy 0F. quBtivvE, Ment Utility Reven Capital Loan 'N,otes p:1003pFlicicjEIA0LEwETIcrNG evidence the ()Wig DuBuQuelowil Os• imngeninttAegrerseternateantr,abteea THE MATTER'OF THE OF ' ,THE: .,,,C7ITV OF the Loan and Disburs tions of the City und PROPOSED AOTHO- not to exceed 3.00 RIZATION OF A LOAN , per annum, in order AND DISBURSEMENT ", provide funds to pa AGREEMENT AND the costs of acquis THE ISSUANCE OF tion, construction, re NOT TO EXCEED , construction, extend $18,000,000 ' STORM- ing, remodeling, 'im WATER MANAGE-' I, Proving, repairing an MENT UTILITY REV- ' ii equ Aping all or part o ENUE CAPITAL LOAN 'i the Stormwater Man NOTES, AND THE agement UtilitY,Includ THERE0F , ' . i Bee Branch Creek Rail - PUBLIC HEARING ON ing . land ,, acquiSition THE AUTHORIZATION engineering /and con AND ISSUANCE ,' struction of the .Upper P4E,..kifPOTICE is If road Culvert Project, ch eit,repen dg'n},pyrid f tthrhaet Citytbe ,, ii[1103acert BorfpPchhaswe ,a7t eorfsntehcie of DdbOglik1-6Wa, will ; Flood, Mitigation , Pro- hold:^,a 'Public hearing j' ject, also known as the on the 18th day ofrI UppercBee Branch February, 2019, at 6:00 ,,, reek Restoration Pro- ' °'°1°°k P.M., In the I-115-1, iect,arid water- restora 3toSrDic West 6thi B Building, ed to: ' the Midtown ion project cots relat- Dubuque, lovva, at 1, 'Tranfer and ',Catfish which meeting the City 1 creek Watershed Per -- Council proposes to v.igus Alley COnstruc- , ftnarketneadadoitthionnraizltaioctnioonf ,tio,n, hpi;ojNenctte, 's- will not 11 a Loan and Disburse- •constitute general obli- ,, men,t AgreeTent bY gations or be' payable 19-iccli between the City ' in any manner by taxa- ' the., a F n tion, but win be Authority,senncetdthe ed Iowa th e , Fi si ..- cpayableuredbfromytheNaeotd R es ve : !lance_ Authority of not, enues of the Storm - to Stormwaterex ceed'$18da°o°a' °g°e°: Utilitywater System. Maria ge rillpeunr t - 1 suant to Title 13, Chap- ter Dubuque City4 of the Dubuque City Code, stormwater ` management' charges are imposed upon and collected from the allowners idts, oroparcelscc up of fntsorealf , estate and ) buildings ' that discharge storm- water' or surface or subsurface waters to the , City's Stormwater Management Utility , System. Separate ,charges, based on a single family unit ("SFU") rate, are im- posed..on, single-familY residential property, non-singlendoenntrei asl i der ltfi property,aa l n :1proper- ty. res andi- The SFU rate is the dollar value periodical- ly determined and as- signed to each single to 1 averagefamofa sinimgniPertfaymilolY- ue family unit (htlrgviothdes a- 1 raerseadde eer :r sfetetftPi i 1,1)' currentlywna swattl I ate ahi . r, I: pncrsho''rr'a'hnraaesg nnqedauC gai City, 11 ca-- 2 91, for men sed as $X.,^s of ° t servIce ' tveX are e sexFulpr.e.fshedsrnusrdeip -ritaiye Y cribe . and may I- dgs h Vier 4 from time 13 C a ,,,d t tit3lerein. abevo-pocmileesthinagu -I theAt tyhe° oral writtenany - owner of the have - receive tions from property iboebe.j 'en crrciejcu.Lstiteo, rCitymeeting„..tcfort h r City C'a or resident the City, to the a/DP:i ,ptiO9S 'd con- - l'''' time as 'F ,..9/? eived an Coun- cil srosui zi- adanet ci atr oeeriadtflatIoNhkti Disbursement eoeh bti adjournment saeupsdr proposal ssdoobai ptrmui otewill thereof,LoanabandonAgreementaction of theent cil will a, 1 to is'uetimeNboetfeotr.egthae 1 -', At any said mee in tile date of ' sbetsluladtmi...:. 11 11 t• pdt,, tt oio n asking,Citpyt miasyll ocIfe_ 11 Code i or1 ofii Iowa.sdi i y _ or hs eotaner sr- s 1111, sAunoyhp questionvrwNo1 thect, e dp, l,,eo Or pursuant persons rvnot ,•bte. II of said the clerk , the -84.89.A • ed h said City, ions of Sec- tion needssp e -olimalPsahicroieuel rdk , scontact00Office er or accessibil Y needing soPeercs'ean' s with 1 . , assis- tance i tTiatehhDta see6mt( City5, (e4D5' :836:31hours og5e6.8f9rs9s0-g-4p6i1vf6ei70n8r b_tayuit 1 co iThis orderr° Noticeu° of ,t 11i oe v vCai ,tCy.,- -I t,,,Cyc°t Section f the s pro- Dobug by -'-iof vided, of the Code384.8%A• Iowa. of DatedJanuar 1 (7: f ”, 'D2i hun0ci bs151 oe9.7.cir Ftkuhi , re Cityds1 ato_yawhoal i it 1/11 Kevin Firnstahl From:Susan Ball <sball@Ahlerslaw.com> Sent:Tuesday, February 05, 2019 11:56 AM To:Kevin Firnstahl Cc:Kristin Billingsley Cooper Subject:RE: Follow Up re: Dubuque, Iowa - Not-to-Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan) Everything looks good! Thank you! Susan Ball Legal Assistant to Kristin Billingsley Cooper Ahlers & Cooney, P.C. 100 Court Avenue, Suite 600 Des Moines, Iowa 50309-2231 Phone: (515) 246-4410 sball@ahlerslaw.com | www.ahlerslaw.com From: Kevin Firnstahl <Kfirnsta@cityofdubuque.org> Sent: Tuesday, February 05, 2019 11:32 AM To: Susan Ball <sball@Ahlerslaw.com>; Jenny Larson <Jlarson@cityofdubuque.org> Cc: Alexis Steger <Asteger@cityofdubuque.org>; Jean Nachtman <Jnachtma@cityofdubuque.org>; Anita Gonyier <Agonyier@cityofdubuque.org>; Tionna Pooler <tpooler@independentpublicadvisors.com>; Deron Muehring <Dmuehrin@cityofdubuque.org>; Kristin Billingsley Cooper <KCooper@ahlerslaw.com> Subject: Follow Up re: Dubuque, Iowa - Not-to-Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan) Hi Susan, Attached is the fully executed packet for Setting the Hearing on the Not-to-Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan). I will mail the certified copy out today. I’ll get the Public Hearing packet to you following the 2/18/19 meeting. Please contact me if you have questions or difficulty with the attachment. Thank you. Kevin S. Firnstahl, City Clerk th 50 W. 13 Street Dubuque, IA 52001 kfirnsta@cityofdubuque.org 563-589-4100 1 From: Susan Ball \[mailto:sball@Ahlerslaw.com\] Sent: Wednesday, January 02, 2019 2:33 PM To: Jenny Larson <Jlarson@cityofdubuque.org> Cc: Alexis Steger <Asteger@cityofdubuque.org>; Jean Nachtman <Jnachtma@cityofdubuque.org>; Tami Lansing <Tlansing@cityofdubuque.org>; Anita Gonyier <Agonyier@cityofdubuque.org>; Kevin Firnstahl <Kfirnsta@cityofdubuque.org>; Tionna Pooler <tpooler@independentpublicadvisors.com>; Deron Muehring <Dmuehrin@cityofdubuque.org>; Kristin Billingsley Cooper <KCooper@ahlerslaw.com> Subject: Dubuque, Iowa - Not to Exceed $18,000,000 Stormwater Management Utility Revenue Capital Loan Notes (State of Iowa Revolving Fund Loan) Good Afternoon, I have attached the Fix Date proceedings and the letter of instruction for the meeting scheduled on Monday, January 7, 2019. Please return all executed originals to my attention. For your convenience, I have also attached the Notice of Hearing separately in MS Word format which can be forwarded directly to the newspaper for publication. Please note, the notice must be published on or before January 16, 2019. If you have any questions, or would prefer hard copies in the mail, please let me know. Thank you! Susan Ball Legal Assistant to Kristin Billingsley Cooper Ahlers & Cooney, P.C. 100 Court Avenue, Suite 600 Des Moines, Iowa 50309-2231 Phone: (515) 246-4410 sball@ahlerslaw.com | www.ahlerslaw.com AHLERS & COONEY P.C. CONFIDENTIALITY NOTICE: This email, and any attachments hereto, contains information which may be CONFIDENTIAL and/or ATTORNEY CLIENT PRIVILEGED. The information is intended to be for the use of the individual or entity named above. If you are not the intended recipient, please note that any unauthorized disclosure, copying, distribution or use of the information is prohibited. If you have received this electronic transmission in error, please return the e-mail to the sender and delete it from your computer. Click here to report this email as spam. AHLERS & COONEY P.C. CONFIDENTIALITY NOTICE: This email, and any attachments hereto, contains information which may be CONFIDENTIAL and/or ATTORNEY CLIENT PRIVILEGED. The information is intended to be for the use of the individual or entity named above. If you are not the intended recipient, please note that any unauthorized disclosure, copying, distribution or use of the information is prohibited. If you have received this electronic transmission in error, please return the e-mail to the sender and delete it from your computer. 2