Storage Containers MVM & S. Sandstrom Ltrs
JUN-27-2005 MON 02:16 PM DUBUQUE AREA CHAMBER
FAX NO. 5635571591
P. 01
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BUSINESS ADVOCATf 'OR THI TRI-STATES
June 24,2005
The Honorable Tcrry Duggan and Members of the City Council
Attention: City Clerk
City Hall
50 West 13th Street
Dubuque, IA 5200 I
Dear Friends:
I am writing to request that the Dubuque Area Chamber of Commerce Or its designees be given
the opportunity to address the July 5 meeting of the Dubuque City Council. We would like to
discuss the City and business commWlity's efforts to reach an agreement on the regulation of
exterior storage containers. We would also request that folU' additional Chamber designees be
given the opportunity to address the Council on this particular topic.
Please contact Dan Cunningham at your earliest convenience to discuss this request. Dan can be
reached at 690-9205, or via email atDCunningham@DubuQ)leChamper.com.
Thank you for YOur attention to this matter.
Sincerely;
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Steward Sandstrom
President & CEO
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300 MAIN S'1'RIlET SUlTE 200 P.O. Box 70S DUBUQUl:, IA 52004-070$ (563)557-9200 (563)557-1591
E-MAIL: OffICE@DuBUQUECHAMBER.COM W:U~ SITE: WWW.DU8UQUIlCHAMBBll.COM
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MEMORANDUM
June 27,2005
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TO:
The Honorable Mayor and City Council Members
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FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Storage Containers
This issue of storage containers has been one of the more difficult issues I have had to
deal with as City Manager. I empathize with the businesses who want the flexibility in
their inventory and find the rental of storage containers as the easiest way to provide
that flexibility.
However, what I cannot ignore is the fact that these storage containers are not being
used in a safe manner and are creating a public safety hazard that will eventually cause
a tragedy where a citizen or citizens will be seriously injured or worse. In order to
attempt to create a safe situation, the City should either prohibit the use of containers or
establish a review and inspection program. The recent proliferation of these storage
containers throughout our community has created a situation where the City does not
have the appropriate regulations, adequate staffing or funding to create a safe
environment.
City staff has significantly compromised to recognize the needs of the businesses that
use the containers. Originally, the recommendation was to prohibit the use of storage
containers. The attorney for the storage container business has contended that the
City's concerns about storage containers are all about getting more money for the City.
However, the prohibition would have created no new income for the City because there
would have been no review and inspection process and no permit fees. Obviously, the
City's concern is safety.
In response to the needs of the businesses that use the containers, the City has agreed
to allow the use of storage containers. However, to provide a safe environment for the
public, there needs to be a review and inspection program. This program must have a
source of funding. There are two choices to pay for a review and inspection program.
The costs can either be recovered through property taxes or an administrative fee can
be created as a part of the storage container review and inspection program. In either
event, however, the costs must be recovered with continuing annual revenue because
the program will create a continuing annual expense.
I understand the concerns of the owner of the storage container rental business. Any
fee will suppress the amount he can charge for the containers and will reduce his
profits. However, I do not believe that this should be the overriding consideration as this
issue is considered.
An issue that City staff has discussed with me that I think deserves more research and
more discussion with Corporation Counsel Barry Lindahl is the idea of different zoning
districts having different restrictions on storage containers that correspond to different
levels of risk based on the use of the buildings in such districts.
The original deadline draft of a compromise storage container ordinance of July, 2005 is
probably not realistic. More time for research and to consider other options would be
available if this issue could be considered through the FY 2007 budget process, which
begins in January, 2006.
I respectfully request that the Mayor and City Council defer further action on the issue
until I can present a report at the December 5, 2005 City Council meeting.
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Michael C. Van Milllgen
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MCVM/ksf
cc: Steward Sandstron, President, Dubuque Area Chamber of Commerce
Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager