Jeff council approves FY25 budget, handles other varied business

‘Tis the season for governmental budgets, and the budget for the fiscal year that begins July 1 was at the top of the agenda for the Jefferson city council’s April 23 regular meeting.

At a public hearing on the proposed 2024-25 budget, Sarah Morlan presented information about revenue and expenses. The budget calls for a total levy of $14.88 (per $1,000 of taxable valuation), a decrease of 37 cents from the current year. She explained expenditures for the year, most of which had already been discussed and approved at previous council meetings.

In answering a question from a citizen about the cost to the city of removing dead ash trees, city administrator Scott Peterson said the city crew has saved taxpayers “hundreds of thousands of dollars” by taking down trees rather than having to hire an outside firm. The crew has removed 450 trees and still has 150 to do. “Even at $500 a tree, that’s hundreds of thousands of dollars. It’s fantastic that they’ve gotten that done for us,” he said.

The council approved the budget and certification of city taxes. The council then set a public hearing on a proposed budget amendment for the current year as Tuesday, May 28. The finance committee will provide more information about the budget amendments at the May 14 council meeting.

Tim Oswald of Piper Sandler presented bids from local and regional banks on $1.7 million in bonds the city will sell to pay for two sanitation trucks, recycling carts (for residential single-stream recycling picked up by an automated truck), and resurfacing E. Lincoln Way.

JP Morgan, Chase, and Capitol One submitted bits. The council awarded the bid to JP Morgan at an interest rate of 4.38 percent, pre-payable any time after June 1, 2030. Peterson explained the pre-payment option gives the city flexibility to pay off the bonds, perhaps through a refinancing option, should the city choose to in the future.

The council approved hiring OPN architects to do visioning and planning for a proposed expansion of the gym space at the Greene County Community Center. According to parks and recreation director Denny Hammen, “The bottom line is that we’re short of gyms here.”

The early discussion is to expand the gym by one half, most likely to the south. The space could be used for pickleball or indoor soccer.

OPN’s $31,840 fee will be paid for with funds from the Autenreith trust, funds that can be used only for the community center. Construction of the project would require additional fundraising.

The council approved adding another 200 days to the contract completion with Shank Constructors for the wastewater treatment plant. That moves the date of completion to June 30, 2025. The extension is needed due to delays receiving electrical equipment, city engineer Jim Leiding of Bolton & Menk said.

The contract extension also required an amendment to the professional services agreement with Bolton & Menk, adding another $120,000 to that contract.

The council approved the first reading of an amendment to the current recycling ordinance. The amendments call for each residence to be provided a 65-gallon recycling container; recycling carts for multi-family residences and commercial customers; and sets the additional fee for customers with excess recycling materials.

The council approved a resolution of support for a Workforce Housing Tax Credit application to the Iowa Economic Development Authority by Origin Homes LLC.

The company has projects in Carroll, Manning, and Gowrie. The company proposes constructing three single-family homes of about 1,200 square feet, with two-car garages and basements. Sites would be 504 and 508 N. Vine St and 600 W. Lincoln Way. Those lots are vacant; two are owned by the city and one will be city-owned soon. The city would sell them at $500 each.

Council member Harry Ahrenholtz said it was the Thriving Community designation that drew Origin Homes to Jefferson.

In answer to a question from council member Chad Sloan, city building officer Chad Stevens said the city has spent $30,000 on the property at 600 W. Lincoln Way including purchasing the property, asbestos abatement, and demolition. Similar expenses are expected for the property at 504 N. Vine St.

With the workforce housing designation, the maximum sale price for each home would be $298,000.

Council member Sloan voted against the resolution of support; the remaining four council members voted in favor of it.

The council appointed  Kyle DeMoss as interim water superintendent effective April effective April 26. He replaces Marty Murphy. DeMoss has worked for the water department for seven years and has the necessary licenses. His rate of pay will be $32.09/hour.

The council approved a settlement of $150,000 with former Jefferson police officer Jamie Brenner as negotiated by EMC Insurance. Brenner had made claims against the city of a series of incidents involving inappropriate behavior by a then-employee, now former employee.  

Brenner and her counsel (Roxanne Conlin) were awarded $150,000 and her counsel (Roxanne Conlin). Brenner is to be released from the unpaid balance of what she owned the city as reimbursement for her attendance at the Law Enforcement Academy and a hiring bonus (about $22,000).

The council approved hiring Noah Luther as a Jefferson patrol officer at an annual salary of $58,583. Luther is a 2014 graduate of Greene County High School.  He served in the U.S. Marine Corps and is now in the Iowa National Guard.

His hiring brings the department up to seven sworn officers, one short of full staff.

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