Storm Water Utility

Over the past two years, city staff has been reviewing a storm water utility concept for the City of Indianola. A storm water utility is allowed by State Code to address storm water flow safely/efficiently and environmentally friendly. Storm water utilities also help reduce flooding in a community. Many Indianola homes and businesses experienced flooding during the July rains, for example.

During previous discussions with our elected officials, staff was authorized to solicit quotes from engineers to study Indianola's storm water system, provide a recommendation for repairs/improvements as well as a fee structure. Fees are charged to properties that empty storm water into the system similar to fees that are charged for water and sanitary sewer.

On December 3, 2008, elected officials authorized a proposal from Veenstra and Kimm Engineers (V&K was the low of 4 bids received) to provide the services as requested. Elected officials approved V&K's proposal on a 4-3 vote with the mayor breaking the tie. In accordance with their vote, the proposal will be delayed until May 1 of 2009 and another review will occur on April 20.

Below are excerpts from the memorandum I prepared for elected officials to help make their decision.

WHAT V&K’s PROPOSAL DOES:

· Provides the first step in reviewing the city’s storm water drainage system to identify needed improvements on a priority basis
· Provides cost estimates for system improvements
· Includes review of alternative storm water methods including porous concrete, detention systems, etc
· Assists with public awareness and storm water education
· Develops a draft storm water utility ordinance




WHAT V&K’s PROPOSAL DOES NOT DO:

· Will not create a utility. That will be considered by council in about 12 months
· Will not implement a fee structure. That will be considered by council in about 12 months
· Will not begin improvements/replacements/additions to the storm water system. Those will be proposed in 10-15 months.

Information/Clarification:

ROAD USE TAX FUNDS/PROPERTY TAXES:

· RUT funds are derived from gasoline taxes. Revenues have increased slightly while expenses have increased significantly
· Storm water expenses including day-to-day operations and capital expenses are paid by Road Use Tax (RUT) funds or property taxes
· RUT cash balance has been decreasing annually. Projected FY 08/09 balance is estimated at $152,700. FY 06/07’s balance was $265,800
· Efforts including staff reductions and using property taxes to pay for capital equipment have slowed the RUT cash balance decline and delayed use of property taxes for Street operations
· Property taxes will be the only revenue source available when RUT funds are no longer sufficient to pay for Street operations/maintenance
· Property taxes are paid by only 70% of the property in Indianola

STORM WATER UTILITY

· Funds are derived from all property based on amount of storm water placed into the environment from rooftops, parking lots, driveways, etc.
· Storm water fees are paid to remove rainwater in a safe, environmentally acceptable manner
· In addition to capital expenses for storm water main repair/replacement/additions, the SWU can also pay for day-to-day operations such as street sweeping (staff and equipment)

STORM WATER PROJECTS:

Staff is aware of the following storm water projects:

· Stephen Court culvert addition--$125,000
· South Buxton s/w main replacement--$70,000
· Moats Park s/w main replacement--$100,000
· Balloon Museum ditch repair--$40,000 to $200,000
· S/W main extending north from Orchard Avenue across Country Club (15th hole)--$45,000
· S/W main replacement from Howard/Clinton to Moats Park--$300,000

The above projects total about $850,000 and will require repair over the next 5-7 years. There are other storm water issues that we’ll address in the next several years that are not listed above. Note that W. Iowa and N. 9th culvert replacement costs totaled nearly $115,000 last year.

If $850,000 in bonds were issued at 4.5% over 10 years, the annual payment would be $107,500, costing a $200,000 home about $23 annually.

HOW STORM WATER REVENUE CAN BE USED:

Based on “very preliminary” estimates of $3/month/household, the SWU would generate about $215,000 annually that can pay for:

· Bond payments for existing s/w expenses equaling a 3 cent property tax reduction
· Bond payments for street replacement in 2011 equaling a 3 cent property tax savings
· Provide a revenue source to maintain s/w retention ponds/drainage areas on private property
· Day-to-day s/w operations currently funded by RUT
· $215,000 annually would decrease taxes (or keep them from increasing) by about 53 cents equaling $48 on a $200,000 home.

WHY A STORM WATER UTILITY

· Storm water expenses are going to occur! The question before mayor and council is how to pay for them?
· SWU creates a fair and equitable fee structure for all properties, not just taxable properties
· SWU will reduce property taxes now and in the future by paying for costs that property taxes would pay.
· Property taxes will be reduced (or not increased) to offset the monthly fee
· SWU revenues could be used to offset special assessment costs (for s/w mains)
· SWU revenue can pay for storm water expenses now paid by RUT thereby slowing the need for property tax support
· A complete storm water study has not been performed since the early 80’s. A SWU would provide a funding source for the study
· A SWU would provide a funding source to help maintain detention ponds/drainage ways on private property that are not currently maintained
· Recent storms created flooding issues citywide. SWU is a pro-active approach to help prevent flooding in homes/businesses
· SWU will compliment our I&I efforts—Not only will the SWU help remove rainwater efficiently thereby relieving some of our I&I problems, but it will also help remove rainwater that is moved out of the sanitary sewer system
· Six cities in the metro area already have SWU’s. Three more cities are reviewing SWU’s.

There are compelling reasons to establish a SWU. However, that is not the issue before mayor and council at this time. I am recommending the city hire V&K to study our system and give us information on the concept. The mayor and council will have more input and a final decision in about 12 months when a fee structure and ordinance are recommended.

There are many questions about a storm water utility and hopefully the above information answers some of them. However, please contact me to answer any other questions you may have.

West Highway 92

Several months ago council teamed with county officials and IDOT to form a committee whose charge is to gain acceptance for improving Highway 92 from Indianola to Interstate 35. This "formal" committee is a result of the city and county's efforts during the last 6-7 years to move this project forward. With the help of Congressman Tom Latham, about $3 million of federal assistance has been granted. About $400,000 of that amount has been spent on an environmental assessment and corridor study during the past year and a half.

At the committee's meeting on December 10, it was decided to recommend using the remaining federal allocations to improve Highway 92 from “R” Street thru R-63. Consequently, IDOT is preparing an agreement for the city and county to jointly administer the project. However, as we all know, government does not work extremely fast so it may still be a year or two until the project gets underway.

I will continue provide updates on Highway 92 in the next couple months.

Movie filmed in Indianola?

The city received a request today from filmmakers to intermittently (5 minute periods) close Hwy 92 from Hwy 65/69 to Howard on December 15. They were not too open about the movie but did indicate the star was actor Ray Liotta (gang leader in Wild Hogs). The movie apparently is about domestic violence and some of the shots will be filmed in the A&W Restaurant.

The city intends to cooperate with the filmmaker’s request and will have officers at Hwy 65/69, 1st Street and Howard to control traffic. Affected property owners will also be contacted as will the IDOT.

When asked “why Indianola”, the response was it’s hometown charm. However, it was recent State legislation providing significant tax incentives that brought them to Iowa.

Whatever the reason, we are hopeful Indianola will get some good publicity if and when the movie hits the screens.

BALLOON MUSEUM DITCH

The Federal Emergency Management Agency (FEMA) turned down the city’s request to fund the restoration of the ditch that is deteriorating badly just north of the Balloon Museum on Highway 65/69. FEMA’s representatives indicate that since the soil is “fill”, the condition is pre-existing and therefore not eligible. The city’s position is that fill or not, the heavy rains in July caused the bank to cave in. It has been getting worse ever since.

The city intends appeal FEMA’s decision and in the meantime, council (on December 1) will consider a $20,000 proposal from Vanderpool Const. to restore the ditch for the time being. If FEMA’s decision is reversed, the culvert may be extended west from Hwy 65/69 to remedy the problem permanently.

Coming Soon: The New Online Communication System

A new online communication system will be available on your City web-site Monday, November 24th to allow citizens to communicate with City staff 24 hours a day, 7 days a week. This system will allow service requests that will be routed automatically to the appropriate City department.

The system can be accessed at the City’s website which is www.cityofindianola.com. To submit a question, request for service or any other form of communication, simply left click the button or link that says “Make a Request”. You will be routed to a list of request topics which will help you find the appropriate request form. Next, select the appropriate topic and the list of request forms will appear. Once the correct request form is selected simply type in responses to the questions asked, or, enter information in the blank fields and click on the “continue” button at the bottom of the request form.

Finally, you will be given an opportunity to review and edit the information you entered before clicking on the “submit” button. Once the submit button is clicked the request immediately forwards to the department and the issue can be addressed in a timely manner.

Also, citizens will be able to follow up with their request by registering online and creating an account.

The benefit of the new system, is that citizens can communicate with city hall from their homes or work any time of day! Citizens do not have to drive anywhere or call to send a request and contacting the appropriate person to handle your request is done automatically.

Keep in mind, of course, our staff is always available to serve your needs in person at City Hall and the various City departments. This new online system just offers you an easier and more convenient way of contacting us.

Electronic Waste Facility

At their meeting on November 3, the city council approved a staff recommendation to use the Brush Facility (beginning April 2009)as an e-waste (tv's, monitors, computers, dvd's, printers, fax machines, video game systems, etc.) collection site for residential electronic waste. Project highlights include:

· City Staff will build a 10x10 building to store e-waste
· Building materials will be funded by the South Central Iowa Landfill
· The same hours as the brush facility will be used for e-waste
· A private hauler will remove e-waste on an as needed basis
· TV’s and monitors will have a disposal fee and other items will have no charge
· Residential use only (at least for the first year or two)

The concept stems from the successful e-waste event held last April and developed by Chris Longer. There is an obvious need for the program and offering disposal about 7 months (compared to 1 day) will be a significant benefit to residents. In addition, there is little cost since the building materials will be paid by the Landfill and facility hours will remain the same (as the Brush Facility).

Our hope is that residents will use the brush facility for another service with little or no charge. Electronic waste is not intended for landfill disposal due to potentially harmful elements. Look for more information in the months to come.

Multiple Sanitary Sewer Service Taps

With our Infiltration and Inflow Program (intended to remove storm water from the sanitary sewer system), we are finding multiple properties connected to the same sanitary sewer service. A sanitary sewer service is the pipe that carries sewage from a home to the public sewer main. Multiple taps occur when more than one home is connected to the same sanitary sewer service. Though once allowed, such connections are prohibited today because they can create problems in the following ways.

· Sewage from one or more homes can back up in another home
· When backups occur, it is very difficult to determine the source of sewage
· Sewer services are typically 4 or 6 inches in diameter and not feasible for cleaning as are 8-inch public sewer mains
· Services are usually on private property and can be difficult to access due to fences, shrubbery, driveways and even buildings

When city staff encounters multiple service taps, the affected property owners are notified and asked to correct the problem by separating the services. Sometimes this requires installing a public sewer to serve their homes. In such cases, the city has worked with property owners by hiring a contractor and spreading the cost to the homeowner over a ten-year period. Payments have even been placed on monthly utility bills to lessen the burden of cost.

With the I&I program moving into the more mature area of our community, it is likely city staff will find more of these multiple services. In some cases, property owners are thankful and relieved that their sewer backup recurring problems can be resolved.

If you have a question as to your service, feel free to contact the Sanitary Sewer Department at 961-9416 for assistance.