city of carlisle regular city council meeting · pdf filepage 1 of 3 city of carlisle regular...

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CITY OF CARLISLE REGULAR CITY COUNCIL MEETING AGENDA Monday, 10 July 2017; 6:30 P.M Carlisle City Hall Council Chamber, 195 N. 1st St. The following agenda items will be considered:

CALL MEETING TO ORDER

PLEDGE OF ALLEGIANCE

YEARS OF SERVICE AWARDS

CONSENT AGENDA & POSSIBLE ACTION (Council may pull any item on consent agenda for separate action)

− Approve Regular City Council Minutes for 26 June 2017 − Approve Setting Public Hearing for Sale of Property at 30 Market Street for Monday, July 24,

2017 at 6:30 PM − Approve RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO

THE POLK COUNTY EMERGENCY MANAGEMENT COMMISSION − Approve RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO

THE WARREN COUNTY EMERGENCY MANAGEMENT COMMISSION − Approve RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO

THE WARREN COUNTY E911 SERVICE BOARD − Approve RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO

THE POLK COUNTY E911 SERVICE BOARD − Approve RESOLUTION TO APPROVE TAX ABATEMENT FOR CONSTRUCTION OF A

NEW RESIDENTIAL DWELLING (Aaron and Caitlin Kissinger, 1120 Juniper) − Approve RESOLUTION TO APPROVE TAX ABATEMENT FOR CONSTRUCTION OF A

NEW RESIDENTIAL DWELLING (David Sprouse, 1200 Blue Bonnet Drive) − Receive and File MEAN Audit for FY2017 − Receive and File MEAN Financial Statements for April 2017

APPROVAL OF BILLS PAYABLE, CHANGE ORDERS AND PAY REQUESTS

− Approval of Bills in Amount of $91,125.50

CITIZEN PARTICIPATION (Please approach podium and state name and address. Comments limited to 3 minutes.)

OLD AND NEW BUSINESS & POSSIBLE ACTION

− Consider Approval of RESOLUTION AUTHORIZING THE APPROVAL AND EXECUTION OF AND DELIVERY OF THE SUBSTITUTED AND RESTATED 28E AGREEMENT OF THE DES MOINES REGIONAL TRANSIT AUTHORITY

− Consider Approval of RESOLUTION SELECTING PERSONS TO SERVE AS COMMISSIONER AND ALTERNATE FOR THE DES MOINES REGIONAL TRANSIT AUTHORITY (DART)

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− Consider Approval of Policy For Private Water Service Line Payback In Connection With NW Water Main Project

− Consider Approval of Resolution to Accept Trail Easement from Danamere Farms, Inc.

− Consider Approval of RESOLUTION APPROVING AGREEMENT WITH IOWA DEPARTMENT OF NATURAL RESOURCES TO DECONSTRUCT BUILDING AT 25 SCHOOL STREET

− Consider Approval of RESOLUTION APPROVING CERTAIN TRANSFERS OF FUNDS

− Consider Approval of RESOLUTION APPROVING AGREEMENT REGARDING THE USE OF THE CITY OF CARLISLE COMMUNITY HALL BY THE WARREN COUNTY NUTRITIONAL PROGRAM

− Consider Third Reading of AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF CARLISLE, IOWA BY AMENDING PROVISIONS PERTAINING TO ANIMAL PROTECTION AND CONTROL

− Discussion and Review of Fireworks Ordinance DEPARTMENT REPORTS

− Police-Written report

− Consider Approval of Mayor’s Appointment of Lt. Matt Koch as Interim Police Chief at Annual Salary of $76,027.

− Consider Approval of Hire of Shelly Nelson as Part-time Records Clerk at Rate of $17.41 per hour Retroactively to July 3, 2017

− Consider Declaring 2010 Ford Explorer Surplus Property and Transfer to Parks Department

− Fire/Rescue-

− Electric-Written Report

− Library-

− Parks and Recreation-Written Report

− Public Works

− Discussion and Possible Action Regarding School Street Engineering Proposals and Setting Special Workshop Date and Time to Review

− City Hall/Finance/City Administrator

MAYOR AND COUNCIL REPORTS

CITY ATTORNEY REPORT

UPCOMING MEETINGS AND EVENTS

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INFORMATION

− Report on Economic Impact of Arts in Des Moines Region

− MPO Press Release Concerning Water Trails Engineering Study

ADJOURNMENT

** PLEASE NOTE THAT THIS AGENDA MAY CHANGE UP TO 24 HOURS PRIOR TO THE MEETING **

“This institution is an equal opportunity provider and employer.” If you wish to file a Civil Rights program complaint of discrimination, complete the USDA Program Discrimination Complaint Form, found online at http://www.ascr.usda.gov/complaint_filing_cust.html, or at any USDA office, or call (866) 632-9992 to request the form. You may also write a letter containing all of the information requested in the form. Send your completed complaint form or letter to us by mail at U.S. Department of Agriculture, Director, Office of Adjudication, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410, by fax (202) 690-7442 or email at [email protected].”

Memo To: Mayor and City Council

From: Andrew J. Lent, City Administrator

Date: Thursday, 6 July 2017

Re: City Council Meeting, Monday, 10 July 2017

If you have any questions concerning an item on the agenda, please call me at 319-521-3405.

Old/New Business:

− Consider Approval of RESOLUTION AUTHORIZING THE APPROVAL AND EXECUTION OF AND DELIVERY OF THE SUBSTITUTED AND RESTATED 28E AGREEMENT OF THE DES MOINES REGIONAL TRANSIT AUTHORITY: Elizabeth Presutti, DART Executive Director will be present to speak on the governance changes to the 28E agreement for DART. The two main changes are to allow each community to have a seat on the commission (currently there are regional representatives for smaller communities) and weighted votes for certain items, like the budget, which gives the City of Des Moines more voting leverage as the largest member of the group.

− Consider Approval of RESOLUTION SELECTING PERSONS TO SERVE AS COMMISSIONER AND ALTERNATE FOR THE DES MOINES REGIONAL TRANSIT AUTHORITY (DART): This resolution appoints Mayor Randleman as the primary DART representative and Andrew Lent as alternate for the City’s representation on the DART Commission.

− Policy for private water service line payback in connection with NW water main project: The decision of the Council on the NW Water Main project was to allow for the including of private service lines from the new main to the curb stop of each property. There will be a five-year window for property owners to hook onto the system. The amount of money for property owners to pay back for this work will increase twenty percent each year for five years until the owner decides to hook onto the system. Since Council may decide to do something different in future water main projects, this arrangement is adopted as a policy as opposed to an ordinance.

− Accept Trail Easement from Danamere Farms, Inc. : This resolution formally accepts the easement given by the Fleming family for the Carlisle Nature Trail.

− Consider Approval of RESOLUTION APPROVING AGREEMENT WITH IOWA DEPARTMENT OF NATURAL RESOURCES TO DECONSTRUCT BUILDING AT 25 SCHOOL STREET: This is the agreement between the IDNR and the City to deconstruct the building at 25 School Street and receive assistance funding for the deconstruction. The minimum amount to be received would be $3,346.25 up to $6,692.50 as more material is recycled and diverted from the landfill.

− Consider Approval of RESOLUTION APPROVING CERTAIN TRANSFERS OF FUNDS: These are the budgeted end-of-year transfers for FY2017.

− Consider Approval of RESOLUTION APPROVING AGREEMENT REGARDING THE USE OF THE CITY OF CARLISLE COMMUNITY HALL BY THE WARREN COUNTY NUTRITIONAL PROGRAM: This is the new two-year contract for the congregate meals provided by the Warren County Nutritional program with the rent paid by Warren County increasing $1 per day.

− Consider Third Reading of AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF CARLISLE, IOWA BY AMENDING PROVISIONS PERTAINING TO ANIMAL PROTECTION AND CONTROL: This is the third reading of the ordinance removing the maximum allowed number or pets and clarifying that the only allowed livestock within city limits is 3 horses on a minimum of 10 acres.

− Discussion and Review of Fireworks Ordinance: Council Member Hammerand asked to have a discussion on how the first Fourth of July proceeded under the new fireworks ordinance.

DEPARTMENT REPORTS

− Police-

− Fire/Rescue- − Electric-

− Library-

− Parks and Recreation- − Public Works: The subcommittee reviewing the RFQs for the School Street engineering would like to

make their recommendation to the Council to hold a special workshop on Monday, August 7, 2017 at 6:30 PM to hear from their top two picks: Snyder & Associates and McClure Engineering.

− City Hall/Finance/City Administrator

CITY OF CARLISLE

REGULAR CITY COUNCIL MEETING MINUTES

Monday, 26 June, 2017; 6:30 P.M.

Carlisle City Hall Council Chamber

195 North First Street, Carlisle, Iowa

Elected Officials present were Mayor Ruth Randleman and Council Members Rob Van Ryswyk, Drew Merrifield, Dan McCulloch and Eric Goodhue constituting a quorum. Absent was Doug Hammerand. Also present were City Attorney Robert Stuyvesant, City Administrator Andy Lent, City Clerk Martha Becker, Public Works Superintendent Steve O’Braza, Parks and Rec Superintendent Ronda Frost and Police Chief Eric Spring. Library Director Stacy Goodhue and Electric Superintendent Don Miller were absent. Mayor Randleman called the meeting to order at 6:30 P.M.

The Pledge of Allegiance was recited.

CONSENT ITEMS: Motion by Goodhue, seconded by McCulloch to APPROVE THE FOLLOWING CONSENT ITEMS:

Goodhue asked if the special events were going to be on Veterans Memorial Drive only and Lent replied that they would be.

-Approve Regular City Council Minutes for 12 June 2017 − Receive and File Year-to-Date Treasurer’s Report − Receive and File Planning and Zoning Commission Minutes for 19 June 2017 − Approve Hire of Max Kompsie at Aquatic Center Concessions at $7.25 per hour Retroactive to 8 May 2017 − Approve Resolution 2017062601, A RESOLUTION CERTIFYING POPULATION OF ANNEXED TERRITORY − Approve Special Event Request for Friends of Carlisle Parks 10k Run on Carlisle Nature Trail, 5 August 2017 − Set Public Hearing for Monday, July 24, 2017 at 6:30 PM for Rezoning of 30 Market Street from C-3. Central Business District to M-1, Light Industrial District. − Set Public Hearing for Monday, July 24, 2017 at 6:30 PM for Amendment of Carlisle Zoning Ordinance Pertaining to Rodeo Grounds. − Approve Special Event Application for Heather Eschelman, 1255 Veterans Memorial Drive, July 8, 2017 from 4:00 PM to 11:00 PM.

Motion carried unanimously on a roll call vote.

APPROVAL OF BILLS, CHANGE ORDERS AND PAY REQUESTS: Motion by Goodhue, seconded by VanRyswyk to approve bills in the amount of $180,915.51. Goodhue asked about the costs of sheltering an animal through our current contract and that it seemed high. Other options would include taking animals to the ARL or having a City shelter, but both options would likely cost more. He also asked about the credit card policy for Parks and Rec and if there was something that could change so Ronda Frost does not have to pay out of pocket for concession supplies and then wait for reimbursement. Lent replied that she can use his credit card in addition to hers to help pay for items. He also suggested increasing her card amount in the summer. Frost said it is hard to purchase concession items ahead of time due to a lack of storage space. Motion carried unanimously on a roll call vote. Motion by Goodhue, seconded VanRyswyk by to approve pre-authorized disbursements for 23 May 2017 through 23 June 2017. Motion carried unanimously on a roll call vote. CITIZEN PARTICIPATION: None

OLD BUSINESS and NEW BUSINESS and POSSIBLE ACTION:

Council discussed the parking of vehicles at 3 Grant Street, 3 School Street and 3 ½ School Street by S & B Auto. The increased parking has been limiting access to certain properties. Included in the council packet was a recent letter that was sent to S & B Auto regarding the parking as well as minutes from 2006 reflecting that cars were only to be parked in front of S & B Auto on Grant Street. Goodhue asked if anyone has complained about limited access to their property and Lent replied that he hasn’t heard anything since the letter was sent. VanRyswyk replied that James Oil could not get back to their tanks on Saturday because a transport truck was blocking the way and no one from S & B Auto was there to move it. Belkis Sinanovic, owner of S & B Auto commented that there were several pot holes on his street and would like those fixed. O’Braza said they will make a better effort to fix them. Elma Sinanovic, owner of S & B Auto told council that they have permission from other property owners to park on both the east and west side of the property. Mayor noted that the issue at hand is the access to other properties due to the amount of cars parked in the area. Mayor asked if they needed the extra space and Sinanovic replied they do in order to expand the business. Lent suggested that the topic be tabled so all properties owners could talk about the situation. Motion by Goodhue, seconded McCulloch to table the parking of vehicles at 3 Grant Street, 3 School Street and 3 ½ School Street. Motion carried unanimously on roll call vote. Council discussed the approval of construction plans for Plat 6, Danamere Farms which calls for 40 new lots. The Planning and Zoning Committee voted to recommend approval of the construction plans at their meeting on June 9th. Fox Engineering asked that two items be addressed. One was for some of the lots to drain sump pumps into the storm sewer rather than across the trail and the other item was an updated landscape plan. Brad Brockman from McClure Engineering and Joe Pietruszynsk from Hubbell Realty presented the changes to council. Brockman explained that a detention basin will be put into the southwest section of the development to catch the water before discharge to slow down the flow as well as putting a grass strip along the trail. Lent asked about

timeframe of when they would begin the construction of the basin because of an upcoming 10k run that will take place on the trail. Pietruszynsk suggested to re-route the run to avoid the construction. Mayor asked about the landscape plan and Pietruszynsk commented that the plantings will be consistent in type to avoid separate care for various types of prairie grasses. Jon Gade from Fox Engineering spoke to council about the discussion of the sump pumps and landscaping that was brought up in the Planning and Zoning meeting. Gade also mentioned that the timing of the trail removal for the basin construction will be noted. Gade spoke to council about emergency vehicle access and that the trail will be 10 foot wide and paved for ingress and egress of emergency vehicles. Merrifield asked if trail would handle EM response vehicles. Gade said it should but if there are concerns about it Council should take a look at that on the plan. McCulloch asked if the issue of water pooling on Juniper had been addressed. McClure Engineering shot the variance to the areas and they are complacent. Pietruszynsk noted that there was a silt sock that was clogged which caused some of the backup. Motion by Goodhue, seconded by Merrifield to approve construction plans for Plat 6, Danamere Farms Subject to Fox Engineering review letter of June 15, 2017. Motion carried unanimously on roll call vote. Lent spoke to council regarding the meeting with Hubbell Realty concerning the proposed agreement for electrical service installation in Plat 6, Danamere Farms. The agreement reached is to have Hubbell pay for $23,000.00 towards labor cost and the city will pay around $40,000.00 for the cost of material. The city will receive a credit of around $39,600.00 from MEAN which will help pay for the cost of materials. Stuyvesant will create the agreement for the next meeting. At 7:10 P.M. Mayor Randleman opened the public hearing regarding the rezoning of 335 Garfield Street from M-1, Limited Industrial District to M-2, General Industrial District. Lent noted that there were no written or oral comments submitted to city hall. Martin Grading is working to install a three fuel tanks at 335 Garfield. M1 areas would require that the tanks be buried under ground. By rezoning to M2, they will be able to have the tanks above ground. McCulloch asked what was to be stored in the tanks and Lent replied gas and diesel. Motion by Goodhue, Seconded by VanRyswyk to close the public hearing at 7:11 P.M. Motion carried unanimously on a roll call vote. Motion by Goodhue, Seconded by VanRyswyk to consider the first reading and waive second and third reading of Ordinance 723, AN ORDINANCE AMENDING THE ZONING ORDINANCE OF THE CITY OF CARLISLE, IOWA 2014 (335 Garfield Street Re Zoning). Motion carried unanimously on roll call vote. At 7:12 Mayor Randleman opened the public hearing regarding the sale of fireworks as a special use permit in C-2 Highway commercial Districts. Lent noted that there were no written or oral comments submitted to city hall. Council asked about pending lawsuits that were in the news and if that would happen here. Lent replied that those lawsuits were subject to people being restricted to non-retail areas where they can sell fireworks. The proposed ordinance was to allow sale of fireworks in C-2 Highway Commercial Districts.

Motion by Goodhue, Seconded by McCulloch to close the public hearing at 7:15 P.M. Motion carried unanimously on a roll call vote. Motion by Goodhue, Seconded by McCulloch to consider the first reading and waive second and third reading of Ordinance 724, AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF CARLISLE, IOWA BY AMENDING PROVISIONS PERTAINING TO SEPCIAL USE-FIREWORKS SALES. Motion carried unanimously on roll call vote. Motion by Goodhue, Seconded by VanRyswyk to approve the recommendation on the Plat of Survey for Gerald and Karen Randleman, PT of Parcel A, E ½ Section 2, T77N, R23W, Warren County, Iowa (within 2-mile jurisdiction area for City of Carlisle). Motion carried unanimously on roll call vote. Council discussed the acceptance of easements for the 5th Street Culvert project. Goodhue asked why there was a cost different between easements for the Doss’s and Adolf’s. Justin Miller from McClure Engineering stated that the Doss’s were hesitant about the easement and paid to have an attorney look at the easement agreement and the city is reimbursing them for that cost. Mayor asked if it was normal to have such different discrepancies between property owners. Jeff Schug from McClure engineering noted that this is normal and something they see. McCulloch asked Stuyvesant about abstaining from the vote due to personal dealings with one of the property owners. Stuyvesant said it was not necessary. Motion by VanRyswyk, Seconded by Goodhue to approve Resolution 2017062602, A RESOLUTION ACCEPTING EASEMENTS FOR THE 5TH STREET CULVERT PROJECT FOR THE CITY OF CARLISLE, IOWA AND APPROVING THE SETTLEMENT AGREEMENT RELATED TO SAID PROJECT. Ayes: VanRyswyk, McCulloch, Goodhue. Nays: Merrifield. Motion Carried. Items for $720,000 Water Revenue Capital Loan Notes, Series 2017B: Motion by Goodhue, seconded by VanRyswyk to approve Resolution 2017062603, A RESOLUTION APPOINTING BANKERS TRUST COMPANY OF DES MOINES, IOWA, TO SERVE AS PAYING AGENT, NOTE REGISTRAR, AND TRANSFER AGENT, APPROVING THE PAYING AGENT AND NOTE REISTRAR AND TRANFER AGENT AGREEMENT AND AUTHORIZING THE EXECTION OF THE AGREEMENT. Motion carried unanimously on roll call vote. Motion by Goodhue, seconded by Merrifield to approve the Approval of Tax Exemption Certificate. Motion carried unanimously on roll call vote. Motion by Goodhue, seconded by VanRyswyk to approve Resolution 2017062604, A RESOLUTION APPROVNG AND AUTHORIZING A FORM OF LOAN AGREEMENT AND AUTHORIZING AND PROVIDING FOR THE ISSUANCE AND SECURING THE PAYMENT OF $720,000 WATER REVENUE CAPITAL LOAN NOTES, SERIES 2017B, OF THE CITY OF CARLISLE, STATE OF IOWA, UNDER THE PROVISIONS OF THE CITY CODE OF IOWA AND PROVIDING FOR A METHOD OF PAYMENT OF THE NOTES. Motion carried unanimously on roll call vote.

Mayor spoke with Council about the sidewalk committee and the MPO. Lent explained that he would like to set up a workshop with Council to speak about the proposed changes to the Sidewalk Ordinance. Lent stated that the city will pay for the handicap ramps but the citizen is responsible the sidewalk repair itself. If the property owner is assessed for sidewalk repairs the money will come out of the city’s pocket until assessments have been received by the county. Motion by Goodhue, seconded by McCulloch to set the sidewalk discussion workshop for July 17th at 6:00 pm in the council chambers at City Hall. Motion carried unanimously on a roll call vote. Motion by Goodhue, seconded by Merrifield to Remove from Table an Ordinance Amending Provisions Pertaining to Animal Protection and Control. Motion carried unanimously on roll call vote. Council Member Hammerand was contacted via phone by Lent at 7:44 pm to participate in the meeting. Motion by McCulloch, seconded by VanRyswyk to consider the second reading and waive the 3rd reading of AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF CARLISLE, IOWA BY AMENDING PROVISIONS PERTAINING TO ANIMAL PROTECTION AND CONTROL. Ayes: VanRyswyk, McCulloch and Hammerand. Nays: Goodhue and Merrifield. Motion to waive the 3rd reading did not pass. Motion by McCulloch, seconded by VanRyswyk to consider the second reading and not waive the 3rd reading of AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF CARLISLE, IOWA BY AMENDING PROVISIONS PERTAINING TO ANIMAL PROTECTION AND CONTROL. Ayes: VanRyswyk, McCulloch and Hammerand. Nays: Goodhue and Merrifield. Motion carried. DEPARTMENT REPORTS − Police-Written Report: Motion by Goodhue to accept Shelly Nelson’s resignation as Police Clerk/Records Specialist, seconded by Van Ryswyk. Motion carried unanimously on roll call vote. − Fire/Rescue-Lent spoke to council about the Motorola Radio lease-to-own agreement. Council can expect to see proceedings for the purchase and that it may take more time than originally thought due to the fact that the radios will have to be financed. The open house went well and there was television coverage from Channel 13. Goodhue asked about the financing of the radios and asked why we needed to go through Ahlers and Cooney. Lent replied that it is best for Ahlers to take us through the appropriate steps because of the type of financing that is involved. − Electric- No report − Library- No report. − Parks and Recreation-Written Report and 2017 Pool Inspection Report. Frost expressed that she was pleased with the 2017 pool inspection. She noted that Mary Grace Wachal put forth a lot of effort to help make the inspection a success. The two items

that needed addressed on the inspection were separate soap dispensers for handicap use in the stalls and an action plan for chemical spills. Goodhue commended Frost on a job well done for the inspection. Frost asked that there be increased Police staff on the 4th of July after 7 pm at north park. -Public Works-O’Braza let council know that they roughed in the in parking lot at the nature trail. Merrifield asked if they used the full amount of rock and O’Braza replied no. He also noted that they would not be using the barrier fabric under the rock as it becomes a mess if caught by the snow plow. -City Hall/Finance/City Administrator- Lent informed council that he was working on a policy for the private water service lines.. Martha Becker and Shalee Crispen will be attending Clerks School the 3rd and 4th week of July. The cost of the school will be paid for by grants that were awarded to them. O’Braza noted that he spoke with homeowners regarding the water line extension. Goodhue replied that he spoke with a homeowner as well and would like to see more communication to residents about upcoming projects. Lent noted that he would work to provide more communication, although a couple of flyers and workshops had previously been provided on this particular project.

MAYOR AND COUNCIL REPORTS- Merrifield mentioned that the Wind2Rail operation must be running smoothly as he has not received any phone calls about it. Goodhue wished everyone a safe and happy 4th of July. Mayor encouraged the council to take a survey available by MPO. She also noted that BRAVO has a report that council should read. Mayor touched on the Federal Highway Administration and that may approve designating the bypass as an interstate. CITY ATTORNEY REPORT-No report. UPCOMING MEETINGS AND EVENTS – Nothing. INFORMATION

− Lent updated council on the CurbIt! Recycling rate. Rate will increase by .08 cents. Good and Welfare: McCulloch expressed his appreciation to Frost for her work through Parks and Rec. Mayor gave a pre-thank you to the 4th of July committees and to Hammerand for the upcoming race. Merrifield thanked Frost for her volunteer time on the 4th of July committee. Motion by Merrifield, seconded by Good to enter into closed session at 8:10 P.M in accordance with Code of Iowa Section 21.5 (i.) To evaluate the professional competency of an individual whose appointment, hiring, performance, or discharge is being considered when necessary to prevent needless and irreparable injury to that individual’s reputation and that individual requests a closed session. Hammerand was present via phone. Council received a written request by Spring to enter into closed session. Motion by VanRyswyk, seconded by Goodhue to enter into open session at 8:27 P.M.

Motion carried unanimously. Mayor Randleman called the meeting back to order at 8:27 and asked for any action. Motion by Merrifield, seconded by Hammerand to present a general release to Spring pending his opportunity to review the agreement and that Spring’s separation date will be June 26th, 2017. Motion carried unanimously on a roll call vote. ADJOURNMENT: Motion by Goodhue, second by VanRyswyk to adjourn at 8:33 P.M. Motion carried unanimously on a roll call vote.

________________________________ Ruth Randleman, Mayor

________ ___ Martha Becker, City Clerk

NOTICE

TO THE CITIZENS OF CARLISLE, WARREN COUNTY, IOWA: Notice is hereby given that on the 24th day of July 2017, at 6:30 o’clock p.m., a public hearing

will be held before the City Council of Carlisle, Iowa, in the Council Chambers of City Hall of Carlisle,

Iowa, with reference to a Resolution Proposing Disposal of Interest in Real Property by Sale which is

described as follows:

Lots One (1) and Two (2), Block “P”, Original Town Plat, to the Town of Carlisle, Iowa.

Locally known as: 30 Market St, Carlisle, Iowa 50047

You are notified that with reference to the foregoing real property, the Carlisle City Council by

Resolution dated the 10th day of July 2017, it was proposed that said property be sold to ICL Properties,

LLC for the sum of twenty-five thousand dollars ($25,000.00), without abstract, by the Council, pursuant

to an Offer to Buy received from ICL Properties, LLC.

This Notice is given in accordance with the requirements of Sections 364.7 and 362.3 of the 2016

Code of Iowa and amendments thereto.

Ruth Randleman, MAYOR ATTEST: Martha Becker, CITY CLERK

CITY OF CARLISLE RESOLUTION

RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO THE POLK

COUNTY EMERGENCY MANAGEMENT COMMISSION

Whereas, the county boards of supervisors and city councils in each county shall cooperate with the Iowa Homeland Security and Emergency Management Department to establish a local emergency management commission to carry out the provisions Iowa Code Chapter 29C; and Whereas, the commission shall be composed of a member of the board of supervisors, the sheriff, and the mayor from each city within the county; and

Whereas, a commission member may designate an alternate to represent the designated entity; and Whereas, for any activity related to approval or amendment of the Commission’s budget as addressed in section 29C.17, subsection 2, or chapter 24 of the Code of Iowa, participation shall be by a commission member or a designated alternate that is an elected official from the same designated entity; and Whereas, the commission members shall be the operational liaisons between their jurisdiction and the commission; and Whereas, the commission shall meet regularly to determine the mission of its agency and program and provide direction for the delivery of the emergency management services of planning, administration, coordination, training, and support for local governments and their departments; and Whereas, the commission shall coordinate emergency services in the event of a disaster;

Now, Therefore, Be It Resolved that Mayor Ruth Randleman be appointed as the Emergency Management Commission Primary Elected Member and Eric Goodhue as Alternate Elected Member; and Be it Further Resolved that Interim Police Chief Matt Koch and Fire Chief Cory Glover be appointed as an Alternate Appointed Members; and Be It Further Resolved that the Member or Alternate Member(s) attend the Commission meetings on behalf of City of Carlisle, Iowa.

PASSED AND APPROVED this 10th day of July, 2017. Chief Elected Official Attest Date Date


RESOLUTION TO APPOINT A MEMBER AND ALTERNATE MEMBER(S) TO THE

WARREN COUNTY EMERGENCY MANAGEMENT COMMISSION

Whereas, the county boards of supervisors and city councils in each county shall cooperate with the Iowa Homeland Security and Emergency Management Department to establish a local emergency management commission to carry out the provisions Iowa Code Chapter 29C; and Whereas, the commission shall be composed of a member of the board of supervisors, the sheriff, and the mayor from each city within the county; and

Whereas, a commission member may designate an alternate to represent the designated entity; and Whereas, for any activity related to approval or amendment of the Commission’s budget as addressed in section 29C.17, subsection 2, or chapter 24 of the Code of Iowa, participation shall be by a commission member or a designated alternate that is an elected official from the same designated entity; and Whereas, the commission members shall be the operational liaisons between their jurisdiction and the commission; and Whereas, the commission shall meet regularly to determine the mission of its agency and program and provide direction for the delivery of the emergency management services of planning, administration, coordination, training, and support for local governments and their departments; and Whereas, the commission shall coordinate emergency services in the event of a disaster;

Now, Therefore, Be It Resolved that Mayor Ruth Randleman be appointed as the Emergency Management Commission Primary Elected Member and Eric Goodhue as Alternate Elected Member; and Be it Further Resolved that Interim Police Chief Matt Koch and Fire Chief Cory Glover be appointed as an Alternate Appointed Members; and Be It Further Resolved that the Member or Alternate Member(s) attend the Commission meetings on behalf of City of Carlisle, Iowa.

PASSED AND APPROVED this 10th day of July, 2017. Chief Elected Official Attest Date Date



WARREN COUNTY E911 SERVICE BOARD

Whereas, the Warren County Joint Enhanced 911 Service Board enables the orderly development, installation, and operation of enhanced 911 emergency telephone communications systems and other emergency 911 notification devices; and Whereas, the Warren County Board of Supervisors shall maintain a Joint E911 Service Board; and Whereas, each political subdivision having a public safety agency serving territory within

the county is entitled to voting membership on the Joint E911 Service Board; and Whereas, the Joint E911 Service Board shall annually submit a listing of members, to include the political subdivision they represent; and Whereas, the board members shall be the liaison between their jurisdiction and the board.

Now, Therefore, Be It Resolved that Interim Police Chief Matt Koch be appointed as the primary member for the City of Carlisle to the Warren County E911 Service Board ; and Be it Further Resolved that Fire Chief Cory Glover be appointed as an alternate member for the City of Carlisle to the Warren County E911 Service Board; and

Be It Further Resolved that the Member or Alternate Member(s) attend the Board meetings on behalf of the City of Carlisle. Be It Further Resolved that if neither Chief Koch or Chief Glover can attend as a representative of the City of Carlisle, then either the Carlisle City Administrator or Mayor may represent the City if Carlisle. PASSED AND APPROVED this 10th day of April, 2017. Chief Elected Official Attest

Date Date



POLK COUNTY E911 SERVICE BOARD

Whereas, the Polk County Joint Enhanced 911 Service Board enables the orderly development, installation, and operation of enhanced 911 emergency telephone communications systems and other emergency 911 notification devices; and Whereas, the Polk County Board of Supervisors shall maintain a Joint E911 Service Board; and Whereas, each political subdivision having a public safety agency serving territory within

the county is entitled to voting membership on the Joint E911 Service Board; and Whereas, the Joint E911 Service Board shall annually submit a listing of members, to include the political subdivision they represent; and Whereas, the board members shall be the liaison between their jurisdiction and the board. Now, Therefore, Be It Resolved that Interim Police Chief Matt Koch be appointed as the primary member for the City of Carlisle to the Polk County E911 Service Board ; and Be it Further Resolved that Fire Chief Cory Glover be appointed as an alternate member for the City of Carlisle to the Polk County E911 Service Board; and Be It Further Resolved that the Member or Alternate Member(s) attend the Board meetings on behalf of the City of Carlisle. Be It Further Resolved that if neither Interim Chief Koch or Chief Glover can attend as a representative of the City of Carlisle, then either the Carlisle City Administrator or Mayor may represent the City if Carlisle. PASSED AND APPROVED this 10th day of July, 2017. Chief Elected Official Attest

Date Date

city1

Typewriter

New Home

city1

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6/27/2017

city1

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$289,900

Municipal Energy Agency of Nebraska

Independent Auditor’s Report and Financial Statements

March 31, 2017 and 2016

Municipal Energy Agency of Nebraska March 31, 2017 and 2016

Contents

Independent Auditor’s Report ............................................................................................... 1

Management’s Discussion and Analysis ............................................................................. 3

Financial Statements

Balance Sheets .................................................................................................................................. 11

Statements of Revenues, Expenses and Changes in Net Position .................................................... 12

Statements of Cash Flows ................................................................................................................ 13

Notes to Financial Statements .......................................................................................................... 15

Independent Auditor’s Report Board of Directors Municipal Energy Agency of Nebraska Lincoln, Nebraska We have audited the accompanying financial statements of Municipal Energy Agency of Nebraska as of and for the years ended March 31, 2017 and 2016, and the related notes to the financial statements, which collectively comprise Municipal Energy Agency of Nebraska’s basic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

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Opinion

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Municipal Energy Agency of Nebraska as of March 31, 2017 and 2016, and the changes in its financial position and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.

Other Matter

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management's discussion and analysis listed in the table of contents be presented to supplement the basic financial statements. Such information, although not part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Lincoln, Nebraska June 30, 2017

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MANAGEMENT’S DISCUSSION AND ANALYSIS The discussion and analysis on the following pages summarizes the financial highlights and focuses on factors that had a material effect on the financial condition of Municipal Energy Agency of Nebraska (MEAN) and the results of operations for the years ended March 31, 2017, 2016 and 2015. This discussion should be read in conjunction with the accompanying financial highlights, the basic financial statements, and notes to the financial statements.

Summary of the Financial Statements

The financial statements, related notes to the financial statements and management’s discussion and analysis provide information about MEAN’s financial position and activities.

Management’s Discussion and Analysis – provides an objective and easily readable analysis of the financial activities of MEAN based on currently known facts, decisions or conditions.

Balance Sheets – provide a summary of the assets, deferred outflows of resources, liabilities, deferred inflows of resources and net position.

Statements of Revenues, Expenses and Changes in Net Position – present the operating results of MEAN into various categories of operating revenues and expenses, and non-operating revenues and expenses.

Statements of Cash Flows – report the cash provided by and used for operating activities, as well as other cash sources such as investment income and cash payments for repayment of bonds and capital additions.

Notes to the Financial Statements – provide additional disclosures and information that is essential to a full understanding of the data provided in the statements.

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Financial Analysis

The following comparative condensed financial information summarizes MEAN’s financial position and operating results for the years ended March 31, 2017, 2016 and 2015.

Condensed Balance Sheets and Financial Highlights

From 2016 From 20152017 2016 2015 to 2017 to 2016

Assets and Deferred Outflows of Resources

Current assets 64,946,153$ 62,257,796$ 57,823,944$ 2,688,357$ 4,433,852$ Restricted and long-term

investments 21,949,343 22,922,995 21,721,600 (973,652) 1,201,395 Capital assets and

productive capacity 126,824,782 133,147,608 141,570,938 (6,322,826) (8,423,330) Other noncurrent assets 44,110,921 46,154,721 45,591,875 (2,043,800) 562,846 Deferred outflows of resources 9,517,558 2,703,942 3,594,303 6,813,616 (890,361)

Total assets and deferred outflows of resources 267,348,757$ 267,187,062$ 270,302,660$ 161,695$ (3,115,598)$

Liabilities, Deferred Inflows of Resources

and Net Position

Current liabilities 21,455,240$ 20,406,413$ 20,988,396$ 1,048,827$ (581,983)$ Long-term debt, net 174,433,450 174,069,073 180,220,195 364,377 (6,151,122) Deferred inflows of resources 23,517,973 24,947,378 21,969,810 (1,429,405) 2,977,568

Net positionNet investment in capital assets 5,078,979 6,892,475 10,384,977 (1,813,496) (3,492,502) Restricted for debt service 6,258,906 6,169,409 6,169,409 89,497 - Unrestricted 36,604,209 34,702,314 30,569,873 1,901,895 4,132,441

Total net position 47,942,094 47,764,198 47,124,259 177,896 639,939

Total liabilities, deferredinflows of resources andnet position 267,348,757$ 267,187,062$ 270,302,660$ 161,695$ (3,115,598)$

March 31,Change

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Assets and Deferred Outflows of Resources Current assets increased in 2017 primarily due to increased accounts receivable and productive capacity operating assets and offset in part by decreased cash and cash equivalents. Current assets increased in 2016 primarily due to increased cash and cash equivalents and short-term investments.

During 2017, restricted investments declined due to lower debt service reserve requirements after issuance of MEAN’s Power Supply System Refunding Revenue Bonds 2016 Series A (“2016A Bonds”). During 2016, the remaining construction funds were used to pay for qualifying expenditures resulting in a decrease in restricted investments. Long-term investments decreased in 2017 and increased in 2016. Fluctuations are related to the maturity in years of the investment portfolio at each year end.

Depreciation charges exceeded additions to productive capacity as shown in Note 3 in both 2017 and 2016 resulting in an overall decrease in capital assets and productive capacity. MEAN’s investment in productive capacity consists primarily of its ownership interest in two power generation plants: 1) a 6.92% ownership interest in the Walter Scott, Jr. Energy Center Unit 4 (WSEC 4) generation plant, located near Council Bluffs, Iowa and 2) a 23.5% ownership interest in the Wygen Unit I (Wygen I) generation plant, located near Gillette, Wyoming. Capital assets include MEAN’s operations and management facility and furniture, fixtures and equipment.

The decrease in other noncurrent assets in 2017 is due to decreases in contracts receivable and recovery of certain costs previously deferred as permitted under Governmental Accounting Standards Board (GASB) Codification Section Re10, Regulated Operations (“Regulated Operations”). The increase in other noncurrent assets in 2016 is due to the deferral of certain costs permitted under Regulated Operations. Deferred outflows of resources consist of deferred costs of refunded debt resulting from refunding transactions. The increase in 2017 relates to the impact of the 2016A Bonds refunding transaction. The decline in 2016 resulted from annual amortization.

Liabilities and Deferred Inflows of Resources Current liabilities increased in 2017 and decreased in 2016 due to timing of when invoices were received and paid. Net long-term debt increased in 2017 as a result of the increase in premium on long-term debt as a result of the 2016A Bonds refunding transaction offset in part by principal payments and decrease in long-term debt as a result of the 2016A Bonds refunding transaction. Net long-term debt declined in 2016 as principal payments were paid and no bond financing transactions occurred. Deferred inflows of resources consist of deferred revenue – rate stabilization which fluctuates as a result of activity in the Rate Stabilization Fund which is described further in “Risk Management Practices”. Debt Activity In 2017, MEAN issued the 2016A Bonds in the amount of $68,905,000. Funds were used to advance refund and defease MEAN’s outstanding Power Supply System Refunding Revenue Bonds, 2009 Series A, maturing on or after April 1, 2020 and pay certain cost of issuing the 2016A Bonds. MEAN also made scheduled principal payments of $5,530,000 in 2017. In 2016, MEAN did not issue any debt and made scheduled principal payments of $4,155,000.

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Debt Ratings and Debt Service Coverage During the 2016A Bonds issuance process, Standard and Poor’s (S&P) assigned an A/stable rating, to the 2016A Bonds and affirmed the A/stable rating on MEAN’s other outstanding debt. Fitch Ratings assigned an A/stable rating to the 2016A Bonds and affirmed the A/stable rating on MEAN’s other outstanding debt. On April 19, 2016, Moody’s Investors Service affirmed an A2/stable rating on MEAN’s outstanding debt. These high ratings indicate the agencies’ assessment of MEAN’s ability to pay interest and principal on its debt based on MEAN’s financial strength and business characteristics as a public power provider.

MEAN is required by its bond covenants to maintain a debt service coverage of 1.0 times. Typically, MEAN targets year-end debt service coverage of 1.20. Debt service coverage was 1.22, 1.22, and 1.20 for 2017, 2016, and 2015, respectively.

Condensed Statements of Revenues, Expenses and Changes in Net Position and Financial Highlights

From 2016 From 20152017 2016 2015 to 2017 to 2016

Sales volumes (MWh's) 2,059,000 2,107,000 2,433,000 (48,000) (326,000)

Electric energy sales andother operating revenues 125,566,199$ 128,056,506$ 144,622,436$ (2,490,307)$ (16,565,930)$

Transfer from (provision for)rate stabilization 1,429,405 (2,977,568) (600,130) 4,406,973 (2,377,438)

Total operatingrevenues 126,995,604 125,078,938 144,022,306 1,916,666 (18,943,368)

Electric energy costs 101,780,198 101,140,683 124,347,524 639,515 (23,206,841) Other operating expenses 16,615,130 16,984,098 15,852,017 (368,968) 1,132,081

Total operatingexpenses 118,395,328 118,124,781 140,199,541 270,547 (22,074,760)

Operating income 8,600,276 6,954,157 3,822,765 1,646,119 3,131,392

Net nonoperating expenses (8,422,380) (6,314,218) (3,534,967) (2,108,162) (2,779,251)

Increase in net position 177,896$ 639,939$ 287,798$ (462,043)$ 352,141$

March 31,Change

Sales Volumes and Operating Revenues

MWh’s delivered in 2017 decreased 2% compared to 2016 and decreased 13% in 2016 compared to 2015.

MWh’s delivered to MEAN’s long-term total requirements participants increased in 2017 while MWh’s delivered decreased in 2016. Fluctuations are primarily due to the impact of weather conditions. Electric

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energy sales revenues from MEAN’s long-term total requirements participants decreased slightly in 2017 and increased in 2016 as a result of changes to rates and charges.

In 2017 and 2016, MWh’s delivered to MEAN’s limited-term total requirements participants decreased due primarily to changes in contract terms along with the impact of weather conditions. In both 2017 and 2016, limited-term total requirements contracts expired. Three limited-term total requirements participants were added during 2017. However, the MWh’s required by the new contracts were not enough to offset the MWh’s of the expired contracts, resulting in a decrease in electric energy sales revenues from MEAN’s limited-term total requirements participants.

Revenues from interchange sales declined in 2017 and 2016. Although the average selling price per MWh increased in 2017, MWh’s sold decreased resulting in an overall decrease in revenues from interchange sales. Both MWh’s sold and the average selling price per MWh decreased in 2016 resulting in an overall decrease in revenues from interchange sales.

For 2017 and 2016, the Board of Directors authorized a transfer from rate stabilization into operating revenues of $1,260,000 and $1,225,000, respectively, related to electric energy sales revenue from a regulatory independent transmission system operator and transmission adjustment transferred into the rate stabilization account in 2013. In 2017, the Board of Directors also authorized a transfer from rate stabilization into operating revenues of $169,405. In 2016, the Board of Directors also authorized a provision for rate stabilization of $(4,202,569) from operating revenues. These authorizations resulted in a net transfer from rate stabilization in 2017 of $1,429,405 and a net provision for rate stabilization in 2016 of $(2,977,568). See Note 1 – Deferred Revenue – Rate Stabilization for additional information. Operating Expenses

Electric energy costs vary from year to year due to changes in demand for energy by participants and other buying entities, fluctuations in the cost per MWh of purchased and produced power and impacts of changes in transmission costs. Increased electric energy costs in 2017 resulted primarily from increases in the cost per MWh of purchased and produced power. Decreased electric energy costs in 2016 related primarily to changes in demand for energy by participants as a result of mild weather and contract expirations noted above resulting in decreased purchased power volumes.

General Trends and Significant Events

Southwest Power Pool

MEAN participates in Southwest Power Pool’s (SPP) Integrated Marketplace (IM) which launched on March 1, 2014 to replace the Energy Imbalance Service market that SPP had operated since 2007. This market expansion is the latest and most complex step in SPP’s approach to adding market functionality that will coordinate next-day generation across the region. SPP expects the IM to maximize cost-effectiveness, provide participants with greater access to reserve energy, improve regional balancing of electricity supply and demand, and facilitate the integration of renewable resources. As a member of the SPP Regional Transmission Organization, MEAN works with other SPP members to identify ways to improve market operations and overall organizational effectiveness.

Environmental Regulations

The electric industry is exposed to continuing environmental regulations which are subject to change. Consequently, there is no assurance that facilities MEAN participates in will remain subject to the regulations currently in effect or will meet future regulations without retrofit. MEAN cannot anticipate the outcome of current regulatory and legislative processes. MEAN could be subject to increased costs or

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reduced operating levels as a result of future environmental regulations. MEAN continues to monitor the development and implementation of new or modified environmental regulations.

MEAN joined together with four other public power entities to form the Public Power Generation Agency (PPGA). PPGA developed, constructed and operates the Whelan Energy Center Unit 2 (WEC 2), a 220 MW coal-fired generating unit near Hastings, Nebraska. WEC 2 is operated under Best Available Control Technology standards. MEAN’s coal fired generation units, WSEC 4 and Wygen I, are also equipped with current Best Available Control Technology that combines lowest emissions with a long-term baseload energy resource. MEAN also has a 1.67% ownership interest in the coal-fired steam-electric Laramie River Station (LRS) generating station.

The following is a summary of the current regulations related to MEAN-owned facilities.

Clean Power Plan and New Source Performance Standard

The Environmental Protection Agency (EPA) has proposed a New Source Performance Standard and Clean Power Plan related to greenhouse gas emission guidelines for new and existing power plants. The proposed regulations, along with proposed emission reduction guidelines, were published in the Federal Register as final rule on October 23, 2015. With promulgation of the final rules, more decisions will need to be made regarding the feasibility of coal resources. The regulations created by this process have the potential to have a significant impact on MEAN and the electric utility industry. On February 9, 2016, the U.S. Supreme court granted stay motions filed by states and industry that sought to put implementation of the EPAs’ Clean Power Plan on hold pending judicial review. Implementation of the New Source Performance Standard and Clean Power Plan seems unlikely based on the recent Executive Order on promoting energy independence and economic growth.

Clean Air Act

Legislation was enacted in 1990 that substantially revised the Clean Air Act (the “1990 Amendments”). The 1990 Amendments seek to improve the ambient air quality throughout the United States. A main objective of the 1990 Amendments is the reduction of sulfur dioxide (“SO2”) and nitrogen oxide (“NOx”) emissions caused by electric utility power plants particularly those fueled by coal. Under the 1990 Amendments, SO2 emission reduction was to be achieved in two phases. Phase I addressed specific generating units named in the 1990 Amendments. MEAN’s generating resources meet the emissions requirements under Phase I. Phase II of the Act was effective January 1, 2000. Based on current projections MEAN has sufficient allowances for SO2 emissions to cover the electric power needs of its participants through 2018. Currently, all of MEAN’s coal-fired generation resources meet Phase II NOx compliance requirements.

Mercury and Air Toxics Standards

The Mercury and Air Toxics Standard (MATS) rule aims to reduce emissions of heavy metal and acid gases, including mercury. WSEC 4 was originally constructed with emissions controls which enable the plant to comply with MATS. At the time of purchase of the Air Quality Control System for WEC 2, WEC 2 purchased the necessary equipment to use activated carbon injection as a control of mercury emission to enable compliance with MATS. Wygen I’s current emission control equipment enables the plant to comply with MATS. LRS completed installation of equipment in order to meet a June 2015 compliance deadline to comply with MATS. Ongoing compliance with MATS must be demonstrated by each affected facility.

Regional Haze Rule

Under the Regional Haze Rule each state is required to submit a State Implementation Plan (SIP) to improve visibility and air quality in Class I areas (national parks and wilderness areas) by reducing particulate matter emission. Nebraska, as a Cross-State Air Pollution Rule (CSAPR)-affected state, will be able to substitute CSAPR for any requirements related to the Regional Haze Rule. Due to WEC 2’s modern Air Quality

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Control System, WEC 2 is well positioned to meet any requirements relating to CSAPR’s implementation. Based on a determination by the state of Iowa, WSEC 4 is not subject to the Regional Haze Rule. Wyoming submitted its SIP to the EPA in 2011, which included plans for LRS. In January 2014, the EPA issued its final ruling rejecting this SIP and issued a Federal Implementation Plan requiring installation of Selective Catalytic Reduction (SCR) NOx removal technology for three coal plants in Wyoming, including LRS. In March 2014, the State of Wyoming filed a Petition for Review of the EPA decision for LRS with the U.S. Court of Appeals for the Tenth Circuit. A motion was also filed with the court for a stay of compliance pending appeal. In May 2014, a petition for reconsideration of the LRS decision was submitted to EPA Region 8. In September 2014, the Court of Appeals for the Tenth Circuit granted a stay regarding compliance with the BART regulations while the legal challenge was pending. However, an agreement was reached on December 30, 2016, wherein LRS agreed to install non-SCR technology on two units and SCR technology on one unit, rather than all SCR technology. This will result in a significant cost reduction over installing all SCR technology. Wygen I is not currently subject to CSAPR, however, Wygen I is well positioned to meet any requirements relating to CSAPR’s implementation.

Water Quality

The Federal Clean Water Act regulates the discharge of process wastewater and certain storm water under the National Pollutant Discharge Elimination System permit program. WSEC 4 is not impacted by the Clean Water Act. WEC 2, Wygen I and LRS have proper permitting in place under the Clean Water Act.

Renewable Resources

MEAN has 10.5 MW’s of wind capacity generated from its wind farm located near Kimball, Nebraska. MEAN’s Board of Directors voted in January 2017 to decommission the existing wind farm and negotiate a power purchase agreement for up to 30 MW of a new wind-powered generating resource. The costs incurred for the Kimball wind farm were fully amortized as of March 31, 2017.

MEAN has also contracted for the purchase of 37 MW’s of wind capacity from other wind energy producers in the region. In addition to the wind capacity, MEAN has contracted for 4.8 MW’s fueled by landfill gas from the Waste Management Des Moines Landfill Gas Facility which began commercial operations in March 2014. MEAN has contracted with Delta-Montrose Electric Association (DMEA) for 7.6 MW from hydroelectric generating facilities in Colorado owned by Shavano Falls Hydro, LLC which began commercial operation in May 2015.

MEAN continues to review renewable energy projects that are of strategic interest and is working with MEAN participants to address the impact of trends in distributed and renewable generation. The federal stimulus activity and renewable energy proposals and directives have resulted in challenging dynamics to satisfy MEAN participant and legislative requirements.

Risk Management Practices

MEAN is subject to various risks inherent in the electric energy business, including market risk, operating risk, regulatory and political risks, credit risk, interest risk and insurance risk.

As a means of identifying, measuring, managing and mitigating these various risks, MEAN has developed financial and operational policies and guidelines, which have been approved by the Board of Directors and Management Committee, as applicable.

One of MEAN’s management tools was the creation of a rate stabilization account, within the general reserve fund. This funded reserve may be used to pay operating expenses or debt service or for other purposes that enable MEAN to, or facilitate MEAN’s ability to, provide services at stable and economic rates for its participant communities. In 2017, there was a net transfer from the rate stabilization of $(1,429,405). In 2016, there was a net transfer into the rate stabilization account of $2,977,568.

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As a means of stabilizing its rate structure, MEAN has elected to defer certain costs related to its investment in WSEC 4, Wygen I and Laramie River Station generating plants as allowed under the regulated operations provisions of GASB Codification Section Re10, Regulated Operations. These costs, primarily depreciation and bond issue costs, will be charged to expense in future years.

Report Purpose and Contact Information

This financial report is designed to provide member municipalities, other nonmember participants and creditors with a general overview of MEAN’s financial status for the fiscal years 2017, 2016 and 2015. Questions concerning any of the information provided in this report or requests for additional information should be addressed to the Director of Finance and Accounting at 8377 Glynoaks Dr., Lincoln, Nebraska 68516.


See Notes to Financial Statements 11

Balance Sheets

March 31, 2017 and 2016

2017 2016

Assets and Deferred Outflows of Resources

Current Assets

Cash and cash equivalents 36,076,178$ 37,868,007$ Short-term investments 7,904,832 7,501,955 Accounts receivable 14,900,452 12,761,988 Prepaid expenses and other 501,172 429,663 Productive capacity operating assets 5,563,519 3,696,183

Total current assets 64,946,153 62,257,796

Noncurrent AssetsLong-term investments 8,972,624 9,035,324 Restricted investments 12,976,719 13,887,671 Contracts receivable 1,925,195 3,062,493 Productive capacity, net 121,228,234 127,261,973 Capital assets, net 5,596,548 5,885,635 Costs recoverable from future billings 42,185,726 43,092,228

Total noncurrent assets 192,885,046 202,225,324

Deferred Outflows of ResourcesDeferred cost of refunded debt 9,517,558 2,703,942

Total assets and deferred outflows of resources 267,348,757$ 267,187,062$

Liabilities, Deferred Inflows of Resources and Net Position

Current LiabilitiesCurrent maturities of long-term debt 5,715,000$ 5,530,000$ Accounts payable and accrued expenses 12,307,041 10,736,663 Accrued interest payable 3,433,199 4,139,750

Total current liabilities 21,455,240 20,406,413

Long-term Debt, Net 174,433,450 174,069,073

Deferred Inflows of ResourcesDeferred revenue - rate stabilization 23,517,973 24,947,378

Net PositionNet investment in capital assets 5,078,979 6,892,475 Restricted for debt service 6,258,906 6,169,409 Unrestricted 36,604,209 34,702,314

Total net position 47,942,094 47,764,198

Total liabilities, deferred inflows of resources and net position 267,348,757$ 267,187,062$



Statements of Revenues, Expenses and

Changes in Net Position

Years Ended March 31, 2017 and 2016

2017 2016

Operating RevenuesElectric energy sales 124,542,220$ 127,554,033$ Transfer from (provision for) rate stabilization 1,429,405 (2,977,568) Other 1,023,979 502,473

Total operating revenues 126,995,604 125,078,938

Operating ExpensesElectric energy costs 101,780,198 101,140,683 Administrative and general 8,948,508 7,546,319 Depreciation and amortization 7,666,622 9,437,779

Total operating expenses 118,395,328 118,124,781

Operating Income 8,600,276 6,954,157

Nonoperating Revenues (Expenses)Net costs to be recovered in future periods (906,503) 1,635,645 Investment return 256,453 411,703 Interest expense (7,320,730) (8,548,740) Bond issuance costs (583,195) - Other 131,595 187,174

Net nonoperating expenses (8,422,380) (6,314,218)

Increase in Net Position 177,896 639,939

Net Position, Beginning of Year 47,764,198 47,124,259

Net Position, End of Year 47,942,094$ 47,764,198$



Statements of Cash Flows


2017 2016

Operating Activities

Cash received from participants and customers 143,745,063$ 164,688,162$ Cash paid to suppliers (124,271,435) (130,593,328) Cash paid to coalition members (6,005,768) (5,189,130)

Net cash provided by operating activities 13,467,860 28,905,704

Noncapital Financing Activities, Other Nonoperating Receipts 130,223 168,924

Capital and Related Financing ActivitiesPrincipal payments on long-term debt (5,530,000) (4,155,000) Proceeds from issuance of long-term debt 76,881,046 - Transfer to bond refunding agent (78,038,583) - Additions of productive capacity (1,248,958) (984,951) Proceeds from sale of capital assets 1,372 27,280 Purchase of capital assets (94,838) (38,528) Interest paid (8,187,179) (8,353,526)

Net cash used in capital and related financing activities (16,217,140) (13,504,725)

Investing ActivitiesInterest received on investments 429,353 368,350 Purchases of investments (22,002,170) (28,344,700) Proceeds from sales and maturities of investments 22,400,045 25,797,768

Net cash provided by (used in) investing activities 827,228 (2,178,582)

Increase (Decrease) in Cash and Cash Equivalents (1,791,829) 13,391,321

Cash and Cash Equivalents, Beginning of Year 37,868,007 24,476,686

Cash and Cash Equivalents, End of Year 36,076,178$ 37,868,007$



Statements of Cash Flows - Continued


2017 2016

Reconciliation of Operating Income to Net Cash Provided by Operating Activities

Operating income 8,600,276$ 6,954,157$ Depreciation and amortization 7,666,622 9,437,779 Provision for (transfer from) rate stabilization (1,429,405) 2,977,568 Changes in operating assets and liabilities

Accounts receivable (2,138,464) 11,334,672 Productive capacity operating assets (1,867,336) (1,039,916) Prepaid expenses and other (71,509) 51,603 Contracts receivable 1,137,298 1,072,799 Accounts payable and accrued expenses 1,570,378 (1,882,958)

Net Cash Provided by Operating Activities 13,467,860$ 28,905,704$

Municipal Energy Agency of Nebraska Notes to Financial Statements

March 31, 2017 and 2016

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Note 1: Nature of Operations and Summary of Significant Accounting Policies

Nature of Operations

Municipal Energy Agency of Nebraska (MEAN or the Agency) was created pursuant to provisions of the Municipal Cooperative Financing Act (Act). MEAN, pursuant to the Act, is a political subdivision of the State of Nebraska providing power supply, energy transmission and exchange of electrical power to its member municipalities and other nonmember participants.

Reporting Entity

In evaluating how to define the Agency, for financial reporting purposes, management has considered all potential component units for which financial accountability may exist. The determination of financial accountability includes consideration of a number of criteria, including: (1) the Agency’s ability to appoint a voting majority of another entity’s governing body and to impose its will on that entity, (2) the potential for that entity to provide specific financial benefits to or impose specific financial burdens on the Agency and (3) the entity’s fiscal dependency on the Agency.

MEAN, Nebraska Municipal Power Pool (NMPP), National Public Gas Agency (NPGA) and Public Alliance for Community Energy (ACE), comprise a coalition referred to by the trade name NMPP Energy. This coalition of entities provides energy-related services to member and nonmember participants while sharing facilities and management personnel. None of the organizations included in NMPP Energy are responsible for the obligations, liabilities or debts of any of the other organizations in the coalition. Based upon the above criteria, none of the organizations are considered component units of any of the other associated organizations.

Basis of Accounting and Presentation

MEAN’s activities are accounted for on the flow of economic resources measurement focus and use the accrual basis of accounting. MEAN’s accounting records are maintained in accordance with accounting principles generally accepted in the United States of America for regulated utilities and generally follow the Uniform System of Accounts for Public Utilities and Licensees prescribed by the Federal Energy Regulatory Commission (FERC). MEAN prepares its financial statements as a business-type activity in conformity with applicable pronouncements of the Governmental Accounting Standards Board (GASB). MEAN’s accounting policies also follow GASB Codification Section Re10, Regulated Operations, which permits an entity with cost based rates to defer certain costs or income that would otherwise be recognized when incurred to the extent that the rate-regulated entity is recovering or expects to recover such amounts in rates charged to its customers. This method includes the philosophy that debt service requirements, as opposed to depreciation or amortization, are a cost for rate making purposes.


March 31, 2017 and 2016

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Note 1: Nature of Operations and Summary of Significant Accounting Policies - Continued

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported balance sheet amounts and disclosure of contingent items at the date of the financial statements and the reported amounts of revenues, expenses and other changes in net position during the reporting period. Actual results may differ from those estimates.

Cash Equivalents

MEAN considers all highly liquid investments with an original maturity of three months or less at the date of purchase to be cash equivalents. At March 31, 2017 and 2016, cash equivalents consisted primarily of money market mutual funds.

Investments and Investment Income

MEAN maintains various debt service reserve accounts that are available for use to pay off debt. The reserve accounts consist of bank deposits and investments. Investments in money market mutual funds are carried at cost, which approximates fair market value. Investments in U.S. agency obligations and negotiable certificates of deposit are carried at fair value. Fair value is determined using quoted market prices. Investment income consists of interest income and the net change for the year in the fair value of investments.

Accounts Receivable

Accounts receivable are stated at the amount billed to customers. Accounts receivable are ordinarily due 30 days after the issuance of the invoice. Accounts past due more than 120 days are considered delinquent. Delinquent receivables are charged off as they are deemed uncollectible. MEAN does not believe an allowance for doubtful accounts is necessary at March 31, 2017 and 2016.

Productive Capacity Operating Assets

Productive capacity operating assets related to the operation of Laramie River Station (LRS), Walter Scott, Jr. Energy Center Unit 4 (WSEC 4) and Wygen Unit I (Wygen I) are comprised of operating assets, primarily fuel and supplies inventories, and operating cash. These assets are managed by the operating agent of each respective project. Operating expenses related to MEAN’s participation in LRS, WSEC 4 and Wygen I are included in electric energy costs in the statements of revenues, expenses and changes in net position.


March 31, 2017 and 2016

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Productive Capacity

Productive capacity includes the costs incurred for:

A 1.67% ownership interest in the three-unit 1,697 MW coal-fired steam-electric LRS generating station and an associated transmission system in Platte County, Wyoming on the Laramie River. MEAN purchased the ownership interest from Lincoln Electric System (LES), a co-owner of the Missouri Basin Power Project (MBPP) that includes LRS.

Ownership of a 10.5 MW wind project consisting of seven turbines located near Kimball, Nebraska. Costs incurred were fully amortized as of March 31, 2017.

A 6.92% ownership interest in the 790 net MW coal-fired steam-electric WSEC 4 generation unit near Council Bluffs, Iowa. MidAmerican Energy Company developed, designed, constructed and operates WSEC 4.

A 23.5% ownership interest in the 85 MW coal-fired Wygen Unit I electric generation unit located near Gillette, Wyoming. Black Hills Wyoming, Inc. developed, designed, constructed and operates Wygen Unit I.

Productive capacity costs are being amortized on both a sinking fund method and on the straight-line basis over the estimated life of the various projects.

Capital Assets

Capital assets are recorded at cost at the date of acquisition. Depreciation is computed using the straight-line method over the estimated useful life of each asset. The following estimated useful lives are being used by MEAN:

Building and improvements 7 – 40 YearsFurniture, equipment and transportation equipment 3 – 7 Years

Costs Recoverable from Future Billings

Certain income and expense items which would be recognized during the current period are not included in the determination of the change in net position until such costs are expected to be recovered through wholesale electric service rates, in accordance with the provisions of GASB Codification Section Re10, Regulated Operations.

Deferred Cost of Refunded Debt

Costs incurred in connection with the refinancing of various bond issuances are being amortized over the remaining life of the old bonds or the life of the new bonds, whichever is shorter. Amortization is recorded annually in nonoperating expenses.


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Deferred Revenue - Rate Stabilization

MEAN’s Board of Directors established a rate stabilization account within the general reserve fund pursuant to the provisions in the 2003 Power Supply System Revenue Bond Resolution and related supplemental resolutions to assist in maintaining stable electric rates for its participants.

In January 2013, the Board of Directors and Management Committee established a regulatory independent transmission system operator and transmission adjustment (RITA) of approximately $6.3 million to recover transmission costs incurred by MEAN. The RITA was allocated to each participant under the Electrical Resources Pooling Agreements as of January 2013 and recorded as contracts receivable and electric energy sales revenue in 2013. The RITA is collected monthly over a five year term which began April 2014 or the remaining life of the participant’s current service schedule, whichever is less. Participants had the option of paying the RITA in a lump sum. In addition, those participants with current service schedule contracts expiring prior to April 2019 had the option of entering into a separate written agreement to spread the participant’s share over a maximum of five years.

The electric energy sales revenue from the RITA was transferred into the rate stabilization account in 2013. Transfers of the rate stabilization funds into revenues began April 2014 in accordance with the RITA payment provisions. In 2017 and 2016, $1,260,000 and $1,225,000, respectively, of RITA funds were transferred into operating revenues from the rate stabilization account.

In 2017, the Board of Directors also authorized the transfer from rate stabilization of $169,405 of rate stabilization account funds into operating revenues. In 2016, the Board of Directors also authorized the transfer of $4,202,568 of operating revenues into the rate stabilization account. The net amount transferred from the rate stabilization account into operating revenues in 2017 was $(1,429,405). The net amount transferred into the rate stabilization account from operating revenues in 2016, was $2,977,568.

As of March 31, 2017 and 2016, $23,517,973 and $24,947,378, respectively, are shown as deferred revenue - rate stabilization on the accompanying balance sheets.


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Net Position Classification

Net position is required to be classified into three components – net investment in capital assets; restricted; and unrestricted. These classifications are defined as follows:

Net investment in capital assets - consists of capital assets, net of accumulated depreciation and costs recoverable from future billings, reduced by the outstanding balances of any bonds, mortgages, notes, or other borrowings that are attributable to the acquisition, construction, or improvement of those assets. Deferred outflows of resources and deferred inflows of resources that are attributable to the acquisition, construction, or improvement of those assets or related debt also should be included in this component of net position. If there are significant unspent related debt proceeds at year-end, the portion of the debt attributable to the unspent proceeds is not included in the calculation of net investment in capital assets.

Restricted - consists of restricted assets, reduced by liabilities related to those assets, with constraints placed on their use either by a) external groups such as creditors (such as through debt covenants), contributors, or laws or regulations of other governments or b) law through constitutional provisions or enabling legislation.

Unrestricted - consists of the assets, deferred outflows of resources, liabilities and deferred inflows of resources that are not included in the net investment in capital assets or restricted component of net position.

When both restricted and unrestricted resources are available for use, it is MEAN’s policy to use restricted resources first, then unrestricted as they are needed.

Income Taxes

In accordance with certain provisions of the Internal Revenue Code, the Act and related governing laws and regulations, MEAN, as a local governmental entity, is exempt from federal and state income taxes.

Classification of Revenues

Operating revenues include revenues resulting from provision and delivery of electric supplies to participants and customers and administrative fees charged for scheduling and other services provided to participants. Nonoperating revenues include those derived from capital and related financing, noncapital financing and investing activities.


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Rates and Charges

MEAN annually determines its wholesale electric service rates and charges to recover costs of providing power supply services. In addition, rates and charges are established and collected in order to reasonably expect net revenues which, together with other available funds (including rate stabilization account funds), will be sufficient to pay the aggregate annual debt service for such year. A Pooled Energy Adjustment is included in MEAN’s schedule of rates and charges and is used when necessary to recover the actual monthly energy costs in excess of budgeted monthly energy costs. Rates and charges for providing wholesale power supply are reviewed annually and adopted by MEAN’s Board of Directors. The Electrical Resources Pooling Agreement provides for a Management Committee which sets certain rates based on the budget adopted by MEAN’s Board of Directors. MEAN’s power supply rates and charges are not subject to state or Federal regulation.

Reclassifications

Certain reclassifications have been made to the 2016 financial statements to conform to the 2017 presentation. These reclassifications had no effect on the change in net position.

Note 2: Deposits, Investments and Investment Return

Deposits

Custodial credit risk is the risk that in the event of a bank failure, a government’s deposits may not be returned to it. MEAN’s deposit policy for custodial credit risk requires compliance with the provisions of state law. State statutes require banks either to give bond or to pledge government securities to MEAN in the amount of MEAN’s deposits.

The Federal Deposit Insurance Corporation (FDIC) insures transaction accounts for government deposits up to $250,000 per official custodian at each covered institution. At March 31, 2017, all of MEAN’s deposits were insured and collateralized. At March 31, 2016, MEAN’s deposits exceeded FDIC coverage and collateral held by $1,134,000.

Investments

MEAN’s investing is performed in accordance with the investment policy adopted by its Board of Directors and applicable state statutes. MEAN may invest in U.S. Treasury and U.S. agency securities, certificates of deposit, time deposits, banker’s acceptances, commercial paper, municipal bonds and investment contracts. In the event that secured investment opportunities arise, other than those specified above, investment consent is required through the approval of two of the following: the Chair of the Board of Directors, Secretary-Treasurer of the Board of Directors or the MEAN Executive Director.


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Note 2: Deposits, Investments and Investment Return – Continued

At March 31, 2017 and 2016, MEAN had the following investments, maturities and credit ratings:

CreditRating

Moody's/

S&PMarch 31, 2017

Money market mutual funds - U.S. agencies 9,258,861$ 9,258,861$ -$ Aaa-mf/AAAmU.S. agency obligations 13,627,833 1,093,974 12,533,859 Aaa/AA+Negotiable certificates of deposit 16,135,007 7,654,843 8,480,164 Not Rated

39,021,701$ 18,007,678$ 21,014,023$

March 31, 2016

Money market mutual funds - U.S. agencies 9,813,533$ 9,813,533$ -$ Aaa-mf/AAAmU.S. agency obligations 14,253,971 2,173,799 12,080,172 Aaa/AA+Negotiable certificates of deposit 16,036,925 7,251,941 8,784,984 Not Rated

40,104,429$ 19,239,273$ 20,865,156$

Maturities in YearsFair

Value 1 - 5Less

Than 1

Interest Rate Risk - Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of an investment. MEAN’s investment policy does not place a limit on the amount that may be invested in any one maturity category. The money market mutual funds are presented as an investment with a maturity of less than one year because they are redeemable in full immediately.

Credit Risk - Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. MEAN’s investment policy establishes requirements for certain investment securities or issuers of securities to be rated at certain rates or higher. The following investment types must be rated at the minimum rates noted below:

Commercial paper A-1, P-1 Municipal bonds AA-

Custodial Credit Risk - For an investment, custodial credit risk is the risk that, in the event of a failure of the counterparty, MEAN would not be able to recover the value of its investment or collateral securities that are in the possession of an outside party. At March 31, 2017 and 2016, certain investments in U.S. agency obligations and negotiable certificates of deposit are held in safekeeping in MEAN’s name, and in a broker account with MEAN’s primary financial institution. Additionally, any investments held in trust at March 31, 2017 and 2016, are held in a book entry system in an account designated as a customer account at the Depository Trust Company and the custodian’s internal records identifies MEAN as the owner.


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Concentration of Credit Risk - Concentration of credit risk is the risk associated with the amount of investments MEAN has with any one issuer that exceeds 5% or more of its total investments. Investments issued or explicitly guaranteed by the U.S. Government are excluded from this requirement. As of March 31, 2017 and 2016, each of MEAN’s investments in negotiable certificates of deposit were covered by FDIC insurance, as the individual investments did not exceed $250,000, and were therefore also excluded from this requirement. MEAN’s investment policy limits the amount of its investment portfolio that may be invested in any one issuer, other than U.S. government securities, to 10%. Allocation limits do not apply to the investment of proceeds from the issuance of debt as these investments are governed by the debt instrument. All of the money market mutual funds held at March 31, 2017 and 2016 are invested with MEAN’s primary financial depository. This financial depository also serves as MEAN’s Trustee and writer on the credit facilities discussed in Note 6.

Concentrations greater than 5% at March 31, 2017 are shown below:

Federal Home Loan Bank 8.20%Federal Farm Credit Bank 14.57%Federal National Mortgage Association 7.62%

U.S. sponsored agency obligations

Concentrations greater than 5% at March 31, 2016 are shown below:

Federal Home Loan Bank 7.24%Federal Farm Credit Bank 17.93%Federal National Mortgage Association 6.57%

U.S. sponsored agency obligations


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Summary of Carrying Values

The carrying values of deposits and investments shown above are included in the balance sheets at March 31, 2017 and 2016 as follows:

2017 2016

Carrying ValueDeposits 26,908,652$ 28,188,528$ Investments 39,021,701 40,104,429

65,930,353$ 68,292,957$

Included in the following balance sheet captions:

2017 2016Current Assets

Cash and cash equivalents Operating 22,062,376$ 22,798,470$ Escrow 170,329 67,119 Rate stabilization fund 4,675,947 5,322,939 Debt service funds 9,167,526 9,679,479

Total 36,076,178 37,868,007

Short-term investments - rate stabilization fund 7,904,832 7,501,955

Noncurrent AssetsLong-term investments - rate stabilization fund 8,972,624 9,035,324

Restricted long-term investments Debt reserve funds 12,976,719 13,887,671

65,930,353$ 68,292,957$

Investment Return

Investment return for the years ended March 31, 2017 and 2016 consisted of interest income and the net change in fair value of investments carried at fair value of $256,453 and $411,703, respectively.


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Disclosures About Fair Value of Assets and Liabilities

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 – Unobservable inputs supported by little or no market activity and are significant to the fair value of the assets or liabilities.

Money market mutual funds are carried at cost, and thus are not included within the fair value hierarchy. MEAN’s investments in U.S. agency obligations and negotiable certificates of deposit are measured at fair value on a recurring basis, and are classified within Level 2 of the fair value hierarchy at March 31, 2017 and 2016.


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Note 3: Productive Capacity

Productive capacity at March 31, 2017 and 2016 consisted of the following:

Beginning Balance Additions Transfers

Ending Balance

Steam production 186,258,392$ 1,204,193$ 305,804$ 187,768,389$ Wind production 13,710,067 - - 13,710,067 Transmission 10,737,552 44,765 (305,804) 10,476,513

210,706,011 1,248,958 - 211,954,969

Less accumulated depreciationSteam production (69,442,670) (5,722,680) (43,936) (75,209,286) Wind production (12,340,429) (1,369,638) - (13,710,067) Transmission (1,660,939) (190,379) 43,936 (1,807,382)

(83,444,038) (7,282,697) - (90,726,735)

Net productive capacity 127,261,973$ (6,033,739)$ -$ 121,228,234$

Steam production 185,303,027$ 955,365$ -$ 186,258,392$ Wind production 13,710,067 - - 13,710,067 Transmission 10,707,966 29,586 - 10,737,552

209,721,060 984,951 - 210,706,011

Less accumulated depreciationSteam production (61,496,282) (7,946,388) - (69,442,670) Wind production (11,430,034) (910,395) - (12,340,429) Transmission (1,470,856) (190,083) - (1,660,939)

(74,397,172) (9,046,866) - (83,444,038)

Net productive capacity 135,323,888$ (8,061,915)$ -$ 127,261,973$

March 31, 2017

March 31, 2016


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Note 4: Capital Assets

Capital assets at March 31, 2017 and 2016 consisted of the following:

Beginning Balance Additions Retirements

Ending Balance

March 31, 2017

Land 489,000$ -$ -$ 489,000$ Buildings and improvements 5,147,328 - - 5,147,328 Furniture, equipment and transportation

equipment 2,016,237 94,838 (1,189) 2,109,886

7,652,565 94,838 (1,189) 7,746,214

Less accumulated depreciation (1,766,930) (383,925) 1,189 (2,149,666)

Net capital assets 5,885,635$ (289,087)$ -$ 5,596,548$

March 31, 2016

Land 489,000$ -$ -$ 489,000$ Buildings and improvements 5,147,328 - - 5,147,328 Furniture, equipment and transportation

equipment 2,023,900 38,528 (46,191) 2,016,237

7,660,228 38,528 (46,191) 7,652,565

Less accumulated depreciation (1,413,178) (390,913) 37,161 (1,766,930)

Net capital assets 6,247,050$ (352,385)$ (9,030)$ 5,885,635$


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Note 5: Costs Recoverable from Future Billings

Costs recoverable from future billings are comprised primarily of costs related to certain purchases of productive capacity, improvements on productive capacity and projects in which MEAN is a participant. The costs consist of the cumulative difference between depreciation recorded on certain productive capacity (primarily LRS, WSEC 4 and Wygen I) and capital assets and principal payments on debt issued to construct or purchase those assets. Upon implementation of GASB Statement No. 65, costs recoverable from future billings include certain debt issuance costs that are budgeted to be recovered through future electric rates. In 2013, transmission costs of approximately $6.3 million were capitalized in accordance with the regulated operations provisions of GASB Codification Section Re10, Regulated Operations. Costs are being amortized in future rate periods when such costs are included in the revenue requirements to establish electric rates.

MEAN annually evaluates the probability that future revenues will be recognized through charging regulated rates to recover costs recoverable from future billings. As a result of this evaluation, no costs were removed in 2017 or 2016.

Note 6: Credit Facilities

Line of Credit

MEAN has a $20,000,000 revolving line of credit which renewed May 31, 2017 for a three-year term through May 29, 2020. During the years ended March 31, 2017 and 2016, no funds were advanced against the line. Interest varies at one percent (1%) above Daily One Month LIBOR in effect from time to time and is payable monthly.

Letters of Credit

As financial security for MEAN’s performance under certain financial transmission rights and transmission congestion rights in regional transmission organizations in which MEAN participates, MEAN has obtained two standby letters of credit totaling $4,500,000 at March 31, 2017. The $500,000 standby letter of credit was automatically renewed in April 2017, under an automatic annual renewal clause, to April 7, 2018. The $4,000,000 standby letter of credit, expiring December 31, 2017, also includes an automatic annual renewal clause. The amount available under MEAN’s revolving line of credit is reduced by the amount of the issued standby letters of credit.


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Note 7: Long-term Debt

The following is a summary of long-term debt transactions for the Agency for the year ended March 31, 2017:

April 1 March 312016 2017

3.000% - 5.000% Power Supply SystemRefunding Revenue Bonds, Series 2016A.Interest due semi-annually on April 1 andOctober 1. Serial principal payments dueannually on April 1, from 2020 through 2038.Term principal payment due April 1, 2036through 2039. Redeemable at par on or afterOctober 1, 2026. -$ 68,905,000$ -$ 68,905,000$ -$

3.750% - 5.000% Power Supply SystemRevenue and Refunding Bonds, Series 2013A.Interest due semi-annually on April 1 andOctober 1. Serial principal payments dueannually on April 1, through 2019 and 2022through 2025. Term principal payment dueApril 1, 2036. Mandatory sinking fundpayments due annually April 1, 2033 through2036. Redeemable at par on or after April 1,2023. 31,240,000 - 1,225,000 30,015,000 1,260,000

1.470% - 3.319% Power Supply SystemRevenue Bonds, Series 2013B (FederallyTaxable). Interest due semi-annually on April1 and October 1. Serial principal paymentsdue annually on April 1, through 2022.

6,795,000 - 960,000 5,835,000 975,000

5.000% Power Supply System RevenueRefunding Bonds, Series 2012A. Interest duesemi-annually on April 1 and October 1. Serial principal payments due annually on April 1through 2032. Redeemable at par on or afterApril 1, 2022. 58,620,000 - 3,155,000 55,465,000 3,480,000

5.000% Power Supply System RevenueRefunding Bonds, Series 2009A. Interest duesemi-annually on April 1 and October 1. Serial principal payments due annually on April 1,2018 and 2019. Partially refunded during 2017.

72,425,000 - 69,875,000 2,550,000 -

Total long-term debt 169,080,000 68,905,000 75,215,000 162,770,000 5,715,000 Premium on long-term debt 10,519,073 7,976,046 1,116,668 17,378,450 -

Long-term debt, net 179,599,073$ 76,881,046$ 76,331,668$ 180,148,450$ 5,715,000$

Type of Debt

2017

Additions ReductionsDue Within One Year


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Note 7: Long-term Debt - Continued

The following is a summary of long-term debt transactions for the Agency for the year ended March 31, 2016:

April 1 March 312015 2016

3.000% - 5.000% Power Supply SystemRevenue and Refunding Bonds, Series 2013A.Interest due semi-annually on April 1 andOctober 1. Serial principal payments dueannually on April 1, through 2019 and 2022through 2025. Term principal payment dueApril 1, 2036. Mandatory sinking fundpayments due annually April 1, 2033 through2036. Redeemable at par on or after April 1,2023. 32,430,000$ -$ 1,190,000$ 31,240,000$ 1,225,000$

1.270% - 3.319% Power Supply SystemRevenue Bonds, Series 2013B (FederallyTaxable). Interest due semi-annually on April1 and October 1. Serial principal paymentsdue annually on April 1, through 2022.

6,795,000 - - 6,795,000 960,000

3.000% - 5.000% Power Supply SystemRevenue Refunding Bonds, Series 2012A.Interest due semi-annually on April 1 andOctober 1. Serial principal payments dueannually on April 1 through 2032.Redeemable at par on or after April 1, 2022. 60,415,000 - 1,795,000 58,620,000 3,155,000

5.000% - 5.375% Power Supply SystemRevenue Refunding Bonds, Series 2009A.Interest due semi-annually on April 1 andOctober 1. Serial principal payments dueannually on April 1 through 2024. Termpayments due April 1, 2029 and 2039.Mandatory sinking fund payments dueannually April 1, 2029 through 2039. Serialbonds redeemable at par on or after April 1,2019. Term bonds redeemable by operation ofsinking fund installments at the principalamount thereof. 73,595,000 - 1,170,000 72,425,000 190,000

Total long-term debt 173,235,000 - 4,155,000 169,080,000 5,530,000 Premium on long-term debt 11,140,195 - 621,121 10,519,073 -

Long-term debt, net 184,375,195$ -$ 4,776,121$ 179,599,073$ 5,530,000$

Type of Debt

2016

Additions ReductionsDue Within One Year


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Note 7: Long-term Debt - Continued

Future principal and interest payments required to be made in accordance with all of the long-term debt agreements at March 31, 2017 are as follows:

Year EndingMarch 31, Principal Interest Total

2018 5,715,000$ 6,937,059$ 12,652,059$ 2019 5,945,000 6,875,495 12,820,495 2020 6,215,000 6,601,015 12,816,015 2021 5,090,000 6,343,098 11,433,098 2022 5,330,000 6,104,372 11,434,372

2023-2027 29,425,000 26,319,173 55,744,173 2028-2032 31,630,000 18,833,188 50,463,188 2033-2037 42,450,000 10,268,094 52,718,094 2038-2040 30,970,000 1,641,350 32,611,350

162,770,000$ 89,922,844$ 252,692,844$

The Power Supply System Revenue Bonds listed above are special obligations of MEAN payable solely from and secured solely by a pledge of the Revenues and certain other funds and amounts pursuant to each applicable Bond Resolution. The Revenues consist of all income from MEAN’s Power Supply System.

Bond Refunding

On September 28, 2016, MEAN issued $68,905,000 in Power Supply System Refunding Revenue Bonds, 2016 Series A with an average interest rate of 3.94 percent to advance refund $69,685,000 of outstanding 2009 Series A bonds. The refunded bonds had an average interest rate of 5.34 percent. The net proceeds of approximately $76,298,000 consist of the net original issue premium of approximately $7,976,000, reduced by payment of approximately $580,000 in underwriting fees and other issuance costs. Net proceeds of $76,298,000 plus approximately $1,157,000 of existing MEAN funds, including debt service reserve funds released by the transaction, were used to purchase U.S. government securities. Those securities were deposited in an irrevocable trust with an escrow agent to provide for all future debt service payments on the 2009 Series A bonds refunded. As a result, $69,685,000 of the outstanding 2009 Series A bonds are considered to be defeased and the liability for those bonds has been removed from the balance sheet.

The refunding resulted in a difference between the reacquisition price and the net carrying amount of the old debt of $7.1 million. This difference, reported in the accompanying financial statements as a deferred cost of refunded debt, is being amortized and charged to operations through the fiscal year 2039 on a straight-line basis. MEAN completed the refunding to reduce its total debt service payments over the next 17 years by $18.1 million and to obtain an economic gain (difference between the present values of the old and new debt service payments) of $13.5 million.


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Note 8: Electric Energy Sales

Electric energy sales for the years ended March 31, 2017 and 2016 were as follows:

2017 2016

Long-term total requirements 107,264,789$ 107,382,259$ Limited-term total requirements 10,850,675 13,489,741 Interchange sales 6,426,756 6,682,033

124,542,220$ 127,554,033$

As of March 31, 2017, MEAN has sixty-nine participating municipal utilities. MEAN had sixty-seven participating municipal utilities as of March 31, 2016. Each of the participating municipal utilities, which consist of Nebraska, Colorado, Iowa and Wyoming municipalities; a public power district in Nebraska; and a power authority in Colorado, has entered into the Electrical Resources Pooling Agreement with MEAN. The Electrical Resources Pooling Agreement includes various service schedules under which MEAN provides power supply services.

Total Requirements

As of March 31, 2017 and 2016, fifty-four participants have entered into long-term total requirements contracts. The long-term total requirements contracts extend through the final maturity of MEAN’s outstanding long-term debt.

As of March 31, 2017 and 2016, seven and five participants, respectively, have entered into limited-term total requirements contracts. The limited-term total requirements contracts vary in length, but are generally up to ten years. During 2017, three participants entered into limited-term total requirements contracts and one contract expired. During 2016, one limited-term total requirements contract expired.

The total requirements agreements require MEAN to supply and obligate the participants to purchase, all capacity and energy in excess of each participant’s firm power and energy allocations from Western Area Power Administration (WAPA), and include limited exceptions for certain generating facilities of Waverly Utilities, Iowa and Aspen, Colorado.

MEAN has contracted to collect payments for WAPA power and energy purchased by certain participants and remits these payments to WAPA. Since MEAN is only acting as an agent, these amounts are not reflected as revenue or expense in the Statements of Revenues, Expenses and Changes in Net Position. These amounts totaled approximately $6,327,000 and $6,549,000 during 2017 and 2016, respectively.


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Note 8: Electric Energy Sales – Continued

Service Power

Each service power participant maintains full control and responsibility for its existing and future resources to meet its electric power and energy requirements. Seven municipalities and a power authority were service power participants during 2017 and 2016.

MEAN provides scheduling services in Southwest Power Pool’s (SPP) Integrated Marketplace (IM) which began March 1, 2014 for three of the service power participants. The service power participants pay MEAN an administrative fee for the scheduling services provided. The administrative fee is included in other operating revenues on the Statements of Revenues, Expenses and Changes in Net Position. MEAN has contracted to collect payments for the service power participants participating in SPP IM and remit these payments to SPP and other transmission providers. Since MEAN is only acting as an agent, these amounts are not reflected as revenue or expense in the Statements of Revenues, Expenses and Changes in Net Position. These amounts totaled approximately $2,114,000 and $2,013,000 during 2017 and 2016, respectively. A service power participant may terminate participation by giving two years’ written notice to MEAN.

Interchange Sales

Interchange sales consist of short-to-medium term power sales agreements in and between the Western Electricity Coordinating Council (WECC), the Midcontinent Independent System Operator, Inc. (MISO) and SPP markets. In the MISO and SPP markets, MEAN records activity for each separately operated and settled market on an hourly basis. Net hourly energy transactions are evaluated on a net megawatt hour basis to determine whether the hourly transaction should be classified as a net purchase or net sale.

Note 9: Electric Energy Costs and Power Supply Commitments

Electric energy costs for the years ended March 31, 2017 and 2016 were as follows:

2017 2016

Purchased power 78,319,769$ 75,915,411$ Production 17,136,659 19,133,634 Transmission 6,323,770 6,091,638

101,780,198$ 101,140,683$


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Note 9: Electric Energy Costs and Power Supply Commitments - Continued

Pooling Agreements

The Electrical Resources Pooling Agreement allows for the purchase and sale of capacity and energy between MEAN and other power project participants at both fixed and variable rates under the applicable service schedules.

By execution of the Electrical Resources Pooling Agreement and a firm power service agreement under the applicable service schedule, nineteen participants have committed total capacity and energy output of participant-owned generating units (approximately 133 MW) to MEAN. The Service Schedule M, Total Power Requirements Power Purchase Agreements provide that compensation for generating plants committed to pooling will be based upon the facilities’ accredited capability and will be paid at the rate established in the Rate Schedule as modified from time to time upon the determination of the Board of Directors of MEAN. MEAN will also pay a proportionate share of fuel and operation and maintenance costs based on energy actually delivered at rates established by the Board of Directors of MEAN. For Service Schedule K, K-1 and J Participants, these rates are to be established by the Management Committee. The remaining participants who have not committed their total energy resources are able to make sales of available surplus capacity as requested by MEAN at various negotiated rates. Costs related to participant committed facilities and energy output agreements are included in purchased power costs in the table of electric energy costs included in Note 9.

Purchased Power Contracts and Participation Agreements

In addition to ownership interests in energy generation facilities, MEAN has purchased power contracts that provide for the purchase of capacity and wholesale firm and nonfirm energy from suppliers at negotiated rates. Power is purchased primarily for resale to participants of the Electrical Resources Pooling Agreements. Costs related to purchased power contracts and participation agreements are included in purchased power costs in the table of electric energy costs included in Note 9.

Western Area Power Administration

MEAN has an allocation from the U.S. Department of Energy, through WAPA, of firm power under contract from Loveland Area Projects hydroelectric plants of approximately 7 MW. MEAN’s contract has been extended by amendment and currently runs through 2054. Various MEAN participants also have allocations through WAPA totaling approximately 109 MW. MEAN has contracted to collect payments for WAPA power and energy purchased by certain participants and remits these payments to WAPA as discussed in Note 8.


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34


Public Power Generation Agency

MEAN and other utilities created an interlocal agency, the Public Power Generation Agency (PPGA), for the construction of Whelan Energy Center Unit 2 (WEC 2), a 220 MW coal-fired power plant. MEAN signed a participation power agreement with PPGA for 80 MW (36.36%) of the power output for the life of the plant. Under this agreement, each PPGA participant guarantees an allocated portion of PPGA’s debt, which is paid by monthly participant billings.

In addition, under a power sales agreement, Hastings Utilities has agreed to sell capacity and associated energy from Hastings Utilities’ entitlement share with PPGA at cost through April 2018. The amount of project output sold decreased from 8 MW on May 1, 2016 to 5 MW and decreases to 2 MW on May 1, 2017. Agreements with Nebraska Public Power District (NPPD)

MEAN has entered into a multi-unit participation power sales agreement with NPPD for the purchase of power and energy from Gerald Gentleman Station and Cooper Nuclear Station of 50 MW which continues through December 31, 2023.

MEAN has entered into a 20-year participation power agreement with NPPD for the purchase of 7 MW of energy from the Ainsworth Wind Energy Facility. MEAN also participates in three Nebraska based wind plants through power sales agreements with NPPD: Laredo Ridge (8 MW), Elkhorn Ridge (8 MW) and Crofton Bluffs (4 MW). For each of these plants, NPPD has the actual power purchase agreement with the wind plant developer/owner. Agreement with Black Hills Power, Inc.

MEAN has a power purchase agreement with Black Hills Power, Inc. (BHPL) which continues until May 31, 2023. Under this agreement, BHPL provides MEAN with the capacity and related energy output from Neil Simpson Unit 2 and Wygen Unit III which decreases from 20 MW down to 10 MW over the life of the contract.

Other Agreements

MEAN has also entered into power supply participation agreements whereby MEAN has agreed to share in the energy output of various projects in accordance with the anticipated needs of MEAN’s participants. These contracts include wind, coal, hydroelectric and landfill gas generation and vary from 3 to 10 MW’s per year.


March 31, 2017 and 2016

35


Market Purchases

MEAN participates in MISO, SPP and WECC markets. Costs related to market purchases and generation revenues received related to units dispatched into MISO and SPP and energy purchases in WECC are included in purchased power costs in the table of electric energy costs included in Note 9.

Production

Production costs consist of MEAN’s costs incurred to operate and maintain the wind project at Kimball and MEAN’s ownership share of costs incurred to operate and maintain LRS, WSEC 4 and Wygen Unit 1.

Transmission

The transmission needs of MEAN and the total requirements participants are served by MISO, SPP and multiple transmission providers in the Western Interconnection. Transmission costs include network integration transmission service and point-to-point transmission service. Transmission costs also include the impact of auction revenue rights and transmission congestion rights in SPP and auction revenue rights and financial transmission rights in MISO. These financial instruments were primarily designed to allow firm transmission customers the opportunity to offset price differences due to transmission congestion costs between resources and loads.

MEAN has contracted to collect payments for transmission service purchased on behalf of certain participants and remits these payments to the respective providers. Since MEAN is only acting as an agent, these amounts are not reflected as revenue or expense in the Statements of Revenues, Expenses and Changes in Net Position. The transmission service purchased by the participants, that MEAN was responsible for collecting and remitting to the respective transmission providers, totaled approximately $12,320,000 and $12,971,000 during 2017 and 2016, respectively.

Note 10: Transactions with Coalition Members

MEAN, NMPP, NPGA and ACE through common members and management comprise a coalition. MEAN shares personnel and facilities within this coalition, as well as enters into agreements for certain products and services.

Amounts due from coalition members are included within accounts receivable and amounts due to coalition members are included in accounts payable and accrued expenses on the balance sheets.


March 31, 2017 and 2016

36

Note 10: Transactions with Coalition Members - Continued

A summary of amounts due from and due to coalition members at March 31, 2017 and 2016 is as follows:

2017 2016

Due from NPGA 2,370$ 3,185$ Due from ACE 2,987 3,167

Due from coalition members 5,357$ 6,352$

Due to NMPP 404,690$ 154,424$

MEAN incurred expenses of approximately $6,560,000 and $5,750,000 for administrative services provided by NMPP during 2017 and 2016, respectively. In 2017 and 2016, MEAN billed coalition members approximately $111,000 and $120,000, respectively, for the use of equipment and furniture.

Note 11: Risk Management

MEAN is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions, injuries to employees and others; and natural disasters. MEAN is named as one of the insureds on joint policies for commercial insurance, subject to certain limits and deductibles, to reduce the financial impact for claims arising from such matters. None of the claims submitted against this commercial coverage in any of the three preceding years were material to MEAN.


March 31, 2017 and 2016

37

Note 12: Significant Estimates and Concentrations

Environmental Regulations

Electric utilities are subject to continuing environmental regulation. Federal, state and local standards and procedures which regulate the environmental impact of electric utilities are subject to change. These changes may arise from continuing legislative, regulatory, and judicial action regarding such standards and procedures. Consequently, there is no assurance that MEAN’s facilities will remain subject to the regulations currently in effect, will meet future obligations without retrofit, that MEAN can anticipate the outcome of current regulatory and legislative process, or will always be able to obtain all required operating permits. An inability to comply with environmental standards could result in additional capital and operating expenditures to comply, reduced operating levels or the complete shutdown of individual units not in compliance. As necessary, MEAN will make application to the appropriate federal and state authorities for any permits, certifications and renewals required by federal and state law and regulations for the operations of its existing plants, and for the construction of capital additions and improvements.

Note 13: Contingencies

Claims and Judgments

From time to time, MEAN is party to various claims, public records requests, and legal proceedings. Although the outcome of such matters cannot be forecasted with certainty, it is the opinion of management and legal counsel that the likelihood is remote that any such claims or proceedings will have a material adverse effect on the financial statements of MEAN.


Financial Statements For the Period Ended

April 30, 2017

Municipal Energy Agency of Nebraska Financial Statements

April 30, 2017 Table of Contents Page Balance Sheets 1 Statement of Revenues & Expenses – Actual vs. Budget 2 Statement of Revenues & Expenses – Actual vs. Prior Year 3 Statements of Cash Flows 4 Charts of Selected Financial Results 5 MEAN Overall Financial Results: Net revenue/(loss) in April was $933,000 compared to a budget of $180,000 for a positive variance of $753,000. See below for further explanation. Operating Revenues – Operating revenues for April were $11.1M compared to a budget of $10.5M, 5.6% greater than budget. Revenues from Participant energy sales were nearly identical to budget. Energy sales revenues from non-participants were greater than budgeted by $0.6M. More MWh’s were sold in the East and in the West due to favorable market conditions. Electric Energy Costs –Although 15.3% more MWh’s were sold than budgeted, total electric energy costs for April were nearly identical to budget at $8.2M as a result of a number of cost savings. Purchased Power expenses for April were $6.2M compared to a budget of $6.3M, 0.7% less than budget. Significant components of purchased power expense include:

Contracted Purchases MWhs purchased from contracted resources were greater than budget by 14.1% due to economic

conditions resulting in additional generation than budgeted. However, the overall $/MWh was less than budget for a slight decrease in contracted purchases costs.

o PPGA had greater MWh generated than budgeted due to economic conditions which led to increased fuel costs.

o NS2 had a scheduled outage extend into an unscheduled outage. This led to a direct decrease in contracted energy expense.

o Wind units produced less MWh than expected. This led to a direct decrease in contracted energy expense.

o Fairbury’s committed facility was decommissioned in February leading to savings in capacity payments. This variance from budget will continue throughout the fiscal year.

Market Activity As energy needs of Participants were consistent with budget, total MWhs purchased for load in the RTO

markets was nearly identical to budget. Although $/MWh varied from budget in both markets, the net impact resulted in total costs for purchases for load consistent with budget.

o MISO MWhs purchased were slightly greater than budget at a greater $/MWh. o SPP MWhs purchased were slightly less than budget at a lower $/MWh.

Market MWh purchased in MISO & SPP were greater than budget as a result of market conditions. Overall, this contributed to the increase in sales to non-participants noted above.

Market MWh purchased in the West was greater than budget at a greater $/MWh resulting from various market factors.

Generation sales revenues received, which partially offset energy expense of related generation, were greater than budget.

o MISO units (WSEC4 & Louisa) net generated less MWhs than budget but the $/MWh received were greater than budget. Overall this led to an increase in MISO generation sales revenues received compared to budget.

o SPP Market (IM) units (WEC1, PPGA WEC2) net generated significantly more MWhs than budget while $/MWh received were less than budget. This resulted in an increase in SPP generation sales revenues received compared to budget.

o SPP Market (BL) units (LRS Unit 1, NPPD CNS, NPPD GGS, Wessington Springs & NPPD wind facilities) net generated less MWhs than budget but $/MWh received were greater than budget for a net decrease in generation sales revenues received compared to budget.

Production expenses for April were $1.4M compared to a budget of $1.5M, 6.3% less than budget. Significant components of production expense include:

Produced MWhs generated from owned resources were 37.9% greater than budget; resulting in the overall $/MWh being less than budget.

o Wygen I experienced major maintenance expenses greater than budgeted. o LRS 2 & 3 was under budget due to reduced maintenance expenses. o WSEC4 was budgeted to be offline all month due to an anticipated economic outage. WSEC4

generated for about a week, resulting in increased MWh generation and related fuel costs compared to budget.

Transmission expenses for April were $578,000 compared to a budget of $468,000, 23.4% greater than budget. Significant variances include:

SPP Network – April included billing for March and April due to delays in March billing resulting in expenses being higher than budgeted.

Point-to-Point – Short Term expenses vary from budget due to market conditions and availability of the Sidney tie. Availability of the Sidney tie allowed for greater usage of the Sidney tie in April compared to budget resulting in additional costs.

Transmission in Dispute – Transmission costs related to an ongoing transmission dispute are being recorded as an expense while the dispute is in litigation resulting in additional costs compared to budget.

Operating Income/(Loss) – April operating income/(loss) was $1,531,000 compared to a budget of $778,000 for a positive variance of $753,000.

2017 2016Assets & Deferred Outflows of Resources

Cash and Cash Equivalents 26,127,282$ 26,503,800$ Investments 17,076,847 16,976,678 Accounts Receivable 12,696,709 15,152,118 Prepaid Expenses and Other 302,508 330,429 Productive Capacity Operating Assets 4,614,153 3,695,154

Restricted InvestmentsDebt Service Funds 1,075,985 1,149,554 Debt Service Reserve Funds 12,989,446 13,754,577

Total Restricted Investments 14,065,431 14,904,131

Contracts Receivable 1,841,576 2,974,797

Productive Capacity, Net 120,962,996 126,775,875 Capital Assets, Net 5,564,722 5,872,090 Costs Recoverable from Future Billings 42,005,787 43,108,878

Total Assets 245,258,011 256,293,950

Deferred Outflows of ResourcesDeferred Cost of Refunded Debt 9,477,026 2,689,859

Total Assets and Deferred Outflows of Resources 254,735,037$ 258,983,809$

Liabilities, Deferred Inflows of Resources and Net Position

Current LiabilitiesCurrent Maturities of Long-Term Debt

2009 Series A Bonds 1,240,000$ -$ 2012 Series A Bonds 2,410,000 3,480,000 2013 Series A and B Bonds 2,295,000 2,235,000

Total Current Maturities of Long-Term Debt 5,945,000 5,715,000

Accounts Payable and Accrued Expenses 8,501,212 12,589,467 Accrued Interest Payable 583,977 674,572

Total Current Liabilities 15,030,188 18,979,038

Long-Term Debt2009 Series A Bonds 1,310,000 72,235,000 2012 Series A Bonds 49,575,000 51,985,000 2013 Series A and B Bonds 31,320,000 33,615,000 2016 Series A Bonds 68,905,000 -

Total Long-Term Debt 151,110,000 157,835,000

Premium on Long-Term Debt 17,297,884 10,467,313

Total Liabilities 183,438,072 187,281,352

Deferred Inflows of ResourcesDeferred Revenue - Rate Stabilization

RITA Funds 2,425,799 3,689,966 Capital Funds 4,011,691 4,626,036 General Funds 15,984,345 15,316,708

Total Deferred Revenue - Rate Stabilization 22,421,836 23,632,709

Net PositionNet Position, Beginning of Year 47,942,094 47,764,198 YTD Net Revenue / (Loss) 933,035 305,550

Net Position 48,875,130 48,069,748

Total Liabilities, Deferred Inflows ofResources and Net Position 254,735,037$ 258,983,809$

Municipal Energy Agency of NebraskaBalance Sheets

April 30, 2017 and 2016

1

Fiscal YearActual Budget + / - % + / - Actual Budget + / - % + / - Budget

Electric Energy Sales - MWh'sSchedule M 106,017 105,071 946 0.9% 106,017 105,071 946 0.9% 1,517,100Schedule K 6,261 6,451 (190) -2.9% 6,261 6,451 (190) -2.9% 97,169Schedule J 2,321 2,895 (574) -19.8% 2,321 2,895 (574) -19.8% 49,185Non-Participants 28,119 7,880 20,239 256.8% 28,119 7,880 20,239 256.8% 149,272Renewables - Wind 10,175 10,289 (114) -1.1% 10,175 10,289 (114) -1.1% 127,215Landfill Gas - Energy 84 84 - 0.0% 84 84 - 0.0% 1,008

Total Electric Energy Sales - MWh's 152,977 132,670 20,307 15.3% 152,977 132,670 20,307 15.3% 1,940,949

Operating RevenuesElectric Energy Sales

Schedule M 7,953,991$ 7,912,072$ 41,919$ 0.5% 7,953,991$ 7,912,072$ 41,919$ 0.5% 104,415,714$ Schedule K 573,275 581,385 (8,110) -1.4% 573,275 581,385 (8,110) -1.4% 7,799,216 Schedule J 114,210 140,900 (26,690) -18.9% 114,210 140,900 (26,690) -18.9% 2,433,026 Non-Participants 710,928 123,501 587,427 475.6% 710,928 123,501 587,427 475.6% 3,257,406 Renewables - Wind 518,905 524,732 (5,827) -1.1% 518,905 524,732 (5,827) -1.1% 6,487,946 Landfill Gas - Energy 3,426 3,426 (0) 0.0% 3,426 3,426 (0) 0.0% 41,112 Landfill Gas - Attributes 33,480 33,480 - 0.0% 33,480 33,480 - 0.0% 401,760

Total Electric Energy Sales 9,908,214 9,319,496 588,718 6.3% 9,908,214 9,319,496 588,718 6.3% 124,836,180 Transfer From / (Provision For) Rate Stab

Rate Stabilization - General 905,365 905,365 - 0.0% 905,365 905,365 - 0.0% - Rate Stabilization - Capital 81,606 81,606 0 0.0% 81,606 81,606 0 0.0% 979,275 Rate Stabilization - RITA 109,167 109,167 (0) 0.0% 109,167 109,167 (0) 0.0% 1,310,000

Total Trans From / (Prov For) Rate Stab 1,096,138 1,096,138 (0) 0.0% 1,096,138 1,096,138 (0) 0.0% 2,289,275 Other 84,390 83,004 1,386 1.7% 84,390 83,004 1,386 1.7% 683,695

Total Operating Revenues 11,088,741 10,498,638 590,103 5.6% 11,088,741 10,498,638 590,103 5.6% 127,809,150

Operating ExpensesElectric Energy Costs

Purchased Power 6,226,972 6,270,257 (43,285) -0.7% 6,226,972 6,270,257 (43,285) -0.7% 78,490,231 Production 1,360,623 1,451,942 (91,319) -6.3% 1,360,623 1,451,942 (91,319) -6.3% 17,554,954 Transmission 577,934 468,399 109,535 23.4% 577,934 468,399 109,535 23.4% 5,528,099

Total Electric Energy Costs 8,165,529 8,190,598 (25,069) -0.3% 8,165,529 8,190,598 (25,069) -0.3% 101,573,284

Administrative and GeneralPayroll and Benefits 499,796 522,752 (22,956) -4.4% 499,796 522,752 (22,956) -4.4% 6,273,013 Internal Office 69,398 105,128 (35,730) -34.0% 69,398 105,128 (35,730) -34.0% 1,344,191 Member 134,059 140,041 (5,982) -4.3% 134,059 140,041 (5,982) -4.3% 339,948 Consultants and Outside Services 158,263 183,738 (25,475) -13.9% 158,263 183,738 (25,475) -13.9% 2,002,137

Total Administrative and General 861,516 951,659 (90,143) -9.5% 861,516 951,659 (90,143) -9.5% 9,959,289

Depreciation and Amortization 530,937 578,272 (47,335) -8.2% 530,937 578,272 (47,335) -8.2% 6,939,255

Total Operating Expenses 9,557,981 9,720,529 (162,548) -1.7% 9,557,981 9,720,529 (162,548) -1.7% 118,471,828

Operating Income/(Loss) 1,530,760 778,109 752,651 96.7% 1,530,760 778,109 752,651 96.7% 9,337,322

Nonoperating Revenues/(Expenses)Net Costs To Be Recovered in Future Periods (89,227) (87,062) (2,165) 2.5% (89,227) (87,062) (2,165) 2.5% (1,044,748) Investment Return 35,445 33,279 2,166 6.5% 35,445 33,279 2,166 6.5% 398,600 Interest Expense (543,943) (543,941) (2) 0.0% (543,943) (543,941) (2) 0.0% (6,527,312)

Net Nonoperating Revenues/(Expenses) (597,725) (597,724) (1) 0.0% (597,725) (597,724) (1) 0.0% (7,173,460)

Net Revenue / (Loss) 933,035$ 180,385$ 752,650$ 417.2% 933,035$ 180,385$ 752,650$ 417.2% 2,163,862$

Municipal Energy Agency of NebraskaStatement of Revenues and Expenses - Actual vs. Budget

For Period Ended April 30, 2017

Current Month Fiscal YTD

2

Current Prior Year + / - % + / - Current Prior Year + / - % + / -Electric Energy Sales - MWh's

Schedule M 106,017 106,942 (925) -0.9% 106,017 106,942 (925) -0.9%Schedule K 6,261 6,787 (525) -7.7% 6,261 6,787 (525) -7.7%Schedule J 2,321 1,167 1,153 98.8% 2,321 1,167 1,153 98.8%Non-Participants 28,119 20,471 7,648 37.4% 28,119 20,471 7,648 37.4%Renewables - Wind 10,175 11,486 (1,312) -11.4% 10,175 11,486 (1,312) -11.4%Landfill Gas - Energy 84 84 0 0.0% 84 84 0 0.0%

Total Electric Energy Sales - MWh's 152,977 146,938 6,039 4.1% 152,977 146,938 6,039 4.1%

Operating RevenuesElectric Energy Sales

Schedule M 7,953,991$ 7,888,559$ 65,432$ 0.8% 7,953,991$ 7,888,559$ 65,432$ 0.8%Schedule K 573,275 565,024 8,251 1.5% 573,275 565,024 8,251 1.5%Schedule J 114,210 59,870 54,340 90.8% 114,210 59,870 54,340 90.8%Non-Participants 710,928 383,430 327,497 85.4% 710,928 383,430 327,497 85.4%Renewables - Wind 518,905 586,765 (67,860) -11.6% 518,905 586,765 (67,860) -11.6%Landfill Gas - Energy 3,426 3,189 236 7.4% 3,426 3,189 236 7.4%Landfill Gas - Attributes 33,480 33,480 - 0.0% 33,480 33,480 - 0.0%

Total Electric Energy Sales 9,908,214 9,520,317 387,897 4.1% 9,908,214 9,520,317 387,897 4.1%Transfer From / (Provision For) Rate Stab

Rate Stabilization - General 905,365 1,043,002 (137,637) -13.2% 905,365 1,043,002 (137,637) -13.2%Rate Stabilization - Capital 81,606 166,667 (85,061) -51.0% 81,606 166,667 (85,061) -51.0%Rate Stabilization - RITA 109,167 105,000 4,167 4.0% 109,167 105,000 4,167 4.0%

Total Trans From / (Prov For) Rate Stab 1,096,138 1,314,669 (218,531) -16.6% 1,096,138 1,314,669 (218,531) -16.6%Other Revenues 84,390 34,989 49,400 141.2% 84,390 34,989 49,400 141.2%

Total Operating Revenues 11,088,741 10,869,975 218,766 2.0% 11,088,741 10,869,975 218,766 2.0%

Operating ExpensesElectric Energy Costs

Purchased Power 6,226,972 6,679,320 (452,348) -6.8% 6,226,972 6,679,320 (452,348) -6.8%Production 1,360,623 1,372,278 (11,655) -0.8% 1,360,623 1,372,278 (11,655) -0.8%Transmission 577,934 511,104 66,830 13.1% 577,934 511,104 66,830 13.1%

Total Electric Energy Costs 8,165,529 8,562,702 (397,173) -4.6% 8,165,529 8,562,702 (397,173) -4.6%

Administrative and GeneralPayroll and Benefits 499,796 432,555 67,241 15.5% 499,796 432,555 67,241 15.5%Internal Office 69,398 77,493 (8,095) -10.4% 69,398 77,493 (8,095) -10.4%Member 134,059 119,851 14,207 11.9% 134,059 119,851 14,207 11.9%Consultants and Outside Services 158,263 116,715 41,549 35.6% 158,263 116,715 41,549 35.6%

Total Administrative and General 861,516 746,614 114,902 15.4% 861,516 746,614 114,902 15.4%

Depreciation and Amortization 530,937 600,142 (69,205) -11.5% 530,937 600,142 (69,205) -11.5%

Total Operating Expenses 9,557,981 9,909,457 (351,476) -3.5% 9,557,981 9,909,457 (351,476) -3.5%

Operating Income/(Loss) 1,530,760 960,518 570,242 59.4% 1,530,760 960,518 570,242 59.4%

Nonoperating Revenues/(Expenses)Net Costs To Be Recovered in Future Periods (89,227) (65,539) (23,688) 36.1% (89,227) (65,539) (23,688) 36.1%Investment Return 35,445 35,426 19 0.1% 35,445 35,426 19 0.1%Interest Expense (543,943) (636,894) 92,952 -14.6% (543,943) (636,894) 92,952 -14.6%Other - 12,040 (12,040) -100.0% - 12,040 (12,040) -100.0%

Total Nonoperating Revenues/(Expenses) (597,725) (654,968) 57,243 -8.7% (597,725) (654,968) 57,243 -8.7%

Net Revenue / (Loss) 933,035$ 305,550$ 627,485$ 205.4% 933,035$ 305,550$ 627,485$ 205.4%

Month Fiscal YTD

Municipal Energy Agency of NebraskaStatement of Revenues and Expenses - Actual vs. Prior Year

For Period Ended April 30, 2017 and 2016

3

Current FiscalMonth YTD

Cash Received From Participants & CustomersSchedule M $11,107,588 $11,107,588 Schedule K 884,808 884,808Schedule J 142,288 142,288Service Schedule 182,969 182,969Non-Participants 419,737 419,737Other - -

12,737,390 12,737,390

Cash Paid To Suppliers (11,610,031) (11,610,031)

Cash Received From (Paid To) Coalition Members, NetNMPP (500,000) (500,000)NPGA 2,370 2,370ACE 2,987 2,987

Transfer from / (to) Escrow (9,342) (9,342)

Debt Service ActivityTransfer to Debt Service Accounts (1,079,393) (1,079,393)Interest Received On Debt Service Investments 110,546 110,546

Additions of Productive Capacity (276,618) (276,618)

Purchase of Capital Assets - -

Purchases, Sales, & Maturities Of Investments, Net (37) (37)

Interest Received On Investments 11,089 11,089

Increase (Decrease) In Cash & Cash Equivalents (611,041) (611,041)

Cash & Cash Equivalents, Beginning Of Period 26,738,323 26,738,323

Cash & Cash Equivalents, End Of Period $26,127,282 $26,127,282

Municipal Energy Agency of NebraskaStatements of Cash Flows

For Period Ended April 30, 2017

4

Municipal Energy Agency of NebraskaSelected Financial Results

Fiscal Year to Date Ended April 30, 2017

Schedule M78.5%

Schedule K5.7%

Schedule J1.1%

Non‐Participants7.0%

Renewables ‐ Wind & Landfill Gas

5.5%

Rate Stabilization ‐RITA1.1%

Investment Return & Other1.2%

Actual Revenues By Type ‐ % of Total RevenuesExcludes Rate Stabilization ‐ General & Capital Activity

Purchased Power61.1%

Production13.4%

Transmission5.7%

A&G8.5%

Depreciation & Debt Service11.4%

Actual Expenses By Type ‐ % of Total Expenses

$10.5 $10.4 $11.1 $10.2

$0

$2

$4

$6

$8

$10

$12

Total Revenues Total Expenses

MILLIONS

YTD ‐ Actual vs. Budget

Budget Actual

5

RESOLUTION NO. _________

RESOLUTION AUTHORIZING THE APPROVAL AND EXECUTION OF AND DELIVERY OF THE SUBSTITUTED AND RESTATED 28E AGREEMENT OF

THE DES MOINES REGIONAL TRANSIT AUTHORITY

WHEREAS, the City of Des Moines, Iowa, the City of West Des Moines, Iowa, the City of Windsor Heights, Iowa, the City of Urbandale, Iowa, the City of Clive, Iowa, the City of Ankeny, Iowa, and the City of Altoona, Iowa, (the “Constituent Communities”) are parties to the Intergovernmental Agreement Creating the Des Moines Metropolitan Transit Authority, filed of record in the Office of the Recorder of Polk County, Iowa, on June 1, 1973, in Book 4372, Pages 589 through 606; as amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on July 27, 1973, in Book 4389, Pages 52 through 61; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on August 31, 1973, in Book 4397, Pages 85 and 86; as further amended by Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on January 9, 1981, in Book 5066, Pages 968 through 972; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on December 1, 1987, in Book 5797, Page 586; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on March 11, 2003, in Book 9684, Pages 17 through 26; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on December 9, 2003, in Book 10303, Pages 62 through 72; and as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on January 11, 2005, in Book 10897, Pages 830 through 840 (hereinafter called the “Intergovernmental Agreement“);

WHEREAS, the parties to said Intergovernmental Agreement considered it desirable to amend and restate said Intergovernmental Agreement to provide for the organization and governance of the Des Moines Regional Transit Authority pursuant to the provisions of and with all powers provided in, Chapter 28M of the Iowa Code, and to provide for the admission of Polk County, Iowa as a member of the Des Moines Regional Transit Authority (hereinafter “DART”); and therefore, further entered into the Amended and Restated Agreement for the Des Moines Regional Transit Authority, which was filed on May 23, 2006; and subsequently amended by the First Supplement to the Amended and Restated Agreement, which was filed on July 1, 2008; and further amended by the First Amendment to the Amended and Restated Agreement, which was filed on May 20, 2010; and finally further amended by the Second Amendment to the Amended and Restated Agreement, which was filed on June 21, 2012 (hereinafter, collectively “Prior 28E Agreement”);

WHEREAS, the Constituent Communities, Polk County, the City of Alleman, Iowa, the

City of Bondurant, Iowa, the City of Carlisle, Iowa, the City of Elkhart, Iowa, the City of Granger, Iowa, the City of Grimes, Iowa, the City of Johnston, Iowa, the City of Mitchellville, Iowa, the City of Pleasant Hill, Iowa, the City of Polk City, Iowa, and the City of Runnells, Iowa (hereinafter referred to as the “Participating Communities”), hereby deem it desirable to replace the Prior 28E Agreement and any counterparts thereto to provide for a new governance structure;

WHEREAS, the DART Commission approved the proposed Substituted and Restated

28EAgreement for the Des Moines Regional Transit Authority (“Agreement”), at its meeting on June 6, 2017; and

WHEREAS, before becoming effective, the Agreement must now be approved by

each of the Participating Communities. NOW, THEREFORE, BE IT RESOLVED by the City of Carlisle, Iowa:

Section 1. Approval of Agreement. The form and content of the Agreement is in all respects authorized, confirmed and approved, and the Mayor and Clerk of the City of Carlisle, Iowa, are hereby authorized, empowered and directed to execute, attest, seal and deliver the Agreement for and on behalf of the City of Carlisle, Iowa, and that from and after the execution and delivery of the Agreement, the Mayor and City Clerk are hereby authorized, empowered and directed to do all such acts and things and to execute all such documents as may be necessary to carry out and comply with the provisions of the Agreement. Section 2. Certification. A certified copy of this resolution and the executed signature page to the Agreement shall be promptly provided to DART as contemplated in the Agreement. Passed and approved this 10 day of July, 2017.

By: Ruth Randleman Its: Mayor

ATTEST: By: Martha Becker Its: City Clerk

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SUBSTITUTED AND RESTATED 28E AGREEMENT FOR THE

DES MOINES REGIONAL TRANSIT AUTHORITY

JUNE 6, 2017

SUBSTITUTED AND RESTATED 28E AGREEMENT FOR THE DES MOINES REGIONAL TRANSIT AUTHORITY JUNE 6, 2017

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TABLE OF CONTENTS

ARTICLE 1. DEFINITIONS

Section 1. Definitions ............................................................................................................ 5 ARTICLE II. PURPOSE AND STATUS AS LEGAL ENTITY

Section 1. Purpose ................................................................................................................ 7 Section 2. Status as Legal Entity ......................................................................................... 7

ARTICLE III. ORGANIZATION OF COMMISSION

Section 1. Commission Shall Constitute Governing Body of DART ............................. 7 Section 2. Composition of Commission ............................................................................ 8 Section 3. Voting ................................................................................................................... 10 Section 4. Officers ................................................................................................................. 10 Section 5. Meetings .............................................................................................................. 11 Section 6. Bylaws .................................................................................................................. 11

ARTICLE IV. POWERS OF COMMISSION: AUTHORIZATION AND LIMITATION ON POWER TO LEVY TAXES

Section 1. Grant of Powers ................................................................................................. 12 Section 2. Power to Levy Tax .............................................................................................. 14

ARTICLE V. COMMITTEES

Section 1. Executive Committee ....................................................................................... 14 Section 2. Nominating Committee ................................................................................... 14 Section 3. Other Standing Committees ........................................................................... 14 Section 4. Other Committees ............................................................................................. 14 Section 5. Open Meetings .................................................................................................. 14

ARTICLE VI. TRANSFER OF EXISTING FACILITIES AND ASSETS

Section 1. Acquisition of Existing Facilities ........................................................................ 14 ARTICLE VII. OPERATION AND MAINTENANCE RESPONSIBILIITES

Section 1. Commission Responsibilities for Operation and Maintenance ................. 15 Section 2. Staff and Contracts ........................................................................................... 15

ARTICLE VIII. BUDGET

Section 1. Fiscal Year ........................................................................................................... 15 Section 2. Schedule for Budget Preparation .................................................................. 15 Section 3. Content and Format of Annual Budget ........................................................ 15 Section 4. Allocation of Budget ......................................................................................... 16 Section 5. Budget Hearing .................................................................................................. 18


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ARTICLE IX. FUNDS AND ACCOUNTS

Section 1. Funds and Investments ..................................................................................... 17 Section 2. Annual Audit ....................................................................................................... 18

ARTICLE X. ADDITIONAL PARTICIPATING COMMUNITIES

Section 1. Admission of Additional Participating Communities .................................. 18 Section 2. Voting Rights ....................................................................................................... 18

ARTICLE XI. ISSUANCE OF BONDS

Section 1. Obligations and Use of Reserves Authorized ............................................... 18 Section 2. Obligations of DART .......................................................................................... 19 Section 3. Restriction on Withdrawal ................................................................................ 19

ARTICLE XII. ACQUISITION AND DISPOSITION OF PROPERTY

Section 1. Acquisition ........................................................................................................... 19 Section 2. Disposition ........................................................................................................... 19

ARTICLE XIII. TECHNICAL COOPERATION

Section 1. Participating Community Records ................................................................. 19 Section 2. DART Records ..................................................................................................... 20

ARTICLE XIV. AMENDMENTS

Section 1. Amendments ...................................................................................................... 20 ARTICLE XV. REMEDIES, NOTICES

Section 1. Remedies ............................................................................................................. 20 Section 2. Notices ................................................................................................................. 20

ARTICLE XVI. WITHDRAWAL BY PARTICIPATING COMMUNITIES

Section 1. Notice of Withdrawal ........................................................................................ 20 Section 2. Restrictions on Withdrawal ............................................................................... 21 Section 3. Entitlement on Withdrawal .............................................................................. 21 Section 4. Resolution ............................................................................................................ 22

ARTICLE XVII. CONTRACTING FOR TRANSIT SERVICES

Section 1. ................................................................................................................................. 22 ARTICLE XVIII. EFFECTIVE DATE AND DURATION OF AGREEMENT

Section 1. Effective Date .................................................................................................... 23 Section 2. Duration ............................................................................................................... 23


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ARTICLE XIX. TRANSITION MATTERS

Section 1. Prior Budget Actions .......................................................................................... 23 Section 2. Assumption of Contracts .................................................................................. 23 Section 3. Officers ................................................................................................................. 23 Section 4. Commission Members ...................................................................................... 23 Section 5. Policies ................................................................................................................. 23 Section 6. Participating Communities’ Status ................................................................. 24

ARTICLE XX. SEVERABILITY

Section 1. Provisions to be Severable ............................................................................... 24 ARTICLE XXI. EXECUTION OF AGREEMENT

Section 1. Passage of Resolution ....................................................................................... 24 Section 2. Signature Pages ................................................................................................. 24

PARTICIPATING COMMUNITY SIGNATURE PAGES .......................................................................... 24-42


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WHEREAS, the City of Des Moines, Iowa, the City of West Des Moines, Iowa, the City of

Windsor Heights, Iowa, the City of Urbandale, Iowa, the City of Clive, Iowa, the City of Ankeny, Iowa, and the City of Altoona, Iowa, (the “Constituent Communities”) are parties to the Intergovernmental Agreement Creating the Des Moines Metropolitan Transit Authority, filed of record in the Office of the Recorder of Polk County, Iowa, on June 1, 1973, in Book 4372, Pages 589 through 606; as amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on July 27, 1973, in Book 4389, Pages 52 through 61; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on August 31, 1973, in Book 4397, Pages 85 and 86; as further amended by Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on January 9, 1981, in Book 5066, Pages 968 through 972; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa, on December 1, 1987, in Book 5797, Page 586; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on March 11, 2003, in Book 9684, Pages 17 through 26; as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on December 9, 2003, in Book 10303, Pages 62 through 72; and as further amended by an Agreement filed of record in the Office of the Recorder of Polk County, Iowa on January 11, 2005, in Book 10897, Pages 830 through 840 (hereinafter called the “Intergovernmental Agreement“);

WHEREAS, the parties to said Intergovernmental Agreement considered it desirable to amend and restate said Intergovernmental Agreement to provide for the organization and governance of the Des Moines Regional Transit Authority pursuant to the provisions of and with all powers provided in, Chapter 28M of the Iowa Code, and to provide for the admission of Polk County, Iowa as a member of the Des Moines Regional Transit Authority (hereinafter “DART”); and therefore, further entered into the Amended and Restated Agreement for the Des Moines Regional Transit Authority, which was filed on May 23, 2006; and subsequently amended by the First Supplement to the Amended and Restated Agreement, which was filed on July 1, 2008; and further amended by the First Amendment to the Amended and Restated Agreement, which was filed on May 20, 2010; and finally further amended by the Second Amendment to the Amended and Restated Agreement, which was filed on June 21, 2012 (hereinafter, collectively “Prior 28E Agreement”);

WHEREAS, the Constituent Communities, Polk County, the City of Alleman, Iowa, the City

of Bondurant, Iowa, the City of Carlisle, Iowa, the City of Elkhart, Iowa, the City of Granger, Iowa, the City of Grimes, Iowa, the City of Johnston, Iowa, the City of Mitchellville, Iowa, the City of Pleasant Hill, Iowa, the City of Polk City, Iowa, and the City of Runnells, Iowa, hereby deem it desirable to replace the Prior 28E Agreement and any counterparts thereto to provide for a new governance structure; and

WHEREAS, the Participating Communities have agreed that the Prior 28E Agreement and any counterparts thereto shall be completely replaced in its entirety on the Effective Date of this Substituted and Restated 28EAgreement for the Des Moines Regional Transit Authority (“Agreement”), and that from and after the Effective Date the terms of this Agreement shall be given effect and govern the matters set forth herein.

NOW, THEREFORE, THE PARTICIPATING COMMUNITIES AGREE AS FOLLOWS:

ARTICLE I. DEFINITIONS

Section 1. Definitions. For purposes of this Agreement, the following words and phrases shall have the following meanings:


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(a) “Agreement” shall mean this Substituted and Restated 28E Agreement of Des

Moines Regional Transit Authority, as the same may be amended and supplemented from time to time.

(b) “Bonds” shall mean any and all general obligation or revenue bonds, notes, loan

or lease agreements, interim obligations, or other obligations issued by DART, or its predecessor entities, as authorized under Chapter 28M of the Code or any other applicable provision of law, to acquire equipment and/or to construct facilities or improvements to the DART System.

(c) “Code” shall mean the Code of Iowa, as the same may be amended and

supplemented from time to time. (d) “Commission” shall mean the Commission of DART, being the successor to the

Board created under the Intergovernmental Agreement Creating the Des Moines Metropolitan Transit Authority and the subsequent Commission of the RTA.

(e) “Effective Date” shall mean October 1, 2017. (f) “Equipment” shall mean and includes buses, bus maintenance vehicles, bus

maintenance equipment and tools, office equipment and furniture, and all other items of personal property necessary or useful in the operation and maintenance of the DART System.

(g) “Improvements” shall mean buildings or other facilities constructed as part of or

for the use and benefit of the DART System or its prior system. (h) “MTA” shall mean the Des Moines Metropolitan Transit Authority established under

the Intergovernmental Agreement Creating the Des Moines Metropolitan Transit Authority. (i) “MTA Board” shall mean the Board established under the Intergovernmental

Agreement Creating the Des Moines Metropolitan Transit Authority. (j) “DART”, formerly referred to as RTA, shall mean the Des Moines Regional Transit

Authority established and operating as described in this Agreement. (k) “DART System”, formerly referred to as RTA System, means and includes all real

property, buildings and facilities, including DART administration buildings and bus maintenance and storage buildings at 1100 MTA Lane in Des Moines, and all equipment and transit vehicles, including buses, vans and all maintenance and service vehicles, and including bus shelters located along DART bus routes, heretofore acquired by DART’s predecessor agency or hereafter acquired by DART as herein provided, used in support of the provision of mass transit services in the Des Moines metropolitan area.

(l) “Nominating Committee” shall mean the committee established under the

provisions of Article V, Section 2 of this Agreement. (m) “Participating Communities“ shall mean the Cities of Alleman, Altoona, Ankeny,

Bondurant, Carlisle, Clive, Des Moines, Elkhart, Granger, Grimes, Johnston, Mitchellville, Pleasant Hill, Polk City, Runnells, Urbandale, West Des Moines, Windsor Heights and including Polk County, together with any other cities or counties that become Participating Communities under the provisions of this Agreement.


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ARTICLE II. PURPOSE AND STATUS AS LEGAL ENTITY

Section 1. Purpose. This Agreement is a substituted agreement for the Prior 28E

Agreement which was an amendment and restatement of the Intergovernmental Agreement Creating the Metropolitan Transit Authority, and is intended to provide for the continuation and expansion of the urban mass transit system (DART System) heretofore established, acquired and operated by DART’s predecessor agency(ies).

The purposes of the transit authority are as follows:

Undertaking the establishment or acquisition of an urban mass transit system, or succession to the ownership of a transit system heretofore separately owned and operated by one of such governmental municipalities or any combination of such establishment, acquisition or succession and the equipment, enlargement, extension, improvement, maintenance and operation thereof under the terms of, and subject to, the conditions of such federal assistance, if any, which may be available.

To cooperate with local, state and federal public agencies in seeking solutions for mass transit needs in the subject area which will minimize the problems of contamination and pollution of the land, water and air resources of the area.

To engage such employees and provide offices, equipment, machinery, buildings and grounds as are necessary to adequately perform the functions of DART.

To contract with member cities and counties, with public or private persons, firms or corporations or quasi-corporations to provide or assist in providing transit services which are necessarily incidental to a full and adequate provision of mass transit services for the subject area to the full extent permissible under applicable state and federal laws, and under the rules hereinafter set forth.

Section 2. Status as Legal Entity. DART shall be constituted as a separate legal entity and a regional transit district, pursuant to Chapters 28E and 28M of the Code, which shall be governed by the Commission and shall be known as “Des Moines Regional Transit Authority” or “DART”. As so constituted, the entity may sue and be sued, contract, issue debt, acquire and hold real and personal property necessary for its corporate purposes, adopt a corporate seal and alter the seal at its pleasure and execute all of the powers conferred in Chapters 28E and 28M of the Code or any successor laws.

ARTICLE III. ORGANIZATION OF COMMISSION

Section 1. Commission Shall Constitute Governing Body of DART. DART shall be governed in all matters by the Commission established in this Article.

Section 2. Composition of Commission.

(a) Commencing on October 1, 2017, the Commission shall be composed of members appointed as hereinafter provided.

(b) Initially, each of the Participating Communities shall have one (1) member on the

Commission, but the number of members may be increased to accommodate future participating communities in accord with Article X;


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(1) There shall be one (1) at-large Commission seat, which seat shall be an

elected official selected by the Polk County Board of Supervisors. An alternate, either an elected official or a non-elected official, shall also be selected by the Polk County Board of Supervisors.

(2) The remaining members of the Commission shall each be selected

annually by the respective Mayor of each of the Participating Communities within DART. The Mayors of each respective Participating Community will notify DART by November 1st of the name of the selected/appointed member of the Commission who will serve for the calendar year commencing on January 1st and ending on the subsequent December 31st. The member of the Commission shall serve until their term is terminated or until a new member of the Commission is selected/appointed by the Mayor of the Participating Community. The selected/appointed member of the Commission must be an elected official. The Mayor of each Participating Community shall also select/appoint an alternate. The alternate member may either be an elected official or a non-elected official.

(3) If a new community becomes a Participating Community, at the

commencement of the next fiscal year, then the Mayor from said newly added Participating Community shall also be allowed to select/appoint a member of the Commission and an alternate, and said member of the Commission will have all the authority and power as any other member of the Commission.

(c) In the event that a Participating Community provides its notice of withdrawal

from DART in accord with Article XVI, then the Commissioner from said withdrawing Participating Community shall be removed from the Commission effective the date the withdrawing Participating Community is fully withdrawn.

(d) The Participating Communities agree to review the composition of the Commission, as set forth above, after two (2) years from the Effective Date.

Section 3. Voting.

(a) In the conduct of the Commission’s business, each member of the Commission shall have one (1) vote, and the majority of those members of the Commission present and voting, if a quorum is established, shall decide such matters, unless a different voting threshold is specifically set forth in this Agreement. Having more than half (1/2) of the members of the Commission present and voting shall constitute that a quorum is established. No vote shall be taken without a quorum of the members of the Commission being present.

(b) Action to establish, relocate, or discontinue a vehicle route or any portion of a

vehicle route shall require the affirmative votes of at least two-thirds (2/3) of the members present at a meeting at which a quorum is established.

(c) Action to alter the fare schedule applicable to a vehicle route or any portion of a

vehicle route shall require the affirmative vote of at least two-thirds (2/3) of the members present at a meeting at which a quorum is established.


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(d) Action to approve a budget or add a new Participating Community shall require the affirmative votes of at least two-thirds (2/3) of the members present at a meeting at which a quorum is established.

(e) The Chair, or in the Chair’s absence the Vice-Chair, of the Commission may vote

and participate in discussion, but shall not make or second a motion. (f) Any Participating Community represented at that meeting may request a

population weighted vote on matters regarding: (1) the DART budget, (2) funding, (3) transit service levels, or (4) composition of the Commission, whereupon the vote on that item will automatically be continued to the next regularly scheduled or specially called meeting of the Commission, and notice of the impending population weighted vote will be given in the agenda for that meeting, unless notice of the request for such weighted vote has been given to the Chair of the Commission by the requesting Participating Community at least seven (7) days prior to the date of the scheduled meeting. At such meeting, if a quorum is present, the decision on the question that is the subject of the population weighted vote shall be determined by a vote of at least three-fourths (3/4) of the votes of the members present at such meeting. Each Participating Community shall make its vote during a called weighted vote by and through its elected official member on the Commission from said Participating Community.

(g) In November of each year, the Executive Committee shall review the most

recently available census data for each Participating Community, as adopted annually by the Metropolitan Planning Organization, and shall report to the Commission the population of each city that is a Participating Community and the population of each census tract situated within the service area of a county that is a Participating Community. Upon Commission approval of the population data and proportional assignments to Commission representatives, such populations and proportional assignments shall be binding on all Participating Communities. For each 25,000 in population or portion thereof a Participating Community shall be awarded one (1) vote when a population weighted vote of the Commission is called. Where the Participating Community is a county, such population shall be that of the unincorporated portion of the county.

Section 4. Officers.

(a) Number and Term. The officers of the Commission shall be the Chair, the Vice Chair and the Secretary/Treasurer, each of whom shall be elected each year by vote of the Commission at the annual meeting of the Commission for that year. Officers shall be elected for a one (1) year term, with a possible second term available. In no event shall a person hold one specific officer position for more than two (2) one year terms. Although not required, it is anticipated that the Vice-Chair shall move into the position of the Chair, and the Secretary/Treasurer shall move into the position of Vice-Chair.

(b) Duties of Chair. The Chair shall preside at all meetings of the Commission. The

Chair or the Vice Chair in the absence of the Chair shall sign any instruments which the Commission has authorized to be executed, except in cases where the signing of instruments shall be required by law or protocol to be otherwise signed or executed, or where the resolution of the Commission authorizes the signing of such instrument by another person.

(c) Duties of Vice Chair. In the absence of the Chair, or in the event of the death,

inability to act or refusal to act by the Chair, the Vice Chair shall perform the duties of the Chair, and when so acting, shall have all the powers of and be subject to all the restrictions upon that office.


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(d) Duties of Secretary/Treasurer. The Secretary/Treasurer or as otherwise assigned,

shall have the following duties and responsibilities:

(1) The taking and preservation of minutes of the proceedings of the Commission;

(2) The giving of all notices in accordance with this Agreement or any bylaws,

or as otherwise directed by the Commission or required by law; (3) Acting as custodian of the records of DART; (4) Keeping a current registry of the names and addresses of the members of

the governing body of each Participating Community, and of each Participating Community’s principal officers and of the Commission representatives and alternates;

(5) Overseeing the safeguarding and depositing of all fares, monies, receipts,

funds and other valuable effects collected or received in the name of and/or to the credit of the Des Moines Regional Transit Authority and, in this regard, complying with Iowa law including, but not limited to, Section 28M.6 of the Iowa Code and, if applicable, any successor thereto requiring all monies received by the Commission to be held by the county treasurer.

(6) Acting as the Chair of any Commission committee established to review

and/or audit any financial matters of DART.

(e) Election. The officers of the Commission shall be elected every year by and from the members of the Commission present at the annual meeting of the Commission for that year. The Nominating Committee shall select and offer nominations for each office at the annual meeting. Nominations for the officer positions shall also be accepted from the representatives present at that annual meeting. All nominees, including those offered by the Nominating Committee, must receive a second in order to be considered a candidate and voted on for said office.

(f) Term/Vacancy. Each office shall be elected for a one (1) year term. Each officer

shall hold office until his or her successor has been duly elected. Alternates, if any, shall not be eligible to serve as an officer. Each of the officers shall be from different DART Participating Communities. A vacancy in the office of Chair, Vice-Chair, or Secretary/Treasurer shall be filled by the Commission for the unexpired portion of the term.

ARTICLE IV. POWERS OF COMMISSION; AUTHORIZATION AND LIMITATION ON POWER TO LEVY TAXES

Section 1. Grant of Powers. The Commission shall have and may exercise all of the

powers granted by Chapters 28E and 28M of the Code or any successor laws, as the same may be amended and supplemented in the future, for the purpose of jointly acquiring and constructing improvements and equipment comprising the DART System on behalf of the Participating Communities, to operate and maintain the same for the benefit of all Participating Communities, and to jointly finance the acquisition and construction of equipment and improvements through the issuance of Bonds or other obligations as may be authorized for such


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purposes. Without limiting the foregoing, the Commission shall have all of the powers set forth in this Agreement, including the power to:

(a) approve its own budget, (b) contract for services and/or employ such staff as it deems necessary, (c) approve its own capital improvement program, (d) define parameters and benchmarks for all services, (e) enter into agreements, contracts or other arrangements for the financing of all

equipment and improvements, including the issuance of Bonds, (f) adopt and have a common seal and to alter the same at its pleasure, (g) sue and to be sued, (h) acquire, hold, use and dispose of the reserves derived from the operation of its

facilities and other monies of DART, (i) acquire, hold, use and dispose of other personal property for the purposes of

DART, (j) acquire by purchase, gift, lease or otherwise, real property and easements

therein necessary or useful and convenient for the operation of DART, subject to all liens thereon, if any, and to hold and use the same, and to dispose of property so acquired no longer necessary for the purposes of DART,

(k) accept gifts or grants of real or personal property, money, material, labor or

supplies for the purposes of DART, and to make and perform such agreements and contracts as may be necessary or convenient in connection with the procuring, acceptance or disposition of such gifts or grants,

(l) make and enforce rules and regulations for the management and operation of

its business and affairs and for the use, maintenance and operation of its facilities and any other of its properties, and to annul the same,

(m) do and perform any acts and things authorized by Chapters 28E and 28M, Code

of Iowa, or any successor laws, and by this agreement, under, through or by means of its officers, agents and employees, or by contracts with any person,

(n) enter into any and all contracts, execute any and all instruments, and do and perform any and all acts or things necessary, convenient or desirable for the purposes of the Authority or to carry out any powers expressly given by this agreement,

(o) cause the provision of transit within each member municipality together and to

offer transit services to other areas within the Des Moines metropolitan area, (p) fix, establish and maintain such transit service parameters, including routes,

schedules, and fares to best suit the Participating Communities and service areas,


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(q) make or cause to be made studies and surveys necessary or useful and convenient to carrying out the functions of DART,

(r) contract with and compensate consultants for professional services including but

not limited to, architects, engineers, planners, lawyers, accountants, rate specialists, and all others found necessary or useful and convenient to the stated purposes of DART including contract management,

(s) prepare and recommend to Participating Communities local ordinances to

facilitate the provision of transit services within such communities,

(t) exercise such powers relative to the efficient provision of transit services as are available under then existing laws to each Participating Community as is necessary or useful and convenient to carrying out the functions of DART within such Participating Community, as such functions are defined by this contract,

(u) provide for a system of budgeting, accounting, auditing and reporting of all DART

funds and transactions, for a depository or depositories, and for the bonding of employees, (v) consult with representatives of federal, state and local agencies, departments

and their officers and employees and to contract with such agencies and departments, (w) exercise such other powers as are available to DART under then existing law as is

necessary or useful and convenient to carrying out the functions of DART within each Participating Community, as such functions are defined by this contract,

(x) hire employees, fix their compensation, benefits, personnel rules and regulations,

and terminate their employment, and hire a chief executive officer, fix his/her compensation, benefits, and terminate his/her employment, and may delegate to the chief operating officer the authority to hire other DART employees, fix their compensation, benefits, personnel rules and regulations, and terminate their employment,

(y) accept grants or contributions from, and to enter into contracts, leases, or other transactions with public or private persons, firms or corporations or quasi corporations to provide or assist in providing transit services which are necessarily incidental to a full and adequate provision of mass transit services for the subject area to the full extent permissible under applicable state and federal laws.

Section 2. Power to Levy Tax. The Commission is hereby authorized to levy a tax under Section 28M.5 of the Code to fund the budget of the DART System, provided that said levy in any year shall not exceed the maximum levy allowed under the Iowa Code in the Participating Communities comprising DART. The Commission may in any fiscal year levy in excess of said rate upon amendment of this Agreement as hereafter provided, not to exceed such rate of levy otherwise authorized by the Iowa Code. For the fiscal year ending June 30, 2017, the levy rates shall not exceed those rates set forth in Exhibit A to this Agreement.

ARTICLE V. COMMITTEES

Section 1. Executive Committee. An Executive Committee is hereby established for the purpose of oversight and review of the following:

(a) The Commission’s rules and structure;


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(b) DART policies; (c) Financial plan and budget; (d) Legislative plan; (e) Government relations and communications strategies; (f) Take action on behalf of the full board in true emergency situations where full

board action is impossible; and (g) Evaluation and performance of the Chief Executive Officer/General Manager. Members of the Executive Committee shall consist of the Chair, Vice-Chair, and the

Secretary/Treasurer of the Commission.

Section 2. Nominating Committee. A Nominating Committee is hereby established for the purpose of selecting and offering nominations for each office of the Commission at the annual meeting in January. Members of the Nominating Committee shall be appointed by the Chair at a regular Commission meeting held at least three (3) months prior to the annual meeting in January. The Nominating Committee shall be chaired by a representative elected by the other members of the Nominating Committee.

Section 3. Other Standing Committees. The Commission shall have the authority to

establish certain standing committees, such as the Strategic Planning and Operations Committee and/or a Finance/Audit and Administration Committee, as otherwise provided in the Bylaws of the Des Moines Regional Transit Authority, as amended. The Commission shall determine the makeup of these committees. Each Commission member shall have the right to sit on at least one of the standing committees, as established under this Section, before any Commission member could sit on more than one such standing committee; except that the City of Des Moines will be permitted to sit a member on each such standing committee. The designation of such committee(s) shall not operate to relieve the Commission of any responsibility imposed by this Agreement or any amendments or supplements thereto. If appropriate, the chairs of any standing committees could be asked to serve on the Executive Committee as liaisons.

Section 4. Other Committees. The Commission may, by resolution, designate two or

more of its representatives to constitute an ad hoc committee or as otherwise authorized by the Bylaws of the Des Moines Regional Transit Authority, as amended. Such ad hoc committee shall, if authorized by regulation of the Commission, provide advice and recommendations to the Commission.

Section 5. Open Meetings. All of the committee meetings shall be open to the public,

and notice of the time and place of such committee meetings shall be provided to all members of the Commission and any news media which have filed a request for the same, minutes of such committee meetings shall be kept and provided.

ARTICLE VI. TRANSFER OF EXISTING FACILITIES AND ASSETS

Section 1. Acquisition of Existing Facilities. On the Effective Date, DART, formerly known as the RTA, shall hold and have all right, title and interest in and to the ownership and use, of all


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Equipment, Improvements and real property, which it had previously acquired, and which was formerly owned and operated by the RTA and/or its predecessor MTA agency established by the Intergovernmental Agreement for Creation of the Des Moines Metropolitan Transit Authority.

ARTICLE VII. OPERATION AND MAINTENANCE RESPONSIBILITIES

Section 1. Commission Responsibilities for Operation and Maintenance. The Commission shall operate and maintain all DART mass transit system equipment and facilities for the benefit of all Participating Communities.

Section 2. Staff and Contracts. In fulfilling its responsibilities, the Commission may determine to employ such staff for such purposes and on such terms as it determines to be necessary or appropriate, and may contract with third parties for all necessary or desirable services, including operating services, and may define and enforce applicable parameters and benchmarks for the same.

ARTICLE VIII. BUDGET

Section 1. Fiscal Year. DART shall operate on the same fiscal year as a city under the Code.

Section 2. Schedule for Budget Preparation. Each year the Commission shall cause to

be prepared and submitted to the Commission and to the Participating Communities a proposed preliminary DART budget for the next fiscal year. The Commission shall establish the date, time and place for a hearing on the proposed DART budget before the Commission, and each Participating Community shall be notified thereof in writing not less than thirty days prior to the hearing. Upon the request of any Participating Community, the Commission shall make available such reasonably accessible information, schedules, comparisons and analysis as may be deemed reasonably necessary by such Participating Community in order to fully analyze the proposed DART budget.

Section 3. Content and Format of Annual Budget. The DART budget shall include,

among other things, (a) a budget of the costs of operation and maintenance for the upcoming fiscal year (including but not limited to administrative expense and additions to the Renewal and Replacement Fund and the reserves for operating and working capital, and insurance and claims); (b) a capital improvements program budget for the upcoming fiscal year; (c) a debt service schedule for the upcoming fiscal year; (d) a comparison of the budgeted and actual DART expenditures for operation and maintenance for the current fiscal year; (e) a schedule showing the allocation of operation and maintenance expenses and debt service at a summary level for the upcoming fiscal year; (f) a schedule showing all projected revenues from each Participating Community for the upcoming fiscal year, including fare revenues and tax revenues; and (g) the proposed tax levy to be levied in each Participating Community in the upcoming fiscal year necessary to generate the tax revenue required from each Community to fund the proposed budget.


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Section 4. Allocation of Budget.

(a) Operating Budget – Formula. Pursuant to Article VIII, Section 4(c) of the Prior 28E Agreement, the Commission developed and adopted a new formula for cost allocation for the operating and capital improvement budgets for DART, which formula replaced the previous formula set forth in the Prior 28E Agreement. The new formula is attached hereto as Appendix A. Pursuant to the new formula, as well as adjustments adopted by the Commission in November 2016 which froze the levy rates of certain Participating Communities, the Commission adopted the budget for fiscal year 2018. See Appendix B which sets forth the current rates for the Participating Communities.

(b) Capital Improvement Budget Expenses. In preparing each fiscal year budget, the Commission shall determine each Participating Community’s share of the anticipated difference between total transit system Capital Improvement Program costs and capital improvement revenues including, but not limited to, State and Federal grants and private contributions or gifts and other capital improvement revenues.

(c) The annual cost allocation procedures for Participating Communities, as described above shall be used for the fiscal years ending June 30, 2018. Commencing for the fiscal year beginning July 1, 2018, and continuing thereafter, the Commission may develop and adopt a new formula for cost allocation for the operating and capital improvement budgets for DART, using mileage, service levels, property values and similar factors. If the Commission does not adopt a new formula for cost allocation for the operating and capital improvement budget for DART for the fiscal year beginning July 1, 2018, then the formula described above shall be applicable until the adoption of a new formula by the Commission.

Section 5. Budget Hearing. At or before the hearing on the DART budget, any Participating Community may file with the Secretary of the Commission such objections as it deems appropriate and at such hearing may appear and present such information as it desires in support of its objections. The Commission shall consider all such objections and upon the termination of the hearing may, but need not, modify the budget, and shall thereafter adopt the budget as submitted or as modified; provided, however, that final action on the budget shall occur each year by no later than the date by which cities must certify their budget to the county auditor.

ARTICLE IX. FUNDS AND ACCOUNTS

Section 1. Funds and Investments. The Commission shall establish and maintain

appropriate funds and accounts for the purposes set forth in this Agreement including, but not limited to, separate accounts for operation and maintenance, administrative expenses, and reserves for operating and working capital, insurance and claims. All funds held by the Commission shall be accounted for, managed and invested in compliance with Iowa law including, but not limited to, Chapters 12B and 12C of the Code.

Section 2. Annual Audit. Annually the audit of the financial statements of DART shall be

conducted in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States and Chapter 11 of the Code. The annual audit shall be conducted by an independent auditing firm engaged for that year. Following the receipt of the audit report, the Commission shall deliver a copy of the same to the Participating Communities and may appoint an audit committee or schedule a meeting of the Commission for the purpose of having representatives of the independent auditing firm submit


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an oral presentation of the audit and answer questions.

ARTICLE X. ADMISSION OF ADDITIONAL COMMUNITIES

Section 1. Admission of Additional Communities. During the term of this Agreement, additional cities or counties may be admitted to the membership as a Participating Community, and thereby become entitled and subject to all of the benefits and obligations of this Agreement, except as otherwise provided or conditioned herein. Any newly admitted city or county may commence full participation in this Agreement as a Participating Community at the beginning of any fiscal year, upon Commission approval and execution of a supplement to this Agreement prior to November 15th of the year preceding the fiscal year in which the newly admitted city or county would become a Participating Community. Any such supplement shall be signed by the Chair and the Secretary on behalf of DART and by authorized officers of the newly admitted city or county. Any such supplement shall contain such terms and conditions as the Commission shall determine to be appropriate in light of the service to be provided to the newly connecting community.

Section 2. Voting Rights. All Participating Communities which allow for the

implementation of a base transit levy rate as described in Article VIII, Section 4(a)(1) above, including a newly admitted community, shall be entitled to participate in the selection process for members of the Commission as described in Article III of this Agreement, and to voting rights to the extent provided in this Agreement, with such participation and voting rights to commence on the first day of the fiscal year in which the newly admitted community becomes a Participating Community under this Agreement.

ARTICLE XI. ISSUANCE OF BONDS

Section 1. Obligations and Use of Reserves Authorized.

(a) As a means of financing the acquisition of Equipment or real property, and/or the construction of Improvements to expand, extend and/or upgrade the DART System and/or mass transit services described in this Agreement, the Commission is authorized to issue its Bonds under the authority of Chapter 28M of the Code, or as otherwise may be authorized by law from time to time for the purposes set forth therein.

(b) The Commission also is authorized, in its sole discretion, to utilize existing DART reserves or other available funds, not otherwise obligated or previously appropriated for another purpose, (i) to pay all or any portion of the costs associated with the acquisition of Equipment or real property, or the construction of Improvements, in lieu of issuing Bonds for the same under this Agreement, and (ii) for the purpose of advancing, on a temporary basis, all or any portion of the costs associated with the acquisition of Equipment or real property, or the construction of any Improvements, with the intent of reimbursing such advanced funds with a subsequent issuance of Bonds.

Section 2. Obligations of DART. Notwithstanding anything to the contrary contained herein, DART may issue its Bonds in the types, for the purposes, and in the manner permitted by Chapter 28M of the Code, as amended; provided however, that general obligation bonds may only be issued (i) if the proceeds thereof are used to pay (whether directly or through refinancing of existing debt) obligations arising from accidents occurring on or prior to March 1, 2010, together with the costs of issuance, (ii) with a term of not longer than ten years and (iii) in an aggregate principal amount which, when added to the principal amount of all other general obligation bonds issued pursuant to this provision, does not exceed $3,500,000. Any excess


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proceeds from general obligation bonds remaining after paying or providing for the payment of such accident obligations shall be applied to the payment of debt service on the Bonds.

Section 3. Restriction on Withdrawal. The Participating Communities further agree that

no Participating Community may withdraw or in any way terminate, amend or modify in any way its obligations under this Agreement to the detriment of the holders of the Bonds while any of the Bonds are outstanding and unpaid.

ARTICLE XII. ACQUISITION AND DISPOSITION OF PROPERTY

Section 1. Acquisition. As authorized by Section 28M.4 of the Code, DART may acquire such property as it needs to accomplish its public purposes by purchase, gift, exchange, transfer, conveyance or otherwise, and shall hold all real, personal and intangible property which it acquires in its own name. DART has all powers of a board of supervisors to acquire real property or an interest therein for a public use or purpose related to its function by use of the power of eminent domain, and is authorized to bring an action in eminent domain in its own name.

Section 2. Disposition. DART may dispose of any of its property and shall do so in the same manner as a county. All proceeds from the sale or disposition of property, no matter the origin of such property, shall be the property of DART.

ARTICLE XIII. TECHNICAL COOPERATION

Section 1. Participating Community Records. The Participating Communities agree to respond to reasonable requests to make local records available to DART’s staff and its consultants or employees for the purposes of this Agreement, and to assure that engineers, architects and consultants retained by the Participating Communities release materials, data and other pertinent items paid for by public funds to DART’s staff to aid in the efficient and effective accomplishment of such purposes.

Section 2. DART Records. DART shall respond to reasonable requests to make records

available to the Participating Communities and their consultants or employees for the purposes of this Agreement, and to assure that engineers, architects and consultants retained by DART release materials, data and other pertinent items paid for by DART’s funds to the Participating Communities to aid in the efficient and effective accomplishment of such purposes.

ARTICLE XIV. AMENDMENTS

Section 1. Amendments. This Agreement may be amended for any purpose upon approval by the governing bodies of all of the Participating Communities, and shall become effective upon execution of a written supplement to this Agreement incorporating such amendment(s) by the governing bodies of the Participating Communities. All amendments adopted pursuant to the provisions of this Article shall be binding upon all Participating Communities.

ARTICLE XV. REMEDIES; NOTICES

Section 1. Remedies. In addition to any other remedies available under applicable law, each Participating Community and the Commission shall have the right to the equitable remedy of specific performance to enforce compliance with any provision of this Agreement.


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Section 2. Notices. All notices which the Participating Communities and the Commission are authorized or required to give one another under this Agreement shall be in writing and may be personally delivered or sent by ordinary mail (i) in the case of the Commission of DART, to: Chair, DART Commission, Des Moines Regional Transit Authority, 620 Cherry Street, Des Moines, Iowa 50309; and (ii) in the case of any Participating Community, to the presiding officer of the governing body of the Participating Community at the address then on file with the Secretary of the Commission. Mailed notices shall be deemed to be received by the party to whom they are directed one business day after the date they are postmarked. Any Participating Community may designate another address or specific person to whom the notice should be directed upon written notice thereof to the Secretary of the Commission.

ARTICLE XVI. WITHDRAWAL FROM OR DISSOLUTION OF DART

Section 1. Notice of Withdrawal. The withdrawal of any Participating Community may be accomplished by the governing body of such Community providing notice of withdrawal in writing to the Authority and the other Participating Communities given at least eighteen months prior to the beginning of the fiscal year in which such Participating Community proposes to withdraw from membership. No lesser notice or period of notice shall excuse a Participating Community proposing to withdraw from the obligations of membership, unless the Operating Budget of DART shall increase by ten percent (10%) or more from the last fiscal year, in which case six months written notice, given as provided above, shall be sufficient.

Section 2. Restrictions on Withdrawal. It is recognized that a Participating Community of

DART, operating as a county enterprise pursuant to Section 331.462 of the Code, may not withdraw or in any way terminate, amend or modify its obligations under this Agreement to the detriment of the holders of any Bonds or other credit obligations while any of such Bonds or credit obligations are outstanding and unpaid.

If a Participating Community desires to withdraw or in any way terminate, amend or modify its obligations under this Agreement while any Bonds or credit obligations are outstanding and unpaid, it shall provide written notice to the Commission of the proposed withdrawal or modification as provided above, and the same shall not become effective unless and until approved by the Commission. The Commission, in its sole discretion, may require the Participating Community seeking withdrawal from this Agreement to pay over to the Commission an amount determined by the Commission to be necessary to fully fund its share of such Bonds or credit obligations issued to fund the construction of capital improvements or the acquisition equipment for DART System. Otherwise, with the approval of the Commission, a Participating Community that provides a timely, written notice to the Commission of its proposed withdrawal or modification of its obligations under this Agreement as provided above while any Bonds or credit obligations are outstanding and unpaid may be permitted to withdraw on the following conditions: (a) that the Participating Community requests that DART provide no further transit services to such Participating Community; (b) that the Participating Community also agrees to annually levy or to annually pay its share of the outstanding Bond or credit obligations under this Agreement until the share of such Bond or credit obligations has been fully paid; and (c) that until its share of such Bond or credit obligation has been fully paid the Participating Community further agrees to continue to make an annual payment of the Base Transit Levy Rate as provided in Article VIII, Section 4(a)(1) of this Agreement. The Commission’s decision regarding withdrawal by a Participating Community and its determination of the amount, if any, which a Participating Community shall be required to pay to the Commission to fully fund its share of Bonds or credit obligations upon withdrawal, shall be final, conclusive and non-appealable.


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The proposal of a Participating Community to withdraw from DART shall be presented to the Commission at a regular meeting of the Commission prior to the meeting at which the vote on such proposal is to be taken, and notice of the impending vote thereon shall be included in the meeting notice and agenda of the meeting at which such vote is to be taken. If so approved by the Commission, the Participating Community may withdraw from membership in DART and participation in this Agreement, and DART shall thereafter have no obligation to provide transit services to said Participating Community.

Section 3. Entitlement on Withdrawal. In the event of such withdrawal of any Participating Community from DART, the withdrawing Community shall be entitled to a pro rata share of DART System capital improvements and equipment, which share shall be determined as follows:

(a) An account has been maintained for each Participating Community that was party to the Intergovernmental Agreement Creating the Des Moines Metropolitan Transit Authority as well as any Participating Community that was a party to the Prior 28E Agreement. This account will be credited with all amounts paid by the members of the RTA which became a part of the fixed asset fund or the contributed capital account as of June 30, 20___. This account will be charged annually with each Participating Community’s pro rata share of depreciation expense, based on the same percentage that the member contributed to the operating budget for that year. No such accounts shall be established for Participating Communities of DART, and no further credits shall be made to any existing accounts for members of the MTA, RTA or for Participating Communities of DART, whether or not they were previously members of the MTA or RTA.

(b) If a Participating Community which was a member of the MTA or the RTA

withdraws from this Agreement, then payment to that Participating Community of its account, computed as provided in Article XVI, Section3(a) above, shall be made by DART not later than ten (10) years from the date of approval of such withdrawal by the Commission. No interest shall be paid by DART on such account. If, within its initial three-year period of membership of DART, a Community which was a member of the MTA or RTA decides to withdraw from DART, that Community will forfeit all rights to capital investments made or assets acquired by the MTA or RTA during their period of membership.

(c) Other than as provided in Article XVI, Section 3(b) above, a Participating

Community that withdraws from this Agreement will forfeit all rights to capital investments made or assets acquired by DART during the period of membership.

Section 4. Dissolution.

(a) Voting on Termination. The Commission may, upon the affirmative three-quarters vote, dissolve DART and terminate this Agreement, which vote shall specify the date and time such dissolution shall be effective; provided that the proposal to dissolve DART was presented at a prior regular meeting of the Commission, and provided that notice of the impending vote thereon is contained in the meeting notice and agenda of the meeting at which such vote is to be taken; and further provided that such dissolution shall be effective only after all outstanding Bonds and other credit obligations of DART have been paid. In the event a motion to completely dissolve DART is made at any Commission meeting held subsequent to receipt by DART of notice of withdrawal from any one or more Participating Communities, the Commission member(s) appointed by such withdrawing Participating Communities shall not vote upon such motion and the three-quarters fractional vote requirement shall be applied only to the vote of the remaining members of the Commission. A decision to dissolve DART shall override any


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obligation otherwise indicated by paragraph one of this Article.

(b) Disposal of Property upon Termination. Upon termination of this Agreement, the Participating Communities shall be deemed to acquire and thereafter to possess ownership interests in the all DART System Equipment and Improvements, and in real property then owned by DART, with such ownership interests being held as tenants in common, and all of such property shall be disposed of and the proceeds distributed to the Participating Communities at the time of dissolution on the basis of their budget shares during the last full year of DART operation.

ARTICLE XVII. CONTRACTING FOR TRANSIT SERVICES

Section 1. DART may contract for transit services with Participating Communities and with non-members. Participating Communities may contract for services at the actual cost of the service. Non-members who contract with DART for transit services will be required to pay the fully allocated cost of the service plus ten percent (10%). The process for contracting for transit services will be established by action of the Commission. If DART elects under Article VIII, Section 4(a) (1) to have paratransit expenses in Polk County included as a part of the operating budget expenses of DART, then paratransit services will only be provided in Participating Communities, and non-members who contract with DART for paratransit services will be required to pay the fully allocated cost of the service plus ten percent (10%).

ARTICLE XVIII. EFFECTIVE DATE AND DURATION OF AGREEMENT

Section 1. Effective Date. This Agreement became effective at 12:01 a.m. on October 1, 2017.

Section 2. Duration. This Agreement shall extend for a term of fifty (50) years from the

Effective Date, and shall terminate and be of no further force or effect as of midnight on September 30, 2067, unless terminated earlier by a three-fourths vote of the Commission.

ARTICLE XIX. TRANSITION MATTERS

Section 1. Prior Budget Actions. All prior actions of the Board of Commission undertaken pursuant to the terms of the Prior 28E Agreement, as amended, prior to the Effective Date of said Prior 28E Agreement with respect to the consideration and approval of the DART budget for the fiscal year beginning July 1, 2017, are hereby accepted and approved.

Section 2. Assumption of Contracts. All contracts entered into by the Commission or on

its behalf and being performed on the Effective Date of this Agreement shall be and hereby are approved and accepted under the terms of this Agreement. The Commission hereto shall assume responsibility for administration of such existing contracts.

Section 3. Officers. The Chair, Vice-Chair and Secretary/Treasurer elected by the

Commission in June of 2016 shall serve as the Chair, Vice-Chair and Secretary/Treasurer of the Commission under this Agreement until their successors are elected under the restructured new Commission. Initial officers elected by the newly constituted Commission shall remain in position through December 31, 2018.

Section 4. Commission Members. Members elected to the Commission in 2016 shall stay

until the new restructured Commission is constituted. Once the new Commission is in place, then these newly elected members of the Commission shall remain in place until December 31, 2018,


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unless otherwise provided for herein. Section 5. Policies. All policies previously approved by the Commission under the Prior

28E Agreement, and in effect on the Effective Date of this Agreement shall continue in force as approved policies of the Commission until modified or rescinded by the Commission.

Section 6. Participating Communities’ Status. The status of each Participating

Communities shall remain the same upon adoption of this Agreement as it was under the Prior 28E Agreement.

ARTICLE XX. SEVERABILITY

Section 1. Provisions to be Severable. If any provision of this Agreement is held to be invalid by a court of competent jurisdiction, the invalidity of any such provision shall not affect the other provisions of this Agreement which can be given effect without the provision determined to be invalid, and to that end the provisions of this Agreement are severable.

ARTICLE XXI. EXECUTION OF AGREEMENT

Section 1. Passage of Resolution. A Participating Community shall become a party

hereto by the passage of a resolution approving this Agreement and authorizing execution of the same by its statutory officers. This Agreement shall become effective only upon approval and execution by all of the Participating Communities.

Section 2. Signature Pages. Each Participating Community approving this Agreement

shall execute the separate signature page provided for it, and the parties hereto authorize the City Clerk of the City of Des Moines to assemble the signature pages and append the same to copies of this Agreement, to file this Agreement with the Iowa Secretary of State, and to record with the Polk, Warren and Dallas County Recorder’s Offices.

[Appendix and signature pages to follow]


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Appendix A

NEW RTA REGIONAL COST ALLOCATION FORMULA FOR THE OPERATING AND CAPITAL IMPROVEMENTS BUDGETS

Method of Computing Annual Tax Levy: - For purposes of this formula, the “RTA Subsidy Requirement” is defined to be the amount

required to subsidize the operating and capital improvements costs for all RTA services (excluding Paratransit) approved by the RTA Commission which amount is net of all other revenue sources available to RTA, except for City of Des Moines Downtown Shuttle funds and other non-local DART tax levy funds.

- Effective in FY2010 (commencing July 1, 2009) the RTA Subsidy Requirement shall be converted to a Tax Levy value by:

Step #1. Allocating the first $4,789,223 of RTA Subsidy Requirement in the following manner:

Alleman $637 Altoona $54,837 Ankeny $122,605 Bondurant $2,462 Carlisle $3,645 Clive $60,547 Des Moines $3,315,929 Elkhart $424 Granger $1,101 Grimes $9,259 Johnston $53,455 Mitchellville $1,625 Pleasant Hill $10,544 Polk City $3,380 Runnells $328 Sheldahl $262 Unincorp. Polk County $56,150 Urbandale $241,814 West Des Moines $777,251 Windsor Heights $72,969 TOTAL $4,789,223

Step #2. The balance of RTA Subsidy Requirement (the total requirement less $4,789,223) is

then allocated to each member community based upon each members proportional share of the total taxable property valuation in all DART Communities.

Step #3. An amount equal to $532,326 in FY2010, $597,348 in FY2011, and then $650,000 in FY2012 and subsequent years, shall be reduced from the City of Des Moines’ allocation from Steps #1 and #2 above. This same amount shall be added to the allocation amounts for all other member cities except for Des Moines in proportion to their share of total taxable property value in DART Communities except Des Moines.

Step #4. Add the values in each step listed above for each member community and then divide this amount into the taxable value for each community then multiplying this value by $1,000 to express the requirement in terms of a taxable levy per $1,000 of taxable value.

Approved by DART Commission – October 28, 2008


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Appendix B

FY 2018 DART Property Tax Levy Rates

Jurisdiction FY2018 DART Levy

Alleman^ $0.610 Altoona $0.689 Ankeny $0.639 Bondurant^ $0.603 Carlisle^ $0.611 Clive $0.633 Des Moines $0.824** Elkhart^ $0.530 Granger^ $0.604 Grimes^ $0.602 Johnston $0.630 Mitchellville^ $0.616 Pleasant Hill $0.609 Polk City^ $0.578 Runnells^ $0.534 Unincorporated Polk County^ $0.537 Urbandale $0.682 West Des Moines $0.783 Windsor Heights $0.950

^ Small Communities with Frozen Levy Rates for Three Fiscal Years Beginning in FY 2018. Per DART Commission Approval on November 1, 2016. ** The City of Des Moines has notified DART of their intention to reduce their computed levy rate to this listed amount by providing DART $680,000 in accordance with DART’s adopted “Levy Buy-Down” policy.


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CITY OF ALLEMAN

By: Its: Mayor

ATTEST: By: Its: City Clerk

STATE OF IOWA ) ) ss: COUNTY OF ________ )

On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Alleman, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Alleman, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.

Notary Public in and for the State of Iowa


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CITY OF ALTOONA

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Altoona, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Altoona, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF ANKENY

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Ankeny, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Ankeny, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF BONDURANT

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Bondurant, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Bondurant, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF CARLISLE

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Carlisle, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Carlisle, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF CLIVE

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Clive, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Clive, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF DES MOINES

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Des Moines, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Des Moines, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF ELKHART

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Elkhart, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Elkhart, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF GRANGER

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Granger, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Granger, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF GRIMES

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Grimes, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Grimes, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF JOHNSTON

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Johnston, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Johnston, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF MITCHELLVILLE

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Mitchellville, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Mitchellville, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF PLEASANT HILL

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Pleasant Hill, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Pleasant Hill, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF POLK CITY

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Polk City, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Polk City, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF RUNNELLS

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Runnells, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Runnells, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



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CITY OF URBANDALE

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Urbandale, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Urbandale, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



40

CITY OF WEST DES MOINES

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of West Des Moines, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of West Des Moines, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



41

CITY OF WINDSOR HEIGHTS

By: Its: Mayor



On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk of the City of Windsor Heights, Iowa, a municipal corporation; that the seal affixed to the foregoing instrument is the corporate seal of said municipal corporation, and that said instrument was signed and sealed on behalf of said municipal corporation by authority and resolution of the City Council of Windsor Heights, Iowa, and the Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation by it voluntarily executed.



42

POLK COUNTY, IOWA

By: Its: Chair, Board of Supervisors

ATTEST: By: Its: Polk County Auditor

STATE OF IOWA ) ) ss: COUNTY OF POLK )

On the ____ day of ________________, 2017, before me, a Notary Public in and for the State of Iowa, personally appeared __________________________ and __________________________, to me personally known, who, being by me duly sworn, did say that they are the Chair of the Board of Supervisors and the Auditor of Polk County, Iowa, a political subdivision; that the seal affixed to the foregoing instrument is the corporate seal of said political subdivision, and that said instrument was signed and sealed on behalf of said political subdivision by authority and resolution of the Polk County Board of Supervisors, and the Chair of the Board of Supervisors and the Auditor of Polk County, Iowa acknowledged said instrument to be the free act and deed of said political subdivision by it voluntarily executed.


CITY OF CARLISLE

RESOLUTION NO. ________ RESOLUTION SELECTING PERSONS TO SERVE AS COMMISSIONER AND ALTERNATE FOR THE

DES MOINES REGIONAL TRANSIT AUTHORITY (DART)

WHEREAS, pursuant to the Substituted and Restated 28E Agreement for the Des Moines Regional Transit Authority, the (Mayor/City Council/Board of Supervisors) has selected Ruth Randleman, 15797 Carter Street, Carlisle as the DART Commission Member representing Carlisle, Iowa, a participating community of DART; and has selected Andrew Lent, 195 N 1st Street, Carlisle as the Alternate. NOW, THEREFORE, BE IT RESOLVED by the City Council/governing body of the Carlisle, Iowa, that the selection of Ruth Randleman as Commission Member representing Carlisle, on the DART Commission, and Andrew Lent as the Alternate, is hereby approved.

PASSED AND APPROVED this 10 day of July, 2017.

________________________________ Ruth Randleman

Mayor Attest: ________________________________________ Martha Becker City Clerk

1

City of Carlisle Department: Public Works Title: Private Service Lines-NW Water Main Extension Project Policy Effective Date: (Revisions) Policy Number:

I. GENERAL/PURPOSE

a. The Purpose of this policy is to create guidelines for the reimbursement of the cost for the installation of water service lines from the water main being constructed under the NW Water Main Extension Project, to the property curb stop box. This policy is specifically for said project and not meant to set precedent for future projects.

II. RESPONSIBILITIES

a. City Responsibilities-Adopt Change Order for the installation of private service line from main to individual curb stop for existing properties on SE 52nd Street. The City is responsible for working with property owners for the location of the curb stop valve on the property for the optimal allowable use for connection of the house onto the city water system.

b. Private Property Owners-SE 52nd Street: i. Property owners on SE 52nd will sign a waiver/permission form to allow the City

of Carlisle and its contractor to temporarily be on the owner’s property for the installation of the line and curb stop valve.

ii. Property owners will be responsible for determining when they wish to connect to the City water system unless legally required (i.e. no other potable water source or selling property)

iii. Property owner will be responsible for contracting a licensed plumber for the connection from the curb stop valve to the house at the expense of the property owner and subject to inspection by the City or a inspection contractor of the City.

iv. Property owner is responsible for the minimal connection fee (currently $100) and fee for the water meter (currently $210).

III. REIMBURSEMENT SCHEDULE

a. The initial cost of installing a service line from the newly constructed main to the curb stop valve, including the valve, will be borne by the City. Each year the property owner decides not to connect to the City water service, twenty (20) percent of the cost of this line will be charged to the property owner up 5 years or 100 percent of the original cost.

CITY OF CARLISLE, IOWA

RESOLUTION NO. RESOLUTION APPROVING AGREEMENT WITH IOWA DEPARTMENT OF NATURAL RESOURCES TO

DECONSTRUCT BUILDING AT 25 SCHOOL STREET

WHEREAS, the City of Carlisle purchased the property at 25 School Street and seeks to demolish the building structure located on said property, and

WHEREAS, the City of Carlisle has applied to the Iowa Department of Natural Resources (IDNR)

Derelict Building Program to deconstruct said building, and WHEREAS, the City of Carlisle has been awarded grant funding up to $6,692.50 of the cost for

deconstruction, and WHEREAS, the attached agreement details responsibilities of the City of Carlisle for participation

in this program. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlisle, Iowa, that the

attached agreement between the IDNR and the City of Carlisle for the deconstruction of the building at 25 School Street is approved and the Mayor is authorized to sign said agreement on behalf of the City.

PASSED AND APPROVED by the City Council this 10th day of July, 2017

________________________________ Ruth Randleman

MAYOR ATTEST: ________________________________________ Martha Becker CITY CLERK

DERELICT BUILDING GRANT PROGRAM AGREEMENT NUMBER – 17-G550-03DB

Between

IOWA DEPARTMENT OF NATURAL RESOURCES

And


IN WITNESS THEREOF, the parties hereto have executed this Agreement.

DEPARTMENT OF NATURAL RESOURCES By: Date:

Jennifer Wright, Section Supervisor CITY OF CARLISLE, IOWA By: Date:

Ruth Randleman, Mayor

DERELICT BUILDING GRANT PROGRAM

PROJECT AGREEMENT

IOWA DEPARTMENT OF NATURAL RESOURCES Grantee: City of Carlisle, Iowa Agreement Number: 17-G550-03DB Agreement Title: Derelict Building Grant Program Grant Amount: Not To Exceed $6,692.50 Grantee Project Officer: Name: Andrew J. Lent

Phone: 515-989-3224 Email: [email protected]

DNR Project Officer: Scott Flagg

[email protected] 515-725-8318

Distribution Copies: Copy One - IDNR Copy Two - Grantee

Term of Agreement: August 1, 2017 – September 30, 2017

Submit Grant Expense Sheets and Final Report To:

Scott Flagg Land Quality Bureau Iowa Department of Natural Resources 502 E. 9th Street Des Moines, Iowa 50319-0034

Issue Payment To: City of Carlisle

PO Box 430 195 N 1st Street Carlisle, Iowa 50047

17-G550-03DB Page 3 of 16

SPECIAL CONDITIONS AND GENERAL CONDITIONS

The Grantee shall deliver all information and complete all tasks detailed in the Special Conditions. The rights and obligations of the parties to this Agreement shall be subject to and governed by the Special Conditions, the General Conditions, and the Appendices. To the extent of any inconsistency between the Special Conditions, the General Conditions, and the Appendices and any specifications or other conditions that are made a part of this Agreement by reference or otherwise, the provisions of the Special Conditions and the General Conditions shall control. To the extent of any inconsistency between the Special Conditions and the General Conditions, the provisions of the Special Conditions shall control.

SPECIAL CONDITIONS ARTICLE I. IDENTIFICATION OF PARTIES, PROJECT, AND PROJECT AREA This Agreement is by and between the City of Carlisle (hereinafter referred to as the Grantee) and the Iowa Department of Natural Resources (hereinafter referred to as the Department) for the purpose of hiring a licensed contractor to deconstruct the building at 25 School Street in Carlisle, Iowa (hereinafter referred to as the Project). ARTICLE II. DESIGNATION OF OFFICIALS 3.1 Department. The DNR Project Officer shall negotiate on behalf of the Department

and, subject to the approval of the Department, make any changes to this Agreement.

2.2 Grantee. The Grantee Project Officer is authorized to execute any changes in the

terms, conditions, or amounts specified in this Agreement. 2.3 Key Agreement Personnel.

Scott Flagg, Iowa Department of Natural Resources, 515-725-8318 Andrew Lent, Grantee Project Officer, 515-989-3224

ARTICLE III. TERM OF AGREEMENT 3.1 Term of Agreement. The Agreement remains open for the Term of Agreement

as stated on the title page of this Agreement. The Agreement and all obligations of the Department contained herein may be terminated upon the occurrence of one of the following: a) the Agreement is terminated under Section 11 of the General Conditions; or b) if there has been no disbursement of Derelict Building Grant Program funds within three (3) months immediately following the announcement of Environmental Protection Commission approval, unless an extension is requested in writing by the Grantee and approved by the Department.

17-G550-03DB Page 4 of 16

3.2 Acknowledgement of Grantee’s Repayment Obligation in the Event of Termination for Cause. By entering this Agreement with the Department, the Grantee is agreeing to complete the project described in Special Condition Article IV of this Agreement pursuant to the time-line and requirements established in that Article, as well as in accordance with all other requirements of this Agreement. By signing this Agreement, Grantee recognizes and agrees that in the unlikely and unexpected failure of Grantee to complete the project as defined herein or to otherwise comply with the terms of this Agreement, the Agreement may be terminated for cause pursuant to Section 11 of the General Conditions of this Agreement. While it is not anticipated by any party to this Agreement that termination will be necessary, in the event that the Agreement is terminated for cause, the Grantee recognizes and agrees that the Grantee may be required to repay all funds disbursed to Grantee by the Department under this Agreement.

ARTICLE IV. SCOPE OF WORK 4.1 Project Description. The Grantee shall:

1. Retain the services of an Iowa licensed contractor to deconstruct the targeted

building.

4.2 Required Submittals. Grantees are required to submit the following items to the

individuals listed on the front page of this Agreement pursuant to the time line listed herein. Any questions concerning submittals or deadlines should be directed to the DNR Project Officer. 1. Prepare and submit the Notification of Demolition and Renovation form (see

attachment) no later than 10 days prior to selected start date for asbestos abatement to: Air Quality Bureau ATTN: Tom Wuehr 7900 Hickman Rd., Suite 1 Windsor Heights, IA 50324 OR Contractors may also choose to notify via the on-line directory located here: https://programs.iowadnr.gov/asbestos

2. Provide final documentation report upon completion of project. See section 4.5 for a breakdown of what needs to be included in the final report.

17-G550-03DB Page 5 of 16

4.3 On-Site Actions/Activities. The Grantee shall assist the Department to promote and share the information gained from this Project to and with other public and private sector entities. Any information obtained or learned as a result of this Project is public information. While completing the Project, and following Project completion if necessary, Grantees shall:

1. Secure the target building and surrounding areas, protect the surrounding properties, and perform air monitoring of the site in accordance with applicable Federal and Iowa laws and regulations.

2. Asbestos Containing Material (ACM) will be handled and transported per Federal and Iowa regulations and disposed of at a permitted sanitary landfill. The contractor hired by the Grantee must haul the ACM directly to the category of sites referenced in 40 CFR Part 61.150(b), and the process of abating asbestos and transporting it to a temporary storage for consolidation is not authorized under Federal NESHAP requirements.

3. Conduct deconstruction operations to ensure minimum interference with roads, streets, sidewalks, walkways, and other adjacent occupied and used facilities.

4. Provide temporary barricades and other protection required to prevent injury to workers and damage to salvageable materials.

5. Provide protection to ensure safe passage of workers around the deconstruction area.

6. Provide weather protection for all salvage materials (and items to remain, if any) before, during and after deconstruction.

7. Provide and maintain shoring, bracing, and structural supports as required to preserve stability and prevent movement, settlement, or collapse of construction.

8. Locate, identify, disconnect, and seal or cap off indicated utility services and mechanical/electrical systems.

9. Comply with all applicable federal, state, and local regulations concerning hauling, disposal of materials and mitigating noise and dust on-site.

10. If materials suspected of containing hazardous materials (e.g. asbestos, lead, etc.) are encountered, do not disturb; the contractor must immediately notify Grantee.

11. Sort and organize salvaged materials as they are removed from the structure. 12. Except for items or materials indicated to be recycled, reused, or salvaged,

remove demolished materials from Project site and comply with all applicable federal, state, and local regulations regarding proper disposal at a permitted facility.

13. Do not burn or allow demolished material to accumulate on-site. 14. Clean adjacent structures and improvements of dust, dirt, and debris caused

by deconstruction operations. Return adjacent and adjoining areas to condition existing before deconstruction operations began.

15. Complete grading and seeding as specified in the Grantee’s plan for site redevelopment. The site will be graded with a minimum of two feet of soil to be used to complete backfill needs making the site level and safe. The site will also be seeded unless otherwise specified by Grantee’s plan for re-development of the site.

17-G550-03DB Page 6 of 16

4.4 Milestones. The Grantee shall accomplish the activities listed in the Project

Milestones table below by the assigned date. If a milestone amendment is required, the Grantee must contact the Department in writing and receive approval of Milestone changes in writing.

PROJECT MILESTONES

Deliverables Task Milestone Date Complete deconstruction activities; remove and weigh building materials and identify markets for diversion and re-use

September 1, 2017

Provide final documentation report (see required contents of Final Report in section 4.5).

September 30, 2017

4.5 Final Documentation. As part of the Final Documentation the following

information, as collected over the full term of the Agreement, shall be provided: 1. A Summary of the Project in terms of the process used the merits of

deconstructing derelict buildings in general, and the projected impacts on the City of Carlisle resulting from removal of this derelict structure.

2. The dimension of each structure deconstructed including the number of floors and type of materials of which the building was composed.

3. Color, digital photos that document the project throughout its timeline. 4. Estimates of the funds saved by diverting materials from a permitted sanitary

landfill through re-use markets. 5. The number of loads delivered, with receipts, to a permitted sanitary landfill and

landfill name(s) including ACM if encountered. 6. A list of re-use markets that were used for this project and material types

diverted, including support letters from any business or individual who accepted or took material from the project site that includes the type of material, total weight, and reuse method.

The Department reserves the right to publish, in whole or in part, the final report

once submitted to the Department. Written and oral releases are considered to be within the context of publication rights so reserved by the Department.

17-G550-03DB Page 7 of 16

4.6 Project Budget. Funding amounts for the Project shall be shared as outlined

below. The Department’s share shall not exceed the Agreement Amount indicated on the title page of this Agreement. To claim Iowa Brownfield Redevelopment Program funds, the Grantee shall follow the procedures of that program, separate from this Agreement.

ITEM DNR AWARD

LOCAL MATCH

TOTAL COST

Deconstruction $3,346.25 $10,038.75 $13,385.00

TOTAL $3,346.25 $10,038.75 $13,385.00 4.7 Estimated Deconstruction Cost Share Incentive. For every additional 10% of

landfill diversion by weight above 30% that is documented upon completion of the Project, Grantee cost share is reduced by 5% and the grant award amount will increase accordingly. The maximum grant award for deconstruction activities for this project shall not exceed $6,692.50 All deconstruction projects, at a minimum, must achieve a landfill diversion rate of 30% of the structure by weight to receive any reimbursement for deconstruction costs.

Landfill Diversion By Weight for 505 W. Main Street

Applicant Cost Share

LOCAL MATCH

DNR AWARD

31%-40% Diversion 45% $9,369.50 $4,015.50

41%-50% Diversion 40% $8,700.25 $4,684.75

51%-60% Diversion 35% $8,031.00 $5,354.00

61%-70% Diversion 30% $7,361.75 $6,023.25

71%-100% Diversion 25% $6,692.50 $6,692.50

4.8.1 Costs exceeding the grant award amount shall be the responsibility of the Grantee.

4.8.2 Ten percent (10%) of reimbursement will be withheld until the Final

Documentation Report required under Special Condition section 4.5 is received and approved by the Department. Upon notification of Final Documentation Report approval, the Grantee can submit a final claim for payment of withheld funds.

17-G550-03DB Page 8 of 16

4.9 Claim Procedure. In order to be reimbursed for Project expenses, the Grantee

shall submit: 1. One (1) signed original (using non-black ink) of the Grant Expense Sheet

detailing expenditures – provided by the Department. 2. Invoices or copy of paid receipts or checks for items for which reimbursement

is requested must be attached to the Grant Expense Sheet.

4.9.2 Grant Expense Sheets must be submitted within ninety (90) days of the date of the oldest attached invoice. It is recommended that the Grantee submit Grant Expense Sheets as expenses are incurred

4.9.3 Claims shall be made only on items relating to the activities outlined in

Section 4.4, Milestones of this Agreement. 4.9.4 No costs for which funds will be used can be incurred before the

beginning date or after the ending date of the Time of Performance. 4.10 Funding. The Department will process claim vouchers for payment within thirty

(30) working days provided that:

1. The Grant Expense Sheet is correctly completed; 2. All required documentation is attached; 3. All Project actions for which Grantee is seeking reimbursement have been

conducted and completed to the satisfaction of the Department. This includes that Grantee is, and has been, operating in full compliance with all local, state, and federal laws, as well as the requirements of this Agreement.

4. The Grantee is accomplishing Project Milestones identified in Article IV to the satisfaction of the Department. If any of these conditions are not met, the Department will notify the Grantee of the deficiencies and the Department may return the canceled Grant Expense Sheet to the Grantee. A new Grant Expense Sheet may be submitted to the Department for payment once Agreement requirements are met.

ARTICLE V. REVIEW OF WORK The Department or its advisors shall have the right to review and observe at any time, completed work or work in progress on the Project. 5.1 Milestone activities must be met by the assigned date. If amending the assigned

date(s) is required, prior written Department approval must be received. Failure to accomplish milestones by the assigned dates may result in withholding of grant funds or termination of this agreement pursuant to Section 11 of the General Terms of this Agreement.

5.2 Ninety (90) days after the end of the Term of Agreement the Department shall

deobligate any unused award monies from the Project. ARTICLE VI. INSURANCE

17-G550-03DB Page 9 of 16

6.1 The Grantee agrees to indemnify and hold harmless the state of Iowa and the

Department, its officers, employees and agents appointed and elected and volunteers from any and all costs, expenses, losses, claims, damages, liabilities, settlements and judgments, related to or arising from: any breach of this Agreement; any negligent, intentional or wrongful act or omission of the Grantee of any agent or subcontractor utilized or employed by the Grantee; the Grantee’s performance or attempted performance of this Agreement, including any agent or subcontractor utilized or employed by the Grantee; any failure by the Grantee to comply with the State, Local and Federal Law Compliance Requirements provision of this Agreement; any failure by the Grantee to make all reports, payments and withholdings required by federal and state law with respect to social security, employee income and other taxes, fees or costs required by the Grantee to conduct business in the state; any infringement of any copyright, trademark, patent, trade dress, or other intellectual property right; or any failure by the Grantee to adhere to any confidentiality provisions of this Agreement.

6.2 The Grantee shall submit to the Department a copy of the Grantee's Certificate of

Insurance and a written statement to attest that the Grantee holds an adequate level of insurance to insure against general liability, property damage, workers compensation and employer liability.

6.3 The Department or its advisors shall have access for the purpose of examination

of any insurance policy and associated records regarding insurance coverage as it relates to this Agreement.

6.4 The Grantee shall maintain an adequate level of insurance for the period set forth

under Term of Agreement.

GENERAL CONDITIONS

SECTION 1. AGREEMENT NEGOTIATION The Grantee hereby agrees, upon commencement of Agreement negotiations, or after signature of the Agreement by both the Grantee and the Department, to attend an Agreement consultation meeting at the Department's office, if so requested by the Department. If the Grantee fails to attend the Agreement consultation meeting the Department shall be free to terminate the Agreement negotiations or the signed Agreement, whichever applies, by the described method in Section 11 of the General Conditions. SECTION 2. ENTIRE AGREEMENT This Agreement with all attachments and references constitutes the entire Agreement between the Department and the Grantee with respect to the subject matter hereof, and the Grantee acknowledges that it is entering into the Agreement solely on the basis of the

17-G550-03DB Page 10 of 16

terms and conditions herein contained and not in reliance upon any representative statement, inducement or promise, whether oral or written, not contained herein. SECTION 3. AMENDMENT The Department or the Grantee may initiate an amendment to this Agreement. Any amendment is effective only if in writing and agreed to by the Department and the Grantee. The amendment shall be effective as of the date it is agreed upon, unless otherwise specified in the amendment. SECTION 4. AVAILABILITY OF DATA All information and data obtained by the Grantee in connection with the Agreement shall be made available to the Department. Such information and data shall become the property of the Department except that which is necessary for the patent or copyright purposes of the Grantee. SECTION 5. ASSUMPTION OF RISK AND LIABILITIES The Grantee shall assume all risks and liabilities in connection with the performance of the Agreement and shall be responsible for all claims, demands, action or causes of action of whatever nature or character arising out of or by reason of the execution or performance of the work provided for herein, except to the extent caused by the State of Iowa. The Grantee shall indemnify and hold harmless the Department, its employees, agents or representatives, and the State of Iowa from all claims, demands, actions or causes of actions, arising out of or by reason of the execution or performance of the work provided for herein, and shall be responsible for all attorney fees, costs and expenses incurred by the Department, its employees, agents or representatives and the State of Iowa, except to the extent caused by the State of Iowa. SECTION 6. TRANSFER OF WORK The Grantee shall not transfer or assign any part or portion of the work on the Agreement without the prior written consent of the Department. SECTION 7. REVIEW OF WORK The Department shall have the right to review and observe, at any time, completed work or work in progress on the Agreement. SECTION 8. LOCAL, STATE AND FEDERAL LAW COMPLIANCE REQUIREMENTS The Grantee shall comply with all local, state, and federal statutes, ordinances, and rules or other requirements applicable to the establishment and operation of the Grantee’s facility. SECTION 9. ACCOUNTS AND RECORDS 9.1 The Grantee agrees to maintain books, documents, and other records pertaining

to all costs and expenses incurred and revenues acquired during this Agreement

17-G550-03DB Page 11 of 16

to the extent and in such detail as will properly reflect all costs, direct and indirect, of labor, materials, equipment, supplies and services, and other costs and expenses of whatever nature for which reimbursement is claimed. The Grantee shall be prepared to support charges for salaries and wages by time, attendance and payroll records.

9.2 The Department, State Auditor, or any of their duly appointed representatives, shall

have access for the purpose of audit and examination to any books, documents, papers and records of the Grantee which are pertinent at all reasonable times during the period of retention provided for in Sections 9.3, 9.4, and 9.5 below and shall have the right to make copies of excerpts or make other transcriptions thereof, subject to the provisions of 199 Iowa Administrative Code Section 1.9 and Iowa Code Chapter 22.

9.3 All records in the possession of the Grantee pertaining to this Agreement shall be

retained by the Grantee for the period of five (5) years beyond the ending date set forth under Term of Agreement.

9.4 Records relating to any litigation or claim arising out of the performance of this

Agreement, or costs or expenses of this Agreement to which exception has been taken as a result of inspection or audit, shall be retained by the Grantee until such litigation, claim, or exception has been finally settled or until five years from the ending date of Term of Agreement has expired, whichever occurs later.

9.5 The Grantee, in maintaining Agreement expenditure accounts and records and

reports, shall make any necessary adjustments to reflect refunds, credits, underpayments or overpayments, as well as any adjustments resulting from any administrative reviews and audits by the United States or by the State of Iowa or by the Grantee. Such adjustments shall be set forth in the financial reports filed with the Department.

SECTION 10. UNALLOWABLE COSTS The following costs are unallowable under this Agreement:

1. Legal expenses for the prosecution of claims against the Department, the State of Iowa, the Federal Government, or any subdivision thereof;

2. The difference in costs between first class air accommodations and less than first class air accommodations, unless less than first class air accommodations are not available;

3. Costs incurred prior to the effective date of the Agreement; 4. Costs of preparing proposals for potential contracts; 5. Bad debts (any losses arising from uncollectible accounts and other claims and

related costs); 6. Contingencies (contributions to a contingency reserve or any similar provision

for unforeseen events); 7. Contributions or donations;

17-G550-03DB Page 12 of 16

8. Entertainment (costs of amusements, social activities, and incidental costs

relating thereto, such as meals, beverages, lodgings, rentals, transportation, and gratuities);

9. Fines and penalties (costs relating from violations of, or failure to comply with federal, state and local laws and regulations);

10. Other financial costs (interest on borrowings -- however represented, bond discounts, costs of financing and refinancing operations, and legal and professional fees paid in connection therewith);

11. Insurance premiums and other costs associated with insuring items purchased using loan funds;

12. Office equipment such as furniture and computers, etc. SECTION 11. TERMINATION OF AGREEMENT 11.1 Termination for Cause. The Department may terminate this Agreement in whole or

in part, at any time before the expiration date, whenever the Department has determined that the Grantee has materially failed to comply with the conditions of the Agreement. The Department shall promptly notify the Grantee in writing of the determination and reasons for the termination, together with the effective date.

11.1.1 In the event of Termination for Cause, the Department retains the right to cease all payments or reimbursements to the Grantee and the right to seek recovery of all funds provided to the Grantee prior to the date of termination. In the event of Termination for Cause under this subparagraph, the Department shall provide to the Grantee a Demand Letter establishing the grounds for Termination, notifying the Grantee that no additional funds will be provided to the Grantee (if applicable), and establishing the time frame for repayment of funds (if applicable). Grantee agrees that should it receive a Demand Letter pursuant to this subparagraph, it will comply with the terms therein and further agrees that any and all legal fees incurred by the Department for recovery of funds after Termination will be the responsibility of the Grantee.

11.2 Termination for Convenience - The Department or Grantee may terminate the

Agreement in whole or in part when both parties agree that the continuation of the Agreement would not produce beneficial results commensurate with the future expenditure of funds. The two parties shall agree upon the termination conditions, including the effective date and, in the case of partial termination, the portion to be terminated. The Grantee shall not incur new obligations for the terminated portion after the effective date and shall cancel as many outstanding obligations as possible. The Grantee shall prepare and deliver to the Department copies of a final report, within sixty (60) days, summarizing the work performed and the results obtained to date, together with such information and items which, if the Agreement had been completed, would have been required to be furnished to the Department.

SECTION 12. COPYRIGHTS AND USE OF DATA

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12.1 The term "subject data" as used herein includes research data and reports,

writings, sound recordings, pictorial reproductions, drawings or other graphical representations, and works of any similar nature which are specified to be delivered under this Agreement. The term does not include financial reports, cost analyses, and similar information incidental to Agreement administration.

12.2 The Grantee shall be considered the author of all original subject data. 12.3 The State may duplicate, use and disclose in any manner for any authorized State

activity, and may allow others to do so, all subject matter deliverable under this Agreement.

12.4 In the event the Grantee secures a copyright, the Grantee agrees to and does

hereby loan to the State, its officers, agents and employees acting within the scope of their official duties, a royalty-free, non-exclusive, and irrevocable license to publish, translate, reproduce, deliver, perform, dispose of, and to authorize others to do so for use by the State, its division, instrumentalities and local subdivisions, all subject data now or hereafter covered by copyright. If such subject data is not originated in the performance of this Agreement, such license shall be only to the extent that the Grantee, its employees or any individual or concern employed or assigned by the Grantee to originate and prepare such data under this Agreement, now has, or prior to completion of final settlement of this Agreement may acquire, the right to grant such license without becoming liable to pay compensation to others solely because of such grant.

12.5 The Grantee shall exert all reasonable efforts to advise the Department at the time

of delivery of the subject data furnished under this Agreement of all invasions of the rights contained in this Section.

12.6 The Grantee shall report to the Department promptly and in reasonable written

detail, each notice or claim of copyright infringement received by the Grantee with respect to all subject data delivered under this Agreement. On receipt of this information, the parties hereto agree to confer to determine future uses to be made of the subject data.

SECTION 13. NOTICE AND ASSISTANCE REGARDING PATENT AND COPYRIGHT INFRINGEMENT 13.1 The Grantee agrees to report to the Department promptly and in reasonable written

detail, each notice or claim of patent or copyright infringement based on the performance of this Agreement of which the Grantee has knowledge.

13.2 In the event of any claim or suit against the Department, the State of Iowa, their

employees, agents, or representatives, or the United States, on account of an alleged patent or copyright infringement arising out of the work or services performed hereunder, the Grantee agrees to furnish the Department, upon request, all evidence and information in the possession of the Grantee pertaining

17-G550-03DB Page 14 of 16

to such suit or claim. Such evidence and information shall be furnished at the expense of the Department except where the Grantee has agreed to indemnify the Department.

SECTION 14. EQUIPMENT 14.1 Definition - For loans and cooperative agreements to other than state and local

governments, the term "equipment" means nonexpendable tangible personal property to be used in the performance of the Agreement, having an acquisition cost of five-hundred ($500) dollars or more, and a useful life expectancy of greater than two (2) years. A borrower may use its own definition of equipment provided that such definition would at least include all articles of equipment as defined in this paragraph.

14.2 Definition - For loans and cooperative agreements to state and local governments,

the term "equipment" means nonexpendable tangible personal property to be used in the performance of the Agreement, having an acquisition cost of five-thousand ($5,000) dollars or more, and a useful life expectancy of greater than one (1) year. A borrower may use its own definition of equipment provided that such definition would at least include all articles of equipment as defined in this paragraph.

14.3 The Grantee shall provide the Department with the original invoice(s) of property

purchased. Such purchased property must correspond with approved Agreement items.

14.4 The Grantee will keep an inventory of the property in their jurisdiction. Inventories

must include the following property characteristics: a) the serial number if applicable; b) the Agreement Number (if acquisition occurred as part of the Agreement); c) its description; d) the date of acquisition; e) invoice number, if purchased; f) the original purchase price; and g) the physical location of the property.

14.5 The Grantee shall maintain adequate levels of insurance and a control system to

insure adequate safeguards to prevent loss, damage or theft to the property. Any loss, damage, or theft of property shall be investigated, fully documented and reported to the Department within sixty (60) calendar days of the occurrence.

14.6 The Grantee shall implement maintenance procedures to keep all property in good

condition. Maintenance costs in excess of one-half (1/2) the estimated current fair market value of property or equipment shall require prior Department approval.

SECTION 15. ASSIGNMENT OF INTEREST Neither the Agreement nor any interest therein nor claim thereunder shall be assigned or transferred by the Grantee to any other party or parties. Attempted assignment may be considered, at the option of the Department, to be a cause for termination within the meanings of Section 11.1 of the General Conditions. SECTION 16. PERSONNEL

17-G550-03DB Page 15 of 16

16.1 Selection - The Grantee represents that it has, or will secure, all personnel required

in performing the work and services under this Agreement. Such personnel shall not be employees of or have any contractual relationship with the Department.

16.2 Qualification - All of the work and services required hereunder will be performed

by the Grantee or under its supervision and all personnel engaged in the work shall be fully qualified and shall be authorized under state and local law to perform such services.

16.3 Change of Key Personnel - Any individual specified by name under the article Key

Personnel within the Special Conditions herein is considered essential to the work and services to be performed. If for any reason substitution for a specified individual becomes necessary, the Grantee shall provide immediate written notification of such to the Department. The Grantee shall provide the name and resume of qualifications for the replacement individual. Any replacement shall be subject to the approval of the Department.

SECTION 17. EFFECT OF INVALIDITY If any of the provisions herein shall be in conflict with the laws of the State of Iowa, or shall be declared to be invalid by any court of record in this state, such invalidity shall be construed to affect only such portions as are declared invalid or in conflict with the law and such remaining portions of the Agreement shall remain in effect and shall be construed as if such invalid or conflicting portions were not contained herein. SECTION 18. LITIGATION 18.1 The Grantee agrees to pay the cost of any litigation arising from failure of the

Grantee to comply with the conditions or terms of this Agreement or resulting from the negligence or incompetence of the Grantee. In carrying out the provisions of the Agreement or in exercising any power or authority otherwise, it is understood that in such matters the Department acts for the State.

18.2 The venue for any cause of action based upon this Agreement by either party to

this Agreement shall be in Polk County, Iowa, and the law of the State of Iowa shall apply.

SECTION 19. ASSURANCE 19.1 The Grantee shall not discriminate against any employee or applicant for

employment because of race, creed, color, religion, national origin, sex, age, political belief, or handicap, in its employment practices. Such employment practices may include, but are not limited to, recruitment, recruitment advertising, hiring, layoff or termination, promotion, demotion, transfer, rates of pay, training and participation in upward mobility programs, or other forms of compensation and use of facilities.

17-G550-03DB Page 16 of 16

19.2 The Grantee will send to each labor union or representative or workers with which

it has a collective bargaining agreement or other contract or understanding a notice advising the labor union or representative of the Grantee's commitments under this nondiscrimination clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment.

19.3 The Grantee will comply with all relevant provisions of the Iowa Civil Rights Act

and Iowa Code 19B.7, Iowa Executive Order #15 of 1973, and Title VI of the Civil Rights Act of 1964 (PL 88-352). The Grantee shall furnish all information and reports requested by the department and will permit access to its payroll and employment records by the Department or the Department's grantor agency for purposes of investigation to ascertain compliance with this nondiscrimination clause consistent with Iowa Code Chapter 22. The Grantee may be required to make available upon request its Affirmative Action Program containing goals and time deadline. Any breach of the above provisions shall be regarded as a material breach of Agreement and justification for termination for cause.

19.4 In the event of the Grantee's noncompliance with the nondiscrimination clauses of

this Agreement, this Agreement may be canceled, terminated or suspended in whole or in part and the Grantee may be declared ineligible for further action, and such sanctions may be imposed and remedies invoked, as provided by the Iowa Civil Rights Act, Chapter 216, Code of Iowa, as heretofore and hereinafter amended, or as otherwise provided by law.

SECTION 20. CONTINGENT FEES The Grantee warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the Grantee, to solicit or secure this Agreement, and that it has not paid or agreed to pay any company or person, other than a bona fide employee working solely for the Grantee, any fee, gift, or any other consideration, contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, the Department shall have the right to annul this Agreement without liability or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent fee. SECTION 21. OFFICERS NOT TO BENEFIT No officer or employee of the State shall participate in any decision relating to this Agreement which affects his or her personal interest or the interest of any corporation, partnership, or association in which he or she is directly or indirectly interested; or have any interest, direct or indirect, in this Agreement or the proceeds thereof.


RESOLUTION NO. ______________________

RESOLUTION APPROVING CERTAIN TRANSFERS OF FUNDS

WHEREAS, certain year-end transfer of funds are needed; and WHEREAS, said transfer of funds are described below.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlisle, Iowa, that the following transfers are deemed necessary and are approved:

From To Amount Reason 630-6-910-0-6910 001-4-910-4-4831 $105,000.00 Budgeted FY2017 Transfer

of Funds

610-6-910-0-6910 001-4-910-4-4833 $100,000.00 Budgeted FY 2017 Transfer of Funds

600-6-910-0-6910 001-4-910-4-4832 $100,000.00 Budgeted FY 2017 Transfer of Funds

112-6-910-0-6910 001-4-910-4-4830 $192,061.58 Replacement of Employee Benefit Expenditure Funds in General Fund

110-6-910-4-6910 300-4-910-4-4833 $3,352.00 Transfer for Bike Lane Project

125-6-910-0-6910 001-4-910-4-4833 $15,020.00 Budgeted FY 2017 TIF Reimbursement

126-6-910-0-6910 001-4-910-4-4830 $1,203.00 Budgeted FY 2017 TIF Reimbursement

PASSED AND APPROVED by the City Council this _10_ day of July, 2017

________________________________ Ruth Randleman

MAYOR ATTEST: ________________________________________ Martha Becker CITY CLERK


RESOLUTION NO

RESOLUTION APPROVING AGREEMENT REGARDING THE USE OF THE

CITY OF CARLISLE COMMUNITY HALL BY THE WARREN COUNTY NUTRITIONAL PROGRAM

WHEREAS, the City of Carlisle owns the Carlisle Community Building at 35 Vine Street, and WHEREAS, Warren County will rent the Carlisle Community Building at the rate of $19 per day

to provide nutritional meals Monday through Friday except for certain holidays, and WHEREAS, an agreement is attached to this Resolution specifying the obligations of each Party

for a period of two years from 1 July 2017 to 30 June 2019. NOW, THEREFORE, be it resolved by the City Council of the City of Carlisle, Iowa as follows:

SECTION I. The City Council hereby approves the attached Agreement Regarding The Use Of The City Of Carlisle Community Hall By The Warren County Nutritional Program; and

SECTION II. The Mayor is hereby authorized to execute the attached Agreement.

Passed and approved this 10th day of July, 2017. ________________________________ Ruth Randleman

Mayor, City of Carlisle, Iowa ATTEST: _______________________________ Martha Becker City Clerk

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First Reading: 22 May 2017

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Second Reading: 26 June 2017

CARLISLE POLICE DEPARTMENT

MONTHLY PROGRESS REPORT

JUNE 2017

During the month of June, the Department generated 50 incident reports and had 384 CAD calls for service. CAD calls include calls that we are dispatched to, along with self-initiated activity that include follow ups, junk and debris, walk-ins to the police department, etc.

The new Warren County Courthouse Facility has opened in Indianola, eliminating court hearings and services being held in Knoxville.

We received and put into service the ballistic vests acquired through allocated funds.

IT Services for the PD

Soon we will be implementing three computer docking stations within the department. Officers will start to utilize the laptop from their patrol cars and dock them inside the police department as needed to conduct their work. The laptops will be taken back and forth between the office and the patrol cars. This will allow for future cost savings in having to purchase both laptops for the patrol vehicles and desktops computers for inside the police department. This process will be ongoing over the next several years as we cycle through and update computers.

Mobile Speed Display Locations

600 block School Street-monitoring eastbound traffic

PD Statistics

Total CAD Calls- 384 Alarm Calls-4- Suspicious Activity Calls-21 Theft/ Burglary Calls- 11 Animal Related Calls-12 Traffic Accidents-13 Criminal Mischief Calls-4 Contacts Involving Alcohol/ OWI’s/ Drugs- 9 Domestic Disturbance Calls-5 Traffic Stops-116 (51 cites, 36 written warning) Harassment Calls-5 Total Arrests- 17 Disturbing the Peace & Quiet Calls-7 Municipal Ordinance Infractions Addressed- 2 *Numbers do not reflect all cases, calls or activity.

Upcoming Police Department Events

Detective Larson will be attending the International Association for Property and Evidence- August 29th- August 30.

A 10-33 administrative audit is being conducted on July 10th at 09:00 AM

Electric Dept. Monthly Report

Date: July/ 2017 To: Council & Mayor From: Don Miller (Electric Superintendent)

Regular monthly duties: Safety Meetings – Vehicle Insp. – Safety Insp. - Sub & Cap Bank Insp. – Chains & Slings Insp. – 24hr Notices – Disconnects & Reconnects – Meter Reading & Rereads.

Daily Duties: Equipment Insp. – Locates – Tailgate Safety Meetings

Outages: June 22nd branch fell in the primary at E School and Jefferson St. (15 customers effected). Training: N/A Projects: Street light repairs Traffic light repairs Finished cutting in 3 phase trans. at 360 Jefferson St. Set Basement, transformer and cut over at well # 5. Repaired 2 bad switches in the substation and installed new animal guards Worked on lights in the community building Prep work for new underground on N. 6th and Main to replace bad overhead and poles Prep North park for the 4Th Updates: As we get some free time we will be installing new L.E.D. lights down town on 1st St. Waiting to hear from the Van Maanen on when they will be coming to replace our 5th St traffic lights with L.E.D.s. We have been having some problems with the traffic lights staying on to long for the cross traffic at Scotch Ridge Rd. Now I’ve been informed the arrow light to the school on 5th St. is coming on every cycle. Van Maanen will be looking at this issue to.

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Des Moines Area Metropolitan Planning Organization | 420 Watson Powell | Suite 200 Des Moines, Iowa 50309 | 515.334.0075 | dmampo.org

FOR IMMEDIATE RELEASE: Friday, June 30, 2017

Media Contact: Gunnar Olson

515-334-0075 | [email protected]

With fund-raising goal reached, Water Trails Engineering Study is underway Work has begun on the Water Trails Engineering Study thanks to a public-private partnership that raised more than $500,000 for the effort. The Water Trails Engineering Study is the first phase of implementation of the Greater Des Moines Water Trails and Greenways Master Plan, adopted in November 2016, providing the region with a road-map for enhancing citizen experiences in and along the 150 miles of waterways in Greater Des Moines. While the master plan lays out a vision, the Water Trails Engineering Study will determine the feasibility and estimate costs of the recommended projects. “We want the public to know that there is a lot of support and momentum behind water trails,” said Rick Tollakson, President and CEO of Hubbell Realty and Chair of the Water Trails Advisory Committee. “With thanks to the business community and local governments for their significant contributions, we’re moving forward as quickly as possible.” Draft recommendations from the engineering study are expected by fall, at which time the public will be invited to provide feedback. The study is expected to be complete by early next year. Once complete, the study will provide local governments and funding partners the information they need to begin prioritizing and budgeting for projects. Two teams are conducting the engineering study. One team, McLaughlin Whitewater Group together with local subcontractors RDG and HDR, will tackle the unique and challenging constraints of the water trail recommendations for downtown Des Moines, including the mitigation of the low-head dams. A second team, ISG Engineering and Architecture, will focus on the proposed projects throughout the region. More details are at www.dmampo.org/water-trails-engineering-study. Investors view water trails as important for several reasons: improving quality of life, economic development, tourism, more outdoor recreation, creating advocates for water quality, and workforce recruitment and retention.

Engineering Study Funders Leadership Circle of the Greater Des Moines Community Foundation – $205,000 Area jurisdictions – $196,000

Includes: Altoona, Ankeny, Bondurant, Carlisle, Clive, Des Moines, Grimes, Johnston, Mitchellville, Norwalk, Pleasant Hill, Urbandale, Waukee, West Des Moines, Windsor Heights, Polk County, Van Meter, and Warren County

Greater Des Moines Convention and Visitors Bureau – $30,000 Greater Des Moines Partnership – $30,000 Polk County Conservation – $30,000 Des Moines Area Association of REALTORS – $16,500

“We know there is tremendous passion among the public to see this project happen, and we would like to thank the funders from the public and private sectors for making this happen,” said Todd Ashby, executive director of the Des Moines Area Metropolitan Planning Organization (MPO), which developing the water trails plan on behalf of the Iowa Department of Natural Resources.

http://s.bl-1.com/h/7qZD1St?url=https://dmampo.org/water-trails/

http://s.bl-1.com/h/7qZD1St?url=https://dmampo.org/water-trails/

http://www.dmampo.org/water-trails-engineering-study

http://www.dmampo.org/water-trails-engineering-study

What are Water Trails? “Water Trails” is a designation given by the Iowa Department of Natural Resources and are defined as recreational corridors and routes on rivers and lakes that provide a unique experience for all water users. Water trails help re-connect Iowans to their waterways’ history, heritage, geology, fisheries, and wildlife. Water trails provide adequate access and can include amenities like riverside camping, wild spaces, picnic areas, and restrooms, and watercraft rentals provided by local, state, and federal partners. Coordinated signage and mapping systems guide users toward the types of experiences they seek, ranging from a highly social first-time river experience lasting a few hours to multi-day adventures. Water trails help boost local economies and give central Iowans outdoor experiences just out their back doors.

Study Area for Greater Des Moines Water Trails and Greenways Plan & Engineering Study

Des Moines Area Metropolitan Planning Organization (MPO) acts as a regional forum to ensure coordination between the public and local, state, and federal agencies in regard to planning issues and to prepare transportation plans and programs. The MPO develops both long- and short-range multimodal transportation plans, selects and approves projects for federal funding based upon regional priorities, and develops methods to reduce traffic congestion.

The Economic Impact of Nonprofit Arts and Cultural Organizations and Their Audiences in the Greater Des Moines Region (Fiscal Year 2015)

Direct Economic Activity Arts and Cultural

Organizations + Arts and Cultural Audiences = Total Industry

Expenditures

Total Industry Expenditures $71,922,902 $113,115,609 $185,038,511

Economic Impact of Spending by Arts and Cultural Organizations and Their Audiences

Total Economic Impact of Expenditures Economic Impact of

Organizations + Economic Impact of Audiences = Total

Economic Impact

Full-Time Equivalent (FTE) Jobs Supported 2,708 2,969 5,677

Household Income Paid to Residents $58,664,000 $66,140,000 $124,804,000

Revenue Generated to Local Government $2,363,000 $5,097,000 $7,460,000

Revenue Generated to State Government $3,401,000 $5,907,000 $9,308,000

Event-Related Spending by Arts and Cultural Audiences Totaled $113.1 million (excluding the cost of admission)

Attendance to Arts and Culture Events

Resident1 Attendees + Nonresident1

Attendees = All Cultural Audiences

Total Attendance to Arts and Culture Events 2,404,588 875,887 3,280,475

Percentage of Total Attendance 73.3% 26.7% 100.0%

Average Event-Related Spending Per Person $22.09 $68.50 $34.49

Total Event-Related Expenditures $53,117,349 $59,998,260 $113,115,609

Nonprofit Arts and Cultural Event Attendees Spend an Average of $34.49 Per Person (excluding the cost of admission)

Category of Event-Related Expenditure

Resident1 Attendees Nonresident1

Attendees All Cultural Audiences

Meals and Refreshments $15.21 $28.74 $18.83

Souvenirs and Gifts $2.36 $3.88 $2.77

Ground Transportation $1.90 $6.99 $3.26

Overnight Lodging (one night only) $0.81 $24.75 $7.21

Other/Miscellaneous $1.81 $4.14 $2.43

Average Event-Related Spending Per Person $22.09 $68.50 $34.49

Source: Arts & Economic Prosperity 5: The Economic Impact of Nonprofit Arts and Cultural Organizations and Their Audiences in the

Greater Des Moines Region. For more information about this study or about other cultural initiatives in the Greater Des Moines Region, visit Bravo Greater Des Moines’s web site at www.bravogreaterdesmoines.org. Copyright 2017 by Americans for the Arts (www.AmericansForTheArts.org).

A comprehensive description of the methodology used to complete the national study is available at www.AmericansForTheArts.org/EconomicImpact.

About This Study This Arts & Economic Prosperity 5 study was conducted by Americans for the Arts to document the economic impact of the nonprofit arts and culture industry in 341 communities and regions (113 cities, 115 counties, 81 multicity or multicounty regions, 10 states, and 12 individual arts districts)—representing all 50 U.S. states and the District of Columbia. The diverse communities range in population (1,500 to more than 4 million) and type (small rural to large urban). Project economists from the Georgia Institute of Technology customized an input-output analysis model for each participating region to provide specific and localized data on four measures of economic impact: full-time equivalent jobs, household income, and local and state government revenue. These localized models allow for the uniqueness of each local economy to be reflected in the findings. Americans for the Arts partnered with 250 local, regional, and statewide organizations that represent the 341 study regions (30 partners included multiple study regions as part of their participation). To complete this customized analysis for the Greater Des Moines Region, Bravo Greater Des Moines joined the study as one of the 250 partners. For the purpose of this study, the Greater Des Moines Region is defined as Dallas, Guthrie, Madison, Polk, and Warren Counties (a multi-county region). Surveys of Nonprofit Arts and Cultural ORGANIZATIONS Each of the 250 partner organizations identified the universe of nonprofit arts and cultural organizations that are located in its region(s) using the Urban Institute’s National Taxonomy of Exempt Entity (NTEE) coding system, a definitive classification system for nonprofit organizations recognized as tax exempt by the Internal Revenue Code. In addition, the study partners were encouraged to include other types of eligible organizations if they play a substantial role in the cultural life of the community or if their primary purpose is to promote participation in, appreciation for, and understanding of the visual, performing, folk, and literary and media arts. These include government-owned or government-operated cultural facilities and institutions; municipal arts agencies and councils; private community arts organizations; unincorporated arts groups; living collections (such as zoos, aquariums, and botanical gardens); university presenters, programs, and facilities; and arts programs that are embedded under the umbrella of a nonarts organization or facility (such as a hospital or church). In short, if it displays the characteristics of a nonprofit arts and cultural organization, it is included. For-profit businesses (e.g., Broadway, motion picture theaters) and individual artists were excluded from this study. Nationally, data was collected from a total of 14,439 organizations for this study. Response rates among all eligible organizations located in the 341 study regions was 54.0 percent, and ranged from 9.5 percent to 100 percent. Responding organizations had budgets ranging from $0 to $785 million (Smithsonian Institution). It is important to note that each study region’s results are based solely on the actual survey data collected. There are no estimates made to account for nonresponding organizations. Therefore, the less-than-100 percent response rates suggest an understatement of the economic impact findings in most of the individual study regions. In the Greater Des Moines Region, 65 of the 91 eligible nonprofit arts and cultural organizations participated in this study—an overall participation rate of 71.4 percent. A list of the participating organizations can be obtained from Bravo Greater Des Moines. Surveys of Nonprofit Arts and Cultural AUDIENCES Audience-intercept surveying, a common and accepted research method, was completed in all 341 study regions to capture information about spending by audiences at nonprofit arts and culture events. Patrons were selected randomly and asked to complete a short survey while attending an event. A total of 212,691 attendees completed the survey. The respondents provided itemized travel party expenditure data on attendance-related activities such as meals, souvenirs, transportation, and lodging. Data was collected throughout the year to guard against seasonal spikes or drop-offs in attendance, and at a broad range of events (because a night at the opera will typically yield more spending than a Saturday children’s theater production). Using total attendance data for 2015 (collected from the participating organizations), standard statistical methods were then used to derive a reliable estimate of total arts event-related expenditures by attendees in each study region. In the Greater Des Moines Region, a total of 786 valid audience-intercept surveys were collected from attendees to nonprofit arts and cultural performances, events, and exhibitions during 2016. Studying Economic Impact Using Input-Output Analysis To derive the most reliable economic impact data, input-output analysis was used to measure the impact of expenditures by nonprofit arts and cultural organizations and their audiences. This highly-regarded type of economic analysis has been the basis for two Nobel Prizes in economics. The models are systems of mathematical equations that combine statistical methods and economic theory in an area of study called econometrics. The analysis traces how many times a dollar is respent within the local economy before it leaves the community, and it quantifies the economic impact of each of those rounds of spending. Project economists customized an input-output model for each of the 341 participating study regions based on the local dollar flow among 533 finely detailed industries within its economy. This was accomplished by using detailed data on employment, incomes, and government revenues provided by the U.S. Department of Commerce (County Business Patterns, the Regional Economic Information System, and the Survey of State and Local Finance), state and local tax data (e.g., sales taxes, lodging tax, property taxes, income tax, and miscellaneous local option taxes), and the survey data collected from the responding arts and cultural organizations and their audiences. 1 For the purpose of this study, residents are attendees who live within the five-county Greater Des Moines region; nonresidents live elsewhere.

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