Pella City Council approves bond authorizations, fees and multiple project contracts

Pella City Council approved a string of resolutions that authorize borrowing authority, set new fees and green‑light several consulting and procurement steps for infrastructure and city projects.

Staff told the council the public hearings held for two proposed general obligation loan notes—one not to exceed $6,550,000 for urban renewal-related infrastructure and another not to exceed $1,250,000 for general obligation essential corporate purposes—are intended to cover work tied to the University Street and Baseline Drive extensions. "We anticipate that the actual bond issue will be significantly less than the $7.8 million," staff member Mike said, referring to the combined ceiling for the issues. Council then approved the related proceedings and a separate resolution that would permit the city to levy a debt service tax if needed to repay the bonds.

Council also approved a resolution that sets fees for mobile food units at city recreation properties: a payment equal to 10% of gross sales plus a $150 refundable deposit for permitted vendors. Mike said the ordinance authorizing food trucks at city recreation facilities was adopted earlier and this resolution implements the permit fee structure.

Several contracts and project steps were approved in one meeting: a three‑year audit engagement with KDB (estimated annual fees $44,000–$46,700), a compensation classification study with Austin Peters Group (study fee noted at about $80,000, estimated to begin in July and take six to nine months), and consulting agreements with Greenwood Consulting for both a Jordan Well No. 3 site and for an owner’s representative role on the community center renovation. The council set May 19 as the public hearing date for the west generating plant control upgrades and for the airport water main expansion project (an 8‑inch loop of roughly 7,500 linear feet, with staff’s engineer estimating cost at about $943,000).

On procurement and project‑management authority, council approved raising the administrative committee’s change‑order authorization for the indoor recreation center from $200,000 to $300,000 to allow faster handling of smaller change orders (staff said most are under $20,000). Council also approved a three‑year farm lease for city‑owned land adjacent to the municipal airport to the high bidder recorded in the meeting.

Votes at a glance - Resolution 7036 (initiate issuance proceedings, not to exceed $6,550,000): approved by roll call. - Resolution 7037 (initiate issuance proceedings, not to exceed $1,250,000): approved by roll call. - Resolution 7038 (authorize issuance and levy for bonds, maximum $7.8M): approved. - Resolution 7039 (mobile food unit fees): approved. - Resolution 7040 (increase admin change‑order authority to $300,000): approved. - Resolution 7041 (compensation study; Austin Peters Group): approved. - Resolution 7042 (three‑year audit contract; KDB): approved. - Resolution 7043 (reorder construction; west generating plant upgrades and bid date): approved. - Resolution 7044 (Greenwood Consulting; Jordan Well No. 3 study): approved. - Resolution 7045 (three‑year farm lease for airport farmland): approved. - Resolution 7046 (Greenwood Consulting; community center owner’s representative): approved. - Resolution 7047 (airport water main expansion; set hearing date): approved.

The meeting also included routine bill approvals and a public comment from a resident asking about the timeline and costs for the South Main building conversion to city offices; staff said a change order is pending and an update will be provided when available. The council concluded the open session by voting to enter closed session under Iowa Code Chapter 21.5 to discuss litigation and real estate matters.

The meeting materials and staff presentations described next steps for each project (public hearings, bid lettings and consultant reports) and projected many of the capital‑project expenditures to go forward in FY2027 when bond payments would begin if bonds are issued.