Pella Chronicle

Local News

August 15, 2013

Final payment authorized for compliance project

During last Tuesday evening, the Pella City Council approved a resolution accepting Improvements and Authorizing Final Payment to for the Diesel Engine RICE NESHAP Compliance Project.

This resolution accepts the improvements and authorizes final payment of $78,332 to CSE Enterprises, LLC for work associated with the project known as Diesel Engine RICE NESHAP Compliance Project.

Council approved the contract with CSE Enterprises on November 5, 2012 in the amount of $456,000 for the work consisting of replacing the existing silencer with a combination silencer catalyst and installing a closed crankcase ventilation system. On March 5, 2013, Change Order No. 1 was approved for the installation of compliance monitoring equipment. Final documents have been reviewed and the Engineer’s Statement of Final Completion signed.

Council also approved a resolution Fixing Date for a Public Hearing on the Proposal to Enter into a Development Agreement with Mill Farm Partners, L.L.C.

This resolution establishes August 20, 2013 as the public hearing date for a proposed development agreement with Mill Farm Partners, LLC, and authorizes staff to provide the required public notices.

In December of 2012 the City Council approved a conditional resolution of support for the Overland Property Group’s proposed Section 42 Housing Development referred to as the Mill Farm Housing Development. This housing project will consist of a 32-unit affordable housing complex in the View Point subdivision in Pella, adjacent to the Sports Page Grill and across from the Ulrich dealership.

Since Council’s approval of the conditional resolution of support last December, the Iowa Finance Authority has awarded housing tax credits for the project, and the developer intends to proceed with constructing the project. However, the project is contingent upon receiving the community match as stated in the City’s conditional resolution of support.

The estimated valuation of the property is approximately $5.2 million and according to the Marion County Assessor, the property would be taxed based on a formula received by the State of Iowa, which takes into consideration the income generated by the property. For other Section 42 housing developments in Marion County, this rate ranges between 15 and 50 percent of what the property would pay for property taxes if it was not Section 42.

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