City purchases Elmegreen’s airport hangars

City Council
By: 
Kim Brooks
Express Editor

     The City of Monticello is now the owner of two additional airplane hangars at the Monticello airport.

     Per the direction of the Airport Board, the council approved the purchase of the hangars, which were previously owned by long-time Airport Manager Paul Elmegreen and his business, Monticello Aviation. (Elmegreen passed away in October 2019.)

     The purchase price for both hangars is $75,000, which is the assessed value. The purchase price would be paid over a six-year period, with the city paying $15,000 down. There would be annual payments of $12,000 plus 5 percent interest.

     Both hangars are currently occupied with planes, and those owners would continue to pay rent to the city, beginning March 1.

     “Due to the high demand for hangar space, it is anticipated that the hangars will remain at or near full occupancy moving forward,” City Administrator Doug Herman shared with the council. “Space is at a premium at our airport. If we had space, there’d be more planes.”

     Monthly rent is $1,200. Annual rent at full capacity is $14,400, which would more than cover the city’s annual payment for purchase.

     Another advantage to the city owning the hangars is the use of DOT grant money. The city would be eligible for Iowa DOT Vertical Infrastructure grants that could be applied toward maintenance and upkeep of the hangars. The grants come with an 85 percent cost share.

     Herman shared that Elmegreen’s family was interested in selling the hangars to the city before putting them on the open market. The city also had first right of refusal if the hangars were sold.

     In other city business:

   • The council approved a $3,000 investment in the Jones County Safe and Healthy Youth Coalition for FY 2021. This is the same amount as last year.

     Project Coordinator Jennifer Husmann was present to update the council on the Coalition. She said her job description has changed due to funding, and she now dedicates 25 percent of her time toward Jones County. They hired an additional employee to give time to the county as well.

     Husmann said there has been some positive news regarding decreases in youth substance abuse in Jones County. But at the same time, there is concerning news about increased vaping among youth and teen suicide rates. The Coalition is now shifting a bit to look at mental health with teens.

     Yeoman asked whether the Coalition is confident in its youth surveys because the results are based on self-reporting. “Are you given valid statistics?” he asked.

     Husmann said this is the same survey that’s been used since 1979. It’s now done online versus paper and pencil. She said it’s not about the individual results so much as it is the trends over time.

     “I believe most kids are telling the truth because they have no reason not to,” she said.

     • Wayne Peach was appointed to the Planning and Zoning/Board of Adjustment.

     • The council set a public hearing on the Fiscal Year 2021 city budget. The hearing will be held on Monday, March 16 at 6 p.m.

     The city’s proposed tax rate is $13.87, which has remained constant for a seventh year in a row.

     • The council approved a Letter of Conditions, authorizing the mayor to execute a Request for Obligation of Funds related to a USDA grant for the purchase of a new ambulance.

     The city was awarded $73,000, having applied for $110,000.

     “It’s better than nothing,” Herman said.

     To make up the difference of the $112,000 purchase, there is set-aside money sitting in the ambulance improvement fund, which is made up of city appropriations and township fees. In addition, MEMT raised over $25,000 as well.

     • Herman reported to the council that Royal Flush Truck Wash wants to lease space for the sale of new truck trailers.

     “They have a large lot and they’re not using all of it,” he said.

     Along with the trailers would be a sign noting the sale. The council was opposed to a freestanding permanent sign, though.

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