HomeMy WebLinkAbout2024-12-02 Resolution 2024-524_Natural Gas Utility, Establish Fair Market ValueTHE CITY OF WAUKEE, IOWA
RESOLUTION 2024-524
RESOLUTION ESTABLISHING THE FAIR MARKET VALUE OF THE CITY'S
NATURAL GAS UTILITY
IN THE NAME AND BY THE A UTHORITY OF THE CITY OF WA UKEE, IOWA
WHEREAS, the City of Waukee, Dallas County, State of Iowa, is a duly organized Municipal
Organization; AND,
WHEREAS, the City of Waukee has owned and operated a natural gas utility within the City
limits of the City of Waukee since 1966; AND,
WHEREAS, a proposal to discontinue the City utility and dispose of said utility by sale shall not
be submitted to the voters until the City complies with the requirements of Iowa Code Section
388.2A (2024); AND,
WHEREAS, the City has obtained two appraisals of the natural gas utility by independent
appraisers selected by the City Council of the City of Waukee, and the Iowa Utilities Board;
AND,
WHEREAS, the two appraisals determined the natural gas utilities' fair market value as follows:
a) BCC Advisers appraisal $19,550,000
b) HDH Advisors appraisal $19,200,000;
c) The average of the two appraisals as required by Iowa Code section
388.2A(2)(a)(2)(b)(I) is $19,377,500.00; AND,
WHEREAS, the most recent depreciated value of the capital assets of the natural gas utility,
which is to be sold, if approved by the voters in accordance with Iowa Code chapter 388, is
$13,675,887.46; AND,
WHEREAS, the natural gas utility does not have any outstanding revenue or general obligations
debt issued for the purposes of the natural gas utility. There is no outstanding debt associated with
the natural gas utility; AND,
WHEREAS, pursuant to Iowa Code Section 388.2A(2)(c), the governing body's determination of
the City utility's fair market value pursuant to this subsection is to be diapositive of the City utility
systems price which shall be subject to negotiation by the governing body; AND,
WHEREAS, as required pursuant to Iowa Code Section 388.2A(2)(b), the City Council
determines the natural gas utility value is $19,377,500.00.
NOW THEREFORE BE IT RESOLVED that the City of Waukee hereby establishes the City's
natural gas utility's fair market value as $19,377,500.00 as required by Iowa Code Section
388.2A(2)(b).
Passed by the City Council of the City of Waukee, Iowa, and approved this the 2"d day of
December, 2024.
Attest:
ijj� 0.�
Rebecca D. Schuett, City Clerk
RESULTS OF VOTE:
AYE
R. Charles Bottenberg
Chris Crone
X
Rob Grove
X
Anna Bergman Pierce
X
Ben Sinclair
X
Courtney Clarke, Mayor
NAY ABSENT ABSTAIN
X