Hills sets $5.1 million bond language for proposed fire station, city offices

Hills City Council recap (072726)

By JJ Peters
Posted 7/29/26

Plans for a new fire station and city offices in Hills took another step forward Monday night. During its July 27 meeting, the Hills City Council approved Resolution 2026-25, setting bond language for a proposed $5.1 million project. The action allows the city to submit the language to Johnson County before the Aug. 19 deadline so the bond question can appear on the November ballot...

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Hills sets $5.1 million bond language for proposed fire station, city offices

Hills City Council recap (072726)

Posted

Hills

Plans for a new fire station and city offices in Hills took another step forward Monday night.

During its July 27 meeting, the Hills City Council approved Resolution 2026-25, setting bond language for a proposed $5.1 million project. The action allows the city to submit the language to Johnson County before the Aug. 19 deadline so the bond question can appear on the November ballot.

Mayor Tim Kemp said the proposed amount represents the maximum the city could borrow for the project. He noted that the city's architect has seen construction bids come in lower than expected this year and that the plans have already been adjusted to help reduce costs.

"Our architect has told us that many of the bids they've seen this year have come in lower than expected. We've already made some changes to the plans to help lower costs, but we still want to set the maximum amount we can spend to account for any cost overruns or changes. If the bids end up being too high, we won't proceed."

City Administrator Adriane Sedlacek said the city currently has a debt capacity of about $6.6 million. Based on recommendations from Speer Financial, city officials are aiming to keep the project closer to $5 million so approximately $1.5 million remains available for future projects or unexpected expenses.

"Our debt capacity is capped at $6.6 million, but we've been aiming for about $5 million. Our financial advisor, Speer Financial, recommended leaving roughly $1.5 million in borrowing capacity to cover any unexpected projects or costs that may arise in the future. That's why we've tried to keep the proposal around the $5 million mark."

The city continues to target November for the bond referendum.

Public comment

During public comment, Hills resident Judy Cambridge encouraged the council to gather more community input before moving forward with the project. She suggested presenting residents with multiple building options, saying people may be more willing to support a higher price tag if the project also included amenities such as year-round public restrooms, a walking track or other recreational features.

Kemp responded that "timing was certainly an issue," explaining the city needed to approve the bond language in time to meet the Aug. 19 deadline for placing the measure on the November ballot. He added that the current proposal focuses on a fire station and city offices, while the existing city building could potentially be used for some of the community amenities residents have suggested in the future. 

New council member

The council also filled the vacancy created by Jackson Willette, whose resignation became effective June 30 after he moved to of the city. 

Rather than hold a special election, the council chose to appoint a replacement and interviewed four applicants before selecting Patrick Muller.

Muller will serve the remainder of Willette's term through 2028 unless another vacancy occurs.

Humane society contract

The council approved a contract with the Muscatine Humane Society, which charges the city $100 per animal on a year-to-year basis.

Council members also reviewed a proposal from the Iowa City Animal Care that would require a three year agreement costing just over $1,000 annually for up to nine dogs. Several council members agreed with council member Emily Hudachek that they wanted additional information about the Iowa City proposal before considering a change. 

The council plans to revisit the topic at a future meeting.

Next meeting

The next Hills City Council meeting will be held Monday, Aug. 10, at 7 p.m. at the fire station.

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