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As part of a policy and planning meeting focused on the city’s long term facilities plan, the Pella City Council will discuss the first significant update in months to the ongoing planning for the proposed outdoor recreation facility Tuesday.

On the agenda is extensive discussion about where the project stands, what could be included, and a possible timeline to proceed.

According to a staff memo issued by City of Pella Administrator Mike Nardini and his staff, the new base proposal for the project would be a facility still located north of the Pella Sports Park, but with some features shifted to alternates for construction. Included is a base plan totaling $42.8 million, which would include two full-sized gymnasiums, a competition swimming pool, an indoor turf field, and other facility space and exercise equipment. This includes the extension of University Street and Baseline Drive, which would cost $7.6 million, with the structure itself totaling $34.4 million.

If additional funding is received from another government source or private fundraising, the final bid proposals could also include an indoor recreation facility, additional parking lots, and two more gymnasiums — which would add up to another $8.4 million. Two gyms and the indoor pool have been removed from the base plan discussed earlier this year — previously, the Pella City Council had hoped to replace the current indoor pool, which has been dealing with several issues despite extensive renovations completed nearly 10 years ago.

The council will also receive another financial presentation from Financial Advisor Michael Maloney. Part of the discussion will center on how ultimately the rec center and University Street Project will be paid for. An area of uncertainty remains as it relates to the Local Option Sales Tax, which would require an extension of an ongoing redistribution agreement with Marion County. The following breakdown will be talked about more in depth Tuesday:

Funding Sources – $43.5 Million
Local Option Sales Tax Bond – $15.7 million (could be up to $20 million)
General Obligation Bond – $7.5 million
Private Pledges – $15.2 million
City Cash Contributions $5 million

As it stands, the City of Pella has a current funding deficit of $4.4 million — which would include $4.5 million for contingency in the project. Between private fundraising and a successful LOSST distribution agreement with Marion County, that could be erased by the spring of 2024, according to the staff memo — and the council could elect to drop their emergency funding for the project down to a more standard three-to-five percent.

During Tuesday’s work session, the council will ultimately then discuss possible future action regarding the overall timeline for the project, the use of debt for the University Street extension — which would then also be done in phases potentially as opposed to all at once, the base bid plan, and estimated engineering fees and whether those items are placed on the agenda or not at future meetings.

Prior to the rec center discussion, a proposal to enter into a partnership agreement with the Friends of the Pella Community Center will also be discussed for upcoming renovations, but no formal action is scheduled. Currently, the Pella City Council is planning to contribute $5.5 million to upgrades at the facility on Union Street, with work to begin sometime in late 2024. Cost estimates for the project will be updated by mid-November, and the agreement with the non-profit Friends group would allow for additional private fundraising avenues.

The Pella City Council meeting begins Tuesday at 6 p.m. in the Pella Public Safety Complex. Read more about the rec center proposal here.