With a half-finished overhaul of its water pollution control facility and millions already invested, a state grant will lower the city’s debt and ease pressure on ratepayers.

The Ames City Council voted Tuesday to lock in a $500,000 grant contract with the Iowa Finance Authority for the Wastewater and Drinking Water Treatment Financial Assistance Program. The money will support nutrient reduction upgrades at the city’s water pollution control facility and reduce the amount the city must repay through a state revolving fund loan.

The facility is nearly 50% complete with the first of two construction phases designed to help the city meet the goals of the Iowa Nutrient Reduction Strategy. The strategy aims to improve water quality across Iowa by reducing nutrients that flow into rivers and streams.

The total authorized budget for the project is $62.54 million. So far, $59.78 million has been spent or committed.

City staff applied for the maximum $500,000 available through the program. The project qualified under three funding priorities: significantly improving water quality in the watershed, using alternative wastewater treatment technology and advancing the goals of the state’s nutrient reduction strategy.

The finance authority approved the application for the full amount on Feb. 4.

Under the agreement, the first $500,000 of the next state revolving fund loan disbursement will come from the grant. That means the city will borrow less overall, lowering the principal balance and reducing future debt service payments.

The city’s legal department reviewed and approved the grant contract before bringing it to the council. By approving the grant, the council authorized Ames Mayor John Haila to sign the agreement on behalf of the city.

Indoor aquatic center faces delays

The council learned the Fitch Family Indoor Aquatic Center is just days away from a major construction milestone — the swimming and non-swimming areas of the facility are targeted for substantial completion by Friday. However, city officials are still ironing out problems with floors that didn’t look right and windows that won’t arrive on time.

Parks and Recreation Director Keith Abraham told the council in a memo that a full opening will be delayed until early April because specialty glazing — the large glass panels on the southeast side of the indoor pool area — has a 10-week lead time that could not be shortened. The contractor responsible for the pool area has been told it must pay for temporary tempered glass to cover that section in the meantime.

Floor issues: One of the issues in recent weeks relates to the center’s lobby and hallway floors. The original plan called for a “Class B” polished concrete finish, which gives floors a speckled “salt and pepper” appearance. But when the work was done, city staffers weren’t satisfied.

“Staff is not happy with the inconsistencies, imperfections, and the overall appearance of these areas,” Abraham wrote in the memo.

As a result, the city directed the contractor to upgrade to a “Class C” finish, which resembles terrazzo — a smoother, more uniform look often seen in schools and government buildings. Work on the new finish began Feb. 9.

The upgrade came with a price tag of $34,210. After negotiations, the city agreed to pay $20,000, the contractor $12,210, and construction manager Story Construction $2,000.

Concrete panel issues: Issues with the exterior precast concrete panels remain unresolved. Three stain colors have been chosen and will soon be applied to a test panel so officials can evaluate the look. A full update is expected to be presented to the council in March.

Contingency update: Since the last council update, the city approved five new change orders, bringing the project’s total change order spending to $406,732 or 19.37% of the $2.1 million contingency budget. That leaves $1.7 million remaining in contingency funds.

No contaminated soil or groundwater has been found at the site. The city has set aside $1 million specifically for contamination mitigation, and none of that fund has been touched.

In other business

• The council passed a resolution documenting the accomplishments of the Historic Preservation Commission (HPC) and its work plan for 2026.
• The council passed a resolution to certify 52 property tax abatement applications and determined 2113 Ada Hayden Road does not meet the eligibility requirement of being owner-occupied.
• The council directed staff to proceed with preparing urban renewal areas and tax increment financing ordinances.
• The council received a report about a proposed neighborhood connections initiative with four strategies to help achieve the council’s goal of increasing public engagement regarding city projects, studies and policy changes.
• The council went into closed session to discuss litigation or potential litigation.
• Next time: The next regularly scheduled council meeting will be at 6 p.m. March 10 at Ames City Hall, 515 Clark Ave.