What to do about all this bond money?

Greetings,

At our February 6, 2025 City Council meeting (agenda), the Council will be asked to vote to approve another $100,000 in design work for the Marina Steps. However, although the packet does not provide specifics, the Council is encouraged to explore other options concerning the bond money we approved in 2023. The Redondo Fishing Pier is one. But there is another possibility that would generate revenue within a year and over time save taxpayers millions of dollars. This option has not gotten enough discussion and with so many cost overruns and calls for even more spending it’s time to make that case more forcefully.

Having spoken with many of you over the past few weeks, I’m hearing three main frustrations:

1. Many of you want the Redondo Fishing Pier to move forward. You were told it would happen years ago, and there are trust issues because it hasn’t.

2. The high cost of the Marina Steps. Regardless of how people feel about the concept as a whole, those cost overruns are now causing many to question the value of various design elements.

3. Ongoing confusion about those bonds.

On June 8, 2023 the City Council voted to purchase over $25,000,000 in bonds using both City and Marina credit. We can only spend this money on three things: the Redondo Fishing Pier, Marina Steps, or ‘Docks’ (the working Marina). This has used up all our bonding capacity for many years. We’ve maxed out our credit card.

Here’s what’s critical: The Marina business is what made everything you enjoy there possible. It’s always been ‘the moneymaker’ that powers everything you enjoy on the waterfront from the Beach Park to Anthony’s. For this to continue, we will soon need to replace the majority of the docks and the other half of the seawall. And to do that, we will likely need another fifty million dollars in new revenue sources.

Fortunately, we have an option which can help: Dry Stack. Dry Stack is ‘on land’ boat storage. Your boat is stored in a climate-controlled building and placed in the water when you want to use it. It is highly desirable for boaters and highly lucrative for marinas. In fact, every similar marina already has this – we’re decades behind. It’s twice as profitable as our current dry sheds, generating $250,000 more in annual revenue. What’s more, our current dry sheds are at end of life, just like the docks.

If we build a Dry Stack now, that facility will generate revenue for as long as the Marina exists. In fact, it’s the only new revenue possibility we’ll ever have for the Marina. And here’s the good news: it’s an allowable use for the bond money!

The choice before your Council is simple: pick two out of three projects. We don’t have money for all three – Marina Steps, Redondo Fishing Pier, and Dry Stack. Until this year, the Council deferred Dry Stack to 2032 to prioritize the Marina Steps. But consider this:

– We are being asked to pay $100,000 to redesign the Marina Steps to fit under budget, but we do not know what that will be
– The Redondo Fishing Pier may not be able to proceed until 2026 due to permit challenges
– A Dry Stack facility can be built this year, with predictable costs based on many other marinas’ experience

You voted down the Property Tax Levy, demanding more responsible spending. This is it. Neither the Marina Steps nor the Redondo Fishing Pier will ever generate direct revenue. Dry Stack will bring in $250,000 annually. Money which will help finance the docks and seawalls, save taxpayers millions and preserve the goose that lays all the golden eggs.

For me, this makes it the clear first choice – it’s the responsible revenue choice.

That still leaves enough money to do either the Pier or the Steps. I know various people are passionate about both projects. But regardless, I hope you’ll support making Dry Stack number one. We must have more revenue to preserve the Marina and make Des Moines the premier waterfront destination into the future.

One other thing: on this same February 6 meeting, the Council will also consider re-instating our Public Planning Commission. No matter where you stand on any of the bond-related issues, I hope you will write or show up in support of that. In the 12 years since it ended, every major controversy in Des Moines has come down to big land use decisions. Ones where the public felt blindsided and not heard. And I believe this would help.

I look forward to your comments and questions.