The Ames City Council approved a proposed operating budget for the Fitch Family Indoor Aquatic Center (FFIAC) and looked at budget guidelines for the upcoming fiscal year.
The city council saw a presentation overviewing the general budget issues, including Iowa Property Tax system changes, CyRide, Local Options Sales Tax, future capital projects and more.
“A lot of work still yet to be done; it’s a puzzle that’s not completed yet. We don’t see the endpoint right now,” said City Manager Steve Schainker.
The FFIAC has an expected tax subsidy of $281,656 per year to operate, less than the original estimate of $350,000–$400,000. According to the staff report, the estimated tax subsidy for its first six months of operation in 2026 is $268,715 due to a “lower percentage of revenues being realized as compared to a higher percentage of expenses.”
FFIAC adds about $213,463 to the Aquatics budget and $167,588 to the Parks and Recreation budget. The council approved the budget, with more chances to review and adjust it in February 2025.
The council also approved a plan to repair the CT-1 combustion turbine engine, which is crucial for restoring emergency power and meeting the city’s electricity needs.
After the engine is severely damaged, the city will buy and fix a used engine from Sulzer Turbo Services and lease a temporary engine to ensure power remains available during repairs. The total cost for the repair and lease is $1.5 million, and the city will pay about $783,650 after insurance reimbursement. Funding will come from unused money in the Ash Pond Capital Improvement Project.
The council voted 5-1 to approve the Downtown Facade Grants funding, providing $61,785 for three projects. The grant includes $17,960 for facade work at Ames Silversmithing, $20,000 for updates at Great Harvest Bakery and $23,825 for improvements to 409 Douglas Avenue.
City staff presented a long-range electric services staff report, outlining the issues and how staff recommends navigating them, focusing on affordability, reliability and sustainability. Problems include the phasing out of burning refuse-derived fuel and old infrastructure at the power plant that needs eventual replacement.
The next city council meeting is slated for Jan. 14.
