The Pella City Council approved a budget allocation to the Pella Area and Community Economic Alliance at their meeting Tuesday.

The group made up of the former Pella Chamber of Commerce and Pella Area Development Corporation (PADCO) will receive $30,000 in the upcoming fiscal year. An amendment to change the allocation to $15,000 failed after extensive discussion, and they ultimately approved the full amount in a 5-1 vote, with Tony Bokhoven voting against the resolution.

Larry Peterson introduced the change to $15,000, saying he fully supports the PACE Alliance, but having a representative on the board of directors was unnecessary. He says the council’s policy making decisions provide value beyond the dollars to the new group. He said it was less about the money itself, but instead about the extra time investment made by city staff on top of the work they do preparing resolutions for the council. The cutoff for PACE Alliance investors to have a seat on the board of directors is $30,000.

Councilmember Bokhoven had concerns with accountability, saying the previous PADCO funding did not ever change despite discussion from the council in previous years about results provided. He expressed his support, but did not favor the $30,000 resolution. Both Bokhoven and Peterson expressed similar concerns at a budget workshop in February.

Those in favor said the full investment was necessary as the PACE Alliance starts up, as was having city representation on the board of directors. The agreement will be reviewed annually, and the council aimed to hold the PACE Alliance accountable if results aren’t returning value on the investment. All members in attendance expressed their desire to see the organization succeed.

At policy and planning following the regular meeting, the council also discussed how it will affect a budget request previously made by PADCO for $55,000, prior to the new alliance forming. The money is a reimbursement for expenses made in the calendar year 2016. City staff was unsure how to proceed, as PADCO became the PACE Alliance, and the funding was specifically marked for the prior organization. Ultimately, the council did not make a formal action, and a resolution will officially be considered at the April 4th meeting. The PACE Alliance board expressed their desire to only use the funds for the previous functions of PADCO.