In April 1997, Appellants requested full membership into the CIML Athletic Conference which was denied by the Appellee. Neither Appellants nor the CIML were satisfied with the Team's recommendations so the Appellants petitioned for the Director's review of the Mediation Team's recommendations. A hearing was held on July 14, 1997, in which all parties participated, including Council Bluffs as an interested party, to explain the relief they sought. The hearing panel and Director sought additional input from "other individuals, organizations or conference representatives" after the conclusion of the hearing in an effort to grant the most equitable resolution. On August 29, 1997, Heelan formally requested to withdraw their petition for membership in the CIML.

Sioux City Community School District's request for full conference alignment with the CIML was denied due to the geographical distance and travel time. Ironically the same reasons that compelled the provision of full conference alignment for Sioux City required that the petition for conference alignment with the CIML be denied. However, the IGHSAU and IHSAA were directed 1) to "assist the Sioux City public schools in developing a two-year schedule for boys' and girls' athletic competition beginning in the Fall of 1998-99"; 2) the administra-tors of IGHSAU and IHSAA are authorized to develop a new activities conference for western Iowa, including the Council Bluffs public schools; and 3) to establish guidelines to assist the conference of its Constitution and By-laws.