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HomeMy WebLinkAboutMinutes-05/07/2007May 7, 2007 The Council of the City of Waterloo, Iowa, met in Regular Session at City Hall Council Chambers, Waterloo, Iowa, at 5:30 p.m., on Monday, May 7, 2007. Mayor Timothy J. Hurley in the Chair. Roll Call: Kincaid, Welper, Gunderson, Greenwood, Getty, Cole, Schmitt. Moment of Silence. Pledge of Allegiance: 125248 - Schmitt/Kincaid Tim Shea, Superintendent of Waste Management Services. that the Agenda, as amended to add Item lk, for the Regular Session on Monday, May 7, 2007, at 5:30 p.m., be accepted and approved. Prior to a vote on the above motion, the following comments were heard. Councilperson Getty suggested that Items 2 and 3 be tabled because the city may be selling Fire Station #8. Mayor Hurley noted the city has a grant for the generators. If we don't use the grant by July 20, we will lose the money as they already gave the city an extension. If something happens at Fire Station #8, the cost would be minimal to move the generators. Lou Cutwright, Building Official/Maintenance Administrator, expressed that one section of Fire Station #8 is included in the bid document and could be removed from the contract if necessary. Following comments a vote was taken on the above motion with the following result. Ayes: Seven. Motion carried. 125249 - Schmitt/Kincaid that the Minutes, as amended, for the Regular Session on Monday, April 23, 2007, at 5:30 p.m., be accepted and approved. Ayes: Seven. Motion carried. Mayor Hurley read a Proclamation declaring May 12, 2007 as Letter Carrier Food Drive Day. Mayor Hurley read a Proclamation declaring May 13-19, 2007 as National Police Week and May 15, 2007 as Peace Officer's Memorial Day. 125250 - Schmitt/Kincaid that the following items on the consent agenda be received, placed on file and approved: a. Resolutions to approve the following: 1. Resolution approving Schedule AP640, pp. 1-79, dated May 7, 2007, in the amount of $2,336,055.60, a copy of which is on file in the City Clerk's office, together with recommendation of approval of the Finance Committee. Resolution adopted and upon approval by Mayor assigned No. 2007-308. 2. Communication from Police Chief transmitting request of YMCA to hold 2007 Together We Play 5K on May 19, 2007 beginning at 7:00 a.m., with route to begin and end at the YMCA site. Resolution adopted and upon approval by Mayor assigned No. 2007-309. b. Motion to approve the following: 1. Mohammad Elahi, Traffic Engineer; Randy Heiberger, Signal Technician Foreman; and Doug Eldridge, Signal Technician II; to attend Fundamentals of WirelessData, Traffic Network Designs, Installation and Troubleshooting Training in High Ridge, Missouri on May 1-2, 2007, with costs no to exceed $495.00, including use of city vehicle. 2. Mark Rice, Superintendent of Central Garage, to attend Fleet Management Seminar in Chicago, Illinois on June 20-22, 2007, with costs not to exceed $1,225.00, including use of city vehicle. May 7, 2007 Page 2 Consent Agenda continued 3. Communication from Mayor Hurley transmitting recommendation of reappointment of Christa Miehe to the Waterloo Convention and Visitors Bureau, with term expiration date of June 30, 2010. 4. Communication from Mayor Hurley transmitting recommendation of appointment of James L. Zeiner and Pastor Reginald Haywood to Waterloo Housing Authority Board, with term expiration date of January 2008. c. Beer License Permit Application Class C Smokers Choice, 210 West 18th Street (Renewal) (Expires 6/7/08) d. Liquor License Permit Application Class A Amvets Home Inc., 32 Lafayette Road (Renewal) (Expires 5/13/08) (Includes Sunday Sales) e. Beer/Liquor License Permit Application Class C Diamond Daves Crossroads, 124 Crossroads Boulevard (Renewal) (Expires 5/14/08) (Includes Sunday Sales) Olive Garden Italian Restaurant, 1315 East San Marnan Drive (Renewal) (Expires 5/28/08) (Includes Sunday Sales) Applebee's Neighborhood Grill & Bar, 2780 Crossroads Boulevard (Renewal) (Expires 6/23/08) (Includes Sunday Sales) f. Liquor License Permit Application Class B Ramada Inn, 205 West 4th Street (Renewal) (Expires 4/30/08) (Includes Sunday Sales) g• Beer License Permit Application Class B Greater Cedar Valley Chamber of Commerce, 519 Mulberry Street (New) (5 days - 5/31/07 - 6/5/07) (Includes Sunday Sales) h. Outdoor Service Area Application Amvets Home Inc., 32 Lafayette Road Greater Cedar Valley Chamber of Commerce, 519 Mulberry Street i. Theater License Application Mini 16 Cinema, 315 E. 4th Street Fantasy Theatre, 1850 West Airline Hwy Crossroads 12 Theatre, 2450 Crossroads Boulevard Adult Emporium, 1507 LaPorte Road j. Bonds. k. Outdoor Service Area Application The Penalty Box, 118 Commercial Street Ayes: Seven. Motion carried. HEARINGS & BIDS 125251 - Gunderson/Welper that proof of publication of notice of public hearing on F.Y. 2007 City of Waterloo Roof Project, Contract No. 731, as published in the Waterloo Courier on April 20, 2007, be received and placed on file. Ayes: Seven. Motion carried. 125252 This being the time and place of public hearing, the Mayor called for written and oral objections and there were none. Gunderson/Welper that the hearing be closed. Ayes: Seven. Motion carried. • May 7, 2007 Page 3 Hearings & Bids continued 125253 - Gunderson/Welper that "Resolution confirming approval of plans, specifications, form of contract, etc. in conjunction with F.Y. 2007 City of Waterloo Roof Project, Contract No. 731", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-310. 125254 - Gunderson/Welper that "Resolution authorizing to proceed in conjunction with above project", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-311. 125255 - Gunderson/Welper to receive, file and instruct City Clerk to open and read bids and refer to Building Official/Maintenance Administrator for review: Bidder Bid Bond Bid Amount Service Roofing, Waterloo, Iowa 5% $225,635.00 Pries Roofing, La Porte City, Iowa 5% $224,220.00 Black Hawk Roof Co., Cedar Falls, Iowa 5% $294,654.00 Ayes: Seven. Motion carried. 125256 Getty/Kincaid that proof of publication of notice of public hearing on Emergency Generators Installation at Fire Station 1, 3, 4, 5, 6 and 8, as published in the Waterloo Courier on April 20, 2007, be received and placed on file. Ayes: Seven. Motion carried. 125257 - This being the time and place of public hearing, the Mayor called for written and oral objections and there were none. Getty/Kincaid that the hearing be closed. Ayes: Seven. Motion carried. 125258 - Getty/Schmitt that "Resolution confirming approval of plans, specifications, form of contract, etc. in conjunction with Emergency Generators Installation at Fire Station 1, 3, 4, 5, 6 and 8", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-312. 125259 - Getty/Schmitt that "Resolution authorizing to proceed in conjunction with above project", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-313. 125260 - Getty/Schmitt to receive, file and instruct City Clerk to open and read bids and refer to Building Official/Maintenance Administrator for review: Bidder Bid Bond Bid Amount Scotts Electric Inc., Waterloo, Iowa 5% $94,678.00 Menninga Electric, Pella, Iowa 5% $78,98.00 Ayes: Seven. Motion carried. May 7, 2007 Page 4 UNFINISHED BUSINESS 125261 - Schmitt/Cole that communication from Superintendent of Traffic Operations transmitting recommendation to reject all bids received on April 23, 2007 in conjunction with U.S. 63 and Parker Street Intersection Traffic Safety Improvements, Contract No. 722, be received, placed on file and approved. Ayes: Seven. Motion carried. DOCUMENTS 125262 - Schmitt/Cole that communication from Assistant City Attorney transmitting Acknowledgement/Settlement Agreement in the amount of $300.00 with Casey's General Store, 3035 Logan Avenue, for selling tobacco, tobacco products or cigarettes to any person under eighteen years of age, be received, placed on file and "Resolution approving said agreement", be adopted and Mayor and City Clerk authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-314. 125263 - Schmitt/Cole that communication from Assistant City Attorney transmitting Acknowledgement/Settlement Agreement in the amount of $300.00 with Hy -Vee Wine & Spirits, 2126 Kimball Avenue, for selling tobacco, tobacco products or cigarettes to any person under eighteen years of age, be received, placed on file and "Resolution approving said agreement", be adopted and Mayor and City Clerk authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-315. 125264 - Schmitt/Cole that communication from City Clerk transmitting agreement with Hawkeye Chapter of the American Red Cross to use Veterans Memorial Hall in case of an emergency or disaster, be received, placed on file and "Resolution approving said agreement", be adopted and Mayor authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-316. 125265 Cole/Schmitt that communication from Senior Planner transmitting request of Ramo Husidic for tax exemptions on improvements totaling $10,000.00 for 423 Downing Avenue located in the Consolidated Urban Revitalization Area, together with recommendation of approval, be received, placed on file and "Resolution approving said request", be adopted and City Clerk instructed to notify Black Hawk County Assessor of same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-317. 125266 - Cole/Schmitt that communication from Senior Planner transmitting request of Betty Seamans for tax exemptions on improvements totaling $105,000.00 for 430 Quincy Street located in the Consolidated Urban Revitalization Area, together with recommendation of approval, be received, placed on file and "Resolution approving said request", be adopted and City Clerk instructed to notify Black Hawk County Assessor of same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-318. 125267 - Cole/Schmitt that communication from Community Development Director transmitting application with U.S. Department of Housing and Urban Development for Lead -Based Paint Hazard Control Program grant, be received, placed on file and "Resolution approving said application", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-319. • May 7, 2007 Page 5 Documents continued 125268 - Cole/Schmitt that communication from Associate Engineer transmitting agreement with Ament, Inc. for additional field surveying and design engineering services at a maximum cost of $4,000.00 in conjunction with F.Y. 2006 Donald Street Trail, Contract No. 700, be received, placed on file and "Resolution approving said agreement", be adopted and Mayor authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-320. 125269 - Welper/Kincaid that communication from Airport Director transmitting one-year agreement with Waterloo Implement to lease 72" side discharge riding mower and 20' flex wing rotary cutter at a cost of $6,950.00, be received, placed on file and "Resolution approving said agreement", be adopted and Mayor authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-321. 125270 Welper/Kincaid that communication from Assistant City Engineer transmitting sanitary sewer plans for the Iowa Northern Railway Sanitary Sewer Extension at 1330 Sheffield Avenue, as submitted by Iowa Northern Railway Company, and sewage treatment agreement with Iowa Department of Natural Resources, be received, placed on file and "Resolution approving said documents", be adopted and Mayor authorized to execute same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-322. 125271 Welper/Kincaid that communication from Assistant City Engineer transmitting Acceptance of Plat Improvements (Sanitary Sewer) for Summerland Farms First Addition, be received, placed on file and "Resolution approving said improvements", be adopted and two- year maintenance bond from Heartland Excavating LLC be received and placed on file. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-323. RESOLUTIONS TO BE ADOPTED 125272 Welper/Kincaid that communication from City Engineer transmitting request to remove the segment of East 4th Street from Mulberry Street to the northerly side of the East 4th Street Bridge from the Sidewalk Repair Program - Zone 7, be received, placed on file and "Resolution approving said request", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-324. 125273 - Kincaid/Welper that "Resolution authorizing Mayor Hurley to cancel all action on RFP for Facility Management Services and cancel June 4, 2007 date of hearing and bid opening", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-325. 125274 - Kincaid/Welper that "Resolution declaring the week of May 13, 2007 as National Police Week and May 15, 2007 as Peace Officer's Memorial Day", be adopted and flags on city facilities are ordered to be flown at half-staff on Peace Officer's Memorial Day. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-326. May 7, 2007 Page 6 NEW BUSINESS 125275 - Kincaid/Welper that communication from City Planner transmitting Development Agreement with Rebecca Jo Cain to sell and convey city -owned property generally located in the 700 block of Mobile Street for $1,600.00, be received, placed on file and "Resolution setting date of hearing as May 21, 2007, at 5:30 p.m. in the City Hall Council Chambers on the above described request", be adopted and City Clerk instructed to publish notice of same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-327. 125276 - Kincaid/Welper that "Resolution setting date of hearing as City Council Chambers on bids received for Phelps Youth Pavilion", be adopted and City of same. Ayes: Seven. Resolution adopted and upon approval by Mayor 125277 - Greenwood/Schmitt May 21, 2007 at 5:30 p.m. in the the Interactive Staircase for the Clerk instructed to publish notice assigned No. 2007-328. to instruct City Planner to prepare Request for Purchase Agreement document in conjunction with Purchase Agreement for Disposal of Fire Station Number 8, be received, placed on file and approved. Ayes: Seven. Motion carried. 125278 Greenwood/Schmitt that Request for Purchase Agreement document in conjunction with Purchase Agreement for Disposal of Fire Station Number 8, be received and placed on file. Ayes: Seven. Motion carried. 125279 - Greenwood/Gunderson that "Resolution preliminarily approving Request for Purchase Agreement document in conjunction with above described agreement", be adopted. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-329. 125280 Greenwood/Gunderson that "Resolution setting date of hearing on Request for Purchase Agreement document as May 21, 2007 at 5:30 p.m. in the City Hall Council Chambers and taking of proposals on the above described agreement", be adopted and City Clerk instructed to publish notice of same. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-330. HEARINGS 125281 — Getty/Welper that proof of publication of notice of public hearing on F.Y. 2007 Budget Amendment, as published in the Waterloo Courier on April 26, 2007, be received and placed on file. Ayes: Seven. Motion carried. 125282 - This being the time and place of public hearing, the Mayor called for written and oral objections and there were none. Getty/Welper that the hearing be closed. Ayes: Seven. Motion carried. 125283 Getty/Welper that "Resolution approving said budget amendment", be adopted. Prior to a vote on the above motion, the following comments were heard. May 7, 2007 Page 7 Hearings continued Michelle Weidner, Chief Financial Officer, reported there will be two budget amendment hearings this year. The construction contractors are making more progress than was anticipated and the city received an extra grant from the FAA. The city will overspend the 2007 budget if we don't make the amendments. Following comments a vote was taken on the above motion, with the following result. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-331. 125284 - Schmitt/Kincaid that proofs of publication of notice of public hearing on request of Elk Run Energy Associates LLC on behalf of landowners on the annexation of approximately 345 acres of land generally located along Merle Road, north of Newell Street, mile east of North Elk Run Road and request of Elk Run Energy Associates LLC to rezone from "A-1" Agricultural District to "M -2,P" Planned Industrial District approximately 260 acres of land generally located along Merle Road, north of. Newell Street, X mile east of North Elk Run Road to allow for development of a 750 -megawatt coal-fired electric generation facility, as published in the Waterloo Courier on April 20, 2007, be received and placed on file. Ayes: Seven. Motion carried. 125285 - This being the time and place of public hearing on annexation of approximately 345 acres of land generally located along Merle Road, north of Newell Street, mile east of North Elk Run Road and request of Elk Run Energy Associates LLC to rezone from "A-1" Agricultural District to "M -2,P" Planned Industrial District approximately 260 acres of land generally located along Merle Road, north of Newell Street, X mile east of North Elk Run Road to allow for development of a 750 -megawatt coal-fired electric generation facility, the Mayor called for written and oral objections. Nancy Eckert, City Clerk, reported that numerous e-mails have been received in her office and also a petition addressed to the Black Hawk County Supervisor with over 4,000 signatures. Mark Milburn, Project Manager, Project Manager for LS Power Development LLC, explained that Elk Run Energy Associates LLC proposes to construct a modern, 750 megawatt coal-fired electric generation facility. Mr. Milburn noted that they propose to start construction in 2008, it would take about four years for completion and be on-line in 2012. Milburn reported construction of the project would require more than $1 billion in capital investment and will have a remarkable impact on the local and regional economy. The electricity would be sold on a wholesale basis in Iowa and, surrounding states. Mr. Milburn reviewed the benefits and impacts of the proposed development, noting the Greater Cedar Valley Alliance's independent study. Estimated $3.15 million in annual taxes to state and local governments, economic stimulus of more than $270 million during four-year construction period, more than $25 million annually during operation, more than 1,200 jobs during the peak of construction and approximately 100 full- time, highly paid jobs. Mr. Milburn noted that they have committed to financial donations in the proposed development agreement. Mr. Milburn reviewed the environmental aspects of the proposed project, noting it would meet or exceed all requirements and laws pertaining to environmental protection. The facility will be designed and permitted to supplement the coal supply with biomass fuels which will reduce total emissions including greenhouse gases. The project will require up to approximately 12 to 15 million gallons of water per day for use in cooling, steam cycle, operations, emissions control and general service water. They plan to use available effluent from the city's wastewater treatment plant, which is currently being treated and discharged into the Cedar River. Mark Kuiper of Craig Ritland Landscape Architect, explained the site plan development for the land. The plan includes using existing land for wetlands, existing wood land, exploration of farm land, inclusion of a fishing pond, and exploration of native grass. Development of the site plan was based on best management practices. Mr. Milburn noted the project has been endorsed by the Black Hawk County Soil and Water Conservation District and recreational aspects were endorsed by the Waterloo Leisure Services Commission May 7, 2007 Page 8 Hearings continued Bob Lentz with Earth Tech Engineers, discussed the scope of the transportation study, commenting that the study considered traffic impacts both during and after construction. The plant will be constructed over a 4 -year period and will employ a varying number of construction workers, reaching a peak of 1,200 employees at some time. Construction employees and materials will access the site from a variety of connecting streets and roadways. Permanent employees at the facility are estimated at approximately 100 full-time positions. Employees will travel various access routes. Approximately 33 trucks per day will travel from the Elk Run Energy Station to a reuse site at a quarry south of Waterloo. The recommended transportation route will use existing streets and roadway currently used as truck routes and will use primary highways to the extent possible. The truck routes will not pass through downtown Waterloo or use residential streets west of Elk Run Road. Coal will be delivered to the proposed plan by rail, with an average of one train in and out every two days, with an average of 135 cars on each train. The trains could come from three major lines. Today, there are two to eight trains per day on these tracks. The proposed trains would require approximately 9 minutes to travel each railroad crossing. They talked to the Police Department, Fire Rescue, MET, medical services and school bus schedulers. Fire stations are located on both sides of the tracks, the Police Department generally has police cars on each side of the tracks. School bus scheduling is affected by the trains today. Mr. Lentz reviewed several mitigation measures to partially offset the transportation impacts of the proposed facility, which include improvements of Newell Street between Elk Run Road and plant, prohibit construction traffic on Newell Street west of Elk Run Road, routing coal trains through Waterloo on routes that do not require stopping or switching of the trains, unloading of coal cars in an enclosed facility and scheduling outgoing empty trains at times to avoid peak traffic and school bus schedules. Mr. Milburn reviewed the independent property value study by Winninger Realtors. The mission of the analysis was to determine whether the location of the proposed Elk Run Energy Station would have any greater negative impact on the value of the surrounding properties than the currently existing locational characteristics. The conclusion was that residentially the surrounding area has not experienced growth or a large increase in property values long before any discussion of the coal fired energy plant. South Waterloo, west and south Cedar Falls have both attracted developers for residential subdivisions because of theirlocational characteristics which appeal to developers. If a coal generating plant has a negative affect on value why has the value of residential properties around the Cedar Falls Plant and UNI's plant increased steadily over the past to five to ten years. The study found that based on the current locational characteristics, it would not appear that the location of the Elk Run Energy Station would have any more negative impact than the location of Deere & Co., Tyson Foods, Kinder -Morgan Energy, Warren Transportation or Eagle -Ottawa Tannery would have. The majority of new residential has trended toward areas with shopping, medical services, adjacent schools and access to major arterials. Mr. Milburn noted that concerning the site drainage, a study was completed by Earth Tech and the design goal is that any of the drainage resulting from their project would be no worse than it is today and would even be better. They could design the site drainage so that compared to a 100 -year flood, they could reduce by over 50 to 70 percent the amount of drainage that is currently coming off the site. Mr. Milburn concluded that the project would have a significant impact on jobs and taxes, with little burden on the infrastructure. They have agreed to the mitigation measures provided in the transportation study and would be providing direct funding for various social programs and initiatives. Mr. Milburn reported that the project has received support from the Greater Cedar Valley Chambers of Commerce of Waterloo and Cedar Falls, the Waterloo Industrial Development Association, the Waterloo Development Corporation and the Greater Cedar Valley Alliance. Mr. Milburn asked the council to vote in favor of the annexation and rezoning requests. Phyllis Morgan, 4621 Newell, spoke in opposition noting her property is between the city limits and the proposed plant. Ms. Morgan asked the council to say no to the annexation. Ms. Morgan noted she is a farmer and asked why does the city want to take over farmland, and when you go to the store stop and think where does food come from. Ms. Morgan asked the council to talk to people in the surrounding area before they say yes to this project. • • May 7, 2007 Page 9 Hearings continued Noel Thornsberry, 704 Sheridan Road, spoke in opposition quoting an article from the Courier that more coal plant details are needed to make an informed decision. Mr. Thornsberry noted that economic gains offered the city by LS Power constitutes a devil's bargain for it does not factor in the hidden, long- term and detrimental costs to the environment and to humans. Other governments will do what they will, but Waterloo must protect its citizens from harm no matter the appeal of economic gains. Mr. Thornsberry suggested the non -harmful way to improve economic vitality is by acquiring green companies such as the VGM Group. Turbines generating electricity require large volumes of water to cool them. Waterloo has the water in the form of wastewater and LS Power wants it, but he does not believe the water in exchange for the harmful effects of burned coal is a benefit. Mr. Thornsberry noted that it has been stated that the rush to hold the annexation and zoning hearings is predicated upon a request by the Iowa Utilities Board, but the IUB told him that it has made no such request, nor do they intend to. Mr. Thornsberry suggested that the council not vote until they are informed with all aspects, vote no to annexation, justifying a vote to approve by taking the position environmental and health issues are not relevant to annexation and zoning is to ignore realty, and not to vote to suspend the rules. Geraldine Thornsberry, 704 Sheridan Road, spoke in opposition and quoted from the Courier Sunday's paper that there is an elephant in this room, and she submits the Grim Reaper is arriving soon who will make the citizens sick. Increased health issues are real when citizens breathe the noxious gases spewed from coal -fire plants. Ms. Thornsberry offered that there are no non-polluting coal-fired plants. Ms. Thornsberry noted that LS Power has chosen not to divulge plant specifications and a prudent decision maker would wonder what is behind this non -disclosure and that corporations always act on behalf of their stockholders. Ms. Thornsberry wondered if they are rushing the decision so that this plant will be grandfathered before the enactment of tougher emission standards. Ms. Thornsberry asked the council not to make a decision on the annexation and rezoning issue without knowing the basic facts and key interdependencies. Ms. Thornsberry asked the council to vote no and quoted the city's mission statement and noted it is the council's duty to serve as stewards of the city within the context of the mission statement. Ms. Thornsberry noted there are exciting new alternatives and renewable technologies and solutions and Waterloo should take advantage of these emerging innovations. Joan Webster-Vore, 202 Bonnie Boulevard, Hudson, Iowa, spoke in opposition and noted that every day we hear or read that constituents are concerned with global warming. Ms. Webster -yore questioned the water reclamation and asked what percent, where will the remainder of water come from, how will it impact our aquifer and will it seep into it. Pam Escheverria, 4213 Cherrywood, Cedar Falls, spoke in opposition and noted she taught at Waterloo Schools for 32 years and witnessed first hand the respiratory problems. Ms. Escheverria quoted statistics on respiratory problems in the different races. Ms. Escheverria read the six pillars of the community hanging in the council chambers. Ms. Escheverria asked the council to protect the citizens and the environment. Ms. Escheverria does not feel LS Power has answered all the questions honestly and urged the council to vote no. Council recessed at 7:00 p.m. Mayor Hurley reconvened the meeting at 7:20 p.m. Mr. Milburn noted that LS Power has not rushed this process, that they first came to Waterloo in 2003 looking for an appropriate site. LS Power made a public announcement in December 2005, and last year was spent on working on the plan for the facility and working with the community on the project. Mr. Milburn reported that there are a lot of details in the zoning application. Details about emissions have not been filed with the DNR. Mr. Milburn noted that since the first public meeting in May 2006, they demonstrated that because of the technology required by the EPA, their emissions would be similar to the unit being constructed in Council Bluff. Mr. Milburn explained the exact tons of emission will not be known until they file with the DNR, but the emission rates will be similar to Council Bluff. Mr. Milburn responded to concerns of asthma and respiratory problems and noted their emission rates will be lower than the older plants. Any links to these problems are from older plants with more emission and less technology and that is not comparing apples to apples. May 7, 2007 Page 10 Hearings continued Mr. Milburn explained the cooling water, and that for the majority of the year, they will run with 100 percent wastewater and then supplement with the aquifer some time. For the majority of the time, they will use all of wastewater and a small amount of fresh water for the boiler and the plant. Water usage will be between 13 to 15 million gallons per day, and 2 to 3 million gallons per day will be fresh water, that 80 percent of the water evaporates and 20 percent is recycled and discharged to the river. Mr. Milburn noted they have to design the plant to meet the standards of the DNR, and they will have to obtain a permit to discharge water into the Cedar River. Renata Sack, 414 Sunset Road, spoke in opposition and noted that the issue is so complex and asked council to wait on deliberation of the annexation until LS Power files with the Iowa Utilities Board and DNR so that the detailed facts on size and emission could be known. Ms. Sack expressed concern with global warning and the environmental affects of the plant. Ms. Sack noted that from 1999 - 2003 electric usage in Iowa did not increase, and Iowa will see little population increase so LS Power's electricity will be sold to other states and communities using us as a dumping ground to make money. Margaret Whiting, 1974 Caras Road, spoke in opposition and questioned the carbon dioxide. Ms. Whiting noted the need for renewable energy such as wind, solar and geothermal, and that the public and legislatures desire use of such energy and less use of fossils. Ms. Whiting commented that this plant will have a profound affect on all of use for years to come, and if built, could be looked on as an embarrassment to the state. Ms. Whiting questioned if the plant is built and later has to close who will be required to pay the costs for closing it. Thomas Huff, 707 Hall, spoke in opposition and noted he lives in the Allen Hospital area, and the trains move slower than 10 mph. Mr. Huff feels 135 cars will make more problems, and he is shocked this issue has not been resolved. Mr. Huff commented that he understands the City of Waterloo donates funds to the Cedar Valley Alliance. Mr. Huff feels there are too many unanswered questions and the council should not approve this request. Nathan Northey, 214 Niagara Drive, spoke in opposition and noted that he has been working with Richard King, Black Hawk County Engineer. Mr. King says it will cost $15 million to upgrade the infrastructure in the city and county due to the construction of the plant. In discussion with Mr. King on the items listed, several have been identified as scheduled improvements, several related directly to the power plant and there were several items listed as pending with no cost estimated. Mr. Northey feels the lists provides a picture of the improvements in infrastructure that taxpayers will face if the power plant is constructed. Mr. Northey is concerned that many of the roads are not up to the standards for heavy truck traffic, railroad traffic is also a concern, and additional traffic signals will be needed as traffic increases in the area. Mr. Northey noted a special concern is the intersection of Newell Street and North Elk Run Road. Mr. Northey noted with the cost of $15 million to upgrade the infrastructure and the estimated annual return to the city and county from LS Power, it will be a 12.6 years to pay back the debt. Mr. Northey asked for an accurate accounting of what approval of the plant will cost the taxpayers, where the money will come from, what projects will be delayed and how long will it take for the city and county to break even. Carrie Laseur, 319 3=a Street NW, Mount Vernon, Iowa, an attorney specializing in environmental law, spoke in opposition. Ms Laseur noted that Iowa is one of five states that does not report on mercury contained in water. Iowa has 37 coal power plant and rates 16 in emission from the plants. Ms. Laseur noted the regulations do not protect pregnant women and children and expressed concerns about contamination of game fish. Ms. Laseur noted that reports show that MidAmerican's Council Bluff Station has had numerous violations over the course of a quarter for nearly every single day and suggested the city council review the report before they move onto the second and third reading. Ms. Laseur spoke on combustion waste. Ms. Laseur noted the report shows mercury emission from the MidAmerican Plant in Council Bluff for the past three years. Ms. Laseur commented that the DNR does a poor job of enforcing air quality permits noting that she has found hundreds of violations in reports from plants. • May 7, 2007 Page 11 Hearings continued Mr. Milburn noted that global warning and green house gases such as carbon dioxide are becoming important issue, and they realize they need to be part of the solution and not part of the problem. Mr. Milburn commented that locally they are committed to using superior technology and design of the facility to reduce carbon dioxide. The company is involved in research and funding to reduce carbon dioxide from these facilities. Reduction of CO2 will require different technology from everyone, including increased technology. They are involved in wind energy generation and development of solar energy in Arizona. Also removing carbon dioxide from air and putting into ground, but there is a lot of work to be done and money to be spent. Mayor Hurley asked if laws were put on the books and those being developed on CO2 would render this plant not competitive who would demolish and clean up the facility. Mr. Milburn noted people in Washington are working to formulate a viable way to reduce carbon dioxide. Mr. Milburn commented if they don't account for that risk in their business model to take care of carbon emission, their investors on Wall Street won't be interested in taking on that task and they won't be financed. Investors will do everything they can for a good return on their money. E.J. Gallagher, III, 801 Sheridan Road, spoke in opposition. He is a life-long resident of Waterloo and has practiced law in this community for 32 years. Mr. Gallagher noted he left his prepared remarks with the City Clerk. Mr. Gallagher asked if we value money or people and our health. Mr. Gallagher does not think this type of thing is good for our community. Mr. Gallagher commented about the 33 trucks and asked if they will be covered. Regarding trains, the other night he waited 20 minutes for a train. Mr. Gallagher noted that when someone hires an expert, they usually hire an expert to say want they want them to say. Mr. Gallagher is concerned EPA regulations will change and urged council to vote no. Don Shoultz, 295 Kenilworth, spoke in opposition and noted he represented future generations of Iowa. Mr. Shoultz noted that Congress and the legislators are not interested, and this council could send a message that they are not interested. There is so much influence of money and lobbyist they don't hear the people. Concerning LS Power donating $400,000.00 to UNI, the paper was right, the donation was contingent on the legislators not passing the legislation. Mr. Shoultz noted that the legislators attempted to put in place practices that would use electricity efficiently and electric energy was reduced by 2 million mega watts annually. Mr. Shoultz asked the council not to approve annexation of the land. Mr. Shoultz commented that over 435 mayors have signed the Kyoto Portocl to reduce greenhouse gases. Mr. Shoultz commented that knowing what he knows about the environmental impacts of gold mining, he wouldn't one in Waterloo. Jim Hutcheon, 145 Derbyshire Road, spoke in opposition of the annexation and said it was putting the cart before the horse. Mr. Hutcheon noted that after 18 months LS Power has not submitted specifications or emissions. Mr. Hutcheon reported on April 27 he submitted a list of questions regarding problems, and those questions need to be addressed before a final decision. Mr. Hutcheon was surprised there weren't technical people to answer these questions. Mr. Hutcheon asked how the wastewater will get to the plant and noted it is five miles from the Water Works to the LS Plant across the Cedar River. Mr. Hutcheon asked who will monitor the cooling process and the water returned to the Cedar River. Mr. Hutcheon urged thecouncil to vote no or table until an in-depth study. James Ralston, 129 Woodlawn Road, spoke in opposition and noted this is a major project that would be paid by the taxpayers. Mr. Ralston commented that the taxpayers lost millions of dollars by the doubling of the wastewater plant which Earth Tech was involved, and we later found out the double capacity was not needed. Mr. Ralston noted Earth Tech is paid on a percentage and this should have been a conflict of interest. Mr. Ralston noted LS Power seeks to exploit the temporary loopholes in EPA regulations. Mr. Ralston commented that if council takes the advice of those with financial interest, it will make for a costly mistake. Linda Shatzer, 6515 Newell Street, spoke in opposition and noted the council's goal of increasing the population of Waterloo. Ms. Shatzer talked about solar energy, wind energy and that scientists are calling for a halt of building coal plants. Five years from now LS Power plant will be built and will have 100 employees, but there will be those looking for a place to work and live with new technology. Ms. Shatzer asked council to delay making a decision until LS Power applies for a permit. May 7, 2007 Hearings continued Page 12 Mr. Milburn noted that the trains will have about 135 cars and depending on the route they should come straight to the site and should not have any switching. The railroad is saying there should be no reason for stopping and switching. Mr. Milburn noted the pipe route will follow the satellite interceptor. Mr. Milburn commented that the trucks would carry 24 ton load and would have to be covered, as it is required as part of the permit, and their contract with the transporters. Mr. Milburn noted they are committed to bio -mass and designing it into their facility. Mr. Milburn commented their pledge is to keep research money here locally. Juanita Williams, 6145 Kimball Avenue, spoke in opposition and commented she is a mother of two children and has been a nurse in this area since 1992. Ms. Williams commented that she researched the impacts of coal-fired power plant emissions on women's and children's health and submitted a copy to the City Clerk. Ms. Williams noted that particulate matter is absorbed more deeply by children as they absorb it into the lung tissue and women also absorb it more deeply. Ms. Williams commented on plant emissions and that there are no zero emission plants. Ms. Williams urged the council to think of the legacy for our children and grandchildren. Joe Oppold, 2645 Saratoga Drive, spoke in opposition and noted that many project this plant will foster more development, but more than likely it will hinder economic development. Mr. Oppold noted that according to the DNR, Waterloo's air is already listed as exceeding air quality for particulate matter, and this plant could pick up the remainder and hinder future development.. Mr. Oppold noted that in early March, Richard King's cost estimate for upgrading roads, replacing bridges and drainage improvement was a little over $15 million and the amount of money LS Power will provide is under $1 million. Heather Sadler, 5501 E. Donald Street, spoke in opposition and noted she has been a pediatric nurse at Covenant for the last seven years. Ms. Sadler commented that LS Power can't give use answers. Ms. Sadler questioned why can't the Black Hawk County Health Department be asked to give the plant's immediate impact on our health. Betty Steege, 943 N. Elk Raymond Road, spoke in opposition and read an article from Tampa Electric regarding Integrated Gasification Combined Cycle (IGCC) unit which has been named the cleanest coal-fired plant in North America by an independent Canadian research firm. Ms. Steege noted an article from the Texas Observer reports that LS Power proposal in Texas is 12 percent of the state's total emission. Don Shatzer, 6515 Newell Street, spoke in opposition and noted he attended the April Planning, Programming and Zoning Commission where citizens were heard and the hearing was closed. When debate shifted, Mayor Hurley interjected that the $800,000.00 LS Power will pay is a gold mine, and the Mayor set a precedent and opened the door to public discussion. Mr. Shatzer noted that the risk is associated with the small particulate matter, which is the size of a pin head. Mr. Shatzer asked the council to delay a vote on the annexation until the rest of the story is known and urged the council to vote no. Mr. Milburn noted that none of the IGCC plants are moving forward, and one was just turned down because it was deemed not best for the state. The plants have had lots of problems over the years. Cathy French, environmental manger with LS Power, noted that the plants used in the health studies are grandfathered facilities, which have significant higher emission rates than allowed for LS Power. Linda Huss, 6411 Newell Street, spoke in opposition and spoke about premature deaths from mercury and that the plants emit mercury whether they are new or old plants. Ms. Huss noted she believes the LS Power plant will put out more pollutants than the plants in Cedar Falls. Ms. Huss commented that when looking at costs versus benefits, costs outweighs the benefits. Ms. Huss noted that the council should not pass the buck to other agencies. Betty Seamans, 7422 Independence Avenue, spoke in opposition and commented that she is concerned with the value of properties. Since it was first advertised that LS Power was coming, she was told the values are going down. Ms. Seamans commented she does not feel the facility will help our community. Ms. Seamans asked the council to vote no until further studies. May 7, 2007 Page 13 Hearings continued Joyce Jensen, 172 Gray Street, Elk Run Heights, spoke in opposition and noted that when she sits on her porch she will be staring at a smokestack. Ms. Jensen asked how many people have the intelligence to understand what Mr. Milburn is saying. Ms. Jensen commented that it is time the council thinks about people. Betty Sadler, 2629 Crane Creek Road, spoke in opposition and noted she has been an Insurance/Referral Nurse for the past seven years. She works for six pediatricians and two pulmonary doctors and works with the young and the old. Ms. Sadler noted that from doing her job that lung related illnesses, such as asthma, COPO and lung cancer, are on the rise in Black Hawk County. Ms. Sadler noted that the EPA is being sued all across the nation from ten states on the east coat to five states in the Midwest for not protecting the public from air pollutants such as those put into the air by the coal-fired power plants. Ms. Sadler believes health insurance costs will rise for those living by a coal plant. Ms. Sadler noted according to an EPA website, small particulates are responsible for the lung related illnesses that have the greatest impact on the young and the old, and she believes this plant will emit thousand of pounds of small particulates on an annual basis. Ms. Sadler asked what organizations were asked for their input concerning the potential impact on the health of those in the Cedar Valley. Laura Jackson, 1703 Washington Street, Cedar Falls, spoke in opposition and noted we are all in this together, we drink the same water and breath the same air. Scientists say our climate will get worse and will be expensive and disproportionate on the poor. Ms. Jackson commented the EPA will not protect us as they are under attack and lost a lawsuit on CO2, and the EPA is under lots of pressure from lobbyists and are not protecting our health. Ms. Jackson noted the economic study by LS Power only used economic benefits. Ms. Jackson spoke on bio -fuels and renewable energy. Benjamin Webb, 511 West 12th Street, Cedar Falls, spoke in opposition and asked how many coal cars will be delivered each year. Mr. Webb noted we can't claim ignorance of global warning, and he believes we are burning too many fossil fuels. Ms. Webb commented that people in the U.S. Supreme Court and U.S. Legislature are looking for ways to cap carbon dioxide. This is a moral decision for communities. Mr. Webb commented we need to stand strong and put coal plants on hold. Mr. Webb asked the council to vote no as it would send a strong message that we can't afford higher carbon emissions for our generations to come. Council recessed at 8:52 p.m. Mayor Hurley reconvened the council at 9:08 p.m. Mr. Milburn noted that there will be approximately 135 coal cars on each train carrying approximately 3 million tons of coal per year. Mr. Milburn reiterated that the DNR and EPA are the experts, that LS Power will have to meet their levels throughout the operation of the plant to protect human health and the environment. Mr. Milburn spoke concerning the property values on the east side and noted that the study demonstrates that values increased around other power plant. Mr. Milburn noted that 500,000 homes are being built near the facility in Texas and property values continue to increase. Lori McConville, Chair of the Waterloo Chamber of Commerce, spoke in support noting the project will be great for the Cedar Valley, it will be safe and meet and exceed EPA and DNR standards. Ms. McConville noted LS Powers' investment will generate taxes and jobs. Ms. McConville urged the council to vote yes on the annexation and rezoning. Steve Dust, President of the Greater Cedar Valley Alliance, spoke in support and noted that the Alliance endorses this project. Mr. Dust noted this could add. capacity for growth of electrical supplies. Mr. Dust spoke on the economic benefits including jobs, salaries, taxes, etc. Mr. Dust commented that this is a top flight development. Mr. Dust urged the council to vote yes on the annexation and rezoning. Hugh Field, 561 Sunset Road, and President of Waterloo Industrial Development Association, spoke in support. Mr. Field noted WIDA has endorsed the project subject to an agreement with the Waterloo Water Works and the city for adequate water supply and sewage disposal, the transportation study to make sure it wouldn't be dangerous for the community, and have experts with the DNR review the project to make a decision if it meets environmental requirements. Mr. Field noted that the DNR are the environmental experts. Mr. Field urged the council to vote favorably on this project. May 7, 2007 Hearings continued Page 14 Kathy DeSoto, 205 Prospect Avenue, spoke in opposition and noted she has two children at home, one with asthmatic symptoms, and she is concerned with the safety issues. Ms. DeSoto noted LS Power said the Council Bluff plant is premiere, but the attorney says that plant has had hundreds of violations. Lori Eckstrom, 2109 Walnut, Cedar Falls, spoke in opposition and noted the mayor and council have a tremendous responsibility, but there is a wealth of information available. Ms. Eckstrom noted there are a number of wind turbine plants in Iowa and we should solicit those kinds of industries to raise our tax base, and that we don't need a coal -powered plant. Ms. Eckstrom commented that. $25 per household is not worth our health. Ms. Eckstrom asked the council to research more information or maybe get another company and to look at health as well as financial. Scott Hudson, 1027 West 9th Street, Cedar Falls, spoke in opposition and commented that he had concerns for ground water and questions about the water from the Waste Management plant, and the percent of water from aquifer. Mr. Hudson noted that global warming has implications for fresh -water. There will be families in the Southwest who will move back to this area so we will want to take care of our fresh water. Mr. Hudson asked how the toxins leaving the plant will be mitigated. Mr. Hudson commented there are many unanswered questions and urged the council to get all the answers before they vote. Mr. Milburn noted they expect to use 12 to 15 million gallons of water per day. The Wastewater Plant's available effluent will meet most of the need for water, but about 3 million gallons of fresh water will be needed per day for boilers, operations, emissions control and general service water. There could be days when the Wastewater Plant can't meet their needs then they would have to use fresh water. Mr. Milburn noted that 80 to 85 percent of the cooling water will evaporate and the rest will go into the Cedar River. Ms. Milburn noted that they are having confidential discussions with many other communities in Iowa and surrounding states, so he feels there is a need and market. Ms. French noted that any water discharged into the Cedar River has to go through the DNR permit process, and they require weekly, monthly, and annual testing to make sure the discharge does not affect the fish in the water. Ms. Milburn noted that effluent water is pumped to their site and is factored into the cost of pumping, and the development agreement addresses cost of the pipe line and any cost for operating that facility. A gentleman living on Trent Street in Cedar Falls spoke in opposition and stated that the pro argument for the project seems to be a financial bubble with more emphasis on the financial. He believes the study on health is looking out for the shareholders and not the citizens. He noted the 8 percent minimum for public utilities to burn renewable fuels was rejected by LS Power. A resident at 4213 Cherrywood in Cedar Falls spoke in opposition and noted he doesn't understand why anyone would be for this plant. He reminded people that the EPA and DNR have been weakened during the Bush Administration. He asked if 20 percent of the 12 million gallons of water per day is returned wet and 80 percent evaporates what is the affect on the environment downstream. He questioned the waste in the quarry. Gale Buell, 5729 Newell Street, noted that Mr. Milburn says he is working with the neighbors, but he never called her or stopped at her house. A resident spoke in opposition and asked the council to postponevoting until LS Power submits their application to the Iowa Utilities Board and DNR to see what kind of emission system they will have. She requested that the LS Power studies refrain from comparing to Cedar Falls Utilities and UNI coal plant because it is misleading to the public. This proposed plant is 20 times larger. She noted some Cedar Valley residents believe their utility bills will lower. She noted next year is an election year, and she feels LS Power is trying to push this through before federal and state governments have higher standards. She commented if this plant is approved under current state regulations, we will have a plant belching carbon dioxide for decades. She commented that we are looking for new technology, but the city council seems to be looking at a fossil plant when they should be looking for new green technology and look beyond money. She asked the council to postpone their vote until after the DNR and EPA review the application. She noted she lives less than a mile from the plant and have had no communication from LS Power. • • May 7, 2007 Page 15 Hearings continued Rhonda Rottinghaus spoke in opposition and spoke about truck routes and commented concerning landscaping where can you get trees large enough to go around the site. Ms. Rottinghaus noted that the EPA was strict, then lessened the standards a lot because of complaints from existing plants so they were given several years to comply. Ms. Rottinghaus commented that these higher standards should be investigated to see if LS Power will grandfathered. A resident spoke in opposition and spoke about the hot ash to be deposited on the quarry on Dysart Road. He noted the water level in that area is so low that houses can't have basements. He noted that 40 percent of mercury comes from coal plants. He commented that the problem is its a heavy metal and when ingested attacks developing nervous tissue. He asked the council to get their facts before they vote. Susan Sonnocka, 173 Grove Street, Elk Run Road, spoke in opposition and commented she is concerned for children and the affect on children. Ms. Sonnocka asked about the 80 percent evaporation and commented we are more advanced than coal. Ms. Sonnocka commented we are smarter than this and asked the council to make a decision for the future. Joseph Edwards, 312 Prospect Avenue, spoke in opposition and noted that the city is revitalizing that area with new families coming in. Mr. Edwards commented they like their neighborhood and the school. Mr. Edwards commented he did web research and came upon an article entitled "The False Promise of Clean Coal" and the story of the American Electric Power Corp. which purchased a town for $20 million. The article spoke about IGCC type plants and how they drastically reduced sulfur dioxide, nitrogen oxide and mercury emissions. The companies advertise the FutureGen plant as a zero emissions project which would eliminate the emissions. Mr. Milburn reiterated that the new coal plants are different from the old plants, and there are different regulations for old plants than new plants. The new plants have higher/restricted regulations. Mr. Milburn explained that the $3 million gallons of fresh water per day is the maximum they would use, but expect it to be less. Mr. Milburn noted that the cooling water that goes into the river is a very small portion. Mr. Milburn commented on the quarry on Dysart Road operated by Basic Materials and noted that because of the water levels, soil and streams the DNR said it was safe for deposit of the ash. The quarry already gets deliveries from UNI, John Deere and other companies, and they have adequate room to accept LS Powers' by product. The DNR has deemed the quarry appropriate. Mr. Milburn noted that numerous studies have shown that the potential for heavy metals to reach the ground is minimal. John Butler spoke in opposition and commented that the people have been clear and the council should base their decision on the people. Mr. Butler commented that cities that base their decision on business rather than scientific information and citizens are living on borrowed time. Mr. Butler asked the council to vote no. Rick Young spoke in favor and commented that we are talking about electricity and we all use it. Mr. Young commented he wants clean air, jobs and lower taxes, and this plant can do that. This plant is 20 times bigger than Cedar Falls, but it only produces twice as much as Cedar Falls. Mr. Young noted that it was just the past six months that the Cedar Falls Utilities put on new scrubbers, UNI has one and John Deere just one down. Mr. Young commented that the regulations could change with global warnings and could close down older plants, but we want to keep modern plants and more employees. Mr. Young compared the old plants to Hummers and the Elk Run Energy Station to a hybrid Prius vehicle and noted we need to get some of the old Hummers off the road and keep our jobs here in Northeast Iowa. A resident at 405 Creston spoke in opposition and asked what happens if we annex the property and they don't built, and do we pay to demolish if they leave. He asked if the application can be viewed by the public. A resident of State Street in Cedar Falls spoke in opposition and noted that Mr. Young is suggesting it is hypocritical to use electricity and then not want more plants. He commented we don't need more plants in the Cedar Valley, and that this will be sold on the wholesale market, and that our needs aren't creating this. May 7, 2007 Page 16 Hearings continued Katie Fleshner, 200 Norway Avenue, a recent graduate of UNI, said the coal plant was not in tune with the progressive community she hoped to call home. She noted that now our community is looking to the past for jobs that will not be viable in the future. Ms. Fleshner commented to look to the future and not the past. Mark Kresowik, formerly of 279 Hammond Avenue and also Des Moines, spoke in opposition and commented that UNI is more efficient than the plant proposed by LS Power. Mr. Kresowik spoke about the high rate of respiratory illness in East Waterloo. Mr. Kresowik spoke about the quarry, and renewable energy versus coal. Mr. Kresowik asked where will the transmission line and waste go. Mr. Kresowik noted that Tom Powers at the Zoning Commission meeting and vote of six to five said he doesn't know the answers to the questions. Mr. Kresowik noted that about 80 percent of those he polled are opposed to this project. There is better technology and alternatives. Mr. Kresowik commented it is time to move forward. Mr. Kresowik asked the council to say no if they want to attract young people. Mike Young, representing Progress Cedar Valley, noted the group supports the LS Power plant. The group talked to many experts at UNI, the Iowa Utilities Board, leaders in the community and visited other power plants and visited with their workers, read articles on coal plants, looked at jobs and environmental benefits. Mr. Young commented that the bottom line is this is a good project for the community, and they found there is a need for this plant. Mr. Young noted they checked out LS Power in other communities and everything checked out. They met with the plant manager, the mayor and Board of Supervisors and they were all very positive. They asked them about traffic and health concerns and they could not come up with anything. Mr. Young urged the council to approve the annexation and rezoning for the good of the community. Linda Laylin, Greater Cedar Valley Director of Business Services, commented that they believe this is a good project for the Cedar Valley. Ms. Laylin noted that the DNR and EPA are responsible for making sure the plant is safe as they are the experts, not us. Ms. Laylin noted many questions have been asked that need to be addressed and directed to the agencies who are the experts. Tonight the council is being asked only to look at the annexation and rezoning. Ms. Laylin commented if the experts determine the plant to be safe, there will be almost $1 million in taxes each year. Ms. Laylin encouraged the council to vote yes. The resident at 408 Western Avenue noted he has had experience with power plants. The biggest problem is that scrubbers are expensive to buy and maintain. He commented that he moved here from Detroit because he didn't want to breath the air in Detroit. Josh Wilson, 4410 Hoff Road, asked if it is possible for citizens to vote on the power plant. Mr. Wilson noted that not many young people were in attendance. Mr. Wilson asked the council to meet with their constituents and asked for a formal polling of those for and against. Mr. Wilson commented he feels council needs to listen to everyone before making a decision. Mr. Milburn noted there has been repeated mention of infrastructure costs. The fact is the items listed by Mr. King are items already on a list for Black Hawk County. Mr. Milburn commented that upgrades to Newell Street will be paid by LS Power. Mr. Milburn noted that Mr. King's letter talks about drainage and flow in creeks, but because of the design and permit process, the drainage will be taken care of. Cole/Welper that the hearings be closed and recommendation of approval of the Planning, Programming and Zoning Commission, and oral and written comments be received and placed on file. Ayes: Seven. Motion carried. Council recessed at 10:25 p.m. Mayor Hurley reconvened the meeting at 10:31 p.m. • • May 7, 2007 Page 17 Hearings continued 125286 - Jim Walsh, City Attorney, commented on ex parte communication and noted that the courts have not given specific instruction on council activity. Mr. Walsh commented that he asked the council to tell people with concerns about the plant they would rather they come to the meeting tonight. Mr. Walsh noted that each council member should make part of the record any communications they have had. Councilperson Schmitt noted he has known about the plant since November 2005, and in the last 12 months he has received 71 e-mails for and against the plant and approximately 30 letters. He attended presentation by LS Power and had lunch with a representative. He visited each web site and probably a couple hundred more. Councilperson Cole commented that in the past year she has heard from many citizens, with the vast majority from Cedar Falls about what a bad idea this is. She has a stack of e-mails, attended meetings sponsored by the Greater Cedar Valley Alliance and service clubs, a gentleman visited her in her office, she works with a gentleman involved in the Cedar Valley Progress and is married to a member of the Planning, Programming and Zoning Commission. Councilperson Getty noted he has received about the same number of e-mails and letters at his home, with most of the e-mails coming from the mayor's office. About a year and a half ago he was invited to Phyllis Morgan's home with two members of the Board of Supervisors and talked with her and some of her neighbors when it was announced that LS Power was going to locate here. He attended some open forums. Councilperson Greenwood commented he received hundreds of e-mails, about 30 letters, attended several presentations with Linda Laylin and a presentation at the Five Sullivan Brothers Convention Center. He had a number of contacts with people stopping at his store, both pros and cons. Last week, Mrs. Thornsberry and Mr. Hutcheon contacted him. Councilperson Gunderson reported he had one meeting with LS Power, attended public forums, and received the same e-mails sent to the City Clerk. Councilperson Welper commented he received about 30 letters, stacks of e-mails, met with Linda Laylin and Jim Hutcheon. Councilperson Kincaid reported he received quite a few letters at City Hall, hard copies of e-mails, talked with Mark Kresowik of the Sierra Club and attended forums with LS Power. Mayor Hurley commented he attended a November 2005 meeting at the Cedar Valley Alliance office with Mr. Milburn and his colleagues, had a couple of meetings with Mr. Kresowik, and received hundreds of e-mails. Mayor Hurley noted he received a letter from Noel Thornsberry with questions, and he responded to him on process. Mayor Hurley commented at about 14 months ago he attempted to reply to someone and the response ended up on a website. Dennis Clark, General Manager of the Waterloo Water Works, reported they have the capacity to pump 50.4 million gallons of water per day, and they use about 14 to 15 million per day. The maximum used in July or August is 14 to 15 million gallons per day. Mr. Clark noted the challenge with the Northeast Industrial site is piping is challenged to give pressure for Tyson, John Deere and others. The Water Works is looking at options for more pressure regardless of LS Power. There will be a pumping station. There is adequate capacity, but they don't have the capability to deliver it right now. Councilperson Schmitt noted that there is 14 million gallons of treated water per day already pumped and used. LS Power talked about needing 3 million gallons per day, which would raise the average to 17 million gallons of water per day. Councilperson Welper asked if four or five years out and LS Power is issued a license and technology changes could they change the design. Mr. Milburn responded that the design proposed to the DNR will be set in stone unless Congress deems otherwise. LS Power would have to go back to the DNR. As other technology becomes available that could be retrofitted in the facility. May 7, 2007 Hearings continued Page 18 Councilperson Greenwood asked if LS Power has the license from the Iowa Utilities Board and technology becomes available would they put it into place. Mr. Milburn responded once they have the license to build the facility they will have customers who sign contracts. In order to implement additional technology, the customer would have to agree because the costs will go up. Mr. Milburn noted the question is will it be economically viable to their customers. Councilperson Schmitt noted that switch grass or bio -mass technology does not exist today same as coal. One ton of switch grass is 14.4 million BTU per ton and coal is 26 BTU per ton. Switch grass and other plants are nitrogen and carbon based, all create carbon. Bio -mass has higher levels than coal plants Councilperson Kincaid commented he has received comments for and against the power plant but no comments to lobby our legislators to fund the DNR so we have inspectors to inspect the plants. The budgets have been cut and they don't have the people necessary to inspect. Councilperson Kincaid noted that he works in the John Deere foundry, and each year during the summer they don't have enough power to continue production. LS Power would have energy to sell to John Deere. Councilperson Getty noted that LS Power talked about buying locally and using local labor, and he asked LS Power if they will buy most of what they use locally. Mr. Milburn responded during operation of the plant and some consumable, but other specific items for the lab and chemicals would need to be purchased outside. Mr. Milburn noted during construction he would expect the contractor to buy locally from concrete to labor, but equipment will come from elsewhere. Mr. Milburn noted they will hire a general contractor who will be responsible for managing the project who might have subcontractors but also will subcontract. Mr, Milburn commented the subcontractor could hire local labor, and they expect a large number of labor will be hired locally. There is a significant opportunity to use the labor pool. Councilperson Getty asked Mr. Milburn if he said LS Power will meet or exceed the emission standards, and Mr. Milburn responded yes. Mr. Milburn noted they are the owner/developer, and they hire a contractor for construction. Councilperson Getty asked if after the plant has been built for two or three years and the EPA has more rigid standards, will this plant raise those standards. Mr. Milburn responded in the past with the older goal plants, Congress and the EPA required those old plants to update, so he is sure this plant would have to do that too. Councilperson Cole asked if the plant is monitored continuously by the EPA and DNR, and Mr. Milburn responded yes. Cathy French noted that there is numerous monitoring for carbon dioxide, mercury, and effluent from the facility, and they are required to submit monthly and quarterly reports and would have to state any elevations. Councilperson Schmitt noted there have been comments about the 33 additional trucks heading out to Dysart Road. John Deere, Ryder, Tyson and Furgson are located there now, and right now there are over 1,000 trucks per day and we should not notice 33 additional. trucks. Councilperson Schmitt noted that Mark Kresowik said he has a poll with 80 percent opposition. At the Planning, Programming and Zoning Commission meeting, Tom Powers asked if there is information on the poll and has anyone seen it, and the answer was it was not a poll and it was an impartial person who had done a survey. Don Temeyer, Community Planning and Development Director, reported the petition received contained 3,700 names with 1,463 signatures Waterloo people. Mr. Temeyer noted that as part of the development agreement, LS Power has agreed to fund improvements to Newell Street. The city will apply for a RISE grant, and it will be a cooperative project with Black Hawk County. Councilperson Welper noted that there are a lot of concerned citizens. The council is just voting on the annexation and rezoning and not wiether the plant gets built. Even if the council votes no, the plant could be built in the county. May 7, 2007 Hearings continued Getty/Schmitt that "Resolution approving said annexation", be adopted. Prior to a vote on the above motion, the following comments were heard. Page 19 Councilperson Gunderson noted he has been on the council for 3% years and by far this has been the hardest decision. The council has received a lot of information on this project over the last 2% years. Councilperson Gunderson noted one of the last e-mails the council received today says, "I can live with either decision, but I voted for you and now you have to do what is best for Waterloo." Councilperson Gunderson noted comments have been received 50/50 from Waterloo and Cedar Falls citizens. Cedar Falls has had a coal plant for years. Its time to close those old plants and build new, more efficient plants. Councilperson Cole noted that reported in the CFU annual report for 2006, they announced they would be building a new state -of -the art facility near Council Bluff worth $27 million, which will be one of the cleanest plants built. Following comments a vote was taken on the above motion with the following result. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-332. 125287 - Schmitt/Kincaid that "an Ordinance amending Ordinance No. 2479, as amended, City Zoning Ordinance by adding Subsection No. 390 to Section 2A-5, Rezoning Certain Property", be received, placed on file, considered and passed for the first time. Ayes: Seven. Motion carried. 125288 - Schmitt/Cole that rules requiring ordinances to be considered prior meetings be suspended. Prior to a vote on the above motion, the following and voted for passage at two comments were heard. Councilperson Getty urged the council not to pass the ordinance tonight, but to come back in a week. Following comments a vote was taken on the above motion with the following result. Ayes: Five. Nays: Welper, Getty. Motion failed. DOCUMENTS 125289 - Gunderson/Greenwood that communication from City Planner transmitting Development Agreement with Elk Run Energy Associates LLC for the construction and related improvements for a modern electric generating facility, with approximately $800,000.00 per year excise tax, no tax rebatement or abatement, provide for extension of utilities for the development, improvements to Newell Street, a grant of $150,000.00 for construction of a recreational trail on the east side, a grant of $400,000.00 to the Highway 63 Gateway Community Development Corporation for the Highway 63 Corridor, a grant of $100,000.00 for establishment of Technical Scholarship Fund to assist with post -secondary educational funding for students in Black Hawk County, etc., be received, placed on file and "Resolution approving said agreement", be adopted and Mayor and City Clerk authorized to execute same. Prior to a vote on the above motion, the following comments were heard. Don Temeyer, Community agreement. LS Power is Raymond Road and paying constructing the road. LS Planning & Development Director, summarized the providing for extension of utilities, road work to the difference of the RISE grant and cost of Power will receive no tax abatements. Chris Wendland commented the council may choose to adopt this agreement, but it is not effective until certain things happen. Important work at the DNR and the Iowa Utilities Board has to happen before LS Power performs this agreement. May 7, 2007 Documents continued Page 20 Mr. Temeyer commented that if by some chance the project doesn't go forward, we will hold the annex petition. The city agrees to keep the taxes same for the property owners as if they weren't annexed. If the project does not move forward, the annexation would have to come back to council to be rescinded. Following comments a vote was taken on the above motion with the following result. Ayes: Seven. Resolution adopted and upon approval by Mayor assigned No. 2007-333. 125290 - Councilperson Welper noted that he misunderstood the vote on the suspension of rules on the rezoning ordinance and thought when he voted nay, he was voting no to Councilperson Getty's request to not suspend the rules and not approve the. ordinance tonight. Gunderson/Schmitt that reconsideration of the suspension of rules on the rezoning request of Elk Run Energy Associates, be approved. Ayes: Six. Nays: Getty. Motion carried. 125291 - Schmitt/Welper that rules requiring ordinances to be considered and voted for passage at two prior meetings be suspended. Ayes: Six. Nays: Getty. Motion carried. 125292 - Schmitt/Kincaid that "an Ordinance amending Ordinance No. 2479, as amended, City Zoning Ordinance by adding Subsection No. 390 to Section 2A-5, Rezoning Certain Property", be considered and passed for the second and third times and adopted. Ayes: Six. Nays: Getty. Ordinance adopted and upon approval by Mayor assigned No. 4867. ADJOURNMENT 125293 - Ryan Madison commented that he is not for or against the plant, but he is for development on the Eastside. He noted the power plant will be a gateway to development on the Eastside. Mr. Madison hopes LS Power hires African Americans and more companies develop on the Eastside. Mayor Hurley noted that in the development agreement, LS Power agreed to donate $400,000.00 to the Gateway Community Development Corporation. Councilperson Kincaid noted that last week was Municipal Clerks Week and he recognized Nancy Eckert, City Clerk, and thanked her. Getty/Schmitt that the above oral comments be received, placed on file and the council adjourn at 11:21 p.m. Ayes: Seven. Motion carried. Nancy kert, CMC City C erk FOOTNOTE: The above motion to reconsider suspension of rules on the rezoning request of Elk Run Energy Associates (CR 125290) was not done in a procedurally correct manner. The motion to reconsider would have had to come from a prevailing party and been seconded by someone from the prevailing side. At the May 14, 2007 council meeting, council members voted to place the second and possibly third reading of the rezoning ordinance on the May 21, 2007 council agenda to meet all procedural rules.