HomeMy WebLinkAbout02/10/1988February 10, 1988
The Council of the City of Waterloo, Iowa, met in Special Session at City Hall Council
Chambers, Waterloo, Iowa, at 4:00 p.m. on February 10, 1988. Mayor Bernard L. McKinley
in the Chair. Roll Call: Dell, Fox, Angel, Buck, Wright, Budak, Brown.
91582 - Moved by Buck, seconded by Wright
that the Agenda, as amended, for the Special Session on February 10, 1988, at
7:00 p.m., be accepted and approved.
Motion carried.
HEARING
91583 - Moved by Wright, seconded by Angel
that proof of publication of notice of public hearing on request of Willard
Frost and Wayne and Aniceta Claassen to rezone from "A-1" Agricultural
District to "M -2,P" Planned Industrial District approximately 166 acres
generally located along the south side of Newell Street and the west side of
North Elk Run Road as published in the Waterloo Courier on February 4, 1988,
be received and placed on file.
Motion carried.
91584 - HOLD HEARING --This being the time and place of public hearing, the Mayor
called for written and oral objections. Mayor McKinley announced that a
letter had been received from Chad M. Liddle, Mason City, Iowa.
Father George Karnik, Pastor of St. John's Catholic Church, 1701 Mulberry
Street, read a prepared statement opposing the proposed rezoning of the
property in question. A copy of the complete transcript is on file in the
office of the Clerk/Auditor.
Stanley E. Jones, 1125 South Hill Drive, Pastor of the South Hackett Road
Baptist Church, spoke of the IBP plant in Denison, Iowa and that it was a
superb, community minded company. He reported that there is a waiting list of
people seeking employment with the company.
Bill Ramsey, of Bill Ramsey Realtors, spoke in favor of the rezoning. He
reported that he had worked for Armour & Company for 18 years and was familiar
with the packing industry. He stated that IBP would be a good neighbor and
urged the Council to vote in favor of the request as the community needs the
jobs.
Sister Barbara Gross, Pastoral Associate at St. John's/St. Nicholas Parishes,
Waterloo and Evansdale, spoke in opposition to the request. A copy of her
oral statements is available for public review in the Clerk/Auditor's Office.
Gale Bonsall, 54 River Ridge Road, Cedar Falls, speaking on behalf of the
Waterloo/Cedar Falls Board of Realtors, urged the Council's approval of said
request. After talking to many realtors, he spoke of the favorable impact
this industry would have on the housing market in the metropolitan area. As
values rise and optimism increases, the ripple effect will be felt throughout
the community. He also reported that a friend of his has two sons employed at
the Sioux City IBP Plant and that officials there would transfer his sons back
to Waterloo if a plant is constructed here.
Jody Fitzpatrick, 103 Prospect Avenue, asked that the Council table action on
this request to allow several questions to be answered, including: What has
IBP asked for in terms of operating subsidy and what is IBP willing to offer
to the City. The Mayor responded that IBP has asked for: 1) The property to
be rezoned; 2) That the City sign the sewer agreement that will be later acted
upon by the City Council; and 3) An industrial tax abatement. All industrial
property located in the City of Waterloo is eligible for said exemption for a
five year period. The Mayor explained that IBP may also be asking Hawkeye
Institute of Technology for 623 monies for job training purposes. Ms.
Fitzpatrick also asked what IBP would be doing in the area of arts and
education and their involvement in the community. The Mayor reported that in
February 10, 1988
Hearing - continued
Page 2
Sioux City, IBP is the largest contributor to United Way and that they
encourage payroll deduction. In Storm Lake, IBP promotes one community
project per year and has contributed $5,000 to the Economic Development
Organization in Storm Lake. Ms. Fitzpatrick asked on behalf of the Highland
Neighborhood Association if a weight embargo would be put on Independence
Avenue. The Mayor indicated that this would be addressed at a later time.
John Bedard, 924 Mulberry Street, spoke in opposition to the request. He
expressed a concern that older, former Rath employees have a slim chance of
being hired. The Mayor explained that IBP requires a medical of all employees
and that many of the line jobs at Storm Lake are occupied by younger people.
Councilperson Angel responded by stating that she saw some older people
working at the IBP Plant in Storm Lake.
Chuck Granger, 3531 Rose Hill Terrace, spoke in favor of the request. He
commended Cedar Valley, Mayors Crews and McKinley, the Waterloo and Cedar
Falls Chambers of Commerce and the Waterloo and Cedar Falls City Councils for
their work on this project. He stated that a positive vote on this issue
would be in the best interest of the metropolitan area.
Larry Winninger, 3429 Georgetown Drive, indicated that he was not involved in
the real estate transaction for this property but commented that the site is
perfect for IBP. The site is large enough to accommodate their needs as well
as having available utilities.
Lee Bader, Rural Route 2, Jesup, expressed concerns of area farmers that IBP
may eventually put FDL and Farmstead Industries out of business.
Leon Mosley, 99 John Street, stated that many of his neighbors need jobs and
that Black Hawk and Bremer County can well supply the labor necessary for the
Plant. As a member of the Waterloo Water Works Board of Trustees, he also
commented that the $20,000 of additional monthly revenue that will be
generated from IBP's water usage will keep water rates down.
Bill Lemke, 149 Madison Avenue, spoke in support of the request. A copy of
his comments is available in the Clerk/Auditor's Office for public review.
Reverend George Howard, Antioch Baptist Church, spoke in support of the
request and stated that the employment possibilities with IBP would take many
people off the welfare rolls.
Jim Higgins, 205 Prospect Avenue, spoke in support of the request. He stated
that a favorable vote on this issue would send a message to the country that
we do care about our citizens. With the ready and available work force in the
Waterloo area, we will not need to draw upon migrants or others to fill the
jobs. He also stated that the tax incentives offered to IBP are the same that
many small businessman such as himself have taken advantage of.
Police Chief Roger Shook addressed the issue of increased criminal activity as
a result of IBP locating in communities. The first question asked was 1) What
is the direct impact on police service of IBP and 2) Have crime rates
increased as a result of IBP being in their communities. Chief Shook reported
that Storm Lake has not experienced any problems in terms of criminal activity
or calls for service. Council Bluffs and Denison both indicated nothing
negative as a result of IBP. Columbus Junction reported that traffic is a
problem in their community and that housing is not available, causing heavy
traffic for commuters.
Kathy Oberle, 710 Forest Avenue, asked if the City rezoned the property, would
IBP come to Waterloo. Mayor McKinley responded that IBP is merely a prospect
and that they have not committed to coming to Waterloo. She also stated that
if IBP does come to our community, they will treat workers in an appropriate
manner.
Rio Cleigh, 657 Sheridan Road, stated that the proposed beginning wage of $6
per hour is a competitive wage. He asked why people are concerned with
$16,000 a year jobs. He stated that IBP would be a good neighbor and a good
prospect.
February 10, 1988 Page 3
Hearing - continued
Earl Rogers, 2705 McClain Drive, Cedar Falls, stated that IBP practices age
discrimination and that retired Rath workers will not be put to work. Mayor
McKinley stated that generally jobs of this nature call for younger people,
but older workers will be used where they can. Mr. Rogers indicated that
often time older workers are more reliable than younger workers.
Councilperson Buck stated that the high turnover rate that IBP has experienced
was due to the inadequate screening process and that hiring happened too fast.
He stated that IBP now does a better job of screening prior to commencement of
employment.
Mitze Rekward, 3309 Inverness, spoke in support of the request.
Conrad Lundberg, 2756 Fairlane, asked the Council to vote affirmatively on the
rezoning request and give citizens of our community a choice in job
opportunities. He also stated that small businesses would be able to enjoy a
profit for a while due to the spin off effect of IBP. He stated that in
speaking with a fellow Pastor in Denison, the community is glad to have IBP
has an employer in the community.
Irma Gossman, 204 Linden Avenue, read a newspaper article dated July 10, 1987
concerning fines levied against IBP for violation of the load weight law.
Bill Gilliam, representing Warren Transport, stated that the Waterloo site was
the second choice of IBP. He opposed the rezoning because other land is
available in the City limits without rezoning more to industrial and that the
land should be preserved for agricultural purposes. He stated that the
proposed zoning is not consistent to the surrounding uses. He also stated
that the job opportunities will not go to all Waterloo residents. He spoke of
the high turnover rate and the thin profit margin that IBP operates on. He
also stated that the plant will attract an element of people who may be
undesirable to the community. Trailer courts will spring up in the community
and revenues to the City will not finance the support services that additional
people will need. He also spoke to the high injury rate and the failure of
IBP to report all injuries to OSHA. He stated that the City's premise of IBP
creating jobs in fact destroys any opportunity to attract other jobs and
industry to the community.
The Mayor announced a three minute recess.
Mayor McKinley presented information on the vacancy rate of trailer parks
in the City of Waterloo.
Harry Slife, Chair of the Cedar Valley Partnership, spoke strongly in support
of the request. He reiterated his resentment that we were attracting a
"packing plant." He stated that this is a respectable business that provides
an important product and jobs for our community. Many of our citizens cannot
use high tech jobs; community leaders have a responsibility to provide job
opportunities for all of our citizens. He reiterated the pay scale of workers
and the increases that other IBP employees have experienced.
Vonnie Jackson, 1838 Howard Avenue, and Mayor McKinley exchanged comments
concerning an earlier statement of Mayor McKinley concerning the City's
efforts in bringing white collar jobs versus blue collar jobs to the
community. She stated that Waterloo is digging at the bottom of the barrel
and that we deserve an industry like IBP.
Kathy Oberle, 710 Forest, clarified an earlier comment of Mayor McKinley by
stating that the Mayor had commented that it would be more likely for the City
to attract white collar jobs because there are fewer and fewer blue collar
jobs available anywhere in the country. She also questioned whether one of
the incentives offered to IBP was a mass burn unit. Mayor McKinley reported
that this was not an incentive offered.
A male resident at 212 Boston Avenue stated that he was an ex -employee of IBP
and had worked for them for one and a half years. He stated that they were a
fair employer, but that the work was hard work.
February 10, 1988 Page 4
Hearing - continued
Mary Lichty, 535 West Wellington, reiterated the concern expressed of the fine
levied against IBP by OSHA in the amount of $2.6 million. She also questioned
why advertisements in Texas were urging Texans to come to Iowa and that "we
will give you jobs." She also stated that the $6 per hour minimum wage
alluded to earlier would in fact put many families in the low income bracket
and that we would have two problems instead of one if IBP were to come to
town. It was clarified that workers work a 48 hour week and are paid for 52
hours per week.
Bob Molinario, representing Warren Transport, stated that the Council has an
obligation to existing businesses in the community. Warren Transport
currently provides a living for 750 families in the community and has proposed
an $11 million expansion over the next three years at their North Elk Run
site. They will not consider this location if IBP locates next to them. He
also stated that the City in essence is saying "We won't respect your property
rights" and will locate any type of industry next to current industry in town.
He stated that the City of Waterloo is more than a meat packing plant town and
stated that such an industry would create slums. He asked that the Council
let IBP's record speak for itself and that the community will attract
immigrants. The City can also expect labor problems. He also questioned
whether or not this was a proper location for this type of business in terms
of odors generated and traffic. He asked that the Council hear the message of
the people and that they oppose the location of IBP in our community. He
asked the Council to table action and not to allow IBP to come to Waterloo and
dictate its desires.
Councilperson Angel asked for clarification of a comment made by Mr. Molinario
concerning those people who work with their hands because they don't have
anything else to work with. Comments were exchanged.
Bob Stevenson, City Planner, stated that the Planning, Programming and Zoning
Commission had recommended approval since the Land Use Policy Plan shows this
area of the community as an industrial growth area. Utilities are also
available to the site. He also indicated that the projected traffic volumes
if IBP and the Tannery were to locate in this area would adequately be served
by the Sixth Street Extension.
Wayne Natham, 548 Cloverdale Avenue, asked City staff to locate the property
in question.
Sister Nancy Hemasath, 321 East Eighth Street, stated that she was concerned
about the types of jobs that would be brought to the community. She indicated
that she feared that greater problems would be created than currently exist
in the community and that we could expect a high turnover rate of workers at
the Plant.
John Raves, 3212 Tropic Lane, stated that the work at such a plant would be
hard and stressful and questioned whether or not we would want this type of
industry in our community. Councilperson Brown responded by indicating that
the plant would be required to carry Workmen's Compensation, which workers
would be entitled to if an injury were to occur.
Ken Hutsin, 568 Sunset Road, asked that the Council postpone action on the
rezoning and asked that the Council visit all IBP Plant locations.
Donna Vollenweider, 2733 Fairlane Avenue, asked why IBP is not willing to
appear before the Council and hear what the citizens of our community have to
say. Mayor McKinley responded that the rezoning request has been placed
before the Council by the owners of the property, which is not IBP. IBP is
merely a prospect at this stage and has not made a commitment to locate on
this site.
Don Throuse, resident near the site, stated that IBP does not hire contractors
from the community and that they will have their own building contractors. He
also stated that the City of Waterloo has two standards in that they required
the Burger King to submit a site plan and that the City is not requiring a
site plan for IBP. Hugh Field, City Attorney, clarified that the Burger King
February 10, 1988 Page 5
Hearing - continued
rezoning was a "C-2" Commercial zoning request, which does not require a site
plan. The portion that is being requested for "C -Z" zoning is now being
referred back to the Planning Commission for review of the site plan. Any
type of industry locating in the proposed "M -2,P" Planned Industrial District
will be required to submit a site plan for review by the Planning, Programming
and Zoning Commission and City Council.
Joan Takin asked that the Council not threaten Warren Transport by locating
IBP next to them and the 750 families that it supports.
Bill Claassen, representing the applicants for the rezoning, stated that the
"M -2,P" Planned Industrial District designation requires the approval of a
site plan by the City Council. He also stated that this request complies with
the Land Use Plan for the City and is within an industrial corridor in the
community.
Mayor McKinley summarized the issue by stating that the matter before the
Council is to rezone said property. Any issue has its good and bad points and
never is a controversial issue a simple one to solve. He also reported that
he had talked to many employees on the production line to understand their
true feelings. The Mayor also reported that approximately 300 Supervisors
will be hired as part of the workforce.
Councilperson Wright reported that a total of 34 people had spoken before the
Council tonight, with 17 speaking in favor, 14 against and 3 having questions.
Moved by Angel, seconded by Wright
that the above comments and recommendation of approval of the Planning,
Programming and Zoning Commission be received and placed on file.
Motion carried.
91585 - Moved by Brown, seconded by Wright
that "an Ordinance amending Ordinance No. 2479, as amended, City Zoning
Ordinance, by adding Subsection No. 232 to Section 2A-7, Rezoning Certain
Property", be received, placed on file, passed and considered for the first
time.
Prior to a vote on this motion, the following comments were heard:
Councilperson Brown stated that no employer is a perfect employer including
the City of Waterloo. Councilperson Wright stated that the decision has been
a difficult one and that there had been lots of issues to review. All of the
issues raised by the public tonight have been previously addressed by the
Council and answered to her satisfaction. Councilperson Dell stated that he
was disturbed by one comment that has been brought up several times during the
course of the hearing that states that people that such an industry attracts
are less than human.
Ayes: Seven.
Motion carried.
91586 - Moved by Brown, seconded by Wright
that rules requiring ordinances to be considered and voted for passage at two
prior meetings, be suspended and that the following ordinance be recorded as
having been considered and passed for the second and third times and now
placed on its final adoption. Ayes: Seven.
Motion carried.
February 10, 1988 Page 6
Hearing - continued
91587 - Moved by Buck, seconded by Wright
that "an Ordinance amending Ordinance No. 2479, as amended, City Zoning
Ordinance by adding Subsection No. 232 to Section 2A-7, Rezoning Certain
Property", be adopted. Ayes: Seven.
Ordinance adopted and upon approval by Mayor assigned No. 3525.
DOCUMENTS
91588 - Moved by Buck, seconded by Wright
that communication from City Attorney transmitting Treatment Agreement with
IBP, Inc., be received, placed on file and "Resolution approving said
document", be adopted and Mayor and Deputy Clerk/Auditor authorized to execute
same. Ayes: Seven.
Resolution adopted and upon approval by Mayor assigned No. 1988-54
91589 - Moved by Wright, seconded by Fox
that the Council Special Session adjourn.
Motion carried.
Larry P. Burger
Clerk/Auditor