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HomeMy WebLinkAbout04.20.2026_Council_Regular_Session_MinutesDocusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 April 20, 2026 The City Council of the City of Waterloo, Iowa, met in Regular Session at Harold E. Getty Council Chambers, Waterloo, Iowa, at 5:30 PM, on Monday, April 20, 2026. Pre -Meeting Items Roll Call. Mayor Dave Boesen in the Chair. Roll Call: Mr. Schmitt, Mr. Morrow, Ms. Creighton -Smith, Ms. Berry, Mr. Salamanca, Mr. Martin and Mr. Simon. Prayer or Moment of Silence. Pledge of Allegiance, Steve Simon, Council Member at large. Approval of Agenda as proposed or amended. Simon/Creighton-Smith that the agenda as proposed, be approved. Voice vote -Ayes: Seven. Motion carried. Approval of Minutes of the March 30, 2026, Council Special Session, and the April 6, 2026, Council Regular Session as proposed or amended. Simon/Creighton-Smith that the minutes of the March 30, 2026, Special Session, and the April 6, 2026, Regular Session, as proposed, be approved. Voice vote -Ayes: Seven. Motion carried CONSENT AGENDA Simon/Schmitt that the following items on the consent agenda be received and placed on file, including the payment of bills for April 13, 2026, in the amount of $2,055,910.63, and April 20, 2026, in the amount of $5,144,384.62, be received and placed on file. Roll Call vote -Ayes: Seven. Motion carried. Bills Payment, Finance Committee Invoice Summary Report, a copy of which is on file in the office of the City Clerk. Resolution adopted and upon approval by Mayor assigned No. 2026-191. Resolution approving the request of Kyle Niemann for a waiver for a concrete driveway, located at 3937 W. Airline Hwy, with the elimination of the sidewalk section due to inability to meet grade requirements. Resolution adopted and upon approval by Mayor assigned No. 2026-192. Resolution approving preliminary plans, specifications, form of contract, etc., setting date of bid opening as May 14, 2026, and date of public hearing as May 18, 2026, in conjunction with the Page 1 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Runway 18/36 Rehabilitation Outside the Runway 12/30 Safety Area, FAA AIP Project No. 3- 19-0094-060, and instruct the City Clerk to publish notice. Resolution adopted and upon approval by Mayor assigned No. 2026-193. Resolution setting date of public hearing as May 4, 2026, to approve a request by the City of Waterloo on behalf of the Iowa National Guard for a Site Plan Amendment to construct a 25,000 square foot building in the "M-2,P" Planned Industrial District located north of 3106 Airport Blvd, and instruct the City Clerk to publish notice. Resolution adopted and upon approval by Mayor assigned No. 2026-194. Resolution setting date of public hearing as May 18, 2026, to approve proposed repairs, in conjunction with the FY 2027 Sidewalk Inspection and Repair Program — Zone 5B, and approve a request to send out notification to property owners of proposed sidewalk repairs and estimate of costs, and instruct the City Clerk to publish notice. Resolution adopted and upon approval by Mayor assigned No. 2026-195. Resolution approving wages for years four and five of the 2023-2028 Collective Bargaining Agreement with the Teamsters Local 238, and authorizing the Mayor and Human Resources Director to execute said documents. Resolution adopted and upon approval by Mayor assigned No. 2026-196. Resolution approving award of bid to Peterson Contractors, Inc., of Reinbeck, Iowa, in the amount of $1,607,197.68, approving the contract, bond and certificate of insurance, in conjunction with the FY 2026 Parkview Manor and W. 3rd Street Detention Basin, Contract No. 1137, and authorizing the Mayor and City Clerk to execute said document. Resolution adopted and upon approval by Mayor assigned No. 2026-197. Motion to receive and file Historic Preservation Commission minutes of November and December of 2025, and January and February of 2026. Motion to receive and file Planning, Programming, and Zoning Commission minutes of November and December of 2025, and January and February of 2026. Motion to receive and file Board of Adjustment minutes for November of 2025, and January and February of 2026. Motion to receive and file Complete Streets Committee minutes of January 2026. Liquor Licenses Cadillac XBC, 650 LaPorte Road, Class C w/Sunday Sales (Renewal) 03/27/2027. Hampton Inn, 2034 La Porte Road, Class C w/Sunday Sales (Renewal) 01/31/2027. Page 2 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Hometown Foods, 1010 E. Mitchell Avenue, Class E w/Sunday Sales (Renewal) 04/30/2027. La Michoacana, Inc., 1221 Franklin Street, Class C w/Sunday Sales (New) 04/26/2027. Michoacana Meat Market, 1215 Franklin Street, Class C w/Sunday Sales (Renewal) 04/27/2027. Sunnyside Country Club, 1600 Olympic Drive, Class F (Ownership Updates) 04/13/2027. The Other Place, 360 E. Ridgeway Avenue, Class C w/Sunday Sales (Renewal) 01/25/2027. UNI Mart, 1615 Bishop Avenue, Class E w/Sunday Sales (Renewal) 02/28/2027. Cigarette/Tobacco/Nicotine/Vapor Permits Dollar General #10073, 3815 University Avenue (Retail Tobacco). Dollar General #21528, 428 E. 1st Street (Retail Tobacco). Dollar General #4698, 2935 Logan Avenue (Retail Tobacco). Dollar General #7136, 66 E. Tower Park Drive (Retail Tobacco). Dollar General #7162, 820 W. 5th Street (Retail Tobacco). Kwik Star #229, 1717 E. San Marnan (Retail Tobacco). Kwik Star #569, 875 Fisher Drive (Retail Tobacco). R Smoke Plus Waterloo, 3620 Kimball Avenue (Retail Tobacco). Tobacco & Vape, 3821 University Avenue (Retail Tobacco). Bonds. PUBLIC HEARINGS FYE 2027 Budget Hearing. Schmitt/Creighton-Smith to receive and file proof of publication of notice of public hearing. Voice vote -Ayes: Seven. Motion carried. This being the time and place of the public hearing, the Mayor called for written and oral comments. Margaret Moye, Executive Director of the Grout Museum District, thanked the council for meeting with the Grout and constituents. She shared that they are bringing on development staff to grow their private giving, rebuild corporate relationships, expand their portfolio and build their endowment, specifically to diversify the budget so they can be self -sustainable. They have already started making hard choices by reducing staffing, closing a building, etc. David Dreyer, 3145 W. 4th Street, commented that his taxes will go up $107.00. He questioned where money for the budget line item amendments comes from. Bridgett Wood, Finance Director, shared that the amendments come from grants and/or other revenues received during the year that were not budgeted for. Page 3 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Wayne Nathem, 548 Cloverdale, thanked the council for their work on the budget and encouraged everyone to continue to reduce the budget in future years. Schmitt/Simon to close the hearing and receive and file oral comments. Voice vote -Ayes: Seven. Motion carried. Ms. Creighton -Smith commented that the levy rate is unchanged from last year. She questioned how the city would continue to provide services and how staff will be addressed in future budget years. She expressed concern that the Human Rights Director had been let go and the Communications Director had been laid off. She added that the mayor has addressed her concerns so far, but questioned what the priority will be for reducing staffing through attrition in the future. Bridgett Wood shared that all departments will be analyzed to determine the appropriate level of staffing. Hiring freezes have been discussed but how to implement a freeze will have to be strategically reviewed. Mayor Boesen commented that beginning in May he will begin meeting with a group of department heads along with a couple of council members to carefully examine each department's personnel needs and to ensure that the money we are spending is well spent. Ms. Creighton -Smith requested to be involved in areas of her interest. Ms. Berry asked to be involved as well. She requested an overview of where funding is coming from. Bridgett Wood shared that $2,200,000.00 would come from the General Fund, $200,000 from restricted projects, $800, 000.00 from the employee benefits levy, some money from TIFF dollars and $1,000,000.00 from ARPA, which is also considered a restricted fund. Ms. Berry questioned if the city would have issues next year with that amount of money coming out. Bridgett Wood provided an overview of what funds will be available next year. Mr. Morrow commented that he supports the budget and thanked everyone for answering his questions. Mr. Schmitt requested clarification that the city is taking $2,200,000.00 million out of the unassigned fund and $1,000,000.00 million out of the ARPA fund balance. Bridgett Wood confirmed. Mr. Schmitt further commented that $200,000.00 is coming from the restricted project fund balance and $800,000.00 out of the employee health insurance fund. Bridgett Wood confirmed and explained that the health insurance fund balance is unused benefit dollars that will be used instead of raising taxes. Page 4 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Mr. Schmitt commented that the city is receiving $2,000,000.00 from the road repair fund. Bridgett Wood shared that $2,600,000.00 is what we are estimating will be received from road use tax. Mayor Boesen clarified that this is from Local Option Sales Tax revenue and explained that this was a voter -approved referendum, and it will not affect the department's ability to repair our streets. Mr. Schmitt expressed concern that in order to get the budget where it is at currently, the proposal is to take $6,000,000.00 to $7,000,000.00 out of a different fund of taxpayer money collected over a period of time. Bridgett Wood commented that the $2,600,000.00 is current revenue and not out of reserves. Mayor Boesen reiterated that the $2,600,000.00 is not being taken from another fund, it is the result of a voter -approved referendum to reduce property taxes, which is what it is being used for. Mr. Martin questioned how the budget prepares our citizens for the future. Bridgett Wood commented that it will decrease the city portion of the tax levy by about six - percent. Mr. Simon thanked Bridgett for her work on the budget. He questioned how some of the proposals currently in the legislature could affect the city. Bridgett Wood explained that they could limit the amount of unassigned cash reserves that any city in Iowa can have. She commented that it had previously been ten percent, and currently it is at thirty-five percent of our certified expenses. Two years ago, we had $28,000,000.00 in unassigned reserves and last year we had $33,000,000.00. Ms. Creighton -Smith commented that she wants to hear that departments that need to be staffed will be staffed in the future. Mr. Morrow asked for clarification on the Debt Service Levy line. Bridgett Wood commented that it includes the debt service for GO Bonds and SRF Loans. Mayor Boesen thanked Bridgett, Kim, and the Finance staff for their work on the budget. Schmitt/Simon Resolution approving the FYE 2027 budget including total property tax askings of $54,841,779.00 and a levy rate of $21.79160 for the budget year ending June 30, 2027. Roll Call vote -Ayes: Four. Nays: Three (Schmitt, Creighton -Smith, Berry). Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-198. Request by the City of Waterloo to rezone approximately twenty-eight acres of land from "A-1" Agricultural District to "B-P" Business Park District, located west and northwest of 4634 Kimball Avenue. Page 5 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Morrow/Schmitt to receive and file proof of publication of notice of public hearing. Voice vote -Ayes: Seven. Motion carried. This being the time and place of the public hearing, the Mayor called for written and oral comments. Norma Neubauer, 1160 Pleasant Valley Drive, commented that she would like to see the city planners revitalize the interior of the city rather than take new farm ground. Noel Anderson, Community Planning and Development Director, provided an overview and the benefits the city will receive for developing in this area. Morrow/Schmitt to close the hearing and receive and file oral comments and recommendation of approval of the Planning, Programming and Zoning Commission. Voice vote -Ayes: Seven. Motion carried. Morrow/Schmitt to receive, file, consider, and pass for the first time an ordinance amending Ordinance No. 5079, as amended, City of Waterloo Zoning Ordinance, by amending the Official Zoning Map referred to in Section 10-4-4, approving a request by the City of Waterloo to rezone approximately twenty-eight acres of land from "A-1" Agricultural District to "B-P" Business Park District, located west and northwest of 4634 Kimball Avenue. Roll Call vote -Ayes: Seven. Motion carried. Morrow/Schmitt to suspend the rules. Roll Call vote -Ayes: Six. Nays: One (Schmitt). Motion carried. Mr. Schmitt questioned the timing. Noel Anderson, Community Planning and Development Director, commented that there is no urgency should the council decide not to suspend the rules. Morrow/Schmitt to consider and pass for the second and third times and adopt the ordinance. Roll Call vote - Ayes: Six. Nays: One (Schmitt). Motion carried. Ordinance adopted and upon approval by Mayor assigned No. 5832. Request by BFA, Inc., on behalf of Wal-Mart, to vacate 26,821 square feet of a 20-foot water line easement located at 1334 Flammang Drive. Creighton-Smith/Morrow to receive and file proof of publication of notice of public hearing. Voice vote -Ayes: Seven. Motion carried. This being the time and place of the public hearing, the Mayor called for written and oral comments. Rick Rohlfing, BFA, provided an overview of the request and explained its purpose. Page 6 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Creighton-Smith/Schmitt to close the hearing and receive and file oral comments and recommendation of approval from the Planning, Programming and Zoning Commission. Voice vote -Ayes: Seven. Motion carried. Creighton-Smith/Schmitt to receive, file and consider and pass for the first time an ordinance approving a request by BFA, Inc., on behalf of Wal-Mart to vacate 26,821 square feet of a 20-foot water line easement located at 1334 Flammang Drive. Roll Call vote -Ayes: Seven. Motion carried. Creighton-Smith/Schmitt to suspend the rules. Roll Call vote -Ayes: Seven. Motion carried. Creighton-Smith/Schmitt to consider and pass for the second and third times and adopt said ordinance. Roll Call vote - Ayes: Seven. Motion carried. Ordinance adopted and upon approval by Mayor assigned No. 5833. 2026 and 2027 Residential Lots/Miscellaneous Areas Mowing and Lot Maintenance Services Contract for city -owned lots generally maintained by the Planning and Zoning Department. Morrow/Schmitt to receive and file proof of publication of notice of public hearing. Voice vote -Ayes: Seven. Motion carried. This being the time and place of the public hearing, the Mayor called for written and oral comments. David Dreyer, 3145 W. 4th Street, questioned the bid amount for the mowing of less than an acre. Aric Schroeder, City Planner, explained that two different bidders came in with the lowest bid on two different categories and commented that the volume of lots in the contract could account for the lower pricing. Odell Sallis, 2613 Idaho Street, commented that he agrees with Mr. Dreyer and asked if the pricing was standard for this type of lot. He further questioned if work performance is considered along with the low bids. Aric Schroeder explained that the bid specifications do provide wording that we can consider performance. The overall bids were not particularly close, which led to splitting the award based on price by category. Morrow/Schmitt to close the hearing and receive and file oral comments. Voice vote -Ayes: Seven. Motion carried. Morrow/Schmitt Resolution confirming approval of plans, specifications, form of contract, etc., and authorizing to proceed. Roll Call vote -Ayes: Six. Nays: One. (Creighton -Smith). Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-199. Page 7 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Morrow/Schmitt to receive, file, and instruct the City Clerk to read bids. Voice vote -Ayes: Seven. Motion carried. Bid Estimate: A: $18.00 per lot / per occurrence - under 1 acre B: $75.00 per hour / per occurrence - 1 acre or more P&J Lawn Care, Waterloo, IA - Deemed nonresponsive. Adam's Outdoor Contracting, Inc., Waterloo, IA - 5% - A: $9.49 - B: $69.49 Taylor Construction, Cedar Falls, IA - 5% - A: $12.48 - B: $49.89 Morrow/Schmitt Resolution awarding bid to Adams Outdoor Contracting Inc., of Waterloo, Iowa, in the amount of $9.49 per lot per occurrence for lots under one -acre, in conjunction with the 2026 and 2027 Residential Lots/Miscellaneous Areas Mowing and Lot Maintenance Services Contract Part 1 for city -owned lots under 1 acre generally maintained by the Planning and Zoning Department, and awarding bid to Taylor Construction Company LLC of Cedar Falls, Iowa, in the amount of $49.89 per acre per occurrence for lots 1 acre or more, in conjunction with the 2026 and 2027 Residential Lots/Miscellaneous Areas Mowing and Lot Maintenance Services Contract Part 2 for city -owned lots 1 acre or more generally maintained by the Planning and Zoning Department. Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-200. Ms. Creighton -Smith commented that she had received a call from the nonresponsive bidder and was told that the deadline from when he received the bid packet to when it was due, was impossible to meet. Aric Schroeder, City Planner, commented that Mr. James Adams of P&J Lawn Care spoke with him after the previous council meeting and expressed his interest in submitting a proposal on less than the entire contract. He told Mr. Adams that this type of bidding had not been done recently but had been in the past, so he could submit his proposal and staff would review it and determine how to proceed. The proposal received was a single -page letter that did not list a price nor a bid security and included none of the required forms. The bid was reviewed by the city attorney and deemed nonresponsive. Ms. Berry questioned if Mr. Schroeder instructed Mr. Adams to turn it in the way he did. Aric Schroeder denied having instructed him to submit the proposal in any other form than what was provided in the bid specs. Ms. Berry questioned if Mr. Adams had mowed city property in the past. Aric Schroeder confirmed that he had been awarded portions of city contracts in the past, particularly under the code enforcement contract. Ms. Berry asked if there were any other issues with either of the bidders who were awarded the contract. Aric Schroeder explained that there were some issues between the two bidders, which were Page 8 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 reviewed by the city attorney. Mr. Martin questioned if the split of the contract had anything to do with the type of equipment. Aric Schroeder commented that the award is based on the lowest bid and that the issue raised was splitting the award and whether one contractor would have the equipment necessary to complete the work. RESOLUTIONS Resolution approving a Traffic Safety Improvement Program with the Iowa Department of Transportation, in the amount of $470,000.00, in conjunction with the construction of a roundabout at Hammond Avenue and Ridgeway Avenue, and authorizing the Mayor and City Clerk to execute said document. Schmitt/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-201. David Dreyer, 3145 W. 4th Street, asked if there was a cost for land acquisition. Randy Bennett, Public Works Division Manager, explained that this project is encompassing three different grants which would help cover any land acquisition. Wayne Natham, 548 Cloverdale, commented that he does not like roundabouts and does not want to see one installed at this intersection. Mr. Simon commented that he believes that the roundabout will help with traffic flow in that location. Mr. Martin commented that he believes the roundabout is needed. Resolution approving a Professional Services Agreement with Protex Central, in the amount of $5,400.00, for a three-year contract for the semi-annual maintenance and testing of the data room fire suppression system, and authorizing the Mayor to execute said document. Schmitt/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-202. Resolution approving a Purchase Agreement with the City of Stanwood, Iowa, in the amount of $35,000.00 for a 1996 Spartan Fire Truck, and authorizing the Mayor and City Clerk to execute said documents. Morrow/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-203. Darryl Hartema, 158 Letsch Road, commented on the safety improvements that have become standard equipment on a fire apparatus since 1996. He stated that used firetrucks have little Page 9 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 value for the city that buys them because they are custom designed for the city that purchases the firetruck. Bill Beck, Fire Chief, shared that the current status of their fire truck reserve is at three, but they are getting rid of two late 90s model trucks as they have been deemed unsafe by our Central Garage. This truck has been very lightly used in relation to the hours and miles that they put on ours. He added that though this vehicle would be used regularly, it would always be a reserve apparatus. Mr. Morrow questioned if a firetruck pump had to be pump tested. Bill Beck confirmed and said that this truck had been tested in 2024 and passed. Ms. Berry questioned what the average cost of a fire truck is. Bill Beck commented that the sticker price of a 2029 very plain engine is $1,100,000. Mr. Simon questioned if the firefighters would be retrained on the use of the older model truck. Bill Beck confirmed. Mr. Simon asked for clarification on the number of reserve vehicles. Bill Beck shared that there are technically four fire trucks on reserve, and that one is used regularly and two will be sold soon. They also have a 1996 Quint which has a seventy -five-foot ladder. Resolution approving a Professional Services Agreement with AECOM, Inc., of Waterloo, Iowa, in an amount not to exceed $58,100.00 for design -related services in conjunction with the FY 2026 Cedar Prairie Trail Replacement, Contract No. 1142, and authorizing the Mayor and City Clerk to execute said document. Creighton-Smith/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-204. David Dreyer, 3145 W. 4th Street, questioned why the city would need to spend money on a design to replace existing concrete. Jamie Knutson, City Engineer, shared that Cedar Falls and Waterloo received a CAT Grant, but neither community has the capacity to handle the federal paperwork that goes along with the grant funds. Resolution approving a Right -of -Entry Agreement with the Army Corp of Engineers to allow installation of monitoring wells in the City right-of-way along Midport Boulevard and Big Rock Road, and authorizing the Mayor to execute said document. Creighton-Smith/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-205. Page 10 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Resolution approving a Cooperative Agreement with the City of Cedar Falls to split costs in conjunction with the FY 2026 Cedar Prairie Trail Replacement, Contract No. 1142, and authorizing the Mayor and City Clerk to execute said document. Creighton-Smith/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-206. Resolution approving a Professional Services Agreement with AECOM, Inc., of Waterloo, Iowa, in an amount not to exceed $21,100.00, for engineering -related services to complete an application to submit for funding for the conversion and reconstruction of 5th and 6th Streets from Washington Street to Franklin Street, and authorizing the Mayor and City Clerk to execute said document. Berry/Martin Roll Call vote -Ayes: Four. Nays: Three (Morrow, Salamanca, Simon). Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-207. Mr. Morrow commented that downtown businesses have shared with him that they do not support this conversion. He asked if studies have been conducted on carrying out the conversion. Jamie Knutson, City Engineer, explained that over four years ago, the previous mayor and council wanted to look at the conversion of 5th and 6th Streets. He noted that this will be the fourth time we've applied for the grant, but the ultimate decision lies with this council. He shared that the debrief of the last grant application was very positive and had there not been quite so many applicants, we had a very good shot at this being funded. This is a very large grant, and it would not only cover the conversion, it would cover the dry run arch under 6th Street. The grant requires the conversion from one-way to two-way, so if we don't want to move forward with the conversion, there is no need to move forward with the grant. Mr. Morrow questioned if anyone had discussed this with the downtown businesses to get their input. Jamie Knutson shared that he had not personally had those conversations, but that the prior mayor and council had heard from businesses that they wanted it converted. Mr. Simon questioned whether a reason was given as to why the grant requires the street be converted to two-way traffic, and if we got the grant, how much would the project cost the city. Jamie Knutson commented that the application was for $22,000,000.00 and the anticipated project total is $28,000,000.00. He further commented that if we chose not to move forward with the grant, the total cost of the project would fall on the city. Mr. Schmitt asked Michelle Sweeney if this was a trend in other cities. Michelle Sweeney, confirmed that this is the downtown trend for other communities and noted that it is for economic development of the adjacent business owners, and it creates better walkability for the corridor. Page 11 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Salamanca/Morrow to table to the next meeting. Roll Call vote -Ayes: Two. Nays: Four (Schmitt, Creighton -Smith, Berry, Martin, Simon). Motion failed. Mr. Schmitt questioned if there was a timing issue with tabling the item. Jamie Knutson commented that the timeframe for the grant is on a short timeline. Michelle Sweeney, AECOM, commented that the delay would restrict the timing to get it turned around. The deadline is coming up next month and a two -week delay would significantly affect their ability to get everything updated to meet the new criteria. She shared that there have been several public information meetings and a lot of businesses did come and speak in favor of the conversion. She said that attendance was not large, but that it is usually an indication that there is not a lot of opposition. Jamie Knutson commented that in addition to the public information meetings, two council work sessions were held with the prior mayor and council, and he noted that both Mr. Boesen and Mr. Simon were on council at that time. Michelle Sweeney commented on the benefits of doing the conversion to the adjacent downtown businesses. Mr. Morrow does not agree with the motion to table, and said this should be voted on tonight. The mayor and council members continued to discuss the matter with Jamie Knutson and Michelle Sweeney. Ms. Creighton -Smith also does not want to table the item and provided her reasons. Mr. Morrow commented that the city will be on the hook for $6,000,000 in the future and, while looking to tighten the budget, he does not believe this is the right move. Resolution approving a Professional Services Agreement with AECOM, Inc., of Waterloo, Iowa, in an amount not to exceed $159,800.00 for design -related services in conjunction with upgrades to the Edwards Street Stormwater Lift Station, and authorizing the Mayor and City Clerk to execute said document. Berry/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-208. Resolution approving Supplemental Agreement No. 2 with McClure Engineering, in the amount of $140,550.00, in conjunction with the FY 2026 Dakota Drive Extension, Contract No. 1129, and authorizing the Mayor to execute said document. Berry/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-209. Resolution approving a Development Agreement with Dellatan Asset Acquisition, LLC, for a phased development, including a $5,000.00 infill incentive grant for each residential unit Page 12 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 created, for a total of up to $60,000.00 in infill incentive grants, refunding the purchase price of $5,000.00 for the purchase of each phase, for a total refund of $10,000.00, and a Minimum Assessment Agreement for the construction of no fewer than twelve new single-family homes, located near 918 and 919 Newell Street, and authorizing the Mayor and City Clerk to execute said document. Martin/Creighton-Smith Roll Call vote -Ayes: Six. Nays: One (Salamanca). Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-210. David Dreyer, 3145 W. 4th Street, commented that the city continues to build apartment complexes, but the population is stagnant. Beverly Cosby, 315 Wendell Ct., commented that she supports the development of new single- family homes on the east side of Waterloo. Odell Sallis, 2613 Idaho and Dellatan Asset Acquisition, LLC, provided an overview of the project. Mr. Morrow questioned the location of the address for Dellatan. Odell Sallis explained that he has several operating locations. Ms. Creighton -Smith commented that often times we focus on the high property taxes without considering that the taxes will go down as we add new business, jobs and homes to the tax base. Ms. Berry commented that it is exciting to see new homes coming to this area. Mr. Simon questioned if some of the requirements that had not been met previously have now been met. Noel Anderson, Community Planning and Development Director, confirmed that all criteria had been met. Mr. Martin provided further clarification to Mr. Morrow regarding his question about the address listed for Dellatan. Mr. Salamanca questioned the timeline for the completion of the houses. Noel Anderson, Community Planning and Development Director, shared the timeline of Phase I of the project. Odell Sallis commented that he had contacted several companies, including Tyson, and was told that housing is needed for their workers. Tyson shared that they will be hiring two hundred more employees in the next semester. Resolution to approve a request by Martin Flats, LLC for an Encroachment Agreement to allow four bike racks on city -owned property in the "C-3" Central Business District located adjacent to 321 E. 4th Street, on the sidewalk of E. 4th Street. and authorizing the Mayor and City Clerk to Page 13 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 execute said agreement. Creighton-Smith/Berry Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-211. Resolution approving a Memorandum of Agreement between the United States Environmental Protection Agency, the Iowa State Historic Preservation Office, and the City of Waterloo, in conjunction with the abatement of hazardous materials at the former Rath Packing Plan, and authorizing the Mayor to execute said document. Creighton-Smith/Berry Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-212. Resolution in support of an application by Big Hand Pepper, LLC for the Iowa Workforce Housing Tax Credit Program application to the Iowa Economic Development Authority, to construct fifteen new single family homes at the former Castle Hill School Site, located south of 235 Spieker Road, including tax rebates for fifty percent of infrastructure costs. Creighton-Smith/Bery Roll Call vote -Ayes: Five. Nays: Two (Berry, Salamanca). Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-213. Jeff and Kristi Cain, 213 Valley Road, expressed their concern that the sewer and water runoff can be adequately controlled, as it is located on a hill and when it rains it flows like a river. Jamie Knutson, City Engineer, shared that the old school had no water retention, so the water runs straight north. Any new housing development will be required to meet our stormwater ordinance. Norma Neubauer, 1160 Pleasant Valley Drive, commented that she is not happy to see that the traffic will be coming down Spieker Road and would rather see it go up to Maynard to reduce the traffic flow through her neighborhood. She further shared that she walked through surrounding areas that would be affected by the increased traffic and many, if not most, did not even know about the development. Darryl Hartema, 158 Letsch Road, commented that the city is not maintaining the storm water in the neighborhood to date. Every storm basin is blocked because no sweeping is taking place. Wayne Natham, 548 Cloverdale, commented that it sounds like the previous speakers have a very valid complaint that needs to be addressed. He questioned if there will be a tax abatement on these new homes. Mayor Boesen provided an overview of what the taxes for the new development will look like if the council approves a residential TIF district. Kevin Fittro, Big Hand Pepper, commented that the concerns discussed tonight are all answered in the preliminary plat. He shared that he is happy to speak to any homeowner about the plans and provided an overview of other projects they have done, including catching water and traffic flow. Page 14 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Mayor Boesen asked the developer that if the neighborhood wanted to set up a meeting, would he be agreeable to attend or send a representative to address their concerns and answer questions. Mr. Fittro confirmed and shared that they have held similar neighborhood meetings for previous developments. Ms. Berry asked the developer that if this caused hardship to the neighbors, would he be willing to look into another location. Kevin Fittro commented that if this does not pass, he would look at other areas, but it would likely not be in Waterloo. Ms. Berry commented that Jamie Knutson said he had not had an opportunity to look at the sewer system. Jamie Knutson commented that depending on how it is laid out, the sewer system can be split in different directions. Berry/Salamanca to table to next council meeting so Jamie Knutson could provide them with more information. Roll Call vote -Ayes: Two. Nays: Five (Schmitt, Morrow, Creighton -Smith, Martin, Simon). Motion failed. Jamie Knutson shared that until they can see how the development will be laid out, he would not be able to provide the council with the additional information requested by Councilperson Berry. Ms. Creighton -Smith commented that she does not agree to table this item. Mr. Simon clarified that passing this resolution is only to allow the developer to apply for tax credits and commented that he does not agree with tabling the item. Mr. Morrow shared his comments and also does not want to table the item. Resolution in support of an application by 205 E. 4th Street, LLC, for the Iowa Workforce Housing Tax Credit Program application to the Iowa Economic Development Authority, for up to twenty-five apartment units at the Historic Black's Building, located at 205 E. 4th Street, including reimbursement funds of $14,000,000.00. Creighton-Smith/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-214. Resolution approving compensation in the amount of $5,520.00 to CRV, Inc. for the removal of 27.9 square -yards of concrete paving, and removal of 27.1 square -yards of asphalt paving, for property located at 1607-1621 La Porte Road, in conjunction with the La Porte Road Phase II Reconstruction Project. Creighton-Smith/Martin Page 15 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-215. Resolution approving the request by BFA, Inc. on behalf of Wal-Mart to dedicate 30,436 square feet of 20-foot water line easement located at 1334 Flammang Drive. Creighton-Smith/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-216. Resolution approving a Temporary Easement Agreement in the amount of $137.00 with Mark and Mary Minard, located at 1432 Edgewood Drive, in conjunction with the Katoski Drive/Huntington Road Reconstruction Project, and authorizing the Mayor and City Clerk to execute said document. Simon/Creighton-Smith Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-217. Resolution approving the dedication of a permanent utility easement between the City of Waterloo and SKH Properties, LLC, located at 330 Tower Park Drive. Simon/Creighton-Smith Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-218. Resolution approving a Waterloo Leisure Services Designated Funds Agreement with the Waterloo Community Foundation to establish and maintain a charitable fund for the Foundation to support the City of Waterloo Leisure Services, and authorizing the Mayor and City Clerk to execute said document. Simon/Creighton-Smith Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-219. David Dryer, 3145 W. 4th Street, requested an overview of the item. JB Bolger, Assistant Director, Leisure Services, commented that he is not well versed in the item. Mayor Boesen provided an overview of the item. Martin/Creighton-Smith to recess at 7:48 p.m. Voice vote -Ayes: Seven. Motion carried. Martin/Creighton-Smith to resume at 7:53 p.m. Voice vote -Aye: Seven. Motion carried. Resolution approving a Service Contract with Parking-Inc./Keck Parking, of Des Moines, Iowa, in the amount of $10,740.00, for years 1-3, and $11,277.00 for years 4-6, beginning July 1, 2026, in conjunction with the repairs, parts and services required to maintain the Airport parking lot equipment, and authorizing the Mayor to execute said document. Page 16 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Morrow/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-220. Mr. Schmitt requested an overview of the item. Shelia Combs, Airport Business Manager, provided an overview of the item. Resolution approving a Construction -Related Services Agreement with AECOM Technical Services, Inc., of Waterloo, Iowa, in the amount of $195,100.00, in conjunction with the Rehabilitation of Runway 18/36 Inside of Runway 12/30 Safety Area, FAA AIP Project Number 3-19-0094-059-2026, and authorizing the Mayor and City Clerk to execute said document. Morrow/Martin Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-221. Resolution approving a Volunteer Time Off policy for the City of Waterloo Employee Handbook. Creighton-Smith/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-222. Mr. Morrow requested an overview of the item. Dr. Missy Gearhart, Assistant Human Resources Director, provided an overview of the item. Mayor Boesen spoke in support of the agenda item. Resolution approving an Artificial Intelligence (Al) Use Policy for the City of Waterloo Employee Handbook. Creighton-Smith/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-223. Resolution approving an update to the Electronic Usage policy and renaming it Technology and Electronic Communications for the City of Waterloo Employee Handbook. Creighton-Smith/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-224. Resolution approving Terminating the Transforming Gates and Byrnes Parks Designated Funds Agreement with the Waterloo Community Foundation, and authorizing the Mayor and City Clerk to execute said document. Creighton-Smith/Simon Roll Call vote -Ayes: Seven. Motion carried. Resolution adopted and upon approval by Mayor assigned No. 2026-225. Renae Carson, 1108 Vine Street, asked that someone explain what this means. Page 17 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 JB Bolger, Assistant Leisure Services Director, explained that a designated fund agreement had been established by the Waterloo Community Foundation so that donations could be received to help fund the project. He explained that the project is complete, and the donated funds have been exhausted, so this is just to terminate that agreement. LaTonya Graves, 607 E. Donald Street, questioned how maintenance would be funded. JB Bolger explained it would be funded through the operating budget. ORDINANCES Amendment to the City of Waterloo Zoning Ordinance No. 5079 to update terms and regulations as they apply to hobby farms, farm animals, tobacco and vape shops, and other changes. Creighton-Smith/Simon to receive, file and consider and pass for the second time an ordinance amending the City of Waterloo Zoning Ordinance No. 5079 to update terms and regulations as they apply to hobby farms, farm animals, tobacco and vape shops, and other changes. Roll Call vote -Ayes: Four. Nays: Three (Schmitt, Creighton -Smith, Berry). Motion carried. Ed Olthoff, 1225 Downing, commented that two weeks ago, he asked who was on the committee because the committee's opinion was very biased due to the egregious violations of non -legitimate hobby farmers. He further stated that the Planning and Zoning Commission just rubber-stamped the ordinance, and it is not fair to the people who follow the rules and that true hobby farmers should be a part of the committee's review process. He further stated that it should not be tied in with other unrelated ordinance changes and asked that the ordinance be separated. Aaron Stacey Roberts, 411 Almond, commented that he had a goat, cattle and chickens in the past and his granddaughters wanted to have chickens and the city is preventing that based on a few bad actors. Jacob Olthoff, 1332 Knoll Avenue, commented that it is a very noble goal on the part of the Planning and Zoning Commission, council members and others involved, to create a cleaner space where people are not keeping flocks of birds in their backyards. However, this ordinance change does nothing to address the violations. He said that more work needs to be put into this to honor the years of time already spent. He believes that with community input from citizens and good hobby farmers, a solution can be reached that works well for everyone and accomplishes the goal that the council is seeking. He further shared that he believes making laws around deadlines is a bad principle for making laws. Mr. Schmitt questioned if he could make a motion to split the ordinance. Mayor Boesen stated that the ordinance cannot be split. Mr. Schmitt questioned if buyers in the future would be able to be grandfathered, or they would be prohibited. Page 18 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 Aric Schroeder, City Planner, commented on whether new buyers of an existing site would be grandfathered in. He said it would depend on if the original hobby farm was legally operating and if no more than a year had passed since it had been used as a hobby farm. Mr. Schmitt questioned if the ordinance could be voted down and then split. Aric Schroeder commented that if it was voted down, then the ordinance would go back to the Planning and Zoning Commission. Ms. Berry commented that she believes the ordinance should be split and will not support the second reading of the ordinance. She asked if there are currently violators of the hobby farm ordinance. Aric Schroeder confirmed there are hobby farms operating without a special permit and that enforcement is handled by code enforcement. Ms. Creighton -Smith asked if this did not pass tonight, would there be an opportunity to meet with interested parties and current hobby farmers to negotiate terms that are more fair for everyone involved. Aric Schroeder confirmed. Mr. Simon commented that there have been many years of study on this issue and said that the harm or nuisance that hobby farms can create to neighboring homes outweighs the few people that would like to have a hobby farm. Mr. Morrow shared that he looked through the proposal that a citizen provided to the council at the last meeting, and said that what was being proposed would likely not be acceptable to most neighboring homes. Creighton-Smith/Simon to suspend the rules. Roll Call vote -Ayes: Two. Nays: Five (Schmitt, Morrow, Creighton -Smith, Berry, Salamanca). Motion failed. Request by C&S Properties to rezone approximately 0.49 acres from "R-4" Multiple Residence District to "C-2" Commercial District located at 911 South Street and 519 W. 7th Street. Martin/Berry to receive, file, consider, and pass for the third time an ordinance amending Ordinance No. 5079, as amended, City of Waterloo Zoning Ordinance, by amending the Official Zoning Map referred to in Section 10-4-4, by approving a request by C&S Properties to rezone approximately 0.49 acres from "R-4" Multiple Residence District to "C-2" Commercial District located at 911 South Street and 519 W. 7th Street. Roll Call vote -Ayes: Seven. Motion carried. Ordinance adopted and upon approval by Mayor assigned No. 5834. OTHER COUNCIL BUSINESS Motion to reconsider a vote on Resolution No. 2026-190, "Resolution approving Amendment Page 19 of 20 Docusign Envelope ID: 5D1 B7EDD-4172-823F-8093-2B0752AB15D4 No. 3 to a Professional Services Agreement with INVISION Architecture, for an increase of $380,000.00 for the renovation of 100 E. 4th Street for the new Waterloo City Hall, and authorizing the Mayor to execute said document." Morrow/Simon to reconsider a vote on Resolution No. 2026-190, "Resolution approving Amendment No. 3 to a Professional Services Agreement with INVISION Architecture, for an increase of $380,000.00 for the renovation of 100 E. 4th Street for the new Waterloo City Hall, and authorizing the Mayor to execute said document. Voice vote -Ayes: Six. Nays: One (Salamanca). Motion carried. Kelley Felchle, City Clerk, explained that a motion to reconsider provides an opportunity for the council members to take a second look at an item they previously voted down. She further explained that the motion before council tonight is just a vote to reconsider the item, and if it passes, the item will be placed on the next council agenda for consideration. PUBLIC COMMENTS The following individuals commented on various subjects. David Dreyer, 3145 W. 4th Street; Renae Carson, 1108 Vine Street; Beverly Cosby, 315 Wendell Court; Aaron Stacey Roberts, 411 Almond; Teresa Culpepper, 1119 Cottage Grove Avenue Mr. Morrow commented that he appreciates the detail in the council agenda packets. Mr. Martin commented that he also appreciates the amount of information in the agenda packets. Ms. Creighton -Smith commented that they had a wonderful Ward 3 and Ward 4 neighborhood meetings. She further stated that she appreciates the level of information in the agenda packets. Ms. Berry thanked Ms. Carson for starting the conversation that a constituent is proud of the council. Simon/Schmitt to close public comments. Voice vote -Ayes: Seven. Motion carried. ADJOURNMENT Simon/Martin that the council adjourn at 8:43 p.m. Voice vote -Ayes: Seven. Motion carried. p—Signed by: kettelftleilt lice[lieycFefttge City Clerk Page 20 of 20