Council - Regular Meeting

Yeah. Yeah.

It's working.

You're so dedicated, Dan. What?

You're so dedicated.

Thanks, guys.

I'll go home and roll.

I want to see if I can hear sound, so it must be working.

Okay.

All right. Thanks, though.

Thanks for coming. Sorry.

Good evening. I'd like to welcome everyone to the East Dubuque City Council meeting. It is Tuesday, September 8th. I ask that you please turn your cell phones off during the meeting and please be quiet during discussions. Please stand for the Pledge of Allegiance.

I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation, under God, indivisible, with liberty and justice for all.

26-0901, call to order.

Bergmeier.

Here.

Degenhardt. Here. Fleur.

Here.

Meyer.

Here.

Roby. Here. Taylor.

Here.

Mayor Degenman.

Here. Attorney Hess. Here. 26-0902, staff reports. City manager report.

Thank you, Mayor. Indian Hills project is complete, and there is much rejoicing. We walked the site on Friday with engineers from Origin and checked off on everything. If you hear about something, it'll be the pipes sticking up out of the ground. They're waiting for iron caps, and when those come in, they'll cut it to flush with the ground and put the caps on. But until then, they need to be able to identify where they are. So we're through that project. If there's anything in the future that happens, something settles or something, they will go in and fix that. Emergency services building. Finishing has begun on most of the building, so ceiling tiles, some of the flooring. This next week, the arch should be coming in, and when that gets in, they'll be able to put a front door on. When the front door is on, they'll be able to close up the building, which is good because we... Somebody walked on the wet concrete outside the archway, must have been trying to get in the building. And fortunately it was set enough that it didn't cause a depression, just the outline of a foot. So downtown construction, Johnny O Plaza is growing amazingly fast, and we're really excited about the opportunity for that investment to bring three new businesses and new jobs to East Dubuque. And so we really appreciate the investment they're making there. We'll talk later about the River Ridge Estates, where we've taken up the TIF agreement for the largest housing development in many decades in East Dubuque. And so we're excited to see it moving forward. This is an opportunity to grow population. grow property values, and really improve the image of the city as a place to live, to bring business, to bring investment, and to invest in new developments here. So we're excited about that. And that leads to my next point. It's really time to start talking up East Dubuque, I think. There's so many things going on, and there's so many people who are excited to see it that just encourage people not to keep it to yourself. but to talk to other people about what we're doing here in East of Uke and how excited we are. If we don't let them know we're excited, they're not going to know it, and we're not going to get all the benefit we could from the growth. Next week, we'll have the first of two public meetings on the Third Street Channel project. That's rebuilding the ditch at Third Street. We are going after a state grant for those funds. I can't tell you what the chances are of getting the grant. You never know until you get the application in, but our chances will be improved by the more people from the public that get involved. and come down, so next Thursday at 5.30 will be the first meeting. It'll be on Third Street between Menominee and DeSoto, and that'll be an opportunity for people to actually see the issues there, the sinkholes in Third Street, the sinkholes under the sidewalk, the retaining wall that's ready to collapse, and then our engineer who's designing the project will be there to talk about phase one of the project. Phase one is a new retaining wall that'll be put in further back so that we increase the capacity of the ditch. By increasing the capacity of the ditch and increasing the ability of the pumps at the end to clear water, we will make the flats on the downtown safer from flooding. We'll also divert more stormwater, be able to divert more stormwater toward the channel and away from 6th Street. And so it's an important project for the city, and we're hopeful on being able to get some state funding. 530 next Thursday and then the following Monday before the council meeting we'll have a hearing and so Those two are both designed to inform the public to to build The demonstration of support that we need for this and to get all the points possible in the application process So that's my report

Thank you. I just have a couple things this evening. A reminder that this Friday is the Homecoming Parade downtown here. Starts at 3.30 p.m. And then a couple weeks ago, the city was presented a plaque from Joe Carroll Energy. Real nice plaque. It says, Connected Community Powered by JCE Co-op and Fiber. Presented to the city of East Dubuque. Certified by Fiber Homes and Livability, very nice plaque. So thank you, Joe Carroll. That's all I have this evening. Alderperson report, Bergmeier? Nothing report, Mayor. Thank you. Degenhardt?

Hey, I got something I want to bring up, Mayor. The flowers in this town look absolutely beautiful this time of the year yet, and I think we've got to do something for Lee Bird. She's out there every day taking care of them all over the whole Main Street. Yeah, they do look nice.

Okay, thank you.

Blewer? Nothing. Thank you. Meyer? I don't have anything tonight. Thank you. Roby?

Nothing, Mayor.

Thank you. Taylor? Nothing tonight. Thank you. Moving forward, City Attorney Hess?

Nothing to report, Mayor.

Thank you. Police Chief Kovacic? Nothing, Mayor. Thank you. Public Works Director Van Ostrand? Thank you. Moving forward, 26-0903, speakers from the floor. We have none noted this evening. 26-0904, consent agenda. Still moved. Second. Roll call.

Bergmeier.

Aye.

Degenhardt.

Aye.

Fleur.

Aye.

Meyer. Aye. Roby. Aye. Taylor.

Aye.

New Business 26-0905, Presentation and Discussion with Greater Dubuque Development.

Good evening, Mayor, Council, City Manager Seitz. Thanks for having me tonight. My name is Jason White. I serve as the President and CEO of the Greater Dubuque Development Corporation. I took that role in January, January 12th, 2026, when Rick Dickinson, who was previously in this role for 30 years, retired. And so I'm not a newcomer to the area, however. I moved back here with my family in 2021 and grew up just south of Dyersville. And I went to Loras College in Dubuque and graduated in 1999. So coming back here in 2021 and seeing East Dubuque, I appreciated the, felt the enthusiasm and the positivity for East Dubuque, because it's definitely a much different community today. So credit to all of you and others in the community. We work with a lot of people, businesses every day, and we have business leaders that live here, and we have a former member of our team, Rob Apple, who lives here and loves the community, and a lot of community pride here. So I give you a lot of credit for that. And I know you, as we were talking earlier, you have a big housing project coming up. And right after this, I'm going to the city of Dubuque because they're going to talk about housing incentives and any changes they might look to make to that. So the question you might have is, why am I here tonight? I'm here to not ask for anything, but just to be a good neighbor, a good partner, and just express that I'm very willing to partner and work with the city of East Dubuque on anything that relates to competing for people, competing for business, and competing for jobs. And I think that's what we're all about as an organization, is to raise that level of so that we can be the most economically vital region in the country. And obviously you need people, you need workers, you need jobs, and you need businesses producing those jobs. So we have a strong relationship with David Schmidt. I told him I was coming here tonight, who serves as a leader of the Northwest Illinois Economic Development Council. So I actually invited him to join me tonight if he was able. He and I are part of a group called the Tri-State Economic Development Practitioners, which started up when I arrived in 2021. And I think we're basically a voluntary group of economic development practitioners that meets every quarter to talk about how we can work together on different ways to grow our region. So our board of directors has really challenged us to look at our region from our labor shed area where our workers come from, which is about a seven to eight county area. So about five to six counties in Iowa, Grant County, Wisconsin, Lafayette County, Wisconsin, and Joe Davies, Illinois. We're kind of coming together more and more to look at ways that we can promote growth, the way we can promote interest to people that maybe could bring more business and jobs to our community and our region, and the inherent uniqueness and the assets that we bring to the table when it comes to trying to appeal to businesses looking for a home. I have a really good team. We have a great team, in fact. So fortunately, when I took over in January, everybody stayed on board. Nobody bailed. So we have people who have been with our organization a long time, like Karen Kleesner, who's our director of operations, and Anna Rowling, our executive assistant. kind of our quality control team. I say that because we just had our audit, got a clean bill of health in our audit today. And then Dan McDonald, who's a name that many of you might know. He's our director of existing business, and he's been meeting with business leaders one-on-one for 25 years. So he's got relationships throughout the tri-state area. What I handed out to you is our existing business info action report that we call. So our call program with existing businesses, we call it info action because we meet with businesses, gather information, and act upon it. So no issue is too small for us to act on if it annoys and keeps our business owner up at night. We aim to follow up on it, whether it's a regulatory issue, state or county, state government, workforce issue, project expansion, et cetera. We want to be on the call for that. So we have a real luxury with Dan as a part of our team. Part of our InfoAction program also entails meeting with a handful of employers in East Dubuque. So annually we have met with East Dubuque Nitrogen, Lang Sign, Selco, Top Block, Logistics Park, which obviously is now under new ownership. from Travero to new owners now, I think Logistec, if I'm saying that correctly, is the new owner. And then Crescent Electric as well. That's another one we meet with from time to time. And Rundy Auto we've also met with from time to time. So six of those employers are represented as part of that InfoAction report. Additionally, Nick Hockenberry, and I'm going to have Nick and Dan's cards. I'm going to leave here today. So Dan, while he's our director of existing business, Nick Hockenberry is our director of regional development. So with me assuming my new role, previously I was very involved in engaging stakeholders throughout the tri-state area. Nick is taking on that role more and more. So Feel free to call him if there's anything that we can do to partner with you or anything that you're working on. Mandy Dolson is our Director of Workforce Solutions. So she does a lot with our job board, access2bukejobs.com, which allows employers in our market to list their jobs. So we have about 160 to 180 employers that list jobs in that site. It's the premier job board in our market. She also manages newcomer programs, such as our Distinctively Dubuque five-week program for newcomers to the area to learn about what it's like to be a Dubuquer. Also community tours. So we give community tours to people who are relocating or interested in relocating to our market. And we also have a relocation guide for people who are interested to to learn more about what it's like to move to the region. We recently won awards for our relocation program and also our newcomer program, both from the International Economic Development Council and the Mid-American Economic Development Council. So some proven tried and true tools to attract population to our market. Jenny Peterson-Brandt is our director of communications. So anything that you see from social media to that annual report that I handed out and also the info action summary, she has a hand in. And then Dave Lyons is our consultant that helps us on strategic initiatives. So things like childcare, housing, housing, renewable energy, broadband. He's kind of the guy that's been our outside the box innovator in addressing a lot of different things. And he's a good asset for us to have as a former director of the Iowa Department of Economic Development. So all in all, like I said, just wanted to introduce you to me, our organization. let you know that we're a willing partner across from the other side of the Mississippi. We have a 46-member board of directors, and we have a 19-member executive committee, so board engagement and management is certainly a premium for us with all those different voices around the table, but we have a lot of stakeholders in this business, so we aim to be very connected to our community and to our region. I'm just going to stop there see if you have any questions and just you know thank you for allowing me the opportunity to be here tonight any questions thank you all right yeah thank you thank you everybody

All right, moving forward, 26-0906, discussion and possible action to approve 2026 employee handbook in the city of East Dubuque.

So this is a project we had going for a bit and with new employees coming on board in the near future, particularly Public Works at this point, thought it'd be good to update the handbook. This is based on, I think I handed out a draft two meetings ago, and then for this last meeting, we sent out this quote-unquote final version. And we start with the IML example that they send out. And so virtually all of this, except for a few tweaks that are... that relate to us directly. But most all of this is from that example. If I had written it, it would be probably four pages. And when they did it, it's like 50. But as I went through it, if it was something that is in the law and had to be followed, I thought it didn't hurt to have it in the handbook also, even if it's something that really doesn't occur with us with any regularity. That was the gist of it. I was able to shorten it a little bit, took out some redundancy that was in there, but aside from that, I think it does the job for us. I think it could do the job if it was a quarter as long as it is, too.

So in this, the FMLA on page 114.1, It states in here certain employees may be eligible to take job-protected leave for up to six weeks. That should be 26 weeks.

Okay.

It should state it's an unpaid leave, which is not stated in here.

I... Okay. I'll check the... Statute. Because, yeah, I deferred to their lawyer, but we're going to check the statute on that. The other thing I should mention is that there's a statement in here that anything in here is superseded by... statute or code or the union contract.

I understand that. I'm not arguing with them, I'm just saying. I just think we should, so the employees know, especially the FMLA, that's a big deal because that's federal law. I think it should be stated properly.

What I don't know is that there's stuff in the FMLA that has to do with the size of the employer. So that's what I'll check on.

Yeah, it's the employees.

Yeah, and we're, yeah.

We're smaller than that. Yeah. But I still think it's 26 weeks, if I'm not mistaken. Okay, we'll check. I could be, but.

Oops, we're checking.

I don't know why we would, because we're smaller, only give six weeks compared to this.

Well, I'm saying the law is looser for smaller employers, so that's what I'll check on. But whatever the standard is for us, we'll put in here.

And I didn't know they stipulate regulations on what you qualify for, and we only have three, and there's more than three. And that's under qualifying reasons for FMLA leave. And I realize, but They can go back to code and check it and to the law, but how many employees are going to do that? They're going to go by what we have written in our employee handbook. And then I had a question on page 5, 2.7. We have that you have to within one week. Let me find it here. Current personal information including address, phone number, dependent, spouse's name, next of kin. What do we mean by next of kin?

That's usually if something bad happens.

We also have emergency. Do we not have emergency contacts?

What page are you on?

It's on page 5, 2.6. And these are only a few of the things I found.

Okay.

So I'm just wondering, can we table this until we get some corrections made to it?

Sure.

So if nobody else, anybody else have any questions?

I'll make a motion to table it.

I'll second.

All right. We've got a motion to table and a second. Okay. Roll call.

Dagenhart. Aye. Fleur.

Aye.

Meyer.

Aye.

Roby. Aye. Taylor.

Aye.

Bergmeyer.

Aye. Can we ask that everybody get comments in in the next week so that we can prepare a draft for the next meeting?

I didn't get the email, remember? I wasn't getting emails. Oh. That's why I didn't.

No, no, I'm not saying. I'm just saying if we're going to move ahead with it in the next meeting. Okay. If we could have that by Monday for any comments.

So did we do everything through the FMLA the way they had that laid out for your ordinance? Is that what we did?

Yeah, that was theirs. Yep.

All right, moving forward. 26-0907, discussion and possible action to approve East Dubuque Alliance Club to hold Candy Days on Friday, October 9th, 2025, from 2 p.m. till 6 p.m. and Saturday, October 10th, 2026, from 8 a.m. till 12 p.m. at Wisconsin Avenue and Cincinnati Avenue, Wall Street intersection in the city of East Dubuque.

Good group, good candy.

So moved, Mayor. I'll second that. I also want to say thank you to the Lange Signs for purchasing all the candy for it.

All right, we have a motion to second. Roll call.

Floor.

Aye.

Meyer.

Aye.

Roby. Aye. Taylor.

Aye.

Bergmeyer.

Aye.

Degenhardt.

26-0908, discussion of possible action to approve lead service line inventory grant C17-8126, request number one, in the amount of $15,000 in the City of East Dubuque.

Oh, this is the next step in the never-ending process of trying to find lead service lines in the city. And as you recall, we had a grant last year and sought all the ones that we could find a vet. We found that there were lot that were essentially erroneous because they were galvanized through the wall but then they were copper after the wall and since then we have come across some other lead lines At some point, they're gonna become our liability, so this is a grant we'll take as far as we can to check as many places in as common sense a way as we can to try to identify if not the exact locations of them, then what areas they're in. So we will try to bracket areas where we think they might be. Michael has looked into this based on the age of the development, other lions we found in the area and things like that to try to give us the most likely areas and we'll bracket those and go after them. Tony, do you have anything?

So this is a separate grant from what we had before?

This grant is just to look for more lead lions.

Sorry, didn't mean to bring that up.

Any questions or discussion? If not, we need a motion to approve. I'll make a motion to approve.

I'll second.

Roll call.

Meyer.

Aye.

Roby. Aye. Taylor. Aye. Bergmeyer.

Aye.

Degenhardt.

Aye.

Fleur. Aye.

I should add that the situation on Hill Street, I should have brought that up in my report, that that was not our thing. That was a sewer plank extension lateral coming out from a home that ended up dinking our water system.

26-0909, discussion and possible action to approve an ordinance approving a redevelopment agreement between the City of East Dubuque and Chet Ellis Construction Incorporated in the City of East Dubuque.

Okay, as everybody remembers... We've been talking about this project for quite a while. And so I'll kind of walk through the agreement, why it's important, and what's really exciting about it, which is the first major housing development, I think, in this city in decades, and the opportunity to bring a lot of value to the city. So... There we go. So why is it big news for East Dubuque? It's an opportunity to reverse population loss, which has happened, I think, the last three censuses, with over 70 people projected to come into the subdivision. That equates to about 5% growth for the city of East Dubuque, just to put it in context for you. An increase in property values, we'll go through the numbers, but I'm conservatively projecting at full construction over $12 million in value from this development. That is important because it spreads the tax burden for existing residents over more value and more people. which has a good impact on property taxes. Again, to put that in context of the city, that would equate to a 9% increase in the equalized value of the city. So that's a significant number to spread those taxes over. It represents population infill, which is the idea that it's more important to have development near the core of your city than outside. In this case, right here, right by the downtown area of the city. generally means more business for our businesses. New homes help to maintain school attendance. It's a big issue right now in the public schools trying to maintain their numbers as the population of younger people goes down. Our schools did a good job of maintaining, but this could have a good impact both in terms of families that live there, but also we hear from a lot of people that want a smaller retirement place that's accessible and they could build that up here, which means then their larger home might become available for a family. spreads the sewer and water cost by using more of our available capacity. So we have a lot of capacity in our water and sewer system and so anything we do to use that capacity is helpful to everybody else. Potential return on investment, by the numbers I'll go through, looks like under six years to get the investment back from the, of TIF dollars. So the TIF dollars coming in would get paid back within that timeframe. It's no risk to the city in terms of the dollars because all the payments are made after performance. So there's no opportunity for a developer to receive a grant and then not do the work that they had promised to do with it. Any reimbursement comes after they have laid out their money and they have taken their risk. It improves the water and the stormwater services for the existing neighborhood up on Peach and Apple and all in that area up there because there will be a new six-inch water main coming up from Wisconsin Avenue. The new standard for new construction or if you rebuild your system is at least six inch water mains up there. Everything is four inch. This is better for fire protection and will be required in any upgrades we make to our system. One of the major costs in fixing the water system, renewing it up there, would be getting the water up to there. But also, and we'll go into this more later, but it gives us redundancy in our system. It replaces a failed stormwater culvert. That's an expense that we would have whether or not the construction happened up there. Now we can do that more efficiently. And it constructs stormwater retention ponds, which should work to reduce the intensity of flood events in the downtown coming down Wisconsin. So again, no funds are paid out until after the work is completed to our satisfaction. This is how the incentive plan we've developed works. All reimbursements are based on the actual infrastructure cost paid by the developer. So it's a reimbursement that is of a portion of the infrastructure that they paid. That's infrastructure being roads, sewers, water, storm sewer, gas, electric, all those things. And our investment is locked in regardless of the actual cost to the developer. So we have estimated costs for different parts of that project. We know kind of how much it costs to put in water, how much it costs to put in a road. If it ends up costing more than that, we're locked in on what we're paying. The additional costs are borne by the developer. There are no reimbursements on the construction of homes, duplexes, or condominiums. The law does not allow new buildings to receive TIF dollars for their construction, new private buildings, government buildings they'll take. And so all of the reimbursement is based on the infrastructure that's put in place, which is important because that infrastructure improves the value of up there even if, even before there's a home built. some of the payments for the infrastructure are going to be withheld until the developer succeeds in building the homes. So that's where the incentives start to come in. I think we've all seen industrial parks or subdivisions where somebody has, the government has thought, What a great idea to put a subdivision here and then a road is put in and all it is is weeds because that's as far as things got. So what we're doing is withholding a significant amount of the reimbursement for the infrastructure until performance is made on building the homes, duplexes and condominiums. So the goal is to incentivize the building of new homes by holding payments until those homes are built. So why are we doing it? Well, as I said, a lot of cities attract a developer. They move fast to put in the road, and then things slow down. So what you'll see is if he doesn't keep going hard, he's going to start losing money. We want to ensure the developer has to keep working hard or lose potential incentives. So the onsite, the incentives are split into three different categories basically. There's the water and the storm water being run up to the property. So that's what we talked about, the six inch water main going up there, which will be connected both to the development and to our existing development at Peach Street. Storm water, that's the broken storm water line. Because they're going up the hill with the water line, it is much more efficient to just put in the stormwater line at the same time they're going through. So we would have to replace that stormwater pipe because we really don't know what's going on underground with all that water rushing through every time there's a storm. And so that's the one phase. Next is the infrastructure gets put in, water, sewer, storm water, gas, electric, road, et cetera, and all that has to be in place for every lot built to our standard before any of the dollars reimbursement for the onsite part of the project go out the door. So he bears all the cost of that, we reimburse it after. Then one of our real emphasis that we've made, the mayor and I has been on emphasizing the condominiums. These would be overlooking the river and Dubuque and we want those, those are gonna be the highest value units. So we have attached more of the incentive to those in the hopes that those get built quickly and are a high priority. Beyond them, the completion of each house also gets an incentive. But I'm gonna say again, none of these incentives are based on the house or the condominium. They are just paid out at the time that those are done in order to incentivize the construction. This was something that was suggested to us by our TIF council, that we not just reimburse the infrastructure immediately after the infrastructure is put in, but that we keep some of it and pay it out to ensure that the process moves along. So, continual incentives leads to continual progress. So, that's why we're doing it that way. So why are we paying a higher percentage for water and stormwater work? So we talked about some of this, the six inch water main coming up the hill, because everything up there right now is four inch. It'll have a pressure reducing valve, which is a major expense, and that'll serve everyone, both in the development and in the current development. And that six inch is required for fire protection. Going forward, also we'll have hydrant there at Peach Street, which will have the six inch mains. We'll have higher capacity there for fire service. The new water main will serve the development. It'll also improve service for current residents. So one of the problems we've had, and I think everybody has seen this, If we have water main break in a certain area, we have no way to get the water, no redundant means of getting the water to residents in a whole big part of the city because of the system we have. By this, the water comes in from both ends of the existing development up there, so the homes on the hill. And so if there's a break, we have a better opportunity to be able to bring water from the other direction and continue to serve residents the vast majority of people while a water main is being addressed. Or if we are replacing a water main, the service interruption shouldn't be as long if we've got other alternatives to bring the water through. So this prepares us for future upgrades. A major part of the cost of replacing the four-inch mains in the existing development up there is getting the water up there in the first place. And so this will put the water in the six-inch main right where it needs to be. On the storm sewer side, in developing the storm sewer plan, which is a plan that's designed to make sure that flooding downstream, downhill from the development isn't worse because of the development. They're required to make it better or at least no worse. And so in doing that, we ran a camera down the 18 inch culvert, found that that culvert was broken. And as I say, that's something that has to be replaced immediately. And so we would have to replace it whether or not the development was happening. But because it serves both a new development and runs parallel to the water main, we have an opportunity here to do it in a much more efficient way. And so we're reversing the cost of the pipe even though he's installing it. The pipe will connect from Peach Street to the retention pond that he will be putting at the top of the hill and then from there down the hill to the ditch. So our water from the existing development in addition to the water from the new development will come into the retention pond which should slow the water and in the cases of the deluges we've had in recent years should give us a much better chance to avoid flooding and those kind of extreme events downhill. So... So these are my estimates on the numbers. I tried to be conservative in going through them. So the development we'll have up there, the homes, single family, duplex, and condo. The numbers, as they stand right now, there are 21 home lots. 18 of them are sized for an individual home. Three of them are sized for a duplex. And then we have the condos, and that is a large lot in the front of the development overlooking the river and the city. And everybody remembers the sign up there. That'll be where those would be. So I'll run through the math on the top line just to show how we came to the numbers we've got. So estimating the cost of an individual home at $350,000 I'm told by people in the business that that's pretty conservative. Illinois takes a third of the value of the property for the assessed value. So that's a third of that. Then each person gets a $6,000 exemption. which makes the taxable value that 110. There's the tax rate applied to homes, so that's the tax bill on a $350,000 home. If you multiply that times the 18, TIF revenue at full construction is the 139,000. The full value of 18 homes at $350,000 is $6.3 million, so about half the value of the project. So that goes through duplexes. I estimated 400,000. If a home is 350, doubling it in a duplex, that's probably very conservative for the 400,000. And the condos, I estimate at 900,000, which I also think is conservative. The math works the same going all the way through. That yields of tax revenue increase, or tax revenue, 267,000. and then we take the current value of the lot, which is basically farmland, and run that through, and that is $18,000. We take that off of this, so this gives us the increase in tax revenue from the development. fully implemented. Does that make sense? So we take that number and we bring it down here. We offset it against the entire TIF reimbursement. And then just by virtue of having the road and all the sewer and water and all the other infrastructure in place and having building lots, you take that farmland value and you greatly increase it, even if it doesn't have a house on it. So we're estimating that a quarter of the value in just being that lot. So 62,000, somebody could argue with me about that, but it's not gonna be a huge difference from that, I don't think. Year one, you had no construction, and so the TIF amount is reduced by that. We're saying year two, 25%, then 35%, then 40, 60, 80, and 100. So at that rate, and we'll see in the incentives why the developer should want to move at a speed like that. in order to get the dollars or the vast majority of the dollars that we're putting up. So at that point we hit that break even about year six. So that's a pretty good return on our investment. This is the proposed agreement that's been worked out with the developer. So These top two are primarily benefits, so the storm sewer, that's a cost that would be completely ours if there wasn't a development, and it would cost significantly more because we would have to go through there by ourselves without any other, without what they call the cost of mobilization, the cost of Getting in there, doing the work, getting there to do the work is major when you're climbing a hill like this. So the water main extension. we would reimburse 75% of the cost of that developer bears 25%. Again, the risk is on the developer side. So that's the offsite portion of it and the portion that has the greatest benefit to the city with or without this development. Then upon completion of the complete development, of the infrastructure for the whole development, so the roads, sewer, water, all those things, he would be eligible at that time when when he's shown that he's met our standard, he'd be eligible for $500,000. His total cost is between 2.3 and 2.5 without most of this. And so he would receive a reimbursement of that. Then all the rest of the incentive comes based on completion of the buildings. So again, it's not paying a reimbursement on the cost of the building, it's a reimbursement on the infrastructure, but he doesn't get his money until the houses and the condos start going up. So he completes the three condos in three years, which would be nine units of condos, and he's eligible for the 225. Every time he completes a home, he's eligible for 7,500 against that initial infrastructure investment. So then we come down here. The home and the condo reimbursement, so whatever he builds in the first three years, so 27, 28, and 29, he gets the full amount of the reimbursement. 2030 it drops to two-thirds of that and then 2031 drops to one-third and if he hasn't built it by then he gets nothing for that of these portions. So that's the maximum the number could be and frankly if If he got 100% of this built in three years, I think we'd be ecstatic to be able to pay the full incentive. So the odds are, though, that that's a pretty tight timeline to be able to sell and build that many homes. And so the actual incentive that goes out to him probably goes down from that level. and drops by the thirds going forward. So does that make sense? Okay. So here's the map. So this is about the most you've heard me... talk outside of budget time. So that is the complete presentation. We've got the agreement that's been drafted by our TIF attorney. As I say, the idea of doing the incentives came from our TIF attorney and the agreement spells out basically everything I just went over here.

I think, you know, looking at this whole project and you look at some of the other communities you know, in the surrounding areas, we're getting a heck of a development without getting in the real estate business. I mean, you look at some communities where they go out, they buy a piece of ground, they put in the infrastructure, and they're selling lots. You know, this thing went off exactly how we intended it to back in, we did the development summit in February of 25, you know, where we were trying to connect the property owners with developers and seeing if we could make something happen. And, you know, through the whole process, it's coming to fruition just the way it intended to. You know, we're not in the real estate business. We're going to have a great development. We're growing our city. You know, I mean, right now, you look at this and look what's going on downtown, things are rolling. You know, and there are other opportunities, you know, within the city. We have both... residential and commercial opportunities besides this available. So this is just a step in the grand scheme of things. What kind of questions do we have? I'm sure we have questions, discussion.

Is he going to... Do one or the other or both? Is he just going to sell the pieces of property and you built your house or he's going to build the house and then sell the house?

That's a good question. He is both, you'll both develop the infrastructure and build the homes.

So if you wanted to buy the lot and build your own, you could do that?

No, that's not his model, I don't think. I don't know if it can't be done, but That's, as I understand it, his model is to build the homes himself.

When does our downtown TIF agreement, I know I've asked this before and I don't remember, does that end in 2020?

2031. So, yeah, it goes through 2031, which, by the way, the law works. I won't go into it, but yeah, it's 2031.

For extension, I was thinking it was 2030, so it's 2031.

It says 2030, but because it runs through the next...

Through the next year.

Simply put, it went through the next year. So I asked the lawyer the same question.

Does he want to see us have to pay a third of that out of our general?

There's actually a provision that if we don't have the money, that, you know, if it was anything that's after the TIF ends, we're not liable for.

Okay.

That's in the agreement.

Any other questions or discussion? If not, we need a motion to approve. I'll make a motion to approve. I'll second. Roll call.

Roby. Aye. Taylor. Aye. Bergmeyer.

Aye.

Dagenhart.

Aye.

Fleur.

Aye.

Meyer.

Aye.

Moving forward, 26-0910, discussion and possible action to approve commercial facade improvement award to the new going east in the city of East Dubuque.

So this is a small award under the FASAD program to replace the sign that was at the bar, whose name will be not mentioned here tonight. And we're really excited that... That building didn't stay empty. We've got development there and investment going on there. And I'm happy that we're working with them on putting a sign up. $1,600 is our portion.

I make a motion to approve it.

I'll second.

Roll call.

Taylor.

Aye.

Bergmeyer.

Aye. Dagenhart. Aye.

Fleur. Aye. Aye. Meyer?

Aye. Roby? Aye. 26-0911, discussion and possible action to approve final plat acceptance certificate for Chad Ellis Construction, LLC, River Ridge Estates.

So this is just the map that we've all seen a hundred times. and approval of that plat. We have gone back and forth taking it from MSA that designed it for Chad Ellis and then we submitted that to our engineers at Origin and they've gone through it and they agreed that it meets our code and meets all of our standards and all the state code and so this is, I put forward the map.

Any questions or discussion? If not, we need a motion to approve. I'll make a motion to approve.

I'll second.

Roll call.

Erdmeyer. Aye. Dagenhart. Aye. Fleur. Aye. Meyer. Aye. Roby. Aye. Taylor.

Aye. 26-0912, Executive Session. For litigation, personnel matters, and collective negotiating matters. We need a motion to go into executive session. I'll second. Roll call.

Dagenhart.

Aye.

Luehr. Aye. Meyer. Aye. Roby. Aye. Taylor. Aye. Bergmeier.

Aye.

Thank you.

All right, there is no action coming out of executive session this evening, so we'll move forward. 26-0914, we need a motion to adjourn. We'll move. Second. Roll call.

Meyer.

Aye.

Roby. Aye. Taylor.

Aye.

Bergmeyer.

Aye.

Dagenhart. Aye. Floor.

Aye. We are adjourned.