Moline Committee-of-the-Whole/City Council Meeting - August 14, 2024

An agenda dated Tuesday, August 13, 2024, at 6:00 PM, was provided, while the meeting metadata/instruction states the meeting took place on August 14, 2024, at 12:00 UTC. The transcript begins with a 6:00 PM call to order, so the local time in the transcript conflicts with the date metadata. This summary uses the instructed date of August 14, 2024. Minutes were not provided, and the supplied transcript does not capture consent-calendar or non-consent votes; it covers a housing presentation, a water-capacity and water-sales discussion, public comment, staff updates, and a motion to enter executive session.

Housing Presentation and Discussion

• City staff presented a series of housing projects, including 32 market-rate workforce apartments at 17th Street and 5th Avenue, with a hoped-for groundbreaking in January 2025.
• They also described 40 market-rate apartments in the former downtown dispatch buildings - 4 studios, 22 one-bedrooms, and 14 two-bedrooms - expected to begin next spring. On the same block as the 32-unit project, this would create about 72 total units.
• Staff described a proposed Moline Housing Authority development of five fourplexes, with a community building and community garden and a location to be announced later in the year, as well as another downtown new-construction project of 51 market-rate units that was not yet ready to be announced.
• On rental housing, staff reported nearly 1,800 rental licenses issued, cited as August 19 data; 687 properties rated A, 295 rated B, and 35 rated C. About 14 C-rated properties had seen their identified issues remedied. The first 20 nonpaying landlords taken toward court all paid before court proceedings, and the next group of 20 was being processed.
• Staff said the accessory dwelling unit ordinance passed in spring 2024, but no ADU applications had been received.
• The presenters cited a 2020 DeSalvo study showing demand for 384 market-rate downtown units within five years. The downtown riverfront/center-building plan, assisted by consultant MKSK, envisions about 14 developable acres, roughly 300 near-term units, and a possible 500-600 units long term, with floodplain portions reserved for open space.
• Community development staff summarized CDBG/IDA-funded programs: 8 houses demolished in the last eight months; 870 code-enforcement cases in the last year; down-payment assistance up to $7,100; homeless-prevention help including an ARPA-funded emergency program and Salvation Army-facilitated assistance of up to three months; and rehab assistance between $15,000 and $60,000. Staff said they knew of no participating housing units accepting Section 8 vouchers.
• Details on homebuyer assistance included a required minimum $1,000 buyer contribution, an 8-hour class, debt-ratio limits, and no cash back at closing. CDBG programs are generally 80% of area median income, IDA homebuyer assistance can go up to 150% AMI, and the IDA program’s Rock Island County purchase-price cap is $148,000, which had caused some applicants to be turned down. Staff estimated about 25-30 homes had been purchased through the down-payment program in the past 12 months.

Council Positions on Housing

• Several council members expressed support for more diverse housing options, including “missing middle” housing, density, senior housing, and higher-end housing for residents moving up economically.
• One council member voiced concern about new development at Case Creek, citing sprawl, future road replacement, police/fire service needs, and garbage route costs. Other council members saw Case Creek as a way to provide larger-lot and higher-end housing, and one said the city should offer housing choices across different neighborhoods.
• Council members discussed why infill lots remain undeveloped, with observations that builders often prefer larger, more profitable homes; staff noted possible tools such as property tax rebates and ongoing outreach to developers.
• Staff said the next comprehensive plan, with year-long workshops beginning next year, will examine zoning changes to allow more missing-middle and higher-density housing.

Water System Capacity and Water Sales Discussion

• Utilities staff said the city draws from the Mississippi River, the treatment plant has a permitted production capacity of 12 million gallons per day, and the maximum one-day production in the last five years was 7.6 million gallons per day, leaving surplus capacity. Per-capita water use is declining.
• Existing and potential relationships discussed included: Silvis currently buying about 410,000 gallons per day wholesale and considering expansion to about 750,000 gallons per day; Milan expressing interest at about 500,000 gallons per day, with talks expected late this year or next year; the Rock Island Arsenal’s aging treatment plant as a possible future need; and Coal Valley’s existing wastewater connection and interest in water. Colona was described as not a major water-sale prospect, but Moline operates Colona’s wastewater plant and provides certified operators.
• Staff noted that older annexation/boundary agreements with Milan and Coal Valley are more than 21 years old and likely no longer binding, while an active boundary agreement exists with Silvis.
• Staff contrasted wholesale water sales - metered at the border, with the buying community maintaining its own system - with retail water sales - metered inside homes and businesses, which would generally produce lower billable volume but could require Moline to take on maintenance, staffing, and system responsibilities.
• Many council members favored the wholesale model. They expressed opposition or caution toward retail arrangements, saying retail could lead to a regional utility, reduce local control, add staffing and maintenance costs, and create difficult exit scenarios. One council member cited past negative regional experiences involving recycling and Rock Island debt, saying they would prefer Moline be the regional supplier rather than join a regional authority. Another council member said negotiations with neighboring communities should be handled by staff, rather than raised publicly by another community’s elected official.
• Staff said any new water sale would require an engineering assessment, validation of connection points, and a decision about who pays for the assessment. A staff matrix indicated that even if all discussed opportunities were pursued, roughly 8 million gallons per day could remain as reserve.

Public Comments

• A public commenter alleged misconduct by certain city managers, said hard-working city employees want change, and referenced the commenter’s brother, Jared Gonzalez, a former city employee who ran a mowing crew and was let go. The commenter also alleged that named employees came to work hung over or drunk and that one made racist content, and asked why nothing had been done.
• The presiding officer responded that commenters had been told about the city’s personnel process, that the process is in place, and that personnel matters would not be discussed in that setting.

Miscellaneous Business and Staff Updates

• The mayor/administrator shared Trust for Public Land research describing parks as a “hidden economic engine,” connecting it to ongoing economic development discussions.
• Staff announced a HUD/CDBG 50th anniversary celebration on Thursday, 1:15-2:15 p.m., with a proclamation and a request for council members to attend. The speaker cited approximately $41 million in CDBG assistance for Moline and about $175 million regionally.
• The police chief reported that Department of Justice, Bureau of Justice Assistance, and Project Safe Neighborhoods reviewers had completed a two-day functional assessment of the police department. Reviewers were impressed, especially with the school resource officer program, and a report is expected.
• The comprehensive plan consultant had held about seven events with strong turnout; more than 300 people participated in surveys, and a final report may come in mid-November or early December.
• Staff reported that MetroNet construction is expected to be completed by the end of October, with monthly meetings continuing until then.
• Council members thanked public works for a quick road repair, noted the local McDonald’s ribbon cutting, and encouraged patronage of the newly reopened Moline theater.

Executive Session

• At the end of the transcribed meeting, council moved and voted by roll call to enter executive session to discuss personnel matters under 5 ILCS 120/2(c)(1), the exception for appointment, employment, compensation, discipline, performance, or dismissal of specific employees.

Key Outcomes

• No formal votes on the published consent or non-consent agenda items appear in the supplied transcript.
• Council direction generally supported continuing wholesale water arrangements and expressed caution or opposition to retail water sales.
• Council voted to enter executive session on personnel matters; no further public action after that vote is captured in the transcript.
• Next steps include continued rental-inspection enforcement and developer outreach; comprehensive plan workshops next year; engineering and connection-point assessment before any new water-sale agreement; the pending DOJ report; and MetroNet completion by the end of October.