Council Bluffs approves voluntary annexation for rail-served industrial site after debate with Mills County

The City Council of Council Bluffs on April 7 approved a voluntary annexation of roughly 473 acres extending south from the current city limits along South 190th Street and the Burlington Northern Santa Fe railroad right of way toward Bunge Avenue after a public hearing and discussion with representatives of Mills County.

The annexation is intended to clear the way for a rail-served industrial project city officials said could bring large investment and hundreds of jobs to the region. Mayor Matt Walsh said the city expects the prospect to bring property tax revenue and employment and described it as a “win win win for Mills County, Council Bluffs, residents of Mills County, residents of Council Bluffs.”

The issue drew substantive opposition from Mills County officials and nearby property owners at the hearing. Jack Sayers, a Mills County supervisor, told the council his board voted against the annexation because the city’s legal description initially did not extend to the center line of Bunge Avenue and because the county was not assured of a maintenance agreement for that road. “What we really wanted is if you folks were to annex to the center line … we could come up with some sort of formal agreement,” Sayers said. He argued that without that agreement the county would bear potentially large maintenance costs on a road already used by heavy traffic.

Council staff responded that the city reviewed the legal description with its attorneys and will amend the annexation so it goes to the center line of Bunge Avenue to comply with rules administered by the State’s City Development Board. Courtney (staff), the community development director, said, “we will be going to the center line of Bunge Avenue.” City officials also said the city and counties will negotiate longer-term maintenance agreements (described as 28-year or similar intergovernmental/maintenance agreements) and that public works departments would work out 80/20 maintenance splits where appropriate.

Speakers at the hearing flagged traffic and safety on Bunge Avenue, snow-plowing responsibilities for roads that cross jurisdictional lines, emergency response and the potential need for traffic studies as development proceeds. Council members and county supervisors said any development within city limits would require traffic studies and engineering review before approvals for roads or access were finalized.

Several members of the public and county officials also questioned who would benefit from tax revenue and how costs for infrastructure and maintenance would be split; city staff repeatedly said they would pursue formal agreements and that certain project partners have signaled interest in investing substantially in the area.

After discussion the council moved and approved the annexation. No roll-call vote with named tallies appears in the record; the mayor called for voices and the motion carried.

The council noted the annexation will next proceed through processes required by the City Development Board and that formal intergovernmental agreements on road maintenance and other services will be negotiated and executed before or as development advances.