City Council Meeting

MINUTES City Council Meeting Tuesday, September 9, 2025, at 6:00 PM Carnegie Town Hall, 235 West 10th St., Sioux Falls, South Dakota 57104 CALL TO ORDER 1. MEETING ROLL CALL Present: Council Member Richard L. Thomason, Council Member David Barranco, Council Member Miranda Basye, Council Member Sarah Cole, Council Member Rich Merkouris, Council Member Jennifer Sigette, Council Member Curt Soehl, Council Member Ryan Spellerberg, Mayor Paul TenHaken Absent: None 2. INVOCATION • Pastor Oscar Mata, Church of God (Seventh Day) 3. PLEDGE OF ALLEGIANCE CONSENT AGENDA 4. APPROVAL OF THE CONSENT AGENDA A motion was made by Council Member Merkouris and seconded by Council Member Sigette to approve the Consent Agenda. Roll call vote to approve. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. 5. APPROVAL OF MINUTES • Regular City Council Meeting of Tuesday, September 2, 2025 COMMUNICATIONS 6. Approval of contracts/agreements over $100K on the memorandum dated September 5, 2025. 7. Notice of Contracts/Agreements under $100K and Change Orders over $100K through August 30, 2025. REGULAR AGENDA 8. APPROVAL OF THE REGULAR AGENDA A motion was made by Council Member Sigette and seconded by Council Member Spellerberg to approve the Regular Agenda. A motion was made by Council Member Merkouris and seconded by Council Member Cole to amend by moving Item 16 to before Item 10; and Item 11 to after Item 15. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. Roll call vote to approve, as amended. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. INTRODUCTION AND ADOPTION OF ORDINANCES ORDINANCE SECOND READINGS 9. 2nd Reading: Deferred from the meeting of Tuesday, August 19, 2025; AN ORDINANCE OF THE CITY OF SIOUX FALLS, SD, PROVIDING SUPPLEMENTAL APPROPRIATIONS. Sponsor: Mayor A motion was made by Council Member Spellerberg and seconded by Council Member Barranco to adopt Ordinance No. 55-25. A motion was made by Council Member Thomason and seconded by Council Member Cole to amend by adding a new Section 3 to state, "The actual amount transferred from the General Fund to the Fleet Fund is limited to the bid accepted for the total purchase price of motor graders up to $8 million”. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. Roll call vote to adopt, as amended. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. Item 16 was heard at this time. See item for action taken. 10. 2nd Reading: AN ORDINANCE OF THE CITY OF SIOUX FALLS, SD, APPROVING A MIDAMERICAN ENERGY COMPANY GAS PIPELINE EASEMENT. Sponsor: Mayor A motion was made by Council Member Barranco and seconded by Council Member Basye to adopt Ordinance No. 56-25.  Roll call vote to adopt. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. 11. 2nd Reading: AN ORDINANCE OF THE CITY OF SIOUX FALLS, SD, PROVIDING APPROPRIATIONS AUTHORIZING AN INCREASE IN PROPERTY TAX REVENUE PURSUANT TO SDCL 10-13-35 AND THE MEANS OF FINANCING FOR THE FISCAL YEAR ENDING DECEMBER 31, 2026. Sponsor: Mayor A motion was made by Council Member Spellerberg and seconded by Council Member Soehl to adopt Ordinance No. 57-25. A motion was made by Council Member Merkouris and seconded by Council Member Sigette to amend to include all the passed amendments by Council to the 2026 Budget Resolution and 2026-2030 five-year Capital Program. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. Roll call vote to adopt, as amended. 7 Yes: Thomason, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 1 No: Barranco. Motion Passed. ORDINANCE FIRST READINGS 12. 1st Reading: AN ORDINANCE OF THE CITY OF SIOUX FALLS, SD, AMENDING THE CODE OF ORDINANCES OF THE CITY BY AMENDING CHAPTER 150: BUILDING, SUBCHAPTER ELECTRICITY, BY ADOPTING THE 2023 NATIONAL ELECTRICAL CODE AND AMENDMENTS THERETO. Sponsor: Mayor A motion was made by Council Member Soehl and seconded by Council Member Barranco to set a date of 2nd Reading for Tuesday, October 7, 2025 for Item 12. Roll call vote to set a date of 2nd Reading. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. HEARINGS AND RESOLUTIONS 13. A RESOLUTION ADOPTING AS A GOAL THAT THE CITY MAINTAIN A 3 PERCENT SALES/USE TAX FUND AVAILABLE FUND BALANCE AT YEAR-END AND A 25 TO 35 PERCENT GENERAL FUND AVAILABLE FUND BALANCE AT YEAR-END; THAT THE 10-YEAR GENERAL FUND FORECAST ACCOUNT FOR A 25 PERCENT RESERVE; THAT FUTURE BUDGETS OF THE CITY BALANCE; ESTABLISHING A COUNCIL POLICY REGARDING THE USE OF PROJECTED REVENUE FROM FEE OR TAX INCREASES IN ANY BUDGET ADOPTED BY THE COUNCIL; AND ESTABLISHING A COUNCIL POLICY ON THE USE OF ENTERPRISE FUNDS. Sponsor: Mayor A motion was made by Council Member Merkouris and seconded by Council Member Soehl to refer this item to the Fiscal Committee, of the Sioux Falls City Council, and  that they bring a recommendation back to the full Council no later than December 9, 2025. Roll call vote to refer. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. 14. A RESOLUTION TO APPROVE THE CONTINUATION OF THE ANNUAL REFUND OF MUNICIPAL PROPERTY TAXES ON THE PRINCIPAL RESIDENCE OF ELIGIBLE ELDERLY AND DISABLED PERSONS. Sponsors: Council Members Soehl and Sigette A motion was made by Council Member Soehl and seconded by Council Member Spellerberg to adopt Resolution No. 75-25. Roll call vote to adopt. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. RESOLUTION NO. 75-25 A RESOLUTION TO APPROVE THE CONTINUATION OF THE ANNUAL REFUND OF MUNICIPAL PROPERTY TAXES ON THE PRINCIPAL RESIDENCE OF ELIGIBLE ELDERLY AND DISABLED PERSONS. WHEREAS, pursuant to Ordinance 21-22, the City Council approved a Municipal Property Tax Refund Program (the “Program”) to annually refund a portion of municipal property taxes on single-family dwellings serving as the principal residence of eligible elderly and disabled persons; and WHEREAS, Ordinance 21-22 provides for a one hundred percent (100%) refund of the City of Sioux Falls municipal property tax due, up to $500 and excluding municipal levied liens or assessments, for property owners who qualify for a freeze on assessment on qualifying single-family dwellings under SDCL § 10-6A-2; and WHEREAS, Section 3 of Ordinance 21-22 provides for annual continuation of the Program subject to the City Council adoption of a resolution to approve a continuation and provide an appropriation therefore; and WHEREAS, the City Council has appropriated in the City’s 2026 Budget funding for the Program for 2025 property taxes that are payable in 2026; NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF SIOUX FALLS, SD: The City Council hereby approves continuation of the Program for fiscal and calendar year 2026 and will apply to 2025 property taxes payable in 2026. To be eligible, the property owner must have applied with the County for a freeze on assessment of single-family dwellings pursuant to SDCL § 10-6A-2 by April 1, 2025. All refunds issued through the Program will be as prescribed in Ordinance 21-22. Date adopted: 09/09/25. Paul TenHaken, Mayor  ATTEST: Jermery J. Washington, City Clerk 15. A RESOLUTION ADOPTING THE BUDGET FOR THE FISCAL YEAR ENDING DECEMBER 31, 2026, AND THE 2026–2030 CAPITAL PROGRAM. Sponsor: Mayor A motion was made by Council Member Soehl and seconded by Council Member Sigette to adopt Resolution No. 76-25. A motion was made by Council Member Soehl and seconded by Council Member Barranco to amend by decreasing the General Fund Transfers budget to the Housing Fund by $500,000 which was funded by the restricted Liquor License proceeds and decreasing the Housing Fund Transfers-in and expense budget by $500,000 for connected services support. Funding may be reconsidered upon the receipt and approval by the City Council of the increased connected services support plan. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. A motion was made by Council Member Basye and seconded by Council Member Cole to amend the 2026 General Fund Siouxland Libraries Department operating budget by increasing the budget $270,000 to dedicate to staffing and facility operations, to sustain current hours of operation. Funding comes from the City’s General Fund Reserves. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. A motion was made by Council Member Barranco and seconded by Council Member Soehl to amend by making it the intent of the Council in approving the 2026 Budget that an additional $75,000 be allocated to keep the outdoor pools operating until August 16, 2026. Funding is to be offset by existing Parks and Recreation General Fund operating budget. No increase in General Fund budget or appropriation is necessary. Roll call vote to amend. 7 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Soehl, Spellerberg; 1 No: Sigette. Motion Passed. A motion was made by Council Member Sigette and seconded by Council Member Basye to amend the Entertainment Venues 2026-2030 Capital Improvement Program by decreasing project 13013 Sioux Falls Stadium Improvements by $350,000 in 2027, $3,900,000 in 2028, $2,500,000 in 2029, and $3,500,000 in 2030 within the Entertainment Tax Fund. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. A motion was made by Council Member Merkouris and seconded by Council Member Soehl to amend by making it the intent of the Council in approving the 2026 Budget that the $350,000 in undesignated general funds allocated for the At-risk Populations Community Partners Program within the Health Department be funded instead by the  liquor license proceeds per Ordinance 52-23; thereby resulting in an additional general fund available balance of $350,000. No increase in General Fund budget or appropriation is necessary. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. A motion was made by Council Member Merkouris and seconded by Council Member Soehl to amend by increasing the Planning and Development General Fund operating budget by $300,000 for the Economic Vitality and Growth Community Partners program. Source of funding is General Fund Available Fund Balance and an increase in the General Fund budget and appropriation is necessary. Roll call vote to amend. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. A motion was made by Council Member Basye and seconded by Council Member Sigette to amend by making it the intent of the Council in approving the 2026 Budget that an additional $60,000 be allocated to increase the neighborhood grant funding program to $135,000. Funding is to be offset by existing Planning and Development General Fund operating budget. No increase in General Fund budget or appropriation is necessary. Roll call vote to amend. 7 Yes: Thomason, Barranco, Basye, Cole, Sigette, Soehl, Spellerberg; 1 No: Merkouris. Motion Passed. Roll call vote to adopt, as amended. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. RESOLUTION NO. 76-25 A RESOLUTION ADOPTING THE BUDGET FOR THE FISCAL YEAR ENDING DECEMBER 31, 2026, AND THE 2026–2030 CAPITAL PROGRAM. BE IT RESOLVED BY THE CITY OF SIOUX FALLS, SD: That the 2026 Budget and 2026–2030 Capital Program as submitted to the City Council is hereby approved. Date adopted: 09/09/25 . Paul TenHaken, Mayor ATTEST: Jermery J. Washington, City Clerk Item 11 was heard at this time. See item for action taken. 16. Deferred from the meeting of Tuesday, August 19, 2025; A RESOLUTION AMENDING THE 2025–2029 CAPITAL PROGRAM.  Sponsor: Mayor A motion was made by Council Member Spellerberg and seconded by Council Member Sigette to adopt Resolution No. 77-25. Roll call vote to adopt. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. RESOLUTION NO. 77-25 A RESOLUTION AMENDING THE 2025–2029 CAPITAL PROGRAM. BE IT RESOLVED BY THE CITY OF SIOUX FALLS, SD. That the 2025–2029 Capital Program shall be amended as follows: Fleet Amend the Other Capital Expenditures Program by adding motor graders in 2025. The estimated cost is $8,000,000 and will not require an increase in appropriations as it will be funded by a transfer from the General Fund Available Fund Balance. Enterprise Network Technology Amend the Other Capital Expenditures Program by adding network equipment in 2025. The estimated cost is $1,800,000 and will not require an increase in appropriations as it will be funded by a transfer from the General Fund Available Fund Balance. Date adopted: 09/09/25 . Paul TenHaken, Mayor ATTEST: Jermery J. Washington, City Clerk 17. A RESOLUTION APPROVING THE 2026 BUDGET FOR THE EXPERIENCE SIOUX FALLS BUSINESS IMPROVEMENT DISTRICT. Sponsor: Mayor A motion was made by Council Member Soehl and seconded by Council Member Cole to adopt Resolution No. 74-25. Roll call vote to adopt. 8 Yes: Thomason, Barranco, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. RESOLUTION NO. 74-25 A RESOLUTION APPROVING THE 2026 BUDGET FOR THE EXPERIENCE SIOUX FALLS BUSINESS IMPROVEMENT DISTRICT.  WHEREAS, pursuant to Resolution No. 86-10, the City of Sioux Falls adopted a resolution of intent to establish the Sioux Falls Convention & Visitors Bureau (CVB) Business Improvement District; and WHEREAS, pursuant to Ordinance No. 72-22, the City of Sioux Falls amended Chapter 37: Taxation of the Code of Ordinances of Sioux Falls, SD, including the retitle of the Sioux Falls Convention & Visitors Bureau (CVB) Business Improvement District to Experience Sioux Falls Business Improvement District; and WHEREAS, in accordance with Chapter 9-55 of the South Dakota Codified Laws, the Experience Sioux Falls Business Improvement District has imposed an occupational tax of two dollars ($2.00) per night per rented room for all lodging rooms within the Experience Sioux Falls Business Improvement District to market and promote the visitor industry in the city of Sioux Falls and increase the room night sales of lodging facilities within the Experience Sioux Falls Business Improvement District; and WHEREAS, the Experience Sioux Falls Business Improvement District Board of Directors has developed an annual budget that is subject to City Council approval; NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF SIOUX FALLS, SD: That the budget dated January 1, 2026, through December 31, 2026, is hereby approved. Date adopted: 09/09/25 . Paul TenHaken, Mayor ATTEST: Jermery J. Washington, City Clerk NEW BUSINESS There was none. GENERAL PUBLIC INPUT Council Member David Barranco left the meeting at this time. The following topics were discussed: concerns and issues with Kingsport Village Apartments, and support of the apartments' landlord; praising Council Member Sarah Cole for her work on the Council; and what a Neighborhood Revitialization grant would mean to Whittier neighborhood. ADJOURNMENT A motion was made by Council Member Soehl and seconded by Council Member Sigette to adjourn at 7:31 p.m. Voice vote to adjourn. 7 Yes: Thomason, Basye, Cole, Merkouris, Sigette, Soehl, Spellerberg; 0 No: (None). Motion Passed. Denise D. Tucker, MMC, Assistant City Clerk