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2026-07-20 City Council

Published: Jul 20, 2026

Zoning And Land UseOther

Council Denies HI Rezoning, Advances LI, and Debates Zoning Boundaries and Rural-Style PDD

The council considered a proposal to rezone approximately 3 acres from A1 Agricultural to HI Industrial for the construction of storage units. A discussion ensued regarding a discrepancy between the applicant's request for HI and the planning commission's recommendation for LI (Light Industrial), which was reflected in the public notices. The applicant eventually agreed to the LI zoning, and the council voted to deny the rezoning to HI, effectively advancing the ordinance for LI to a second reading. Later in the meeting, the council also discussed and ultimately denied advancing an ordinance related to amending joint jurisdiction zoning area boundaries due to differing language recommendations between the city and county planning commissions. The council also considered and approved moving forward with a proposed Planned Development District (PDD) titled 'Monger Ridge Plan Development District' which aims for a more spacious, rural type of development within city limits, featuring larger right-of-ways, no curb and gutter, and provisions for future sidewalks. This PDD would require a minimum lot area of 20,000 sq ft, with the current proposal for 1 acre lots, and would mandate 50% living ground cover.

Hiring & ProcurementInfrastructure

Council Approves Purchase of New Parks and Recreation Lawn Mower

The council approved the purchase of a new lawn mower for the Parks and Recreation department. The 2022 Hustler mower will cost $16,461.45, utilizing Sourcewell pricing through a local dealer. This purchase necessitates an adjustment to the 2026 budget, as the initially planned 2027 funds of $13,000 were insufficient. The existing mower has experienced mechanical issues and is nearing the end of its typical 5-year lifespan. The old mower will be sold via auction.

Budget & FinanceInfrastructure

Council Approves Ambulance Equipment Purchase, Mower Acquisition, and Construction Contracts for Light & Power Building

The council approved a resolution authorizing the purchase of a Striker power load system and power stretcher for a new ambulance, scheduled for delivery in January 2027. This purchase utilizes a flex plan, allowing for 0% interest and payment within 12 months, with the cost to be covered by the 2027 second penny fund. The council also approved the purchase of a Hustler Super Z mower for the Parks and Recreation department for $16,461.45, which requires an adjustment to the 2026 budget as the planned 2027 funds were insufficient. Additionally, the council approved a contract with Geotech Engineering for materials testing and observation services for the new light and power building, not to exceed $37,325, and a contract with Banner Associates for staking services for the same project, not to exceed $34,380. Both construction-related contracts were included in the original $5.5 million project budget.

Budget & FinanceResidential

Council Approves TIF Project Plan for Affordable Multifamily Housing

The council approved a resolution adopting the Project Plan for Tax Increment Financing (TIF) District Number 13, located at the southwest corner of Elm Street and Alumni Street, intended for a multifamily housing project. This TIF is classified as 'Affordable Housing' and operates on a 'pay-as-you-go' structure, meaning the developer pays taxes first, and the increment is returned to them. The total projected tax increment is approximately $1.105 million over the life of the TIF, which is expected to dissolve around 2046. The estimated project cost is $7.2 million, with $5.8 million for buildings. The TIF will support up to $1.1 million of the project costs. The plan aligns with a recent housing study indicating a need for approximately 20-30 multifamily units per year.

Traffic & TransportationInfrastructure

Council Approves Modified Street Closures and Parking Restrictions for USD Football Games

The council debated and ultimately approved a modified street closure and parking restriction request from the University of South Dakota (USD) for home football games in Fall 2026. The approved plan allows for street parking on both sides of North Dakota Street from the loading dock up to the 'yellow lot A' (where paid parking is available) and the closure of Rose Street. This is a modification of USD's original request to close parking from Alumni Street to Highway 50 on both sides of North Dakota Street and the full closure of Rose Street. The decision was based on public safety concerns cited by USD, particularly regarding pedestrian crossing and vehicle traffic near Highway 50.

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Vermillion, South Dakota Development News — July 2026 | GatherGov