Sioux City council could end moratorium related to car dealerships

SIOUX CITY, Iowa (KCAU) — On Monday, Sioux City's city council passed the first reading of an ordinance aimed at limiting the number of car dealerships in the city.

In a 3-2 vote, council members approved the first reading of an ordinance that would end an interim automobile sales, rental, and service moratorium. Julie Schoenherr and Alex Watters voted no.

The moratorium was in place from June 8 through Nov. 9 and is pending a second a third reading. City documents indicate that there are 67 automobile sales dealers licensed in Sioux city, including 40 used car dealers and 10 franchise new and used car dealers.

Mayor Bob Scott told KCAU 9 that council members need to make up their minds on the issue.

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"Well, if some people want a moratorium, why are we doing it six months at a time?" Scott said. "If we truly want a moratorium, then let's get a moratorium and say we have enough car lots in town and we don't need anymore. I would certainly look at that because I do think we have enough used car lots in our community."

During that six-month moratorium, the city received eight inquiries regarding new automotive sales locations in the city.