As a lifetime Iowa resident, I have made many trips to Council Bluffs for different reasons, with the most recent trip being in December of 2010. There is really nothing to do in Council Bluffs or any real reason to visit the area on vacation, but if you are going to be there, there are a handful of things you can do to keep yourself busy. We usually stay at the Hampton Inn, which isn't anything fancy but its clean and nicer than most of the hotels in the area. There is a lot of farmland in Council Bluffs, but there is a decent sized mall with a large movie theater and even an IMAX theater.
If there is one thing Council Bluffs can do right, its make a good steak. There are numerous steak houses in the area, all of them are fairly affordable. However, if you're looking for a higher end steakhouse instead of the local joint, 360 Steakhouse in Harrah's hotel is by far the best. As far as attractions, there is not much to see in Council Bluffs, but if you like to gamble, they have decent casinos with low drink prices that are sure to keep adults entertained.