HomeMy WebLinkAboutOrdinance No. 2014-2096 CITY OF THE COLONY, TEXAS
ORDINANCE NO. 2014-2096
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF THE
COLONY, TEXAS, ESTABLISHING A SINKING FUND FOR THE
FUNDING OF THE CITY MANAGER'S OCTOBER 1, 2014, SECOND
AMENDED EMPLOYMENT AGREEMENT; PROVIDING FOR THE
LEVYING AND COLLECTION OF A SUFFICIENT TAX TO PAY THE
INTEREST ON SUCH OBLIGATION; PLEDGING SUCH FOR THE
PAYMENT OF SAID AMOUNT;CONTAINING OTHER INCIDENTAL AND
RELATED MATTERS; PROVIDING A SEVERABILITY CLAUSE;
PROVIDING A REPEALER CLAUSE; AND PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS,the City of The Colony,Texas(hereinafter referred to as the"City"),desires to
retain the services of Troy C. Powell (hereinafter referred to as the "Mr. Powell") as City Manager
for the City, subject to the provisions of state law, the City's Home-Rule Charter, and the City's
Code of Ordinances; and
WHEREAS, it also is the desire of the City Council of the City of The Colony, Texas, to
provide certain benefits and to establish certain conditions of employment for Mr. Powell; and
WHEREAS, on or about April 10, 2010,the City entered into an Employment Agreement
with Mr. Powell relative to his services as City Manager; and
WHEREAS, the City entered into a Second Amended Employment Agreement ("Second
Amended Employment Agreement"),with an effective date of October 1,2014,with Mr.Powell as
a consequence of the superior services he has provided as City Manager; and
WHEREAS,the term of that Second Amended Employment Agreement extends beyond the
present(2013-2014)fiscal year,and terminates during the 2015-2016 fiscal year,on September 30,
2016; and
WHEREAS,Mr.Powell and the City acknowledge that,pursuant to the provisions contained
in Article XI, Sections 5 and 7 of the Texas Constitution,the City may not enter into unfunded debt,
i.e., debt beyond the current fiscal year, for any purpose without creating a sinking fund of at least
two percent(2%) of the amount of such debt for the payment of said debt; and
WHEREAS, Mr. Powell and the City further acknowledge at the time long-term debt is
created, the City must provide for the assessment and collection on an annual basis of a sufficient
sum of money for payments accruing during any subsequent budget year.
NOW,THEREFORE,BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF THE COLONY, TEXAS, THAT:
SECTION 1. All the above premises are hereby found to be true and correct and are hereby
approved and incorporated into the body of this Ordinance as if copied in their entirety.
SECTION 2. From and after the effective date of this Ordinance,the City's Chief Financial
Officer is hereby directed to create and maintain,through September 30,2016,unless said Second
Amended Employment Agreement is terminated pursuant to its terms before such date, a Sinking
Fund for the payment of the debt created by such Second Amended Employment Agreement. The
Sinking Fund shall consist of two percent(2%)of the gross base salary due, and owing Mr. Powell
through September 30, 2016, as reflected in Section B of the Second Amended Employment
Agreement.
SECTION 3. The proceeds placed into the Sinking Fund,for the current fiscal year(2013-
2014)and succeeding fiscal years shall be from the City's ad valorem tax,and there shall be annually
assessed and collected in due time, form and manner, a direct and continuing ad valorem tax on all
taxable property within the corporate limits of the City at a rate from year to year, within the
limitations prescribed by law, on each one hundred dollars' valuation of taxable property as will be
sufficient to provide funds to satisfy any obligations under the Second Amended Employment
Agreement during any budget year.
SECTION 4. The City's Chief Financial Officer shall keep and maintain all records relating
to the Sinking Fund and all such other related documentation and accounts,and is hereby authorized
and instructed to maintain all funds necessary in the Sinking Fund to prevent the creation, at any
time,of an unconstitutional debt in the terms,conditions,or administration of the Second Amended
Employment Agreement.
SECTION 5. All ordinances, orders or resolutions heretofore passed and adopted by the
City Council of the City of The Colony,Texas,are hereby repealed to the extent that said ordinances,
orders or resolutions, or parts thereof, are in conflict herewith.
SECTION 6. If any section, article, paragraph, sentence, clause, phrase or word in this
Ordinance is held invalid or unconstitutional by a court of competent jurisdiction,such holding shall
not affect the validity of the remaining portions of this Ordinance; and the City Council hereby
declares it would have passed such remaining portions of this Ordinance despite such invalidity,and
further declares that such remaining portions shall remain in full force and effect.
SECTION 7. This Ordinance shall take effect and be in full force from and after its passage,
as provided by state statute and the Code of Ordinances of the City of The Colony, Texas.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF THE
COLONY, TEXAS, THIS THE 16th day of SEPTEMBER, 2014.
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Joe ourry, Mayor u,,0-I-e
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ATTEST: `Patel-"
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Christie Wilson, City Secretary
APPROVED AS TO FORM: S'`K' CCS •
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(, Jeff Moor-, City Attorney