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HomeMy WebLinkAboutCity Packets - City Council - 07/18/2023 - RegularAgenda Item No:1.5 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: Finance Item Type: Presentation Agenda Section: Subject: Budget Award Presentation. (Miller) Suggested Action: Attachments: FY 22-23 Award Certificate.pdf 4 5 6 Agenda Item No:1.6 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: Items of Community Interest Suggested Action: Attachments: 7 Agenda Item No:1.7 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Presentation Agenda Section: Subject: Receive presentation from the Library regarding upcoming events and activities. (Charters) Suggested Action: Attachments: 8 Agenda Item No:3.1 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Brant Shallenburger Submitting Department: General Admin Item Type: Presentation Agenda Section: Subject: Receive a presentation from JPI regarding Public Finance Corporations (PFC's) and Workforce Housing. (Shallenburger) Suggested Action: Attachments: 9 Agenda Item No:3.2 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Jackie Kopsa Submitting Department: Parks & Recreation Item Type: Discussion Agenda Section: Subject: Discuss and receive direction on the reallocation of previously approved Capital Project funds to be used in the repair and renovations of the recently purchased school facility. (Kopsa) Suggested Action: Attachments: Council Memo - CIP Project Reallocation.docx 10 City of The Colony Memo To:Mayor and Council From:Jackie Kopsa, Parks & Recreation CC: Brant Shallenburger, Deputy City Manager Tim Miller, Assistant City Manager Troy Powell, City Manager Date:July 10, 2023 Re:CIP Funding Reallocation Purpose We are asking to consider utilizing previously approved CIP project funds for the repairs and renovations needed to the Stewarts Creek Elementary building. Background In this fiscal year 2022/2023 we were allocated funding in the General Fund and CDC Fund to make improvements to the Community Center, Recreation Center and Five Star facilities. The approved funding was as follows: Countertop Replacement $13,733.93 Community Center Refresh $40,000.00 Community Center Floor $40,000.00 Rec Center Refresh $35,939.00 PARD Admin Office Improvements $50,000.00 Table and Chair Replacement $10,000.00 Five Star Parking Lot Expansion $500,000.00 ($280,000 to remain in project) Our request is to reallocate all of the funding for the Community and Recreation Center facilities to be used for renovations at the school. While the location of the improvements will be changing, the purpose for the funding will not. These approved funds will still be used for recreational facility improvements. The recently executed ground lease agreement for Five Star provides us with the opportunity to forego the parking lot expansion through the use of City funds. However, we still need to complete an access road from the maintenance facility to connect to the east parking lot. This will allow our staff and vendors the ability to access the maintenance facility from the Complex parking lot instead of being solely dependent on access through the Goodman St. entry point. 11 2 This should ease most of the congestion on Goodman, allowing us to be better neighbors to the residents who live on that street. The estimated cost to complete only the access road portion of this project is $280,000. The remaining $500,000 will be transferred to use on the school facility. Recommendation The approval of this request will allow us to utilize $689,672.93 in funding for the renovations of the school facility. Additionally, we would request that any additional funding from CDC projects completed under budget also be eligible for reallocation to the school. This will allow us to work through renovations without having to access the set aside funds in the CDC Fund, thus maintaining a balance with multiple years of facility and future bond payments in reserve. While we still do not have final opinions of probable cost for the first phase of renovations, we are hopeful that we can achieve the improvements necessary through the aforementioned funding sources. Thank you for your consideration of this request. 12 Agenda Item No:3.3 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: General Admin Item Type: Discussion Agenda Section: Subject: Discuss and receive direction on a request from Beach Club HOA to have the city change from a master meter to individual meters. (Miller) Suggested Action: Attachments: 13 Agenda Item No:3.4 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: Discussion on property taxation. (Moore) Suggested Action: Attachments: City of The Colony - Property Taxation.pptx 14 Jeff Moore Brown & Hofmeister, LLP July 18, 2023 15 TEX. CONST. art. VIII, § 1(a) - “Taxation shall be equal and uniform.” Homestead Exemption Homestead - Over 65 Years of Age Homestead - Disabled Tax Freeze on Homestead for Over 65 or Disabled Tax Abatements 16 ISD’s: ◦Tex. Const. Article VIII, Section 1-b(c). $40,000.00 ◦Section 11.13(b) of Texas Tax Code. City or Other Political Subdivisions (excluding county education district): ◦Article VIII, Section 1-b(e). 1% to 20% - minimum $5,000.00 –This is not mandatory. ◦Section 11.13(n) of Texas Tax Code. ◦City just enacted Ordinance on June 6, 2023, at 1% with a minimum of $5,000.00. 17 ISD’s. Texas Const. Article VIII, Section 1-b(c). $10,000.00 Texas Tax Code Section 11.13(c): “In addition to the exemption provided by Subsection (b) of this section, an adult who is disabled or is 65 or older is entitled to an exemption from taxation by a school district of $10,000 of the appraised value of his residence homestead.” 18 ISD’s Provision. Tex. Const. Article VIII, Section 1-b(c). $10,000.00 Same statute as previous slide. Texas Tax Code Section 11.13(c): “In addition to the exemption provided by Subsection (b) of this section, an adult who is disabled or is 65 or older is entitled to an exemption from taxation by a school district of $10,000 of the appraised value of his residence homestead.” 19 Tex. Const. Art. VIII, Section 1-b(h), Texas Tax Code Section 11.261: (a) This section applies only to a county, municipality, or junior college district that has established a limitation on the total amount of taxes that may be imposed by the county, municipality, or junior college district on the residence homestead of a disabled individual or an individual 65 years of age or older under Section 1-b(h), Article VIII, Texas Constitution. 20 City approved tax freeze on September 17, 2019 . Section 8-14(a) of Code of Ordinances: “The total ad valorem taxes imposed by the city on the residence homestead of a qualifying individual sixty-five (65) years of age or older, or of a disabled individual, shall not be increased to an amount which exceeds the total amount of ad valorem taxes imposed on that individual’s residence homestead in tax year 2019, or the first year that individual qualified that residence homestead for the exemption provided by Section 11.13(c) of the Texas Tax Code, whichever year is later.” 21 Article VIII, Sec. 1-g. DEVELOPMENT OR REDEVELOPMENT OF PROPERTY; AD VALOREM TAX RELIEF AND ISSUANCE OF BONDS AND NOTES. ◦(a) The legislature by general law may authorize cities, towns, and other taxing units to grant exemptions or other relief from ad valorem taxes on property located in a reinvestment zone for the purpose of encouraging development or redevelopment and improvement of the property. . . Chapter 312 of the Texas Tax Code is the Tax Abatement statute. 22 In order to approve a tax abatement agreement the City must first designate the area as a reinvestment zone. Section 312.202 of the Texas Tax Code establishes the criteria for the reinvestment zone. ◦for blighted areas of the City Section 312.204 of the Texas Tax Code contains the requirements for a tax abatement agreement. ◦Owner has to make repairs or improvements to the property. Taxes can be abated on the increased value 23 Little Elm ISD $1.4129 per $100 value Lewisville ISD $1.2368 per $100 value City of The Colony $0.645 per $100 value Denton County $0.217543 per $100 value 24 Property in Little ELM ISD Little Elm ISD $1.4129 = 62.09% City of The Colony $0.645 = 28.35% Denton County $0.217543 = 9.56% Total: $2.275443 Property in Lewisville ISD Lewisville ISD $1.2368 = 58.91% City of The Colony $0.645 = 30.72% Denton County $0.217543 = 10.36% Total: $2.099343 25 The City does not have any control over appraisals. Appraisals are performed by the Denton Central Appraisal Districts. All properties are valued as of January 1st of each year. 26 Texas Tax Code Section 6.01: (a) An appraisal district is established in each county. (b) The district is responsible for appraising property in the district for ad valorem tax purposes of each taxing unit that imposes ad valorem taxes on property in the district. (c) An appraisal district is a political subdivision of the state. 27 Homes Located in Little Elm ISD Little Elm ISD ◦(400,000 /100) *$1.4129 = $5,651.60 City of The Colony ◦(400,000 /100) * $0.645 = $2,580.00 Denton County ◦(400,000 /100) * $0.217543 = $870.17 Total: $9,101.77 28 Homes Located in Lewisville ISD Lewisville ISD ◦(400,000 /100) *$1.2368 = $4,947.20 City of The Colony ◦(400,000 /100) * $0.645 = $2,580.00 Denton County ◦(400,000 /100) * $0.217543 = $870.17 Total: $8,397.37 29 2014-2015 $0.6725 2015-2016 $0.67 2016-2017 $0.6675 2017-2018 $0.6650 2018-2019 $0.6625 2019-2020 $0.66 2020-2021 $0.6550 2021-2022 $0.65 2022-2023 $0.645 30 THE END 31 Agenda Item No:3.5 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: Council to provide direction to staff regarding future agenda items. (Council) Suggested Action: Attachments: 32 Agenda Item No:4.1 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Minutes Agenda Section: Subject: Consider approving City Council Special Session meeting minutes and Regular Session meeting minutes from June 20, 2023. (Stewart) Suggested Action: Attachments: June 20, 2023 Special Session Board Interviews DRAFT Minutes.doc June 20, 2023 DRAFT Minutes.docx 33 MINUTES OF CITY COUNCIL SPECIAL SESSION HELD ON JUNE 20, 2023 The Special Session of the City Council of the City of The Colony, Texas, was called to order at 6:15p.m. on the 20th day of June2023, at City Hall, 6800 Main Street, The Colony, Texas, with the following roll call: Richard Boyer Mayor Present Judy Ensweiler Councilmember Present Robyn Holtz Councilmember Present Brian Wade Deputy Mayor Pro Tem Present David Terre Councilmember Absent (Personal) Perry Schrag Councilmember Present Joel Marks Mayor Pro Tem Present In addition,with 6council members present,a quorum was established and thefollowing items were addressed: 1. Call to Order – Mayor Boyer called the meeting to order at 6:15 p.m. 2. City Council to conduct interviews for appointments to the following advisory boards: Keep The Colony Beautiful 3. Discuss and consider the appointment, evaluation, reassignment, or duties of the following boards: Keep The Colony Beautiful Motion to reappoint Christopher Benson to Place 1 on the Keep The Colony Beautiful Board- Ensweiler; second by Holtz, motion carried with all ayes. Adjourn With no further business to discuss, the meeting was adjourned at 6:30 p.m. APPROVED: ________________________________ Richard Boyer, Mayor City of The Colony 34 ATTEST: ____ Tina Stewart, TRMC, CMC, City Secretary 35 1 These items are strictly public service announcements. Expressions of thanks, congratulations or condolences; information regarding holiday schedules; honorary recognition of city officials, employees or other citizens; reminders about upcoming events sponsored by the City or other entity that are scheduled to be attended by a city official or city employee. No action will be taken and no direction will be given regarding these items. MINUTES OF THE CITY COUNCIL REGULAR SESSION HELD ON JUNE 20, 2023 The Regular Session of the City Council of the City of The Colony, Texas, was called to order at 6:31 p.m. on the 20 th day of June, at City Hall, 6800 Main Street, The Colony, Texas, with the following roll call: Richard Boyer, Mayor Judy Ensweiler, Councilmember Robyn Holtz, Councilmember Brian Wade, Mayor Pro Tem David Terre, Councilmember Perry Schrag, Deputy Mayor Pro Tem Joel Marks, Councilmember Present Present Present Present Absent (Personal) Present Present And with 6 councilmembers present a quorum was established and the following items were addressed: 1.0 ROUTINE ANNOUNCEMENTS, RECOGNITIONS and PROCLAMATIONS 1.1 Call to Order Mayor Boyer called the meeting to order at 6:31 p.m. 1.2 Invocation Assistant Pastor Howard Patton with Fountain of Hope delivered the invocation. 1.3 Pledge of Allegiance to the United States Flag The Pledge of Allegiance to the United States Flag was recited. 1.4 Salute to the Texas Flag Salute to the Texas Flag was recited. 1.5 Items of Community Interest 1.5.1 Receive presentation from the Library regarding upcoming events and activities. Library Director, Megan Charters, provided upcoming events and activities to the Council. 2.0 CITIZEN INPUT Analisa Fink, 3809 Overlook Court, expressed concerns with a short-term rental in her neighborhood. Pam Strunk, 5044 N. Colony Blvd., spoke concerning property taxes. Chris Palazzi, 3027 Aberdeen, spoke concerning property taxes. 36 City Council – Regular Meeting Agenda June 20, 2023 Page| 2 3.0 WORK SESSION 3.1 Provide an update on the 2023 Mission TC Volunteer Assistance Program projects. Community Outreach Officer, Danny Dill, provided an update on this item. Lieutenant, Mark Hamm, spoke on the positive impacts as a volunteer of the program. 3.2 Council to provide direction to staff regarding future agenda items. Mayor reminded everyone of a public hearing on short-term rentals as a future agenda item. 4.0 CONSENT AGENDA Motion to approve all items from the Consent Agenda with the exception of Agenda Item No 4.2 – Marks; second by Holtz, motion carried with all ayes. Councilman Schrag left at 7:14 p.m. 4.1 Consider approving City Council Special Session meeting minutes from June 5, 2023, Regular Session meeting minutes from June 6, 2023, and Special Session meeting minutes from June 12, 2023. 4.2 Consider approving a resolution authorizing the City Manager to execute a Full and Final Compromise, Settlement Agreement, and Release for the removal and reconstruction of the portion of Scotty's Lake Lane installed during the construction of Strike Middle School. Motion to approve- Ensweiler; second by Marks, motion carried with all ayes. RESOLUTION NO. 2023-047] 5.0 REGULAR AGENDA ITEMS Councilman Schrag returned at 7:21 p.m. 5.1 Discuss and consider an ordinance regarding the Site Plan application of “State Farm Office Building,” an approximately 3,743 square-foot office building within Lot 4R, Block 1, in the Murchison Addition. The subject site contains approximately 0.4787 acres, and is located at 4654 South Colony Blvd within the Shopping Center Zoning District and the Gateway Overlay District. Director of Planning, Isaac Williams, gave an overview of this item. Owner, Greg Holtz, answered questions from Council. 37 City Council – Regular Meeting Agenda June 20, 2023 Page| 3 Motion to approve – Ensweiler; second by Schrag, motion carried with all ayes with the exception of Holtz abstaining. ORDINANCE NO. 2023 - 2516 5.2 Conduct a public hearing, discuss, and consider an ordinance regarding amendments to Appendix A, Section 10A of the Code of Ordinances of the City of The Colony, Texas, by amending Section 10A-500, Gateway Standards Waiver Procedures. Director of Planning, Isaac Williams, gave an overview of the item. The public hearing opened and closed at 7:34 p.m. with no speakers. Motion to approve – Holtz; second by Wade, motion carried with all ayes. ORDINANCE NO. 2023-2517 5.3 Discuss and consider canceling or rescheduling the City Council Regular Session meeting for July 5, 2023 in observance of Fourth of July. Council provided discussion on this item. Motion to approve – Schrag; second by Wade, motion carried with all ayes. Executive Session was convened at 7:48 p.m. 6.0 EXECUTIVE SESSION 6.1 A. Council shall convene into a closed executive session pursuant to Sections 551.072 and 551.087 of the Texas Government Code to deliberate regarding purchase, exchange, lease or value of real property and commercial or financial information the city has received from a business prospect(s), and to deliberate the offer of a financial or other incentive to a business prospect(s). Regular Session was reconvened at 8:48 p.m. 7.0 EXECUTIVE SESSION ACTION 7.1 A. Any action as a result of executive session regarding purchase, exchange, lease or value of real property and commercial or financial information the city has received from a business prospect(s), and the offer of a financial or other incentive to a business prospect(s). Motion to approve ground lease agreement with the Athletic Club Association, LLC on the terms discussed in executive session- Ensweiler; second by Wade, motion carried with all ayes. 38 City Council – Regular Meeting Agenda June 20, 2023 Page| 4 ADJOURNMENT With there being no further business to discuss the meeting adjourned at 8:48 p.m. APPROVED: __________________________________ Richard Boyer, Mayor City of The Colony, Texas ATTEST: _____________________________________ Tina Stewart, TRMC, CMC, City Secretary 39 Agenda Item No:4.2 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: City Secretary Item Type: Expenditures Agenda Section: Subject: Consider approving Council expenditures for May 2023. (Council) Suggested Action: Attachments: Council May Expenditures.pdf 40 41 42 43 44 45 46 47 48 49 50 51 52 Agenda Item No:4.3 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: Consider accepting Jan Partin's resignation from the Library Board. (Council) Suggested Action: Attachments: 53 Agenda Item No:4.4 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: Finance Item Type: Ordinance Agenda Section: Subject: Consider approving an ordinance extending the term of the existing franchise agreement with CoServ Gas Company ending December 31, 2048. (Miller) Suggested Action: Attachments: Ord. 2023-xxxx Atmos Gas Franchise Agreement.docx 54 The Colony Gas Franchise – Page 1 CITY OF THE COLONY, TEXAS ORDINANCE NO. 2023 - ________ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, GRANTING TO ATMOS ENERGY CORPORATION, A TEXAS AND VIRGINIA CORPORATION, ITS SUCCESSORS AND ASSIGNS, A FRANCHISE TO CONSTRUCT, MAINTAIN, AND OPERATE PIPELINES AND EQUIPMENT IN THE CITY OF THE COLONY, DENTON COUNTY, TEXAS, FOR THE TRANSPORTATION, DELIVERY, SALE, AND DISTRIBUTION OF GAS IN, OUT OF, AND THROUGH SAID CITY FOR ALL PURPOSES; PROVIDING FOR THE PAYMENT OF A FEE OR CHARGE FOR THE USE OF THE PUBLIC RIGHTS-OF-WAYS; AND PROVIDING THAT SUCH FEE SHALL BE IN LIEU OF OTHER FEES AND CHARGES, EXCEPTING AD VALOREM TAXES; AND REPEALING ALL PREVIOUS GAS FRANCHISE ORDINANCES. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS: SECTION 1. GRANT OF AUTHORITY: The City of The Colony, Texas, hereinafter called “City,” hereby grants to Atmos Energy Corporation, Mid-Tex Division, hereinafter called “Atmos Energy,” its successors and assigns, consent to use and occupy the present and future streets, alleys, highways, public utility easements, public ways and other public places (“Public Rights-of-Way”), for the purpose of laying, maintaining, constructing, protecting, operating, and replacing therein and thereon pipelines and all other appurtenant equipment (the “System”) to deliver, transport, and distribute gas in, out of, and through City for persons, firms, and corporations, including all the general public, and to sell gas to persons, firms, and corporations, including all the general public, within the City corporate limits, as such limits may be amended from time to time during the term of this franchise, said consent being granted for a term ending December 31, 2048. SECTION 2. CONSTRUCTION, MAINTENANCE, OPERATION & RELOCATION OF ATMOS ENERGY FACILITIES: A. Atmos Energy shall lay, maintain, construct, operate, and replace its pipes, mains, laterals, and other equipment to minimize interference with traffic, place or cause to be placed appropriate barriers to mark excavations or obstructions, and restore to approximate original condition all Public Rights-of-Way that it may disturb. In determining the location 55 The Colony Gas Franchise – Page 2 of the facilities of the City and other users of Public Right-of-Way within City, City shall minimize interference with then existing facilities of Atmos Energy and shall require other users of Public Rights-of-Way to minimize interference with existing facilities of Atmos Energy. In the event of a conflict between the location of the proposed facilities of Atmos Energy and the location of the existing facilities of City or other users of Public Rights-of- Way within Public Rights-of-Way that cannot otherwise be resolved, City or an authorized agent of City shall resolve the conflict and determine the location of the respective facilities within the Public Rights-of-Way. Atmos Energy or contractors working on behalf of Atmos Energy shall not be required to pay for street cutting, street excavation or other special permits related to excavations in Public Rights-of-Way in connection with Atmos Energy’s operations in Public Rights-of- Way. City shall provide Atmos Energy with its annual capital improvements plan as well as any updates or changes as soon as the plan, update, or change becomes available. City shall notify Atmos Energy as soon as reasonably possible of any projects that will affect Atmos Energy’s facilities located in the Public Rights-of-Way. When required by City to remove or relocate its mains, laterals, and/or other facilities lying within Public Rights-of- Way, Atmos Energy shall do so as soon as practically possible with respect to the scope of the project. In no event shall Atmos Energy be required to remove or relocate its facilities in less than thirty (30) days from the time notice is given to Atmos Energy by City. B. If City, in constructing its sewers, drainage, water lines, streets, or utilities, should request that Atmos Energy remove or relocate its mains, laterals, and other facilities lying within Public Rights-of-Way, Atmos Energy shall do so at its own expense for facilities that are in conflict, unless such work is for the primary purpose of beautification or to accommodate a private developer. Facilities are deemed to be in conflict to the extent that the proposed City facilities are determined by Atmos Energy to be inconsistent with gas distribution industry standard safe operating practices for existing facilities. Atmos Energy shall not be required to relocate facilities to a depth of greater than four (4) feet unless prior agreement is obtained from Atmos Energy. 56 The Colony Gas Franchise – Page 3 When Atmos Energy is required by City to remove or relocate its mains, laterals, and other facilities lying within Public Rights-of-Way to accommodate a request by City, and costs of utility removals or relocations are eligible under federal, state, county, local or other programs for reimbursement of costs and expenses incurred by Atmos Energy as a result of such removal or relocation, and such reimbursement is required to be handled through City, Atmos Energy costs and expenses shall be included in any application by City for reimbursement if Atmos Energy submits its cost and expense documentation to City prior to the filing of the application. City shall provide reasonable written notice to Atmos Energy of the deadline for Atmos Energy to submit documentation of the costs and expenses of such relocation to City. In the event that the City does not provide sufficient written notice to Atmos Energy as set forth in this paragraph, the City shall be responsible for fifty percent (50%) of the cost of the removal or relocation of Atmos Energy’s facilities. If Atmos Energy is required by City to remove or relocate its mains, laterals, or other facilities lying within Public Rights-of-Way for any reason other than the construction or reconstruction of sewers, drainage, water lines, streets or utilities by City, Atmos Energy shall be entitled to reimbursement from City or others of the cost and expense of such removal or relocation. C. When Atmos Energy is required to remove or relocate its mains, laterals or other facilities to accommodate construction by City without reimbursement from City, Atmos Energy shall have the right to seek recovery of relocation costs as provided for in applicable state and/or federal law. Nothing herein shall be construed to prohibit, alter, or modify in any way the right of Atmos Energy to seek or recover a surcharge from customers for the cost of relocation pursuant to applicable state and/or federal law. City shall not oppose recovery of relocation costs when Company is required by City to perform relocation. City shall not require that Company document request for reimbursement as a pre-condition to recovery of such relocation costs. D. If City abandons any Public Rights-of-Way in which Atmos Energy has facilities, such abandonment shall be conditioned on Atmos Energy’s right to maintain its use of the 57 The Colony Gas Franchise – Page 4 former Public Right-of-Way and on the obligation of the party to whom the Public Right- of-Way is abandoned to reimburse Atmos Energy for all removal or relocation expenses if Atmos Energy agrees to the removal or relocation of its facilities following abandonment of the Public Right-of-Way. If the party to whom the Public Right-of-Way is abandoned requests Atmos Energy to remove or relocate its facilities and Atmos Energy agrees to such removal or relocation, such removal or relocation shall be done within a reasonable time at the expense of the party requesting the removal or relocation. If relocation cannot practically be made to another Public Right-of-Way, the expense of any right-of-way acquisition shall be considered a relocation expense to be reimbursed by the party requesting the relocation. SECTION 3. INDEMNITY & INSURANCE: In the event of injury to any person or damage to any property by reason of Atmos Energy’s construction, operation, maintenance, or replacement of Atmos Energy’s pipeline system within Public Rights-of-Way, Atmos Energy shall indemnify and keep harmless City from any and all liability in connection therewith, except to the extent such injury or damage is attributable to the fault of the City, including, without limitation, the City’s negligent or intentional acts or omissions. Atmos Energy’s insurance of its obligations and risks undertaken pursuant to this franchise may be in the form of self-insurance to the extent permitted by applicable law, under an Atmos Energy plan of self-insurance maintained in accordance with sound accounting and risk-management practices. SECTION 4. NON-EXCLUSIVE FRANCHISE: The rights, privileges, and franchises granted by this ordinance are not to be considered exclusive, and City hereby expressly reserves the right to grant, at any time, like privileges, rights, and franchises as it may see fit to any other person or corporation for the purpose of transporting, delivering, distributing, or selling gas to and for City and the inhabitants thereof. SECTION 5. PAYMENTS TO CITY: A.Atmos Energy, its successors and assigns, agrees to pay and City agrees to accept, on a quarterly basis, on or before the 15th days of February, May, August, and November during 58 The Colony Gas Franchise – Page 5 the term of this franchise the last payment being made on the 15th day of November, 2048, a sum of money which shall be equivalent to four percent (4%) of the Gross Revenues, as defined in 5.B below, received by Atmos Energy during the preceding calendar quarter. B.“Gross Revenues” shall mean: (1)all revenues received by Atmos Energy from the sale of gas to all classes of customers (excluding gas sold to another gas utility in the City for resale to its customers within City) within the City; (2)all revenues received by Atmos Energy from the transportation of gas through the System of Atmos Energy within the City to customers located within the City (excluding any gas transported to another gas utility in City for resale to its customers within City); (3)the value of gas transported by Atmos Energy for Transport Customers through the System of Atmos Energy within the City (“Third Party Sales”) (excluding the value of any gas transported to another gas utility in City for resale to its customers within City), with the value of such gas to be established by utilizing Atmos Energy’s monthly Weighted Average Cost of Gas charged to industrial customers in the Mid- Tex division, as reasonably near the time as the transportation service is performed; and (4)“Gross Revenues” shall also include the following “miscellaneous charges:” charges to connect, disconnect, or reconnect gas and charges to handle returned checks from consumers within the City. (5)“Gross Revenues” shall not include: (a)revenues billed but not ultimately collected or received by Atmos 59 The Colony Gas Franchise – Page 6 Energy; (b)contributions in aid of construction; (c)the revenue of any affiliate or subsidiary of Atmos Energy; (d)sales tax and franchise fees paid to the City; (e)interest or investment income earned by Atmos Energy; and (f)monies received from the lease or sale of real or personal property, provided, however, that this exclusion does not apply to the lease of facilities within the City's right of way. C.The initial payment for the rights and privileges herein provided shall be due on or before February 15, 2024, and shall be for the privilege period January 1 through March 31, 2024, and each succeeding payment shall be for the privilege period of the calendar quarter in which the payment is made. It is also expressly agreed that the aforesaid payments shall be in lieu of any and all other and additional occupation taxes, easement, franchise taxes or charges (whether levied as an ad valorem, special, or other character of tax or charge), municipal license, permit, and inspection fees, bonds, street taxes, and street or alley rentals or charges, and all other and additional municipal taxes, charges, levies, fees, and rentals of whatsoever kind and character that City may now impose or hereafter levy and collect from Atmos Energy or Atmos Energy’s agents, excepting only the usual general or special ad valorem taxes that City is authorized to levy and impose upon real and personal property. If the City does not have the legal power to agree that the payment of the foregoing sums of money shall be in lieu of taxes, licenses, fees, street or alley rentals or charges, easement or franchise taxes or charges aforesaid, then City agrees that it will apply so much of said sums of money paid as may be necessary to satisfy Atmos Energy’s obligations, if any, to pay any such taxes, licenses, charges, fees, rentals, easement or franchise taxes or charges aforesaid. D.Effect of Other Municipal Franchise Ordinance Fees Accepted and Paid by Atmos Energy If Atmos Energy should at any time after the effective date of this Ordinance agree to a new municipal franchise ordinance, or renew an existing municipal franchise ordinance, 60 The Colony Gas Franchise – Page 7 with another municipality in Atmos Energy’s Mid-Tex Division, which municipal franchise ordinance determines the franchise fee owed to that municipality for the use of its public rights-of-way in a manner that, if applied to the City, would result in a franchise fee greater than the amount otherwise due City under this Ordinance, then the franchise fee to be paid by Atmos Energy to City pursuant to this Ordinance may, at the election of the City, be increased so that the amount due and to be paid is equal to the amount that would be due and payable to City were the franchise fee provisions of that other franchise ordinance applied to City. The City acknowledges that the exercise of this right is conditioned upon the City’s acceptance of all terms and conditions of the other municipal franchise in toto. The City may request waiver of certain terms and Company may grant, in its sole reasonable discretion, such waiver. E.Atmos Energy Franchise Fee Recovery Tariff (1)Atmos Energy may file with the City a tariff or tariff amendment(s) to provide for the recovery of the franchise fees under this agreement. (2)City agrees that (i) as regulatory authority, it will adopt and approve the ordinance, rates or tariff which provide for 100% recovery of such franchise fees as part of Atmos Energy’s rates; (ii) if the City intervenes in any regulatory proceeding before a federal or state agency in which the recovery of Atmos Energy’s franchise fees is an issue, the City will take an affirmative position supporting 100% recovery of such franchise fees by Atmos Energy and; (iii) in the event of an appeal of any such regulatory proceeding in which the City has intervened, the City will take an affirmative position in any such appeals in support of the 100% recovery of such franchise fees by Atmos Energy. (3)City agrees that it will take no action, nor cause any other person or entity to take any action, to prohibit the recovery of such franchise fees by Atmos Energy. 61 The Colony Gas Franchise – Page 8 F. Lease of Facilities Within City’s Rights-of-Way. Atmos Energy shall have the right to lease, license or otherwise grant to a party other than Atmos Energy the use of its facilities within the City’s public rights-of-way provided: (i) Atmos Energy first notifies the City of the name of the lessee, licensee or user; the type of service(s) intended to be provided through the facilities; and the name and telephone number of a contact person associated with such lessee, licensee or user and (ii) Atmos Energy makes the franchise fee payment due on the revenues from such lease pursuant to Section 5 of this Ordinance. This authority to Lease Facilities within City’s Rights-of-Way shall not affect any such lessee, licensee or user’s obligation, if any, to pay franchise fees. G. City shall within thirty (30) days of final approval, give Company notice of annexations and disannexations of territory by the City, which notice shall include a map and addresses, if known. Upon receipt of said notice, Company shall promptly initiate a process to reclassify affected customers into the city limits no later than sixty (60) days after receipt of notice from the City. The annexed areas added to the city limits will be included in future franchise fee payments in accordance with the sales tax effective date of the annexation if notice was timely received from City. Upon request from City, Company will provide documentation to verify that affected customers were appropriately reclassified and included for purposes of calculating franchise fee payments. In no event shall the Company be required to add premises for the purposes of calculating franchise payment prior to the earliest date that the same premises are added for purposes of collecting sales tax. SECTION 6. ACCEPTANCE OF FRANCHISE: In order to accept this franchise, Atmos Energy must file with the City Secretary its written acceptance of this franchise ordinance within sixty (60) days after its final passage and approval by City. If such written acceptance of this franchise ordinance is not filed by Atmos Energy, the franchise ordinance shall be rendered null and void. 62 The Colony Gas Franchise – Page 9 When this franchise ordinance becomes effective, all previous ordinances of City granting franchises for gas delivery purposes that were held by Atmos Energy shall be automatically canceled and annulled, and shall be of no further force and effect. SECTION 7. PARAGRAPH HEADINGS. CONSTRUCTION: The paragraph headings contained in this ordinance are for convenience only and shall in no way enlarge or limit the scope or meaning of the various and several paragraphs hereof. Both parties have participated in the preparation of this ordinance and this ordinance shall not be construed either more or less strongly against or for either party. SECTION 8. EFFECTIVE DATE: If Atmos Energy accepts this ordinance, it becomes effective as of January 1, 2024. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, THIS THE 18TH DAY OF JULY 2023. _____________________________ Richard Boyer, Mayor ATTEST City of The Colony, Texas ____________________________________ Tina Stewart, TRMC, CMC, City Secretary STATE OF TEXAS § COUNTY OF DENTON § CITY OF THE COLONY § I, Tina Stewart, City Secretary of the Cityof The Colony, Denton County, Texas, do hereby certify that the above and foregoing is a true and correct copy of an ordinance passed by the City Council of the City of The Colony, Texas, on the ______ day of ___________________, 2023. WITNESS MY HAND AND SEAL OF SAID CITY, this the ___ day of _________________, 2023. _______________________________________ Tina Stewart, City Secretary City of The Colony, Texas 63 Agenda Item No:4.5 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: Finance Item Type: Resolution Agenda Section: Subject: Consider approving a resolution authorizing the City Manager to deny Oncor Electric Delivery Company LLC's request to amend distribution rates. (Miller) Suggested Action: Attachments: Summary Memo Re Denial Resolution - 2023 Oncor DCRF.pdf 2023 Oncor Texas-RMD DENIAL.doc 64 65 1 RESOLUTION NO. 2023 - ________ A RESOLUTION OF THE CITY OF __________________, TEXAS FINDING THAT ONCOR ELECTRIC DELIVERY COMPANY LLC’S APPLICATION TO AMEND ITS DISTRIBUTION COST RECOVERY FACTOR AND UPDATE GENERATION RIDERS TO INCREASE DISTRIBUTION RATES WITHIN THE CITY SHOULD BE DENIED; AUTHORIZING PARTICIPATION WITH THE STEERING COMMITTEE OF CITIES SERVED BY ONCOR; AUTHORIZING HIRING OF LEGAL COUNSEL; FINDING THAT THE CITY’S REASONABLE RATE CASE EXPENSES SHALL BE REIMBURSED BY THE COMPANY; FINDING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE OF THIS RESOLUTION TO THE COMPANY AND LEGAL COUNSEL. WHEREAS, the City of __________________________, Texas (“City”) is an electric utility customer of Oncor Electric Delivery Company LLC. (“Oncor” or “Company”), and a regulatory authority with an interest in the rates and charges of Oncor; and WHEREAS, the City is a member of the Steering Committee of Cities Served by Oncor (“OCSC”), a membership of similarly situated cities served by Oncor that have joined together to efficiently and cost effectively review and respond to electric issues affecting rates charged in Oncor’s service area; and WHEREAS, on or about June 29, 2023, Oncor filed with the City an Application to Amend its Distribution Cost Recovery Factor and Update Mobile Generation Riders, PUC Docket No. 55190, seeking to increase electric distribution rates by approximately $152.78 million and update Oncor’s Rider Mobile Generation and Rider Wholesale Mobile Generation to recover $1.07 million related to mobile generation facilities; and WHEREAS, all electric utility customers residing in the City will be impacted by this ratemaking proceeding if it is granted; and WHEREAS, OCSC is coordinating its review of Oncor’s DCRF filing with designated attorneys and consultants to resolve issues in the Company’s application; and WHEREAS, OCSC members and attorneys recommend that members deny the DCRF. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ________________________, TEXAS: 66 2 Section 1.That the City is authorized to participate with Cities in PUC Docket No. 55190. Section 2.That subject to the right to terminate employment at any time, the City hereby authorizes the hiring of the law firm of Lloyd Gosselink and consultants to negotiate with the Company, make recommendations to the City regarding reasonable rates, and to direct any necessary administrative proceedings or court litigation associated with an appeal of this application filed with the PUC. Section 3.That the rates proposed by Oncor to be recovered through its DCRF charged to customers located within the City limits, are hereby found to be unreasonable and shall be denied. Section 4.That the Company shall continue to charge its existing rates to customers within the City. Section 5.That the City’s reasonable rate case expenses shall be reimbursed in full by Oncor within 30 days of presentation of an invoice to Oncor. Section 6.That it is hereby officially found and determined that the meeting at which this Resolution is passed is open to the public as required by law and the public notice of the time, place, and purpose of said meeting was given as required. Section 7.That a copy of this Resolution shall be sent to J. Michael Sherburne, Vice President – Regulatory, Oncor Electric Delivery Company LLC, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202; to Tab R. Urbantke, Hunton Andrews Kurth LLP, 1445 Ross Avenue, Suite 3700, Dallas, Texas 75202; and to Thomas L. Brocato, General Counsel to OCSC, at Lloyd Gosselink Rochelle & Townsend, 816 Congress Ave., Suite 1900, Austin, Texas 78701. PASSED AND APPROVED this __________ day of ___________________, 2023. ______________________________ Richard Boyer, Mayor ATTEST:City of The Colony, Texas ____________________________________ Tina Stewart, TRMC, CMC, City Secretary APPROVED AS TO FORM: ____________________________________ Jeffrey L. Moore, City Attorney 67 Agenda Item No:5.5 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: City Secretary Item Type: Resolution Agenda Section: Subject: Discuss and consider a resolution authorizing the City Manager to execute a Private Transfer Agreement (Grant by Special Warranty Deed) by and between The Colony Local Development Corporation and LMG Ventures, LLC, conveying Lot 2R, Block C, Grandscape Addition, Phase II, an addition to the City of The Colony, Denton County, Texas (Maurina) Suggested Action: Attachments: Grandscape - Private Land Transfer Agreement - Fritz Adventure.docx Res. 2023-xxx Private Transfer Agreement - Grant by Special Warranty Deed - LMG Ventures LLC - Fritz Adventure.docx 109 NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER. PRIVATE TRANSFER AGREEMENT (GRANT by SPECIAL WARRANTY DEED) THE STATE OF TEXAS § §KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DENTON § After making findings that this grant is authorized by Texas Tax Code Section 311.010(h), serves the legitimate public purpose of promoting economic development, and affords a clear public benefit in terms of both increased tax revenue and job opportunities, THE COLONY LOCAL DEVELOPMENT CORPORATION, a Texas non-profit corporation ("Grantor"), for and in consideration of the sum of Ten and No/100 Dollars ($10.00) and other valuable non-monetary consideration in the form of the Additional Consideration (defined below), for which no lien is retained either express or implied, and pursuant to which no right of reverter is granted to Grantor or its successors or assigns either express or implied, the receipt and sufficiency of which consideration are hereby acknowledged to be adequate, has GRANTED, SOLD, AND CONVEYED, and by these presents does hereby GRANT, SELL AND CONVEY, unto LMG VENTURES,LLC, a Texas limited liability company ("Grantee") having an address of 700 S. 72nd Street, Omaha, NE 68114, all that real property situated in the County of Denton, State of Texas, and more particularly described on Exhibit "A" attached hereto and made a part hereof for all purposes plus all of Grantor's right, title and interest in and to (i) all improvements and related amenities located in and on such real property, (ii) easements, if any, benefiting such real property, (iii) the oil, gas, and other minerals (and all executory and leasing rights relating thereto) that are in and under such real property and that may be produced from such real property and (iv) appurtenances, if any, pertaining to such real property, including any right, title and interest of Grantor in and to: (a) water wells and any other permits for utilities, drainage and detention rights which serve or which will serve the land and improvements now or hereafter constructed thereon; (b) any architectural plans and specifications, surveys, engineering, soils, seismic, geological and environmental reports, studies, certificates and other technical descriptions applicable to the land and/or improvements; (c) any warranties, guaranties, indemnities, claims and causes of action, to the extent applicable to the land and/or improvements; (d) any licenses, permits, governmental approvals, utility commitments, utility rights, reimbursement rights, development rights or other similar rights; (e) any rights to credits, refunds, and reimbursements including without limitation any credits against, or right to pay reduced application fees, permit fees, inspection fees or impact fees applicable to the land; (f) any rights under zoning cases, preliminary plans, plats, and other development applications and approvals; and (g) all other development rights, powers, privileges, options, or other benefits associated with, that pertain to, are attributable to, are appurtenant to, apply to, or which otherwise directly benefit the land (collectively, the "Property"). 110 The "Additional Consideration" for this transfer to Grantee includes the following grant performance standards: 1.Grantee's use of the Property increasing the property tax revenues and sales tax revenues collected by the City of The Colony, Texas, within Tax Increment Reinvestment Zone Number One, City of The Colony, Texas (the "Zone"). 2.On January 1 of the first calendar year after the Facility defined in the Final Project and Finance Plan for Tax Increment Reinvestment Zone Number One, City of The Colony, Texas, adopted by the Board of Directors of the Zone on November 15, 2011, and approved by the City Council on November 15, 2011 (the "Project and Finance Plan") is open for business to the public, TXFM, Inc., a Texas corporation, causing the Facility to provide a minimum of 850 Full-Time Equivalent Jobs as defined in the Project and Finance Plan. If the Facility does not provide the required minimum number of Full-Time Equivalent Jobs, the penalty provisions included in that certain Development and Tax Increment Payment Agreement approved by Grantor on November 15, 2011, shall apply to TXFM, Inc. On April 7, 2015, the Grantor approved Resolution No. LDC2015-003 finding that the performance standards referenced in this Section 2 were satisfied. Further, on December 5, 2017, the City Council of the City of The Colony, Texas, approved Resolution No. 2017-109 finding that the performance standards reference in this Section 2 were satisfied. Grantor, on behalf of itself and on behalf of any party holding a right under the Project and Finance Plan or any documents ancillary thereto, expressly acknowledges and agrees with such findings, and further acknowledges and agrees that the obligation with respect to required minimum number of Full-Time Equivalent Jobs, and any penalty associated therewith as aforesaid, shall not survive the execution and delivery of this Private Transfer Agreement. 3.This Private Transfer Agreement is made and accepted expressly subject to the matters set forth on Exhibit B attached hereto and made a part hereof for all purposes and subject to the lien for all ad valorem taxes arising after the date hereof the payment of which Grantee hereby assumes (collectively, the "Permitted Encumbrances"). TO HAVE AND TO HOLD the Property, subject to the Permitted Encumbrances, together with all and singular the rights and appurtenances belonging in any way to the Property, unto the said Grantee, its successors and assigns forever, and Grantor binds itself and its successors and assigns to warrant and forever defend all and singular the Property, subject to the Permitted Encumbrances, to Grantee, its successors and assigns against every person lawfully claiming or to claim all or any part of the Property, by, through, or under Grantor, but not otherwise. [SIGNATURE PAGE FOLLOWS] 111 IN WITNESS WHEREOF,Grantor has executed this Private Transfer Agreement (Sale by Special Warranty Deed) to be effective as of , 2023. GRANTOR: THE COLONY LOCAL DEVELOPMENT CORPORATION, a Texas non-profit corporation ____________________________ Richard Boyer, President ATTEST: __________________________ Tina Stewart, City Secretary APPROVED AS TO FORM: __________________________ Jeff Moore, City Attorney STATE OF TEXAS § § COUNTY OF DENTON § This instrument was acknowledged before me on this __ day of ______________, 2023, by Richard Boyer, the President of The Colony Local Development Corporation, a Texas non- profit corporation, and acknowledged to me that he executed the same for the purposes and consideration therein expressed on behalf of said corporation. ___________________________________ Notary Public in and for the State of Texas AFTER RECORDING RETURN TO: James Kirkland Kuckelman Torline Kirkland 10740 Nall, Ste. 250 Overland Park, KS 66211 112 Exhibit A – Description of the Property Being Lot 2R, Block C of the Grandscape Addition, Phase II, an addition to the City of The Colony, Denton County, Texas. 113 Exhibit B Exhibit B – Permitted Encumbrances Exhibit B – To include those exceptions listed on Schedule B of the Owner's Title Commitment plus the following exceptions: Those rights recorded against the Property to secure performance of the public entities under certain economic incentive agreements, including rights under any (a) covenants, conditions and restrictions; (b) easements; (c) transfer documents that include a determinable interest, reversion or other similar right; or (d) a deed of trust to secure performance. In order to ensure that there are adequate public controls in place to ensure that the grant performance standards set out in the Project and Finance Plan are satisfied, the public purpose is accomplished and to protect the public's investment, to the extent bond proceeds financed the acquisition by the City of the Property or the improvements the City constructed on such Property, the land and improvements are restricted to uses consistent with those identified in the documents authorizing the issuance of such bonds (e.g., if bond proceeds constructed a warehouse/distribution facility located on the Property, then the Property may only be used for warehouse/distribution uses for so long as such bonds remain outstanding). Once such bonds are paid, this restriction shall automatically terminate. Evidence of payment of such bonds may be recorded by Grantee in the Denton County deed records. 114 CITY OF THE COLONY, TEXAS RESOLUTION NO. 2023 -_______ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, AUTHORIZING AND APPROVING THE EXECUTION OF A PRIVATE TRANSFER AGREEMENT (GRANT BY SPECIAL WARRANTY DEED) BY AND BETWEEN THE COLONY LOCAL DEVELOPMENT CORPORATION AND LMG VENTURES, LLC, A TEXAS LIMITED LIABILITY COMPANY, CONCERNING THE CONVEYANCE OF LOT 2R, BLOCK C, GRANDSCAPE ADDITION, PHASE II, AN ADDITION TO THE CITY OF THE COLONY, DENTON COUNTY, TEXAS; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN IMMEDIATE EFFECTIVE DATE. WHEREAS, The Colony Local Development Corporation (hereinafter referred to as the “LDC”) has been created and organized as a public, nonprofit local government corporation incorporated pursuant to Subchapter D of Chapter 431, Texas Transportation Code, as amended to aid, assist and act on behalf of the City of The Colony, Texas (hereinafter referred to as the “City”) in the performance of the City’s governmental functions; and WHEREAS,LDC is the sole owner of Lot 2R, Block C, Grandscape Addition, Phase II, an addition to the City of The Colony, Denton County, Texas, subject to the Private Transfer Agreement (Grant by Special Warranty Deed), a copy of which is attached hereto as Exhibit A, pursuant to Instrument Numbers 2014-30675, 2014-30676, and 2014-30677 filed and recorded in the Real Property Records of Denton County, Texas; and WHEREAS,on or about July 18, 2023, the Board of Directors of the LDC approved the Private Transfer Agreement (Grant by Special Warranty Deed) a copy of which is attached hereto as Exhibit A, conveying Lot 2R, Block C, Grandscape Addition, Phase II, an addition to the City of The Colony, Denton County, Texas, to LMG Ventures, LLC; and WHEREAS,the form of the Private Transfer Agreement (Grant by Special Warranty Deed) was approved as part of the bond validation suit styled Ex parte The Colony, in the 53rd Judicial District Court, Travis County, Texas, Cause No. 0-1-GV-11-001995, decided January 18, 2012, Trial Exhibit No. 38; and WHEREAS, the City Council for the City of The Colony, Texas, finds and determines it is in the best interest of the City of The Colony, Texas, to approve the Private Transfer Agreement (Grant by Special Warranty Deed) by and between the LDC and LMG Ventures, LLC, a copy of which is attached hereto as Exhibit A. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, THAT: SECTION 1. The findings set forth above are hereby found to be true and correct findings 115 Page 2 of the City and are incorporated into the body of this Resolution as if fully set forth herein. SECTION 2.The City Council of the City of The Colony, Texas, does hereby approve and authorize the President of the LDC to execute the Private Transfer Agreement (Grant by Special Warranty Deed) by and between the LDC and LMG Ventures, LLC, a copy of which is attached hereto as Exhibit A, and is incorporated herein for all purposes. SECTION 3.If any section, article paragraph, sentence, clause, phrase or word in this Resolution, or application thereto to any persons or circumstances, is held invalid or unconstitutional by a Court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this Resolution; and the City Council hereby declaresit would have passed such remaining portions of this Resolution despite such invalidity, which remaining portions shall remain in full force and effect. SECTION 4. This Resolution shall become effective immediately upon passage. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, THIS THE 18 TH DAY JULY, 2023. Richard Boyer, Mayor The Colony, Texas ATTEST: Tina Stewart, TRMC, CMC, City Secretary APPROVED AS TO FORM: Jeff Moore, City Attorney 116 Exhibit A Private Transfer Agreement (Grant by Special Warranty Deed) [Lot 2R, Block C, Grandscape Addition, Phase II, an addition to the City of The Colony, Denton County, Texas] 117 118 Agenda Item No:5.6 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Tina Stewart Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: Discuss and consider appointing members to various boards and commissions. (Council) Suggested Action: Attachments: 119 Agenda Item No:6.1 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: A. Council shall convene into a closed executive session pursuant to Sections 551.072 and 551.087 of the Texas Government Code to deliberate regarding purchase, exchange, lease or value of real property and commercial or financial information the city has received from a business prospect(s), and to deliberate the offer of a financial or other incentive to a business prospect(s). B. Council shall convene into a closed executive session pursuant to Section 551.071 of the Texas Government Code to seek legal advice from the city attorney regarding pending or contemplated litigation regarding structure generally located at 5800 Truitt, The Colony, Texas. Suggested Action: Attachments: 120 Agenda Item No:7.1 CITY COUNCIL Agenda Item Report Meeting Date: July 18, 2023 Submitted by: Kimberly Thompson Submitting Department: City Secretary Item Type: Discussion Agenda Section: Subject: A. Any action as a result of executive session regarding purchase, exchange, lease or value of real property and commercial or financial information the city has received from a business prospect(s), and the offer of a financial or other incentive to a business prospect(s). B. Any action as a result of executive session regarding pending or contemplated litigation regarding structure generally located at 5800 Truitt, The Colony, Texas. Suggested Action: Attachments: 121