HomeMy WebLinkAbout02/11/1991 City Council MINUTES OF THE CITY COUNCIL MEETING
HELD ON
FEBRUARY 11, 1991
The Work Session of %he City Council of %he Ci%y of The Colony,
Texas was called to order a% 7=00 p.m. on %he ll%h day of February,
1991 at City Hall wi%h the following Council roll call=
William W. Manning, Mayor Presen%
Mike Lynch, Councilman Absent
Steve Withers, Councilman Presen%
Mike Alianell, Councilman Presen%
Rob Burchard, Councilman Present
Lou Gomez, Councilman Present
Joel Marks, Councilman Present
and with six present, a quorum was established and the following
i%ems were addressed:
1. Discussion of Police Depar%ment Grants
Chief Ted Gibson addressed the Council regarding various
gran%s available to the city for police related projects. Chief
Gibson said he and Bob van Til had met with the' Criminal Jus%ice
Division in Austin and recommend applica%ion for two grants:
1. Drug Task Force Officer - this grant will allow %he city
take part in %he Den%on County Drug Task Force for approximately
$11,000 a year. The grant pays 75% and the city pays 25% of %he
officer's salary, benefits, etc. This grant will be available June
1. This is a cash grant, no matching services or items.
Chief Gibson said Sheriff Robinson will furnish the car and
equipmen% and the City just has to furnish the person, noting this
will allow him (~he chief) to sit on %he board of the task force
and have input as to what cases the task force works on.
Councilman Gomez asked if we will get enough benefit and the
Chief said yes. The Chief went on to say the officer will report
to Den%on and a mon%hly report will be given to our depar%men%,
going on to say the officer will work for the Colony under our
policies, etc. and %hat each Police Department Chief sits on
board.
Councilman Atianell asked if this would be a new officer or an
existing one. Chief Gibson said we will have to hire a new officer
and that person may or may no% be the officer assigned to %he Task
Force. Chief Gibson went on to say %he time an officer stays on
%he Task Force will vary, bu% %here will be no long %erm under
cover work for any one officer. The Chief said there will be
special %raining in Ft. Wor%h for %he officer and that %he officer
will probably rota%e, noting this is a 4 year program with
application being made each year.
Chief Gibson said he is very impressed with the program and
noted that the City needs someone working on drugs. The Chief said
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this will impact our budget by $11,000 increase next year and went
on to say %hat some of the confiscated money could be spread around
to the Task Force.
2. 5 Year Grant - School Resource Officer
The first year is paid 100% by the grant except for equipment,
gradually decreasing each year for five years until the City is
able to pay for the entire cost of the officer. This will allow
the depar%men% to add an officer without expending the full cost of
that officer until five years down the road.
Chief Gibson said over a five year period the police
department could receive a total of $132,663.00 in grant funds.
A brief discussion followed, af%er which the Council agreed
the Chief should move forward with bo$h grant applications.
2. Discussion of the State Revolving Fund
City Manager Bill Hall expressed his concern that the Council
and staff is on the same track regarding the SRF Loan and gave an
extensive background presentation of the Eastvale sewer project,
from approximately 7 years ago to present.
I. Eastvale as a City
A. Background of Eastvale Utilities
There have been utility problems in Eastvate for several
years, ~the main one being lack of water pressure and septic
sys%ems. The City of Eastvale tried to improve with grants, bonds,
etc. and were able to receive a "701" planning grant (funds of
which are now gone), a portion of which was spent to draw up plans
for utilities. The City of Eastvale could not afford to make the
improvements needed, and they received a mandate from the Denton
County Health Department regarding the septic system. The sitting
Council considered disincorpora%ion
B. PoinSs of consideration for Eastvale Disincorporation
WiSh revenue sources available in Eastvate, it was not
possible to keep up Sheir system, however, if they disincorporated
back to a "town" they might receive assistance from the County;
financially, policy services and fire protection. Another
possibility wa.~ to consolidate with The Colony. Doing this would
afford them services they were currently without. Committees~were
formed of members from both entities. It was felt that both cities
would benefiS from the consolidation. The Colony would gain
additional real estate, hopefully increasing the tax base, and
Eas%vale would receive benefits of police and fire protection and
hopefully improve wa%er, sewer and road condi$ions.
The end result of %hese negotiations resulted in an
election in both entities, which approved the consolidation.
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II. Need Services o%her %han Sewer
A. Wa%er and i%s s%a%us
Af%er consolida%ion %hree %hings were looked a%; wa%er
sys%em, fire suppor% and %he facili%ies. The wa%er sys%em, while
working, had broken lines. Mos% of %he lines are 2" and are old.
There is one 4" line along FM 423. There is one fire hydran% in
%he area, loca%ed on W. lake Highlands Dr. There is no wa%er line
large enough %o accommoda%e a fire hydran%. A% some %ime, we (%he
Colony) is going %o have %o make improvemen%s %o %ha% wa%er sys%em.
Since consolida%ion %here have been some replacemen%s and
repairs %o %he wa%er sys%em, and %here have'been no known problems
wi%h wa%er %rea%men% o%her %han low wa%er pressure. The sys%em is
adequa%e for normal household use, however i% is no% adequa%e for
fire suppor%.
In %he pas%~%wo weeks we have received a repor% from
Texas Wa%er Commission regarding an inspec%ion on %he wa%er
facili%ies in %he Ci%y. The main well si%e and ground~s%orage area
for %he Eas%vale Addi%ion, loca%ed a% Wi%% Rd. and Elm~S%ree% needs
a lo% of work %o bring %he si%e in%o compliance. We are no% under
any edic%, however, i% is some%hing %ha% will have %0 be done.
B. S%ree% and Drainage
Main%enance on %he s%ree%s in %he Eas%vale Addi%ion has
been %he bes% we can provide simply because we do no% have
equipmen% or ma%erials %0 do more. A lo% of work has been done on
drainage and i% has helped, al%hough %he residen%s in %he area
would probably no% agree. The roads are cons%an%ty in disrepair
and have no crown. In %he pas%, %he roads have been graded
periodically and %brough %he S.R.F. process, i% was discovered
%he cen%er of %he roads is now somewhere be%ween 10 - 20 fee% off.
We need %0 de%ermine if %he roads will be repaired and brough% up
%o s%andards of %he res% of %he ci%y, i.e. concre%e, curb and
gu%%er or will be do some%hing less for now.~ Regardless of which
direc%ion, major inves%men%s will have %o be made %o improve
roads in %he Eas%vale Addi%ion.
III. Sewer Sys%em
A. Exis%ing Sep%ic sys%em. Soil Condi%ions, Heal%h
Problems
All bu% %hree houses in %he area on sep%ic sys%ems. Three
homes were %ied in%o %he Ci%y sewer sys%em a% %he owner's expense
abou% 6 years ago. A lo% of %he problems experienced in %he pas%
have been improved upon, however %he soil is very permeable and
does no% lend i%self %o sep%ic sys%ems very well. Recen% changes
in Heal%h Depar%men% rules dic%a%e %ha~ you mus% have~ an acre of
land for a sep%ic sys%em and a drain field. Mos% of %he lo%s in
%he are no% %ha% large. We %alked abou% upda%ing %he sep%ic sys%em
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by %he ci%y con%rac%ing wi%h a company %o periodically clean
%anks. However, if a sep%ic %ank is drained %oo frequently,
des%roys %he whole aspec~ of %he system.
B. Al%erna~ives
1. Change existing septic system %o a sys%em used
in Arizona. Basically ~he same kind of system wi%h
a pump in %he area. Cos% prohibi%ive
2. Do no~hing
3. Tie in%o ~he Ci%y sewer system. This proposal
decided on and pursued.
C. Funding for Improvements
1. Assessmen%
System ins%ailed and homeowners assessed ~he cos%.
Some low income families would no% be able %o afford ~his which
mean% %here would be "haves" and "have no~s". No~ a good approach
2. Gran%s
The Ci%y of Eas%vale brough% in some gran%s; "701"
planning gran%. Bob van Til researched %his projec% and worked
diligen%ly on ge~%ing a gran%. We were %urned down %he firs% ~ime
and %ried again, only ~o be %urned down a second ~ime. We did no~
mee~ %he cri%eria; income, minori%ies. A lo~ of hard work wen%
in~o %he gran% applica%ions bu% ~o no avail.
3. Bond
Ano%her op%ion was wa~er and sewer bonds. This was
discussed in length bu~ no~ pursued.
4. S~a%e Revolving Fund (Loan)
The made applica%ion %o ~he SRF and were approved
for it, ranked # 1. Fac%s and figures were gathered and i% was
decided ~his is a good approach. Several %rips ~o Austin have been
made, public hearing held. One of the requiremen%s was ~ha~
ci%y adop% a user based ra%e s~ruc%ure for u~ili%y billing. This
was done and af%er concerns were expressed by ci%izens, %he wa~er
and sewer ra~es were adjusted somewhat lower.
Preliminary engineering added ~o the cos~ of the
improvemen%s es%imaged ~he projec~ a~ $1,080,000, which was ~he
amount presented a~ the first public hearing. Af%er much
discussion regarding how ~o pay back ~he loan, no%ing ~ha% %he
entire ci%y mus~ be assessed, no~ jus~ ~hose residen%s in
targe~ area, i% was de%ermined %hat an amoun~ no% %0 exceed $1.15
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would be added %o %he u%ili%y bills, for a period of 20 years.
Since %he firs% public hearing some %hings have
changed. We moved fur%her in%o %he program and received
informa%ion %ha% %he Texas Wa%er Developmen% Board did no% feel
$1,080,000 was sufficien% %o do %he entire projec%. They indica%ed
%he projec% would cos% approxima%ely $1,400,000. Af%er %his
change, a presen%a%ion was made %o Council and ano%her public
hearing (no% required) was held %0 inform %he public of
possible increase in %he addi%ion %0 %he u%ili%y bill in %he range
of $1.30 %o $1.35.
Af%er more delibera%ion and work by Firs% Sou%hwes%'
Chris Janning, ~he amoun% of money being asked for is now se~
$1,300,000. There are several fac%ors accoun%ing for %he increase;
fron%-end in%eres%, cos% %o sell %he bonds, actual cons%ruc%ion
costs. There are also some op%ions which will reduce ~he amoun%;
funds from %he li%iga%ion se%%lemen% in %he Eas%vale us Hawks case
in an approxima%e amoun% of $45,000 %o $50,000 and %he fac%
our engineer, Terry Millican feels very s%rongly ~ha~ %he projec%
will come in less %han $1,080,000. Wi~h %hese %hings in mind
addi%ion %o %he u%ili%y bills may be' somewha% less %han %he las%
projection of $1.65.
B. Impac% on Presen% and Fu%ure Fee S%ruc%ure
(Wa%er and Was%ewa%er)
The addi%ion %0 %he u%ili%y bills will go in%o effec% in
April or May of %his year. This can be a surcharge paid %hrough
%he life of %he loan and %hen %ermina%ed a% %he end of 20 years.
I% is s%ill an increase in %he mon%hty bill, %herefore, how %o you
presen% %his %o %he public posi%ively and a% %he same %ime address
%he ordinance which requires %he Council %o address wa%er and sewer
ra%es on a yearly basis. An increase in %hose bills will be
necessary a% some %ime %o accommoda%e expansion of %he sys%em.
C. Fu%ure Bonds
1. Was%ewa%er Trea%men~ Plan%
a. Grow%h fac%ors
b. Fu%ure developmen%
Our preliminary census looks grea%, going from 17,500
popula%ion in 1980 %o 22,211 in 1990. These numbers look good, bu%
~hey cause a problem also wi%h respec~ %0 %he infras%ruc%ure and
%he expansion of %he Was%ewa%er Trea%men% Plan%. We have been
under %he impression we had 3 %o 5 more years from %he curren%
plan%, bu% wi%h %he new census figures we wilt be forced %o expand
sooner. Mr. Hall gave %he formula by which expansion needs are
calcula%ed.
Af%er meeting wi%h engineer, Terry Miltican, i% has been
de%ermined %ha% expansion of %he ptan% will have %o underway
some%ime in la%e 1992 or early 1993.
There are 3 op%ions for expansion
1. Expand %he exis%ing plan% ano%her 2.5 mgd at a cos% of
approximately 5.2 million and add 25 years %o %he use of the plan%.
2. Expand the existing plan% another 1.25 mgd a% an
approxima%e cos% of 3.9 million and extend the use 10-15 years
3. Refurbish %he existing Package Treatmen% Plant a% an
approximate cos% of $700,000, increasing capaci%y 400,000 mgd and
add 4-5 years %o %he sys%em, plus a cost of $3000 a year for a
permi%.
The firs% option would add $7.00 to residen%ial bills
plus the SRF addi%ive, op%ion 2 $5.30 per mon%h plus SRF and op%ion
3 $.78 per mon%h plus SRF.
Mr. Hall said the Council needs to look at all of %hese
i%ems and all should be aware of wha% %he Ci%y could be facing as
far as increase, no%ing %hese are things %hat need to be done and
%hese are the approxima%e cos%s, going on %o say he wilt be going
%o McAllen %o finalize the SRF loan process and we must make a
decision regarding going on or no%. Mr. Hall advised the Council
several %Jmes during his presen%ation %hat he is making no
recommendations regarding %he direc%ion %he Ci%y should go bu% that
he felt i% necessary that %he Council have all %he facts in front
of %hem before making %he final decision.
Councilman Gomez asked in there is any logic in addressed
%he wa%er, sewer and stree%s in Eas%vale a% the same %ime and same
money. Mr. Hall said a bond issue could be pursued for all %hese
projec%s, however, Mr. Janning said wi%h a project %his size %here
would be no real savings in in%erests. Councilman Gomez explained
he meant cons%ruc%ion costs, to which Mr. Millican estima%ed a
savings of less %han 5% if %he water and sewer projects were done
toge%her, wi%h more savings if the s%ree%s were added also. Mr.
Millican said there is an alterna%e in %he bid specs for %he sewer
project which will provide better road coverage %han exists now.
Councilman Marks expressed concern over the differen% cost
es%ima%es since %he beginning of %his projec%. Mr. Millican
explained %he original was a preliminary plan wi%h no de%ails and
now wi%h all the information available and by eliminating one lift
s%a%ion, his estima%e is lower than %he original. Mr. Millican
said %he reserve fund requirement has driven the cost up. Mr.
Janning reminded the council tha% all the cos%s have %o ~e factored
in, but if in %he end, the whole amount is no% needed, then %he
loan is only for %he amount necessary %0 complete %he project.
Mr. Janning wen% on to explain that there reserve fund of
$111,000 will be paid back in the firs% 5 years and after %hat %he
addi%ion to %he utility bills will be decreased.
Councilman Withers suggested doing the projec% in phases. Mr.
Millican said i% is possible, but it woul~d be difficut% which %o do
firs%.
There followed a lengthy discussion regarding options, fu%ure
growth, expansion of %he wastewa%er %reatment plan%, e%c. Mr. Hall
said we will have %o go ou% for a bond issue in ta%e 1992 because
we will have reached 90% capaci%y in %he was%ewa%er sys%em and we
mus% be under cons~ruc%ion of expansion at %ha% %ime. The Council
also discussed a moratorium on buildi~ in the city and the
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rehabilitation of %he old package treatment plant.
Councilman Burchard asked about easing into the rate increase.
Chris Janning said the $1.65 (or what ever the additive is) will
have to be set in April or May but that a small increase could be
implemen%ed each year to accumulate the needed funds to go out for
a bond issue to expand the system. Mr. Janning said if the Council
agrees with this proposal, then Mr. Hall and Boyd London of First
Southwest will be in McAtlen on February 25 to finalize the loan
and he (Janning) will be at the Council meeting on the 25th to
answer any questions .regarding the bond ordinance, which will have
to passed at that meeting.
Mayor Manning reiterated the worst case will bring an additive
to the utility bills of $1.63, but it is more likely to be $1.30 to
$1.40.
Councilman Gomez said we all agreed to reviewing the water
rates soon and suggested adjusting the water rate and adding this
amoun% at the same time. There followed a brief discussion
regarding that proposal with no decision being made.
Councilman Burchard asked for Mr. Hall's report in writing
before the next meeting.
Terry Millican handed out several graphs showing the options
available to the City for expanding the wastewater system, the
costs involved, etc.
Ail Council agreed to move forward with the SRF loan.
With no further business to address, Councilman Gomez made the
motion to adjourn and Councilman Atianell seconded the motion which
carried with all members voting Aye. Mayor Manning adjourned the
meeting at 9:18 p.m.
APPROVED:
W~tliam W~. Manning, M~
ATTEST:
Patti A Hicks, City SeCretary
[SEAL]
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