Loading...
HomeMy WebLinkAbout09/21/1992 City Council MINUTES OF THE CITY COUNCIL MEETING HELD ON SEPTEMBER 21, 1992 The Regular Session of the City Council of the City of The Colony, Texas was called to order at 7:30 p.m. on the 21st day of Septemer 1992, at City Hall with the following Council roll call: William W. Manning, Mayor Absent Mike Lynch, Councilman Present Billy Sharp, Councilman Present Joe Agnew, Councilman Present Tom Bogan, Councilman Present John Dillard, Councilman Present Joel Marks, Mayor Pro-rem Present and with six present, a quorum was established and the following items were addressed: 1. PLEDGE OF ALLEGIANCE 2. CITIZEN INPUT David Williford, 4165 Newton, addressed the council regarding the condition of the area at Stewart Creek Park set aside for sail boat launching. Mr. Williford said it is pitted due to people using the area to launch .jet skis. Going on, he said to launch sail boats, the area needs to be grassy and this area is no longer grassy, and went on to ask the City to smooth out the pits and re-seed the grass if possible. Mr. Williford also addressed the council regarding The Colony Flyers R.C. Airplane club, stating the area at Wynnewood Peninsula designated for their use will be ready as soon as the utility pole and wires are removed. Mr. Williford did ask for the city's help with a brush hog to knock down the high weeds one time, stating the club will take care of maintaining the area after that. Mayor Pro-tern Marks asked Mr. Williford to contact Mr. Hall tomorrow regarding that request. 3. PRESENTATION OF EMPLOYEE AWARDS Margaret Burkett, Personnel Director and Mayor Pro-tem Marks presented the following employee awards: Sgt. Andy Longo received a ten year watch. Sgt. Bruce Stewart received a five year pin and Dispatcher Gloria Carver received a three year pin. 4. CONSENT AGENDA 4 Mayor Pro-tem Marks summarized the items, after which Councilman Lynch pulled items D and E for discussion. A. CONSIDERATION OF APPROVAL OF THE MINUTES OF THE COUNCIL MEETINGS HELD SEPTEMBER 8, 9, 11, 14 AND 16, 1992 Motion to approve the minutes as written - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. B. CONSIDERATION OF ACCEPTANCE AND AWARD OF BIDS FOR JANITORIAL SERVICES AND APPROVAL OF AN ORDINANCE AUTHORIZING CONTRACT FOR SAME Motion to award the bid to Cardinal Custodial Services as recommended and approve the ordinance - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. C. CONSIDERATION OF ACCEPTANCE AND AWARD OF BIDS FOR DIESEL FUEL AND APPROVAL OF AN ORDINANCE AUTHORIZING CONTRACT FOR SAME Motion to award the bid to Mallow Oil as recommended and approve the ordinance - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. D. CONSIDERATION OF ACCEPTANCE AND AWARD OF BIDS FOR SULPHUR DIOXIDE AND APPROVAL OF AN ORDINANCE AUTHORIZING CONTRACT FOR SAME Councilman Lynch asked how often we have to pay the demurrage charge and if we should be buying larger cylinders to prevent that charge. Mr. Hall said the larger cylinders require a crane to move and these smaller cylinders do not. Councilman Lynch said if we determine we pay very much for demurrage, we might need to buy our own tanks. Motion to award the bid DPC Industries as recommended and approve the ordinance - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. E. CONSIDERATION OF APPROVAL OF EMPLOYEE CONTRACTS FOR THE 1992-93 FISCAL YEAR FOR THE FOLLOWING PERSONS: WILLIAM M. HALL, CITY MANAGER PATI'I A. HICKS, CITY SECRETARY JAMES ENGLAND, DIRECTOR OF FINANCE VAN MORRISON, FIRE CHIEF TOMMY TURNER, DIRECTOR OF UTILITIES BOB VAN TIL, ADMINISTRATIVE STAFF PLANNER 5 004D 6 Councilman Lynch noted that the City Manager's contract has a 6month severence pay clause and all other contracts have only a 3 month severence pay clause. Councilman Lynch said he feels all the contracts should be the same, either 6 months or 3 months, stating also that there needs to be reasons for termination stated in the contract other than conviction of a felony or moral turpitude. The councilman went on to say that these things need to be looked at before the contracts come up for approval again. Motion to approve the contracts as written - Lynch; second - Dillard. Motion carried with a unanimous roll call vote. F. CONSIDERATION OF APPOINTMENT OF SANDIE CHANCE AS DEPUTY CITY SECRETARY Motion to approve the appointment as recommended - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. G. CONSIDERATION OF A RESOLUTION AUTHORIZING THE ADOPTION OF A FLEXIBLE SPENDING PLAN IN COMPLIANCE WITH SECTION 125 OF THE INTERNAL REVENUE SERVICE CODE Motion to approve the Resolution as written - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. H. CONSIDERATION OF A CASH TRANSFER FROM THE LAND FUND TO THE UTILITY FUND Motion to approve the transfer - Bogan; second - Sharp. Motion carried with a unanimous roll call vote. 7:45 At this time Mayor Pro-tem Marks announced the Council would recess to address item No. 12. 12. EXECUTIVE SESSION AS AUTHORIZED BY ARTICLE 6252-17, V.A.C.S., SECTION 2E REGARDING LITIGATION, TO WIT: A. RESOLUTION TRUST CORPORATION VS CITY OF THE COLONY, ET AL 8:30 Council Reconvened in Open Session and addressed the following items: 13. CONSIDERATION OF ANY ACTION TO BE TAKEN AS A RESULT OF THE EXECUTIVE SESSION Motion to approve an ordinance authorizing the Mayor to execute a Boundary Adjustment Agreement between the City of Piano and the Town of Hebron and to execute a Settlement 6 004S56 Agreement between the Resolution Trust Corporation and the City of The Colony - Lynch; second - Sharp. Motion carried with a unanimous roll call vote. 5. CONSIDERATION OF A PROPOSAL TO INCREASE THE 1992 TAX RATE TO $.80 PER $100 VALUATION FOR THE 1992-93 FISCAL YEAR Mayor Pro-tem Marks read from a prepared statement (See Attachment "A") which outlined the steps leading up the proposed tax increase and the reason the tax increase is needed. It was noted that the budget proposed to be adopted at this meeting does include a $.02 tax increase, which will decrease the transfer from reserves from $725,000 to $375,000, a figure still much too high. Mayor Pro-tern Marks stated that it is necessary for the Council to take a roll call vote to state their intent to raise taxes. The vote was taken as follows: Lynch - Aye, Sharp - Aye, Agnew - Aye, Bogan o Aye, Dillard - Aye, Marks - No. 6. CONSIDERATION OF CALLING A PUBLIC HEARING REGARDING THE PROPOSED TAX INCREASE Again, Mayor Pro-tem Marks read from a prepared statement (See Attachment "B") explaining that a tax increase of $.05 does require a public hearing and that the notice of the hearing must be published in a newspaper not less than 7 days nor more than 14 days prior to the hearing. Going on Mayor Pro-tern Marks said the notice will be published in The Colony Leader on September 23, which would mean the earliest possible date for the hearing would be September 30, 1992. It was also noted that the tax rate may not be adopted prior to 3 days after the hearing is held. After a bried discussion, it was decided the hearing should be held October 6, 1992 and the tax rate adopted at a Special Session of Council to be held October 12, 1992. Motion to call a public hearing regarding the proposed tax increase on October 6, 1992 at 7:00 p.m. at City Hall - Bogan; second - Lynch. Motion carried with a unanimous roll call vote. 7. CONSIDERATION OF AN ORDINANCE ADOPTING AND APPROVING THE MUNICIPAL BUDGET FOR THE YEAR 1992-93 FOR THE CITY OF THE COLONY Bill hall stated the staff has worked diligently the last few weeks to amend the proposed budget following council directives. Mr. Hall said the budget as it is proposed now reflects many reductions, noting that there is one capital item which was put back in after the last work session, that being the intercom system for the Fire Department at a cost of $3500. Mr. Hall read the Budget Recap sheets prepared for council, noting the originally proposed budget indicated expenditures of $12,638,330 and revenues of $12,990,330, while the new proposed budget indicates expenditures of $12,267,310 and revenues of $12,862,190. 7 Mr. Hall went on to say the changes in the budget have resulted in increased Fund Balances in both the General Fund and the Utility Fund. Going on, Mr. Hall noted however, there is still a transfer of $375,000 from reserves in the budget and said even though this budget will work, the city must look to the future and if we continue to operate from contingency funds, we will reach a point where the city cannot make the budget. It was noted the budget does include amounts in each department for lease purchase of capital items. Councilman Dillard asked Mr. Hall when the reserve will run dry if we continue to use the contingency at the current rate. Mr. Hall said based on all data available, he doubts the 94-95 budget could be balanced. Councilman Lynch stated that contingencies are set aside for emergencies and if we keep using them to balance our budget, the city will be in trouble if we ever have a real emergency. Mayor Pro-tem Marks said in his five years on the council, he has never seen a council work on the budget like this one has, noting about $400,000 in transfers has been saved. Councilman Bogan asked the Mayor Pro-tern how the city can continue to balance the budget with only a $.02 increase in the taxes (referencing the Mayor Pro-tem's negative vote on item No. 5). Mayor Pro-tern Marks said he doesn't think we can cure all the problems in one year, noting the firemen positions have been saved and there is a proposal to re-open Fire Station No. 2. Councilman Sharp addressed the Mayor Pro-tem, stating he (Marks) had been asked for alternatives to raising the taxes and had not given any ideas. Mayor Pro-tern Marks said to cover all the mistakes and eliminate transfers, we would have to raise taxes $.08, and that he thinks $.02 is appropriate, noting that saving $400,000 is a step in the right direction. Councilman Lynch said we (the council) were all faced with the lay-off in staff, but noted that the proposed tax increase is not in vain, stating, it was the consensus of the council to keep the firemen and to open Station No. 2. The Councilman went on to say that Public Safety is important, but so is Wastewater and all departments were looked at. He said this is a city wide problem. Councilman Dillard said we must look to the future, stating the proposed tax increase is to keep the city operating and to not use up reserves. Councilman Dillard said he is concerned that one councilmember would go against the rest of the council in voting to keep the city solvent. Councilman Bogan urged all citizens to call their councilman, stating that he has agreed with the $.05 in good conscience after considering all the facts. Councilman Agnew said he could say what you (citizens) want to hear about getting by with less than $.05, but he went on to say that from the work sessions he feels the $.05 is necessary. Councilman Lynch suggested citizens read the minutes of the budget work sessions, noting they are very enlightening. Mayor Pro-tem Marks said he doesn't think there are any citizens who can't wait to pay a $.05 tax increase and that's why he agreed with the $.02 increase, but went on to say he would never stand in the way of progress. The Mayor Pro-tem said the citizens will have the opportunity to express their opinion and noted that final decisions have not been made oo485a yet. Motion to adopt the budget as presented including the $.02 tax increase - Sharp; second - Bogan. Motion carried with a unanimous roll call vote. 8. CONSIDERATION OF AN ORDINANCE AMENDING THE CODE OF ORDINANCES BY AMENDING CHAPTER 10, ARTICLE III REALTING TO FOOD AND FOOD ESTABLISHMENTS, BY AMENDING SECTION 10-54 RELATING TO PERMIT FEES Bill Hall reminded council that this ordinance had been presented for first reading on September 14, and that amendments had been made based on input from that meeting. Mr. Hall said two options had been prepared, and that Mr. van Til does recommended adopting Option No. 1. Mayor Pro-tern Marks read the caption of the ordinance as follows: AN ORDINANCE OF THE CITY OF THE COLONY, TEXAS AMENDING THE CODE OF ORDINANCES OF THE CITY BY AMENDING CHAPTER 10, ARTICLE Ill RELATING TO FOOD AND FOOD ESTABLISHMENTS; BY AMENDING SECTION 10-54 RELATING TO COMPLIANCE PROCEDURES; PROVIDING A SEVERABILITY CLAUSE; PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE OF ALL OTHER ORDINANCES OF THE CITY RELATING TO FOOD AND FOOD ESTABLISHMENTS, EXCEPT TO THE EXTENT OF CONFLICT HEREWITH; PROVIDING A PENALTY NOT TO EXCEED THE SUM OF TWO THOUSAND DOLLARS ($2000.00) AND A SEPARATE OFFENSE SHALL BE DEEMED COMMITTED EACH DAY DURING OR ON WHICH A VIOLATION OCCURS OR CONTINUES; DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE Motion to approve the ordinance as written (Option 1) - Agnew; second - Lynch. Motion carried with a unanimous roll call vote. 9. CONSIDERATION OF ADOPTING THE GRIEVANCE PROCEDURE FOR THE CITY OF THE COLONY RELATING TO THE AMERICANS WITH DISABILITIES ACT Bill Hall stated the Americans with Disabilities Act requires that we adopte a grievance procedure. Councilman Bogan noted that in paragraph 3, it states investigations would be conducted by the ADA Coordinator, who is the city's personnel director. Going on, Councilman Bogan said he thinks it might be a problem for a city employee to be investigating a grievance against the city, stating he thinks it should be someone from outside the city's employe. Councilman Lynch asked if The Colony could exchange that service with another city. Margaret Burkett, Personnel Director noted this is standard procedure in other cities. 9 0045 b Councilman Dillard said he hopes The Colony is not the one to be tested. Motion to adopt the grievance procedure as written - Lynch; second - Dillard. Motion carried with all members voting Aye, with the exception of Councilman Bogan, who voted No. 10. CONSIDERATION OF A CHANGE ORDER WITH ATKINS BROTHERS, INC. ON THE CONTRACT FOR THE CONSTRUCTION OF THE EASTVALE SEWER SYSTEM Bill Hall advised the council that this is an amended Change Order No. 5, stating that Change Order No. 5 originally was presented as a request from Atkins Bros. for a 14 day extension of time on the project. Mr. Hall reminded council that the item was postponed until completion of the project because at the time, even with the extension, the project would not be completed by the end of the contract date. Mr. Hall said that substantial completion was determined to have been June 22, 1992 and now Change Order No. 5 has been resubmitted for projected changes in the amount of $2331.00, changes which have been reviewed by engineer Terry Millican and staff with approval recommended. Mr. Millican was present and told the council that as of September 16, 1992, the project is 100% complete, and noted this change order is strictly mechanical. Mr. Millican went on to say that liquidated damages will be handled separately, noting that the Texas Water Commission will not accept any more change orders on this project. Motion to approve Change Order No. 5 in the amount of $2331.00 - Lynch; second - Sharp. : Motion carried with a unanimous roll call vote. 11. CONSIDERATION OF A CHANGE ORDER WITH MILLICAN AND ASSOCIATES FOR PAYMENT OF ENGINEERING FEES RELATING TO THE EASTVALE SEWER SYSTEM Mr. Hall told the council that because of the overrun in time on the Eastvale Sewer project, there is also an overrun in engineering costs, stating that he was aware in April 1992 this was going to happen, but that he felt it would be better to bring in one change order for the total rather than several individual change orders. Mr. Hall said the updated final costs for engineering as of this date is $12,338.54. Councilman Bogan asked Mr. Millican if this is the final charge, and Mr. Millican said unless something very strange happens this will be the final billing on the project. Mr. Hall said staff's recommendation is to take the money from the construction contingency fund and noted that the Texas Water Development Board agrees with this recommendation. Motion to approve the change order for engineering costs in the amount of $12,338.54 from the construction contingency fund - Bogan; second - Lynch. Motion carried with a unanimous roll call vote. 10 004 0 14. CITY MANAGER'S REPORT 1. Fire Station No. 2 - There was a consensus during the budget process to re-open Fire Station No. 2. One option has been received from Chief Morrison and a second option has been received from the Fire Department itself. Mr. Hall said he is pleased the employees have moved so rapidly to meet the council's desires, stating there are no funds required right now to open the station, noting that scheduling is the biggest hurdle. With no further business to address, Mayor Pro-tern Marks adjourned the meeting at 9:38 p.m. APPROVED: Joel M cs, Mayor Pro-tern ATTEST: Patti A. Hicks, CMC/AAE, City Secretary 11 ATTACHMENT "A" MEMORANDUM TO: MAYOR MANNING & MEMBERS OF THE CITY COUNCIL FROM: BILL HALL, City Manager RE: AGENDA ITEM NO. 5 - PROPOSAL TO INCREASE THE 1992 TAX RATE TO $0.80 PER $100 VALUATION FOR THE 1992-93 FISCAL YEAR DATE: September 21, 1992 As we are all very much aware of the volatility of tax increases, I feel the opening comments to this agenda item are of extreme importance. In consideration of this proposal, the City Council and Staff reviewed the preliminary budget proposed for 1992-93, in great detail. While that document was essentially balanced, there were many areas to be considered in expenditures and transfers from revenue/contingency funds to compensate for declining revenues. The preliminary budget presentation reflected a transfer of $735,000 from contingency which did not, at that time, include any capital purchases or capital project proposals. In subsequent budget work sessions, line item reductions had only a small impact on the transfer amount and more intense approaches were required. Following recommendations and direction from Council, Staff formulated, and proposed some of the most dramatic reductions ever faced by this City within the personnel areas. Those areas addressed included, a freeze of salary increases, elimination of some benefits; i.e., employee medical vision plan and differential pay for shift workers. Reductions in overtime, with emphasis on flex schedules and compensatory time, a fifty percent reduction in allowances for personal vehicle use and reorganization in some departments to include reductions of annual salaries. The final and most extreme of these cost reductions was a reduction in personnel. To consider this reduction-in-force, the foremost consideration was to have the smallest impact on services to the City. The final impact of this move was the elimination of twelve (12) positions in City staffing. The total overall impact of these actions was a reduction of approximately $446,000 from the preliminary to proposed budget. The capital expenditures were also thoroughly evaluated, with only the most essential-to- operations items remaining. This evaluation has reduced the capital expenditures from a preliminary figure of approximately $1,000,000, to approximately $100,000. Throughout this process, the utmost emphasis has been placed on cost reduction, and while those measures taken have had a marked impact, the proposed budget with a proposed $0.02 increase in ad valorem tax rate will still require a $375,000 transfer from contingency reserves. Should Council propose to increase the ad valorem tax rate to the proposed $0.80 per $100 of valuation, or higher, State Tax Code laws require a roll call vote of the Council and the setting of a date for the Public Hearing. /ss 1992 Tax Rate Page -2- ATTACHMENT "B" 0045~ MEMORANDUM TO: MAYOR MANNING & MEMBERS OF THE CITY COUNCIL FROM: BILL HALL, City Manager..~ RE: PUBLIC HEARING FOR TAX RATE INCREASE DATE: September 21, 1992 At this time a Public Hearing is to be called for the purpose of receiving comment and discussion on a proposed increase of the current ad valorem tax roll of $0.75 per $100 of valuation to a rate of $0.80 per $100 of valuation on property. This proposed rate of $0.80 is used for posting and publication requirements only and does not indicate a recommendation. There has been considerable discussion by Council on the need for an increase to the present rate due to declining revenues. Should this Public Hearing be held, it must be not earlier than seven (7) days after publication in a newspaper of general circulation in the County. Ms. Hicks has made arrangements to have this notice published in The Colony Leader on Wednesday, September 23, 1992, therefore, the earliest date the Public Hearing could be called is Wednesday, September 30, 1992. This specific date may require adjusting based on City Council scheduled availability. Following that Public Hearing, should an increase in the rate be desired, action can not be taken prior to three (3) days, nor more than 14 days after the Public Hearing. /SS