HomeMy WebLinkAbout08/28/1995 City Council 00 580-
MINUTES OF THE CITY COUNCIL MEETING
HELD ON
AUGUST 28, 1995
The Special Session of the City Council of the City of The Colony, Texas was called to order
at 6:00 p.m. on the 28th day of August, 1995, at City Hall.
ROLL CALL
William W. Manning, Mayor Present
Bill Longo, Councilmember Present
Mary Watts, Councilmember Present
Kay Hardin, Councilmember Absent due to business
(Arrived at 7:36 p.m.)
Rob Burchard, Councilmember Absent due to business
John Dillard, Councilmember Present
David Heiman, Councilmember Present
and with five present, a quorum was established and the following items were addressed:
2. PLEDGE OF ALLEGIANCE
3. CONSIDERATION OF A RESOLUTION CALLING TWO PUBLIC HEARINGS
FOR THE PURPOSE OF CONSIDERING THE INSTITUTION OF
ANNEXATION PROCEEDINGS ON THE BELOW DESCRIBED PROPERTY:
APPROXIMATELY 266 ACRES GENERALLY LOCATED
SOUTHEAST OF THE CITY, BOUNDED ON THE EAST
BY THE BURLINGTON NORTHERN RAILROAD,
LOCATED NORTH OF F.M. 544, SOUTH OF S.H. 121 AND
THE WESTERN PORTION LYING PARTIALLY ALONG
THE DENTON COUNTY/COLLIN COUNTY LINE
The City has received a petition for annexation on the above described property.
Calling the two public hearings is the first step in initiating the annexation proceedings.
Motion to approve the resolution as written - Dillard; second - Watts, carried with a
unanimous roll call vote.
4. CONSIDERATION OF AMENDING THE AGREEMENT WITH AIJIJlED
ASPHALT FOR THE PAVING OF STEWART CREEK PARK ROAD
The council awarded a contract to Allied Asphalt for the paving of Stewart Creek
Park Road. The original specifications did not include 7800 square feet leading to the old
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boat ramp or 8000 square feet of the turn around area at that location. The company has
submitted a proposal to pave those areas for a cost of $11,218. Staff recommends amending
this existing contract. To bid this small job later would cost substantially more. Funds will
come from Stewart Creek Park Fund.
Motion to approve the amendment of the contract as recommended - Dillard; second -
Watts, carried with a unanimous roll call vote.
5. CONSIDERATION OF ACTION CALLING A PUBLIC HEARING FOR A TAX
INCREASE OVER 3% OF THE EFFECTIVE TAX RATE
A public hearing is required when the proposed tax rate is higher than the effective
tax rate (.77689). No increase in the present tax rate is being suggested but increased
valuations have forced the effective tax rate down. The Finance Director is recommending
either staying at 80¢ or reducing the tax rate to 79.5¢ per $100 valuation.
Mr. Tony Johnston further explained the necessity for the public hearing and
discussed briefly the effect of additional sales tax on the effective tax rate and the roll back
rate.
Motion to call the public hearing for September 11, 1995 as recommended - Longo; second -
Dillard, carried with a unanimous roll call vote.
6:25 p.m. Recess
6. EXECUTIVE SESSION AS AUTHORIZED BY CHAPTER 551.074 OF THE
LOCAL GOVERNMENT CODE RELATING TO PERSONNEL, TO-WIT:
A. BUDGET REQUESTS FOR THE 1995-96 FISCAL YEAR
7:36 p.m. Councilman Hardin arrived
7:40 p.m. Reconvene in open session
7. WORK SESSION TO DISCUSS THE 1995-96 MUNICIPAL BUDGET:
A. PERSONNEL REQUESTS
Mayor Manning explained that specific personnel requests had been discussed in
Executive Session. All council agreed with the recommendations as presented by the
Personnel Committee, which included pay plan adjustments, salary adjustments, title
changes, new personnel and benefit changes.
D. GENERAL OVERVIEW
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Tony Johnston summarized the 1995-96 budget as follows:
1. Budget Adjustments - personnel changes, corrections to budget requests
2. General Fund Revenue and Expenditures - 47 days operating expenses are
left in the Fund Balance. This budget plan gives the citizens the '"oiggest bang
for the buck". Staff will be required to manage this budget and be
accountable for their own area.
3. Utility Fund Revenue and Expenditures - 48 days operating expenses are
left in the Fund Balance.
4. Tax Rate - $.80 or $.795/$100 - Debt Service rate is locked in at .3319.
Staff recommends adopting a $.795 or $.80 tax rate. The proposed budget is
balanced and has been calculated with a $.795 tax rate.
Mayor Manning noted the $.795 tax rate will have a minimal effect on the tax payers,
but it sends a message that the city is trying to get the budget under control. It will also
look good to developers and bond companies.
B. CAPITAL PROJECTS - these will be addressed separately at a later date.
C. CAPITAL EXPENDITURES
Staff presented three options as follows:
OPTION NO. 1 - $383,905.00
Use fund balance and a loan to cover the difference.
OPTION NO. 2 - $371,025.00
Use fund balance and a loan to cover the difference.
OPTION NO. 3 - $292,375.00
Use fund balance, no loan would be necessary.
General discussion followed regarding debt service payments. We can borrow
$100,000 this year and not borrow any next year. The budget is currently balanced including
a $100,000 note this year. If we go with Option 1 or Option 2 the budget will work, if we
go with Option 3, it will work even better.
There is still $30,000 left from the loan that was made in the 1994-95 budget year
which has not been spent on anything. That money can be used to purchase capital this
year, at 5.9%. Mr. Johnston said the council needs to decide which tax rate we will adopt
and which option for capital expenditures will be approved.
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After further discussion regarding the lists of capital expenditures, the council agreed
to go with Option 3. It was noted that including the additional $30,000, the total amount
for capital expenditures will be $322,375.00. The Council agreed that Mr. Smith and the
staff should have the authority to move money around within the line item budgets in each
department, when needed and to cut items when necessary. Mayor Manning said he is sure
there will be money saved in the computer purchases. It was noted all computer requests,
including software and hardware, will be reviewed by the Computer Committee and the
consultant before any purchases are made. The Council agreed that in addition to the items
listed on Option 3, the Opticom, phase 1, and the bleachers should be approved for
purchase.
Mayor Manning asked for and received a consensus of council on the following items:
Tax Rate o $.795
Activity Enhancements (capital expenditures) - Option 3 - $322,375.00
Personnel issues as presented by the Personnel Committee
Mr. Johnston gave the council a break down of activity in the Land Fund over the
last year. The financial advisors had recommended this fund be identified and Mr. Smith
suggested the following:
1. Hidden Cove Park $100,000 (to be paid back)
2. F.M. 423 R.O.W. $600,000
3. Equipment Replacement $205,241
Total in fund $905,241
Mr. Smith requested that next year the interest on this account be left in the account
instead of being transferred into the General Fund. He suggested that it be placed back
into the equipment replacement fund portion of this reserve account. Mr. Smith noted that
this is over and above the 30 days operating expense that will be left in the Fund Balance
of the General Fund.
Several members of council thanked staff for their hard work on this budget. Mayor
Manning thanked the staff and the council for a productive and cohesive budget process.
With no further business to address, Mayor Manning adjourned the meeting at 9:06
p.m.
~Villiam W. Ma~ling, Mayor- <~
Patti A. Hicks, TRMC, City Secretary