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030218 Friday Staff Report ( I) City Manager's Office DENTON 215 E. McKinney St., Denton, TX 76201 • (940) 349-8307 MEMORANDUM DATE: March 2, 2018 TO: The Honorable Mayor Watts and Council Members FROM: Todd Hileman, City Manager SUBJECT: Friday Staff Report I. Council Schedule A. Meetings 1. City Council Luncheon on Monday, March 5, 2018 at 11:30 a.m. in the City Council Work Session Room. 2. Canceled- Committee on the Environment Meeting Monday, March 5, 2018. 3. Canceled- Committee on Citizen Engagement Meeting Tuesday, March 6, 2018. 4. Audit/Finance Committee Meeting on Tuesday, March 6, 2018 at 10:30 a.m. in the City Council Work Session Room. 5. Work Session of the City Council on Tuesday,March 6, 2018 at 1:00 p.m. in the City Council Work Session Room, followed by a Regular Meeting at 6:30 p.m. in the Council Chambers. 6. Agenda Committee Meeting on Wednesday, March 7, 2018 at 3:30 p.m. in the City Manager's Conference Room. 7. Work Session of the Planning and Zoning Commission on Wednesday,March 7, 2017 at 5:00 p.m.in the City Council Work Session Room, followed by a Regular Meeting at 6:30 p.m. in the City Council Chambers. B. Upcoming Events 1. NLC Congressional City Conference, March 11-14, 2018 in Washington, DC. 2. Denton Chamber of Commerce Annual Banquet, Thursday, March 22, 2018 at 5:30 p.m. at the UNT Gateway Center. 3. Serve Denton Banquet, Saturday, April 14, 2018 at 6:30 p.m. at Embassy Suites by Hilton Denton Convention Center. OUR CORE VALUES Integrity • Fiscal Responsibility • Transparency 0 Outstanding Customer Service II. General Information & Status Update A. Organizational Updates: 1. Facilities — The organizational reporting structure for Dean Hartley, Facilities Manager, and the Facilities Management Division has been moved from Mark Nelson, Transportation Director, to Mario Canizares, Assistant City Manager. Due to the many facility projects currently underway and planned, it will provide a direct link to the City Manager's Office for direction, resource assistance, and project management. Mark Nelson will continue to manage transportation policy, Denton Enterprise Airport, and Fleet Management. This move will allow Mark to continue the high emphasis of seeking and leveraging funds for transportation projects (streets, sidewalks, bike lanes) for Denton through the NCTCOG, TXDOT, and Denton County. Staff contact: Mario Canizares B. DDC Update — Development Services and Communications staff have been working together on the public engagement plan for the remaining work on the Denton Development Code(DDC)update. Due to the size,the process of drafting the new code has been organized into 3 modules. The remaining two modules will soon be released for public review and comment and a public open house will subsequently be held for each module. Staff will also host a series of seven public open houses in late April/early May inviting the public to attend and ask questions regarding the consolidated public draft (all 3 modules) and a map of the proposed zoning districts. Below is a brief outline and tentative schedule with key dates. • Module 1: Zoning Districts and Use Regulations o Public meetings were held on Sept. 28 and Nov. 13, 2017. The public draft of Module 1 is available at www.DentonCode203O.com. • Module 2: Administration & Procedures o Tues., March 27 - City Council Work Session o Wed., March 28—Advisory Committee (morning) o Wed., March 28— Stakeholder meetings (early afternoon) o Wed., March 28— Special P&Z Work Session(late afternoon) o Wed.,March 28 -Public Open House(evening 6-8 p.m. in Council Chambers) • Module 3: Development Standards o Tues., April 17 - City Council Work Session o Wed., April 18 —Advisory Committee (morning) o Wed., April 18 — Stakeholder Meetings (early afternoon) o Wed., April 18 — Special P&Z Work Session(late afternoon) o Wed., April 18 - Public Open House (evening 6-8 p.m. in Council Chambers) • Public Open Houses(Review Consolidated Public Draft and Proposed Zoning Map) o Seven (7) public open houses will be scheduled beginning in late April into early May. There will be a meeting scheduled in each Council district to rotate meeting locations and three general city- wide meetings will be held. Residents may attend any meeting; it is not limited to their district. o Staff is finalizing dates, times, and locations of these meetings and expects to have the schedule finalized in the next two weeks. o In addition to the City's communication channels, two additional outreach steps will be taken: 1. A postcard will be mailed out to all property owners in the City at least two weeks in advance of the first public open house. The postcard will notify residents that the City is in process of updating the DDC,invite them to attend public open houses with the schedule printed, and direct residents to the website address where additional information can be found. 2. Printed and digital ads in the Denton Record Chronicle with similar information contained in the postcard. Staff plans to utilize the City's many outreach channels (social media,DTV,press releases, City website, direct outreach to stakeholder groups, e-mail blasts, etc.)to get the word out about public open houses and input. Staff is also updating and reorganizing the website page dedicated to the project www.DentonCode2030.com. This update will be complete before next Friday; before communications are pushed out for the public to review the draft documents and attend upcoming public open houses. Staff will continue to provide updates on the DDC schedule to Council. Staff contact: Scott McDonald C. City Pothole Repairs—February 2018 has been the wettest month on record with the heavy rains causing a large volume of potholes. In the past two weeks, City street crews have stopped all other activities (such as construction projects, concrete sidewalks, curb & gutters, and ADA ramps) to focus on pothole repairs. The Streets Division has a total of 46 employees and all but three employees have been tasked to repair potholes currently. Staff has also been working extra hours for the past two weeks and plans to work this Saturday if necessary. In the month of January, crews repaired 149 potholes,whereas 291 potholes have been repaired in February with 234 of those being done in the last 2 weeks. Crews have had to use cold mix to patch the holes, which is more of a temporary fix, due to the asphalt plants not running during rainy and cold weather. Please see attached pictures which show an example of large pothole on McKinney, requiring more time and people to fill, and an example of a smaller one on Bonnie Brae which can be done quicker. Staff contact: Keith Gabbard D. TxDOT Pothole Repairs—On Monday,Feb.26,City staff began coordinating with the Texas Department of Transportation(TxDOT) Denton Area Office to address citizen complaints regarding potholes on TxDOT roadways, primarily IH-35E. Tina Massey, TxDOT Denton Area Engineer, reported in-house TxDOT crews began working daily on Feb. 21 to address the poor pavement conditions noting the challenge with the continued rains requiring crews to return to problem areas to reapply product to facilitate repairs. TxDOT crews worked through the night Monday until they ran out of material requiring additional material to be brought in from East Texas. Significant repairs were made on Thursday afternoon to the segment of I-35 between the northbound Dallas Drive exit and the southbound Mayhill exit just south of Loop 288. TxDOT maintenance crews were out on IH-35N, SH114, US380 and IH-35W until midnight March 1, addressing potholes impacting roadway safety. TxDOT has also reported AGL (contractor on the recently completed IH-35E project) will have a crew out Monday to repair potholes in the areas that they have warranty on the pavement. Construction crews will be out again Friday repairing potholes and identifying more substantial repair options to alleviate repeat maintenance in the same locations. Staff contact: Mark Nelson E. Shady Oaks Turn Lane— On March 19, the City's Streets Department will begin installing a right turn lane at the intersection of Shady Oaks Dr. and S. Woodrow Ln. Because of the amount of traffic on Shady Oaks Dr. during the day and the number of businesses relying on the street, this work will be performed nightly between the hours of 8 p.m. and 6 a.m. This project is being done to help relieve traffic delays at the intersection. Staff contact: Keith Gabbard F. Opening of FM 2499—The construction of FM 2499 between FM 2181 (Teasley Lane) and I-35 E (a TxDOT project) is in the final stages of completion with the last task of installing a traffic signal at the intersection of FM 2499/Robinson Road remaining. Installation of the traffic signal at the intersection of FM 2499 and Robinson Road is crucial to the opening of the entire stretch of FM 2499 between FM 2181 to I-35 E as FM 2499 is a six lane divided facility that crosses Robinson Road which is a four lane divided facility. The delay in completing the final task (traffic signal) can be attributed to contractor and material procurement delays. Given the delays and the estimated timeline to complete the project which is currently projected to end of April 2018, staff (City and TxDOT) is exploring options to expedite the opening of FM 2499. City staff is closely working with TxDOT staff to open the section of FM 2499 between Robinson Road and State School Road as soon as possible. To that end, City staff recently had a discussion with TxDOT staff to consider an interim solution that would help open FM 2499 before the installation of traffic signal at FM 2499/Robinson Road is completed. This option would convert the intersection of FM 2499/Robinson Road to all-way stop with the reduction of the approach lanes to one lane in all directions. The reduction of approach lanes at the intersection will considerably reduce conflict area between vehicles and pedestrians and is a viable interim option. Based on discussion with TxDOT staff, the proposed interim option can be implemented in the next two to three weeks which will result in opening FM 2499 between FM 2181 to I-35 E. Staff will continue to work with TxDOT to expedite the opening of FM 2499 and is working towards implementing the interim solution in the next 2-3 weeks. Staff contact: Pritam Deshmukh G. Bike Share Ordinance — The City's recently approved Bike Share Ordinance 18- 277 will be effective March 6, 2018. City staff has received official notice (attached) that V-Bikes will not be submitting an application to participate in the six-month pilot program and has indicated they are in the process of removing bikes from the City of Denton. Staff has had conversations with Spin which has stated they will be submitting an application to operate in Denton. Additional inquires have been received from Lime Bike and Ofo, but they have not indicated intent to submit an application as of March 2, 2018. The permit application and overall program will be managed by the Traffic Engineering—Bike and Pedestrian Coordinator's office. Staff contact: Mark Nelson H. Ethics Ordinance—Attorney Alan Bojorquez will present a first draft of an ethics ordinance to the City Council during the work session on Tuesday,March 6,based on the direction he has received from Council through a series of workshops. The draft ordinance and materials have been posted on the Ethics Ordinance Development page of the City's website. The page is accessible from the front page of the website as one of the featured sliding tiles. Staff will be communicating to the public that the draft ordinance, and any subsequent versions, will be available on that page for review. Residents can submit comments through a web- based form and any comments received will be passed along to Council. A courtesy public hearing for a draft ethics ordinance is scheduled for the evening of Tuesday,March 20 during the City Council's regular meeting beginning at 6:30 p.m. in the Council Chambers. Staff contact: Bryan Langley I. DCTA Meeting — City Manager Hileman and ACM Canizares met with DCTA President Jim Cline on Wednesday afternoon. A variety of topics was discussed and City staff asked that DCTA provide regulate updates to City Council which can be included as part of the Friday packet. Please see attached an update from DCTA on the 1) Arts & Jazz festival, 2) Ridership, 3) Passenger Amenities, and 4) Community Engagement. Other topics generally discussed with Mr. Cline were for improved communication between the City and DCTA,special services for events,improved data collection and reporting, increased partnerships with other agencies, and planning for capital improvements such as shelters and benches. Mr. Cline indicated that he would be providing a written response in response to the discussion within a week or so. Once the information is received it will be forwarded on. Staff contact: Mario Canizares J. DCTA Service for Arts & Jazz Festival — Planning for the 2018 Arts & Jazz Festival is in full swing which is scheduled for April 27-29,2018. There have been recent conversations between the Denton Festival Foundation and DCTA to address the major parking and traffic issues during the weekend of the festival. Both entities believe that adding a shuttle service would best support the event. The following is what DCTA is tentatively proposing for the Arts & Jazz: Friday/Saturday: • A complimentary bus shuttle would run from the MedPark Station to the south end of Quakertown Park(Denton Civic Center). This shuttle would start running 30 minutes prior to the start of the event and up to an hour after the end of the event. • Complimentary A-train service to encourage those traveling from further south as well as those who want to take the train to MedPark and then jump on the event shuttle. Friday Only: • One additional late-night train to accommodate the crowd that stays until the end of the event(11 p.m.). Sunday Only: • Currently DCTA does not operate bus or train service on Sundays because they use Sundays for fleet maintenance. However,DCTA staff is exploring options, to provide bus service on that Sunday. DCTA is also exploring options to add shuttle service at Apogee, CH Collins Center, and/or another large parking area along Loop 288. This will require additional coordination and seeking permission from the other entities to provide the offsite parking for the event. Staff contact: Mario Canizares K. 35E Traffic Alerts — TxDOT is continuing progress on Phase 1B of the 35E project. Next week, TxDOT will be 1) closing the 35E South Mayhill/FM 2499 Exit from 10 p.m. to 6 a.m. beginning Mon., March 5 and each night to March 7, and 2) will be working on relocating signals for the Mayhill/FM2499 intersection and will have various lanes closed on Thurs.,March 8 and Fri.,March 9 from 9:00 a.m. to 3:30 p.m. Please see attached press releases from TxDOT. Staff contact: Mark Nelson L. US RadioPharmaceuticals — As mentioned in last week's Friday report, a state administrative hearing was held on Feb.27 between the Texas Department of State Health Services ("DSHS") and US RadioPharmaceuticals ("USR"). The State argued to deny USR's open application for a license to operate. USR has had a pending application with DSHS since 2012 and since then, they have been unable to provide the up-front funding required to set aside for decommissioning. USR argued that their application should be kept open and that they are in the process of trying to find the funding required. The administrative law judge has up to 60 days (until April 29, 2018)to issue a written ruling. Staff will continue to monitor and provide an update once the ruling is issued. Staff contact: Sarah Kuechler M. Downtown Parking Info from MSA— The Main Street Association has created a page and interactive map to detail and communicate parking spaces in downtown from free street parking, public free parking lots, as well as paid parking lots. Check it out here:https://dentonmsa.squarespace.com/parking. Staff contact: Julie Glover N. Great American Cleanup—Denton's 30th annual Great American Cleanup(GAC) event will begin at 9 a.m. on Sat., March 24 with volunteers working to clean up litter at locations around the city. The event will be followed by a volunteer appreciation party from 11 a.m. to 1 p.m. at the Denton Civic Center. Volunteers are encouraged to register online at www.kdb.org or by phone at (940) 349-8737. Registration ends on Mon., March 12 at 5 p.m. In conjunction with GAC, the Solid Waste & Recycling Department will be hosting Free Disposal Day for Denton residents at the ECO-W.E.R.C.S. landfill located at 1527 S. Mayhill Rd. Residential landfill customers who produce proof of residency (i.e. Driver's License) will be allowed to dispose of solid waste for free from 7 a.m. to 11 a.m. During the event, residents may also dispose of road tires(limit four passenger car tires) at no charge. A$20 fee may apply if a resident disposes of an appliance that contains Freon. No commercial or hazardous waste will be accepted through the Free Disposal Day. Staff contact: Julie Anderson or Ethan Cox O. KDB Adopt-A-Spot Program—Keep Denton Beautiful's Adopt-A-Spot program is a year-long commitment to keep a local park, street, or open space clean by completing quarterly cleanups and reporting the results to KDB staff. The goal of this program is to inspire pride and positive action in Denton's residents through ongoing public displays of community stewardship. In total, there are 44 active sites across the city that collected 3,525 pounds of roadside debris in 2017. The City Council sponsors an Adopt-A-Spot on Bell Ave. from Eagle Dr. to W. Prairie St. The agreement for the spot is set to expire. An item will be brought forward for Council consideration at an April Council meeting should Council want to renew their location. If renewed, staff will replace the current outdated sign in May. If it is not renewed, then the spot will be open for other local organizations to adopt. Many Adopt-A-Spot participants use the Great American Cleanup as an opportunity to meet the cleanup requirements. This year's Great American Cleanup takes place on Sat., March 24. If the Council would like to use the annual city-wide cleanup event for their spring cleanup, please register online at www.kdb.org by March 12 to be included in Denton's 30th annual Great American Cleanup. Staff contact: Julie Anderson P. New episode of Preserving Denton—A new episode of Preserving Denton is now live on the City's YouTube channel and airing on DTV. In this episode,the City's Historic Preservation Officer,Roman McAllen,visits with Jimmy&Amy Storrie, longtime Denton residents, and owners of a 100 year-old home that has been in the family since it was built.Preservation Denton is a collaboration between DTV and the City's Historic Preservation Office, shining a spotlight on historic properties and remembering people and places that have shaped our community. To view the most recent episode,use this link: hgps://www.youtube.com/watch?v-- TPMZ6yLn6Q. Staff contact: Billy Matthews Q. Public Art Committee Update — Since the establishment of Denton's first Public Art Policy and the Public Art Committee (PAC) in 2006, the funds available for the acquisition of public art have grown significantly. This funding growth provides the PAC additional opportunities to enrich the lives of Denton residents and visitors alike through excellent aesthetic experiences and to celebrate Denton's uniqueness as a community. In 2017, the City renewed its focus on business process improvements designed to enhance transparency and efficiency in all aspects of its operations. Concurrently, the core values of integrity, fiscal responsibility, transparency and outstanding customer service were identified as the driving force behind all City activities. Public Art Committee members recently have expressed the desire for enhanced support from the City to more efficiently advance the committee's mission. Staff has met with each committee member individually, and feedback from these meetings has helped to identify some initial ways staff can further support the PAC, including: • Economic Development staff support of the committee on an interim basis: The Department of Economic Development is experienced in supporting advisory boards and committees and has the staff capacity to take over support of the PAC on an interim basis. Staff and the CMO are exploring strategic links between economic development efforts and public art as we work to determine the ideal place for the PAC on a permanent basis. • Agenda planning and preparation: Staff s primary role in supporting the PAC is to assist in agenda planning and preparation. The committee chair and staff work together to identify items to be placed on an agenda, and staff prepares the background information on each item. The goal is for agenda item backup to be clear, concise, and to assist the committee in having a focused, productive discussion with a clear conclusion or decision at the end. As such, PAC agendas will now be managed through Legistar,making them available online similar to Council and other board and committee agendas. • Meeting minutes and recordings: At least two Economic Development staff members will be in attendance at the PAC meetings in order to support the chair and members, make presentations as needed, and document the meeting via audio recording and minutes. • Promotion of public art in Denton: This week, Economic Development staff created an enhanced webpage for the Public Art Committee on the City's site. This is the first step in a comprehensive marketing and communications plan that will be developed for the promotion of Denton's public art. The PAC's first meeting with Economic Development as the liaison department was held on March 1. Over the next several months, staff will support the PAC as it takes up items such as a review of the Public Art Policy and Public Art Master Plan. Staff contact: Caroline Booth R. Atmos Energy—As covered in the news the last few days,Atmos Energy has been focused on dealing with the gas explosion and replacing several aged gas lines in Dallas. According to John Manganilla, Atmos Public Affairs Manager, the entire Dallas office, including staff from out of state, are onsite working with displaced families as a results of this emergency situation. Also, all but one crew working on clearing gas utilities in Denton have been reassigned to Dallas for the next 3-4 weeks. On Friday afternoon, the City Manager's Office emailed Atmos and requested the company's plan on how they will be addressing the aged gas lines that exist in Denton. Staff contact: Mario Canizares III. Community Events A. Denton Open Data Day — The City of Denton is embracing data in an effort to enhance community services and empower its citizens by participating in Denton Open Data Day. Open Data Day is an opportunity for local programmers and designers to collaborate and develop new tools for accessibility, economic development,and sustainability for all that call Denton home.Last year,we looked at the areas of mobile applications, transportation, permitting efficiency and responsiveness. The event is free for anyone wishing to attend or participate. Join us on Saturday,March 3, from 9 a.m. to 5 p.m. at Stoke. To learn more or sign up, go to https://www.eventbrite.com/e/denton-open-data-day-2018-tickets- 42316376421. B. Touch a Truck — The Explorium Denton Children's Museum will hold its 4t' Annual Touch a Truck event on Saturday, March 3, from 10 a.m. to 1 p.m. in the parking lot of C. H. Collins Stadium. Additionally, organizers have set aside the hour from 9 a.m. to 10 a.m. for families with special needs children during which engines, lights, and sirens will be turned off. Many city departments participate. To learn more, go to www.exploriumdenton.org. IV. Attachments A. Photos of Pothole Repair B. VBike Letter C. DCTA Update D. TxDOT 35E Traffic Alerts V. Informal Staff Reports A. 2018-022 FY17/18 First Quarter Financial Report B. 2018-023 Credit Access Businesses C. 2018-024 Downtown Square Design Standards Discussion D. 2018-025 Energy Cost Adjustment (ECA) and Renewable Cost Adjustment (RCA) Rates VI. Council Information A. Council Requests for Information B. Draft Agenda(No Draft Agenda; there is no Council meeting on March 13) C. Council Calendar D. Future Council Items E. Street Construction Report Photos of Pothole Repair February 2018 Larger Pothole on McKinney Street: 24 ter L� r p i Smaller Pothole on Bonnie Brae: i � 1 F ;a Wilkes Technology,LLC V B I K E 5 9Y, 3101 W Miller Road Garland,TX 75041 Phone;(877)881-6376 EmaT infogvbikes.com Websito:www,vbikes,com i The City of Denton, Vbikes Technology, LLC ("Vbikes") would like to thank the City of Denton for their cooperation in allowing Vbikes to place bikes in their City over the past year.Vbikes has enjoyed serving the citizens of Denton and the students of UNT. That being said, Vbikes regrets to inform you that upon receiving a copy of Ordinance No. 18-277, Vbikes has ordered all of its bikes to be removed from the City of Denton. The onerous requirements set forth therein have obstructed the free market for the Bike Share industry in Denton, and have made further business in Denton financially and practically impossible. Vbikes would like to request that the City of Denton refrain from imposing any fines during this transition as Vbikes does not wish to participate in their pilot program. Vbikes will work diligently to remove all of their property from Denton as quickly as possible but may not grab every last bike before Ordinance No. 18- 277 goes into effect next week. Any help from the City to locate the remaining Vbikes will be appreciated. We hope that in the future Vbikes and the City of Denton can work together and provide bike share transit to the citizens of Denton. Until that day,we wish you the best. Respectfully, Kris Alborz, esq. General Counsel .. COUNTY ICTA � TRANSPORTATION AUTHORITY DCTA Denton Update — March 2, 2018 Arts & Jazz Festival DCTA staff is working closely with the event planners and City staff to support this important event for the City of Denton and the region. While final plans are being completed, we are focusing on leveraging complimentary bus shuttles to provide event attendees with more convenient parking options. Bus service on Sunday may be possible. DCTA staff will work closely with City of Denton staff and the Arts and Jazz Festival team to ensure the best chance for success at the event and to investigate all options. Our final plan will be in place at least 30 days prior to the event which will take place Friday, April 27, through Sunday, April 29, 2018. Ridership Ridership is a constant focus area at DCTA, and we have been significantly challenged by the perfect storm of low gas prices, low unemployment, and the completion of the 1-35E improvements. This was a topic of considerable discussion at the recent Board Strategic Planning Session on February 22, 2018. The DCTA Board has tasked the staff to continue aggressive efforts to bring in additional riders (particularly on the A-train). Ideas included fare incentives, addressing first/last mile access, and encouraging more development around stations. The guidance from this meeting is planned for adoption by the DCTA Board at the March Board meeting. Passenger Amenities DCTA is working closely with City staff this year (Thanks to Mark Nelson and Pritam Deshmukh!) to continue our efforts to improve the ridership experience on our buses. Our most recent planned improvements include a shelter for the Heritage Oaks location (completed by April 15, 2018), benches at the Uptown Student Housing complex (completed by April 15, 2018), and we have a grant to improve additional bus stops throughout the city. This federal project could involve up to 50 locations and must be completed by the end of September 2018. Results of the pending procurement will dictate how far the funds will go. The primary focus is on concrete pads at stop locations. Community Engagement DCTA is focused on being active in our communities. A few recent efforts include: • Oaks Gateway District Study — DCTA is active on the study steering committee. (Attended four planning sessions and the February 22, 2018 public meeting) • DCTA had two representatives at the State of the City Address. • Upcoming Citizen's Advisory Team meeting scheduled for Monday, March 12, 2018, at 6.00 p.m. at the DDTC. • DCTA will be hosting our regular public meetings in mid-April. This is an opportunity for us to listen to the public regarding their needs. We have had input regarding service in Robson Ranch, and are open to considering all requests. • DCTA is investigating possible improvements to accessing public transportation beyond the existing stops near the Monsignor King Outreach Center. DCTA staff met with Center leadership onsite on February 15, 2018 prior to the 8:00 a.m. closing. 1955 Lakeway Drive,Ste.260,Lewisville,I X 75057 • �'.O.Box 96,Lewisville,I X 75067 • RideDC[A.net• HopOnBoardBlog.com • Connect with us: 00000 -ff�� Texas Department of Transportation° News 4777 E. Highway 80 Mesquite, Texas 75150 (214)320-4480 TxDOT's four goals: Maintain a safe system,address congestion,connect Texas communities,and be a Best-in-Class state agency --- TRAFFIC ALERT --- Tuesday, February 27, 2018 IH35E South Mayhill Exit WHERE: IH35E South Mayhill/FM 2499 Exit WHEN: 10:00 p.m. beginning Monday, March 5, 2018 and each night to March 7, 2018. Mayhill Exit will re-open at 6 a.m. each day WHAT: Weather permitting, IH35E South Mayhill/FM 2499 Exit will be closed for construction nightly. This closure will run from 10 pm to 6 am each night while widening/grade separation construction is conducted on the Mayhill Exit. All traffic should exit at Loop 288 to get to Mayhill/FM 2499. Delays are expected during this time. Motorists are urged to be mindful of workers in the construction zone. Backups are possible and motorists are encouraged to seek alternate routes. Ryan LaFontaine Public Information Officer 214-319-3634 ryan.lafontaine@txdot.gov Road conditions and traffic updates available on Facebook, www.facebook.com/txdot and Twitter, www.twitter.com/txdotdallasl2io and www.drivetexas.orZ. Texas Department of Transportation The Texas Department of Transportation is responsible for maintaining 80,000 miles of road and for supporting aviation, rail, and public transportation across the state.TxDOT and its 12,000 employees are committed to working with others to provide safe and reliable transportation solutions for Texas by maintaining a safe system, addressing congestion, connecting Texas communities, and being a Best in Class state agency. Find out more at www.txdot.gov. Fan us on Facebook,www.facebook.com/txdot; and follow us on Twitter,www.twitter.com/txdot. -ff�� Texas Department of Transportation° News 4777 E. Highway 80 Mesquite, Texas 75150 (214)320-4480 TxDOT's four goals: Maintain a safe system,address congestion,connect Texas communities,and be a Best-in-Class state agency --- TRAFFIC ALERT --- Thursday,March 1, 2018 Mayhill/FM2499 Intersection Signal Relocation WHERE: Mayhill/FM2499 Intersection WHEN: 9:00 a.m. to 3:30 p.m. beginning Thursday, March 8, 2018 and Friday March 9, 2018. Various Lanes will be closed during this duration. WHAT: Weather permitting, Mayhill/FM2499 Intersection, both at Northbound Frontage Road and Southbound Frontage Road, will be put into a blinking red light or stop sign condition in all directions. This closure will run from 9 am to 3:30 pm each day while signal work is conducted at the Northbound Frontage Road Intersection with Mayhill/FM 2499. Delays are expected during this time. Motorists are urged to be mindful of workers in the construction zone. Backups are possible and motorists are encouraged to seek alternate routes. Ryan LaFontaine Public Information Officer 214-319-3634 rjyan.lafontaine@txdot.gov Road conditions and traffic updates available on Facebook, www.facebook.com/txdot and Twitter, www.twitter.com/txdotdallasl2io and www.drivetexas.org. Texas Department of Transportation The Texas Department of Transportation is responsible for maintaining 80,000 miles of road and for supporting aviation, rail, and public transportation across the state.TxDOT and its 12,000 employees are committed to working with others to provide safe and reliable transportation solutions for Texas by maintaining a safe system, addressing congestion, connecting Texas communities, and being a Best in Class state agency. Find out more at www.txdot.gov. Fan us on Facebook,www.facebook.com/txdot; and follow us on Twitter,www.twitter.com/txdot. Date: March 2, 2018 Report No. 2018-022 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Quarterly Financial Report for the period ending December 31, 2017. BACKGROUND: Attached for your review is the Quarterly Financial Report for the period ending December 31, 2017. If you have any questions or need additional information,please let me know. STAFF CONTACT: Antonio Puente, Jr., Director of Finance (940) 349-7283 Antonio.Puente@cityofdenton.com l � f� r , s � ` ORGAI EXC 2017-18 FIRST QUARTER FINANCIAL REPORT DE EMBER2 17 fix} r ECONOMI DEVELOP t SAFE, 'Lf LE I b,�F,;AMILY�FRIENDU �MMUNI�, W CITY OF DENTON, TEXAS - BL E 1W ENTAL .I P About This Quarterly Financial Report This report has been prepared by the City of Denton's Finance Department. The Quarterly Financial Report is intended to provide our users (internal and external) with information regarding the City's financial position and economic activity. This report includes information for the quarter ending December 31 , 2017. This report is presented in six sections. 1 . The Executive Dashboard section contains a high level summary of the major operating funds using graphic illustrations and key economic indicators. Narrative disclosures are also included to highlight any significant changes or fluctuations. 2. The Financial Summary section reports the performance of the major operating funds of the City. In addition, the report provides an end of year projection and a comparison to the budget for major revenue sources and expenditure items. 3. The Revenue & Economic Analysis section provides additional analysis regarding key revenue sources and economic indicators. 4. The Quarterly Investment Report section provides a summary of the City's investment portfolio, interest earnings and a brief market outlook. 5. The Performance Report section provides Key Performance Indicators (KPIs) for each of the goals identified in the City's strategic plan. In addition, the progress on Key Action Steps are highlighted. 2 The Quarterly Financial Report is intended to provide our users with timely and relevant information. Please provide us with any comments or suggestions you may have. If you would like additional information, feel free to contact me. kr4L �-�� Antonio Puente, Jr. Director of Finance 215 East McKinney Street Denton, TX 76201 940-349-8260 3 Section 1 City of Denton Quarterly Financial Report December 2017 Executive Dashboards a r ter, N a v W > sr c c dr N `S/ v a, v � �JO Ord Q R s ai srdr z sLn O In o Vl o Vl O „`n.� Om N ON 0 In co N N .� .� .n t � � 'A tn V� ^IVl Q 00 W ^� U r Z o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 \ \ \\\\\\\\ \ c LO Im N 000000000 O 00000000 O Y 3 Z [� z 00 t—,�z en to N 01 00'--i�o aN 00 �z °—> 3 0 0p a (mil{ W �4 q�O-4 O 00 M N 0; l--i 4 M N tfi N O N N 0\ cu (31 M M -0 -0 M 00 N to y O = Nzti � v v 3 � a om v LL a v .m a) co O 0\ t-: l- 00 111 0\N 0100� M "G In v v W Q 00 tn IRT=00en �Q 0\ l— IRT r"kne4O N N t 6 o LL -0 an Fo ID aL N w i O rA N w N Z 00o � � aQ �i y �+ y L, N N rA -Fu > 0 0 ° 00 C£ a, -rA .fir y „ �•^" it v, CL �" � � ` -a a te-' Qn Yana — Y N co :Y d V�fir 0 ;z :, E' a S O E' �i E' Z A A `, E v i r, fA o N o v x000 � 3 4- IZ Q o o �' w o c 3000 0-0 C c C 0 v QJ L ti X 41 c1 r Lu = ate+ 06 S• co N U N L 3 j N � N M Q N N `� N U O ■ 0000 Q tO tN� tO) N O N O m O N O O O O O O O O O O O O Lf Ln a-O to lf) V V M M N N c-I ei O z Ct s N � U .� b. 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N ° ° }} Q U O cl N U a E� Fo Z a E� a Fo w U �j a ti H Section 2 City of Denton Quarterly Financial Report December 2017 This report is designed for internal use and does not include all the funds and accounts included in the City of Denton's operations. The information provided is unaudited; for a complete audited report, please refer to the City of Denton Comprehensive Annual Financial Report, available through the City's Finance Department, City Secretary's Office, or Denton Public Libraries. FINANCIAL SUMMARY 14 City of Denton General Fund Schedule of Revenues-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS REVENUE DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION Current Year-Ad Valorem $ 16,607,825 $ 16,894,868 $ 21,575,628 $ 44,460,191 $ 44,460,191 0% Delinquent-Ad Valorem 118,622 60,688 419034 2889991 288,991 0% Miscellaneous Penalties&Fees 46,850 68,875 50,553 315,384 315,384 0% Ad Valorem Taxes 16,773,297 17,024,431 21,667,215 45,064,566 45,064,566 0% Sales Tax 9,542,996 9,052,582 99700,411 3691819384 36,181,384 0% Franchise-Gas Utilities - - 11,298 342,738 342,738 0% Franchise-Private Electric Utilities - - - 122,751 122,751 0% Franchise-Cable - - - 480,873 480,873 0% Franchise-Telecom 58,710 - - 233,956 233,956 0% Franchise-Denton Municipal Utilities 915,498 774,439 845,451 3,804,531 3,804,531 0% Franchise Fees 974,208 774,439 856,749 4,984,849 4,984,849 0% Other Taxes - - - 491,400 491,400 0% Ambulance Service Fees 704,310 420,565 624,307 3,726,629 3,726,629 0% Fire Department Fees 36,987 48,756 48,989 195,027 195,027 0% Building Inspections Fees 106,787 127,201 126,084 560,145 560,145 0% Park Department Fees 123,859 214,121 102,485 29406,263 2,406,263 0% Planning Department Fees 250,253 221,663 262,243 886,355 886,355 0% Reprographics Fees 91,093 92,613 74,747 370,160 370,160 0% Miscellaneous Service Fees 21,597 30,759 15,775 123,043 123,043 0% Service Fees 1,334,886 1,155,678 1,254,630 8,267,622 8,267,622 0% Denton Municipal Fines 332,266 412,260 329,521 1,649,042 1,649,042 0% Parking Fines 72,335 61,800 65,170 247,200 247,200 0% Miscellaneous Fines and Fees 220,956 235,754 199,753 1,077,838 1,077,838 0% Court Administrative and Service Fees 198,093 214,500 231,570 988,000 988,000 0% Fines and Fees 823,650 924,314 826,014 3,962,080 3,962,080 0% Demolition Permits 1,805 2,521 2,090 10,082 10,082 0% Building Permits 319,376 578,682 638,082 2,571,085 2,571,085 0% Certificate of Occupancy 15,865 23,622 13,015 94,488 94,488 0% Miscellaneous Licenses and Permits 6,885 13,960 3,210 55,822 55,822 0% Licenses and Permits 343,931 618,785 656,397 2,731,477 2,731,477 0% Investment Income 55,889 132,500 92,272 530,000 530,000 0% Miscellaneous Revenues 12,558 189,714 73,753 1,458,388 1,458,388 0% Miscellaneous Resources 68,447 322,214 166,025 1,988,388 1,988,388 0% ROI-Denton Municipal Utilities 1,685,653 1,902,930 1,781,588 7,997,918 7,997,918 0% Transfers 2,015,667 2,013,119 2,008,981 8,050,688 8,050,688 0% Transfers 3,701,320 3,916,049 3,790,569 16,048,606 16,048,606 0% Total General Fund Revenues $ 33,562,735 $ 33,788,492 $ 38,918,010 $ 119,720,372 $ 119,720,372 0% 15 City of Denton General Fund Schedule of Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION NEIGHBORHOOD SERVICES Building Inspections $ 744,189 $ 769,589 $ 677,286 $ 3,075,893 $ 3,075,893 0% Community Improvement Services 415,441 391,392 316,381 1,564,294 1,564,294 0% Libraries 1,5759265 1,5179243 1,6099959 69064,112 6,0649112 0% Parks and Recreation 2,690,768 3,351,854 2,810,636 13,971,655 13,9719655 0% Planning 8069742 8539413 6879820 3,410,931 3,4109931 0% Gas Well Review 60,831 989334 619025 393,026 3939026 0% Social Services 123,125 157,561 123,488 629,738 629,738 0% 6,416,361 7,139,386 6,286,595 29,109,649 29,109,649 0% PUBLIC SAFETY Animal Services 295,447 3909113 3939984 19559,205 1,5599205 0% Fire 6,918,199 79183,634 7,412,533 28,7119580 28,711,580 0% Municipal Court 3389173 345,705 3279449 19381,702 1,3819702 0% Municipal Judge 93,676 109,116 100,114 4369124 436,124 0% Police 7,4239503 890809901 798999347 329297,806 32,2979806 0% 15,068,998 16,109,469 16,133,427 64,386,417 64,386,417 0% TRANSPORTATION Traffic Operations 486,255 468,381 325,273 3,992,028 3,992,028 0% Transportation Operations 111,759 211,833 101,030 846,658 846,658 0% Street Lighting 1979247 188,901 192,254 755,000 755,000 0% 795,261 869,115 618,557 5,5939686 5,593,686 0% ADMINISTRATIVE&COMMUNITY SERVICES Cable Television 74,463 80,878 76,138 323,271 323,271 0% City Manager's Office 636,409 707,888 683,528 2,8299303 29829,303 0% Economic Development 407,126 1,115,415 333,147 4,458,071 4,458,071 0% Facilities Management 802,435 19082,022 889,407 4,324,642 49324,642 0% Finance 737,415 769,665 745,870 3,076,220 3,076,220 0% Human Resources 462,730 439,319 475,940 1,7559865 1,755,865 0% Internal Audit 12,900 65,900 54,810 263,381 263,381 0% Legal Administration 545,139 613,941 504,011 2,453,772 29453,772 0% Public Communications Office 94,419 123,853 117,778 495,021 495,021 0% Reprographics 132,415 108,496 88,114 433,646 433,646 0% Non-Departmental 9209332 7209589 1,3639843 29880,047 2,8809047 0% 4,825,783 5,827,966 59332,586 23,2939239 23,293,239 0% TOTAL EXPENDITURES $ 27,106,403 $ 29,945,936 $ 28,371,165 $ 122,382,991 $ 122,382,991 0% 16 City of Denton Electric Fund Schedule of Revenues and Expenditures-Budget vs Projections(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION Beginning Working Capital and Reserves as of 9/30/17 $ 72,510,304 $ 76,942,756 REVENUES: Operating Revenues $ 37,459,978 $ 39,096,328 $ 38,318,935 173,229,784 173,229,784 0% Non-operating Revenues 171,559 98,985 274,798 450,000 450,000 0% Total Revenues 37,631,537 39,195,313 38,593,733 173,679,784 173,679,784 0% EXPENDITURES: Purchased Power 21,086,101 18,854,056 18,430,133 84,547,684 84,547,684 0% Operation and Maintenance 8,723,157 11,540,096 8,862,576 47,203,956 47,203,956 0% Return on Investment 1,173,243 1,391,200 1,233,960 5,767,985 5,767,985 0% Franchise Fee 1,673,314 1,984,775 1,760,373 8,239,978 8,239,978 0% Non-Operating Expenditures 13,082,628 15,876,429 15,690,179 35,144,150 35,144,150 0% Total Expenditures 45,738,443 49,646,556 45,977,221 180,903,753 180,903,753 0% Net Income(Loss) $ (8,106,906) $ (10,451,243) $ (7,383,488) (7,223,969) (7,223,969) Ending Working Capital and Reserves $ 65,286,335 $ 69,718,787 'Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2017-18 budget process. 17 City of Denton Water Fund Schedule of Revenues and Expenditures-Budget vs Projections(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/171 $ 20,851,375 $ 23,340,901 REVENUES: Water Sales Residential $ 4,019,558 $ 4,634,213 $ 4,503,572 19,550,225 19,550,225 0% Water Sales Commercial 4,061,524 4,584,174 4,401,205 17,016,173 17,016,173 0% Water for Resale 138,317 155,728 1,222,766 553,406 553,406 0% Other Water 250,548 194,759 317,734 811,832 811,832 0% Transfers In 1,599,894 1,486,820 1,486,820 5,947,281 5,947,281 0% Investment Income 43,276 43,750 63,153 175,000 175,000 0% Impact Fee Revenue 1,000,800 938,851 939,603 3,755,404 3,755,404 0% Total Revenues 11,113,917 12,038,295 12,934,853 47,809,321 47,809,321 0% EXPENDITURES: Personal Service 2,496,006 2,473,986 2,558,827 11,408,173 11,408,173 0% Purchased Power 281,438 439,855 309,963 1,600,000 1,600,000 0% Materials and Supplies 299,834 390,664 292,667 1,721,614 1,721,614 0% Maintenance and Repairs 304,202 252,567 256,357 1,552,572 1,552,572 0% Insurance 59,737 55,620 55,620 222,481 222,481 0% Miscellaneous 86,558 92,556 80,676 340,278 340,278 0% Operations,Services 490,008 679,330 420,502 2,563,509 2,563,509 0% Capital Outlay 1,981,764 1,459,005 2,197,981 9,062,143 9,062,143 0% Return on Investment 293,572 352,845 325,216 1,327,607 1,327,607 0% Franchise Fee 419,390 504,064 464,594 1,896,582 1,896,582 0% Debt Service 5,505,916 6,497,330 6,497,330 12,640,594 12,640,594 0% Transfers Out 902,938 868,444 870,659 3,473,768 3,473,768 0% Total Expenditures 13,121,363 14,066,266 14,330,782 47,809,321 47,809,321 0% Net Income(Loss) $ (2,007,446) $ (2,027,971) $ (1,395,929) - - Ending Working Capital and Reserves $ 20,851,375 $ 23,340,901 The Beginning Working Capital balance excludes$6,650,271 of Impact Fee Reserves and$250,000 for Development Plan Line Reserves. 3 Annual adopted budget as amended or modified.Beginning Fund Balance represents the amount which was estimated in the FY 2017-18 budget process. 18 City of Denton Wastewater Fund Schedule of Revenues and Expenditures-Budget vs Projections(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET' PROJECTION PROJECTION Beginning Worldng Capital and Reserves as of 09/30/17' $ 15,926,057 $ 17,861,887 REVENUES: Residential Fees $ 2,791,911 $ 2,772,439 $ 2,902,097 11,103,223 11,103,223 0% Commercial Fees 3,155,613 3,166,292 3,150,476 12,306,031 12,306,031 0% Effluent Irrigation Fees 20,369 13,262 27,709 61,530 61,530 0% Wholesale Fees 157,513 156,339 138,085 667,670 667,670 0% Other Wastewater Fees 379,455 383,211 277,695 1,642,282 1,642,282 0% Drainage Fees 1,132,638 1,170,724 1,160,122 4,673,206 4,673,206 0% Transfer In 160,205 164,758 164,757 659,030 659,030 0% Investment Income 30,837 29,375 51,740 117,500 117,500 0% Impact Fee Reserves 880,704 500,000 500,400 2,000,000 2,000,000 0% Total Revenues 8,709,245 8,356,400 8,373,081 33,230,472 33,230,472 0% EXPENDITURES: Personal Service 1,879,510 1,687,430 1,941,627 8,103,746 8,103,746 0% Purchased Power 197,118 290,831 252,338 1,221,000 1,221,000 0% Materials and Supplies 218,717 165,695 196,588 1,260,309 1,260,309 0% Maintenance and Repairs 253,629 280,312 265,509 1,464,909 1,464,909 0% Insurance 46,919 45,123 45,123 180,492 180,492 0% Miscellaneous 31,540 32,942 35,671 54,631 54,631 0% Operations,Services 482,426 656,951 420,115 2,212,647 2,212,647 0% Capital Outlay 3,806,502 2,779,087 1,417,699 6,871,781 6,871,781 0% Return on Investment 218,838 226,171 222,411 902,326 902,326 0% Franchise Fee 312,626 323,101 317,730 1,289,037 1,289,037 0% Debt Service 3,486,541 3,768,607 3,768,607 7,169,780 7,169,780 0% Transfers Out 849,657 823,098 824,855 3,292,383 3,292,383 0% Total Expenditures 11,784,023 11,079,348 9,708,273 34,023,041 34,023,041 0% Net Income(Loss) $ (3,074,778) $ (2,722,948) $ (1,335,192) (792,569) (792,569) Ending Worldng Capital and Reserves $ 15,133,488 $ 17,069,318 i The Beginning Working Capital balance excludes$2,194,686 of Impact Fee Reserves,$1,000,000 for Drainage Reserves, and$335,000 for Development Plan Line Reserves. 'Annual adopted budget as amended or modified.Beginning Fund Balance represents the amount which was estimated in the FY 2017-18 budget process. 19 City of Denton Drainage Operations Schedule of Revenues and Expenditures-Budget vs Projections(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJEC TION REVENUES: Residential Drainage Fees $ 435,569 $ 438,234 $ 438,139 $ 1,773,100 $ 1,773,100 0% Nonresidential Drainage Fees 697,068 732,543 721,983 2,900,106 2,900,106 0% Wastewater Resources - 10,950 10,950 43,800 43,800 0% General Fund Transfer 125,334 106,008 106,007 424,030 424,030 0% Total Revenues 1,257,971 1,287,735 1,277,079 5,141,036 5,141,036 0% EXPENDITURES: Personal Service 362,366 367,023 401,425 1,773,782 1,773,782 0% Materials and Supplies 8,620 18,958 9,466 82,425 82,425 0% Maintenance and Repairs 20,820 32,129 21,947 131,300 131,300 0% Insurance 4,957 6,365 6,365 25,461 25,461 0% Miscellaneous 2,041 6,176 5,887 16,000 16,000 0% Operations,Services 67,193 93,237 109,987 549,531 549,531 0% Capital Outlay 279,413 242,570 200,919 1,281,581 1,281,581 0% Debt Service 353,763 370,485 370,485 677,790 677,790 0% Transfer Out 158,798 150,792 150,598 603,166 603,166 0% Total Expenditures 1,257,971 1,287,735 1,277,079 5,141,036 5,141,036 0% Net Income(Loss) $ - $ - $ - $ - $ - 20 City of Denton Solid Waste Fund Schedule of Revenues and Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/171 $ 8,151,875 $ 9,468,891 REVENUES: Garbage Fees-Residential $ 2,749,311 $ 2,786,456 $ 2,767,275 11,341,462 11,341,462 0% Garbage Fees-Commercial 3,604,045 3,849,964 3,830,542 16,127,040 16,127,040 0% Landfill Fees 1,480,287 1,685,722 1,435,709 6,836,245 6,836,245 0% Materials Processing and Mining 24,943 387,585 29,403 1,549,100 1,549,100 0% Recycling and Public Outreach 217,534 218,868 213,925 874,776 874,776 0% Site Operations 71,508 207,879 44,234 830,851 830,851 0% Other Revenue 40,311 110,976 38,610 443,550 443,550 0% Investment Income 6,201 3,753 17,007 15,000 15,000 0% Total Revenues 8,194,140 9,251,203 8,376,705 38,018,024 38,018,024 0% EXPENDITURES: Personal Service 2,638,774 2,916,640 2,715,698 11,683,418 11,683,418 0% Materials and Supplies 68,080 129,750 61,685 525,355 525,355 0% Maintenance and Repairs 78,859 175,830 66,705 671,275 671,275 0% Insurance 56,126 58,453 58,408 233,631 233,631 0% Miscellaneous 32,255 20,644 33,047 74,400 74,400 0% Operations,Services 1,380,880 1,907,699 1,184,777 7,724,368 7,724,368 0% Capital Outlay 1,531,192 692,931 - 2,669,510 2,669,510 0% Debt Service 4,212,877 5,108,893 5,108,893 9,700,467 9,700,467 0% Franchise Fee 405,617 475,608 418,743 1,900,902 1,900,902 0% Landfill Closure 66,438 94,764 94,689 378,757 378,757 0% Transfer Out 620,081 742,098 736,497 2,966,003 2,966,003 0% Total Expenditures 11,091,179 12,323,310 10,479,142 38,528,086 38,528,086 0% Net Income(Loss) $ (2,897,039) $ (3,072,107) $ (2,102,437) (510,062) (510,062) Ending Working Capital and Reserves $ 7,641,813 $ 8,958,829 The Beginning Working Capital Reserve excludes$8,654,114 Landfill Closure/Post Closure Reserves. 3 Annual adopted budget as amended or modified.Beginning Fund Balance represents the amount which was estimated in the FY 2017-18 budget process. 21 City of Denton Airport Fund Schedule of Revenues and Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET' PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/17 $2,471,421 $ 2,748,875 OPERATING REVENUES: Airport Ground Leases $ 131,021 $ 178,431 $ 167,014 713,154 713,154 0% FBO Commissions 34,286 49,992 25,170 199,808 199,808 0% Miscellaneous 13,884 23,173 11,197 92,619 92,619 0% Total Operating Revenues 179,191 251,596 203,381 1,005,581 1,005,581 0% OPERATING EXPENDITURES: Personal Service 162,272 132,723 121,413 530,482 530,482 0% Materials and Supplies 4,038 11,685 3,243 46,700 46,700 0% Maintenance and Repairs 18,941 26,318 4,913 105,193 105,193 0% Insurance 5,401 5,460 5,456 21,823 21,823 0% Miscellaneous 210 300 156 1,200 1,200 0% Operations 30,686 59,589 22,818 238,160 238,160 0% Transfers Out-Operating 117,556 136,877 129,960 547,070 547,070 0% Total Operating Expenses 339,104 372,952 287,959 1,490,628 1,490,628 0% Operating(Loss) (159,913) (121,356) (84,578) (485,047) (485,047) NON-OPERATING REVENUES: Investment Income 8,320 6,255 13,747 25,000 25,000 0% Gas Well Royalties 55,057 118,627 38,651 474,130 474,130 0% Total Non-Operating Revenues 63,377 124,882 52,398 499,130 499,130 0% NON-OPERATING EXPENDITURES: Transfers Out-Capital - 56,295 - 225,000 225,000 0% Total Non-Operating Expenses - 56,295 - 225,000 225,000 0% Non-Operating Income(Loss) 63,377 68,587 52,398 274,130 274,130 Net Income(Loss) $ (96,536) $ (52,769) $ (32,180) (210,917) (210,917) Ending Working Capital $ 2,260,504 $ 2,537,958 'Annual adopted budget as amended or modified.Beginning Working Capital and Reserves represents the amount which was estimated in the FY 2017-18 budget process. 22 City of Denton Street Improvement Fund Schedule of Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGETVS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET' PROJECTION PROJECTION Beginning Working Capital and reserves as of 9/30/2017 $ 1,253,048 $ 1,158,667 REVENUES: Franchise Fees $ 2,017,003 $ 3,121,509 $ 2,144,267 12,476,060 12,476,060 0% Street Cuts 65,218 89,322 75,252 357,000 357,000 0% Investment Income 4,682 2,502 - 10,000 10,000 0% Transfers In 241,069 279,757 258,645 1,118,135 1,118,135 0% Total Revenues 2,327,972 3,493,090 2,478,164 13,961,195 13,961,195 0% EXPENDITURES: Personal Service 732,190 860,680 860,520 3,439,984 3,439,984 0% Materials and Supplies 27,888 21,802 24,210 87,150 87,150 0% Maintenance and Repairs 838,740 1,706,970 1,427,229 8,041,573 8,041,573 0% Insurance 10,756 12,933 12,923 51,693 51,693 0% Miscellaneous 3,609 1,251 4,292 5,000 5,000 0% Operations,Services 202,898 175,213 133,274 700,302 700,302 0% Transfer Out 450,505 714,231 753,758 1,635,493 1,635,493 0% Total Expenditures 2,266,586 3,493,080 3,216,206 13,961,195 13,961,195 0% Net Income(Loss) $ 61,386 $ 10 $ (738,042) - - Ending Fund Balance S 1,253,048 $ 1,158,667 'Annual adopted budget as amended or modified.Beginning Fund Balance represents the amount which was estimated in the FY 2017-18 budget process. 23 City of Denton Grants Schedule of Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 EXPENDITURES CURRENT ANNUAL ANNUAL BUDGET VS GRANT DESCRIPTION AS OF 9/30/20172 Y-T-D BUDGET PROJECTION PROJECTION FY 2017-18 Budget US Dept of HUD- Community Development Block Grant(CDBG) $ 2,7759354 $ 103,859 $ 1,893,649 $ 600,000 -68% US Dept of HUD- HOME Investment Partnership Program 29816,384 180,307 1,046,759 450,000 -57% Community Development 5,591,738 284,166 2,940,408 1,050,000 -64% TxDot STEP Comprehensive Grant - 15,920 91,464 91,464 0% 2016 UASI - 130,000 130,000 0% 2017 UASI - 98,200 98,200 0% Emergency Management Performance Grant - 469825 46,825 0% 2016 Tobacco Enforcement Grant - 7,350 - -100% Staffing for Adequate Fire&Emergency Response - 4199971 419,971 0% Public Safety 15,920 793,810 786,460 -1% Airport Maintenance(RAMP)Grant - - 50,000 50,000 0% TxDot-RTR-Mayhill Rd-IH35 E to US 380 14,203,683 3,358,118 33,197,821 18,000,000 -46% TxDot-RTR-Bonnie Brae Rd-I1135 E to US 377 9,189,164 707,876 39,579,553 7,000,000 -82% County-Traffic Signal-US 380-Cindy Lane - - 53,865 - -100% TxDot-IH35E at Loop 288/Lillian Miller Pkwy - - 37,000 37,000 0% TxDot-RTR-McKinney(Formerly FM426) 138 686 18,267,303 1,300,000 -93% TxDot-Hickory Creek FM2181-FM2499 2,294 - 2,397,706 400,000 -83% NCTCOG Regional HHW Drop-Off Facility Project - 559898 - -100% Bicycle&Pedestrian Projects Grant - - 1,500,000 195,000 -87% Transportation' 23,395,279 4,066,680 95,139,146 26,982,000 -72% Interlibrary Loan Program(ILL) - - 25,000 25,000 0% TIFMAS Training Tuition Grant 10,000 10,000 0% Other - - 35,000 35,000 0% Total FY 2017-18 Budget 28,987,017 4,366,766 98,908,364 28,853,460 -71% New Awards Federal Equitable Sharing - 5,149 5,149 5,149 0% Chapter 59 Asset Forfeitures 15,664 15,664 15,664 0% U.S.Marshals Violent Offenders Task Force 5,814 5,814 5,814 0% PD-Law Enforcement Officer Standards& Education 3,942 3,942 3,942 0% Sexual Assault Nurse Examiners(SANE) Reimbursement 13,457 13,457 13,457 0% 2017 SHSP Ballistic Blankets - 3,000 3,000 0% 2017 SHSP Night Vision - 14,200 14,200 0% Public Safety - 44,026 61,226 61,226 0% 24 City of Denton Grants Schedule of Expenditures-Budget vs Projection(Unaudited) For the Period Ended December 31,2017 EXPENDITURES CURRENT ANNUAL ANNUAL BUDGET VS GRANT DESCRIPTION AS OF 9/30/20172 Y-T-D BUDGET PROJECTION PROJECTION TxDot-N TX Blvd Roundabout 11,805 - 1,9889195 4009000 -80% TxDot-RTR-ITS COMM Trunk Line 253,372 14,442 1,318,228 1,000,000 -24% TxDot-US 77 At Nicosia Street - 3,100 38,240 38,240 0% TxDot-FM 2499 At State School Road - 21,597 21,597 0% TxDot-FM 2499 At Unicorn Lake - - 219638 21,638 0% Transportation' 265,177 17,542 3,387,898 1,4819475 -56% TxDot NW Trail Extension Grant 190869685 1199353 212,273 2129273 0% Parks and Recreations 1,086,685 119,353 212,273 212,273 0% Total New Awards 193519862 180,921 396619397 197549974 -52% TOTALS $ 3093389879 $ 4,547,687 $ 102,569,761 $ 30,608,434 -70% 'This grant amount will be spent over several years and the fiscal year 2017-18 projections are just estimated expenditure in the one year. Remaining grant amounts will be spent in future fiscal year. 2 A portion of the grants presented cover multiple years. 25 Section 3 City of Denton Quarterly Financial Report December 2017 REVENUE & ECONOMIC ANALYSIS 26 Revenue & Economic Analysis Summary The data included in this section provides information on local, state and national trends impacting the City's financial position. The following notes are provided to facilitate this section's readability. 1 . Positive Outlook — Represents favorable conditions for the local economy. Color code — Green. 2. Cautious Outlook — Represents changing conditions that require close monitoring. Color code — Yellow. 3. Negative Outlook — Represents unfavorable conditions for the local economy. Color code — Red. The data included in this section have been obtained from a variety of sources. Sales tax and construction related data have been obtained from internal city departments. Economic data for the State have been obtained from the Federal Reserve Bank of Dallas and may be subject to availability. National economic data were compiled with assistance from the City's investment advisor, First Southwest Asset Management. 27 FirstSouthwest AssetManagement National Economic Trends A Hilltop Holdings Company_ Period Ending December 31, 2017 Gross Domestic Product (GDP The first measure of fourth quarter GDP fell Gross Domestic Product short of forecast with a +2.6% annualized Quarterly Annualized Percentage Change growth rate. Although hopes for three straight .......•.......I.......I.............I.........1-•..................... quarters of+3.0% growth didn't materialize, 0 _ _ _ _ _ _ _- _ _• _•_ _ _•_ _ _ Historical Avg.3.z% _._ the overall growth rate for 2017 was +2.5%, the strongest year of the recovery thus far. 3.2 z g 2 3.1 3.2 2.6 Within the composite, personal consumption 3.0 -•-•-• - -•...................................-- - --- - ...... climbed+3.8%, the biggest increase since Q2 ...'•6._._._._._._._._ _._ _._.1.8_ _ _ _ 2016, business investment rose +6.8%, and 1,2 residential spending jumped +11.6%. Imports 1.0 - - 0.5 ob---- --- - - - - rose+13.9%while exports gained just+6.9%. 0.0 The resulting trade gap extracted 1.13% from overall GDP. Inventory adjustments shaved l.o - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - another 0.67%. Looking forward into the first -2.0 -•-•-•-•-•-•-•-•-•-•-•-•-•N-•-.-•-•-•-•-•-•-•-.-•-•-•-•-•-•-•-•-•-•-•-•-•-•-•. quarter of 2018, inventories are likely to add, M rl N H N N N N e^i CL rather than subtract from growth'while the tax o � � o � reform bill is expected to incentivize Source us census Bureau/Bloomberg businesses to expend labor and productivity. Nonfarm Payrolls r_Change in Non-Farm Payrolls --0—Unemph meat Rate Nonfarm payrolls rose by+148k j obs during the Sao BA month of December, falling short of both the mmmmm_m_mm-_._._. .............................._....._._..._._._ 249 zsz +190k median forecast and the revised +252k 211 7.5 November gain. Revisions to the two previous 200 164 ........... 7.0 months subtracted -9k, bringing the 2017 ua 1ss las 138 148 average payroll gain down to +171k, the 6.5 g slowest pace since 2010. 100 ._ SO 6.0 LL C C Headline unemployment (calculated through a Zo s 0 a 9 ' ss separate household survey)held steady at a 17- Z 46 4.7 a 8 a.7 a.s 50 year low of 4.1%in December,but the broader 44 a s a s a 3 a.a a z as U6 unemployment rate crept up from 8.0% to 100 ._.__....................................................._._._._..- a:r a1 �:r 8.1%. Average hourly earnings climbed by as +0.3% in December after slipping by -0.1% in _zoo .............. _... 3.5 the previous month, allowing the year-over- -a 0 io �o n n n n n n n r n n n n I i i � I a � I i I., � M 1 year wage gain to hold steady at a mediocre N i+ Z O LL Q Q N V Z G +2.5%. Source:Bureau of Labor Statistics/Bloomberg 28 Inflation The overall consumer price index (CPI) rose Inflation Indicators(Year-Over-Year Percent Change) by just +0.1% in December as energy prices 3.5 - - - CPI-Auren,5 tCPI-cote -4-PCE-care r---- - fell -1.2%, but rising housing costs pushed core CPI up +0.3%. The year-over-year 3.0 -•_._._.-._._.-._._._.-._._._._._._._._._._._._._._._._._._.-.-._.-._.. 3.0 headline CPI slipped from +2.2% to +2.1%, M -------------------------------------- _ ............................ zs but y-o-y core CPI climbed from +1.7% to +1.8%. The Fed's preferred measure, PCE 20 - ----•-----•----------- �:;,;c' - - -'- - - core, rose for the fourth straight month, 4 climbing from +1.49% to 1.53% in December, still well below the recent peak of 1.0 -•- - - - - 1.0 +1.89%in Jan 2017. I0 5 Overall, the rate of consumer inflation (although still below the Fed s+2.0/o target) is creeping gradually higher as both the a ; ; a 3 � 9 R q ° r Q a a d g R g o domestic and global economies gain strength. P G C As long as the inflation trend is upward, the Source Bureau of Labor Stabsbcs?Bureau of Economic Malvsis+Bloombera FOMC should remain on its tightening path. Retail Sales Retail Sales%Change Retailers declared 2017 as the best holiday I buying season in seven years. Retail Sales M-O-M(Left Hand Sc ale I —Retail SalesY-0-Y(Right Hand Scale) ,.°° _._._._._._.-------------.-----------.---------------._.---------------._._ December retail sales rose by +0.4%. Although slightly below forecasts, the 6.00 --------------- - ----------- - - ------------- - --- ------- --- - - - - headline masked stronger underlying details. Retail sales ex auto and gas also rose +0.4% 4.00 - ----------- - - - ------- -._ - - - - - - - - - ---.--- - ......... in December, but November's number was 3.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- -•- boosted from+1.0%to +1.3%. The resulting 2,00 _.-------- ._.-.-------._.-.-.- - - -.-.-.-.- - - -.-.-.-.-.-._ _._._._._ +8.4% annualized quarterly gain was the 1.00 --- - - -- - - - - - - --._._._._._ -.- -.- largest in 12 years. °,� ■ ■ ■ • — ■ ■ _ ■ ■ — . _■_ ■■ The retail sales "control group,"which feeds into the GDP calculations, also saw a big revision with November's original +0.8% 2,00 .�._D..._._._._D.N._R.Z._o. ._T_..._D..._._._..........D Z x- gain revised upward to +1.4% while � December's increase came in at a respectable Saone US Census Bweau i Bf—mbeig +0.3%. 29 Texas Home Sales Texas home sales fell by-11.3%from the third TazWD&Mon Cry Home Sales(NSA) to the fourth quarter, but still grew+6.5%on 35.0 mo IIS a year-over-year basis. The average Texas 300 home price in December was $281k, a +5% ars °°° increase over the previous year, but down 230 from the high of$287.1k six months earlier. ass � 1 - j 1 •1 ; ' 1 �_�t_. � 200 In Denton County unit home sales fell-19.2% 1S0 ! 1 1 1�ji U. V during the quarter, but rose +5.5% over the 1 1" 1l �° same period a year ago. The average home ,as•i 100 price in December was$353.7k,a+9.7%year- �s —TI1—sw, over-year increase and the highest average D.-py—1 Sole �a T%Bm'"a ' recorded in any single month. Total Denton —Lnev fDnlm CO/blm 9Ns, County listings in December were 2,331, 00 '°° about +11% higher than a year ago. The u N W 4 = = '" a a 4 available inventory at year end was just 1.9 months;very close to the 1.7 month historical low. The paper was prepared by FirstSouthwest Asset Management,is intended for educational and informational purposes only and does not constitute legal or investment advice,nor is it an offer or a solicitation of an offer to buy or sell any investment or other specific product.Information provided in this paper was obtained from sources that are believed to be reliable;however,it is not guaranteed to be correct,complete,or current,and is not intended to imply or establish standards of care applicable to any attorney or advisor in any particular circumstances.The statements within constitute the views of FirstSouthwest Asset Management as of the date of the report and may differ from the views of other divisions/departments of Hilltop Securities.In addition,the views are subject to change without notice.This paper represents historical information only and is not an indication of future performance. 30 Fuel Prices I Outlook I Cautious Description: Quarterly fuel trends for the United States and Texas. Analysis: Fuel prices are a major commodity source in the economy. Studies have shown a positive effect on disposable income levels when fuel prices decrease. It is estimated that for every penny decrease in the price of fuel, $1.3 billion is available to the consumer for disposable income. Therefore,the price of fuel is likely to be a key predictor of sales tax collections. Fuel prices showed a 3.0%increase from the prior quarter at the national level and a 1.4%increase at the state level. Staff has rated this outlook as Cautious. Fuel Prices `I Sales Tax —Texas Fuel Prices —US Fuel Prices $4.00 $12 $3.50 $10 $3.00 — $8 $2.50 0. N N L C o $2.00 - $6 G $1.50 $4 $1.00 $2 $0.50 $0.00 $0 1Q'14 3Q'14 1Q'15 3Q'15 1Q'16 3Q'16 1Q'17 3Q'17 1Q'18 Source: U.S. Department of Energy 31 Municipal Cost Index I Outlook Description: The Municipal Cost Index was developed to show the rate of inflation for the cost of goods purchased frequently by local governments. The MCI draws on the monthly statistical data collected by the U.S. Departments of Commerce and Labor as well as independently compiled data to project a composite cost picture for the municipal budget officer or operating department manager. Costs of labor, materials and contract services are all factored into the composite MCI. Major indicators of these items used for the MCI include the Consumer Price Index, the Wholesale Price Index for Industrial Commodities (now known as the Producer Price Index) and the construction cost indexes published by the U.S. Department of Commerce, respectively. Analysis: The Municipal Cost Index (MCI) pulls a variety of prices for frequently purchased commodities for local governments. The cost for labor, materials and contract services are factored for the MCI. An increase in MCI means the overall price mix for these types of commodities will cost local governments more to do routine business. The 1st Quarter of 2017-18 shows an increase of 1.9% over the prior quarter and an increase of 8.2% over the 1st Quarter of 2016-17. Staff has rated this indicator as Negative. Municipal Cost Index 250.00 245.00 240.00 235.00 230.00 225.00 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 2Q'17 3Q'17 4Q'17 1Q'18 Source:American City and County Magazine Note: The Municipal Cost Index is designed to show the effects of inflation on the cost of providing municipal services. State and local government officials rely on American City&County's Municipal Cost Index to stay on top of price trends, help control price increases for commodities, make informed government contract decisions and intelligent budget planning. Since 1978, readers have loyally referred to the Municipal Cost Index to determine the cost of inflation and, hence,the rising cost of doing business as a local government. 32 Hotel Occupancy Tax Analysis I Outlook I Positive Description: Tax imposed on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use of a room that is in a hotel. A hotel includes: any building in which the public may obtain sleeping accomodations; motels; a tourist home, house or court; lodginghouse; inn; roominghouse; or bed and breakfast. The tax rate levied by the City is 7%of the price paid for a room. The State also levies a tax equal to 6%. Analysis: While the use of this revenue source is restricted by state law, it is an essential revenue source for various tourist related activities within the community and an important indicator of local economic activity. Hotel Occupancy tax revenue through the 1st Quarter of FY 2018 was 14% less than budget but 5% more than the prior year's actual. Staff has rated the outlook for this economic indicator as Positive. 1st Quarter FY 2017-18 Actual Y-T-D Occupancy Tax Revenue: $ 586,357 $ 586,357 FY 2017-18 Budget $ 685,694 $ 685,694 Over(Under) Budget $ (99,337) $ (99,337) FISCAL YEAR FORECAST Hotel Occupancy Tax Budget: $ 3,052,174 End of Year Projection: $ 3,052,174 Variance: $ Hotel Occupancy Tax Collections $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $0 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr ■FY 2014-15 ■FY 2015-16 ■FY 2016-17 ■FY 2017-18 33 Sales and Use Tax Analysis I Outlook I Positive Description: Tax imposed on all retail sales, leases,and rentals of most goods,as well as taxable services. The total tax rate levied within the City is 8.25%(State, 6.25%;City, 1.5%; DCTA,0.5%). Analysis: As the second largest revenue source to the City's General Fund, sales and use taxes are essential to the delivery of services to the community. Sales tax revenues through the 1st quarter of FY 2018 compared to revenues from the prior year 1st quarter shows a 1.65%increase, and compared to the budget it is 6.24%above. Staff has rated this indicator as Positive. 1st Quarter FY 2017-18 Actual Y-T-D Municipal Operations $ 437,767 $ 437,767 General Retail&Others 9,636,934 9,636,934 Comptroller Fees (189,035) (189,035) Amount Retained (185,255) (185,255) Total Revenue $ 9,700,411 $9,700,411 Expenses:Economic Incentives Denton Crossing' $ 157,122 $ 157,122 Unicorn Lake 21,733 21,733 Rayzor Ranch 3 370,639 370,639 Golden Triangle 39,325 39,325 Total Expenses $ 588,819 $ 588,819 Net Total 9,111,592 9,111,592 FY 2017-18 Budget 8,576,527 8,576,527 Over(Under)Budget $ 535,065 $ 535,065 Sales Tax Budget: $ 36,181,385 Year End Projection: 36,181,385 Variance to Original Budget: $ - Economic Development Expenditure Budget: $ 2,373,819 Year End Projection: 2,373,819 Variance to Original Budget: $ Gross Sales Tax Collections (Millions) $10.0 $9.0 $8.0 — - $7.0 $6.0 $5.0 - $4.0 $3.0 $2.0 - $1.0 $0.0 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr 0 FY 2013-14 Actual V FY 2014-15 Actual 0 FY 2015-16 Actual 11 FY 2016-17 Actual u FY 2017-18 Actual *Economic Incentive actuals are through October 2017 with budget amount for November and December. 1.Incentive is 33%of sales taxes.For the 1"quarter sales tax equaled$476,127. 2.Incentive is 33%of sales taxes.For the 1s`quarter sales tax equaled$65,858. 3.Incentive is 50%of sales taxes.For the 1"quarter sales tax equaled$741,278 4.Incentive is 50%of sales taxes.For the 1s`quarter sales tax equaled$78,650. 34 Certificates of Occupancy I Outlook I Cautious Description: Certificates of Occupancy (CO) are permits issued in compliance with the 2009 International Building Code (IBC) and applicable City ordinances. The IBC states, "that no building shall be used or occupied,and no change in the existing occupancy classification of a building or structure or portion thereof shall be made, until the building official has issued a certificate of occupancy." Certificates of Occupancy ensure that applicable building, fire and consumer health codes are met. Analysis: Certificates of Occupancy are an economic indicator that provides a framework for the overall condition of the local economy. Certificates of Occupancy decreased 31.8%from the prior quarter and increased 2.34%from the 1St Quarter of 2017. Staff has rated the outlook for this revenue indicator as Cautious. Certificates of Occupancy 80.0 70.0 60.0 50.0 40.0 30.0 20.0 10.0 0.0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q '13 '13 '13 '13 '14 '14 '14 '14 '15 '15 '15 '15 '16 '16 '16 '16 '17 '17 '17 '17 '18 Source:City of Denton's Development Services Department. 35 Residential Permits I Outlook I Cautious Description: Residential Permits are issued in compliance with the 2009 International Residential Code (IRC) and applicable City ordinances. The data presented in this analysis only include new permits issued and not remodels/alterations. Analysis: Residential Permits are an economic indicator that provides a framework for the overall condition of the local economy. In particular, residential permits have a direct correlation with building inspection fees and appraised values. Residential permits decreased 28.1% from the prior quarter and increased 181.7% from the 1" Quarter of 2017. Staff has rated the outlook for this revenue indicator as Cautious Residential Permits 250.0 200.0 150.0 100.0 50.0 0.0 411 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q '13 '13 '13 '13 '14 '14 '14 '14 '15 '15 '1S '15 '16 '16 '16 '16 '17 '17 '17 '17 '18 Source:City of Denton's Development Services Department. 36 Texas Leading Indicators Index I Outlook I Positive Description: The Texas Leading Indicators Index is a single weighted summary statistic that sheds light on the future of the state's economy. The index is designed to signal movements and changes in the state's rate of growth. The index includes the following leading indicators: Texas Value of the Dollar, U.S. Leading Index, Real Oil Prices, Well Permits, Initial Claims for Unemployment Insurance, Texas Stock Index, Help-Wanted Advertising, and Average Weekly Hours Worked in Manufacturing. Analysis: Texas Leading Indicators provide a framework for the overall condition of the local economy. Data for this quarter shows an increase in the state's rate of growth. The index increased 1.0% from the prior quarter and increased 4.07%from the 15t Quarter of 2016-17. Staff has rated this indicator as Positive Texas Leading Indicators Index 140.0 135.0 130.0 125.0 120.0 115.0 110.0 105.0 100.0 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q 3Q 1Q '08 '08 '09 '09 '10 '10 '11 '11 '12 '12 '13 '13 '14 '14 '15 '15 '16 '16 '17 '17 118 Source: Federal Reserve Bank of Dallas 37 Unemployment Rate Index I Outlook I Positive Description: Unemployment is defined as the number or proportion of people looking for work at the prevailing wage who are unable to find employment. Analysis: Unemployment is an economic indicator that provides a framework for the overall condition of the national, state and local economies. The unemployment rate for the City of Denton is at 2.6% for the 1" Quarter. The unemployment rates for most of the other reported sectors were either down or flat from the prior quarter. As a result of the downward trend since the high of the 1st Quarter of 2011,staff has rated the outlook for this revenue indicator as Positive. Unemployment Rate Index 18.0 16.0 14.0 12.0 10.0 8.0 6.0 4.0 2.0 1Q'12 3Q'12 1Q'13 3Q'13 1Q'14 3Q'14 1Q'15 3Q'15 1Q'16 3Q'16 1Q'17 3Q'17 1Q118 61Dallas-Plano-Irving MD _JDenton —Texas -U6 Unemployment —United States Source: Federal Reserve Bank of Dallas, U.S. Bureau of Labor Statistics,and Texas Workforce Commission Note: U6 unemployment includes marginally attached workers who currently are neither working nor looking for work but indicate that they want and are available for a job and have looked for work sometime in the recent past. Discouraged workers, a subset of the marginally attached, have given a job-market related reason for not looking currently for a job. Persons employed part-time for economic reasons are those who want and are available for full-time work but have had to settle for a part-time schedule. 38 Section 4 City of Denton Quarterly Financial Report December 2017 INVESTMENT REPORT 39 CITY OF 1 • QUARTERLY INVESTMENT REPORT �., =1 INVESTMENTPOOL Policy Par Market Book Unrealized Max. Benchmark j Portfolio: Value Value Value Gain/(Loss)' WAM WAM YTM Yield* j Investment Pool j$ 664,555,916 $ 661,960,386 $ 664,403,888 $ (2,443,502) 329 550 1.29% *Twelve month moving average of a one year :us.T-bill yield %of Total Par Market Book Unrealized Portfolio Policy :Securities By Investment Type: Value Value Value Gain/(Loss)' WAM YTM (Book Value) Max. :U.S.Treasuries 54,000,000 53,875,122 53,988,660 (113,538) 149 1.11% 8.13% 100.00% :U.S.Federal Agencies 338,756,000 336,610,728 338,795,485 (2,184,757) 453 1.23% 50.99% 100.00% :Municipal Bonds 22,800,000 22,686,733 22,813,784 (127,051) 242 1.09% 3.43% 15.00% Certificates of Deposit 136,000,000 136,000,000 136,000,000 - 347 1.52% 20.47% 35.00% :Commercial Paper 46,000,000 45,787,887 45,806,043 (18,156) 98 1.57% 6.90% 15.00% :Local Government Investment Pools 39,424,172 39,424,172 39,424,172 - 1 1.18% 5.93% 50.00% :Insured Cash Sweep Savings Deposits 25,000,000 25,000,000 25,000,000 - 1 1.23% 3.76% 15.00% Demand Deposits 2,575,744 2,575,744 2,575,744 - 1 0.60% 0.39% :Total Portfolio ;$ 664,555,916 $ 661,960,386 $ 664,403,888 $ (2,443,502) 329 1.29% 100.00% :'Unrealized gain/(loss)is the difference between the market and book value and does not represent an actual gain or loss. Gains and losses are; :realized only when a security is sold prior to maturity. Since it is the City's practice to hold investments until they mature,the temporary gains and: ;losses are unlikely to be realized. Current 3 Months Ago 3 Month 1 Year Ago 1 Year Ago ;Investment Pool Comparisons: 1 12I31I2017 913012017 Difference 12I31/2016 Difference :Par Value $ 664,555,916 $ 707,614,071 $ (43,058,155) $ 504,051,706 $ 160,504,210 :Market Value ;$ 661,960,386 $ 706,581,905 $ (44,621,519) $ 504,248,614 $ 157,711,772 :Book Value !$ 664,403,888 $ 707,643,535 $ (43,239,647) $ 504,835,388 $ 159,568,500 :Unrealized Gain(Loss) !$ (2,443,502) $ (1,061,630) $ (1,381,872) $ (586,774) $ (1,856,728) !Weighted Average Maturity 329 382 (53) 299 30 !Yield to Maturity 1.29% 1.25% 0.04% 0.95% 0.34% :Portfolio Composition: :U.S.Treasuries 8.13% 7.64% 0.49% 7.41% 0.72% :U.S.Federal Agencies 50.99% 49.86% 1.13% 37.50% 13.49% :Municipal Bonds 3.43% 3.23% 0.20% 6.99% -3.56% :Certificates of Deposit 20.47% 21.34% -0.87% 29.71% -9.24% ;Commercial Paper1 6.90% 5.63% 1.27% 7.90% -1.00% :Local Government Investment Pools 1 5.93% 8.47% -2.54% 9.86% -3.93% :Insured Cash Sweep Savings Deposits 3.76% 3.53% 0.23% 0.00% 3.76% :Demand Deposits 1 0.39% 0.30% 0.09% 0.63% -0.24% :Bank Collateral Review**: 1 Institution Collateral Type Market Value Collected Balance Pledge Required Collateral Ratio ------------------------------------------------------------------------------------------T5-,------------- -----770--3 ------- :Wells Fargo Demand Deposits :BNY Mellon U.S.Agency MBS $ 35,754,621 $ 2,019,881 >102% 1770.13 :LegacyTexas Bank Certificates of Deposit*** !Fed Home Loan Bank Standby LOC $ 65,220,000 $ 62,996,445 >100% 103.53% :Independent Bank Certificates of Deposit ;Fed Home Loan Bank Standby LOC $ 22,100,000 $ 20,356,506 >100% 108.56% :**Does not include FDIC insurance ***Formerly,ViewPoint Bank :Depository Ledger Balance Review: Institution Account Type Beginning Bal. Deposits Withdrawals Ending Bal. --------------------------------------------------------------------------------------------------------------------------------------------------- 1 Wells Fargo Bank Checking $ 2,092,150 $ 87,127,407 $ (86,643,813) $ 2,575,744 __________________________________________________________________________________________________________________________________________________7 ;Compliance Statement&Review: ;The Quarterly Investment Report is in full compliance with the objectives,restrictions,and strategies as set forth in the City of Denton's Investment; I !Policy and the Public Funds Investment Act(Texas Government Code,Chapter 2256.023). ------------------------------------------------------------------------------------------------------------------------------------------------- ANTONIO PUENTE,JR. CAROLINE FINLEY Reviewer:Antonio Puente,Jr.,CGFO Preparer:Caroline Finley Director of Finance Treasury Administrator ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ 40 41 CITY OF DENTON : QUARTERLY INVESTMENT REPORT INVESTMENT POOL Current 3 Months Ago 1 Year Ago :Summary By Security Type: 1213112017 9I3012017 12131@016 -------- ::U.S.Treasuries-Coupon $ 53,988,660 $ 54,062,054 $ 37,377,902 j U.S.Federal Agencies-Coupon 308,038,429 322,073,977 179,296,985 U.S.Federal Agencies-Callable 30,757,056 30,757,606 9,999,176 Municipal Bonds-Coupon 22,813,784 22,841,978 35,284,805 :Certificates of Deposit-CDARS 54,000,000 59,000,000 55,000,000 :Certificates of Deposit-SLOC 82,000,000 92,000,000 95,000,000 ;Commercial Paper-Discount 45,806,043 39,849,849 39,884,814 ;Local Government Investment Pools 39,424,172 59,924,172 49,800,000 Insured Cash Sweep Savings Deposits 25,000,000 25,000,000 - :Demand Deposits 2,575,744 2,133,899 3,191,706 :Total Book Value $ 664,403,888 $ 707,643,535 $ 504,835,388 Current 12/31/2017 ■U.S.Federal Agencies- Coupon 52.89% ■U.S.Federal Agencies- • U.S.Treasuries- lie Callable Coupon 5.28% 9.27% ■Demand Deposits 0.44% Municipal Bonds- Coupon Insured Cash Sweep Savings 3.92% Deposits... ■Local Government Certificates of Investment Pools Deposit-CDARS 6.78% Commercial Paper- 9 27% Discount 7.86% I________________________________________________________________________________________________________________________________________________________________________________4 :Objective: !The portfolio is restricted to U.S.Treasuries and agency securities(maturing in less than five years);state and locally issued Texas municipal{ I bonds rated AA or better(maturing in less than three years);insured,collateralized,or standby letter of credit backed certificates of deposit; !(maturing in less than three years);collateralized repurchase agreements(maturing in less than thirty days);commercial paper rated A-1/P-1 or! :better(maturing in less than 270 days);and local government pools&SEC registered government money market mutual funds(weighted average! I :maturiX of less than 60 days_ ------------------------ Current 3 Months Ago 1 Year Ago ;Summary By Security Type: 12/31/2017 9/30/2017 12/31/2016 I --------------------------------------------------------------------------------------------------------------------------------- !U.S.Treasuries-Coupon 8.13% 7.64% 7.41 U.S.Federal Agencies-Coupon 1 46.36% 45.51% 35.52% :U.S.Federal Agencies-Callable 1 4.63% 4.35% 1.98% :Municipal Bonds-Coupon 1 3.43% 3.23% 6.99% Certificates of Deposit-CDARS 8.13% 8.34% 10.89% Certificates of Deposit-SLOC 12.34% 13.00% 18.82 ::Commercial Paper-Discount 1 6.90% 5.63% 7.90 :Local Government Investment Pools 1 5.93% 8.47% 9.86% :Insured Cash Sweep Savings Deposits 1 3.76% 3.53% 0.00% :Demand Deposits 0.39% 0.30% 0.63 :Total 100.00% 100.00% 100.00 42 CITY OF DENTIN: QUARTERLY INVESTMENT REPORT INVESTMENT POOL Current 3 Months Ago 1 Vear Ago ;Summary By Issuer: 12/31/2017 9/30/2017 1213112016 ;CDARS CDs $ 54,000,000 $ 59,000,000 $ 55,000,000 LEGACYTEXAS BANK CDs' 62,000,000 62,000,000 62,000,000 .INDEPENDENT BANK CDs 20,000,000 30,000,000 33,000,000 U.S.TREASURY 53,988,660 54,062,054 37,377,902 FFCB 79,025,848 84,030,979 36,995,886 iFHLB 130,105,703 130,125,419 56,026,810 ;FHLMC 47,914,577 52,934,154 44,186,681 ;FNMA 81,749,357 85,741,031 52,086,784 DALLAS,TX WTR&SWR REV BDS I 1 10,000,000 10,000,000 10,000,000 ;TEXAS A&M UN IV REV BDS 1 4,500,000 4,500,000 9,509,793 W ILLIAMSON COUNTY,TX GEN OBG BOB I - - 1,616,402 LUBBOCK,TX GO REFUNDING BOB 3,300,517 3,301,573 3,304,742 ;UNIVERSITY OF HOUSTON,TX REV BDS 5,013,267 5,040,405 5,121,818 ;MCKINNEV,TX GENERAL OBG BONDS - - 1,202,571 ;TEXAS SCHOOL DIST GEN OBG BONDS - - 4,529,479 JP MORGAN SECURITIES LLC 25,911,014 24,870,611 19,970,583 TOYOTA MOTOR CREDIT CORP 14,919,698 4,990,263 19,914,231 .NESTLE FINANCE INTL LTD - 9,988,975 - iING(U.S.)FUNDING LLC 4,975,331 - - ;TEXSTAR 39,424,172 59,924,172 49,800,000 (INSURED CASH SWEEP SAVINGS 25,000,000 25,000,000 WELLS FARGO DEMAND DEPOSITS 2,575,744 2,133,899 3,191,706 Total Book Value $ 664,403,888 $ 707,643,635 $ 504,835,388 Current 12/31/2017 ■ TEXSTAR,5.93% ■WF DEMAND DEPOSITS,0.39% • INSURED CASH SWEEP SAVINGS,3.76% ■ING(U.S.)FUNDING LLC,0.75% ■CDARS CDs,8.13% ■ TOYOTA MOTOR CREDIT CORP,2.25% ■LEGACY/EXAS BANK CDs,9.33% • JP MORGAN SECURITIES LLC,3.90% ■ UNIVERSITY OF HOUSTON,TX REV BDS,0.75% ■ LUBBOCK,TX GO REFUNDING BDS,0.50% ■ TEXAS A&M UNIV REV BDS,0.68% ■INDEPENDENT BANK CDs,3.01% ■ DALLAS,TX WTR&SWR REV BDS,1.51% ho ■U.S.TREASURY,8.13% ■FNMA,12.30% ■FFCB,11.89% ■FHLMC,7.21% ■FHLB,19.58% .................................................................................y res..................-w't................................'t'i"m........inor'..........................t'h"e..............'t'al"...k va,....................._____ Objective: It is the pdicy of the Cily to diversify its investment portfdio by restricting investments in a single issuer/institution to no more than 35 percent of the portfolio's total book value and to those offering:: repurchase agreements,collateralized CDs(including standby letters of credit),and local or state of Texas municipal securities to no greater than 15 percent.The purpose of this requirement is to limit: market and credit risk.Commercial paper issuers are further restricted by a 5 percent total porl limitation.There are no issuer limitations on U.S.Treasuries or FDIC insured products except as they: pertain to the overall 35%certificates of deposit and 15%savings deposit restrictions.Some investment types may be further limited. ................................................................................................................................................................................................................................................................: Current 3 Months Ago 1 Year Ago Summary BY Issuer. ......12131/2017......................................_9/30/2017________...............................1 2131/2 01 6_ CDARS CDs 8.13% 8.34% 10.89% LEGACYTEXAS BANK CDs' 9.33% 8.76% 12.28% INDEPENDENT BANK CDs 3.01% 4.24% 6.54% U.S.TREASURY 8.13% 7.64% 7.41% FFCB 11.89% 11.87% 7.33% FHLB 19.58% 18.39% 11.10% FHLMC 7.21% 7.48% 8.75% FNMA 12.30% 12.12% 10.32% DALLAS,TX WTR&SWR REV BDS 1.51% 1.41% 1.98% TEXAS A&M UNIV REV BDS 0.68% 0.64% 1.89% W ILLIAMSON COUNTY,TX GEN OBG BOB 0.00% 0.00% 0.32% LUBBOCK,TX GO REFUNDING BDS 0.50% 0.47% 0.65% UNIVERSITY OF HOUSTON,TX REV BOB 0.75% 0.71% 1.01% MCKINNEV,TX GENERAL OBG BONDS 0.00% 0.00% 0.24% TEXAS SCHOOL DIST GEN DEG BONDS 0.00% 0.00% 0.90% JP MORGAN SECURITIES LLC 3.90% 3.51% 3.96% TOYOTA MOTOR CREDIT CORP 2.25% 0.71% 3.94% NESTLE FINANCE INTL LTD 0.00% 1.41% 0.00% ING(U.S.)FUNDING LLC 0.75% 0.00% 0.00% TEXSTAR 5.93% 8.47% 9.86% INSURED CASH SWEEP SAVINGS 3.76% 3.53% 0.00% WELLS FARGO DEMAND DEPOSITS 0.39% 0.30% 0.63% Total 100.00% 100.00% 100.00% 'Formerly,Viewpoint Bank 43 44 CITY OF DENTON : QUARTERLY INVESTMENT REPORT W ECONOMIC SUMMARY Interest Rate History :Source: U.S.Federal Reserve Statistical , I----------------------------------------------- ------------------------------- -------------------------------- :Release(H.15) Fiscal Year 2012-2013 Fiscal Year 2013-2014 Fiscal Year 2014-2015 I Dec-12 Mar-13 Jun-13 Sep-13 I Dec-13 Mar-14 Jun-14 Sep-14 I Dec-14 Mar-15 Jun-15 Sep-15 I Market Sector: I---Avg -------Avg -------AV9-------AV9---"---Avg -------Avg -------AV9-------Av9---"---Avg -------Avg -------AV9-------AV9 --- " ;Fed Funds(effective) 0.16% 0.14% 0.09% 0.08%1 0.09% 0.08% 0.10% 0.09%1 0.12% 0.11% 0.13% 0.14% :3-Month U.S.T-Bill 0.07% 0.09% 0.05% 0.02%: 0.07% 0.05% 0.04% 0.02%: 0.03% 0.03% 0.02% 0.02% :2-Year U.S.T-Note 0.26% 0.26% 0.33% 0.40%: 0.34% 0.40% 0.45% 0.57%: 0.64% 0.64% 0.69% 0.71% Portfolio Benchmark' 1 0.18% 0.18% 0.16% 0.15%: 0.13% 0.13% 0.12% 0.12%: 0.12% 0.15% 0.18% 0.24% :Portfolio Yield 1 0.52% 0.50% 0.48% 0.49%: 0.50% 0.49% 0.49% 0.51%: 0.55% 0.57% 0.57% 0.65% 1-----------------------------------------------'-----------------------------------------------'----------------- ------------------------------------------------------------------------------------------------------------------------------------------------- Fiscal Year2015-2016 1 Fiscal Year2016-2017 1 Fiscal Year2017-2018 Dec-15 Mar-16 Jun-16 Sep-16 I Dec-16 Mar-17 Jun-17 Sep-17 I Dec-17 Mar-18 Jun-18 Sep-18 1 Market Sector: Avg Avg Avg Avg Avg Avg Avg Avg Avg Avg Avg Avg , 1--- --------------- ..................... :Fed Funds(effective) 0.24% 0.36% 0.38% 0.40%: 0.54% 0.79% 1.04% 1.15%: 1.30% 13-Month U.S.T-Bill 1 0.23% 0.30% 0.27% 0.29%1 0.51% 0.75% 1.00% 1.05%1 1.32% 12-Year U.S.T-Note 1 0.98% 0.88% 0.73% 0.77%1 1.20% 1.31% 1.34% 1.38%1 1.84% !Portfolio Benchmark' 1 0.32% 0.41% 0.49% 0.54%1 0.61% 0.69% 0.83% 1.00%1 1.20% !Portfolio Yield 1----0.72% 0.79% 0.81% 0.90%1 0.95% 1.07% 1.16% 1.25%1 1.29% ---------------------------------------------------------------------------------------------------------------------------------------- 1'Twelve month moving average of a one year !U.S.T-bill yield 3.00% FY 2012-13 FY 2013-14 FY 2014-15 FY 2015-16 FY 2016-17 FY 2017-18 2.00% 1.00% giiiiiii - ` 0.00% Dec-Mar-Jun-Sep-Dec-Mar-Jun-Sep-Dec-Mar-Jun-Sep-Dec-Mar-Jun-Sep-Dec-Mar-Jun-Sep-Dec-Mar-Jun-Sep- 18 18 18 Fed Funds - 3-Month T-Bill 2-Year T-NMt Portfolio Yield PortfoliAB.n..-. i i ________________________________________________________________________________________________________________________� Fiscal Year to Date Earnings Oct-Dec I I Oct-Mar Oct-Jun Oct-Sep 1 ' ' !Fiscal Year: -----------------I-------12 Months---- 1 1 3 Months 6 Months 9 Months �----------- ' ' --�--------------- 12017-2018 1$ 2,138,420 1 1$ - 1$ - 1$ 12016-2017 !$ 1,175,753! !$ 2,763,136! !$ 4,734,315! !$ 6,999,226 12015-2016 1 1$ 849,368 1 1$ 1,771,205 1 1$ 2,743,856 1 1$ 3,961,971 12014-2015 1 1$ 613,879 1 1$ 1,228,059 1 1$ 1,874,847 1 1$ 2,695,211 12013-2014 1 1$ 568,825 1 1$ 1,121,491 1 1$ 1,680,154 1 1$ 2,298,785 12012-2013 1 1$ 612,750 1 1$ 1,177,337 1 1$ 1,703,496 1 1$ 2,276,341 1 1-----------'-----------------------'-----------'-----------------------'-----------'-----------------------'----- QUARTERLY COMMENTARY December1 31,2017 1------------------------------------------------------------------------------------------------------------------------------------------------ 1 Source: First Southwest Asset ManagementlThe fourth calendar quarter was marked by both hurricane-tainted economic numbers and the much anticipated tax reform act: 1 Economic Summary&TexSTAR Monthly !signed into law on December 22nd.The bill signed into law by President Trump called the"Tax Cuts and Jobs Act"is expected: Newsletter Ito fuel the economy in the near term at an estimated cost of roughly$1.5 trillion over 10 years.Another major theme was the; !Fed.The Federal Open Market Committee(FOMC)raised the overnight fed funds rate by 25 basis points in a 7-2 vote.This: (brings the fed funds targeted range to 1.25-1.50%.The committee expects 3 more rate hikes in 2018.According to the: !Bloomberg economist survey taken in early January,the median forcast for Q4 2017 real GDP is 2.4%,followed by 2.6%,2.5%j land 2.4%for the next three quarters. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ 45 d 02 00 OU 02 00 D 07 02 T m O N W 002 00 O m 0 02 0) 0 N NO ON N f2 00 m O ON � d 0 O O O O O O O O O 0 O O O O O O O 0 O U O OO OO O O O 0 OOO O Q N N N N N N N N N N N N N NNNNNNNN N NNNNN N N N N oM NM N N i0 LOui ro an N v) o v 0 -) M N 0 cD 0) of N w 0 0) n N M 00 0 00 cn 0) 00 n u) U J r r N r N r O r r N M O O N O M r O ` r r r N N r O O Z `1 N N N N N C] m O N O N O M m [O O ch W N N N N m o m h u7 0. o 0 0 0 0 0 0 0 o ai 0 t- w 0- 0 a L D. w N M O 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M O d E �� g CL N M j fn y au (n a C L o Q O u N n (o n v n 00 d ' 1n W J N V n N 1n n m rn Q) fn U O W W 0 (7 N O V rn rn rn N 0 rn ro co rn 0, E d d d d x x ` m CL M CO M M M M M M Co Co M 0 O O O N Cl) V C17N cl)� A O N N (n N N W N fn !n N (n (n (n N E n V M M 7 O 0 } } } } } } } } ) } O m N rn O } } c U U (n (n 0 U 0 (n fn (n fn (n N V) U v v v v W W J (n V) 0 a. £ 5 ) [ 0 / a / {\ . cn /) (In \ k § §) n ) \ k ( co Lo- \ cc to } \ \ \ ± _ $ ; � § § 0 a � A E f � \ / } = n a ) Irt # m \ ? .0 ■ E c — _ ■ 0 £$ 0 a � (§ § / k2 / & / } u to a § ) c § § [ } _ g ) 2 k LU \ ] 7 0 - ` § !� + § 6 ° \\ a § G / � § 2 to kj (L \ ) \ \ \ Section 5 City of Denton Quarterly Financial Report December 2017 PERFORMANCE REPORT 50 STRATEGIC PLAN 2017-18 The City of Denton uses a Strategic Plan as a roadmap to achieve long-term goals and objectives that capture the City's Vision, Mission, and Value statements. The first Strategic Plan was formally approved by the City Council in April 2011, and it has been updated periodically since that time. Over the past year, the City has partnered with the Bloomberg What Works Cities initiative to refine our strategic outcomes and identify measurable ways to mark our progress. The City Council approved the FY 2017-18 Strategic Plan and associated performance measures on September 19, 2017. The Strategic Plan serves as the basis for resource allocation decisions that are used in the development of the FY 2017-18 Budget. The Strategic Plan is organized into five Key Focus Areas (KFAs) and major goals associated with each KFA are also identified below. Key Focus Area 1:Organizational Excellence Goal 1.1 Manage financial resources in a responsible manner. Goal 1.2 Develop a high-performance work force. Goal 1.3 Promote effective internal and external communication. Goal 1.4 Achieve high level of customer satisfaction. Goal 1.5 Utilize technology to enhance efficiency and productivity. Goal 1.6 Collaborate with local,regional,state,and federal partners. Key Focus Area 2:Public Infrastructure Goal 2.1 Optimize resources to improve quality of City roadways. Goal 2.2 Seek solutions to mobility demands and enhance connectivity. Goal 2.3 Promote superior utility services and facilities. Goal 2.4 Manage drainage infrastructure. Goal 2.5 Develop Capital Improvement Program(CIP)based on community needs. Goal 3.1 Developtargeted policies and incentives to achieve desired economic growth. Goa13.2 Make Denton a destination for visitors. Goa13.3 Promote a business-friendly environment. Goal 3.4 Encourage development,redevelopment,recruitment,and retention. Key Focus Area 4:Safe,Liveable and Family Friendly Community A E Goal 4.1 Enhance public safety in the community. Goal 4.2 Seek clean and healthy neighborhoods in Denton. Goal 4.3 Provide quality,diverse,and accessible neighborhood services for the community. Goal 4.4 Provide and support outstanding leisure,cultural,and educational opportunities. Goal 4.5 Provide support to citizens in need through social service agencies and programs. Goal 5.1 Manage Denton's water resources. Goal 5.2 Improve air quality and greenhouse gas management. Goal 5.3 Improve energy efficiency and conservation. Goal 5.4 Manage land use and preserve open/natural spaces. Goal 5.5 Provide alternative modes of transportation. Goal 5.6 Promote sustainable materials resource management. Goal 5.7 Encourage local food production. 51 STRATEGIC PLAN 2017-18 The matrix below organizes the Key Focus Areas (KFAs) by select service areas in the organization. While every department has some level of responsibility for each KFA,the matrix is intended to only highlight the primary departments responsible for each KFA. 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Q c o a x w L Y o ar o 0 3 3 o v v U Qa .� ° L U m a �—` w a m F N u o0 o E n u o oc 3 o m Q00 O O O O N o O N N N N L N Q Cl a Q u U W v01 to v07 N 2L/) > C O a p Q fl T U O O Q Q � Q •� O a Y H C J O � ar � v E -o a m N LO m p Y C) Q -EN .0 a b4 O O V Q ti m m O O 0 a V O O t a) N 0 C aJ C U C m Y m C W i0 U c m C x a Q a m Q ° N T N p m ha c E a I n c o OU 0 c m m N a w a aJ z Y C v 3 aJ a) E o O w m i Q 7 N u O Y N � C C 'C C J -u aJ _ 3 ° O C al CL w U a1 2 V V E a� L. C i Y E _U E ° a � _ _ u y v a V u o E m °o a v VI L -Cv v a Y ° U1 U1 to U ° aJ m L Q Q bm0 N I. v oo .� E E c � a)w U Q0 allW C U ar- Y V) aci °1 i U C i U v w w•0 .� Ln n w • mil+•. , ♦♦,,,, .F: Date: March 2, 2018 Report No. 2018-023 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Overview and update on the enforcement of the credit access business ordinance. BACKGROUND: Ordinance 2013-073 was passed on March 19, 2013 regarding the regulation of credit access businesses within the City in order to protect the welfare of the citizens from abusive and predatory lending practices. The ordinance established a registration program for credit access businesses and imposes a record keeping requirement. In March 2014, Ordinance 2014-070 was passed amending the prior ordinance to clarify the intent to protect consumers and was never intended to provide for the prosecution of borrowers, and also included language to preclude any possibility of prosecuting borrowers. The ordinance requires that credit access businesses obtain a certificate of registration from the City in order to operate their business. The included registration packet (Attachment 1) outlines the registration program for credit service organizations, restrictions on loans or renewals made by organizations, and established minimum recordkeeping requirements. Registration is required annually and must include a registration fee of$50. Development Services has developed an improved process to track known credit access businesses and compliance with the current ordinance. A report is included as Attachment 2 listing the businesses and compliance status as of February 22, 2018. There are currently 26 businesses being tracked; 5 are compliant, 15 are being investigated, and 6 are non-compliant. If the businesses do not come into compliance, they could be subject to a penalty and fine as prescribed and further clarified in the 2014 ordinance. ATTACHMENTS: 1. Registration Packet 2. Compliance Report 3. Ordinance 2013-073 4. Ordinance 2014-070 STAFF CONTACT: Scott McDonald Director of Development Services Scott.McDonaldgcityofdenton.com 940-349-8539 Department of Development Services — Building Inspection Division 215 W Hickory St. loiF6� Denton,Texas 76201 DENTON (940) 349-8360 www.CityofDenton.com The City of Denton passed an ordinance on April 9, 2013 regulating Credit Access Businesses. This packet is a courtesy in order to provide you with the necessary information answer questions and to aid in implementing the regulations. The City makes every effort to be good stewards to the community and to assist our business owners in compliance with the municipal code.This is an attempt to provide information to all of the credit access types business we are aware of. However, it is not possible to contact every Credit Access business conducting business in Denton, so please share this with any other persons which may have interest. If you should have any questions please contact Department of Development Services, Building Inspection Division which is located at 215 W. Hickory St., Denton, Texas 76201 or by phone (940) 349-8360, or email Building@cityofdenton.com Information is also available on the Department's website https://www.citvofdenton.com/en- us/business/permits-licenses Sincerely, Scott A. McDonald Director of Development Services/Chief Building Official Department of Development Services Building Inspection Divison CITY 215 W Hickory St. OF Denton,Texas 76201 DENTON (940) 349-8360 www.cityofdenton.com Are you prepared for your Annual Registration? Registration Application ➢To obtain a certificate of registration for a credit access business, a person must submit an application on a form provided for that purpose to the Building Inspection Division.The application must contain the following: • The name, street address, mailing address, fax number, and telephone number of the applicant. • The business or trade name, street address, mailing address, fax number, and telephone number of the credit access business. • The names, street addresses, mailing addresses, and telephone numbers of all owners of the credit access business, and the nature and extent of each person's interest in the credit access business. • A copy of a current, valid state license held by the credit access business agreeable to Chapter 393, Subchapter G of the Texas Finance Code. • A copy of a current, valid certificate of occupancy showing that the credit access business is in compliance with this City of Denton Municipal Code. • A non-refundable annual application fee of$50.00.This fee is due for both an original application and a renewal. • A certificate of registration may be renewed by making application and payment renewal fee of $50.00 A Registrant shall apply for renewal at least 30 days before the expiration of registration. • An application or registrant shall notify Building Inspection Division within 45 days after any change of the information contained in the application for a Certificate of Registration, including, but not limited to, any change of address and may change in the status of the state license held by the applicant or registrant. Department of Development Services Building Inspection Division 1O1-4( 215 W Hickory St.Denton,Texas 76201 DENTON (940) 349-8360 www.cityofdenton.com The City of Denton Municipal Code has been amended for the purpose of protecting the welfare of citizens of the City by monitoring credit service organizations in an effort to reduce abusive and predatory lending practices.This bulletin: • Outlines the registration program for credit service organizations, • Restricts loans or renewals made by credit service organizations, • Establishes minimum recordkeeping requirements on credit service organizations. Definitions: Consumer:An individual who is solicited to purchase or who purchases the services of a credit access business Registration Application The Department of Building Inspections shall issue a certificate of registration for a credit access business only when an applicant has submitted the following: • A completed Application of Annual Registration form. • A copy of a current,valid state license held by the credit service organization. • A copy of a current,valid certificate of occupancy showing that the organization is in compliance with the Code of Ordinances. • An application fee of$50.00. The Building Inspection Division must be notified within 45 days after any changes are made of the information submitted in the Application of Annual Registration.This includes, but is not limited to, any change of address or any change in the status of the state license held by the applicant. Issuance and Display of Certificate of Registration A certificate of registration for a credit access business must be clearly displayed to the public in the business. Non-transferability A certificate of registration is not transferable to any individual, corporation, organization, partnership, association, financial institution or any other legal entity. Restrictions on Extension of Consumer Credit The cash advanced under a line of credit or an extending of credit that a credit access business obtains for a consumer in the form of a payday loan may not exceed twenty percent (20%) of the consumer's gross monthly income. The cash advanced under a line of credit or an extending of credit that a credit access business obtains for a consumer in the form of a motor vehicle title loan may not exceed the lesser of: • Three percent(3%) of the consumer's gross annual income; or 0 70 percent(70%) of the retail value of the motor vehicle A credit access business shall retain a copy of one or more of the following documents used to determine a consumer's income: • A paycheck issued to the consumer, or • Other documentation establishing income. A line of credit that allows repayment in installments may not be refinanced or renewed and may not allow payment in more than four installments. Each installment must be used to repay at least 25 percent of the principal amount. A line of credit that provides for a single lump sum repayment may not be refinanced or renewed more than three times. Proceeds from each refinancing or renewal must be used to repay at least 25 percent of the principal amount. A line of credit that is granted to a consumer within seven (7) days after a previous line of credit has been paid will constitute a renewal. Requirement of Consumer Understanding of Agreement Every agreement between the credit access business and a consumer evidencing the making or renewal of any loan, each required notice, disclosure, and other forms must be available at that location. For a consumer who cannot read,these must be read orally to the consumer. Maintenance of Records A credit access business shall maintain a complete set of records of all loans arranged by the business, whether an original transaction, refinancing, and renewal of a loan. Records must include the following information: • The name and address of the consumer. • The principal amount of cash actually advanced. • The length of the line of credit, including the number of installments and renewals. • The fees charged by the business to arrange line of credit; and • The documentation used to establish a consumer's income. A credit access business shall maintain a copy of each written agreement between the business and a consumer evidencing an extension of consumer credit. A business shall maintain copies of all quarterly reports filed with the Texas Consumer Credit Commissioner. The records required to be maintained by a business must be retained for at least three years after the date an extension of credit expires,terminates, or is cancelled. Such records shall be made available for inspection upon request during regular business hours at the business location. Referral to Consumer Credit Counseling The credit access business should provide a form, established by the Building Inspection Division,to each consumer seeking assistance in obtaining a line of credit or renewal,which references non-profit organizations that provide financial education, training programs, and cash assistance programs. Department of Development Services Building Inspection Division CITY 215 W Hickory St. or Denton,Texas 76201 DENTON (940) 349-8360 www.CityofDenton.com Please read the information on this form. This information will enable you to become familiar with selected sections of the City of Denton Municipal Code concerning Credit Access Businesses. Additionally, this form provides a listing of local non-profit agencies who provide FREE financial education and training programs and agencies with cash assistance programs. Credit Access Businesses are encouraged to provide this informational form to those seeking assistance in obtaining an extension of consumer credit. Maintenance of Records, a) A credit access business shall maintain a complete set of records of all extensions of consumer credit arranged or obtained by the credit access business, whether an original transaction or refinancing or renewal of an extension of consumer credit which must include the following information: (1) The name and address of the consumer. (2) The principal amount of cash actually advanced. (3) The documentation used to establish a consumer's income under Section 11. b) A credit access business shall maintain a copy of each written agreement between credit access business and a consumer evidencing an extension of consumer credit (including, but not limited to, any refinancing or renewal granted to the consumer). c) A credit access business shall maintain copies of all quarterly reports filed with the Texas Consumer Credit Commissioner under Section 393.627 of the Texas Finance Code, as amended d) The records required to be maintained by a credit access business under this section must be retained for at least three years and made available for inspection by the city upon request during the usual and customary business hours of the credit access business. Restrictions on Extension of Consumer Credit. a) The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a deferred presentment transaction may not exceed twenty percent (20%) of the consumer's gross monthly income. b) The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a motor vehicle title loan may not exceed the lesser of: (1) Three percent (3%) of the consumer's gross annual income: or (2) 70 percent (70%) of the retail value of the motor vehicle. c) A credit access business shall use a paycheck or other documentation establishing income to determine a consumer's income. d) An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for repayment in installments may not be payable in more than four installments. Proceeds from each installment must be used to repay at least 25 percent of the principal amount of the extension of consumer credit. An extension of consumer credit that provides for repayment in installments many not be refinanced or renewed. e) An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for a single lump sum repayment may not be refinanced or renewed more than three times. Proceeds from each refinancing or renewal must be used to repay at least 25 percent of the principal amount of the original extension of consumer credit. f) For purposes of this section, an extension of consumer credit that is made to a consumer within seven days after a previous extension of consumer credit has been paid by the consumer will constitute are financing or renewal. CONSUMER CREDIT INFORMATION THIS FORM IS FOR INFORMATION PURPOSES ONLY AND IS NOT INTENDED TO BE AN ENDORSEMENT OF ANY PROGRAM OR ENTITY. EDUCATION AND TRAINING OFFICE OF THE CONSUMER CREDIT COMMISSIONER/CONSUMER HELPLINE Phone: (800) 538-1579 http://www.occc.state.tx.us/pages/consumer/index.html NATIONAL ENDOWMENT FOR FINANCIAL EDUCATION (NEFE) www.nefe.org US DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT(HUD) http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS (AICPA) www.feedthepig.org TEXAS ATTORNEY GENERAL—CONSUMER PROTECTION DIVISION PO Box 12548 Austin,TX 78711-2548 https://www.texasattorneVgeneral.gov/consumer/complain.shtml TEXAS OFFICE OF THE CONSUMER CREDIT COMMISSIONER 2601 N. Lamar Blvd. Austin,TX 78705 Consumer Helpline (800) 538-1579 www.occc.state.tx.us 211 TEXAS (Provides free information and referral assistance 24 hours a day, seven days a week) htt s: www.211texas.org/cros/ If you need additional information or have questions,Visit: Department of Development Services Building Inspection Division 215 W. Hickory St Denton,TX 76201 Email: building@citvofdenton.com Call: (940) 349-8360 (Monday-Friday, 8:00 AM-5:00 PM) Website: https://www.cityofdenton.com/en-us/business/permits-licenses Page 2 of 2 City of Denton CITY CI Jof Application for Annual Certificate of Registration DENTON CREDIT ACCESS BUSINESS SECTION I. APPLICANT AND BUSINESS INFORMATION BUSINESS OR TRADE NAME: BUSINESS STREET ADDRESS: MAILING ADDRESS FOR BUSINESS: CONTACT NAME: FAX NUMBER: PHONE NUMBER: EMAIL: APPLICANT NAME: STREET ADDRESS: MAILING ADDRESS FOR BUSINESS: FAX NUMBER: PHONE NUMBER: SECTION II. REGISTRANT BUSINESS OWNER(S): Includes all owners of the credit access business and other persons with financial interest in the credit access business and the nature and extent of each person's interest in the credit access business(use more sheets as needed) A)BUISNESS OWNER INFORMATION BUSINESS OWNER NAME: TELEPHONE: TITLE: NATURE&EXTENT OF INTEREST: STREET ADDRESS: MAILING ADDRESS: FAX NUMBER: EMAIL: B)BUSINESS OWNER INFORMATION BUSINESS OWNER NAME: TELEPHONE: STREET ADDRESS: MAILING ADDRESS: C)BUSINESS OWNER INFORMATION BUSINESS OWNER NAME: TELEPHONE: STREET ADDRESS: MAILING ADDRESS: D)BUSINESS OWNER INFORMATION BUSINESS OWNER NAME: TELEPHONE: STREET ADDRESS: MAILING ADDRESS: SECTION III. APPLICANT APPLICANT: I HEREBY CERTIFY AS THE OWNER OR OWNERS'AUTHORIZED AGENT TO MAKE THIS APPLICATION,AND I AGREE TO CONFORM TO ALL APPLICABLE LAWS OF THE STATE OF TEXAS AND THE CITY OF DENTON.ALL INFROMATION SUBMITTED ON THIS APPLICATION IS ACCURATE TO THE BEST OF MY KNOWLEDGE. APPLICANT IS RESPONSIBLE FOR THE PAYMENT OF ALL FEES AND CHARGES APPLICABLE TO THIS APPLICATION.THE ANNUAL REGISTRATION FEE REQUIREMENT FOR A CREDIT ACCESS BUSINESS IS FIFTY DOLLARS($50.00).THE APPLICABLE CERTIFICATE OF REGISTRATION FEE, PAYABLE TO THE CITY OF DENTON,TEXAS,MUST BE REMITTED WITH SUBMISSION OF THIS APPLICATION ALONG WITH(1)A COPY OF THE CURRENT VALID STATE CREDIT ACCESS BUSINESS LICENSE FOR THE NAMED LOCATION;AND(2)A COPY OF A CURRENT,VALID CERTIFICATE OF OCCUPANCY SHOWING THAT THE CREDIT ACCESS BUSINESS IS IN COMPLIANCE WITH THE DENTON MUNICIPAL CODE A REGISTRANT/APPLICANT SHALL APPLY FOR RENEWAL AT LEAST 30 DAYS BEFORE THE EXPIRATION OF THE REGISTRATION. AN APPLICANT OR REGISTRANT SHALL NOTIFY BUILDING INSPECTIONS WITHIN 45 DAYS AFTER ANY MARTERIAL CHANGE IN THE INFORMATION CONTAINED IN THE APPLICATION FOR A CERTIFICATE OF REGISTRATION,INCLUDING,BUT NOT LIMITED TO,ANY CHANGE OF ADDRESS AND ANY CHANGE IN THE STATUS OF THE STATE LICENSE HELD BY THE APPLICANT. THE ABOVE INFORMATION SUBMITTED IS TRUE AND CORRECT TO THE BEST OF MY KNOWLEDGE. NON-REFUNDALBLE APPLICATION FEE $50.00 SIGNATURE AND DATE RETURN APPLICATION AND LICENSE FEE TO: CITY OF DENTON DATE FILED: BUILDING INSPECTIONS 215 W Hickory St. PERMIT#: DENTON,TX 76201 Phone (940) 349-8360 Email Building@citvofdenton.com Fax 940-349-7208 Credit Access Business Report Listing of potential Credit Access Businesses-February 22,2018 BUSINESS NAME ADDRESS CO INFO. CAB PERMIT Status ACE CASH EXPRESS 836 W.UNIVERSITY DR.(R34507) 1305-0438 1305-0433(EXP) ADVANTAGE AMERICA CASH ADVANCE 1400 S.LOOP 288,STE.114(R37586) 0311-0078 1304-0366(EXP 12/18) DRAKE FINANCE dba B&F FINANCE 318 E.OAK#140(R106193) 1110-0071 KEY Status BIG STATE PAWN 1321 TEASLEY(R33146) 1310-0580 1304-0466(EXP 9/14)) Compliant 5 CASH AMERICA 1018 FORT WORTH DR.(R114204) 0509-0406 1304-0457(EXP 12/14) CASH MAX 411 W.UNIVERSITY DR.(R76395) 0704-0614 1406-0933(EXP 12/18) Investigating 15 CASH STORE 1601 S.LOOP 288,STE.103(R182828) 0805-0236 1308-0872(EXP 12/18) CHECKS CASHED 214 W.UNIVERSITY DR.(R34116) 1306-0194(Archive) Not Compliant 6 CHECK'N GO 1507 S.LOOP 288,STE.204(R244734) 0303-0232 1304-0873(EXP 12/18) CITY FINANCE 1005 W.UNIVERSITY DR.(R177482) 1102-0226 CLIFF'S CHECK CASHING 718 FORT WORTH DR.(R27180) CO'd 04-19-90 CONTINENTAL CREDIT 605 SUNSET ST.(R32671) 0505-0338 COVINGTON CREDIT 316 E.OAK ST.,STE.102(R106193) CO'd :Refunded ECONO LOAN$&INSURANCE 326 E.McKINNEY ST.(R32769) CO'd 10-04-91 GOLDSTAR FINANCE 911 SUNSET ST.(R32653) 0609-0224 JUSTICE FINANCE CO. 318 E.OAK#150(R106193) CO'd 03-02-00 LENDMARK FINANCIAL 2215 S.LOOP 288,STE.327(R81590) 1604-0580 ONEMAIN FINANCIAL,INC. 2430 S.I-35E,STE.182(R128441) 1105-0467 REGIONAL FINANCE 601 SUNSET ST.(R32671) 1506-0385 SPEEDY CASH 400 W.UNIVERSITY DR.(R32469) 1205-0691 1304-0472(EXP 12/18) TEXAN CREDIT CORP. 617 SUNSET ST.(R32671) 1003-0085 TITLE MAX 501 N.1-35E(R301840) 1010-0243 1304-0471(EXP 12/17) TITLE MAX 1701 W.UNIVERSITY DR.(R33816) 1103-0366 1304-0473(EXP 12/17) TOLEDO FINANCE 316 E.OAK ST.,STE.106(R106193) 1506-0022 WORLD FINANCE CORP. 711 SUNSET ST.(R32671) 1006-0245 WORLD FINANCE CORP. 1610 TEASLEY LN.,STE.104(R121316) 1309-0526 s\legal\our documents\ordinances\Mcredit access businesses.doc ORDINANCE NO. 2013-073 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, REQUIRING REGISTRATION OF CREDIT ACCESS BUSINESSES; DEFINING TERMS; ESTABLISHING A REGISTRATION FEE; IMPOSING RESTRICTIONS ON EXTENSIONS OF CONSUMER CREDIT MADE BY CREDIT ACCESS BUSINESSES; PROVIDING RECORDKEEPING REQUIREMENTS; PROVIDING DEFENSES; PROVIDING A PENALTY NOT TO EXCEED $500; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: Credit Access Businesses SECTION 1. Purpose of Ordinance. The purpose of this ordinance is to protect the welfare of the citizens of the city of Denton by monitoring credit access businesses in an effort to reduce abusive and predatory lending practices. To this end,this ordinance establishes a registration program for credit access businesses, and imposes recordkeeping requirements on credit access businesses. SECTION 2. Definitions. In this ordinance: 1) Certificate of Registration means a certificate of registration issued by the director under this ordinance to the owner or operator of a credit access business. 2) Consumer'means an individual who is solicited to purchase or who purchases the services of a credit access business. 3) Credit Access Business has the meaning given that term in Section 393.601 of the Texas Finance Code, as amended. 4) Deferred Presentment Transaction has the meaning given that term in Section 393.601 of the Texas Finance Code, as amended. 5) Director means the director of the department designated by the City Manager to enforce and administer this ordinance and includes any representatives, agents, or department employees designated by the director. 6) Extension of Consumer Credit has the meaning given that term in Section 393.001 of the Texas Finance Code, as amended. 7) Motor Vehicle Title Loan has the meaning given that term in Section 393.601 of the Texas Finance Code,as amended. sAlegallour documentAordinancesUMcredit access businesses.doc 8) Person means any individual, corporation, organization, partnership, association, financial institution, or any other legal entity. 9) Registrant means a person issued a certificate of registration for a credit access business under this ordinance and includes all owners and operators of the credit access business identified in the registration application filed under this ordinance. 10)State License means a license to operate a credit access business issued by the Texas Consumer Credit Commissioner under Chapter 393, Subchapter G of the Texas Finance Code, as amended. SECTION 3. Violations; Penalty. a) A person who knowingly violates a provision of this ordinance, or who fails to perform an act required of the person by this ordinance, commits an offense. A person commits a separate offense each day or portion of a day during which a violation is committed, permitted, or continued. b) An offense under this ordinance is punishable by a fine of not more than$500. c) The penalties provided for in Subsection (b) are in addition to any other enforcement remedies that the city may have under city ordinances and state law. SECTION 4. Defense. It is a defense to prosecution under this ordinance that at the time of the alleged offense the person was not required to be licensed by the state as a credit access business under Chapter 393, Subchapter G of the Texas Finance Code, as amended. SECTION 5. Registration Required. A person commits an offense if the person acts, operates, or conducts business as a credit access business without'a valid certificate of registration. A certificate of registration is required for each physically separate credit access business. SECTION 6. Registration Application. a) To obtain a certificate of registration for a credit access business, a person must submit an application on a form provided for that purpose to the director. The application must contain the following. 1) The name, street address, mailing address, facsimile number, and telephone number of the applicant. 2) The business or trade name, street address, mailing address, facsimile number, and telephone number of the credit access business. 2 sAlegahour documentslordinances1131credit access businesses.doc 3) The names, street addresses, mailing addresses, and telephone numbers of all owners of the credit access business and other persons with a financial interest in the credit access business, and the nature and extent of each person's interest in the credit access business. 4) A copy of a current, valid state license held by the credit access business. 5) A copy of a current, valid certificate of occupancy showing that the credit access business is in compliance with the Denton Development Code. 6) A non-refundable application fee of$50. b) An application or registrant shall notify the director within 45 days after any material change in the information contained in the application for a certificate of registration, including, but not limited to, any change of address and any change in the status of the state license held by the applicant or registrant. SECTION 7. Issuance and Display of Certificate of Registration; Presentment Upon Request. a) The director shall issue to the applicant a certificate of registration upon receiving a completed application pursuant to Section 6 hereof. b) A certificate of registration issued under this section must be conspicuously displayed to the, public in the credit.access business. The certificate of registration must be presented upon request to the director or any peace officer for examination. SECTION 8. Expiration and Renewal of Certificate of Registration. a) A certificate of registration expires on the earlier of: 1) one year after date of issuance; or 2) the date of expiration, revocation, or other termination of the registrant's state license. b) A certificate of registration may be renewed by making application in accordance with Section 6. A registrant shall apply for renewal at least 30 days before the expiration of the registration. SECTION 9. Nontransferability. A certificate of registration for a credit access business is not transferable. 3 s:Vegahour documentAordinances\Mcredit access businesses.doc SECTION 10. Maintenance of Records. a) A credit access business shall maintain a complete set of records of all extensions of consumer credit made by the credit access business, which must include the following information: 1) The name and address of the consumer. 2) The principal amount of cash actually advanced. 3) The documentation used to establish a consumer's income under Section 11. b) A credit access business shall maintain a copy of each written agreement between the credit access business and a consumer evidencing an extension of consumer credit(including, but not limited to, any refinancing or renewal granted to the consumer). c) A credit access business shall maintain copies of all quarterly reports filed with the Texas Consumer Credit Commissioner under Section 393.627 of the Texas Finance Code, as amended. d) The records required to be maintained by a credit access business under this section must be retained for at least three years and made available for inspection by the city upon request during the usual and customary business hours of the credit access business. SECTION 11. Restrictions on Extensions of Consumer Credit. a) The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a deferred presentment transaction may not exceed 20 percent of the consumer's gross monthly income. b) The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a motor vehicle title loan may not exceed the lesser of: 1) three percent of the consumer's gross annual income; or 2) 70 percent of the retail value of the motor vehicle. c) A credit access business shall use a paycheck or other documentation establishing income to determine a consumer's income. d) An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for repayment in installments may not be payable in more than four installments. Proceeds from each installment must be used to repay at least 25 percent of the principal amount of the extension of consumer credit. An 4 " salegahour documentslordinances11Mcredit access businesses,doc extension of consumer credit that provides for repayment in installments;may not be refinanced or renewed. e) An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for a single lump sum repayment may not be refinanced or renewed more than three times. Proceeds from each refinancing or renewal must be used to repay at least 25 percent of the principal amount of the original extension of consumer credit. f) For purposes of this section, an extension of consumer credit that is made to a consumer within seven days after a previous extension of consumer credit has been paid by the consumer will constitute a refinancing or renewal. SECTION 12, This ordinance shall become effective twenty-one (21) days from the date of its passage and approval. PASSED AND APPROVED this the 9 day of , 2013. MXE UkROOG AYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY r a BY: , 5 \\cod ad\dep artmentsVegaNu r documents\ordinances\14\credit access business amendment.doc ORDINANCE NO. 1 - 7 AN ORDINANCE CLARIFYING BY AMENDMENT THE PENALTY PROVISIONS OF ORDINANCE NO. 2013-073, RELATING TO CREDIT ACCESS BUSINESSES; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE FOR THE AMENDED ORDINANCE. WHEREAS, the City Council of the City of Denton, Texas passed Ordinance No. 2013- 073 on March 19, 2013 regarding credit access businesses; and WHEREAS, a question has arisen about whether the penalty clause in Section 3 of Ordinance 2013-073 could be read to authorize prosecution of borrowers, contrary to intent; and WHEREAS, the Council of the City of Denton, Texas wishes to clarify Ordinance 2013- 073 by amendment, to preclude any possibility of prosecuting borrowers, as this ordinance was clearly intended to protect consumers from predatory lending practices, and was never intended to provide for the prosecution of such borrowers; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: ARTICLE 1. Section 3 "Violations; Penalty" of Ordinance No. 2013-073 is hereby amended to read as follows: SECTION 3. Violations; Penalty. a) A Person, other than a Consumer, who knowingly violates a provision of this ordinance, or who fails to perform an act required of such Person, other than a Consumer, by this ordinance, commits an offense. A Person, other than a Consumer, commits a separate offense each day or portion of a day during which a violation is committed, permitted, or continued. b) An offense under this ordinance is punishable by a fine of not more than $500,iff committed by a Person other than a Consumer. c) The penalties provide for in Subsection (b) are in addition to any other enforcement remedies that the City may have under City ordinances and state law. ARTICLE 2. This Ordinance amends Ordinance No. 2013-073 and repeals any provision of that ordinance, or any other, in conflict herewith, as of its effective date. All other provisions not explicitly amended herein shall continue in force and effect. ARTICLE 3. If any section, subsection, paragraph, sentence, clause, phrase, or word in this ordinance; in Ordinance 2013-073, as herein amended; or if any application thereof to any person or circumstances is held invalid by any court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance, or Ordinance 2013-073 as herein amended, and the City Council of the City of Denton, Texas hereby declares that it would have enacted such remaining portions despite any such invalidity. ARTICLE 4. This penal Ordinance, as herein amended, shall become effective fourteen (14) days from the date of its passage, and the City Secretary is hereby directed to cause the caption of this ordinance to be published twice in the Denton Record-Chronicle, the official newspaper of the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the day of 2014. MARK 13tJR1Z0U"GlJS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LE G A,1, FORM ANITA BURGESS, CITY ATTORNI,,Y-,' ........... Page 2 Date: March 2, 2018 Report No. 2018-024 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Discussion on Denton Courthouse Square Design Standards DISCUSSION: Twenty-eight business and property owners, and other downtown stakeholders, gathered at Agua Dulce restaurant for a meeting with City staff from Development Services and Economic Development. Director of Development Services, Scott McDonald, provided an overview and clarified the need for the establishment of design standards for the Denton Courthouse Square. This meeting was designed as the first step in receiving public input from those which would be most affected and have a vested interest in preserving the character of the Square. The business and property owners provided initial feedback on the concept and provided staff direction. City staff clarified the concept being considered for the Square is not a form-based code. The standards are not intended to be prescriptive, but is instead intended as a basic set of standards designed to ensure new buildings or major changes to existing buildings would be compatible with the overall character of the Square. The boundary of what constituted the "Courthouse Square District" is open for discussion, but it was suggested to extend to the fagades of the buildings one block back from the Square.Attendees were provided with sample copies of two documents which illustrate what design standard guidelines for the Courthouse Square might look like. Attendees then expressed their thoughts, questions, and concerns with staff responding as needed. Multiple attendees expressed a desire for flexibility in the design standards, for a number of reasons, including not making redevelopment on the Square prohibitively expensive. Desire was expressed for multiple levels of oversight on the standards beyond staff. It was explained that design standards would be enforced through a Certificate of Appropriateness application process for new buildings or major modifications to existing buildings. Concern was expressed about how the application approval, denial or variance requests would be handled, and what body would handle those requests. Staff suggested oversight of the standards and staff determinations could go before the Health and Building Standards Commission, ZBA or a design standards board could be introduced. Multiple owners inquired about the City investing in downtown infrastructure, including on the "Mews" streets, or those streets surrounding the Square. Staff explained several projects and concepts are being discussed to improve the Square and potential improvements to the "Mews" streets. Further discussion covered a range of topics beyond design standards, including the city's interest in working with owners to acquire fire suppression technology for buildings on the Square. Scott McDonald addressed attendees' concerns about past experiences with Development Services, noting the ongoing effort to simplify and improve the customer experience with Development Services. The meeting concluded with attendees expressing unanimous support for the concept of design standards for the Square. The group supported the idea of Development Services staff moving Date: March 2, 2018 Report No. 2018-024 forward in advancing design standards, with the understanding that attendees would be given opportunities to review and comment throughout the process. CONCLUSION/RECOMMENDATION Based on the initial feedback and interest in preserving the character of the Square, staff will proceed with a full-range community engagement plan. This is designed to capture stakeholder input for design standards and draft ordinance for discussion and consideration. ATTACHMENT: 1. DRAFT—Conceptual Square Design Standards; Building Edge &Architecture 2. MAP—Conceptual Map Outlining Proposed Design Standard Boundaries STAFF CONTACT: Scott A. McDonald, CBO Director, Department of Development Services 940-349-8539 scott.mcdonaldkcityofdenton.com - �L��.l�Li..l ---- denton ra -ing co. 44� 3 tp �� y BUILDING EDGE AND ARCHITECTURE Intent • To ensure the form and scale of buildings, and thereby create a viable urban streetscape. • To ensure high quality, sustainable development that adapts to changing conditions over time. Principles • Design all sites and buildings to promote pedestrian activity and provide an rt I �'' ■ �� active, continuous, pedestrian-oriented street edge along public sidewalks. Particular attention should be paid to lower floors. -- -- _ • Design sites and buildings to provide visual variety and enhance =�s� Downtown's overall sense of place. Ensure that the scale of buildings enhances the public realm, and complements the scale of neighboring structures, particularly adjacent historic buildings. . Buildings should relate to each other in scale, creating a consistent building • Regulate building heights and orientation to protect and enhance views to edae that frames and activates the public realm- and from established landmarks, natural features, and skylines. _ • Choose durable exterior building materials to ensure visual attractiveness and protect the interior space of a building. Exterior materials and glazing choices should consider existing and future noise issues common to mixed- use communities. • Ensure that building fagades visible from public spaces contribute to an attractive streetscape and skyline. �. • Locate surface parking, individual garages, and large parking garages to reduce visual impact. • Building corners should be celebrated, create visual interest and provide continuity across streets and around street corners. „ Design buildings and locate parking to reduce the visual impact. In this example, the parking is hidden within building's inner core. BUILDING EDGE AND ARCHITECTURE Building Location, Orientation, and Setback Standards • Buildings shall face the street or other public spaces. • Buildings shall have a setback of no more than five (5)feet from the back of the sidewalk. -�AL T, tt �, [I _I _ v n� m PILL.-- 7. ,j 40 _ . The consistent orientation and setback of the buildings along West Hickory Street help to create a frame for the public space that is the Denton Square. wsa���oo i �1ic'r� i 9 0 r BUILDING EDGE AND ARCHITECTURE i Fagade Standards • The ground floor of buildings shall include architectural relief at least every 30 feet. This relief may include, but is not limited to, the following: ♦ Doors �. ♦ Change in depth ♦ Columns or posts r ♦ Windows °°'► k. f ♦ Changes in materials • Changes to existing building facades shall be consistent with existing architecture,architectural features, and floor plans. " • The ground level shall be designed to allow conversion to retail or other active uses if not feasible initially. • All new buildings shall differentiate between the first and second floor. " Fagade Guideline Variation and sensitive detailing, related to the public realm, is imperative • Long facades and blank walls should be broken up with articulation or other when creating a quality pedestrian experience. Clear visual division between architectural treatments. street level and upper floors is important. Design elements such as entries, windows, balconies, awnings, and bays all provide visual interest. r The Victoria Station Apartments on S Bell Avenue use articulation, change of materials, changes in depth, and design elements --balconies and awnings--to differentiate between floors and break up a long facade. BUILDING EDGE AND ARCHITECTURE Fenestration and Glazing Standards • Fenestration and glazing shall be provided. Overly tinted, reflective, or opaque glass is not allowed on the ground floor of buildings. • Street-facing fagades shall have windows. • Windows,floors, stoops, and porches shall open out to the street. _ • Primary building entrances shall be clearly articulated using the following: AA ♦ Awnings ♦ Canopies e ♦ Recessed entry _ —----- ♦ Incorporated as an arcade in the architecture ♦ Other similar treatments may be considered on a case-by-case basis by the Historic Preservation Officer and HLC. , Fenestration Guidelines • Corner entrances are encouraged for strong visibility at intersections. - Building architecture should include elements such as corner entrances, and • Where office, retail, and entertainment spaces coexist, consider placing th consider the interaction at the street level. retail entrances and prime exposure at the corners and the office entrances at mid-block locations. • Operable windows are strongly encouraged for all buildings. Fencing Standards - • Walled-off or fenced-off developments are not allowed. • Private patio, yard, or sidewalk dining area shall be bordered by open railing measuring maximum four(4)feet from ground level. _ 4, • -� l • Bringing restaurant and retail activities out to the sidewalk is strongly �.� encouraged,where unobstructed pedestrian walking is maintained. - Railings for outdoor dining shall not extend into the pedestrian way. • Chain-link fences are prohibited. Outdoor seating is a great way to enhance pedestrian engagement. BUILDING EDGE AND ARCHITECTURE Exterior Lighting Standards • Lighting shall be designed in a manner to avoid disturbances and glare onto adjacent properties. I Exception: If an applicant can demonstrate that lighting will not contribute to light pollution and glare, they may be granted approval by the DDRB. Exterior Lighting Guideline _ • Building-mounted lighting on fagades, or other accent lighting on architectural features is encouraged. Properly scaled awnings and wall lighting of appropriate size and brightness combine to create a welcoming environment for pedestrians. V - -- .7!1 Exterior lighting on a fagade provides additional illumination within the These exterior lights are compatible with these buildings in terms of design, environment and has potential for creating design effects. material, use, size, scale, color, and brightness. BUILDING EDGE AND ARCHITECTURE Material Standards New building facades facing public areas shall conform to the following material standards. Creative design is encouraged, and projects that incorporate unlisted materials may be submitted for review. Building material selection and exterior wall design should consider the noise potential inherent in mixed use districts. • Primary materials shall consist of the following: ♦ Brick A unique, visually ♦ Stone, or stone veneer with cavity wall construction interesting ♦ Stucco - ♦ Glass curtain wall system building can be ♦ Metal panels—individual or curtain wall systems created using ♦ Concrete—finish should be to an architectural level primary and accent materials ♦ Wood f +- ,~• --_ ` ♦ Cement composite board that fit the overall ♦ Tile—terra cotta, porcelain, or ceramic design character ^l°t�: : ■ 1■ • The following material may be used as accents and trim: of downtown IMF ♦ All primary materials listed above , ♦ Metal—galvanized, painted,or ornamental ♦ Pre-cast masonry(trim and cornice only) ♦ EIFS (exterior insulation and finish system)above the first floor ♦ Concrete fiber simulated wood siding Z • Inappropriate materials ♦ Applied stone without cavity wall construction ♦ Vinyl or aluminum siding ♦ Mirrored glass ♦ EIFS below the first floor AA Roof Standards % lk • Roof shape and roofing materials shall be harmonious with —� existing buildings and overall building design. • Parapets shall be high enough to screen all roof-mounted equipment from the view of pedestrians. • Wind and solar energy devices visible from the public right of way require Director of Development Services' approval. Material choice is important for establishing context and extends above the roof when choices are made for screening mechanical equipment. BUILDING EDGE AND ARCHITECTURE Building Equipment and Service Area Standards Building equipment and service areas include, but are not limited,to the Screening of following: mechanical, ♦ Rooftop equipment electronic, and ♦ Mechanical and electrical equipment and conduit communication ♦ Ducts equipment on the - ♦ Piping roof should be ♦ Fire equipment organized, " a ♦ Water backflow devices proportioned, 1l ♦ Trash facilities detailed, and ♦ Recycling facilities colored to be an '�� ♦ Utilities integral element of 1. m ♦ Satellite dishes ■ '` ♦ Solar collectors _ the building as seen from points of high ♦ Antennas ■ ; ,, y elevation, streets, ♦ Loading and unloading areas ■ t and adjacent ♦ Drainage facilities + ■ ■ ; residences. d ; • Building equipment and service areas shall be designed and located so that F they are not the primary building feature or interfere with pedestrian and/or vehicular circulation. • Equipment and service areas shall be incorporated into the design of the building and combined when possible. • Dumpsters shall be located at the rear of the property and/or out of sight from any street and screened from public view. Rooftops of buildings • Rooftop equipment shall not be visible from the street or neighboring could include properties at the same level or below. landscaped decks or • Visible equipment shall be constructed of non-reflective material and terraces designed in �/ • • �� screened to the greatest extent possible. such a way that • Screening materials shall complement the architectural style of the building. mechanical (� • Macrocell phone antennas shall be screened by the parapet or mounted to equipment, elevator the parapet flush with the top of the parapet and be painted to match. overruns, and stair Microcell phone antennas shall be mounted in an inconspicuous location towers are housed and painted to match. within structures that are part of the composition of the building. BUILDING EDGE AND ARCHITECTURE a Historic Preservation The goal of historic preservation is to preserve and adaptively reuse remaining historic and architectural resources, and to make sure that new construction complements the adjacent historic and architecturally significant buildings. The character of historically and architecturally significant structures without local, state, or national designation should also be respected. Property owners planning exterior changes to these buildings should take into consideration their unique character. The Denton Square and the surrounding Downtown is home to many identified historic buildings.The preservation and adaptive reuse of historic buildings has been a focal point of the rebirth of Downtown Denton. The Square owes its unique character and authentic feel to the comfortable mix of the old with the new. Even with existing successful projects,there are still many more historic resources that are not yet rehabilitated. Every effort should be made to restore historic buildings in a manner consistent with the character of their original state. Rehabilitation is the process of returning a property to a condition that makes contemporary use possible,while still preserving features of its historic, architectural, and cultural significance. - ` The Denton Opera House (1901) was rehabilitated as a mixed-use F.; building, with a used bookstore on the ground floor, apartments above, and parking hidden behind and below the main building. �__ N — V t 1Y ams Mon The Fine Arts Theater presents an opportunity for preservation and Former industrial shops on Industrial Street have been transformed by rehabilitation adaptive reuse into a music venue and a restaurant. BUILDING EDGE AND ARCHITECTURE Temporary Construction Facility Standards - ■■■ 1 zrr[i I uu oil 1 Temporary construction offices, storage sheds, trailers, barricades, and fences 111 ail III _ will be allowed as necessary during the construction of a permanent building. 17 • Such facilities shall be placed as inconspicuously as possible to the _ general public and/or neighboring property owners. • Temporary construction facilities are approved by staff. FOR °, " I rntT F'utTN Construction Trailer Location Standards 811,811.1300 • Trailers must be located within the designated limits of construction. • Under certain circumstances,approval may be given to locate construction trailers at another location.Approval shall be limited to cases where site characteristics make it difficult or impractical to locate a trailer on the construction site. Construction Trailer Location Guidelines Appropriate temporary construction fences are necessary to limit public access Temporary screening materials along the fenced construction area are allowed, to hazardous areas during the construction phase and to ensure the safety of to minimize the visual impact of the construction areas and fencing. both pedestrians and motorists. In addition, construction fences provide an opportunity to showcase projects or provide temporary art displays. • Screening designs should have elements or references to the + associated building under construction,with the exception of art , projects on the construction fence. It is not permitted to advertise for any off-site or non- property related entity(e.g., general contractor, # financial institution). • Artistic/creative designs on the construction fence are encouraged, where appropriate. r fk NO, • Designs should be complementaryto the existing permanent signs on it •- — '� site. •�'� ` rt. N 1 h - Attachment 2 Discussion about District Area Boundaries Jill1�*qw Alk All vj— :ow Fro 19 QU i S,1y �- G D 0VU"M I 2, iIj I 2 -r-F 0 .,�• .arD rf rD rD - 19MMM@V _ _ ,, ' •; Flo . .. � o rD 'lob S o 00 DTIP Boundary o reet Level 1 1 di m. - Level 2 W ED �, DENTON Level3 Ly=�R Gevelopmme Services-GIS S L Date:2/23/2018 The City of Dentoton has prepared maps for departmental use.These are not official maps of the City of Denton and should not be used for legal,engineering or surveying purposes but rather for reference purposes.These maps are the property of the City of Denton and have been made available to the public based on the Public Information ct.The City,of Denn makes every effort to produce and publish the most current and accurate information possible.No warranties,expressed or implied,are provided for the data herein,its use,or its interpretation.Utilization of this map indicates understanding and acceptance of this statement. Date: March 2, 2018 Report No. 2018-025 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Denton Municipal Electric Energy Cost Adjustment Rate (ECA) and Renewable Cost Adjustment(RCA) EXECUTIVE SUMMARY: The ECA/RCA is set by the Public Utility Board (PUB) and approved by City Council. The ECA/RCA is reviewed on a quarterly basis and adjusted as needed to recover the variable cost of energy delivered to Customers and to maintain the Electric Department in a financially sound position. Staff will be providing several ECA/RCA balance strategies/options to City Council for review and approval during the budget process. BACKGROUND: There are explanations of the three calculations involved in developing the ECA/RCA rate charged to electric customers. The ECA/RCA Balancing Account Calculation is calculated monthly to determine the total amount of ECA/RCA revenue that has been collected from customers. This balance is used to determine if the ECA/RCA rate should be adjusted. The calculation is below: The ECA/RCA Balancing Account is calculated using the following formula: ECA/RCA Balancing Account = (actual plus projected ECA/RCA revenue earned from customers) minus (projected energy cost) The actual ECA/RCA Rate is computed with the Energy Cost Adjustment Calculation. The calculation is based on projected energy cost plus the balancing account described above divided by the projected kWh sales to customers. The calculation is below: ECA/RCA Rate applied to Customer kWh Usage = [(Projected Energy Cost) plus (ECA/RCA balancing account)] divided by(projected kWh sales) The amount charged to customers on their bill for ECA/RCA is called the Energy Cost Adjustment Charge Calculation. This calculation takes the customer's monthly kWh usage and multiplies it by the ECA/RCA Rate which results in the dollar amount each customer is charged for energy. The calculation is below: The dollar amount on each Customer's bill for energy usage = monthly kWh usage by customer times the ECA/RCA Rate. Date: March 2, 2018 Report No. 2018-025 As of January 31, 2017 the ECA/RCA Balancing Account has a balance of$7.3 Million. During the FY 17-18 Budget process, staff discussed with PUB and City Council allowing the balance in this account to accumulate in order to pay off debt service or fund capital projects. The current ECA/RCA Rate Schedule states that "The DME General Manager or his/her designee shall calculate the ECA/RCA Balancing Account monthly. In the event that the ECA/RCA Balancing Account calculated during the last month of each fiscal quarter(December, March, June and September) is over/under collected by $5,000,000 or more during the next quarter, the DME General Manger or his/her designee may recommend to the PUB any action to maintain DME in a financially sound position." During the budget process for Fiscal Years 14-15 through 16-17, the Public Utility Board and City Council approved the strategy to over-collect the ECA/RCA and use the over-collection to pay down debt. In September 2015, $6.5 Million was used to pay down Texas Municipal Power Agency (TMPA) Capital Appreciation Bonds (CABS) Debt Service along with $3.5 Million from Reserves. In Sept 2016 $12 Million was used to pay down callable debt. DME's share of the TMPA CABS Debt Service was $64 Million paid out over five years. • The first payment was made in 2013 for$11.2 Million and paid out of operating reserves. • The second payment was made in 2014 for $12.5 Million and paid out of operating reserves. • The third payment was made in 2015 for $13.4 Million and was financed with General Obligation Refunding Bonds which will be paid off in 2024. • The fourth payment was made in 2016 for $13.4 Million -- $6.5 Million was paid with ECA/RCA over-collection, $3.5 Million was from Reserves and $3.4 Million was financed with General Obligation Refunding Bonds which will be paid off in 2024. • The fifth payment was made through demand payments in Fiscal Year 2016-2017. DISCUSSION: ECA/RCA's are used to smooth extreme fluctuations in power supply related cost. When the balance is over collected, the ECA/RCA balance can be used to cover power supply cost when cost are high. If the ECA/RCA balance becomes under collected, it can be recovered over time by making relatively minor adjustments to the ECA/RCA rate as opposed to large swings if there were no ECA/RCA. CONCLUSION: Staff will be providing several ECA/RCA balance strategies/options to City Council for review and approval during the budget process. ATTACHMENT: Electric Rate Schedule ECA/RCA Date: March 2, 2018 Report No. 2018-025 STAFF CONTACT: Antonio Puente, Director of Finance SCHEDULE ECA ENERGY COST ADJUSTMENT (Effective 10/01/17) The Energy Cost Adjustment(ECA)Rate shall be set by the Public Utilities Board("PUB"). The ECA Rate shall be reviewed on a quarterly basis and adjusted as defined below to recover the variable cost of energy delivered to Customers and to maintain Denton Municipal Electric ("DME") in a financially sound position. ENERGY COST ADJUSTMENT BALANCING ACCOUNT CALCULATION The ECA Balancing Account shall be calculated using the following formula: ECA Balancing Account= (Actual plus projected ECA revenue)—(Projected Energy Cost) Where: Projected Energy Cost = (Actual plus projected cumulative cost of fuel) + (Actual plus projected cumulative variable purchased energy cost). The DME General Manager or his/her designee shall calculate the ECA Balancing Account monthly. In the event that the ECA Balancing Account calculated during the last month of each fiscal quarter (December, March, June, and September) is over/under collected by $5,000,000 or more during the next quarter, the DME General Manager or his/her designee may recommend to the PUB any actions to maintain DME in a financially sound position. ENERGY COST ADJUSTMENT CALCULATION ECA= [(Projected Energy Cost)+(ECA Balancing Account)] /(Projected kWh sales) ENERGY COST ADJUSTMENT CHARGE The Energy Cost Adjustment Charge shall be based on actual kWh consumption during the billing period. Energy Cost Adjustment Charge=kWh x ECA Rate Residential Time-Of-Use (Schedule RTOU): Super-Peak ECA Charge=kWh x [ECA+(ECA x 53.5%)] On-Peak ECA Charge=kWh x ECA Rate Off-Peak ECA Charge=kWh x [ECA—(ECA x 48.8%)] 47 77 DEFINITION OF SUPER-PEAK HOURS The City's super-peak hours, for the purpose of this Rate, are designated as being from 3:00 P.M. to 8:00 P.M. each day, for the months of June through September. The City's super-peak hours may be changed from time to time. DEFINITION OF ON-PEAK HOURS The City's on-peak hours,for the purpose of this Rate,are designated as being from 7:00 A.M.to 3:00 P.M. and 8:00 P.M. to 10:00 P.M. each day, for the months of June through September. The City's on-peak hours for the months of October through May include all hours. The City's on-peak hours may be changed from time to time. DEFINITION OF OFF-PEAK HOURS The City's system off-peak hours,for the purpose of this Rate,shall be all hours not designated as on- peak hours or super-peak hours for the months of June through September. Off-Peak On-Peak Super-Peak On-Peak 22:01 —07:00 07:01-15:00 1.5:01—20:00 20:01—22:00 10:01 PM—7:00 AM 7:01 AM—3:00 PM 3:01 PM—8:00 PM 8:01 PM—10:00 PM 48 78 SCHEDULE RCA RENEWABLE COST ADJUSTMENT (Effective 10/01/17) The Renewable Cost Adjustment(RCA)Rate shall be set by the Public Utilities Board ("PUB"). The RCA Rate shall be reviewed on a quarterly basis and adjusted as defined below to recover the cost of renewable energy delivered to customers. Renewable energy cost includes the Energy Cost Adjustment Charge (see Schedule ECA)plus the cost of Renewable Energy Credits ("REC")purchased. RENEWABLE COST ADJUSTMENT BALANCING ACCOUNT CALCULATION The RCA Balancing Account shall be calculated using the following formula: RCA Balancing Account=(Actual plus projected RCA revenue)—(Projected Renewable Energy Cost) Where: Projected Renewable Energy Cost = (Actual plus projected cumulative ECA cost) + (Actual plus projected REC cost) During the last month of each fiscal year quarter(December,March,June,and September),the Denton Municipal Electric ("DME") General Manager or his/her designee shall calculate the RCA Balancing Account. In the event that the RCA Balancing Account calculated during the last month of each fiscal quarter is over/under collected by$100,000 or more during the next quarter,the DME General Manager or his/her designee may recommend to the PUB any actions to maintain DME in a financially sound position. RENEWABLE COST ADJUSTMENT CALCULATION RCA=ECA+ [(Projected Renewable Energy Cost)/(Projected kWh sales)] Where: Projected Renewable Energy Cost=Actual +projected REC cost RENEWABLE COST ADJUSTMENT CHARGE The Renewable Cost Adjustment Charge shall be based on actual kWh consumption during the billing period. Renewable Cost Adjustment Charge=kWh x RCA Rate Residential Time-Of-Use (Schedule RTOU): Super-Peak RCA Charge=kWh x [RCA+(RCA x 53.5%)] On-Peak RCA Charge=kWh x RCA Rate Off-Peak RCA Charge=kWh x [RCA—(RCA x 48.8%)] 49 79 DEFINITION OF SUPER-PEAK HOURS The City's super-peak hours, for the purpose of this Rate, are designated as being from 3:00 P.M. to 8:00 P.M, each day, for the months of June through September. The City's super-peak hours may be changed from time to time. DEFINITION OF ON-PEAK HOURS The City's on-peak hours,for the purpose of this Rate,are designated as being from 7:00 A.M.to 3:00 P.M. and 8:00 P.M. to 10:00 P.M. each day, for the months of June through September. The City's on-peak hours for the months of October through May include all hours. The City's on-peak hours may be changed from time to time. DEFINITION OF OFF-PEAK HOURS The City's system off-peak hours, for the purpose of this Rate,shall be all hours not designated as on- peak hours or super-peak hours for the months of June through September. Off-Peak On-Peak Super-Peak On-Peak 22:01 —07:00 07:01-15:00 15:01 —20:00 20:01—22:00 10:01 PM—7:00 AM 7:01 AM—3:00 PM 3:01 PM—8:00 PM 8:01 PM—10:00 PM 50 80 Revision Date 3/2/18 Council Re uests for Information Request Request Date Staff Responsible Status 1. Information on cost determination for curb rate vs drop- 6/5/17 Cox An RFP for a cost of service study is off rate at landfill being prepared; the project is expected to last a few months into spring 2018. 2. Discussion of development code criteria for width of 6/6/17 Canizares Amendments to Transportation criteria streets manual will be presented to Council on March 20. 3. Survey and report of how other municipalities and 7/25/17 Howell A consultant is working on an school districts fund their School Resource Officers, as efficiency analysis of the Aquatics well as analysis of calls to school and efficiency Center. A proposal has been sent to Spt. Wilson for DISD to increase SRO funding. 4. Work session on process for when a use category is not 9/19/17 McDonald/Leal This will be included as part of the clearly defined in the DDC (incl. appeals process and DDC update. communications to surrounding properties) 5. Work session on special events/parades and permitting 1/9/18 Howell/Kuechler A brief update was included in the processes required Friday Jan. 12 report, and a work session is planned for April 3. 6. Request for a proclamation to honor Mr. Gohlke 1/27/18 Rogers A proclamation is on the March 6 City Council meeting. 7. Request for an ISR on how ECA is calculated for 2/5/18 Morrow/Puente An ISR is planned for March 9. electric bills 8. Work session on downtown area items (form-based 2/6/18 Canizares/McDonald An ISR summarizing a design criteria or design guidelines, historic designations and guidelines discussion and process is in what they mean, and Lewisville's update to Fire the Friday March 2 report. Code/incentives to update wiring in older buildings) 9. Request to move public hearing(s) of a draft ethics 2/6/18 Rosendahl Presentation of a draft ethics ordinance ordinance to the evening on March 6. A public hearing is planned for the evening of March 20. 10. Informal staff report on credit access businesses 2/13/18 McDonald An ISR is in the Friday March 2 report. 11. Pro forma on the fixed costs for DEC and projections 2/13/18 Morrow Staff will develop a brief ISR in the for variable costs next couple weeks. A workshop on the DEC is planned for April. 12. Joint work session or luncheon with Parks Foundation 2/20/18 Langley Staff meeting with Parks Foundation in March to discuss next steps. Request Request Date Staff Responsible Status 13. Work session on DCTA(discuss board composition and 2/20/18 Nelson A work session on board composition City Council goals for DCTA) is scheduled for March 6. 14. Connect Arts & Jazz Festival organizer and DCTA to 2/20/18 Nelson An update is included in the Friday explore transit opportunities for the event March 2 report. 15. Work session on Tree Code 2/20/18 McDonald 16. Informal Staff Report on options for an ADA accessible, 2/20/18 Behrens An ISR is expected on Friday March 9. inclusive playground 17. Change ordinances to show Council Member votes 2/20/18 Walters A minor ordinance amendment is needed and planned for March 20 agenda. If approved, start new procedure with April 2 CC meeting. 18. Report on actions taken since 2007 for flood plain, 2/20/18 Estes improvements made and next steps 19. Work session on HOT funds and potential uses (historic 2/27/18 Puente reservation, public art, cultural district, etc) 20. Interest fora performing arts center 2/27/18 Booth 21. Report on live music venues in the City 2/27/18 Booth 22. Survey of other cities that have 4a/4b Econ Dev 2/27/18 Booth corporations March . Sunday Monday Tuesday Wednesday Mursday Friday Saturday 1 2 3 4 p.m. Public Art Committee 4 5 11:30 am Council 6 7 8 9 10 Luncheon 10:30am Audit/Finance 5:00pm P&ZWork Canceled 1:30pm Committee Session Committee on the Canceled 6:30pm P&ZRegular Environment 10:30amCommittee on Session 5:3Opm Traffic Safety Citizen Engagement Commission 1:00 pm CC Work Session 6:30 pm CC Regular Se ssio n 11 12 13 14 15 16 17 9:00am Public Utilities No Council Meeting 11:OOam EDP Board HaBSCo Meeting Board Canceled 6 pm ParkBoard 5:3 Op m HLC 18 19 20 21 22 23 24 11:30am Mobility 11:OOam EDP Board 12:00pm CC Work Committee Session 5:00pm P&ZWork 6:30 pm CC Regular Session Session 6:30pm P&ZRegular Se ssio n 25 26 27 28 29 30 6:00pm Public Utilities 10:00am Council Board Airport Committee 4:00 pm ZBA 2:00 pm 4th Tuesday Session 3/2/2018 12:16 PM April • Sunday Monday Tuesday Wednesday Mursday Friday Saturday 1 2 11:30 am Council 3 4 5 6 7 Luncheon 10:30am Committee on 4 p.m. Public Art 1:30pm Committee on Citizen Engagement Committee the Environment 5:3Opm Traffic Safety 2:00 Pro CC Work Commission Se ssio n 6:30pm CC Regular Park Board 6 p m Se ssio n 8 9 10 11 12 13 14 9:00am Public Utilities 2:00 pm 2nd Tuesday 11:OOam EDP Board Bo a rd Se ssio n 5:00p m P&Z Wo rk 5:3 Op m HLC Se ssio n 6:30pm P&ZRegular Se ssio n 15 16 17 18 19 20 21 2:00 pm CC Work HaBSCo Meeting Se ssio n 6:30pro CC Regular Se ssio n 22 23 24 25 26 27 28 6:00pm Pub he Utilities 2:00 pm 4th Tuesday 5:00pm P&ZWork Bo a rd Se ssio n Se ssio n 6:30pm P&ZRegular Se ssio n 29 30 4:00 p ra 7BA 3/2/2018 12:16 PM 3/02/18 FUTURE CITY COUNCIL ITEMS Note: This is a working draft of pending Council items and is subject to chap a without notice. Meeting Date Deadlines Item March 13 —No Meeting NLC, Washington DC 3/11-3/14 1 Spring Break 3/12-3/16 March 20—Work/Regular Session Captions—March 5 WS—Ethics Ordinance and Public Hearing at CC meeting Note—meeting cannot start before 1:30 or 2:00 Backup—March 16 WS—Landfill Substation WS—Rayzor Ranch PID WS—Cisco Technology Infrastructure WS—Delinquent tax contract IC—Incentives Policy PH—Transportation&Drainage Criteria Manuals PH—Parks Standards of Care March 27—4 th Tuesday Session Captions—March 12 WS—Outside Employment policy (tentative) Backup—March 23 WS—Red Light Camera discussion WS—Solid Waste fees and rate discussion WS—Contract Admin. Audit WS—Hwy 77 Site Options WS—Overview of Compliance Program WS—City Hall Facilities Update WS—Update on DDC PH—RF 17-0026—D. Snow April 2—Luncheon Captions—March 19 CM—City Council Appointee Reviews (tentative) Backup—March 29 Captions—March 19 CM—City Council Appointee Reviews (tentative) April 3 —Work/Regular Session Backup—March 30 WS—Tree Fund Policy WS—Special Events April 10 2nd Tuesday Session Captions—March 26 Backup—April 6 April 17 Work/Regular Session Captions—April 2 WS—Economic Development mid-year update (City& Chamber) Backup—April 13 April 24—4ch Tuesday Session Captions—April 9 Backup—April 20 May 1 —Work/Regular Session Captions—April 16 Backup—April 27 May 7—Luncheon Captions—April 23 Hold - Joint Meeting with DISD Backup—May 3 CA-Consent Agenda IC-Individual Consideration WS-Work Session CM-Closed Meeting PH-Public Hearing Meeting Date Deadlines Item May 8 —2nd Tuesday Session Captions—April 23 Backup—May 4 May 15 —Election Meeting Captions—April 30 Backup—May 11 Installation of CC Members Only May 22—Work/Regular Session Captions—May 7 Backup—May 18 May 29—No Meeting Memorial Day holiday observed- City Offices closed 5/28 June 4—Luncheon Captions—May 21 WS—Department Budget Presentations Backup—May 31 June 5 —Work/Regular Session Captions—May 21 WS—Preliminary Budget Discussion Backup—June 1 WS—Department Budget Presentations June 12—2nd Tuesday Session Captions—May 25 USCM, Boston, 6/8-6/11 Backup—June 8 WS—Department Budget Presentations June 19—Work/Regular Session Captions—June 4 TCMA, Galveston, 6/21-24 Backup—June 15 WS—Department Budget Presentations June 26—4th Tuesday Session Captions—June 11 WS—Department Budget Presentations Backup—June 22 Jul 2—No Luncheon Jul 3 —No Meeting July T holiday observed—City Offices closed July 10—No Meeting July 17—Work/Regular Session Captions—July 2 WS—2nd Preliminary Budget Discussion Backup—July 13 WS—Department Budget Presentations July 24—4th Tuesday Session Captions—July 9 WS—Department Budget Presentations Backup July 20 July 31 —No Meeting August 2—Budget Workshop Captions—July 16 Backup—July 27 August 6—Luncheon Captions—July 23 WS —Department Budget Presentations Backup—August 2 August 7—Work/Regular Session Captions—July 23 WS—Department Budget Presentations Backup—August 3 WS—Budget Workshop August 14—2nd Tuesday Session Captions—July 30 WS—Budget Workshop Backup—Au st 10 August 21 —Work/Regular Session Captions—August 6 WS—Budget Workshop Backup—August 17 August 28 —4th Tuesday Session Captions—August 13 WS—Budget Workshop Backup—August 24 PH— 1 st Public Hearing on the Tax Rate September 3 —No Luncheon Labor Day holiday CA-Consent Agenda IC-Individual Consideration WS-Work Session CM-Closed Meeting PH-Public Hearing Meeting Date Deadlines Item September 4—No Meeting September I I—Special Called Work/Regular Captions—August 27 WS—Budget Workshop Session Backup— September 7 PH—2nd Public Hearing on the Tax Rate PH—Public Hearing on the Budget September 18—Work/Regular Session Captions—August 31 WS—Budget Workshop Backup— September 14 IC—Adoption of Budget September 25 —4th Tuesday Session Captions— September 10 Backup— September 21 October 1 —Luncheon Captions— September 17 Backup— September 27 October 2—No Meeting National Night Out October 9—2nd Tuesday Meeting Captions— September 24 TML, Fort Worth, 10/9-10/12 Backup—October 5 October 16—Work/Regular Session Captions—October 1 Backup—October 12 October 23 —4th Tuesday Session Captions—October 8 Backup—October 19 October 30—No Meeting November 5 —Luncheon Captions—October 22 Backup—November 1 November 6—Work/Regular Session Captions—October 22 NLC, Los Angeles, 11/7-11/10 Backup—November 2 November 13 —2nd Tuesday Session Captions—October 29 Backup—November 9 November 20—No Meeting Thanksgiving Holiday observed—City Offices Closed 11/22-23 November 27—4th Tuesday Session Captions—November 12 Backup—November 21 Tentative-Based on Need December 3 —Luncheon Captions—November 19 Backup—November 29 December 4—Work/Regular Session Captions—November 19 Backup—November 30 December 11 —2nd Tuesday Session Captions—November 26 Backup—December 7 December 18 —Work/Regular Session Captions—December 3 Backup—December 14 Tentative-Based on Need December 25 —No Meeting Christmas Holiday observed—City Offices Closed 12/24-25 CA-Consent Agenda IC-Individual Consideration WS-Work Session CM-Closed Meeting PH-Public Hearing Construction Projects Report Starting Mar 05-11 , 2018 Shady Oaks at S. Woodrow lane will be closed to install a turn lane between Road Closures hours of 8 P.M. and 6 A.M. beginning 03-12-18 to 04-13-2018. Lane Closures Detour Proposed Date Proposed Door Ntssage Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nbeting Construction m l i n UPCOMING PROJECTS Canterbury Canto ill I 35 still in design tbd Drainage Chad Allen-Eng HollybDrewHuman-WW; Fulton tbd tbd Water/WW/Streets Casey Bowles-Wtr, DustvDraper-S ets DrewHuffinan-WW; Hettie tbd tbd Water/Waste Water/Streets Casey Bowles-Wtr; Dusty Draper-Streets Pos s ibly bundling with Windsor Drew Haffin W an-W Finkle to be bid tbd CaseyBowles-Wtr; VW/W W/Streets/Drainage Dusty Draper-Streets Malone yes Summer 2018 tbd Water Nhin Construction Water Crescent to Westninster PEC 4-Engineering still in design tbd Engineering Project Lee Perry-Eng Installing Underground Box Culvert Smith-Johnson Summer 2018 tbd Large Project: Chad Allen-Eng Drainage/Streets/Wtr/WW Proposed Date Proposed Detour Door Ntssage Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nbeting Construction Completion DrewHuffinan-WW; Thomas tbd tbd Water/WW/Streets Casey Bowe s-WCr; Dusty Draper-Streets DrewHu$man-WW; Wayne tbd tbd Water/WW/Streets Casey Bowles-NW; Dusty Draper-Streets Pos sibly bundling with Hinkle Drew uffinan-WW; Windsor-Engineering tbd tbd Casey Bowles-Wr; Wtr/W W/S t re e t s/Dra i n a g e r- RESIDENTIAL CURRENT PROJECTS O1/31/18 Auburn no Feb 19,2018 Nhr 30,2018 NIll/Overlay Streets Georgetown to Bowling Green Ave C yes Feb 20,2018 Nhr 20,2018 Electric Construction Engineering Eagle toS Ave C O1/31/18 Bellhaven no Feb 19,2018 Nhr 30,2018 N1llll//Overlay Streets Georgetown to Bowling Green Street Reconstruction 02/16/18 Brandywine Circle no Feb 20,2018 Apr 9,2018 Briar\wod St to Southern Dead End Streets Brandywine St no Feb 20,2018 Apr 9,2018 Street Reconstruction Streets 02/16/18 Briarwood St to Brandywine Cir 02/14/18 Comell yes Feb 19,2018 N1�r 30,2018 ME/OverlayStreets Amherst to Tulane 01/31/18 Dartmouth no Feb 26,2018 Nhr 30,2018 N>iUll//Overlay Streets Amherst to Comell Detour Proposed Date Proposed Door Nbs s age Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nbeting Construction Completion Street Reconstruction 01/24/18 y y Egan s Feb 5,2018 Nhy 7,2018 Streets Aman7lo to Nhlone Mill/Overlay 02/14/18 Fordham yes Feb 19,2018 Nhr 30,2018 ets Amherst to Bowling Green Streets O1/31/18 Grace TempleN>illll/Overlay no Feb 5,2018 Nhr 30,2018 Streets Fulton to Ponder Holiday Park Phase 2 yes Nov 10-17 Dec 1,2018 Wastewater Nhin Construction Wastewater 11/16/17 y Nhnhattan to Kings Row Water Nhin Construction 11/16/17 y Holiday Park Phase 2 yes Nhr 6,2018 tbd Nhnhattan, Sierra,&Laguna Casey Bowles -Wtr Yeflo,Astone Curb and Gutter/Drive Approaches yes y Kings Row no Aug 7,2017 Nhr 31,2018 Engineering M Right Ln Wellington and Sherman 110/16/17 y Londonderry yes Feb 1,2018 Nhr 9,2018 Drainage Improvements Drainage N/A y Lookout no Jan 29,2018 Nhr 26,2018 Sidewall�Repair Streets Windsor to Westward NM/Overlay 01/31/18 Nhlone no Feb 14,2018 Nhr 30,2018 Auburn to Dead End North Streets Street Reconstruction 10/10/17 y y 10/18/17 Nbckingbird yes Oct 23,2017 Nhr 16,2018 Streets Nbkinneyto Paisley Paisley yes Dec 20,2017 Nhr 16,2018 Water Nhin Construction Water y y Frame to Ruddell Proposed Date Proposed Detour Door N1`ssage Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nbeting Construction m l i n 02/06/18 Potomac Parkway no Feb 12,2018 Nhr 19,2018 Street Panel Repair Streets Shiloh to Shenandoah Trl Wastewater Nbin Construction 02/09/18 y Sagebrush yes Feb 15,2018 Nhy 1,2018 Kmgs Rowto Retama,Retama, Wastewater Huisache from Yucca to Retama Sagebrush yes tbt tbt Streets Streets Unicorn Lake no Nhr 12,2018 Apr 30,2018 Concrete Panel Repairs Streets Wind River to State School Rd W.Walnut yes Nhr 12,2018 Nhr 30,2018 Utiltrty Construction S Engineering Elm to Cedar St Sidewalk Repairs HOA y Wmdriver no Jan 22,2018 Nhr 30,2018 Streets 01/11/18 Loon Lake to Teasley Ln MAJOR ROADS CURRENT PROJECTS Bonnie Brae no Jul 1,2017 Ju131,2019 Street Widening Engineering Brinker no Feb 12,2018 Nhr 16,2018 Street Panel Repairs Streets Ntdpark Dr to Loop 288 Carroll no Feb 19,2018 Nhr 19,2018 ADAISidewalk Repair Streets Hickory and Oak Intersections Water and)NW Crossing Construction 01/03/18 y y Gayla yes Jan 4,2018 Nhr 9,2018 Engineering Nhyhiff Rd to Bridges St Detour Proposed Date Proposed Door Nbs s age Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nteting Construction m l i n 02/07/18 Hickory lm�yes Jan 2,2018 Nhy 11,2018 Street Reconstruction Streets Bonnie Brae to N Texas Blvd LfickoiyCreekRd no N1ar 12,2018 Nhr 16,2018 Base Failures Streets Teasley In to Riverpass Dr Reconstruct Old Central Parking Lot 11/02/17 N1vKmney no Nov 14,2017 Apr 29,2018 Engineering Bolivar to Cedar Street Widening Project 01/3/181 Nhyhil no Sep 1,2017 Feb 1,2020 Engineering 01/24/18 LTS380 to NofEdwards Rd Water/WWRelocate/Repave O1/24/18 Prominence Parkway yes Jan 31,2018 Aug 31,2018 Engineering NFayhill to Atlanta Riney yes Sep 29,2017 Ju129,2018 Road Removal and Replacement Engineering yes N E]m to Solona Shady Oaks es N1ar 12,2018 Apr 13,2018 Street Reconstruction Streets Shady Oaks Dr and S. WoodrowLn Note: This provides an Estimate of work to be done the next two weeks. Weather,equipment breakdowns,or other unforeseen problems could cause this schedule to change. Drainage 349-7116 / Water Distribution 349-7181 / Wastewater 349-8489 / Traffic 349-7342 / Streets 349-7160,streets@cityofdenton.com Engineering 349-8910,engineering@cityofdenton.com / TXDC7T 387-1414,romulo.bahamon*xdot.gov / Denton County 349-3420 COMPLETED PROJECTS Ave A yes Jan 25,2018 Feb 13,2018 Electric Construction Engineering Eagle toS Ave A Ave B yes Jan 23,2018 Nhr 2,2018 Electric Construction Engineering Eagle toS Ave B Detour Proposed Date Proposed Door Nbs s age Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Nlveting Construction Completion FF Congress s Jan 22,2018 Feb 13,2018 Electric Construction Engineering N Carroll to Bolivar Denison yes Feb 5,2018 Nlar 16,2018 Street Reconstruction Streets 01/24/18 y y University to W Sherman Gober no Jan 24,2018 Nhr 2,2018 Nlillll/Overlay Streets 01/09/18 y Linden Dr to Cordell St Hu Street Panel Repair dsonwvod Dr no Feb 5,2018 Feb 20,2018 Streets 01/24/18 Benydown Intersection Latfitmre no Oct 9,2017 Feb 23,2018 Street Reconstruction Streets 09/22/17 y Audra to Dead End Wastewater Nlain Construction 10/16/17 y Londonderry yes Dec 22,2017 Feb 15,2018 Wastewater Teasley to Westminster O1/19/18 y Lovell no Jan 24,2018 Feb 23,2018 Miff/OverlayStreets Scripture to Egan Water Line Tap/Piping/S-walk Repair N/A Maple no Jan 22,2018 Feb 16,2018 Engineering Southern most Drive Lane Street Reconstruction 09/22/17 y Oak Park no Oct 9,2017 Feb 23,2018 Oaktree to Oak Valley Streets Oaktree no Oct 9,2017 Feb 23,2018 Street Reconstruction Streets 09/22/17 y Audra to Lattimore Street Panel Repair NAOsage no Feb 12,2018 Nlar 5,2018 Lake Fork Cir to Wmd River In Streets Detour Proposed Date Proposed Door 1Vbs s age Public Street/Intersection Routes of Date of Brief Description of Construction Contact Department Letters Hangers Boards Xteting Construction Completion Street Reconstruction 01/22/18 Sill�tree es Jan 29,2018 Feb 21,2018 Streets Desert Willow to Cul de Sac Street Panel Repair 12/18/17 y Westward no Jan 2,2018 Feb 9,2018 Streets Lookout to Southway Whispering Oak Street Reconstruction s no Oct 9,2017 Feb 23,2018 Streets 09/22/17 y Oak Valley to Oak Park